2. Proposed Transaction

Bidwell serves some 520 connections in the unincorporated community of Greenville in Plumas County. The water system includes the Round Valley Lake Reservoir, with pipelines taking water from North Canyon Creek by gravity to a sand filtration plant. Adjacent to the filtration plant is a 700,000-gallon steel reservoir, which provides system fire flow, chlorine contact and peak day demands for the domestic water system. There are approximately 76,000 feet of steel, plastic and asbestos cement pipeline in the delivery system. The company is jointly owned by Thomas J. Jernigan and Vicky K. Jernigan.

The District is a public entity organized and existing under the Community Services District Law, Gov. Code §§ 61000, et seq.

Under a contract of sale attached to the amended application, Bidwell would convey to the District all of its real property, water rights, easements, personal property, and all other assets of the water company. The District would pay the owners of Bidwell $230,000 and would assume liability for a promissory note to the Department of Water Resources in the amount of $512,285 and a Cal Trans loan in the amount of $9,800.