ALJ/JET/sid Mailed 5/28/2004

Decision 04-05-060 May 27, 2004

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its South San Francisco District.

Application 03-10-017

(Filed October 1, 2003)

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Stockton District.

Application 03-10-018

(Filed October 1, 2003)

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Mid-Peninsula District.

Application 03-10-019

(Filed October 1, 2003)

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Salinas District.

Application 03-10-020

(Filed October 1, 2003)

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Bakersfield District.

Application 03-10-021

(Filed October 1, 2003)

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Salinas District (excluding the service areas of the County Meadows Mutual Water System and the Indian Springs Mutual Water System).

Application 03-10-031

(Filed October 1, 2003)

Bingham, McCutchen, LLP, by Gregory Bowling,

Attorney at Law, and Thomas F. Smegal, for
California Water Service Company.

Natalie D. Wales, Attorney at Law, for the Office

of Ratepayer Advocates.

PROPOSED INTERIM DECISION CONCERNING

WATER QUALITY (TCPA) ISSUES AND

DISMISSAL OF CERTAIN APPLICATIONS

PROPOSED INTERIM DECISION CONCERNING

WATER QUALITY (TCPA) ISSUES AND

DISMISSAL OF CERTAIN APPLICATIONS

Summary

This interim proposed decision is entered in a general ratesetting proceeding originally involving five districts of the California Water Service Company (CWS). Water quality testing in some company wells indicated that 1,2,3-Trichloropropane (TCPA), reasonably anticipated to be a human carcinogen, was present at levels exceeding the California Department of Health Service's (DHS) Action Level for this contaminant. An expedited evidentiary hearing was held before the Administrative Law Judge (ALJ) to obtain more complete information about the presence of this substance, particularly in the three districts for which CWS seeks to dismiss its applications. In this decision, we determine that no TCPA has been found in the wells of the Salinas, Stockton, and Mid-Peninsula districts; the applications for these districts may be dismissed. We also determine that the presence of TCPA in certain Bakersfield District and South San Francisco District wells does not pose a significant health risk to people ingesting, on a daily basis, the water produced from those wells. On a related matter, we authorize CWS to establish memoranda accounts to record capital expenses being incurred in the Salinas and Stockton districts for other water quality purposes.

Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its South San Francisco District.	Application 03-10-017 (Filed October 1, 2003)
Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Stockton District.	Application 03-10-018 (Filed October 1, 2003)
Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Mid-Peninsula District.	Application 03-10-019 (Filed October 1, 2003)
Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Salinas District.	Application 03-10-020 (Filed October 1, 2003)
Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Bakersfield District.	Application 03-10-021 (Filed October 1, 2003)
Application of California Water Service Company (U 60 W) for an Order Authorizing it to Increase Rates for Water Service in its Salinas District (excluding the service areas of the County Meadows Mutual Water System and the Indian Springs Mutual Water System).	Application 03-10-031 (Filed October 1, 2003)