XI. Proposed Findings of Fact

1. CPA is a set rate.

2. A utility's CPA is calculated by dividing CPA-generated revenues by the company's total kWh sales.

3. Franchise fees, uncollectibles, direct access credits, restructuring implementation costs, employee-related transition costs, losses on sale and QF shareholder incentives, rate reduction bond revenues, nuclear incentive amounts, customer service and informational expenses and administrative and general (A&G) costs should be excluded from utility costs for the purpose of calculating the sum of the costs of the utility's own generation, qualifying facility contracts, existing bilateral contracts, and ancillary services pursuant to Pub. Util. Code Section 360.5.

4. The cost figures the utilities included in their workpapers are useful for the sole purpose of calculating CPA to permit DWR to determine the maximum amount of bonds it may issue.

5. Determination of both the CPA and the annual revenues produced by the CPA are key steps in determining the maximum amount of bonds that may be issued.