ALJ/HSY/avs Mailed 5/4/2006

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

ORDER INSTITUTING RULEMAKING

Introduction

Today's order invites comment on proposed revisions to the Commission's intervenor compensation program. First, we propose rules to (1) codify Commission precedent regarding eligibility and compensable costs, (2) provide intervenors with greater flexibility in filing notices of intent, (3) enact accounting and documentation requirements to facilitate Commission review and determination of eligibility and compensable costs, and (4) adopt a mechanism for providing notices of intent to claim compensation for judicial review costs. These amendments will be codified in our Rules of Practice and Procedure, and today's order begins the notice-and-comment process for that purpose.

Second, we propose to eliminate the intervenor compensation fund adopted in Decision (D.) 00-01-020. We propose instead to allocate intervenor compensation payment responsibility in quasi-legislative rulemakings among all utilities in the affected industry or industries with California jurisdictional revenues over a stated amount ($10 million for water utilities, $50 million for energy and telecommunications utilities).