June 29, 2011 TO THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

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1 June 29, 2011 Advice Letter 403-A U337W TO THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA San Gabriel Valley Water Company ("San Gabriel") hereby requests ministerial review of the following changes in tariff sheets applicable to its Los Angeles County division: Canceling CPUC Schedule CPUC Sheet No. Title No. Sheet No W General Meter Service 2043-W General Meter Service (cont'd) 2044-W General Meter Service Conservation Rates 2045-W Private Fire Service 2046-W Recycled Water Metered Service 2047-W Recycled Water Metered Service (cont'd) 2048-W Construction and Tank Truck Service 2049-W Service to Tract Houses During Construction 2050-W California Alternative Rates for Water 2051-W Preliminary Statement (cont'd) 2052-W Table of Contents (cont'd) 2053-W Table of Contents LA W LA W LA-1C 2035-W LA W LA W LA W LA-9C 1976-W LA-9CL 1977-W LA-CARW 2009-W N/A N/A N/A 2040-W N/A 2041-W An original and four copies of this advice letter are submitted in compliance with General Order 96-B. This is designated as a Tier 1 advice letter, with a requested July 1, 2011 effective date. Subject This supplemental filing is being made to modify Advice Letter No. 403 to include currently authorized rates. This supplemental filing will replace Advice Letter No. 403 in its entirety. Purpose San Gabriel is seeking to designate its currently authorized rates as interim rates effective July 1, 2011 and requesting authorization to modify its Preliminary Statement to reflect

2 June 29, 2011 Page No. 2 the establishment and implementation of the Interim Rates Memorandum Account (IRMA). Interim rates were authorized by Administrative Law Judge's Ruling Granting Interim Rates in A , dated June 24, 2011, and Public Utilities Code The interim rates will be subject to refund and adjusted upward or downward, consistent with the final rates adopted by the Commission in the pending general rate case. The purpose of the IRMA is to track the difference between revenues billed under the interim rates and the revenues that would have been billed had the rates adopted by the Commission in A become effective July 1, Discussion On July 16, 2010, San Gabriel filed General Rate Case Application No for its Los Angeles County division. On May 27, 2011, San Gabriel filed a motion for interim rate relief, followed by an amended motion for interim rate relief on May 31,2011, because a decision could not be issued in time to become effective on July 1,2011. Public Utilities Code provides for interim rate relief when the final decision on the general rate case application will not become effective on the first day of the test year in the application, assuming certain conditions have been met: (a) The commission shall issue its final decision on a general rate case application of a water corporation with greater than 10,000 service connections in a manner that ensures that the commission's decision becomes effective on the firstday of the first test year in the general rate increase application, (b) If the commission's decision is not effective in accordance with subdivision (a), the applicant may file a tariff implementing interim rates that may be increased by an amount equal to the rate of inflation as compared to existing rates. The interim rates shall be effective on the first day of the first test year in the general rate case application. These interim rates shall be subject to refund and shall be adjusted upward or downward back to the interim rate effective date, consistent with the final rates adopted by the commission. The commission may authorize a lesser increase in interim rates if the commission finds the rates to be in the public interest. Ifthe presiding officer in the case determines that the commission's decision cannot become effective on the first day of the first test year due to actions by the water corporation, the presiding officer or commission may require a different effective date for the interim rates or final rates. The first day of the test year for San Gabriel's Application is July 1,2011. On June

3 June 29, 2011 Page No. 3 24, 2011, Administrative Law Judge (ALJ) Hecht issued a Ruling granting interim rates. In her Ruling ALJ Hecht ordered: 1. San Gabriel Valley Water Company shall file a Tier 1 Advice Letter with the Commission within five days, implementing interim rates for its Los Angeles District. 2. The interim rates shall be the currently authorized rates. 3. In the advice letter, San Gabriel Valley Water Company shall request authorization to establish a memorandum account as specified in Decision , to track the difference between the interim rates and the final rates adopted by the Commission in this proceeding. The present rates in the Los Angeles County division became effective on June 9, 2011 by Advice Letter No Request San Gabriel is implementing interim rates designated as its currently authorized rates and requests authorization to establish an IRMA to track the difference between the interim rates and the final rates adopted by the Commission in this proceeding. As stated in ALJ Hecht's ruling "[t]he interim rate relief is based on the existing rate levels and will be subject to refund and adjusted upward or downward, consistent with the final rates adopted by the Commission in the pending general rate case." Protest and Responses Anyone may respond to or protest this advice letter. A response supports the filing and may contain information that proves useful to the Commission in evaluating the advice letter. A protest objects to the advice letter in whole or in part and must set forth the specific grounds on which it is based. These grounds are: (1) San Gabriel did not properly serve or give notice of the advice letter; (2) The relief requested in the advice letter would violate statute or Commission order, or is not authorized by statute or Commission order on which San Gabriel relies; (3) The analysis, calculations, or data in the advice letter contain material error or omissions; (4) The relief requested in the advice letter is pending before the Commission in a formal proceeding; (5) The relief requested in the advice letter requires consideration in a formal hearing, or is otherwise inappropriate for the advice letter process; or

4 June 29, 2011 Page No. 4 (6) The relief requested in the advice letter is unjust, unreasonable, or discriminatory, provided that such a protest may not be made where it would require relitigating a prior order of the Commission. A response or protest must be made in writing or by electronic mail and must be received by the Division of Water and Audits within 20 days of the date this advice letter is filed. The address for mailing or delivering a response or protest is: Tariff Unit, Division of Water and Audits, 3rd floor California Public Utilities Commission, 505 Van Ness Avenue, San Francisco, CA water_division@cpuc.ca.gov On the same date the response or protest is submitted to the Division of Water and Audits, the respondent or protestant shall send a copy of the protest by mail to San Gabriel addressed as follows: San Gabriel Valley Water Company Director, Rates and Revenue Garvey Avenue El Monte, CA FAX: (626) or dadellosa(a)sqvwater.com The advice letter process does not provide for any responses, protests or comments, except for San Gabriel's reply, after the 20-day comment period. Replies: San Gabriel will reply to each protest and may reply to any response. Each reply must be received by the Division of Water and Audits within 5 business days after the end of the protest period, and shall be served on the same day to the person who filed the protest or response. If you have not received a reply to your protest within 10 business days, contact me at (626) San Gabriel Valley Water Company Daniel A. DelPOsa Director of Rates and Revenue cc: Bruce DeBerry, CPUC - Division of Water and Audits

5 June 29, 2011 Page No. 5 Hani Moussa, CPUC - Water Branch, DRA Danilo Sanchez, CPUC - Water Branch, DRA

6 2042-W 1970-W SCHEDULE NO. LA-1 Los Angeles County Tariff Area GENERAL METERED SERVICE APPLICABILITY Applicable to all metered water service, except for those Residential customers required to be served under Schedule LA-1C. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindalc, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Quantity Rates: For all water delivered, per 100 cu. ft $ Service Charge: Per Meter Per Month For 5/8 x 3/4-inch meter S For 3/4-inch meter For 1-inch meter For 1-1/2-inch meter For 2-inch meter For 3-inch meter For 4-inch meter For 6-inch meter For 8-inch meter 1, For 10-inch meter 2, For 12-inch meter 3, For 14-inch meter 4, (To be inserted by utility) Advice letter No. 403-A TITLE (To be insertedby Cal. P.U.C)

7 2043-W 2034-W SCHEDULE NO. LA-1 Los Angeles County Tariff Area GENERAL METERED SERVICE RATES Per Batter)' Per Month For two 2-inch meters S For three 2-inch meters For four 2-inch meters For two 3-inch meters For three 3-inch meters For two 4-inch meters For three 4-inch meters 1, For one 8-inch meter, one 2-inch meter 1, The Service Charge is a readiness-to-scrve charge which is applicable to all metered service and to which is added the charge for waterused computed at the Quantity Rates. SPECIAL CONDITIONS 1. All bills are subject to the reimbursement fee set forth on Schedule No. AA-UF. 2. A reserve accountsurcreditof S per Ccfisto be applied to the quantity rates for a 12- month period beginning August 18, 2010 and ending on August 17, All bills are subject to a one-time surcharge of SO.15 per customer. This charge offsets the intervenor compensation expenses incurred under Public Utilities Code (To be inserted by utility) TITLE (To be inserted by Cal. P.U.C)

8 2044-W 2035-W SCHEDULE NO. LA-1C Los Angeles County Tariff Area GENERAL METERED SERVICE - CONSERVATION RATES APPLICABILITY Applicable to all metered Residential customers, excluding apartments, trailer parks, and any other facility in which Residential customers receive service through a master meter. TERRITORY Portions ofarcadia, Baldwin Park, El Monte, City ofindustry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Quantity Rates: For the first 13 Ccfofwater used, per 100 cu. ft S For all Ccfgreater than 13 Ccf, per 100Cu. Ft S Per Meter Per Month Service Charges: For 5/8 x 3/4-inch meter S For 3/4-inch meter For 1-inch meter For 1-1/2-inch meter For 2-inch meter For 3-inch meter SPECIAL CONDITIONS 1. All bills are subject to the reimbursement fee set forth on Schedule No. AA-UF. 2. A reserve account surcredit of SO.0180 per Ccfis to be applied to the quantity rates for a 12-month period beginning August 18, 2010 and ending on August 17, All bills are subject to a one-time surcharge of $0.15 per customer. This charge offsets the intervenor compensation expenses incurred under Public Utilities Code (lo be inserted by utility) TITUE (To be inserted by Cal. I'.U.U)

9 2045-W 1973-W SCHEDULE NO. LA-4 Los Angeles County Division PRIVATE FIRE SERVICE APPLICABILITY Applicable to water service furnished to private fire systems and to private fire hydrants. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATE Per Service Per Month For each inch ofdiameter ofservice connection S SPECIAL CONDITIONS 1. The customer will pay, without refund, the entire cost of the private fire service facilities. 2. The private fire service facilities shall be installed by the utility or under the utility's direction and shall be the sole property and subject to the control of the utility, with the right to alter, repair, replace and the right to remove upon discontinuance of service. 3. The minimum diameter for the private fire service connection will be 4 inches. The maximum diameter shall not be larger than the diameter ofthe water main to which the private fire service facilities are attached unless said main is circulating, in which case with the approval of the utility the maximum diameter may be larger by not more than 2 inches than the diameter ofsaid circulating main. 4. If a water main ofadequate size is not available adjacent to the premises to be served, then a new main from the nearest existing main of adequate size will be installed by the utility at the cost ofthe customer. Such cost shall not be subject to refund. 5. The private fire service facilities will include a detector check valve or other similar device acceptable to the utility which will indicate the use of water. The facilities may be located within the customer's premises or within public right of way adjacent thereto. Where located within the premises, the utility and its duly authorized agents shall have the right of ingress to and egress from the premises for all purposes related to said facilities. In the event the installation is solely a private fire hydrant facility, the requirement for a detector check valve or other similar device may be waived. (To be inserted by utility) TITLE (To be inserted by Cal. P.U.C)

10 2046-W 1974-W SCHEDULE NO. LA-6 Los Angeles County Tariff Area RECYCLED WATER METERED SERVICE APPLICABILITY Applicable to all recycled water metered service. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Quantity Rates: For all water delivered per 100 cu. ft S Service Charge: Per Meter Per Month For 5/8 x 3/4-inch meter S For 3/4-inch meter For 1-inch meter For 1-1/2-inch meter For 2-inch meter For 3-inch meter For 4-inch meter For 6-inch meter For 8-inch meter 1, For 10-inch meter 2, For 12-inch meter 3, For 14-inch meter 4, (To be insetted by utility) TITLE (To be insertedby Cal. P.U.C.)

11 2047-W 1975-W SCHEDULE NO. LA-6 Los Angeles County Tariff Area RECYCLED WATER METERED SERVICE RATES - Per Battery Per Month For two 2-inch meters $ For three 2-inch meters For four 2-inch meters For two 3-inch meters For three 3-inch meters For two 4-inch meters For three 4-inch meters 1, For one 8-inch meter, one 2-inch meter 1, The Service Charge is a readiness-to-serve charge which is applicable to all metered service and to which is added the charge for reclaimed water used computed at the Quantity Rates. SPECIAL CONDITIONS 1. The Quantity Rate is set at 85% of the Quantity Rate of Schedule No. LA The customer is responsible for compliance with all local, state, and federal rules and regulations that apply to the use of reclaimed water on the customer's premises. 3. The utility will supply only such reclaimed water at such pressure as may be available from time to time from the reclaimed water system. The customer shall indemnify the utility and save it harmless against any and all claims arising out ofservice under this schedule and shall further agree to make no claims against the utility for any loss or damage resulting from service under this schedule. 4. All bills are subject to the reimbursement fee set forth on Schedule No. AA-UF. (To be insertedby utility) (To lieinserted by Cal. P.U.C.)

12 2048-W 1976-W SCHEDULE NO. LA-9C Los Angeles County Division CONSTRUCTION AND TANK TRUCK SERVICE APPLICABILITY Applicable to temporary water service furnished for construction purposes and for water delivered to tank trucks from fire hydrants or other outlets. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Unit Rates For sidewalk construction, per 100 sq. ft $0,820 For street curb construction, per 100 lineal ft $1,608 For trench settling, per lineal foot of section of trench 2 feet by 4 feet $0,059 For sprinkling subgrade ofstreet and roadway construction in application of oil or any form of patentedoil paving or surfacing, or for rolling and settling subgrade, per 3,000 square feet of roadway $11.25 For compaction offill, per cubic yard of fill material $0,097 For water delivered to tank wagon or truck, per 100 gallons $0,256 Minimum Charge PerMonth For any service rendered under this schedule $42.93 SPECIAL CONDITIONS 1. An applicant wishing to obtain water deliveries under this schedule must first obtain a written permit from the utility. 2. Where water is to be obtained from public fire hydrants, a permit must be obtained from the fire protection district or other public agency having jurisdiction. 3. For other temporary uses the quantity of water used shall be estimated or metered by the utility. Charges for such water shall be at the quantity rate for General Metered Service applicable to the tariff area within which the water is delivered. 4. An applicant for service under this schedule must pay the utility' in advance the net cost of installing and removing any facilities necessary to provide such service. (To be insertedby utility) Tine (To be insertedby Cal. P.U.C.)

13 2049-VV 1977-W SCHEDULE NO. LA-9CL Los Angeles County Division SERVICE TO TRACT HOUSES DURING CONSTRUCTION APPLICABILITY Applicable to water service for house construction where houses arc being constructed as part ofa real estate development. TERRITORY Los Angeles County Division, Los Angeles County RATES For each lot for the construction period $14.88 SPECIAL CONDITIONS 1. This service is available only to real estate developers or builders who make application prior to installation of mains and services and who undertake the construciton of houses as part of the development. At its option the utility may provide the service if application is made after mains and services have been installed. 2. Water service under this tariff schedule is only to be used for house construction. It does not include water use for landscaping or other tract improvement work. 3. When each house passes final inspection water service under this schedule will be terminated. 4. All bills are subject to the reimbursement fee set forth on Schedule No. AA-UF. (To be insertedby utility) TITIF (To be inserted by Cal. P.U.C.)

14 2050-VV 2009-W SCHEDULE NO. LA-CARW Los Angeles County Tariff Area CALIFORNIA ALTERNATIVE RATES FOR WATER APPLICABILITY Applicable to residential domestic service to CARW households with a 1-inch or smaller meter, where the customer meets all the Special Conditions of this rate schedule. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Per Meter Per Month Quantity Rates (General): For all water used, per 100 cu. ft $ Quantity Rates (Conservation): For the first 13 Ccfused, 100 cu. ft $ For all Ccfgreater than 13 Ccfper month, per 100 cu. ft $ Service Charges: For 5/8 x 3/4-inch meter $9.95 For 3/4-inch meter For 1-inch meter SPECIAL CONDITIONS 1. CARW Household: A CARW Household is a household where the total gross income from all sources is less than shownon the table belowbasedon the number of persons in the household. Total gross income shall include income from all sources, both taxable and non-taxable. Persons who are claimed as dependent on another person's income tax return are not eligible for this program. No. of Persons Total Gross In Household Annual Income lor 2 $31,800 3 S37,400 4 $45,100 5 $52,800 6 $60,500 (lo be inserted by utility) TITLE (To be inserted by Cal. I'.U.C.;

15 Original 2051-W PRELIMINARY STATEMENT (Continued) L. Interim Rates Memorandum Account ("IRMA") For Los Angeles County Division 1. Purpose: The purpose of this memorandum account is to track the difference between the revenues billed under the interim rates and revenues that would have been billed under the rates adopted by the Commission in A The interim rates shall be the currently authorized rates. 3. The effective date is July 1, After the Commission issues a final decision in A , San Gabriel will request by advice letter the amortization ofthe balance recorded in the IRMA. 5. The memorandum account will terminate when so ordered in a CPUC general rate case decision, at which time any remaining debit (undercollection) or credit (overcollection) balance will be amortized through a rate surcharge or surcredit. (To be inserted by utility) (To be insertedby Cal. l'.u.c.)

16 2052-W 2040-W TABLE OF CONTENTS Subject Matter ofsheet Schedule Number C.P.U.C. Sheet No. Rate Schedules Los Angeles County Division General Metered Service - General General Metered Service - Conservation Private Fire Service Recycled Water Metered Service Construction and Tank Truck Service Service to Tract Houses During Construction California Alternative Rates for Water LA W 2043-W (Q LA-1C 2044-W (Q LA W 1089-W 1507-W (Q LA W 2047-W (Q LA-9C 2048-W 1521-W (Q LA-9CL 2049-W (Q LA-CARW 2050-W 2036-W (Q (To be inserted by utility) (To be insertedby Cal. P.U.C)

17 2053-W 2041-W TABLE OF CONTENTS The following listed tariff sheets contain all effective rates and rules affecting the rates and services ofthe utility, together with information relating thereto: Subject Matter ofsheet C.P.U.C. Sheet No. Title Page 1559-W Table ofcontents 2053-W 2014-W (Q 2052-W 1563-W (C) 1637-W 2029-W Preliminary Statement 634-W 390-W, 1979-W, 2024-W, 1901-W, 2025-W, 1980-W, 2051-W Service Area Maps: Fontana Water Company 1533-W Los Angeles County Division Service Area - East Portion 1183-W AreaMaps of Less Than 40 p.s.i.g. - South Portion 869-W - West Portion 1171-W 871-W 691-W to 697-W (C) Rate Schedules Schedule Number All TariffAreas Surcharge to Fund Public Utilities Commission Reimbursement Fee AA-UF 1807-W Fontana Water Company General Metered Service - General FO W 2037-W General Metered Service - Conservation FO-1C 2038-W Private Fire Service FO W 1087-W 1476-W Construction and Tank Truck Service FO-9C 2021-W 1516-W Service to Tract Houses During Construction FO-9CL 2022-W California Alternative Rates For Water FO-CARW 2011-W 2039-W Facilities Fees FO-FF 1875-W 1876-W (To be inserted by utility) (To be inserted byoil. P.U.C.)

18 DISTRIBUTION LIST San Gabriel Valley Water Company Los Angeles County Division City of Arcadia 240 West Huntington Drive Arcadia, CA City Clerk, City of Baldwin Park East Pacific Avenue Baldwin Park, CA California-American Water Company 1033 B Ave. Suite 200 Coronado, CA City of El Monte Water Department Valley Boulevard El Monte, CA City of Industry Waterworks System Post Office Box 3136 La Puente, CA City Clerk, City of Irwindale 5050 North Irwindale Avenue Irwindale, CA City Clerk, City of La Puente East Main Street La Puente, CA La Puente Valley County Water District 112 North 1st Street La Puente, CA City of Montebello Water Department 1600 West Beverly Boulevard Montebello, CA City of Monterey Park Water Department 320 West Newmark Avenue Monterey Park, CA City of Pico Rivera Water Department 6615 Passons Boulevard Pico Rivera, CA City Clerk, City of Rosemead 8838 Valley Boulevard Rosemead, CA City Clerk, City of San Gabriel 425 South Mission Drive San Gabriel, CA San Gabriel County Water District 8366 East Grand Avenue Rosemead, CA City of Santa Fe Springs Water Department Post Office Box 2120 Santa Fe Springs, CA City Clerk, City of South El Monte 1415 Santa Anita Avenue South El Monte, CA Golden State Water Company Attn: Ronald Moore, Regulatory Affairs 630 East Foothill Boulevard SanDimas, CA Suburban Water Systems Attn: Bob Kelly 1211 East Center Court Drive Covina, CA Valley County Water District East Ramona Boulevard Baldwin Park, CA City of Whittier Water Department East Penn Street Whittier, CA California Public Utilities Commission Division of Ratepayer Advocates 505 Van Ness Avenue San Francisco, CA Pico Water District Post Office Box 758 Pico Rivera, CA

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