Report 2018-118 Recommendation 4 Responses

Report 2018-118: California Public Utilities Commission: It Could Improve the Transparency of Water Rate Increases by Disclosing Its Review Process and Ensuring That Utilities Notify Customers as Required (Release Date: December 2018)

Recommendation #4 To: Public Utilities Commission

To ensure that it informs customers that they have an opportunity to provide their input regarding general rate cases, by May 2019 the CPUC should implement a process to verify and maintain records that demonstrate that water utilities are submitting notifications to their customers of Public participation hearings in accordance with the time frames set out in regulations, any additional notification requirements the ALJs may impose, and any general rate case application filings in accordance with the time frames set out in regulations.To the extent that it identifies noncompliance with notification requirements, the CPUC should evaluate whether to impose a fine on the water utility.

6-Month Agency Response

ALJ Division management has created a worksheet, which is saved on a shared drive to be used by rank and file ALJs to confirm compliance with notice requirements. An email was sent to rank and file ALJs which included the link to the worksheet, and reminder that compliance filings must be checked to ensure compliance with regulations. The water utility notification is being kept as part of the proceeding record filed electronically with the Commission's Docket office, and in conjunction with the worksheet demonstrate that the CSA recommendation has been fully implemented.

Attached for reference are; copy of the blank worksheet and a sample of a completed worksheet.

California State Auditor's Assessment of 6-Month Status: Fully Implemented

60-Day Agency Response

Pursuant to Rule 13.1 of the Rules of Practice and Procedure, all public utilities, including water utilities, must give notice of hearing not less than five days nor more than 30 days before the date of the hearing to entities or persons who may be affected by posting notice in public notice in a newspaper of the time, date, and place of hearing. Proof of publication and sample copies of the notices are filed with the Commission and publicly accessible on the website. The ALJs review the compliance filing as part of proceeding management, and will evaluate imposition of fines if there is non-compliance

California State Auditor's Assessment of 60-Day Status: Pending

Until the CPUC can demonstrate that it has implemented a process to verify and maintain records that demonstrate water utilities are submitting notifications to their customers as required, we will continue to report this recommendation as not fully implemented.

All Recommendations in 2018-118

Agency responses received are posted verbatim.