2. Procedural Background

By orders entered April 9, 2002, and June 26, 2002, in United States of America v. Alisal Water Corporation et al., Case No. C97-20099, the District Court for the Northern District of California (District Court) appointed John W. Richardson as receiver for the Alisal Water Corporation. After hearings before the District Court, on April 13, 2004, the District Court entered its Order Regarding Sale of Receivership Assets. Under the terms of the sale order, the District Court directed the Receiver to sell the water systems that are the subject of these applications to Pajaro Sunny Mesa Community Services District (Pajaro/Sunny Mesa), and specified the sale prices for those sales. By these applications, the Receiver and Pajaro/Sunny Mesa seek a Commission order authorizing the transfers pursuant to Pub. Util. Code §§ 851 through 854.