Re: Draft Comments on DWR Letter

Jeanne,

Looks great. I don't have any changes.

I like your characterization of the "bond cap" issue Pat and I mentioned this
morning. My bet is that, ultimately, this will drive the CPUC to increase
the CPA. Once the legislators figure out that the general fund will not be
fully reimbursed if the bond issue is less than $10 billion, they will put
pressure on the CPUC to make sure the CPA is as large as possible.

Steve

JBennett <JBennett@GMSSR.com< on 03/21/2001 11:26:22 AM
To: Christopher.F.Calger@enron.com, Jeff.Dasovich@enron.com,
pgboylston@stoel.com, Elizabeth.Sager@enron.com, Steve.C.Hall@enron.com,
Christian.Yoder@enron.com
cc: Mollie.Gustafson@enron.com, Brenda.Whitehead@enron.com

Subject: Draft Comments on DWR Letter

Attached, per our conference call of earlier this morning, are short and
sweet comments on the March 14, 2001 letter of DWR re CPA implementation.
Please provide any comments/questions to me as soon as possible.

<<X22873.DOC<<

Jeanne Bennett

- X22873.DOC