4. Issues

Based on the applications, the protest of Alisal Water Corporation (Alisal), the Receiver's and California Water Service Company's (Cal Water) replies, the discussion at the prehearing conference, and the briefs on standard of review and res judicata, we identify the following issues for resolution in this proceeding:

_ Whether the receiver lacks standing to file these applications;

_ Whether the applications comply with Rule 35(c), which requires applications to provide detailed reasons for entering into the proposed transaction and the facts warranting it;

_ Whether the applications comply with Rule 35(b) requiring a statement of the book cost and original cost of the property to be transferred;

_ Whether Alisal's violations of law and fitness or lack thereof support an order that the utility divest itself of the water systems;

_ Whether the sales prices are confiscatory;

_ Whether the proposed transferee is fit;

_ What is the rate impact of the proposed transfers; and

_ Whether the applicant has transferred operational and managerial control without prior Commission approval in violation of Pub. Util. Code § 856.