VII. Categorization and Need for Hearing

In Resolution ALJ 176-3177, dated August 24, 2006, the Commission preliminary categorized this proceeding as ratesetting, and preliminarily determined that hearings were not necessary. This application was noticed in the Commission's August 3, 2006 Daily Calendar. We confirm that public hearing is not necessary and that it is not necessary to alter the preliminary determinations made in Resolution ALJ 176-3177.