III. Comments on the Draft Decision

The draft decision of the ALJ in this matter was mailed to the parties in accordance with § 311(g)(1) of the Public Utilities Code and Rule 77.7 of the Rules of Practice and Procedure. Comments were filed on January 17, 2006 and reply comments were filed on January 23, 2006.

We have taken parties' comments on the Draft Decision into account, as appropriate, in finalizing this decision. Upon review of the comments, we have amended the initial Draft Decision with respect to the disposition of the X/Y billing factor. Although the Draft Decision adopted PG&E's position with respect to the X/Y billing factor, we are now persuaded upon review of comments on the Draft Decision that UC Davis' position is the correct one for reasons discussed above. Therefore, we have amended the Draft Decision on this issue to adopt the UC Davis' position. With respect to the other issues in the Petition, we affirm the holdings originally made in the Draft Decision.