COM/CXW/ckp DRAFT H-2a

9/21/2000

Decision PROPOSED ALTERNATE DECISION OF COMR. WOOD

(Mailed 9/7/00)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

In the Matter of the Application of Southern California Water Company (U 133 W) for a Certificate of Public Convenience and Necessity pursuant to California Public Utilities Code Section 1001 to extend its West Orange County System to the Bolsa Chica Planned Community.	Application 98-11-003 (Filed November 5, 1998)
In the Matter of the Application of Southern California Water Company (U 133 W) for a Certificate of Public Convenience and Necessity pursuant to California Public Utilities Code Section 1001 to Operate and Maintain a Wastewater System to Provide Service to the Bolsa Chica Planned Community.	Application 98-11-015 (Filed November 10, 1998)

Patricia A. Schmiege, Attorney at Law, of O'Melveny & Myers, LLP, and Susan L. Conway, for Southern California Water Company, applicant.

James Squeri, Attorney at Law, of Goodin, MacBride, Squeri, Ritchie & Day, and Russell G. Behrens, Attorney at Law, of McCormick, Kidman & Behrens, for Hearthside Homes, Inc., interested party.

Ronald A. Van Blarcom and David H. Mann, Attorneys at Law, of Van Blarcom, Liebold, McClendon & Mann, for the City of Huntington Beach, and Donald Horgan, Attorney at Law, of the Law Offices of Dennis P. Riordan, and Alys E. Masek, Attorney at Law, for Bolsa Chica Land Trust, protestants

Peter G. Fairchild, Attorney at Law, for the Ratepayer Representation Branch of the Water Division.

TABLE OF CONTENTS

TITLE PAGE

OPINION 2

1. Summary 2

2. Statement of Facts 2

2.1. The Applicant 2

2.2. The Applications 3

2.2.1. A.99-11-003 3

2.2.2. A.99-11-015 3

2.3. The Protests 4

3. Background History 4

4. Rule 6.1 Aspects 13

5. Procedural History 13

5.1. The February 25, 1999 Prehearing Conference (PHC) 13

5.2. The Resulting Scoping Memo 15

5.3. The April 22, 1999 2^nd PHC 16

5.4. The August 23, 1999 EH 17

5.5. Briefing 18

5.6. Oral Argument 18

6. The Environmental Review Process 18

7. Discussion 22

7.1. Project Considerations 22

7.2. Environmental Considerations 30

7.2.1. Draft SEIR 30

7.2.1.1. Public Comments and Input 30

7.2.2. Final SEIR 30

7.2.2.1. Alternatives Screening Process 30

7.2.2.2. Alternatives Eliminated from Full Consideration 31

7.2.2.3. Alternatives Evaluated in the SEIR 31

7.2.2.4. Environmentally Superior Alternative 32

7.2.3. Environmental Analysis of the Proposed Project 33

7.2.4. Adequacy and Certification of the Final SEIR 34

7.2.4.1. Adequacy of the Final SEIR 34

7.2.4.2. Certification of the Final EIR 34

Findings of Fact 35

Conclusions of Law 38

ORDER 40

Appendix A - Final Supplemental Environmental Impact Report

Appendix B - General Metered Sewer Tariff

OPINION

1. Summary

This decision denies Application (A.) 98-11-003 and A.98-11-015 of Southern California Water Company (SCWC) for Certificates of Public Convenience and Necessity (CPCNs): (1) to extend SCWC's West Orange System from the City of Cypress via a 6.7-mile, 18-inch pipeline to be constructed through intervening cities of Seal Beach, Westminster, and Huntington Beach in public rights of way, and traversing through portions of unincorporated Orange County and rights of way under the jurisdiction of the California Department of Transportation, the Orange County Flood Control District, and the Armed Forces Reserve Center in the City of Los Alamitos, to serve a residential development to be constructed by Hearthside Homes (Developer) in unincorporated territory known as the Bolsa Chica Mesa (Mesa); and (2) to operate, manage, and control a wastewater collection system in the same residential development. Commission staff and their consultant prepared a Final Supplemental Environmental Impact Report studying SCWC's proposed project, and this decision certifies that document.