BEFORE THE PUBLIC UTILITIES COMMISSION

OF THE STATE OF CALIFORNIA

 

 

Application of Southern California Gas Company for authority to update its gas revenue requirement and base rates effective January 1, 2008 (U-904-G).

 

Application 06-12-010

 

 

 

 

SETTLEMENT AGREEMENT

REGARDING LOCAL 483 ISSUES

 

 

I.  INTRODUCTION

                Pursuant to the California Public Utilities Commission’s Rules of Practice and Procedure, Article 12, Rule 12.1 et seq., Southern California Gas Company (SoCalGas) and Union Local 483 enter into this settlement agreement regarding Gas Transmission and Underground Storage issues as herein described.

 

II.  SETTLEMENT AGREEMENT PROVISIONS

  1. This Settlement Agreement is premised on Commission approval of all provisions stated herein.  If the Commission does not approve the Settlement Agreement in its entirety, the Parties agree to continue good faith efforts to negotiate mutually acceptable outcomes of all issues covered by this Settlement Agreement.  If the Parties fail to agree, through good faith efforts, on mutually acceptable outcomes for all issues covered by this Settlement Agreement, then this Settlement Agreement shall not be binding upon the Parties.  The Parties' agreement to the settlement memorialized in this Settlement Agreement does not in any way affect or prejudice the position of any Party with respect to issues to be addressed in the captioned proceeding (GRC)  other than as set forth herein.
  2. The Parties agree to a good faith effort to study the creation of a Senior Cathodic Protection Specialist position in Gas Transmission.
  3. The Parties agree to undertake a good faith effort to review job duties for Instrument Specialists at the four storage fields and to upgrade these positions to Senior Instrument Specialists if that action is appropriate.
  4. The parties agree to fill open Operation's jobs in Transmission and Storage with Station Technicians.  Station Operations Specialist (SOS) positions will be filled by promotion from Station Technicians unless there is a qualified parallel bidder for SOS positions (or someone who has performed the SOS job in the last 5 years).
  5. The parties agree to add four Station Technicians at the storage fields, the exact location contingent on work analysis.  However, the parties agree that the additional Station Technician positions will not be concentrated at the Aliso storage facility.
  6. The parties agree to add four Pipeline Technicians to the Gas Transmission workforce contingent upon the CPUC adopting the O&M increase requested for Gas Transmission in the GRC.
  7. Should the CPUC, pursuant to a litigated outcome, adopt an amount that is lower than the Gas Transmission request, the parties agree that for each $100,000 in total Gas Transmission O&M reduction from the SoCalGas request, one Pipeline Technician will not be added.  The parties agree that the term “total Gas Transmission O&M request” equals the position of SoCalGas as of the end of GRC hearings in the Gas Transmission nonshared service FERC accounts and shared service cost centers listed in Attachment 1 to this agreement. 
  8. The parties agree that should the CPUC adopt a SoCalGas settlement in the GRC that voluntary reduces the total Gas Transmission O&M request, the four Pipeline Technician positions will be added with no pro rata reduction.
  9. The parties agree that the Station Technician positions referenced in Paragraph 4 of this agreement and the Pipeline Technicians referenced in Paragraph 6 of this agreement will be added within 90-days of a final CPUC decision in the GRC.
  10. The parties agree that all positions referenced in Paragraphs 2-9 of this agreement are incremental to the existing workforce as of the date this Settlement Agreement is signed.
  11. The parties agree that actions listed in paragraphs 2 through 9 of this Settlement Agreement will be funded within the overall revenue requirement authorized in the GRC.
  12. The Parties agree to perform diligently, and in good faith, all actions required or implied hereunder, including, but not necessarily limited to, the execution of any other documents required to effectuate the terms of this Settlement Agreement, and the preparation of exhibits for, and presentation of witnesses at, any required hearings to obtain the approval and adoption of this Settlement Agreement by the Commission.  No Party will contest in the GRC or in any other proceeding before this Commission or in any other forum, any of the provisions contained in this Settlement Agreement.  The Parties understand that time is of the essence in obtaining the Commission’s approval of this Settlement Agreement and will extend their best efforts to ensure its adoption.
  13. This Settlement Agreement is not intended by the Parties to be precedent regarding any principle or issue in any other proceeding, whether pending or instituted in the future.  The Parties have assented to the terms of this Settlement Agreement only for the purpose of arriving at the settlement embodied in this Settlement Agreement.  Except as otherwise provided herein, each of the Parties expressly reserved its right to advocate, in current and future proceedings, positions, principles, assumptions, arguments and methods that may be different than those underlying this Settlement Agreement.  The Parties expressly declare that, as provided in Rule 12.5 of the Commission’s Rules of Practice and Procedure, this Settlement Agreement should not be considered as a precedent for or against any principle or issue.  No individual term of this Settlement Agreement is assented to by any Party, except in consideration of the other Parties’ assents to all other terms.  Thus, the Settlement Agreement is indivisible and each part is interdependent on each and all other parts.  Any party may withdraw from this Settlement Agreement if the Commission modifies, deletes from, or adds to the disposition of the matters settled herein.  The Parties agree, however, to negotiate in good faith with regard to any Commission-ordered changes in order to restore the balance of benefits and burdens, and to exercise the right to withdraw only if such negotiations are unsuccessful.
  14. The Parties acknowledge that the positions expressed in the Settlement Agreement were reached after consideration of all positions advanced in the Phase I testimony of this proceeding. This document sets forth the entire agreement of the Parties on the issues covered herein.  The terms and conditions of this Settlement Agreement may only be modified in writing subscribed by all Parties.

 

DATED this ____ day of June, 2007.

 

 

SOUTHERN CALIFORNIA GAS COMPANY

By: ______________________________                              __

LEE sTEWART

SENIOR VICE PRESIDENT, GAS OPERATIONS

 

UNION LOCAL 483

By: ___________________________                                    __

            DENNIS ZUKOWSKI

PRESIDENT, LOCAL 483