Findings of Fact

1. Cal-Ore is a public utility subject to the jurisdiction of this Commission.

2. Cal-Ore needs external funds for the purposes set forth on page 7 of this order.

3. The proposed loan is for proper purposes and would not be adverse to the public interest.

4. The Commission does not by this decision determine that the proposed use of the loan proceeds, including the construction budget, the cash requirements forecasts, and the capital structure presented herein are necessary or reasonable for ratemaking purposes.

5. The execution of a Telephone Loan Contract Amendment and supplemental mortgages would not be adverse to the public interest.

6. The County of Siskiyou is the Lead Agency for the proposed project under the CEQA.

7. The County prepared an Initial Study/Mitigated Negative Declaration for the proposed project in March 2002, and filed a Notice of Determination approving the project and adopting mitigation measures on May 27, 2002.

8. The Commission is a Responsible Agency for the proposed project under CEQA.

9. We find that the County adopted feasible mitigation measures to reduce all potential environmental impacts to less than significant levels proper and we adopt the mitigation measures described in the County's mitigation and monitoring program for purposes of our approval.

10. Notice of the Filing of the Application appeared on the Commission's Daily Calendar of January 10, 2002. There is no known opposition and there is no reason to delay granting the authority requested.