II. Background

This proceeding addresses CWS's general ratesetting requests as set forth in two applications filed with the Commission on October 1, 2003: (a) Application (A.) 03-10-017, South San Francisco District; and (b) A.03-10-032, Bakersfield District. Four other applications for other CWS districts were filed at the same time and initially consolidated with the South San Francisco and Bakersfield applications. Due to an agreement between CWS and the ORA, in order to level the number of pending general rate case proceedings, these four applications were subsequently dismissed in our Interim Decision, (D.) 04-05-060 (May 27, 2004).

The South San Francisco District, with approximately 16,050 connections (2004 est.), is located immediately south of San Francisco. South San Francisco's last general rate increase was authorized by D.01-08-039 in 2001. Advice Letter (AL) 1611 (effective Jan. 14, 2004) governs existing rates. The Bakersfield District, with approximately 60,600 connections (2004 est.), is 115 miles north of Los Angeles at the lower end of California's Central Valley. Bakersfield's last general rate increase also was authorized by D.01-08-039 in 2001. Here, AL 1610 (effective Jan. 14, 2004) governs existing rates.