STATE OF CALIFORNIA GRAY DAVIS, Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

July 22, 2003 Agenda ID #2498

TO: PARTIES OF RECORD IN RULEMAKING 03-02-034

This is the draft decision of Administrative Law Judge (ALJ) Grau. It will not appear on the Commission's agenda for at least 30 days after the date it is mailed. The Commission may act then, or it may postpone action until later.

When the Commission acts on the draft decision, it may adopt all or part of it as written, amend or modify it, or set it aside and prepare its own decision. Only when the Commission acts does the decision become binding on the parties.

Parties to the proceeding may file comments on the draft decision as provided in Article 19 of the Commission's "Rules of Practice and Procedure." These rules are accessible on the Commission's website at http://www.cpuc.ca.gov. Pursuant to Rule 77.3 opening comments shall not exceed 15 pages. Finally, comments must be served separately on the ALJ and the assigned Commissioner, and for that purpose I suggest hand delivery, overnight mail, or other expeditious method of service.

/s/ ANGELA K. MINKIN

Angela K. Minkin, Chief

Administrative Law Judge

ANG:sid

Attachment

ALJ/JLG/sid DRAFT Agenda ID #2498

Quasi-Legislative

Decision DRAFT DECISION OF ALJ GRAU (Mailed 7/22/2003)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking Into Implementation of Assembly Bill 140, Establishing the Rural Telecommunications Infrastructure Grant Program.

Rulemaking 03-02-034 (Filed February 27, 2003)

INTERIM OPINION ON IMPLEMENTATION OF THE

RURAL INFRASTRUCTURE GRANT PROGRAM

I. Summary

Today's interim decision implements eligibility criteria for community-based groups to qualify to apply for telecommunications rural infrastructure grants and adopts interim grant program administration rules.