Discussion

Pub. Util. Code §§ 851-854 require Commission authorization before a company may "merge, acquire, or control . . . any public utility organized and doing business in this state . . . ." The purpose of these sections is to enable the Commission to review the situation, before any transfer of public utility property is consummated, and to take such action, as a condition of the transfer, as the public interest may require. (San Jose Water Co., (1916) 10 CRC 56.)

This proposed transfer will not affect SDWC's certificate of public convenience and necessity (CPCN). Management of SVMO under SDWC will remain the same.

An approval of change of ownership does not have to be granted by the Department of Public Health (DPH). The DPH permit was issued to SVMO which will continue to operate the utility.

We will grant Applicants' request for a waiver of Rule 16(a) for SDWC, as Applicants agree to waive any objection to Commission jurisdiction on the basis that it is not qualified to transact business in California.

There have been no protests to this application, and the contemplated transfer of control appears to be noncontroversial. The application requests expedited approval of the application.

The application is granted, subject to the terms and conditions set forth below.