F. CONCLUSION

Based on the above, we find no merit to the arguments raised in CFC's rehearing application. However, we modify D.07-12-006 to clarify the discussion of the ALJ ruling and section 1801.3(a) and also to correct typographical errors. We deny the application for rehearing of D.07-12-006, as modified.

THEREFORE, IT IS ORDERED that:

1. D.07-12-006 is modified for clarification as follows:

a. The second full sentence on page 5 is replaced by two sentences that read as follows:

"Here CFC, the ALJ and other participants failed to consider the application of § 1801.3(a). The ALJ reviewed CFC's eligibility and significant financial hardship showings, largely on the basis of preliminary rulings of eligibility in two prior rulemakings."

b. The third full sentence on page 5 is replaced by two sentences that read as follows:

"Although there is no error in the ALJ's March 7, 2007 ruling on CFC's unopposed NOI, the ruling is moot due to the limitation stated in § 1801.3(a). While we regret that the § 1801.3(a) bar was not identified sooner, the ALJ's ruling included appropriate cautionary language to discourage unreasonable reliance on its findings."

c. The first sentence in the last paragraph on page 6 is modified to read as follows:

"Since § 1801.3(a) requires us to deny CFC's request, we need not consider the merits of its claimed substantial contribution to D.07-05-061."

2. D.07-12-006 is modified to correct typographical errors as follows:

a. In the second sentence in the third full paragraph on page 7, the citation Section 1801.3(c) is modified to read as follows:

"Section 1801.3(a)"

b. In the sixth sentence in the third full paragraph on page 7, the citation § 1801.3(c) is modified to read as follows:

"§ 1801.3(a)"

c. In Conclusion of Law number 1 on page 8 the citation "Section 1801.3(c)" is modified to read as follows:

"Section 1801.3(a)"

3. Rehearing of D.07-12-006, as modified, is denied.

This order is effective today.

Dated November 21, 2008, at San Francisco, California.

MICHAEL R. PEEVEY

President

DIAN M. GRUENEICH

JOHN A. BOHN

RACHELLE B. CHONG

TIMOTHY A. SIMON

Commissioners