2. Background and Procedural History

In late October 2007, several severe fires occurred in the San Diego area. The Rice Fire ignited in Fallbrook, California, and the Witch Fire ignited in southern San Diego County near State Highway 78 and Santa Ysabel. The Guejito Fire started in the San Pasqual area of the county. On November 12, 2008, this Commission issued Order Instituting Investigation (OII or I.) 08-11-006 into "the Operations and Practices of the San Diego Gas & Electric Company Regarding the Utility Facilities linked to the Witch and Rice Fires of October 2007." On the same day, the Commission also issued I.08-11-007 into "the Operations and Practices of Cox Communications and San Diego Gas & Electric Company Regarding the Utility Facilities linked to the Guejito Fire of October 2007."

The Commission stated that it was issuing I.08-11-006 "to determine whether San Diego Gas & Electric Company (SDG&E) violated any provision of the Public Utilities Code, general orders, other rules or requirements in regards to: 1) utility facilities which have been linked to the October 2007 Witch and Rice Fires; and 2) failing to cooperate with the Consumer Protection and Safety Division (CPSD)." The OII provided notice that a hearing would be held on the matter, and it directed SDG&E to show cause as to why the Commission should not find violations in this proceeding and why the Commission should not impose penalties and/or any other forms of relief, if it found any violations. The OII also directed SDG&E to respond to certain questions and to provide CPSD with certain information.1

The Commission declared that it was issuing I.08-11-007 "to determine whether Cox Communications (Cox) and/or [SDG&E] violated any provision of the Public Utilities Code, general orders, other rules, or requirements in regards to: 1) utility facilities which have been linked to the October 2007 Guejito Fire; and 2) failure to cooperate with the [CPSD]." The OII provided notice that a hearing would be held on the matter, and directed Cox and SDG&E to show cause as to why the Commission should not find violations in this proceeding, and why the Commission should not impose penalties and/or any other forms of relief, if it found any violations. The OII also directed Cox and SDG&E to respond to certain questions and to provide CPSD with certain information.2

The Guejito and Witch/Rice Fire OIIs' May 1, 2009 Scoping Memos scheduled evidentiary hearings to begin respectively, on June 29, and July 13, 2009. Before the start of the Guejito Fire OII hearings, CPSD, Cox, and SDG&E requested that the matter be held in abeyance3 so that the parties could fully develop the settlement agreement in principle that they had reached. At the July 13 Prehearing Conference for both proceedings, CPSD and SDG&E reported that they had also reached a settlement agreement in principle on key terms in the Witch and Rice Fire OII. CPSD, SDG&E, and Cox asked that both proceedings be temporarily held in abeyance while the parties further discussed and set forth the details of the respective agreements.

To monitor the progress of the continuing discussions and finalizing of the agreements, the assigned Administrative Law Judge (ALJ) convened weekly and then bi-weekly status conferences from July 22 through October 9, 2009. On October 21, 2009, CPSD and SDG&E requested the assistance of one of the Commission's Alternative Dispute Resolution (ADR) Neutrals, to help them reach agreement on several remaining issues. CPSD and SDG&E met with an ADR Neutral on October 26, 2009.4 On October 30, 2009, CPSD and SDG&E filed a settlement agreement resolving the Witch/Rice and Guejito Fires OIIs as to SDG&E. On the same day, CPSD and Cox also filed a settlement agreement resolving the Guejito Fire OII as to Cox. No comments were filed on the proposed settlement agreements.5

1 I.08-11-006 at 1.

2 I.08-11-007 at 1.

3 The parties requested abeyance until the start of the Witch and Rice hearings on July 13, 2009.

4 The parties to I.08-11-007 (SDG&E, Cox, and CPSD) and I.08-11-006 (SDG&E and CPSD) held a Settlement Conference on October 28, 2009, with each party waiving the seven-day notice contemplated by Rule 21.1(b). They contend that they set this schedule because they are the only parties in each OII, and they wanted to expedite the public filing of the settlements. See Joint Motion of CPSD and SDG&E at 12 (October 30, 2009).

5 On November 5, 2009, the ALJ issued a ruling giving notice that the captions of both proceedings would be used solely for the purpose of addressing the joint motions in I.08-11-006 and I.08-11-007. The Witch/Rice and Guejito proceedings are not consolidated.

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