XII. Comments on Proposed Decision

The proposed decision of the ALJ in this matter was mailed to the parties in accordance with Pub. Util. Code § 311(d) and Rule 77.1 of the Rules of Practice and Procedure. Comments were filed on April 7, 2004, and reply comments were filed on April 12, 2004, by City, ORA, San Gabriel, and School District. We have reviewed the comments and based on the comments of City and School District, we have modified the ALJ's proposed decision to: (1) remove $2.6 million from ratebase related to the F-10 Treatment Plant for which San Gabriel received compensation from the County of San Bernardino; (2) require the Commission's Water Division to audit the sale and condemnation proceeds received by San Gabriel from 1996 onwards; and, (3) require San Gabriel to provide a Water Management/ Engineering Report with its next NOI filing for Fontana Division, to support its request for major plant additions in its next GRC. Also, we have provided clarification and made corrections where necessary