7. Assignment of Proceeding

John A. Bohn is the assigned Commissioner and Maribeth A. Bushey is the assigned ALJ in this proceeding.

Findings of Fact

1. Cal-Am and DRA have agreed to the settlement agreement attached hereto as Appendix A.

2. The settlement agreement provides for wastewater rate design that more closely follows cost-of-service.

3. The settlement agreement shows that Cal-Am and DRA have reviewed the wastewater revenue requirement requested and made reasonable modifications.

1. The wastewater settlement is reasonable in light of the whole record, is consistent with the law, and is in the public interest.

2. Cal-Am should improve its relationship with and explanations to its customers.

3. Consolidation of the wastewater general rate case proceeding (A.08-01-023) with the Monterey District water General Rate Case (A.08-01-027) and General Office proceeding (A.08-01-024) should be set aside.

4. The settlement agreement as to wastewater issues should be approved.

5. Cal-Am should be authorized to file revised tariffs reflecting the wastewater rates set forth above.

ORDER

IT IS ORDERED that:

1. The Partial Settlement Agreement between the Division of Ratepayer Advocates and the California-American Water Company on Monterey Water and Wastewater issues, filed November 24, 2008, is approved as to wastewater issues.

2. The following 2009 monthly fixed charges are adopted:

System

Present Rates (monthly fixed charge)

2009 Rates (monthly fixed charge)

White Oaks

$56.57

$48.78

Village Green

$56.57

$48.78

Spreckels

$35.93

$48.78

Oak Hills

$39.93

$48.78

Las Palmas

$56.57

$107.81

Indian Springs

$49.21

$107.81

Carmel Valley

$56.57

$107.81

Pasadera

$56.57

$107.81

3. In determining wastewater revenues, the number of customers for Pasadera shall be 275.

4. Wastewater expenses shall be determined based on the following expenses as set forth in the Settlement Agreement:

6. The settlement agreement as to wastewater issues is binding on the parties.

7. The settlement agreement as to wastewater issues shall be enforceable before this Commission.

8. The consolidation of the wastewater general rate case proceeding (Application (A.) 08-01-023) with the Monterey District water General Rate Case (A.08-01-027) and General Office proceeding (A.08-01-024) is set aside and today's decision shall resolve A.08-01-023 only.

9. The California American Water Company is authorized to file in accordance with General Order 96, and to make effective on not less than five days' notice, the revised tariff schedules for the Monterey Wastewater District that are attached as Appendix C to this order. The revised tariff schedules shall apply to service rendered on and after their effective date.

10. The rate tables attached as Appendix B to today's decision are adopted.

11. California-American Water Company is authorized to file on or after November 15, 2009, in accordance with General Order 96-B, an advice letter, with appropriate supporting workpapers, requesting an escalation adjustment for Monterey Wastewater District rates to be calculated in conformance with the rate case plan adopted by the Commission in Decision 07-05-062.

12. California-American Water Company is authorized to file on or after November 15, 2010, in accordance with General Order 96-B, an advice letter, with appropriate supporting workpapers, requesting an escalation adjustment for Monterey Wastewater District rates to be calculated in conformance with the rate case plan adopted by the Commission in Decision 07-05-062.

13. Application 08-01-023 is closed.

This order is effective today.

Dated July 9, 2009, at San Francisco, California.

D0907022 Appendices A through C to Bushey's Signed Dec

Previous PageTop Of PageGo To First Page