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HomeMy WebLinkAboutSouthern California Edison - California Public Utilities Com SOUTHERN CALIFORNIA Gloria M Ing El E D I S O N® Senior Attorney gloria tng@sce corn An EDISON INTERNATIONALS Company July 1, 2015 Re California Public Utilities Commission (CPUC) Rulemaking No 15-06-009 To whom it may concern Pursuant to Ordering Paragraph 10 of the CPUC's June 22, 2015 Rulemaking No 15-06- 009, Southern California Edison Company is serving a copy of the rulemaking on the city and counties within its California service area If you have any questions, please contact Gloria Ing at 626-302-1999 Very truly yours, Is/Gloria M Ing Gloria M Ing /gmi LIMS-253-11767 P 0 Box 800 2244 Walnut Grove Ave Rosemead,California91770 (626)302-1999 Fax(626)302-3990 ALJ/GK1/lt2 Date of Issuance 6/22/2015 BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA Order Instituting Rulemaking Regarding Policies, Procedures and Rules for Regulation of Physical Security for the Electric Supply Facilities of Electrical FILED Corporations Consistent with Public PUBLIC UTILITIES COMMISSION Utilities Code Section 364 and to Establish JUNE 11, 2015 Standards for Disaster and Emergency SAN FRANCISCO, CALIFORNIA Preparedness Plans for Electrical RULEMAKING 15-06-009 Corporations and Regulated Water Companies Pursuant to Public Utilities Code Section 768 6 ORDER INSTITUTING RULEMAKING TO FULFILL THE REQUIREMENTS OF PUBLIC UTILITIES CODE SECTIONS 364 AND 768.6 152873649 - 1 - �4 R 15-06-009 ALJ/GK1/lt2 Table of Contents Title Page ORDER INSTITUTING RULEMAKING TO FULFILL THE REQUIREMENTS OF PUBLIC UTILITIES CODE SECTIONS 364 AND 768.6 1 Summary 2 1 Events Leading to Senate Bill (SB) 699 2 11 Changes to Public Utilities Code Section 364 4 12. Applicable Safety Standards Prior to the Amendment of Section 364 of the Public Utilities Code 5 13. Discussion Pertaining to SB 699 8 2 Events Leading to Assembly Bill (AB) 1650 9 2.2 Emergency and Disaster Preparedness Plans for Electrical Corporations and Regulated Water Corporations Prior to the Addition of Public Utilities Code Section 768 6 13 2 3 Discussion Pertaining to AB 1650 14 3 Preliminary Scope. 15 31 Issues to be Considered Pursuant to SB 699 15 3 2 Issues to be Considered Pursuant to AB 1650 16 4 Preliminary Schedule and Initial Comments 17 5 Proceeding Category and Need for Hearing 18 6 Respondents . . ............... 19 7 Service of OIR 19 8 Filing and Service of Comments and Other Documents . .21 9 Addition to Official Service List. 21 10 Subscription Service. 22 11 Public Advisor 22 12 Intervenor Compensation 22 13 Ex Parte Communications 23 Appendix A - Senate Bill 699 amending Public Utilities Code Section 364 Appendix B - Regulation of Physical Security for the Electric Distribution System, February 2015 Appendix C - Assembly Bill 1650 adding Public Utilities Code Section 768 6 Appendix D - California Publicly Owned Electric Utilities Appendix E - List of Rural Electric Cooperatives - 1 - R.15-06-009 ALJ/GK1/lt2 Table of Contents (cont.) Title Page Appendix F - Publicly Owned Utilities Representatives and Agents Appendix G - Facilities-Based Communications Carriers Authorized to Operate in California Appendix H - Service List of Resolution No W-4823 - 11 - R 15-06-009 ALJ/GK1/lt2 ORDER INSTITUTING RULEMAKING TO FULFILL THE REQUIREMENTS OF PUBLIC UTILITIES CODE SECTIONS 364 AND 768.6 Summary This rulemakmg is opened to establish policies, procedures, and rules for the regulation of physical security risks to the electric supply facilities of electrical corporations consistent with Public Utilities Code Section 3641 This rulemakmg is also opened to establish standards for disaster and emergency preparedness plans for electrical corporations and regulated water companies consistent with Public Utilities Code Section 768 62 We will consider whether any new rules, standards, or General Orders (GO) or modifications to other existing policies should apply to all electrical supply facilities within the jurisdiction of the Commission, including facilities owned by publicly-owned-utilities, rural electric cooperatives and regulated water companies This proceeding will be conducted in phases The first phase will pertain to the requirements to address the physical security risks to the electrical supply facilities of electrical corporations Additional phases will be conducted to address emergency and disaster preparedness plans of electrical corporations and regulated water companies 1. Events Leading to Senate Bill (SB) 699 The vulnerability of electrical supply facilities has been demonstrated in recent years by attacks In April 2013, a rifle attack occurred at Pacific Gas and 1 Section 364 of the Public Utilities Code was amended by Senate Bill 699 (Stats 2014, ch 550, Sec 2) 2 Section 768 6 of the Public Utilities Code was added by Assembly Bill 1650 (Scats 2012, ch 472) - 2 - R 15-06-009 ALJ/GK1/lt2 Electric's (PG&E) Metcalf Transmission Substation south of San Jose, resulting in approximately $15 4 million in damages Although PG&E initiated various changes in its security protocol, in late August 2014, burglars entered the Metcalf facility and removed $38,651 of tools and equipment 3 Regulatory jurisdiction over transmission facilities and substations is shared between federal and state agencies The Federal Energy Regulatory Commission (FERC) is an independent federal agency that regulates the interstate transmission of electricity, including the "Bulk-Power System" and related facilities that include some high voltage transmission facilities and substations 4 Several grid security guidelines or standards have been proposed or developed to address the physical security of the electrical supply facilities of electrical corporations. However, prior to the Metcalf incident, many of these standards were considered as voluntary best practices. Following the Metcalf incident, FERC ordered the imposition of mandatory physical security standards to be prepared by the North American Electric Reliability Corporation (NERC) 5 In California, SB 699 was enacted to ensure that steps would be taken to reasonably protect electrical supply facilities of electrical corporations against further attacks 6 3 PG&E Metcalf Root Cause Analysts Summary Report November 21, 2014 at 2 4 Http //www ferc gov 5 NERC is a not-for-profit international regulatory authority whose mission is to ensure the reliability of the bulk power system in North America See,http //www nerc com 6 The Commission does not expect anything in this rulemakmg to conflict with any FERC or NERC regulations,jurisdiction, or proceedings - 3 - R.15-06-009 ALJ/GK1/lt2 1.1 Changes to Public Utilities Code Section 364 SB 699 amended Section 364 of the Public Utilities Code to require that the Commission "in a new proceeding, or new phase of an existing proceeding, to commence on or before July 1, 2015, consider adopting rules to address the physical security risks to the distribution systems of electrical corporations " Additionally, this legislation provides that the Commission may, "consistent with other provisions of law, withhold from the public information generated or obtained pursuant to this section that it deems would pose a security threat to the public if disclosed " This rulemaking is concerned with implementing the amendments to Section 364 of the Public Utilities Code Prior to SB 699, Section 364 of the Public Utilities Code provided the following 1 Requires the Commission to adopt inspection, maintenance, repair, and replacement standards for the distribution facilities of investor-owned utilities (IOUs) in order to provide high-quality, safe, and reliable service 2 Requires the Commission to adopt standards for operation, reliability, and safety during periods of emergency and disaster 3 Requires each utility to report annually on compliance with the applicable standards. 4 Requires annual compliance reports submitted by the utility to be made available to the public 5 Requires the Commission to conduct a review to determine whether the standards have been met and to perform a review after every major outage 6 Provides that the Commission may order appropriate sanctions, "including penalties in the form of rate reductions or monetary fines " - 4 - R 15-06-009 ALJ/GK1/jt2 7 Any penalties or fines collected shall be used to offset funding for the California Alternative Rates for Energy Program As amended by SB 699, Section 364 of the Public Utilities Code added the following additional requirements 1 Requires the Commission to open a new proceeding or phase of an existing proceeding by July 1, 2015, to consider adopting standards or rules to address the physical security risks to the distribution systems of electrical corporations 2 The standards or rules shall be prescriptive or performance based, or both 3 The standards or rules may be based on risk management practices as appropriate, for each substantial type of distribution equipment or facility 4 The standards or rules shall provide for high-quality, safe, and reliable service 5 In setting the standards or rules, the Commission shall consider cost, local geography and weather, applicable codes, potential physical security risks, national electric industry practices, sound engineering judgment, and experience 6 Provides that the Commission may, consistent with other provisions of law, withhold from the public information generated or obtained pursuant to this section that the Commission deems would pose a security threat to the public if disclosed Appendix A to this rulemaking provides the full text of SB 699 amending Public Utilities Code Section 364 1.2. Applicable Safety Standards Prior to the Amendment of Section 364 of the Public Utilities Code Section 364 of the Public Utilities Code requires the Commission to adopt standards for distribution facilities that provide for high quality, safe, and reliable service Among other things, the Commission has adopted several - 5 - a R 15-06-009 ALJ/GK1/lt2 decisions, GOs, and rules to provide the utilities with standards and guidance to ensure an adequate level of safe and reliable service Pursuant to GOs 95, 128, 131-D, 165, 166, 167 and 174, Commission staff is currently routinely involved in the verification of the condition and operation of existing physical security protections Additionally, D 14-12-025 now requires all utilities to discuss safety and risk assessments in every rate case The Commission adopted GO 95 in Decision (D ) 34884, dated December 23, 1941, and has amended GO 95 many times since then GO 95 contains rules for the design, construction, and maintenance of overhead power lines and communication lines located outside of buildings GO 95 was last modified by D 15-01-005 on January 21, 2015 The Commission adopted GO 128 in D 73195, dated October 17, 1967, and has amended GO 128 several times since then GO 128 contains rules for the design, construction, and maintenance of underground electrical supply systems used in connection with public utility service and underground communication systems used in connection with public utility service located outside of buildings GO 128 was last modified on January 13, 2005, in D.05-01-030 The Commission adopted GO 131-D in D 94-06-014, dated June 8, 1994, which became effective July 8, 1994 GO 131-D requires that no electric public utility shall begin construction in this state of any new electric generating plant, or of the modification, alteration, or addition to an existing electric generating plant, or of electric transmission/power/distribution line facilities, or of new, upgraded or modified substations without first obtaining approval from the Commission GO 131-D was last modified in D 95-08-038 on August 11, 1995, with the modifications effective on September 10, 1995 - 6 - s R 15-06-009 ALJ/GK1/lt2 On March 31, 1997, D 97-03-070 adopted GO 165 It was later revised by D 13-06-011 on June 27, 2013 Among other things, GO 165 established standards for inspection for transformers, switching/protective devices, regulators/capacitors, overhead conductor and cables, street lighting, and wood poles GO 165 also set forth reporting responsibilities and called for the ability of Commission staff to inspect records of inspections consistent with Public Utilities Code Section 314(a) On July 23, 1998, the Commission issued D 98-07-097 to establish GO 166, which set forth 11 standards for electric service reliability and safety during emergencies and disasters These standards ensure that utilities are prepared for emergencies in order to minimize damage and inconvenience resulting from electric system failures and major outages GO 166 contains detailed requirements for emergency planning and performance during emergencies, and requires an investigation following every major outage On May 4, 2000, the Commission issued D 00-05-022 to add Standards 12 and 13 and to define a Major Event It was last revised on May 15, 2014, by D 14-05-020 On May 6, 2004, the Commission issued D 04-05-017, adopting GO 167, which set forth enforcement of maintenance and operation standards for electric generating facilities GO 167 was most recently modified on November 6, 2008 by D 08-11-009. Section 10 4 of GO 167 sets forth various requirements for reporting safety related and property damage incidents Section 110 notifies of the requirement to cooperate with Commission staff during audits, inspections or investigations On October 25, 2012, the Commission adopted D 12-10-029 to establish GO 174 The purpose of GO 174 is to set forth uniform requirements for substation inspections Among other things, GO 174 requires the inspection of - 7- a R 15-06-009 ALJ/GK1/lt2 perimeter fences and gates and sets forth record keeping and reporting responsibilities for all inspections performed In addition to already established standards and procedures listed above, SB 699 now requires the Commission to develop additional security measures These additional security measures will help ensure an adequate level of safety for electrical supply facilities of electrical corporations This rulemaking will be the procedure that the Commission uses to establish the necessary additional security measures 1.3. Discussion Pertaining to SB 699 Ensuring the physical security of electrical supply facilities is of great importance in order to provide high quality, safe, and reliable service In order to protect the electrical supply facilities of electrical corporations from security threats, the Commission has decided to undertake rulemakmg on this issue This rulemaking will provide for the regulatory framework pertaining to the physical security risks to the electrical supply facilities of electric corporations and will be consistent with the requirements set forth in SB 699, which amended Section 364 of the Public Utilities Code The April 2013 attack on the Metcalf Substation, and subsequent new standards set out by NERC have emphasized the need for standards to ensure the physical security of the electric grid In California, SB 699 amended Public Utilities Code Section 364 to require the Commission to address physical security risks at the electrical supply level via the development of new rules and standards As a result of SB 699, Commission Staff drafted a whitepaper, which - 8 - R 15-06-009 ALJ/GK1/jt2 was released February 20157 In this paper, Commission staff provides various recommendations and opinions the Commission may consider during this rulemaking process s Among other things, SB 699 requires the Commission to consider local geography and weather, and applicable codes when setting its standards or rules Furthermore, SB 699 allows the Commission to consider options that include the nondisclosure to the public of any sensitive information, that if disclosed could pose a security threat Considering the wide possibilities of potential attacks, various equipment designs, and potential costs of implementing procedures, and rules for the security of the electrical supply facilities within the various utilities, a "one size fits all" approach may not be feasible This rulemaking will consider and solicit input from the utilities and other interested persons on what rules and procedures should be adopted by this Commission 2. Events Leading to Assembly Bill (AB) 1650 In September 2011, there were widespread outages in the Pacific Southwest that adversely impacted drinking water supplies due to the lack of electricity at pumping stations In December 2011, there was a severe wind 7 The whitepaper, titled Regulation of Physical Security for the Electric Distribution System, February 2015 is attached as Appendix B and is also available at www cpuc ca gov/NR/rdonlyres/930FCC00-BE2F-4BCF-9B68-2CA2CDC38186/0 /Physical SecurgyfortheUtili lndustry20l50210 pdf s As indicated in the whitepaper, the views presented in the whitepaper are those of the staff and do not necessarily represent the views of the five member California Public Utilities Commission This paper is intended to initiate a dialog on the topics discussed and any recommendations are preliminary Staff may revise this whitepaper based on further discussion and any comments received - 9 - R 15-06-009 ALJ/GK1/lt2 storm that caused major damage throughout the San Gabriel Valley, including the loss of power to thousands of utility customers for a significant period of time Many utility customers and local governmental entities were not provided sufficient information from the utilities regarding the status of the power outage or other damages caused by the windstorm 2.1. Section 768.6 of the Public Utilities Code AB 1650 added Section 768 6 to the Public Utilities Code to require the Commission in an existing proceeding to establish standards for disaster and emergency preparedness plans for electrical corporations and any water company regulated by the Commission This rulemaking is concerned with implementing the addition of Section 768 6 of the Public Utilities Code Section 768 6 requires the following 1 The Commission shall establish standards for disaster and emergency preparedness plans within an existing proceeding, including, but not limited to, the use of weather reports to preposition manpower and equipment before anticipated severe weather, methods of improving communications between governmental agencies and the public, and methods of working to control and mitigate an emergency or disaster and its aftereffects The Commission, when establishing standards pursuant to this subdivision, may make requirements for small water corporations similar to those imposed on class A water corporations 2 An electrical corporation shall develop, adopt, and update an emergency and disaster preparedness plan in compliance with the standards established by the Commission 3 In developing and adopting an emergency and disaster preparedness plan, an electrical corporation shall invite appropriate representatives of every city, county, or city and county within that electrical corporation's service area to meet with, and provide consultation to, the electrical corporation - 10 - R 15-06-009 ALJ/GK1/lt2 4 Every city, county, or city and county within the electrical corporation's service area may designate a point of contact for the electrical corporation to consult with on emergency and disaster preparedness plans The point of contact shall be provided with an opportunity to comment on draft emergency and disaster preparedness plans 5 For the purposes of best preparing an electrical corporation for future emergencies or disasters, an emergency and disaster preparedness plan shall address recent emergencies and disasters associated with the electrical corporation or similarly situated corporations, and shall address remedial actions for possible emergencies or disasters that may involve that corporation's provision of service 6 Every two years, in order to update and improve that electrical corporation's emergency and disaster preparedness plan, an electrical corporation shall invite appropriate representatives of every city, county, or city and county within that electrical corporation's service area to meet with, and provide consultation to, the electrical corporation 7 For the purposes of best preparing an electrical corporation for future emergencies or disasters, an electrical corporation updating its emergency and disaster preparedness plan shall review the disasters and emergencies that have affected similarly situated corporations since the adoption of the plan, remedial actions taken during those emergencies or disasters, and proposed changes to the plan The electrical corporation shall adopt in its plan the changes that will best ensure the electrical corporation is reasonably prepared to deal with a disaster or emergency 8 Any meeting between the electrical corporation and every city and county within the electrical corporations service area shall be noticed and shall be conducted in a public meeting that allows for the participation of appropriate representatives of counties and cites within the electrical corporation's service area A county participating in a meeting may inform each city within the county of the time and place of the meeting An electrical corporation holding a meeting shall provide - 11 - R 15-06-009 ALJ/GK1/lt2 participating counties and cities with the opportunity to provide written and verbal input regarding the corporation's emergency and disaster preparedness plan For purposes of this public meeting, an electrical corporation may convene a closed meeting with representatives from every city, county, or city and county within that electrical corporation's service area to discuss sensitive security-related information in the electrical corporation's emergency and disaster preparedness plan and to solicit comment An electrical corporation shall notify the Commission of the date, time, and location of the meeting An electrical corporation shall conduct initial meetings no later than April 1, 2013, and shall conduct meetings every two years thereafter An electrical corporation shall memorialize these meetings and shall submit its records of the meetings to the Commission 9 A water company regulated by the Commission shall develop, adopt, and update an emergency and disaster preparedness plan in compliance with the standards established by the Commission This requirement shall be deemed fulfilled when the water company files an emergency and disaster preparedness plan pursuant to another state statutory requirement A water company developing, adopting, or updating an emergency and disaster preparedness plan shall hold meetings with representatives from each city, county, or city and county in the water company's service area regarding the emergency and disaster preparedness plan An electrical corporation or a water corporation may fulfill a meeting requirement imposed by this section by making a presentation regarding its emergency and disaster preparedness plan at a regularly scheduled public meeting of each disaster council created pursuant to Article 10 (commencing with Section 8610) of Chapter 7 of Division 1 of Title 2 of the Government Code within the corporation's service area, or at a regularly scheduled public meeting of the governing body of each city, county, or city and county within the service area Appendix C to this rulemaking provides the full text of AB 1650 creating Public Utilities Code Section 768 6 - 12 - R 15-06-009 ALJ/GK1/lt2 2.2. Emergency and Disaster Preparedness Plans for Electrical Corporations and Regulated Water Corporations Prior to the Addition of Public Utilities Code Section 768.6 Ensuring that electrical corporations and regulated water companies are adequately prepared during an emergency is of great importance Over many years, the Commission has implemented disaster preparedness measures by adopting decisions, industrial standards, GOs, and rules to provide the utilities with standards and guidance regarding disaster preparedness As noted above, the Commission issued D 98-07-097 to establish GO 166 GO 166, among other things, requires electric utilities to annually file updated emergency response plans, including requiring the utility to notify local governments of its annual emergency response exercise Additionally, GO 166 requires training and planning for deployment of personnel in anticipation of an event that may result in a major outage However, it does not currently require deployment of personnel in the event of anticipated severe weather. GO 103-A became effective on September 10, 2009, with the adoption of Resolution No W-4823 GO 103-A sets forth various minimum standards for operation, maintenance, design and construction in regard to regulated water companies Among other things, GO 103-A requires regulated water companies to cooperate with the Commission to "promote a reduction in hazards within the industry and to the public and requires the report of accidents that may disrupt the supply of water or impact continuity of service " In order to ensure that electrical corporations and regulated water companies are sufficiently prepared for an emergency or other disaster, the Commission has undertaken various actions to provide guidance in preparing for a disaster or emergency GOs 166 and 103-A provide utilities with basic - 13 - R 15-06-009 ALJ/GK1/lt2 guidance in preparing for emergencies and other disasters, but does not provide all of the requirements set forth in AB 1650 AB 1650 helps to provide additional guidance in preparing for natural disasters and other emergencies AB 1650 requires that the Commission undertake rulemaking to provide further guidance and sets forth various requirements that electrical corporations and regulated water companies must comply with to ensure that these utilities are adequately prepared for an emergency or other disasters 2.3. Discussion Pertaining to AB 1650 Ensuring that utilities are adequately prepared for emergencies and other disasters is of great importance in order to provide high quality, safe, and reliable service In order to ensure that regulated utilities are sufficiently prepared to deal with emergencies and other disasters, the Commission is opening this rulemaking to provide for the regulatory framework concerning emergency and disaster preparedness plans that regulated utilities shall adopt in order to be better prepared for disasters and other emergencies With input from the public and local agencies, the Commission will ensure electric corporations and regulated water companies have emergency preparedness plans that will be better able to help protect the public from disruption in electricity and water supply during emergencies or other disasters and consistent with the requirements of Section 768 6 to the Public Utilities Code Part of this rulemaking is to solicit input from the utilities and other interested persons on what rules and procedures should be adopted by this Commission - 14 - R 15-06-009 ALJ/GK1/lt2 3. Preliminary Scope As required by the Commission's Rules of Practice and Procedure Rule 71(d), this order irutiating the rulemaking includes a preliminary scoping memo as set forth below 9 The purpose of this rulemaking is to establish new rules and standards and to update existing requirements regarding the physical security of electrical supply facilities, in a manner which is consistent with SB 699 and to ensure that electrical corporations and regulated water companies have adequate disaster and emergency preparedness plans in effect that are consistent with AB 1650 3.1. Issues to be Considered Pursuant to SB 699 The issues to be considered in this proceeding related to SB 699 may include, but are not limited to the following 1 What are the key potential physical security risks to electrical supply facilities? 2 What new rules, standards, or General Orders or modifications to existing policies should the Commission consider to mitigate physical security risks to electrical supply facilities? 3 Should any new rules, standards, or General Orders or modifications to existing policies apply to all electrical supply facilities within the jurisdiction of the Commission, including facilities owned by publicly owned electrical utilities and rural electric cooperatives? 4 Are there other factors not listed in Section 364(b) of the Public Utilities Code that the Commission should consider when adopting any new rules, standards, or General 9 All references to Rules are to the Commissions Rules of Practice and Procedure - 15 - R 15-06-009 ALJ/GK1/lt2 Orders or modifications to existing policies during this rulemaknng? 5 What new rules or standards or modifications to existing policies should the Commission consider to allow for adequate disclosure of information to the public without disclosing sensitive information that could pose a security risk or threat if disclosed? 6 What is the role of cost and risk management in relation to the mitigation of any potential security risks to electrical supply facilities? 7 Should any new rules, standards, or General Orders or modifications to existing policies the Commission considers be prescriptive or performance based, or both? 8 What new rules, standards, or General Orders or modifications to existing policies should the Commission consider to ensure continued operation, reliability and safety during periods of emergencies and disasters as it relates to security of electrical supply facilities? 3.2. Issues to be Considered Pursuant to AB 1650 The issues to be considered in the subsequent phases of this proceeding under AB 1650 may include, but are not limited to the following 1 What elements should be included in the electrical corporations' and regulated water companies' emergency and disaster preparedness plans? 2 What new rules, standards, or General Orders or modifications to existing policies should the Commission consider to ensure that electrical corporations and regulated water companies are in compliance with the statutory requirements of Public Utilities Code Section 768 6? 3 Should any new rules, standards, or General Orders or modifications to existing policies apply to all electrical supply facilities within the jurisdiction of the Commission, - 16 - R 15-06-009 ALJ/GK1/lt2 including facilities owned by publicly owned electrical utilities and rural electric cooperatives? 4 Should the requirements for small water corporations be similar to those imposed on Class A water companies? 5 Should any new rules, standards, or General Orders, or modifications to existing policies be adopted to ensure that counties and cities have an opportunity to participate in the preparation of emergency and disaster preparedness plans? 4. Preliminary Schedule and Initial Comments Public Utilities Code Section 1701 5(a) provides that in a quasi-legislative proceeding, the Commission shall resolve the issues raised in the scopmg memo within 18 months of the date the scoping memo is issued However, Section 1701 5(b) provides that the assigned Commissioner may specify in the scoping memo a resolution date of more than 18 months if the scopmg memo includes specific reasons for the necessity of a later date Due to the complexity of this rulemaking, the number of respondents involved, the number of diverse issues presented, and the potential need for multiple phases, this matter will not be able to be concluded within 18 months Therefore, it is preliminarily determined pursuant to Section 1701 5(b) that Phase I of this proceeding should be resolved within 24 months As noted above, this Order Instituting Rulemakmg (OIR) will be conducted in phases Phase I will pertain to the requirements imposed on electrical corporations by SB 699 Additional phases of this order instituting rulemakmg will pertain to the requirements imposed on electrical corporations and regulated water companies pursuant to AB 1650 The preliminary schedule for this proceeding is stated below in Table 1 - 17- r R 15-06-009 ALJ/GK1/lt2 Table 1 Are the Questions set forth above in the Preliminary 30 days from Issuance of Scope the Appropriate Questions to Consider? Should this OIR the Commission Consider Additional Questions? Are there Other Issues in this Proceeding that the Commission Should Consider? TBD Prehearing Conference on Phase I issues TBD Scoping Memo on Phase I issues, and on final category and hearing determinations TBD Workshop(s) as needed on Phase I issues TBD Comments on Issues Presented at Workshop(s) TBD Reply to Comments from Workshop(s) 24 Months from Issuance of Proposed Decision on Phase I issues Scopmg Memo A complete schedule for later phases of this proceeding will be set by later rulings of the assigned Commissioner or Administrative Law Judge 5. Proceeding Category and Need for Hearing Rule 71(d) specifies that an OIR will preliminarily determine the category of the proceeding and the need for hearing As a preliminary matter, we determine that this proceeding is quasi-legislative as defined in Rule 13(d) It appears that the issues may be resolved through comments and workshops without the need for evidentiary hearings In the event that an evidentiary hearing becomes necessary, the assigned Commissioner or Administrative Law Judge will issue a ruling that sets forth the process that will be used, and the schedule to be followed - 18 - R 15-06-009 ALJ/GK1/lt2 Any person who objects to the preliminary categorization of this rulemaking as quasi-legislative or to the preliminary hearing determination shall state any objections and material facts they believe require a hearing in their responses to the questions herein After considering any comments on the preliminary categorization or preliminary hearing determination, the assigned Commissioner will issue a scoping ruling making a final category and hearing determination, this final determination as to categorization is subject to appeal as specified in Rule 7 6(a) 6. Respondents The following are respondents in Phase I of this OIR Pacific Gas and Electric Company (PG&E), Southern California Edison Company (SCE), San Diego Gas and Electric Company (SDG&E), PacifiCorp, CALPECO (Liberty Utilities) and Bear Valley Electric Service Phase II of this OIR includes the above named respondents and also includes all Class A, B, C and D water companies regulated by the Commission 7. Service of OIR This OIR shall be served by the Commission on all respondents In the interest of broad notice, this OIR will also be served on the official service lists for the following proceedings R 14-08-012 (Order Instituting Rulemaking to Consider Proposed Amendments to General Order 95), R 01-10-001 (Order Instituting Rulemaking to Revise Commission General Order Numbers 95 & 128), R 08-11-005 (Order Instituting Rulemaking to Revise and Clarify Commission Regulations Relating to Safety of Electric Utility and Communications Infrastructure Provider Facilities), - 19 - 1 r R 15-06-009 ALJ/GK1/lt2 R 02-11-039 (Rulemaking to Implement the Provisions of Public Utilities Code Section 7613 Enacted by Chapter 19 of the 2001-2002 Second Extraordinary Legislative Session), R 10-09-001 (Order Instituting Rulemaking to Implement Commission Regulations Relating to the Safety of Electric Utility Substations), R 07-12-015 (Order Instituting Rulemaking on the Commission's Own Motion to Revise General Order 103), This OIR will also be served on all California Publicly Owned Electric Utility Companies listed in Appendix D, This OIR will also be served on all Rural Electric Cooperatives listed in Appendix E, This OIR will also be served on the Public Owned Utilities Representatives and Agents listed in Appendix F, This OIR will also be served on Facilities-Based Communications Carriers authorized to operate in California listed in Appendix G, This OIR will also be served on the service list for Resolution No W-4823 (Order Authorizing Revisions To General Order 103-A Section 113 C 5, Minimum Standards For Repairs, And Section IV 1 A Method Of Measuring Service) listed in Appendix H, and Respondents Pacific Gas and Electric (PG&E), Southern California Edison (SCE), San Diego Gas and Electric (SDG&E), PacifiCorp, CALPECO (Liberty Utilities) and Bear Valley Electric Service are directed to serve a copy of this OIR on every city, county, or city and county within its service area in California. Service of this OIR on every city, county or city and county by the Respondents should be done as soon as feasibly possible, but no later than 30 days after this OIR is served upon the Respondents by the Commission Within 45 days of - 20 - R 15-06-009 ALJ/GK1/lt2 service of this OIR, Respondents shall file proof of service on every city, county or city and county with the Commission Service of this OIR does not confer party status or place a person who has received such service on the Official Service List for this proceeding 8. Filing and Service of Comments and Other Documents Filing and service of comments and other documents in the proceeding are governed by the rules contained in Article 1 of the Commissions Rules of Practice and Procedure (See particularly Rules 15 through 110 and 113 ) If you have questions about the Commissions filing and service procedures, contact the Docket Office (Docket office@cpuc ca g_ov ) or check the Practitioners' Page on our web site at www CPUC ca gov 9. Addition to Official Service List Addition to the official service list is governed by Rule 1 9(f) of the Commissions Rules of Practice and Procedure Respondents are parties to the proceeding (see Rule 14(d)) and will be immediately placed on the official service list Any person will be added to the "Information Only" category of the official service list upon request, for electronic service of all documents in the proceeding, and should do so promptly in order to ensure timely service of comments and other documents and correspondence in the proceeding (See Rule 1 9(f) ) The request must be sent to the Process Office by e-mail (processoffice@cpuc ca. ov) or letter (Process Office, California Public Utilities Commission, 505 Van Ness Avenue, San Francisco, California 94102) Please include the Docket Number of this rulemaking in the request - 21 - R 15-06-009 ALJ/GK1/lt2 Persons who file responsive comments thereby become parties to the proceeding (see Rule 14(a)(2)) and will be added to the "Parties" category of the official service list upon such filing In order to assure service of comments and other documents and correspondence to advance of obtaining party status, persons should promptly request addition to the "Information Only" category as described above, they will be removed from that category upon obtaining party status 10. Subscription Service Persons may monitor the proceeding by subscribing to receive electronic copies of documents in this proceeding that are published on the Commission's website There is no need to be on the official service list in order to use the subscription service Instructions for enrolling in the subscription service are available on the Commissions website at http //subscribecpuc cpuc ca gov/ 11. Public Advisor Any person or entity interested in participating in this Rulemaking who is unfamiliar with the Commissions procedures should contact the Commission s Public Advisor's Office in San Francisco at (415) 703-2074 or (866) 849-8390 or e-mail public advisor@cpuc ca gov The TTY number is (866) 836-7825 12. Intervenor Compensation Any party that expects to claim intervenor compensation for its participation in this rulemaking must file its notice of intent to claim intervenor compensation within 30 days of the filing of comments, except that notice may be filed within 30 days of a prehearing conference in the event that one is held (See Rule 171(a)(2) ) - 22 - R 15-06-009 ALJ/GK1/lt2 13. Ex Parte Communications This proceeding is subject to Article 8 of the Commission's Rules, which specifies the standards to be followed for communicating with a decision maker Pursuant to Rule 8 3(a), ex parte communications are allowed without any restrictions or reporting requirements unless an appeal of the categorization pursuant to Rule 7 6 is successful or until the categorization of this proceeding, or the applicable phase of this proceeding, is changed from quasi-legislative Therefore, IT IS ORDERED that 1 Pursuant to Rule 6.1 of the Commissions Rules of Practice and Procedure, this rulemaking is instituted on the Commission's own motion to establish policies, procedures, and rules pertaining to the physical security for the electric supply systems of electrical corporations within California consistent with Public Utilities Code Section 364 2 Pursuant to Rule 61 of the Commissions Rules of Practice and Procedure, this rulemaking is instituted on the Commission's own motion to establish standards for disaster and emergency preparedness plans for electrical corporations and regulated water companies in California consistent with Public Utilities Code Section 768 6 3 This rulemaking will be conducted in phases Phase I will pertain to the physical security for the electric supply systems of electrical corporations and additional phases will pertain to disaster and emergency preparedness plans for electrical corporations and regulated water companies 4 This rulemaking may consider whether any new rules, standards, or General Orders or modifications to existing policies should apply to all electrical supply facilities within the jurisdiction of the Commission, including facilities owned by publicly owned utilities and rural electric cooperatives - 23 - R 15-06-009 ALJ/GK1/lt2 5 Pacific Gas and Electric Company (PG&E), Southern California Edison Company (SCE), San Diego Gas and Electric Company (SDG&E), PacifiCorp, CALPECO (Liberty Utilities), and Bear Valley Electric Service are named as respondents to both phases of this proceeding All regulated Class A, B, C and D water companies listed in official Commission records are named respondents in Phase II of this proceeding 6 This proceeding is preliminarily classified as quasi-legislative, and it is preliminarily determined that evidentiary hearings will not be necessary 7 No later than 30 days after the Commission adopts this Order Instituting Rulemakmg, any person may file opening comments addressing whether the questions set forth above in sections 31 and 3 2 are the appropriate questions to consider, whether the Commission should consider additional questions, and whether there are other issues in this proceeding that the Commission should consider 8 Any person may file comments on the scope, schedule, categorization, or need for hearing no later than 30 days after the Commission adopts this Order Instituting Rulemakmg 9 The Executive Director shall cause this Order Instituting Rulemakmg (OIR) to be served on the following Respondents Pacific Gas and Electric Company (PG&E), Southern California Edison Company (SCE), San Diego Gas and Electric Company (SDG&E), PacifiCorp, CALPECO (Liberty Utilities), Bear Valley Electric Service, and all regulated Class A, B, C and D water companies In the interest of broad notice, this OIR shall also be served on the official service lists in Rulemakmg (R ) 14-08-012, R 01-10-001, R 08-11-005, R 02-11-039, R 10-09-001, R 07-12-015, all Publicly-Owned Electric Companies, rural electric cooperatives and other Publicly-Owned Utilities' Representatives listed in Appendices D, E, - 24 - R 15-06-009 ALJ/GK1/lt2 and F, on Facilities-Based Communications Carriers authorized to operate in California listed in Appendix G, and the service list from Resolution No W-4823 listed in Appendix H 10 Respondents Pacific Gas and Electric Company, Southern California Edison Company, San Diego Gas and Electric Company, PacifiCorp, CALPECO (Liberty Utilities) and Bear Valley Electric Service are shall serve a copy of this Order Instituting Rulemakmg (OIR) on every city, county, or city and county within its service area in California Service of this OIR on every city, county or city and county by the Respondents shall be done no later than 30 days after this OIR is served upon the Respondents by the Commission. Within 45 days of service of this OIR, Respondents shall file proof of service on every city, county or city and county with the Commission 11 A party that expects to request intervenor compensation for its participation in this rulemakmg must file its notice of intent to claim intervenor compensation within 30 days of the filing of comments, except that notice may be filed within 30 days of a prehearing conference in the event that one is held (see Rule 171(a)(2) ) 12 Ex parte communications in this Rulemaking are governed by Rule 8 3(a) of the Commission's Rules of Practice and Procedure - 25 - R 15-06-009 ALJ/GK1/lt2 13 The assigned Commissioner or Administrative Law Judge may adjust the schedule identified herein and refine the scope of this proceeding as needed to promote the efficient and fair resolution of the rulemakmg This order is effective today Dated June 11, 2015, at San Francisco, California MICHAEL PICKER President MICHEL PETER FLORIO CATHERINE J K SANDOVAL CARLA J PETERMAN Commissioners Commissioner Liane M Randolph, being necessarily absent, did not participate - 26 - R 15-06-009 ALJ/GK1/jt2 Appendix A (Senate Bill 699 amending Public Utilities Code Section 364) R 15-06-009 ALJ/GK1/lt2 BILL NUMBER SB 699 CHAPTERED An act to amend Section 364 of the Public Utilities Code, relating to public utilities SB 699, Hill Public Utilities electric corporations Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations, as defined Existing law requires the commission to adopt inspection, maintenance, repair, and replacement standards for the distribution systems of electrical corporations in order to provide high-quality, safe, and reliable service Existing law requires the commission to conduct a review to determine whether the standards have been met and to perform the review after every major outage This bill would require the commission, in a new proceeding, or new phase of an existing proceeding, to commence on or before July 1, 2015, to consider adopting rules to address physical security risks to the distribution systems of electrical corporations Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime Because the provisions of this bill are within the act and require action by the commission to implement its requirements, a violation of these provisions would impose a state-mandated local program by expanding the definition of a crime The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state Statutory provisions establish procedures for making that reimbursement This bill would provide that no reimbursement is required by this act for a specified reason R 15-06-009 ALJ/GK1/lt2 THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS SECTION 1. The Legislature finds and declares all of the following (a) Physical threats to the electrical distribution system present risks to public health and safety and could disrupt economic activity in California (b) Ensuring appropriate actions are taken to protect and secure vulnerable electrical distribution system assets from physical threats that could disrupt safe and reliable electric service, or disrupt essential public services, including safe drinking water supplies, are in the public interest (c) Proper planning, in coordination with the appropriate federal and state regulatory and law enforcement authorities, will help prepare for attacks on the electrical distribution system and thereby help reduce the potential consequences of such attacks SEC. 2. Section 364 of the Public Utilities Code is amended to read 364. (a) The commission shall adopt inspection, maintenance, repair, and replacement standards, and shall, in a new proceeding, or new phase of an existing proceeding, to commence on or before July 1, 2015, consider adopting rules to address the physical security risks to the distribution systems of electrical corporations The standards or rules, which shall be prescriptive or performance based, or both, and may be based on risk management, as appropriate, for each substantial type of distribution equipment or facility, shall provide for high- quality, safe, and reliable service - 2 - R 15-06-009 ALJ/GK1/lt2 (b) In setting its standards or rules, the commission shall consider cost, local geography and weather, applicable codes, potential physical security risks, national electric industry practices, sound engineering judgment, and experience The commission shall also adopt standards for operation, reliability, and safety during periods of emergency and disaster The commission shall require each electrical corporation to report annually on its compliance with the standards or rules Except as provided in subdivision (d), that report shall be made available to the public (c) The commission shall conduct a review to determine whether the standards or rules prescribed in this section have been met If the commission finds that the standards or rules have not been met, the commission may order appropriate sanctions, including penalties in the form of rate reductions or monetary fines The review shall be performed after every major outage Any money collected pursuant to this subdivision shall be used to offset funding for the California Alternative Rates for Energy Program (d) The commission may, consistent with other provisions of law, withhold from the public information generated or obtained pursuant to this section that it deems would pose a security threat to the public if disclosed SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution (End of Appendix A) - 3 - R.15-06-009 ALJ/GK1/jt2 Appendix B (Regulation of Physical Security for the Electric Distribution System, February 2015) ALJ/GK1/jt2 ' 1 Regulation of Physical Security for the Electric Distribution System February 2015 BEN BRINKMAN SAFETY AND ENFORCEMENT DIVISION, ELECTRIC SAFETY AND RELIABILITY BRANCH CONNIE CHEN ENERGY DIVISION, INFRASTRUCTURE PLANNING AND PERMITTING BRANCH ARTHUR O'DONNELL ENERGY DIVISION, INFRASTRUCTURE PLANNING AND PERMITTING BRANCH CHRIS PARKES SAFETY AND ENFORCEMENT DIVISION, RISK ASSESSMENT SECTION , gviu�cp 5 Edmund G Brown Jr . Governor ALJ/GK1/jt2 The views presented in this paper are those of staff and do not necessarily represent the views of the five member California Public Utilities Commission This paper is intended to initiate a dialog on the topics discussed and any recommendations are preliminary Staff may revise this paper based on further discussion and comments received 11 ALJ/GK1/jt2 ' EXECUTIVE SUMMARY AND MAJOR TAKEAWAYS Executive Summary On April 16, 2013, Pacific Gas and Electric Company's (PG&E's) Metcalf Substation sustained millions of dollars in damages from a gunshot attack that destroyed several transformer oil tanks at the facility Fortunately, no customers lost power due to the event, but a similar attack under different circumstances might have been catastrophic As a result of this attack, public concern regarding security of the electric grid, which is typically reserved for cyber protection of electric facilities, expanded to include concern over physical security measures for the electric grid The Federal Energy Regulatory Commission (FERC) tasked the North American Electric Reliability Corporation (NERC) with developing a standard for physical security at the most critical bulk-power level substations While these new federal standards are limited to a select group of transmission level substations, the California Public Utilities Commission(CPUC or the Commission) is examining grid security at all levels of the electric supply system, including the distribution level, and is re-evaluating its existing policies and oversight activities for electric system security CPUC staff held a two day workshop on substation physical security in June, 2014 CPUC staff assembled a panel of electric grid security experts to discuss major issues in physical security The first day consisted of public workshops, during which PG&E elaborated on its security improvements since the Metcalf substation attack, and the expert panel discussed current security threats and best practices in physical security During the second day, representatives from the major California utilities presented their specific physical security measures to CPUC staff in a closed door meeting, followed by a roundtable discussion of existing and pending state and federal security related legislation and regulations On September 25, 2014, California's governor signed into law California Senate Bill 699 (See Appendix A) which requires the Commission to develop rules for physical security of the electric distribution system ut ALJ/GK1/jt2 The purpose of this whitepaper is to discuss the current and potential regulatory framework around electric distribution system physical security, to present the process involved in evaluating potential security measures, to identify questions the Commission should address in developing rules for physical security, and to recommend a possible methodology for utility electric distribution system physical security planning Major Takeaways 1 Security of the electric distribution system is an important concern for protection of life and to provide and maintain a safe and reliable power delivery system Physical security measures represent important considerations in an asset protection scheme that includes cybersecurrty and information security It is impossible to completely separate physical security from cyber and information security 2 Although physical attacks on electric facilities occur with some regularity, none to date have caused major, widespread outages affecting the stability of the grid However, given recent events and analysis, and the potential for malevolent actors to disrupt the electrical system, physical security for the electric grid is a significant concern 3 In 2014, NERC developed a new standard for electric grid physical security, however NERC CIPI security regulations are limited to bulk-power assets2 and therefore do not apply to the lower voltage electric distribution system 4 Because of the limits of federal regulations, a critical role exists for state government, including the Commission, in enforcing physical security at the distribution level In fact, existing Commission rules already establish some requirements regarding distribution system physical security 5 New state legislation mandates Commission action to develop rules for physical security for the distribution system in a new or existing proceeding Critical Infrastructure Protection 2 Bulk power here refers to those transmission and generation assets covered by NERC standards The definition of the"bulk-power"system has been evolving through a stakeholder process but typically generally refers to assets operating at a voltage over 100kV http//www mondaq com/unitedstates/x/215222/Oil+Gas+Electricity/FERC+Approves+Revised+Bulk+Electric+Sys tem+Deft nition+And+Reserves+Authority+To+Determine+Local+Distribution+Face Itties 1V ALJ/GK1/jt2 6 The recent state legislation addresses only the "distribution system " However, the processes and elements of physical security planning are applicable to all levels of the electric supply grid 7 Security planning should consider multiple factors Public Utilities Code Section 364, as amended by Senate Bill 699, enumerates cost, local geography and weather, applicable codes, potential physical security risks, national electric industry practices, sound engineering judgment, and experience Other impacts including environmental impact should also be considered 8 Although the specific methodologies and threats differ, varied industries, including electric utilities, choose from a similar menu of options for physical security mitigation Physical security includes practices to deter, detect, and respond to unauthorized access or attacks This includes actions such as constructing walls, using intrusion detection and lighting, and employing security forces Utilities augment these purely physical efforts with cyber and information security activities and security policies and practices 9 Electric system physical security can be costly, therefore, given the vast array of distribution equipment, design, and other external considerations, it is virtually impossible for regulators to establish a"one-size-fits-all" approach that would work for all utilities A performance based approach with reliable metrics lends itself well to a system with varied equipment Detailed prescriptive measures will likely not be feasible in many instances, however general guidelines and requirements may be appropriate In addition, the utilities should consider accepted good practices as developed by industry organizations 10 A sound planning methodology would use a risk based approach Under a risk based approach the Commission would require utility planners to identify and assess risks and vulnerabilities, develop mitigation plans from various alternatives, and assemble tests and metrics for evaluating their plans The utility should consider alternatives and justify the alternatives chosen with respect to efficacy, cost, and other significant considerations 3 Senate Bill 699, amending Public Utilities Code Section 364 v ALJ/GK1/jt2 11 The Commission should consider protection of critical security information as part of its regulatory standard development process Because Senate Bill 699 specifies that the Commission may withhold from the public certain information whose release would pose a security threat, it would be appropriate for the rulemakmg to consider the types of information that warrant confidential treatment under the statute Recommendations 1 The CPUC should open a rulemakmg to evaluate and update existing requirements regarding physical security of the electric system, in a manner consistent with Senate Bill 699 2 The CPUC should address the following during the rulemakmg o What does the "distribution" system, as that term is used in Senate Bill 699, consist of, o Is there anyjurisdictional overlap (FERC, NERC, CAISO, etc) o Should the CPUC rules include requirements for bulk power level facilities o Which sorts of rules are best—Prescriptive� Performance baseP A combination� o How should risk be consadereP o Should the Commission base its physical security rules on existing rules or standards, such as NERC CIP 14� o What constitutes "physical security" measures that should be adopted under Senate Ball 699 o At a high level, what elements are important an a physical security program o How should the Commission balance cost with security o How should the Commission balance environmental issues with securary� o How should the Commission determine accepted best practices an physical securaty� o In enforcing the regulations on physical security, how should the Commission protect sensitive information? Are current confidentiality rules and practices sufficient vi ALJ/GK1/jt2 o What metrics, tests, or drills can be employed to determine effectiveness of a security plan o What prescriptive guidelines should be included as part of the regulations? o Should the rules apply to publicly owned utilities? o How should the rules be enforced? What should be the timeline for the first security plan submissions and updates? What should be the implementation timeline o How often should the system be re-analyzed? o What sorts of events should undergo root cause analysis o Should the Commission require the utilities to use independent security experts to prepare, vet or test the utility security plans? o Should the Commission contract its own independent security expert to assist in development of rules? 3 Commission rules should require a risk based approach to physical security planning Under the recommended risk based approach, the utility would be required to identify and assess risks to its facilities and develop a plan to mitigate those risks The utility would also be required to develop clear metrics to evaluate the success of its plan The utility would present this plan to the Commission and submit updates to the plan as necessary The utility would need to report annually on its compliance with the adopted rules, as required by Senate Bill 699 4 The utility should be required to consider various alternatives and justify that the choices chosen are optimal with respect to mitigating risks at an appropriate cost level The utilities should also consider additional factors, including those identified in Section 364 and also other factors, such as environmental impacts, when designing their security plans 5 A hybrid approach, including the performance based rules referenced above along with some high level prescriptive guidelines, may be the optimal approach 6 The utilities should justify their security planning choices based on industry best practices The utilities should refer to existing standards such as IEEE standards on vii ALJ/GK 1/jt2 Substation Physical Security4 or other recognized industry standards in justifying their plans The utilities should also be required to develop and employ metrics and regularly evaluate the results of those metrics as justification for continuing or changing their plans 7 Drills and testing of the security plans should be included in every utility security plan The drills should include surprise inspections and simulated real life events that stress the security system Periodic testing of alarms, access, and monitoring equipment is also critical Where appropriate, the utility should perform root-cause analysis of any failures detected in the drills 8 The Commission may consider whether to require the utilities to vet their plans through independent third party experts before submission, and whether the utilities should use third parties in testing their plans Additionally, the Commission should determine if it wishes to contract its own third party expert for assistance in development of rules 9 Protection of sensitive information is a critical concern The Commission should consider the appropriate confidentiality measures for sensitive security information It may be appropriate for Commission staff to take appropriate training on protecting critical infrastructure information a IEEE Standards Association 2014 See http//standards ieee org/findstds/standard/1402-2000 html vill ALXGK1/it2 Contents EXECUTIVE SUMMARY AND MAJOR TAKEAWAYS ui Executive Summary ui Major Takeaways iv Recommendations vi 1 0 Introduction 1 20 Definition of Physical Security 2 2 1 Physical Security, Cybersecurity, and Information Security 4 30 Significant Incidents at Electrical Facilities 4 40 Federal and State Initiatives, Laws, and Regulatory Responses 7 4 1 Critical Infrastructure Protection Standards— CIPs 9 4 2 Other Physical Security Standards 12 4 3 Existing CPUC Regulation and Oversight Activities 12 4 3 1 Metcalf Attack and Metcalf Burglary 13 4 4 Physical Security Activities in other States and Power Agencies 14 5 0 Examples of Physical Security from Other Industries 15 5 1 Physical Security in the Nuclear Industry 15 5 2 Physical Security in the Chemical Industry 16 5 3 Physical Security for the Financial Sector 16 5 4 Military Physical Security 17 6 0 Risk Based Physical Security for the Electric Grid 17 6 1 Risk Management Process 17 6 2 Risk Identification and Assessment(Evaluate Risks, Threats, and Vulnerabilities) 18 6 3 Risk Mitigation(Control Risks) 20 6 3 1 Physical Mitigation 20 6 3 2 Policies and Procedures Related to Physical Security 25 6 3 3 Other Considerations for Risk Mitigation Planning 25 6 4 Metrics (Review Controls) 29 6 4 1 Prescriptive versus Performance Based Regulations 29 ix ALJ/GK1/jt2 6 4 2 Control Metrics for Utility Distribution Systems 30 7 0 Proposed Next Steps for the Commission 32 7 1 Development of Rules Required by Senate Bill 699 32 7 1 1 Potential Model for Rules for Physical Security 32 7 1 2 Protection of Sensitive Information 37 8 0 Conclusion 38 Appendix A 40 Appendix B 42 x ALJ/GK1/it2 ' 1.0. Introduction Recent events, in particular the April 2013 attack on the Metcalf Substation, and subsequent new standards by the North American Electric Reliability Corporation (NERC, formerly the North American Electric Reliability Council) have focused attention on the physical security of the electric grid In California, new legislation at the state level requires the California Public Utilities Commission (CPUC) to develop rules to address physical security risks at the electric distribution level This whitepaper discusses the relevant issues in physical security for the electric distribution system, with a particular focus on advising policymakers on implementation scenarios for the new requirements codified in Section 364 of the Public Utilities Code, as amended by Senate Bill 699 5 Section 364 of the Public Utilities Code requires, in part, The commission shall, in a new proceeding, or new phase of an existing proceeding, to commence on or before July 1, 2015, consider adopting rules to address the physical security risks to the distribution systems of electrical corporations The standards or rules, which shall be prescriptive or performance based, or both, and may be based on risk management, as appropriate,for each substantial type of distribution equipment or facility, shall provide for high-quality, safe, and reliable service The electric grid consists of generation, transmission, and distribution facilities The transmission and distribution systems consist of overhead and underground lines, and substations which convert voltage levels and switch power Generators typically deliver power to the bulk-power high voltage transmission system, which in turn delivers that power to the lower voltage distribution system for delivery to end users 6 The bulk-power transmission system is generally defined as those lines and substations operating above 100 kV Lower voltage level transmission lines and substations, often referred to as sub-transmission, operate from around 25 kV to 100 kV Substations then convert these transmission and sub-transmission level voltages to lower distribution level voltages (typically 4 kV, 12 kV, or 15 kV) for delivery to end users 5 California State Senate Bill 699 See http Hlegmfo legislature ca gov/faces/billNavChent xhtml9bill_id=201320140SB699 6 Also, increasing numbers of distributed energy resources and energy storage facilities interconnect at the distribution level 1 ' ALJ/GK1/1t2 ! Stan Bxr_ Tttrc1S[S.L"tr� Tr - .... caw== t2tce�'k.:.r* ,�, Sf OCO GWO P93,xq, ,J0.a4d 1301N._�' t3iSaCtr�.�gtf �� ""+ 1 argMY TrprlyzcRX'4IIQ • • tp "MV Cr_-4 mVVkV 1 +aa2CN n Electric Delivery System? Since the 2013 Metcalf Substation attack, and even before that attack, a great deal of public attention has focused on security at the bulk-power level This whitepaper does not focus strictly on those assets, but discusses physical security measures in general for the entire electric grid Most security measures pertinent to distribution substations also apply to transmission level substations, and elements of physical security pertinent to other distribution infrastructure also pertain to similar overhead and underground transmission facilities The differences lie in the impact assessments and the particular structures involved in the physical security planning (e g , poles verses towers) 2.0. Definition of Physical Security Physical security, as opposed to cybersecurity, refers to physical deterrence, monitoring, and mitigation activities A restrictive definition of physical security includes only those elements and strategies directly involved in physical protection- perimeter walls and fencing, lighting, cameras and security patrols This paper adopts a somewhat more expansive definition, which also includes certain elements of policies, procedures and training related to the physical protection of grid facilities (e g , background screening of guards) as well as some elements of cybersecurity necessary for the functioning of physical security safeguards (e g , alarm interpretation software) This paper does not discuss in detail the security for critical bulk power transmission facilities covered under NERC regulations, but rather security for the entire electric delivery system including transmission and distribution facilities, including substations The processes discussed here should apply to all types of utility facilities 'Adapted by Congressional Research Service from U S-Canada Power System Outage Task Force, Final Report on the August 14,2003 Blackout in the United States and Canada Causes and Recommendations, April 2004, Figure 2 1 2 ALJ/GK1/lt2 ' The physical security of the bulk-power grid has long been a matter of concern for policy makers, and attention to these assets increased significantly following the 2013 Metcalf Substation attack In June 2014 the Congressional Research Service prepared a paper entitled"Physical Security of the US Power Grid High Voltage Transformer Substations " The paper focused on the threat to bulk-power level substations, and in particular the risks and vulnerabilities associated with transformers in these substations Even prior to the Metcalf attack, federal agencies conducted vulnerability studies of the electric grid In 2011 NERC conducted Grid-Ex I In this exercise, NERC determined that although the utilities "took appropriate steps to protect the grid," NERC should facilitate the development of updated physical security standards 8 In 2013, following the Metcalf attack, NERC conducted Grid-Ex 1I, in which it determined that While the electricity industry has experienced occasional acts of sabotage or vandalism, a well-coordinated physical attack also presents particular challenges for how the industry restores power The extreme challenges posed by the Severe Event scenario provided an opportunity for participants to discuss how the electricity industry's mutual aid arrangements and inventories of critical spare equipment may need to be enhanced 9 In 2013 FERC conducted its"Electrically Significant Locations" study in which it modeled power flow in the transmission system and identified 30 critical substations across the United States Although disputed by some experts, the study also determined that disabling only 9 of these substations could potentially cause an extended national blackout 10 Although high voltage transmission level transformers are certainly a critical point of concern, they are not the only vulnerability in the electric grid As such, on June 17 and 18, 2014, the CPUC held public and closed workshops on substation and overall grid physical security, which included participation by major utilities in the state as well as industry experts from NERC, Lawrence Livermore Laboratory, and the Department of Homeland Security (DHS) As part of planning this 8 North American Electric Reliability Corporation(NERC), 2011 NERC Grid Security Exercise After Action Report, March 2012,p n 9 North American Electric Reliability Corporation(NERC), Grid Security Exercise(GridEx II) After-Action Report, March 2014,p 5 10 Rebecca Smith,"U S Risks National Blackout from Small-Scale Attack on Substations," Wall Street Journal, March]3, 2014 3 . ALJ/GK1/lt2 event, Commission staff also spoke with personnel from the Federal Bureau of Investigation (FBI) Much of the information in this paper was derived from information presented publicly by utility, industry and security experts at the event 2.1. Physical Security, Cybersecurity, and Information Security It is impossible to completely separate effective physical security measures from cyber security and information security measures 11 A significant element of physical security involves alarms and visual monitoring (cameras) For these to be effective, information must be transmitted to control or security centers Therefore, communications systems must remain intact and fully operational, making cyber protection a critical concern Additionally, physical security measures can be rendered ineffective if critical information about those measures is made public 3.0. Significant Incidents at Electrical Facilities The major risks associated with a physical attack against electricity grid facilities are incidents that cause substantial enough damage, and result in widespread outages that last for days or weeks as critical equipment is repaired or replaced While there have been many examples of extreme weather events—including heavy winds, tornadoes and hurricanes, ice storms, and fires beneath high voltage transmission lines -- that have resulted in such disruptions, to date in the United States there have been no such extended outages that stem from a planned attack on transmission or substation facilities 12 Even the damage to electric transformers at PG&E's Metcalf Substation did not cause outages, despite a cost of repairs estimated at $15 4 million Some 100 bullets fired at the substation caused damage to 17 transformers and six circuit breakers, with the major damage being to transformer radiators that leaked 52,000 gallons of cooling oil However, the incident did not result in any disruption of service 13 Still, vandalism and other physical attacks on utility facilities represent a substantial number of incidents reported to a federal agency During 2013 and 2014 (reported through October 1), the 11 CPUC Substation Security workshops,June 2014 12 Parformak, Paul W, Physical Security of the U S Power Grid High-Voltage Transformer Substations, Congressional Research Service, June 17, 2014, pg 2 13 SED Presentation to CPUC on PG&E Metcalf Incident and Substation Security, February 27,2014 4 ALJ/GK1/It2 U S Department of Energy's Office of Electricity Delivery and Energy Reliability received 352 incident reports, weather related events made up 37 percent while combined physical attacks/vandalism/sabotage were also declared in 37 percent Cyber-attacks were responsible for just 3 of the reports, according to DOE Fuel shortages, unintentional islanding and various electrical disturbances comprise the rest System Incidents Reported to DOE 2013-2014 200 180 160 140 120 100 80 60 40 ■2013 20 o physic ■2014 physic al vanda Island load sabots weath cyber fuel al attack lism/t other total attack /vand ge heft trig drop er alism E0141 2 8 11 8 24 31 4 23 62 8 181 16 13 10 19 28 1 1 70 12 171 Source DOE Submissions of all Electric Emergency Incident and Disturbance Reports(OE-417), http//www oe ned doe gov/oe417 aspx Despite many incident reports that cited Physical Attack Nandalism/Suspicious Activity or Sabotage, only two resulted in documented power outages or loss of load for more than 2 hours 14 In contrast, weather incidents severe enough to be reported invariably affected hundreds to hundreds of thousands of utility customers, sometimes for extended periods Purposeful attacks on electric utility facilities may be reported to DOE as "sabotage" or vandalism (often including theft of copper wire), but they are rarely revealed in the media, although a few incidents have become public In October 2005, a rifle attack was reported at a Progress Energy substation in Florida, which resulted in a small explosion, a transformer oil leak, and local power 14 DOE Office of Electricity Delivery and Energy Reliability,web site report November 25,2014 http//energy gov/oe/services/energy-assurance/monitoring-reporting-analysis/electric-disturbance-events-oe-417 5 + `ALJ/GK1/lt2 outage 15 More recently, in June 2014, a device described as a"homemade bomb" by authorities ignited a small fire at a Nogales, AZ, substation The fire left burn marks on a 50,000-gallon diesel storage tank at the Valencia substation without interrupting power to the area The incident has been termed "sabotage" by DOE These incidents remain unsolved, but there has been one high-profile case in which federal investigators have identified and arrested a "lone wolf'perpetrator who caused several millions of dollars in damage to utility infrastructure In October 2013, the United States Department of Justice charged an Arkansas man with sabotage, a terrorist attack against a railroad and destruction of an energy facility, stemming from incidents that occurred over the course of several months in Lonoke County, AR In one attack on August 21, 2013, the man allegedly removed over 100 bolts securing a 100 foot 500 kV transmission tower leaving only five in place, and proceeded to sever a shackle on a support wire Subsequently, the tower fell onto nearby railroad tracks and was struck by a train, causing a brief power outage In a separate incident, on September 29, 2013, the same person allegedly set fire to an Entergy high voltage switching station, leaving behind a message "You should have expected U S "16 Finally, on October 6, 2013, First Electric Cooperative experienced a power outage affecting 9,200 customers Utility and law enforcement investigations indicated that two power poles had been cut and pulled down by a stolen tractor 17 A joint investigation by the Federal Bureau of Investigation, the Joint Terrorism Task Force and a dozen other federal, state and local agencies quickly led to an arrest less than one week following the final incident The man, Jason Woodring of Jacksonville, AR, was indicted on 8 federal counts, including a terrorist attack, destruction of an energy facility, and illegal possession of weapons and drugs As of January 2015, he awaits trial In most cases, it may be difficult to ascertain when an attack on utility facilities is a planned event meant to cause service disruptions, or a crime of opportunity by vandals 15 Parformak, op cit, pg 7 16"Power Grid is Attacked in Arkansas,"New York Times,October 8,2013 17 U S Department of Justice, U S Attorney for the Eastern District of Arkansas, news release,October 12,2013 6 ALJ/GK1/it2 + On the eve of the new millennium, in 1999, when utilities around the globe prepared for a potential disruption to their computer-driven operations due to the infamous Y2K programming glitch, the Western U S grid saw only one actual system outage that resulted from a fallen transmission tower in Oregon According to the California Independent System Operator (CAISO), the tower was adjacent to an Indian reservation Someone reportedly hopped a fence, cut a guide wire and removed bolts, allowing a strong wind to topple the tower 18 Even though the actual impacts of reported physical attacks on the electric grid have been minimal, there is no reason to downplay the potential threat that a well-planned and coordinated attack on the grid might pose A previously confidential 2013 analysis from the Federal Energy Regulatory Commission (FERC), which was publicly revealed by a Wall Street Journal article, warned that a coordinated attack on as few as nine electric transmission substations in various combinations around the country could potentially cause cascading outages in each of the nation's three synchronized power networks Although the analysis itself was a cause for concern, it appeared that the public release of the information brought far greater criticism in Washington, D C , with FERC officials and lawmakers condemning the newspaper for undermining grid security— although the news article did not identify what facilities were deemed at risk in the "worst case" scenario 19 However, the combination of the Journal article and the PG&E Metcalf incident has heightened the issue of physical security to a place more equal to the concerns expressed about cybersecurity 4.0. Federal and State Initiatives, Laws, and Regulatory Responses Efforts by the U S Government to define and address the security of the electricity system have waxed and waned over the past two decades, with concerns about physical security most often taking a back seat to perceived cybersecurity vulnerabilities In 1996, for example, President Clinton's Administration established the President's Commission on Critical Infrastructure Protection to make recommendations on policies related to the vulnerabilities and threats to the 18 O'Donnell, Arthur,"Soul of the Grid"2004,pg 124 19 E&E News, "FERC's confidential threat analysis triggers political reaction," March 14, 2014 7 'ALJ/GK1/lt2 nation's critical infrastructure 20 The report, dated October 1997, found "no immediate crisis threatening the nation's infrastructures" but did recommend immediate actions on the cybersecurrty front 21 The recommendations eventually led to a Presidential Decision Directive No 63 (PDD-63) in 1998, which set a goal of securing the nation's critical infrastructure from both physical and cyber-attacks by the year 2003 The effort was soon superseded in the post-9-11 period, with the establishment of the Office of Homeland Security (later made a Cabinet-level Department) and subsequent passage of both the Critical Infrastructures Protection Act of 200122 and the Homeland Security Act of 2002 23 These laws provided a set of policy goals and a statutory definition of critical infrastructure It is the policy of the United States 1) that any physical or virtual disruption of the operation of the critical infrastructures of the United States be rare, brief, geographically limited in effect, manageable, and minimally detrimental to the economy, human and government services, and national security of the United States 24 [T]he term "critical infrastructure" means systems and assets, whether physical or virtual, so vital to the United States that the incapacity or destruction of such systems and assets would have a debilitating impact on security, national economic security, national public health or safety, or any combination of those matters 25 In the intervening years, there have been many refinements to the structure of DHS and the various councils and committees established to advise it and the President These developments tended to shift the emphasis of national policy to concentrate on cybersecurrty of the grid, while emphasizing physical security of other critical infrastructures 26 In the wake of Hurricane Sandy's devastating impacts on Northeastern states, the term "resiliency" has been added as a goal of critical infrastructure policies embodied in the most recent changes to the National Infrastructure 20 Executive Order 13010 Critical Infrastructure Protection, Federal Register Vol 61,No 138,July 17, 1996 21 Critical Foundations Protecting America's Infrastructures, President's Commission on Critical Infrastructure Protection, October 1997 22 42 US Code 5195C 23 Public Law 107-296, Sec 214 24 42 US Code 5195C Sec (c)(1) 25 Sec (e) 26 Moteff, John D, Critical Infrastructures Background, Policy and Implementation,Congressional Research Service, February 21, 2014,provides a detailed review of these developments from 1996 to the present 8 ALJ/GK1/jt2 ' ' Protection Plan (NIPP) 27 Resiliency considerations are an important element of substation security planning and risk assessment NIPP, overseen by DHS' Office of Infrastructure Protection, was updated as a result of Presidential Policy Directive-21 (PPD-21) in February 2013 According to DHS director of strategy and policy Bob Kolasky, "[G]rowing interdependencies across infrastructure systems, particularly reliance on information and communications technologies, have produced new vulnerabilities to physical and cyber threats The new plan NIPP 2013, guides efforts across the critical infrastructure community to enhance security and resilience in conjunction with national preparedness policy "28 This emphasis on cybersecurity is largely mirrored by the plethora of federal legislation introduced, considered and occasionally chaptered into law, while physical security has received far less legislative attention 29 4.1. Critical Infrastructure Protection Standards — CIPs In the national regulatory arena, the interplay between the FERC and NERC has largely provided the platform for both physical security and cybersecurity efforts in the electric utility industry FERC is a federal agency, successor to the Federal Power Administration, which has primary regulatory authority over interstate electric and natural gas transmission, hydroelectricity, and wholesale power markets NERC, a not-for-profit, non-governmental body charged with organizing the voluntary reliability efforts of electric utilities in nine regions across the U S , was established as a direct result of the massive 1965 New York blackout The Energy Policy (EP) Act of 2005 created a new hybrid approach to system reliability with designation of an Electric Reliability Organization (ERO) to establish mandatory standards governing operations and information pertaining to the electric utility industry In 2007, FERC designated NERC as the national ERO responsible for writing standards, while FERC retained its authority to review and approve those standards 27 The National Infrastructure Protection Plan is a Department of Homeland Security document which outlines how government and the private sector can partner to develop protocols to protect critical infrastructure Resiliency refers to the ability of the electric grid,or any system,to prepare for and adapt to serious stressors such as physical attack or severe weather events 28 Kolasky Interview with Eric Holdeman in Emergency Management magazine, March 21,2014 See http//www emergencymgmt com/safety/Sharpening-the-Focus-on-Critical-Infrastructure html 29 Fischer, Eric, Federal Laws Relating to Cybersecurity, Overview and Discussion of Proposed Revisions, Congressional Research Service,June 13, 2013 9 'ALJ/GK1/jt2 Even before EP Act 2005, both entities had undertaken approaches to regulating critical infrastructure Immediately after 9-11, FERC began promulgating rules on Critical Energy Infrastructure Information (CEII) that severely limited, then refined, the ability of the public and market participants to access materials like maps and documents that could provide sensitive information about grid vulnerabilities 30 NERC's efforts to create new, largely voluntary, standards for the power system took the form of various Critical Infrastructure Protection (CIP) standards Beginning in 2005,NERC members worked on, and then forwarded for FERC approval, nine initial CIPs, which have become mandatory and subject to NERC enforcement 31 • CIP-001: Covers sabotage reporting, • CIP-002: Requires the identification and documentation of the Critical Cyber Assets associated with the Critical Assets that support the reliable operation of the Bulk Electric System, • CIP-003: Requires that responsible entities have minimum security management controls in place to protect Critical Cyber Assets, • CIP-004: Requires that personnel with authorized cyber or unescorted physical access to Critical Cyber Assets, including contractors and service vendors, have an appropriate level of personnel risk assessment, training, and security awareness, • CIP-005: Requires the identification and protection of the Electronic Security Perimeters inside which all Critical Cyber Assets reside, as well as all access points on the perimeter, • CIP-006: Addresses implementation of a physical security program for the protection of Critical Cyber Assets, • CIP-007: Requires responsible entities to define methods, processes, and procedures for securing those systems determined to be Critical Cyber Assets, as well as the other (non- critical) Cyber Assets within the Electronic Security Perimeters, • CIP-008: Ensures the identification, classification, response, and reporting of cybersecurity incidents related to Critical Cyber Assets, and 30 See FERC's web site for a listing of major CEII regulations, http//www ferc gov/legal/maj-ord-reg/land-docs/cen- rule asp 31 NERC CIPs do not apply to nuclear energy facilities, which are under jurisdiction of the Nuclear Regulatory Commission 10 ALJ/GK1/jt2 1 ' • CIP-009: Ensures that recovery plans are put in place for Critical Cyber Assets and that these plans follow established business continuity and disaster recovery techniques and practices CIP standards undergo regular modification On November 22, 2013 FERC approved CIP Version 5 which includes significant changes and additions to the existing collection of standards 32 The changes are scheduled to become enforceable in 2016 As of early January 2015, CIP-010, Configuration Change Management and Vulnerability Assessment and CIP-011, Information Protection, as well as CIP-014, Physical Security, are standards subject to future enforcement 33 Until the recent adoption by FERC of CIP-014, which is specific to critical facilities in the bulk power system, including substations, but not electric generators,31 CIP-004 and CIP-006 had the most impact on physical aspects of security FERC's initial directive to NERC to formulate these physical security standards indicated that a major component of the rules would be for owners and operators of the grid to perform risk assessment of their system and identify facilities that, if rendered inoperable or damaged, could have a critical impact on the operation of the interconnected grid through instability, uncontrolled separation, or cascading failures FERC recognized that"critical" facilities would be a relatively small subset of all facilities that comprise the electric grid ,[oq the many substations on the bulk power system, our preliminary view is that most of these would not be `critical' as the term is used in this order We do not expect that every owner and operator of the bulk power system will have critical facilities under the reliability standard »35 The standard requires that owner/operators of the grid"develop and implement a security plan to protect against attacks on these facilities "36 32 FERC Order No 791 Final Rule http//www ferc gov/whats-new/comm-meet/2013/112113/E-2 pdf 33 NERC Standards Subject to Future Enforcement http//www nerc com/pa/Stand/Pages/StandardsSubJecttoFutureEnforcement aspx9Jurisdiction=United States 34 RM 14-15-000,approved with modification November 20,2014 35 RD 14-6-000, March 7, 2014, 146 FERC¶61,1666 at P 11 36 FERC news release July 17,2014 11 `ALJ/GK1/jt2 4.2. Other Physical Security Standards Outside of the national regulatory arena, the electric power industry is looking to develop physical security standards for substations, regardless of whether they are part of the bulk power system or local distribution networks not under FERC jurisdiction The Institute of Electrical and Electronics Engineers (IEEE), a professional association founded in 1963, is responsible for developing many standards for equipment and practices used by the electric utility industry, including the widely recognized IEEE 1547 standard for safety of all devices that are interconnected to the grid As of January 2015, IEEE members are developing P 1402, a Standard for Physical Security of Electric Power Substations The standard would "define sound engineering practices for substation physical protection that could be applied to substations that are unmanned, and thus susceptible to unauthorized access, theft and vandalism" The prospective standard is mostly concerned with issues of access, monitoring and delay/deter features to mitigate vulnerability at such facilities P1402 "does not establish requirements based on voltage levels, size or any depiction of criticality of the substation" but rather leaves it up to the facility owners to determine applicability to their assets 4.2.1. Other Industry Standards Several existing industry standards not specifically related to physical security are nonetheless relevant These include National Fire Protection Association(NFPA) and National Electric Safety Code (NESC) standards, as well as International Organization for Standardization (ISO) standards such as ISO 55000 (Asset Management Standard), IS031000 (Risk Management Standard), and ISO 9001 (Quality Management Standard) 4.3. Existing CPUC Regulation and Oversight Activities Commission policies and regulations have long included provisions related to electric grid physical security Commission staff regularly inspects and investigates existing security measures at electrical facilities During inspections of power plants, underground and overhead facilities and 12 ALJ/GK1/jt2 ' substations under General Orders 174, 165, 167, 128 and,95,37 Commission staff verifies the condition and operation of existing physical security protections such as substation fences and lighting, padmount locks, vault covers, and electric generating station security plans The Commission evaluates security measures as part of electric utility rate cases CPUC policies now require the utilities to discuss both safety and risk assessment in every rate case Commission staff annually review electric utility emergency plans, and regularly monitor utility emergency exercises as required by General Order 166 38 In addition, Commission staff investigates incidents related to security at electrical facilities, including both the 2013 Metcalf gunshot attack and the 2014 Metcalf security breach and burglary 4.3.1. Metcalf Attack and Metcalf Burglary On April 16, 2013, a gunshot attack damaged several high voltage transformers and other equipment at Pacific Gas and Electric's Metcalf Transmission Substation south of San Jose No customers lost power and no injuries were reported, but the cost of repairs approached $15 4 million, and the attack rendered the substation inoperable for approximately one month Following this attack, PG&E initiated several changes to its security protocol at this substation Despite these changes, between the hours of 22 10 on August 26, 2014, and 02 41 on August 27, 2014, burglars cut through the fence at the Metcalf Substation and removed tools and equipment valued at $38,651 39 Law enforcement personnel40investigated both incidents with a goal of identifying and apprehending the perpetrators At the same time, staff from the Commission's Safety and Enforcement Division (SED) investigated the incidents to evaluate PG&E's security measures and compliance with Commission regulations 41 Following the 2014 Metcalf burglary, SED directed PG&E to conduct a root cause analysis (RCA)_ into the event Although the full RCA report is confidential, PG&E prepared a non-confidential 37 General Order 95,"Rules for Overhead Electric Lines", General Order 128,"Rules for Construction of Underground Electric Supply and Communication Systems",General Order 165,"Inspection Requirements for Electric Distribution and Transmission Facilities", General Order 174,"Rules for Electric Utility Substations", General Order 167, "Enforcement of Maintenance and Operation Standards for Electric Generating Facilities" 38 General Order 166,"Standards for Operation, Reliability,and Safety During Emergencies and Disasters" 39 PG&E Metcalf Root Cause Analysis Summary report November 21,2014,p2 40 Including local police for both incidents and the FBI for the April 2013 gunshot attack 41 SED's investigation of the August 26-27,2014 incident is on-going 13 ALJ/GK1/1t2 summary document showing its analysis of the causes and major action items it is undertaking in response to both the 2013 attack and the 2014 break-in (See Appendix B) 4.4 Physical Security Activities in other States and Power Agencies Our research indicates California leads the way in efforts to improve electric grid physical security However, some other states and power agencies have undertaken noteworthy efforts in this area Arizona has a history of both grid security events and utility action in response to these events In 2007, security working at a checkpoint stopped a worker carrying a pipe packed with firework explosives In February of 2014, target shooters in the vicinity of a Nogales substation were confronted by plant security and law enforcement In June of the same year, saboteurs detonated a makeshift explosive device near spare oil tanks at a substation in the same general area Law enforcement investigated all of these incidents In March 2014, in the wake of the Metcalf attack, the Arizona Corporation Commission sent a letter to state utility owners asking about planned improvements to mitigate physical security threats in their facilities 42 Arizona utility activities in the security area predate these events In 2000, the FBI established an advisory program on substation grid physical security for Arizona utilities Under the "infragard" program, the federal government shares security information with electric corporations in the state Pennsylvania Utility Code 52 Chapter 101 requires all jurisdictional utilities to prepare physical and cyber security plans as part of their emergency preparation, and to self-certify that those plans meet state requirements 43 The Bonneville Power Administration, a federal power agency operating in the Pacific Northwest, has conducted hundreds of security and risk assessments since 2001, and to 2014 proposed an additional $37 million in capital spending for physical security measures at its critical substations 44 In 2014, Dominion Virginia Power Company proposed increased expenses over five to seven years to harden critical infrastructure against man-made threats Dominion's efforts, which began in 2013 at the most critical substations, included typical physical security improvements, additional 42 Sabotage puts Focus on Threats to the Grid AZcentral June 12,2014 See http//www azcentral com/story/news/anzona/2014/06/12/sabotage-nogales-station-puts-focus-threats-grid/10408053/ 43 Pennsylvania Public Utility Code 52, Section 101 Public Utility Preparedness Through Self Certification 44 Parformac,op crt p 21 14 ALJ/GK1/jt2 ' access control and improved physical barriers, equipment hardening, polymer bushings, and spare equipment stored offsite 45 In February of 2012 the Tennessee Valley Authority began increasing security at its non-nuclear infrastructure, stationing 24-hour contract guards at critical facilities, as well as improving its surveillance method including video analytics, infrared monitoring, and enhanced coordination with local law enforcement agencies 46 An interesting problem in western Africa is the theft of transformers for cooling oil, which residents of the area use for a wide variety of purposes including cooking and as a salve for wounds In 2012 Kenya Power spent about seven percent of its profits replacing transformers, which led them to begin locating transformers in homes, higher up on poles, and in other inaccessible areas 47 5.0. Examples of Physical Security from Other Industries Although different industries may have different specific concerns, and different assets to protect, the methodologies used in security planning, and the types of protections available are very similar to those employed in the electric industry Some notable examples are described in this section 5.1. Physical Security in the Nuclear Industry In addition to the common threats to electrical reliability, the nuclear industry faces unique challenges because of the need for a nuclear protective system to safeguard the fissile material Access to all nuclear plants is strictly controlled with armed guards, fences, and advanced intrusion detections Since the terrorist attacks of September 11, 2001, the nuclear industry has concerned itself with large airplane crash attacks In performing their risk and threat assessment, nuclear generators divide their plants into concentric areas of escalating security, from the outer perimeter or"owner controlled area" down to the 45 Parformac,op cit p 20 46 Parformac,op cit p 19 47 Thieves Fry Kenya's Power Grid for Fast Food Aljazeera December 28,2014 http//www aljazeera com/mdepth/features/2014/12/thieves-fry-kenya-power-grid-fast-food- 2014122884728785480 html 15 ALJ/GK1/jt2 central vital area which houses the actual nuclear material and critical controls To protect these areas, the industry uses various tools, including physical barriers, electronic surveillance, bullet- resisting protected positions, background checks and specialized security forces 48 5.2. Physical Security in the Chemical Industry In 2009, the Department of Homeland Security (DHS) worked with the chemical industry to develop a set of anti-terrorism standards The product of this collaboration is a collection of physical security risk based performance standards and metrics for evaluating the implementation of those standards The Chemical Industry divided asset protection and security strategy into three main areas 1 Physical security 2 Cybersecurity 3 Security Policies, Procedures and Plans The Chemical industry plan defines physical security narrowly, to include (1) perimeter barriers, (2) monitoring and intrusion detection systems, (3) security lighting, and (4) security forces 49 Other entities may take a more expansive view of the definition of physical security to include elements of cybersecurity, information security, and policies, procedures and plans so 5.3. Physical Security for the Financial Sector The financial sector utilizes the same sorts of physical security strategies as the other industries discussed above Layered defenses are used around critical assets and structures such as buildings and data centers These defenses include deterrent and delaying devices such as walls, locks and access controls, detection devices, and policies and procedures for access, as well as security forces when needed 51 48 Nuclear Energy Institute Physical Security http//www nei org/Master-Document-Folder/Backgrounders/Fact- Sheets/Nuclear-Power-Plant-Security 49 Department of Homeland Security(DHS) Risk Based Performance Standards Guidance Chemical Facility Antiterrorism Standards May 2009, p148 50 Part of the Commission's task in enforcing Senate Bill 699 will be determining what falls under the rubric of "physical security" 51 Enterprise Risk Management PC1 Security Systems 2014 See http//www emrisk com/knowledge- center/newsletters/physical-security 16 ALJ/GK1/jt2 ' 5.4. Military Physical Security Army field manual FM 3-19 30 spells out security measures for army facilities Not surprisingly, the field manual lists common physical security measures such as Protective Barriers, Lighting, Electronic Systems, and Access Control 52 The field manual recommends a system based approach including risk, threat and vulnerability assessment 6.0. Risk Based Physical Security for the Electric Grid 6.1. Risk Management Process The risk management process is an accepted methodology used either implicitly or explicitly in most threat prevention strategies RU I IN r- RISK - -_ C-'77-` �)11 0 r The Risk Management Process53 Typically, risk management involves a process of risk and vulnerability identification and assessment, risk mitigation or control, and a monitoring process based on performance standards Without divulging the specific activities of any particular utility, discussions at both the open and 52 Army Field Manual FM3-19 30 2001 See https//www wbdg org/ccb/ARMYCOE/FIELDMAN/fm31930 pdf 53 Risk Management Suwanee County Florida See http //www suwcounty org/mdex php9option=com_content&v►ew=art►cle&id=32&ltem►d=67 17 ALJ/GK1/it2 closed sessions of the CPUC June 2014 physical security workshop indicated that all utilities use some sort of risk and vulnerability assessment to plan for physical security protections, and utilize similar physical threat mitigation techniques 6.2. Risk Identification and Assessment (Evaluate Risks, Threats, and Vulnerabilities) The first step of a risk based process is the identification of all potential risks, threats and vulnerabilities, then the classification or assessment of these risks In assessing risk, evaluators look at all potential threats, analyze the vulnerabilities of equipment to those threats, evaluate the likelihood and impact of an event occurring related to that threat, and assign a risk priority to the threat Some risk evaluators use tools developed to identify and access threats One such tool is the so- called CARVER matrix, developed by Special Forces during the Vietnam War 54 The acronym CARVER stands for Criticality, Accessibility, Recuperability, Vulnerability, Effect and Recognizability 55 In the electric industry, threats can be classified by the source and the methodology As to the source of physical risks and threats, they can potentially emanate from vandals or thieves, disgruntled employees and possibly terrorist entities The methodology of attack can include vehicle (land or aerial) attack, human intrusion for purposes of damaging or stealing equipment, gunshots, bombings or attacks with other weapons 56 Advanced modern forms of attack could potentially include electromagnetic pulse weapons which can disrupt grid operations As part of this threat identification process, and throughout the risk management process, the utility will also look at the vulnerability of the assets to different types of attacks 54 Tucson Electric Power used this methodology in developing its plan for compliance with NERC CIP 14 Tucson Electric Power Presentation,September 2014 55 Bennett, Brian T (2007) Understanding, assessing, and responding to terrorism protecting critical infrastructure and personnel(2007 ed) John Wiley& Sons ISBN 0-47 1-77 1 52-X 56 A representative from Lawrence Livermore Laboratories, commenting at the 2014 CPUC substation workshop, indicated that while possible, bombings of substations were less likely than other modes of attack 18 ALJ/GK1/jt2 ' After enumerating all potential risks, the utility will classify the risks according to probability of occurrence and severity of impact This type of assessment generally leads to the development of a risk matrix 57 F! t �� Jann i � r rT Owl Risk Matrix Probability considerations include (but are not limited to) 1 Geographical location 2 Ease of access, vulnerability of asset to attack 3 Criticality or importance of asset to the delivery system 4 Local demographics 5 Existing natural barriers 6 National security intelligence and reports, current security climate The probability of some specific risks may depend on specific unique factors Copper theft is always a major issue for utilities at the distribution level Not only does this theft involve a large loss of property, but vandals are frequently killed or injured stealing copper As a result, twenty six states have considered legislation to reduce or prevent copper theft, primarily by controlling the businesses that reclaim copper 58 Despite the fact that copper theft is always a problem for utilities, the probability can be tied to specific external factors such as economic conditions and the cost of copper All of these factors should be included in a risk management probability assessment 57 Risk Management AcQNotes 2014 http//www acgnotes com/Tasks/Element-3-Assess-and-Document-Risk html 58Copper Theft Survey Electric Safety Foundation International 2014 See http//esfi org/mdex cfm/page/ESFI- Re leases-Res ults-of-National-Utility-Copper-Theft-Survey/cdid/10357/p id/10262 19 ALJ/GK 1/1t2 To evaluate the severity or the impact of a successful attack, security planners consider the potential impact of loss of a particular asset Potential results of a successful physical attack on distribution facilities can include death or injury to the public or workers, financial loss through equipment replacement, health and safety ramifications due to loss of power or stability in the electric system Some impacts, such as financial loss, can be relatively easily quantified Others are less tangible To determine the likely potential impact of attack on a specific facility or asset, considerations should include (but are not limited to) the following 59 1 Type of facility- generation, substation, transmission or distribution, 2 Criticality of facility to operation of the grid, 3 Criticality of the facility based on customers, 4 Ease of restoration of the facility, replacement spares, cost of replacement, 5 Ability of the grid to function normally given loss of the particular asset (redundancy or resiliency concerns) These redundancy or resiliency concerns include the difficulty of repair, the availability of alternative paths in the grid, presence of effective remedial action schemes, and the availability of spare parts In general, the threat considerations and mitigation techniques for generating stations would be similar to those for substations Generating stations contain physically larger targets (such as boilers) and large transformers, to particular the main step-up transformer, but are more likely to be manned and guarded Additionally, according to NERC, although it may have a significant effect on local reliability, the loss of one generator is typically not as damaging to grid stability as the loss of a critical transmission substation 60 6.3. Risk Mitigation (Control Risks) 6.3.1. Physical Mitigation 6.3.1.1. Mitigating Threats to Substations Physical mitigation of threats to electric facilities includes deterrence or prevention, detection, and response As discussed above, the Department of Homeland Security, in planning for the Chemical Industry, defined physical security narrowly, to include perimeter walls and fences, intrusion 59 CPUC Substation workshop discussions,June 2014 60 FERC Notice of Proposed Rulemaking Docket RM14-15-00 July 17,2014 P22 20 ALJ/GK1/it2 ' detection, lighting and security forces Expanding on that narrow definition, it is possible to delineate general areas of physical security measures under the headings of deterrence, detection, and response • Deterrence (or prevention) includes, but is not limited to o Walls, gates, locks and fencing (consider whether intrusion will be by human or vehicle and what types of vehicles might intrude) ■ Layered concentric approach ■ Surrounding entire substation or individual equipment ■ Chain link, concrete, vinyl, metal, wood, barbed wire, razor wire, cinder block, block, cables ■ Opaque fencing or walls to prevent visual sighting of substation equipment o Signage ■ High voltage signs, guard signs, signs indicating existence of cameras o Guards ■ Manned stations, patrolling, specially trained guards o Lighting ■ Properly designed lighting both deters intruders and makes intruders easier to identify o Vegetation management ■ Removal of attacker concealing shrubbery from perimeter of substation, removal of shrubbery from substation fencing • Detection (Monitoring) includes o Cameras ■ Video, pan-zoom-tilt, inward pointing or outward pointing61 o Intrusion detection ■ Infrared, Motion sensors, fence mounted, beam sensors, open area sensors, acoustic o Gunshot detection o Aerial surveillance, manned or unmanned 61 As part of its strategy following the Metcalf incident, Pacific Gas and Electric decided to change its focus to increase both inward and outward pointing cameras to detect threats Substation Workshop Comments,June 2014 21 ALJ/GK1/jt2 o Analysis of unusual or increased traffic patterns or other activity near electrical assets o Equipment alarms (in conjunction with intrusion or gunshot detection can indicate presence of attack or malevolent actor) ■ Low oil alarms (can indicate gunshot), temperature alarms, ground fault alarms ■ Gate or door alarms ■ Alarm interpretation and integration systems, control centers to eliminate human error In addition, utilities may need systems to interpret alarms from detection equipment For example, a detected gunshot followed immediately by some sort of equipment failure alarm may represent gunshot damage to a piece of equipment Similarly, an intrusion alarm followed by an equipment alarm may indicate a vandal removing equipment or copper In these instances cameras can also be used to attempt to identify the exact nature of the attack • Response (minimize effects of attack) o Advanced technology ■ Self-sealing transformer, hardened equipment and cooling systems, gunshot resistant polymer bushings o Improving Resiliency ■ Multiple alternate paths for delivery of electricity ■ Effective remedial action schemes to minimize effect on other facilities o Improving Restoration62 ■ Ready spares ■ Cooperative agreements for manpower and equipment sharing with other utilities ■ Advanced communication systems (SCADA, microwave) ■ 24/7 monitoring of alarms 62 The CPUC staff report on the 2011 Southern California Windstorms, Investigation of Southern California Edison Company's Outages of November 30 and December 1, 2011,recommended several areas of improvement for Southern California Ed►son's(SCE's)emergency response procedures Additionally, CPUC General Order 166 requires utilities to prepare emergency response reports 22 ALJ/GK 1/jt2 ■ Drills with local first responders ■ Emergency planning • FEMA Incident Command System(ICS) and National Incident Management System(NIMS) training and programs 6.3.1.2. Mitigating Threats to Overhead and Underground Facilities In a February 2014 article on the PG&E Metcalf Substation attack, the Wall Street Journal reported "Overseas, terrorist organizations were linked to 2,500 attacks on transmission lines or towers from 1996 to 2006, according to a January report from the Electric Power Research Institute "63 In the United States, underground and overhead electric facilities regularly sustain damage from vandals and thieves, if not from terrorist entities However, sophisticated mitigation and prevention is not as critical because spares and repair staff are nearly always available With exceptions, electric utilities also maintain some redundant paths for delivery of power at the transmission and distribution levels A 2006 California"heat storm" which resulted in overheating damage to numerous distribution transformers, and a 2011 windstorm in Southern California demonstrate that widespread damage to overhead or underground distribution facilities can cause extended outages and significant restoration costs However, the sheer number of these facilities renders them difficult to protect, while the availability of more attractive targets such as substations makes overhead and underground distribution facilities less likely to sustain a terrorist attack Rather than trying to completely protect each pole or tower, utilities typically concentrate on maintaining spares and developing effective restoration plans Still, some cost effective mitigation efforts are advisable, and in some cases mandated by existing Commission rules, specifically General Orders 95 and 128 These security mitigation efforts also help from a safety standpoint Typical mitigation efforts for these facilities include 63 Smith, Rebecca "Assault on California Power Station Raises Alarm on Potential for Terrorism" Wall Street Journal, February 5, 2014 23 ALJ/GK1/jt2 o Removing pole steps to make poles more difficult to climb o Climbing guards on tower and lattice structures o Locking devices on pad mounted transformers and switches o Fasteners on vault covers o Over-insulation on transmission towers including oversized or redundant insulators and gunshot resistant polymer insulators o Signage warning of shock hazard or in some cases surveillance Additionally, given the existence of important, high capacity submarine cables, such as the Trans- Bay cable, utilities should include the protection of these assets in their security plans where applicable 6.3.1.3. Spare Parts Programs and Planning An electric substation typically consists of transformers, circuit breakers and relays, which provide protection for the power lines and substation equipment, batteries for back-up and to operate the relays, and other ancillary switches, buses and equipment Because a substation contains large pieces of important equipment in a centralized location, it could be an attractive target for thieves, vandals, and other malevolent actors The substation power transformers are of particular concern in security planning because they are critical to the operation of the substation, are large targets, with several areas of vulnerability (bushings, oil tanks, controls), in general are unique to the substation, are costly and require large leads times for replacement According to the United States Department of Energy, lead times for high voltage transformer replacements can vary from 6 to 20 months, and each transformer replacement can cost over 10 million dollars each 64 For large items such as transformers, utilities may maintain formal and informal sharing and cooperative arrangements with each other Some formal sharing agreements also exist under the NERC Spare Equipment Database and Edison Electric Institute Spare Transformer Equipment Program 6s Other assets in the electric system include poles, towers, lines, bushings, small transformers and capacitors, and associated equipment For such equipment in the lower voltage distribution system, 64 Parfomak, op cit, p 4 65 Electric Power Research Institute Power Transformer Emergency Spares Strategy October 2014 24 ALJ/GK1/jt2 utilities typically maintain a significant number of spares Additionally, distribution level parts do not typically present the logistic and lead-time problems associated with transmission level equipment 66 6.3.2. Policies and Procedures Related to Physical Security Utility policies and procedures should support the physical security measures These policies and procedures include background screening of personnel, training, access control processes, and drills and exercises Given the complexity of modern technology used in security systems, training of guards and security control center personnel is crucial Additionally, these security employees (or contractors) must be provided with clear policies and procedures PG&E's summary report on the causes of the breakdown in security during the Metcalf burglary identified training and updated procedures as key action items 67 All training programs and policies should be reviewed regularly Training programs should include employee testing, and retesting on regular basis, and must include provisions that stimulate real-world scenarios if possible All protection equipment such as alarms, intrusion detectors, lights, and cameras should be properly maintained and tested frequently Thorough preventive and predictive maintenance programs should be developed for the security of such equipment Some testing and inspection should be performed as part of routine substation inspections To dissuade thieves and vandals, valuable material should never be stored in plain sight in a substation 6.3.3. Other Considerations for Risk Mitigation Planning 6.3.3.1. Cost Considerations Any security mitigation plan must take into account the costs involved In particular, for investor owned utilities which must recoup costs through rate mechanisms, it is important to consider the cost of security measures to the end customer Tall walls, large security forces and advanced technology might provide the ultimate in security but in many cases will be excessive, and will present an untenable burden, particularly to low income residential customers 66 Discussion at physical security workshop CPUC June 2014 67 PG&E Metcalf Root Cause Analysis Summary report November 21,2014,p6 25 ALJ/GK1/1t2 As part of that consideration, the utility must not only take into account the nature of threats and the type of facilities it owns, but the nature of its rate base and the cost which the customers can support Every decision should include the consideration of multiple alternatives, and a cost- benefit analysis Some costs, such as the price of a wall or the actual replacement cost of an asset damaged by a successful attack, are clear Tools and rubrics exist for calculating the numerical cost of loss, including Annual Loss Expectancy calculations 68 Devastating losses, such as loss of life, and other intangible losses, such as organization reputation, are more subjective Accounting models exist for comparing alternative expense choices and evaluating long and short term costs as well as opportunity costs For example, in Southern California Edison's (SCE's) 2015 rate case, SCE analyzed the costs and benefits of utilizing advanced security guards, compared to an alternative approach of utilizing some security guards along with detection equipment and software analysis 69 SCE determined it could achieve significant savings without sacrificing security by using the combined approach Finally, when utilities perform risk-benefit studies, they may perform more comprehensive analysis, considering security risks as part of the entire constellation of risks to service, such as extreme weather events, earthquakes, or failure of other facilities which may affect the performance of the facility in question 70 The CAISO typically performs its reliability studies in this manner 6.3.3.2. Environmental Impact Considerations Investor-owned utilities are required to obtain permits from the CPUC for construction of certain specified infrastructures listed under Public Utilities Code (PU Code) sections 1001 et seq, including distribution facilities 71 Typically, as part of the CPUC`s permit application review and decision-making process, the CPUC, as the lead agency, conducts an environmental review 68 Malashenko,Villareal and Erikson Cybersecurity and the Evolving Role of State Regulation How it Impacts the California Public Utilities Commission September 19,2012, p3 69 SCE General Rate Case 2015 Testimony SCE-07, Volume 4, p 41 70 For example,failure of a gas delivery system may affect the reliability of a power plant These considerations are known as"co-located facility" considerations 71 The CPUC reviews permit applications under two concurrent processes (1)an environmental review pursuant to the CEQA, and(2)the review of project need and costs pursuant to PU Code sections 1001 et seq and General Order (G O) 131-D(Certificate of Public Convenience and Necessity(CPCN)or Permit to Construct(PTC)) 26 ALJ/GK1/jt2 pursuant to the California Environmental Quality Act (CEQA) 72 The CEQA process requires the lead agency to identify potentially significant environmental impacts to several impact areas, and to avoid and/or mitigate any environmental impacts found to be significant If the CPUC approves the permit application, it issues a decision approving the construction, which would adopt environmental mitigation measures and a mitigation monitoring plan This section discusses common CEQA environmental mitigation measures related to distribution facility and substation projects that may need to be considered in utility distribution system physical security planning One should keep in mind that CEQA mitigation measures are project specific and the discussion in this section is a general approach to environmental consideration when developing physical security plans When assessing environmental impacts under CEQA, it is often determined that the introduction of a new land use, such as a substation, to the project area would result in land use changes/impacts as well as potential long-term visual quality impacts to the surrounding area Generally, a new substation would result in the degradation of existing visual character/quality of the substation site and its surrounding area, or the creation of a new source of light or glare that would adversely affect day or nighttime views in the substation area 73 Common environmental mitigation measures for preserving existing visual character/quality require the project proponent to establish a landscaping and maintenance plan for a permanent vegetative screening and to coordinate with local land use planning department/agencies to ensure consistency with applicable visual resources goals and policies The following common mitigation measures could be part of the landscaping and maintenance plan developed by the project proponent and submitted for review and approval by the relevant local agency, such as the city, county, or other agency with land use jurisdiction • Vegetative screen of sufficient height and density to provide for visual screening around the substation and all substation components, consistent with safety, feasibility, and engineering requirements • Visually opaque gate at substation entrance to obscure views through the gate from the substation site entrance road 72 The CEQA Guidelines are codified at Title 14 California Code of Regulations section 15000 et seq 73 Appendix G of the CEQA Guidelines identifies the circumstances that can lead to a determination of a significant impact 27 ALJ/GK1/jt2 • A perimeter wall of sufficient height to obstruct views into the facility, in addition to exterior landscaping To address the environmental impacts created by a new source of light or glare from the substation that would adversely affect day or nighttime views in the project area, mitigation measures for light and glare might ensure all lighting is shielded, directed downward, and of minimum brightness necessary for safety, and that no direct or excessively bright reflective light would be present off- site, as follows • Shroud and minimize unnecessary sources of light Design and install new permanent substation lighting such that light bulbs, lenses, and reflectors would not be visible from public viewing areas so that the lighting does not cause reflected glare and that illumination of the project, vicinity, and nighttime sky is minimized a Lighting could be designed so exterior light fixtures are hooded where possible, with lights directed downward or toward the area to be illuminated and so that backscatter to the nighttime sky is minimized b Design of the lighting could be such that the luminescence or light source is shielded to prevent light trespass outside the project boundary • Lighting could be restricted to the minimum necessary brightness consistent with worker safety and Occupational Safety and Health Administration (OSHA) requirements • Lighting could be kept off when the site is unoccupied in order to minimize nighttime sky illumination, and could only be switched on during the nighttime in order to perform maintenance or outage repairs As stated above, this discussion is intended to be general and to highlight common environmental mitigation measures that may need to be considered as part of physical security planning for distribution facilities However, as part of the rulemaking for rules for distribution physical security, the CPUC may ask the parties to review CEQA documents and other sources to determine other applicable environmental impacts and mitigation measures for consideration 28 ALJ/GK1/jt2 We note that, in a CEQA review, the safety impacts of potential environmental mitigation measures should be an important consideration in assessing their feasibility With the increased emphasis on physical security, perhaps there will be creative developments in measures that mitigate environmental impacts without creating security concerns 6.3.3.3. Miscellaneous Considerations Some other considerations in development of physical security plans include local geography and demographics, customer base, facility design, environmental rules and considerations beyond CEQA requirements, local codes including aesthetic considerations, and the population in the vicinity of electric facilities To incorporate these considerations, the utility should use sound engineering judgment, experience and consider the national security climate 6.4. Metrics (Review Controls) The risk management process is a dynamic methodology Along with identifying and assessing risk and developing and implementing a mitigation strategy, security planners should develop a set of metrics to determine if their strategy is optimal, and use these metrics to make strategic adjustments where necessary The use of metrics also becomes critical in the context of regulation which will be, at least to a certain extent, performance based 6.4.1. Prescriptive versus Performance Based Regulations In general, two possible models exist for regulation—a strict prescriptive approach, or a performance based approach Under a prescriptive approach, the regulation requires the utility (or other regulated entity) to comply with specific design or operational requirements In other words, the regulation dictates exactly what actions the utility must take to remain in compliance, and exactly "how" the utility should perform these actions In a performance based regulatory structure, the regulation does not specifically detail "how" the utility must comply, but requires instead that the utility must address a certain issue (such as physical security or environmental requirements), and must meet certain performance metrics 29 ALJ/GK1/jt2 For example, a prescriptive environmental regulation might require all electric generators to be built with selective catalytic reduction equipment to control emissions A performance based requirement might require the utility to develop an emission control plan that reduces emissions to a certain level or by a certain amount Electric distribution systems differ immensely from one utility to another Geography, weather, local construction codes, size of territory, demographics of area, types of customers, and design of substations and other facilities vary significantly, particularly between small, mainly rural utilities and larger, urban utilities Because the nature of utility physical security is not one-size fits all, a prescriptive approach can have some major deficiencies • Some prescriptive requirements might be applicable to some facilities and not others, • Security, technology and best practices rapidly evolve Prescriptive rules could impose inefficient, ineffective, and out-of-date requirements, • Prescriptive requirements may not address significant new threats, • Prescriptive requirements could require almost constant revision For these reasons, a performance based approach is often more effective than a prescriptive approach Under a performance based approach, the compliance of the security plan is based on how well the implemented plan meets metrics established by either the utility itself or a regulating body 6.4.2. Control Metrics for Utility Distribution Systems Control metrics can include both quantitative or statistical metrics and qualitative performance metrics Examples of quantitative metrics for distribution physical security measures include tracking copper theft, successful or unsuccessful intrusion or attack, false or nuisance alarms, condition of all monitoring equipment, performance of security personnel in training exercises and on tests, results of substation inspections including number of problems found with condition of deterrence and monitoring measures, instances of vandalism or graffiti, problems with access control, number of malfunctions of security equipment, or camera coverage Of course, any 30 ALJ/GK1/jt2 4 " attempted or successful attacks should be reflected in the metrics Resiliency and restoration capabilities can be tracked through outage restoration time data and asset loss simulations 74 One example of qualitative metrics is using a subjective expert analysis to compare a planned or existing protection scheme to a developed standard metric For example, for efforts to detect threats, the Chemical Industry compares programs to various standard "tiers" of acceptability The industry describes the lowest"tier" of acceptability (Tier 4) as The facility has some ability to detect attacks at early stages The highest tier (Tier 1) is presumably the "gold-standard" in attack detection The Chemical Industry describes this level of protection as The facility has a very high likelihood of detecting attacks at early stages through countersurvecllance,frustration of opportunity to observe critical assets, surveillance and sensing systems, and barriers or barricades To achieve this level of detection, a facility could,for example, maintain a facility-wide intrusion detection system that is continually monitored from a Security Operations Center and has an adequate backup capability 75 In addition, utilities can develop various test scenarios or exercises and evaluate the performance of their security systems under stress These can include both tabletop and actual attempts to breach the security system to determine its effectiveness Because large scale attacks are rare, the utility should simulate attacks or other actions such as third party surveillance of a station or other asset, and record quantitative metrics from these tests Finally, an analysis of any security related findings from facility insurance inspections (often conducted by independent security and risk experts) or internal utility audits can provide both quantitative and qualitative indications of the effectiveness of existing security measures 74 Evaluating utility benchmark outage data such as the Customer Average Interruption Duration Index(CAIDI)can provide an indication of potential restoration time after any event 75 Department of Homeland Security(DHS) op cit p 58 31 ALJ/GK1/jt2 7.0. Proposed Next Steps for the Commission As stated above, existing Commission rules have long addressed electric distribution system physical security The attacks on the Metcalf Substation make it apparent that there is a broader role for regulatory oversight in this area Because of new state requirements pursuant to Senate Bill 699, the path forward for the Commission is somewhat clear, at least initially Senate Bill 699 (amending Public Utilities Code Section 364) requires the Commission, by July 2015 to imtiate a proceeding to develop rules for addressing physical security risks to the distribution systems of electrical corporations Section 364 further states (in part), The standards or rules, which shall be prescriptive or performance based, or both, and may be based on risk management, as appropriate,for each substantial type of distribution equipment or facility, shall provide for high-quality, safe, and reliable service and, In setting its standards or rules, the commission shall consider cost, local geography and weather, applicable codes,potential physical security risks, national electric industry practices, sound engineeringjudgment, and experience 7.1. Development of Rules Required by Senate Bill 699 7.1.1. Potential Model for Rules for Physical Security Given differing geographical locations, designs, cost considerations, and other factors, it would be imprudent to rely solely on prescriptive "one-size fits all" physical security requirements for distribution76 facilities for all electric utilities Instead, a risk based-performance approach, similar to that seen in the chemical industry, is one feasible approach 77 76 Note that while Section 364,mentions the"distribution"system,the statute does not define the term As part of the rulemaking process,the Commission should decide what sorts of facilities the new rules apply to This could include all substations and power lines at all voltage levels, as opposed to only those lower voltage facilities typically considered as"distribution"assets 77 What is presented here is only one potential model for enforcement of the changes to PUC Section 364 under Senate Bill 699 The final decision will be based on a rulemakmg proceeding,potentially with stakeholder workshops 32 ALJ/GK1/jt2 Electric utilities already evaluate risks in security planning It is likely that all electric utilities will consider similar threats and risks, and utilize similar considerations (cost, resiliency, restoration difficulty) in evaluating those threats However, because the Commission has certain mandates from new and existing legislation, along with certain established priorities (e g , cost considerations and environmental protection), a hybrid plan, including risk based performance rules with some general semi-prescriptive guidelines, may be optimal The new NERC CIP-014-1 standard, along with the processes developed under CPUC General Order 174 for Substation Inspections and CPUC General Order 167 for Power Plant Operations and Maintenance present good potential starting points for an enforcement model Under NERC CIP-014-1, bulk power transmission owners are required to identify critical substation assets, identify and assess risks to those assets and develop a unique physical security strategy to mitigate those risks The NERC standard mandates that each step in the process be vetted by an independent expert General Order 174, Rules for Electric Utility Substations, requires each utility to develop and follow an inspection program for its substations, and to update that program as necessary The General Order requires utilities to follow accepted good practices in the development of these programs, and Commission Decision 12-10-029, which approved the General Order, required the electric utilities to establish these accepted good practices, along with Commission staff, through a series of annual workshops Finally, General Order 167, Enforcement of Maintenance and Operations Standards for Generating Facilities, represents a performance based standard with a set of guidelines A potential structure for rules to be considered pursuant to the new requirements in Public Utilities Code Section 364, adopted pursuant to Senate Bill 699, could require each electric utility to use a risk based approach to identify and assess risks to its distribution system, and prepare and follow plans to mitigate those threats The electric utilities could be allowed to decide to evaluate each asset separately, or develop a tiered system of protection and classify assets within that system The Commission could also require the electric utilities' plans to meet certain general guidelines (see Section 7 1 1 1 below) 33 ALJ/GK1/jt2 Potentially the Commission could require security plans to be vetted by established security organizations, which could also provide expertise on protection of sensitive information A critical portion of a utility's plan would be the development of metrics and consistent testing of the effectiveness of the plan The Commission has some guidance with respect to metrics in the DHS Chemical Industry Risk Based Performance Standards However, the electric utilities should propose quantitative metrics for the electric industry The metrics should include testing and drills, including surprise drills and simulated attacks, to evaluate and monitor the effectiveness of the plans For such tests, the utilities should utilize outside expertise where necessary Under this suggested model, some electric utilities might not need to make changes to their existing physical security measures For many small distribution substations, typical physical security protections are limited to chain link fences topped by barbed wire, signage, locked gates, appropriate lighting, alarms and access control policies They may include a camera or simple intrusion control device For such substations, these security protections may be adequate and the electric utility might not need to upgrade or change them The proposed model would, however, require the electric utilities to justify their new or existing security measures using a risk based protocol Of course, if a thorough risk based analysis identifies any deficiencies in existing physical security measures, the utility must make the appropriate material changes to bring its facilities into compliance 7.1.1.1 Guidelines and Industry Standards Along with this performance based model, the Commission should adopt at least high level prescriptive guidelines It is impossible for Commission staff to inspect and evaluate the security needs at the thousands of substations in the state However, the Commission can adopt guidelines for the development of the plans Potential guidelines to consider including along with the risk based process requirements might include o The utility physical security plans should include strict timelines for implementation of the plans 34 ALJ/GK1/jt2 o The utility physical security plan should include consideration of risk and vulnerability to communication facilities necessary for effective operation of alarms and monitoring equipment o Relevant cybersecurity measures should be designed into the physical security program o The utility should consider manning or guarding some assets, and provide a clear Justification for when such measures are necessary or unnecessary o The utility should provide a clear justification for perimeter boundaries, such as walls and fences, which includes an analysis of the types of vehicles which might attack and at what speed o The utility should explain its choice in monitoring and intrusion detection equipment given the location, geography, threat profile, and demographics of the area The utility should present a plan for consistently inspecting and testing this monitoring equipment under simulated real life events o The utility should develop preventive maintenance and inspection programs for all physical security related facilities, structures and equipment o The utility should perform lighting studies at all facilities to determine the optimal lighting system to deter attacks o The utility should perform a full analysis of vegetation present in the vicinity of the facility and the threat it poses to the physical security o The utility should consistently test its alarm systems and any alarm interpretation software It should consistently work to eliminate false alarms o The utility should look at each asset separately and determine the effect on the grid of the loss of that asset, and the availability of spares and estimated restoration times o The utility should review its emergency response and preparedness and business continuity planning in conjunction with the development of its physical security plan o Where appropriate, when developing physical security plans, utilities should consider any special implications related to the protection of modern grid assets including, but not limited to, communication and control devices such as phase 35 ALJ/GK1/jt2 measurement units, gas insulated substations, inverters, energy storage devices and other distributed generation components o The utility should include physical security equipment, policies and procedures in any corporate quality assurance (QA) and continuous measurable improvement (CMI)programs o The utility plan should include an effective root cause analysis program for analyzing security failures, including failures during testing and drills o The utility should look at each piece of equipment in the substation or comprising any other asset separately and determine what the threats to that piece of equipment are, and what vulnerabilities exist For example, ■ What is the most critical piece of equipment in the substation? What is the most vulnerable? The transformers? The batteries? The bushings? The cable terminations? The relay room? ■ What are the major modes of attack on those pieces of equipment? Does the mode or method of attack change depending on the season, or the time of day ■ What are the possible modes of protections for those assets and what are the costs? Does the criticality of the piece of equipmentjustify the mitigation cost The Commission should require that the electric utilities demonstrate they considered cost, environmental impact, existing threat levels, national security information, and other important variables identified in Senate Bill 699 and discussed elsewhere in this whitepaper The Commission could also require the electric utilities to follow directives of industry groups such as the Institute of Electrical and Electronics Engineers (IEEE) Substation Physical Security standard, which focuses on theft and vandalism 78 Both FERC and NERC have developed guidance and best practice documents related to physical security, primarily for the bulk power grid In 2013 and 2014 FERC staff, along with other energy industry and security agencies, held a series of meetings with utilities and law enforcement to discuss physical security of the grid In 78IEEE Standards Association 2014 See http//standards ieee org/findstds/standard/1402-2000 html 36 ALJ/GK1/jt2 ` 2013 NERC published its latest guidelines on physical security, Security Guideline for the Electricity Sub-sector Physical Security Response 79 The Commission could also mandate ongoing workshops to determine accepted good practices in this area, as it did in Decision 12-10-029 adopting General Order 174 for substation inspections At a later date the Commission may decide to add more specific prescriptive guidelines or requirements (e g , all facilities of a certain type must utilize a particular deterrent or detection measure) Regardless of whether these new regulations contain requirements for information sharing between utilities, the electric utilities should consider developing a forum for sharing best practices and lessons learned If the Commission requires the utilities to develop and submit physical security plans, Commission staff could review the plans and utilize existing industry standards to determine if the plans meet the requirements of Public Utilities Code Section 364 and any implementing Commission decision Commission staff could physically inspect security measures as part of routine substation or distribution audits, or in new focused security inspections The Commission might consider contracting with third party security experts in these evaluations or for training of staff to perform these evaluations In addition, Commission staff may observe drills that the electric utilities conduct to evaluate the effectiveness of the physical security measures adopted 7.1.2. Protection of Sensitive Information Given the Freedom of Information Act and the California Public Records Act, along with Commission policies in favor of greater public disclosure,80 a major concern expressed by the electric utilities during the CPUC June 2014 workshops is the confidentiality of security and business sensitive information The Commission could limit the information that must be given to the Commission to only the information necessary for the Commission staff to perform their work Additionally, Senate Bill 699 allows the Commission to redact sensitive security information from public disclosure Utilities submit confidential information under the provisions of Public Utilities Code 583 and General Order 66-C, which identify certain information as exempt from public disclosure 79 Parformak, Paul op cit, p 17 80 See Resolution L-436, Resolution Regarding the Disclosure of Safety Related Records, February 14,2013 37 ALJ/GK1lt2 requirements It is important that all documents receive careful scrutiny before any public release, to avoid disclosing sensitive infrastructure information A Commission whitepaper on cybersecurity expressed similar concerns 81 In order to lower the risks and barriers to sharing information with Commissioners and CPUC Staff, safe harbor provisions may be useful to open up lines of communication between utilities and the CPUC Safe harbor provisions, coupled with new protections around public disclosure of sensitive data, could result to a beneficial exchange of information and a greater openness between utilities and the CPUC Information regarding distribution assets might be less likely than other system information to fall under the protections of the Protected Critical Information Infrastructure (PCII) program 82 Regardless, it might be helpful for staff to obtain PCII training and certification The Commission might wish to solicit outside organizations, e g , think-tanks or other governmental agencies, to review the Commission's procedures for handling sensitive information 8.0 Conclusion Recent events and increased public awareness directed toward electric grid security, as well as the limited breadth of federal standards, make distribution physical security an important issue at the state level Recent California state legislation requires the Commission to develop rules for distribution physical security Given the wide array of threats, equipment designs, and financial abilities within the utility industry, a completely prescriptive regulatory framework is likely not workable Therefore, the Commission should consider a hybrid risk informed, performance based approach, with high level prescriptive guidelines Under this model, the electric utilities should develop security plans for their distribution facilities along with metrics to evaluate the effectiveness of those plans These plans should meet accepted industry best practices Each electric utility should submit its physical protection plan to the Commission andjustify its plan 81 Malashenko, Villareal and Erikson Op c►t p16 82 Protected Critical Infrastructure Program DHS 2014 See http//www dhs gov/protected-critical-infrastructure- information-pcii-prograrn 38 ALJ/GK1/jt2 ` using a cost-benefit analysis employing risk management techniques The electric utility should also report annually on its compliance with the Commission's rules, as required by Section 364 After determining the type of facilities to be covered by the Commission's rules, the Commission should require each utility to • Develop risk based physical security plans for its facilities Plans should include preventive maintenance programs • Justify those plans based on current industry best practices and a thorough risk assessment • Potentially utilize independent third party security experts to prepare and vet the plans • Present a schedule for implementation of the plans • Consider multiple alternatives and include metrics for evaluating the efficacy of the plans The metrics should be quantitative where possible, and the utility should develop tests and drills to stress and evaluate the physical security plan • Submit the plans for approval by the Commission 39 ALJ/GK1/Jt2 Appendix A Sert�ie BID N(L 6" C:I"IAFyMR kO An aet m ameM Section A4 of the Public Utilities Ctade mlarina to public utilities ~ IAPFrv-d by(➢wenvu bapmmb+CV 75,701 a Filed witli Se�swrq vtStaie SaFec,ubar'�S::P{d,l legislattvc counsel s digc$t SB 699;Mt I Public uuhtt r electrical corponuianf t$ndercxisiiitg-law, 'thc"Public Utdtues ConiTuision hiaa,regulaton autharity over public ecaporatianv,,as drf,riccl t�uetiflg'tan t+xptiitls ibe.enmmissta t to adopt irnpeeam•m;Qatenimce, repair.and replacement stan'rds fgr the dtstriAuunrt sy iterrts of ejeatncztl "cor}mmtirina;m cr trtpt tde`high quality,-wrc,and reliable servioo. Exi4mg'lau requires the cantraiNsiam to conduct ri rmew to detararinc u hcther the standards have bccn met and to perform the?aiew after every major outage Thw bill woulCl raqutte,the commission,In a new"prviceedin&or new ptwsc,of an existzng proceedscl,to'cornmetice en�lxlora Jv}y 1 2,i115. to consider adopting rulr-s' to,addrms,physival,,Kcurity rLs4 to the distribution tsvvcrn.*c`ufclecincal corporrstion�: Under existing lace,a violitttan of the Pubifo UtiWen Act at anv order, dewim tul, dvv*tion,deinaiid,or r�qutrement of th,,cottttntt3"is a crime. Because.the pro%isioni of this hill are within the acCand require action by the comnaLwion to implerneat its requtrementS a violation of these provi�woutd impose a-itate•manii.`ited IecaI program by ext vndtil$the definition of a civnc 'lam California Canstttutirm_regt>¢t€s% e state 1�rramhursc local 4i ncics, and school districts far certain costs mandated by the state Stttiuiory proviskirts establish procedures"for mmking thst mnrnbursvrcna, This bmll'u nutd provide that n4 reimburs"i is required by"this act for ii up"tfied renion" The people of dra Srara of Caftfornrn c enact asfollawS: SECTION 1 The legislature iiiitis and decfares all of the fntic�wiing- (a) Ph}"smcal threats to 4w elcctricnl drstnbutim sysisn pr€amt nsks to public health and safety and could disrupt ceanar me activity in California (b)"ring hpproprtatc acttam lire to rn to protect and sc�curc,srittagable electrical&*ibution s`stun a$sets from phys'ica I thrents that could disrupt 40 ALJ/GK1/It2 C1,550 —2— safe and reliable electric service or dtsrutrt essential public services, including mfa drinking water supplies,are in the pu-blic Interest,(e) @meer plrnntng,in citordination with the appropriate federal and suite regulatory and taw enforcement'aushonties.wiitl,help prepare for attacks on the aIoctricatl&trtbution systam andd drerei6y help itiduce the potential conscquertccsaf such-attacks SAC ` 3ectida 364 of the 1'edrllc tTtsliitcSlCude to smcrosled In rcad, RAC (a) The commission shall addpi inspratron,maintenance repair, and'replaceunent standards,and shalLin a new proceedine or newphase at'ttn a tisuag 1?rpwcdin�,to commenccon orhefore Juiy-I,2<"tl 5,ccnstdca= adopgnt rules to address the phy�ical,security rk"to the distribution system's of etezffical cvrporattens The standards or rules.which shall lie prescriptive rir performance baasod,m both,find may he,basa_Yr on nsk- manatgemenit,-as appropriate, fair each substantial type of distribution equipment or facibty,shall protitdefor huh-quality,safe,and refieble, san ice (b) In seturrf its staridards otr,nile&,,tfie commissicriNhdll consider test, local geo4raphv and a veather.,bpiyltcabt codes,pott'ntlal physical ii cz=- ty ns1,s na'trenal cfoclric-tndustry practices,sound enguieeringjudfimcsit,and e"penentc.The�commissrxn shall also adopt standards for oper.stiorf,- reliability, and,safety)during periods of emergency and.disaster Ci?e conumsaron'shall require ea Js,etectriral;oorpbratinrt to rep!?irt-aanually on its complja�me with-thestandards or rules.ExcepLas provided in subdivismia (d�that apart shall'bc made available to the'public (c� The commission shall condua a review to determine whether the sLandarrLi or rules prescribed in dtiq section hate been mcc.ffthe'commission finds ilsat the standards or rules have not been-met,the commission may oMcr appropriate-An6rom, tclu4Ctlxs pennitle�in the form qi:M_roducdons or monetary fines.The mic-;y shall boptrformod after cucry major outage- Am money,collected pursuant to this subdivision shall be used tQ-ofisd funding for iho Calif6truit Alternative R.ktes for Energy PivW;im, (al) The`commtsstam may, conutstant with other prrnisions of late, withhold frorif the pubii4 info triziflon gtuter.itbd or obi irn6d puar�ua nit tu'thrs sei:tion that itdeamn'cvoruld EOM a I,4eurity thra;�Lto the public tf rhecloxecl. SECA \o reimliursement is required by this act pursuant to Seetiron 6 of Arti6:,N T B'of the Chliforrila Conaiitution hecaite the 6niv casts owL may tieinctured by a Iocal,agency ar school distract will be incurred boEause this aci-crcytes a new crimp or infrnciran;c limt iat�a i<itme or-infractions or changes the pemiry4or a crime or-infrsctian,tyrthin the mcaning,af y Section 17556 of the Gmernmew Code,ourharngcs the definition of a crime wiihin that meaatwng W Section 6 rArtt4le }01[13 of ibe Califurniat, Caaistitutian, 41 ALJ/GK1/It2 Appendix B Pacific Gas and Electric Company; Su ® Re L30 '11 a inci Ratrfew° Meta;Aif Sub-stntlon AB-requested,by the4Safety snli Enforcement Divrsron of the Caldomia Public Ufififiss CommissIon'(CPUC),Pacific Gas and Electric Company(PG14E) is provrdfrija root cause analysis about the burglary that oc,.erred at the Wicatf substation,in August 2014,including an overview of th®'actlons and enhancenionts the company has-put in Wee since the initial April 16;2013;attack on the f6cility Substation physical security is one of thelmost important issues facing gnd operators and PG&E understands how imperative 4 is to implement strong rriessures to-protect cntka)substibons. PCB&E-is currently in'the,Wst year'of a three-j ear plan to invest mare mifllan-W ' significantlyupgfade security at our critical facilities following last yc+ai's Attack Maior'ebeme is of the plan related to phystcal;socuriry wwre 16 the,p�ocoss of_belrig tmplomentod at ttio t6w of the August burglary Hov tavar,`same security rrioasuras viat are part of our plan are sti0 in process and were not in placii to help pravent,a The burglary that occurred at the Metcalffacility in August:2014 underscor6d the need for a"ddidonal focis on tralning'and'suoe�Ion to support the work being-done td upgrade technology and physical dotorronts st facilities.As a result, PG&E is r6p46ritizing training and augmenting security suparvfsion to prevent a Similar incident. The"root causd analysis,contains'detaRod;confidential information about aspects of`the security measures PGr&E takes at its facilldi"and has therefore been sent to the,CPUC under confidential protoct*6n Given the appropifete need for the public to have access to Information about the tvyo inddonts and the steps PG&E Is taidng to safeguard critical,infrastructi re,'PG&E has developed thls pu611c;summary report to outitrio the company,"s findings This summary,report irictudes • An overview of the events around the Apnl 16 2013.Metcalf,attack • Action'sfepx taken after the_Aprll 16.2013:f,Ratdapattaok: • An overview of the events around tho,August 26-•27,,2014,Motcalf burglary: • Synopsis of the root cause analysis.pstformed by the company after the August,26—27, 2014.,Malcaff burglary:and • Additional action slaps token since the August 26—27,2014,Motcait burglary Summary Report far`Metcalf Incident Review 1 42 ALJ/GK1/lt2 ` Pacik Gas and Electnc Company April 2013-incident at Metcalf 5ubstatton and Coumterrrieasures Taken And 16.2013. In1*1ent Qverview: Qn April 16,2013,gunshots caused extensive damage to the Metcalf Transmission Substation south-of Sari Jose No one was hurt'and no customers`lost power as'a result of this incident PG&E-'s Transmission Control Center operators reactod to alarms and worked to avoid sennoe interruptions for PG&E's customers Gre4 also arfnred cm site to assess"full Impact of the damage grid begin repairs PG&E's eledrlc system co'rdains signfficant redundancies that aiksw the compariy to reroute end'shi t electnc load Awn equipment is damaged Those, redundancies worked as designed., Following the incident,PG&E worked vith federal,state and locai,agencias,as well as outside consultants to take-intsdm,stao 66 itr9mve substation security vvh le develbping a thre"ear' plan to enhance security at aritical'substatiohs, • PG&E deployedtsecunty guards to prow cli,241t presence at critical substations and increased patrols from local law enforcement, • PG&E trimmed back,vegetatlon uridergrowtti around substaborts to,remove-'potential hiding'places,and • At Metca0 specifically,PG&E Installed,temporary measures to shield equipment, enhance,lighting and obstruct views into the,fadEity while more permanent measures are being designed and engineered Additional'physical,security measures PG&E is currently taking include,arridng other's: • Opar ue'or said waft around the penneter to shield and otistnict vie+as of equipment Inside the substation; o Enhanced detection and deterrent systems',and • Improved lighting'and camera systems. PG&E has also%dbrked,wdhlaw enfarcement_and iidustry stakeholders fc share_information and take appropriate actions on an ongoing basis to protect its facilities, 5uArnary Reporrtor Metcalf Incident Review 2 43 ALJ/GK1/lt2 Padfic Gas and Dectm Company April 16,20 3.Sutnmary of Actions Takers Foiiowiiig the April 2013 attack at ft Metcalf substation,PG&E began an,assessme itand developed a three=year plan to'invest-more than$100 rrsilion to enhance securrty at its highest• prionty-fa066s Some of the^adwris taker!by PG&E inpiuded- Worked with local law onforcament,to increase security presence at Metcalf and additional facilkies,(completed within 24 hours of the incafent),- • Contracted'with a_private security c6rrparry to provide 24t7 security off m coverage (completed within,24 hours of the incident); • instalied,portabte,6ghting,(completed within,30 days of the incident), • 1nstalled`temporery fencing,(completed within 30 days of the Incident); • Contracted with security,consultants to conduct secu*,assessments(completed wt't6ln 30 days of the incident); • Completed a series of tours of crrtic6substations whh law enforcement agencies: Latitude and,longitude coordinates were Issued'to law,enforcement-aviation units,for, aerial patrol whenevaliable'(June,201{3); 4t developed and distributed briefing"tailboards'to employees at rrei)ar substatfons to discuss security procedures and suapbaous activity reporting'(July 2013}; • Received approved,permits and removed vegetation,surrounding Metcak(August 201;3); • 1 nkiatdd an Internal training-program which included suspicious activity reporting and awareness(September 2013), • Mad€e imprdvements to the"Suspicious Activky R"eportfng'system incorporate Security (October z013), • Participated rn'an iridustryiand taw enforcdrfient sharing campaign in conluncti6h with the Department of Homeland Security,the Federal,Energy-RegulatoryCommission, North American EWrk Relfabikty,Corporation and the Federal Bateau of,InvestWtlon. EvQnts,were held irr each-df the I0,Federal Erner - Management Agency jurisdictions(November 2013); Initiated an effort to fonpafize existing poiicies_and propedtires associated with the PG&E_ security,syiWm(March 2014),' • Conducted anassessr"tent and best of cxirierit,se6urity systems at Metcalf(tularch 2014), • Enhanced`camera surveiltance`at Metcalf(April 2014), Summary Report,for,Metcalf ikide-i�tite+riew, 3 44 ALJ/GK1/it2 ` Pacific Gas and Electric Company • Announced a$250,000 revard for informabon leading to the arrest and conviction of the lhdiv ual(s)responsiOe for the attack on the anniversary of the incident(April 2014), • Worked with local,lawenforoement to provide enhanced secunty'awareness on the` anniversary of-the Metcalf event,{April 2014); • Contracted with,security consultant to evatuate,and provide recommendations foi processes and procedures at PG&E's security control center(June 2014), • Invited Department of Homeland Security to perform a security assessment at Metcalf in coordination wAth PG&E(June-2014); • Released a'Job Bulletin'fdr additional operators at PG&E's security control center(July 2014), • Performed on s►te post ordiir training.wcth se r►ty pe'rsorrsei at Metcalf(August,2014), • Enhanced`perim6terligt4ing at craical,locatlons with additional,portable lighting at Metcalf(September 2014); Received permit and began construcd►on on a solid wall around Metcalf_(September 2014), Pubilished,Ufility-Procedure,for Security Control Center Alarm Response(September 2014), • Putrirshed Utility Procedure for Security Control Center Incident Response(September 2014),and • Bnefed alarm and incident response protocols and trained security operators on revised response protocols(September 2014), There were a number_of other tn►ibatives that were in the process of being implemented as part of PG&E's security pions when _Au4ust'26-27,2014,Metcalf burgtary'occurred Summary Report for Rletcaif Inc-Fdent:Hevi w 4' 45 ALJ/GK1/lt2 Pacific Gas and Electnc Company August 2414,Burglary at Metcalf Substation, Root Cause and Summary of Actions Taken 16cdent'Overview Prior to,tfte August 2014 Metcati burglary;PG&E's action's to mingate,`sec unt"y threats,w o rnair'tty focused on upgrading the physical security measures of the company's substations ak part of an'overall;pIan to enhance security at substations Batraean_the heu�g"of 22 10 on August 26,2014,and 02:41 on August`27,-2014 PG&E's Metcalf facrAty.was-the site ai unauthorised entry.`As a resuk of the it truston,,approximately 538.6514f co'ristmiction toolsf and equ3prnent was,takon. Despite detection by Moth the,third-party,video monitoring system arx!_ott_her security measures, the thefts'were Trot iderrtrfied unUi 06 QO hours on August 27, 20t4;wrh ,eoristruction crevus amiVed for w brk 60tist 26—27,2014,Summary of Actions Taken lmnediately,following the August,2014 burglary,-PG&E took nurTibrous f6itial,actions to address security gaps at the facility, cludli�g Secured Metcalf Substation fend damaged during the burglarry(ca`mpleto wdhin 24 hours of;tha_inetden{), • Gtieckedail equipmentwithin`Wbstationfor borationai,damage and found none (completed within 24'hours of,the,incident): •. Increased sedurity officer presence on sde'("leted within 24 hours of the incident), • Enhanced portable,ligtiting onsito(completed wrthrn 48 hours of the.inciden t), • Remrforced and citedredto ensure that roving patmis'w,ere'occumng wdhm Metcalf Substation(completed-within 30 days'of the'lncident), • Re4stabiished onsite roving;superilsorpositirin(completed wI(hIn 30,days of the_ Incident), • Addressed alarm and-Incident response protocols for security" operstions,center personnel(completed within 36 days-of the incident), • Performed security revlew and penetration"Ing;at Metcalf substation(October 2014);; • Enhanced camera systems at Metcalf(October 2014),, • Re pinced,3rd,party guard cointractors_(Noverr"r 2014),and • Replaced security operations contractors and increased staffing and supervision (Nbvernbor 2014)_ 54mmar}Report for Metcalf incident R&jew 5 46 ALJ/GK1/it2 Pacific Gas arrrl Electric Company Root caul e_anatols flindinsts PG&E also assembled'an experienced and mufti-discipiusary team from across the company to conduct a root cause analysis of the August 2014 incident Th9 team's root cause analysis', whidi is,submitted in a separate cohl'idential,document.found that the secairity`breach was due to the.following,direct and root causes. • Direct Cause, PG&E's security control center faded to,pr6ppc y respond to'alarms and the on-site security officers failed to fellow clearly delineated post orders requiring them to,perform continuous patrol of Metcalf Substation. • Root Cause: Inedequate,training,and supervlslon,.created an environment in which PG&E's Security Control Center personnel and on-site security officers is Red to follow delineated procedures and pod orders Additional,Actioni Planned cased on Root'Cause Analysis(Subset of Actions,Planned) As a result affinding's°outlined in'ttfie root cause-analysis,PG&E is taking additional actions iri'a timely�manner to prevent a similar incident from occurring Alf tonal acti0is include,among other measures, • Diiyelopkng and Implementing a robust tralning program for security officers to ensure thafatarms are respondod to effnctivety • irnplerrienting the uss of human performance toolswithiri securdycontrol center operations, • Developing a comprehensive,set of security policles,end procedures for' a Security_guards. ,ca Work performed at°socu*control center, o Training requirements and tracking process for security operators and officers; and - a Maintenance,and repairs for security systems Conclusion PG&E and the utility" industry have taken significant steps to increase security following the Metcalf substation attack in April 2013 Although much work had been done to increase physical security at facilities fotlowirig the incident,the subsequent burglary in August 2014 shoves that training and supervision were inadequate taensure procedures were consistentiy follov►ed. PG&E is cernmitted to addressing trakning`and supervision along with other issues,raisod by the root cause analysis,while,contuiuing to work dosety with regulators and law enforcement to maintain the security of the-company's faaftes Summary Report for Aletcalf Incident Re�iery 6_ (End of Appendix B) 47 R 15-06-009 ALJ/GK1/jt2 Appendix C (Assembly Bill 1650 adding Public Utilities Code Section 768.6 R 15-06-009 ALJ/GK1/lt2 Assembly Bill No. 1650 CHAPTER 472 An act to add Section 768 6 to the Public Utilities Code, relating to public utilities [Approved by Governor September 23, 2012 Filed with Secretary of State September 23, 2012 ] AB 1650, Portantino Public utilities emergency and disaster preparedness Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and water corporations, as defined Existing law, the California Emergency Services Act, authorizes local governments to create disaster councils by ordinance to develop plans for meeting any condition constituting a local emergency or state of emergency, as specified This bill would require the commission to establish standards for disaster and emergency preparedness plans within an existing proceeding, as specified The bill would require an electrical corporation to develop, adopt, and update an emergency and disaster preparedness plan, as specified The bill would authorize every city, county, or city and county within the electrical corporations service area to designate a point of contact for the electrical corporation to consult with on emergency and disaster preparedness plans The bill would require a water company regulated by the commission to develop, adopt, and update an emergency and disaster preparedness plan, as specified The bill would find and declare that county and city participation in the preparation of electrical corporations' emergency and R 15-06-009 ALJ/GK1/lt2 disaster preparedness plans is critical to a statewide emergency response and, thus, is an issue of statewide concern. The people of the State of California do enact as follows SECTION 1 Section 768 6 is added to the Public Utilities Code, to read. 768 6 (a) The commission shall establish standards for disaster and emergency preparedness plans within an existing proceeding, including, but not limited to, use of weather reports to preposition manpower and equipment before anticipated severe weather, methods of improving communications between governmental agencies and the public, and methods of working to control and mitigate an emergency or disaster and its aftereffects The commission, when establishing standards pursuant to this subdivision, may make requirements for small water corporations similar to those imposed on class A water corporations under paragraph (2) of subdivision (f) (b) An electrical corporation, as defined in Section 218, providing service in California shall develop, adopt, and update an emergency and disaster preparedness plan in compliance with the standards established by the commission pursuant to subdivision (a) (1) (A) In developing and adopting an emergency and disaster preparedness plan, an electrical corporation providing service in California shall invite appropriate representatives of every city, county, or city and county within that electrical corporation's service area in California to meet with, and provide consultation to, the electrical corporation (B) Every city, county, or city and county within the electrical corporation's service area in California may designate a point of contact for the electrical corporation to consult with on emergency and disaster R 15-06-009 ALJ/GK1/jt2 preparedness plans (C) The electrical corporation shall provide the point of contact designated pursuant to subparagraph (B) with an opportunity to comment on draft emergency and disaster preparedness plans (2) For the purposes of best preparing an electrical corporation for future emergencies or disasters, an emergency and disaster preparedness plan shall address recent emergencies and disasters associated with the electrical corporation or similarly situated corporations, and shall address remedial actions for possible emergencies or disasters that may involve that corporation's provision of service (3) Every two years, in order to update and improve that electrical corporation's emergency and disaster preparedness plan, an electrical corporation providing service in California shall invite appropriate representatives of every city, county, or city and county within that electrical corporation's service area to meet with, and provide consultation to, the electrical corporation (4) For the purposes of best preparing an electrical corporation for future emergencies or disasters, an electrical corporation updating its emergency and disaster preparedness plan shall review the disasters and emergencies that have affected similarly situated corporations since the adoption of the plan, remedial actions taken during those emergencies or disasters, and proposed changes to the plan The electrical corporation shall adopt in its plan the changes that will best ensure the electrical corporation is reasonably prepared to deal with a disaster or emergency (c) A meeting pursuant to subdivision (b) shall be noticed and shall be conducted in a public meeting that allows for the participation of appropriate R 15-06-009 ALJ/GK1/lt2 representatives of counties and cities within the electrical corporation's service area (1) A county participating in a meeting pursuant to subdivision (b) may inform each city within the county of the time and place of the meeting (2) An electrical corporation holding a meeting pursuant to subdivision (b) shall provide participating counties and cities with the opportunity to provide written and verbal input regarding the corporations emergency and disaster preparedness plan For purposes of this public meeting, an electrical corporation may convene a closed meeting with representatives from every city, county, or city and county within that electrical corporations service area to discuss sensitive security-related information in the electrical corporations emergency and disaster preparedness plan and to solicit comment (3) An electrical corporation shall notify the commission of the date, time, and location of a meeting pursuant to subdivision (b) (d) An electrical corporation shall conduct a meeting pursuant to subdivision (b) no later than April 1, 2013, and every two years thereafter (e) An electrical corporation shall memorialize a meeting pursuant to subdivision (b), and shall submit its records of the meeting to the commission (f) (1) A water company regulated by the commission shall develop, adopt, and update an emergency and disaster preparedness plan in compliance with the standards established by the commission pursuant to subdivision (a) This requirement shall be deemed fulfilled when the water company files an emergency and disaster preparedness plan pursuant to another state statutory requirement R 15-06-009 ALJ/GK1/lt2 (2) A water company developing, adopting, or updating an emergency and disaster preparedness plan pursuant to paragraph (1) shall hold meetings with representatives from each city, county, or city and county in the water company's service area regarding the emergency and disaster preparedness plan (g) An electrical corporation or a water corporation may fulfill a meeting requirement imposed by this section by making a presentation regarding its emergency and disaster preparedness plan at a regularly scheduled public meeting of each disaster council created pursuant to Article 10 (commencing with Section 8610) of Chapter 7 of Division 1 of Title 2 of the Government Code within the corporations service area, or at a regularly scheduled public meeting of the governing body of each city, county, or city and county within the service area SEC 2. The Legislature finds and declares that county and city participation in the preparation of electrical corporations' emergency and disaster preparedness plans is critical to a statewide emergency response and, thus, is an issue of statewide concern and not a municipal affair, as that term is used in Section 5 of Article XI of the California Constitution. (End of Appendix C) R 15-06-009 ALJ/GK1/lt2 Appendix D (California Publicly Owned Electric Utilities) R 15-06-009 ALJ/GK1/jt2 APPENDIX D List of California Publicly Owned Electric Utilities 1 Alameda Municipal Power PO BoxH 2000 Grand Street Alameda CA 94501-0263 2 Anaheim, City of Public Utilities Department Anaheim City Hall West 201 South Anaheim Blvd , Suite 802 Anaheim CA 92805 3 Azusa Light and Water P O Box 9500 729 North Azusa Avenue Azusa CA 91702 4 Banning, City of Electric Department 176 E Lincoln Street P O Box 998 Banning CA 92220-0998 5 Biggs Municipal Utilities P O Box 307 3016 Sixth Street Biggs CA 95917 6 Burbank Water and Power 164 West Magnolia Boulevard P O Box 631 Burbank CA 91503-0631 7 Cerritos, City of Cerritos Electric Utility P O Box 3130 Cerritos CA 90703 8 City and County of San Francisco Power Enterprise of the San Francisco Public Utilities Commission 1155 Market Street, 4th Floor San Francisco CA 94103 R 15-06-009 ALJ/GK1/jt2 APPENDIX D List of California Publicly Owned Electric Utilities 9 City of Industry Administrative Offices 15625 East Stafford Street, Ste 100 City of Industry CA 91744 10 Colton Public Utilities 650 N La Cadena Dr Colton Ca 92324-2823 11 Corona, City of Department of Water and Power 755 Corporation Yard Way Corona CA 92880 12 Eastside Power Authority 14181 Avenue 24 Delano CA 93215 13 Glendale Water and Power 141 N Glendale Ave, Level 4 Glendale CA 91206 14 Gridley Electric Utility 685 Kentucky Street Gridley CA 95948 15 Healdsburg, City of Electric Department City Hall, 401 Grove Street Healdsburg CA 95448-4723 16 Imperial Irrigation District 333 E Barioni Blvd Imperial CA 92251 17 Kirkwood Meadows Public Utility District PO BOX 247 Kirkwood CA 95646 18 Lathrop Irrigation District c/o SSJID PO BOX 747 Ripon, CA 95366 R 15-06-009 ALJ/GK1/jt2 APPENDIX D List of California Publicly Owned Electric Utilities 19 Lassen Municipal Utility District 65 South Roop Street Susanville CA 96130 20 Lodi Electric Utility 1331 South Ham Lane Lodi CA 95242-3995 21 Lompoc, City of P O Box 8001 City Hall, 100 Civic Center Plaza Lompoc CA 93438-8001 22 Los Angeles Department of Water & Power Box 51111 Los Angeles CA 90051-5700 23 Merced Irrigation District P O Box 2288 744 West 20th Street Merced CA 95340 24 Modesto Irrigation District P O Box 4060 Modesto CA 95352-4060 25 Moreno Valley Electric Utility 14325 Frederick Street, Suite 9 Moreno Valley CA 92553 26 Needles, City of Public Utility Authority 817 Third Street Needles CA 92363-2933 27 Palo Alto, City of Utilities Department P O Box 10250 Palo Alto CA 94303 28 Pasadena Water and Power 150 South Los Robles Ave, Suite 200 Pasadena CA 91101-4613 r r R 15-06-009 ALJ/GK1/jt2 APPENDIX D List of California Publicly Owned Electric Utilities 29 Pittsburg, City of Pittsburg Power Company d/b/a/ Island Energy 65 Civic Drive Pittsburg CA 94565-3814 30 Port of Oakland 530 Water Street, Ste 3 Oakland CA 94607-3814 31 Port of Stockton P O Box 2089 Stockton, CA 95201-2089 32 Power and Water Resources Pooling Authority 3514 West Lehman Road Tracy CA 95304-9336 33 Rancho Cucamonga Municipal Utility 10500 Civic Center Drive Rancho Cucamonga CA 91730 34 Redding Electric Utility P O Box 496071 777 Cypress Avenue Redding CA 96049-6071 35 Riverside, City of Public Utilities Department 3750 University Avenue Riverside CA 92501 36 Roseville Electric 311 Vernon Street Roseville CA 95678 37 Sacramento Municipal Utility District P O Box 15830 Sacramento CA 95852-1830 38 Shasta Lake, City of P O Box 777 1650 Stanton Drive Shasta Lake CA 96019-0777 R 15-06-009 ALJ/GK1/jt2 APPENDIX D List of California Publicly Owned Electric Utilities 39 Shelter Cove Resort Improvement District 9126 Shelter Cove Road Whitethorn CA 95589-9079 40 Silicon Valley Power City of Santa Clara 1601 Civic Center Drive, Suite 202 Santa Clara, California 95050-4109 41 Trinity Public Utility District P O Box 1216 Weaverville CA 96093 42 Truckee Donner Public Utilities District P O Box 309 Truckee CA 96160 43 Turlock Irrigation District P O Box 949 Turlock CA 95381-0949 44 Ukiah, City of Electric Utilities Division 300 Seminary Avenue Ukiah CA 95482-2680 45 Vernon, City of Gas & Electric Department 4305 S Santa Fe Avenue Vernon CA 90058-1714 46 Victorville Municipal Utilities Services P O Box 5001 14343 Civic Drive Victorville CA 92392-5001 (End of Appendix D) R 15-06-009 ALJ/GK1/jt2 Appendix E (List of Rural Electric Cooperatives) R 15-06-009 ALJ/GK1/lt2 APPENDIX E List of Rural Electric Cooperatives 1 Anza Electric Cooperative, Inc P O Box 391909 58470 Highway 371 Anza CA 92539-1909 2 Plumas-Sierra Rural Electric Cooperative 73233 State Route 70, Suite A Portola CA 96122-7069 3 Surprise Valley Electrification Corporation 516 US Hwy 395E Alturas CA 96101-4228 4 Valley Electric Association, Inc 800 E Highway 372 Pahrump NV 89048-4624 (End of Appendix E) R 15-06-009 ALJ/GK1/lt2 Appendix F (Public Owned Utilities Representatives and Agents) , R 15-06-009 ALJ/GK1/lt2 APPENDIX F Public Owned Utilities Representatives and Agents 1 California Municipal Utilities Association (CMUA) 915 L Street, Suite 1460 Sacramento, CA 95814 2 Northern California Power Authority (NCPA) 651 Commerce Drive Roseville, CA 95678 3 Southern California Public Power Authority 225 South Lake Avenue, Suite 1250 Pasadena, CA 91101 (End of Appendix F) R 15-06-009 ALJ/GK1/jt2 7 a s� Appendix G (List of Facilities Based Communications Carriers Authorized to Operate in California) w R 15-06-009 ALJ/GK1/jt2 APPENDIX G List of Facilities-Based Communications Carriers Authorized to Operate in California Appendix G-1 Local Exchange Carriers 1 Pacific Bell 525 Market Street, Room 1944 San Francisco CA 94105 2 Verizon California, Inc 201 Spear Street, 7th Floor San Francisco CA 94105 3 Calaveras Telephone Company PO Box 37 Copperopolis CA 95228 4 Cal-Ore Telephone Company PO Box 847 Dorris CA 96023 5 Ducor Telephone Company PO Box 42230 Bakersfield CA 93384 6 Foresthill Telephone Company, Inc 811 S Madera Kerman CA 93630 7 Happy Valley Telephone Co PO Box 1004 Redmond OR 97756 8 Hornitos Telephone Company PO Box 1004 Redmond OR 97756 9 Kerman Telephone Company 811 South Madera Avenue Kerman CA 93630 10 Pinnacles Telephone Company 340 Live Oak Road Paicines CA 95043 11 The Ponderosa Telephone Company PO Box 21 O'Neals CA 93645 R 15-06-009 ALJ/GK1/jt2 z Appendix G-1 Local Exchange Carriers 12 Surewest Telephone PO Box 969 Roseville CA 95678 13 Sierra Telephone Company, Inc PO Box 219 Oakhurst CA 93644 14 The Siskiyou Telephone Company PO Box 157 Etna CA 96027 15 Volcano Telephone Company PO Box 1070 Pine Grove CA 95665 16 Winterhaven Telephone Company PO Box 1004 Redmond OR 97756 17 Centurytel of Eastern Oregon, Inc 6700 Via Austi Parkway Las Vegas NV 89119 18 Citizens Telecommunications Co of Ca 9260 E Stockton Blvd Elk Grove CA 95624 19 Frontier Communications of the Southwest Inc 9260 E Stockton Blvd Elk Grove CA 95624 Appendix G-2 Competitive Local Carriers 1 Pacific Bell 525 Market Street, Room 1944 San Francisco CA 94105 2 Verizon California, Inc 201 Spear Street, 7th Floor San Francisco CA 94105 3 Surewest Telephone PO Box 969 Roseville CA 95678 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers Empire Unified Communications LLC 4 1 West Main St, Ste 650 Rochester NY 14614 5 AT&T Corp 525 Market Street, Room 1944 San Francisco CA 94105 6 Sprint Communications Company, LP 201 Mission Street, Suite 1500 San Francisco CA 94105 7 Fiber Data Systems 203 Bellefontaine Street Pasadena CA 91105 8 Arrival Communications, Inc 515 S Flower Street, 47th Floor Los Angeles CA 90071 9 MCI Metro Access Transmission Services 201 Spear Street, 7th Floor San Francisco CA 94105 10 Pac-West Telecomm, Inc 6500 River Place Blvd Bldg 2, Suite 200 Austin TX 78730 11 CenturyLink Communications, LLC 6700 Via Austi Parkway Las Vegas NV 89119 12 TW Telecom of California, LP 10475 Park Meadow Drive Littleton CO 80124 13 Electric Lightwave, Inc 6160 Golden Hills Dr Golden Valley MN 55416 14 IDT America Corp 520 Broad Street Newark NJ 07102 15 Frontier Communications of America, Inc 9260 E Stockton Blvd Elk Grove CA 95624 16 San Carlos Telecom Inc 2999 Oak Road, Suite 400 Walnut Creek CA 94597 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 17 Teleport Communications America, LLC 525 Market Street, Room 1944 San Francisco CA 94105 18 Verizon Select Services, Inc One Verizon Way, VC53S455 Basking Ride NJ 07920 19 Preferred Long Distance, Inc 16830 Ventura Blvd , Suite 350 Encino CA 91436 20 Primus Telecommunications, Inc 7901 Jones Branch Dr , Ste 900 Mclean VA 22102 21 The Telephone Connection Local Svcs 8391 Beverly Blvd , Suite 350 Los Angeles CA 90045 22 Talk America, Inc 655 W Broadway, Ste 850 San Diego CA 92101 23 XO Communications Services 8851 Sandy Parkway Sandy UT 84070 24 CCT Telecommunications, Inc 1106 E Turner Rd , Ste A Lodi CA 95240 25 Integrated Telemanagement Services 4100 Guardian Street, Ste 110 Simi Valley CA 93063 26 North County Communications Corporation of California 3802 Rosecrans Street, Ste 485 San Diego CA 92110 27 Tcast Communications, Inc 25115 Avenue Stanford, B-210 Valencia CA 91355 28 Cox California Telcom, LLC 3732 Mt Diablo Blvd , Suite 358 Lafayette CA 94549 29 Global Crossing Local Services, Inc 225 Kenneth Drive Rochester NY 14623 I s R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 30 Comcast Phone of California, LLC 3055 Comcast Place Livermore CA 94551 31 McLeod USA Telecommunications Services, Inc 655 W Broadway, Ste 850 San Diego CA 92101 32 U S Telepacific Corp 515 S Flower, 47th Floor Los Angeles CA 90071 33 Wholesale Airtime, Inc 27515 Enterprise Circle West Temecula CA 92590 34 Utility Telephone, Inc 4202 Coronado Ave Stockton CA 95204 35 TGEC Communications Co, LLC 6805 Tulunga Avenue North Hollywood CA 91605 36 Mpower Communications Corp 515 S Flower Street, 47th Floor Los Angeles CA 90071 37 Access Point, Inc 1100 Crescent Green Suite 109 Cary NC 27511 38 Globalinx Enterprises, Inc 275 Kenneth Drive Rochester NY 14623 39 Quantumshift Communications, Inc 12657 Alcosta Blvd , Ste 418 San Ramon CA 94583 40 Level 3 Communications, LLC 225 Kenneth Drive Rochester NY 14623 41 International Telcom, Ltd 417 Second Avenue West Seattle WA 98119 42 Incontact, Inc 7730 S Union Park Ave , Ste 500 Midvale UT 84047 R.15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 43 Peak Communications, Inc 1442 East Lincoln Ave , Ste 479 Orange CA 92865 44 01 Communications, Inc 5190 Golden Foothill Parkway El Dorado Hills CA 95762 45 Point To Point PO Box 3148 Rancho Cordova CA 95741 46 Integra Telecom 6160 Golden Hills Dr Golden Valley MN 55416 47 Southern California Edison 2244 Walnut Grove Ave Rosemead CA 91770 48 Paetec Communications, Inc 655 W Broadway, Ste 850 San Diego CA 92101 49 Zayo Group, LLC 400 Centennial Parkway, Ste 200 Louisville CO 80027 50 Access One, Inc 820 W Jackson Blvd , 6th Floor Chicago IL 60607 51 Navigator Telecommunications, LLC PO Box 13860 North Little Rock AR 72113 52 Astound Broadband, LLC 401 Kirkland Parkplace, Suite 500 Kirkland WA 98033 53 Freedom Telecommunications, LLC 624 S Grand Avenue,Suite 1200 Los Angeles CA 90017 54 Earthlink Business, LLC 3000 Columbia House Blvd , Suite 106 Vancouver WA 98661 55 TNCI Operating Company, LLC 114 E Haley Street, Suite A Santa Barbara CA 93101 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 56 Unity Telecom, LLC 2997 LBJ Freeway, Suite 225 Dallas TX 75234 57 Backbone Communications, Inc 811 Wilshire Blvd , Ste 1020 Los Angeles CA 90017 58 Surewest Televideo PO Box 969 Roseville CA 95678 59 PNG Telecommunications, Inc 8805 Governors Hill Dr, Suite 250 Cincinnati OH 45249 60 Acn Communications Services, Inc 1000 Progress Place Concord NC 28025 61 AT&T Corp 525 Market St, Room 1944 San Francisco CA 94105 62 Reliance Globalcom Services, Inc 114 Sansome Street, 11th Floor San Francisco CA 94104 63 IP Networks, Inc PO Box 192366 San Francisco CA 94119 64 Broadview Networks, Inc 1018 West 9th Ave King Of Prussia PA 19406 65 Cbeyond Communications, LLC 320 Interstate North Pkwy SE Atlanta Ga 30339 66 United States Telesis, Inc 200 N Westlake Blvd , Suite 104 Westlake Village CA 91362 67 Digital Net Phone, LLC 8391 Beverly Blvd , Suite 350 Los Angeles CA 90045 68 Comtech 21, LLC 1 Barnes Park South Wallingford CT 06492 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 69 Onvoy, LLC 10300 6th Avenue N Plymouth MN 55441 70 RGT Utilities of California, Inc 1221 Avenue Of The Americas, C2 Level New York NY 10020 71 Metropolitan Telecomm of Calif, Inc 44 Wall Street, 14th Floor New York NY 10005 72 Intrado Communications, Inc 1601 Dry Creek Drive Longmont CO 80503 73 Sage Telecom Communications, LLC 10440 North Central Expressway, Suite 700 Dallas TX 75231 74 Telscape Communications, Inc 10440 North Central Expressway, Suite 700 Dallas TX 75231 75 Hypercube Telecom, LLC 3200 W Pleasant Run Road, Suite 300 Lancaster TX 75146 76 Call America, Inc 4202 Coronado Ave Stockton CA 95204 77 Curatel, LLC 1605 West Olympic Blvd, Suite 701 Los Angeles CA 90015 78 Norcast Communications Corporation 1998 Santa Barbara Street, Suite 100 San Luis Obispo CA 93401 79 BCN Telecom, Inc 1200 Mt Kemble Ave , 3rd Floor Harding Township NJ 07960 80 Wholesale Carrier Services, Inc 5471 N University Drive Coral Springs FL 33067 81 NetFortis Acquisition Co, Inc 455 Market Street, Suite 620 San Francisco CA 94107 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 82 Great America Networks, Inc 10350 Heritage Park, Suite 101 Santa Fe Springs CA 90670 83 Budget Prepay, Inc 1325 Barksdale Blvd , Ste 200 Bossier City LA 71111 84 Enhanced Communications Network, Inc 1013 South Glendora Avenue West Covina CA 91790 85 Creative Interconnect Communications PO Box 656 San Carlos CA 94070 86 Global Telecom & Technology Americas, Inc 8484 Westpark Dr , Ste 720 Mclean VA 22102 87 McGraw Communications, Inc 3483 Satellite Blvd , Ste 202 Duluth GA 30096 88 Airespring, Inc 6060 Sepulveda Blvd , Suite 220 Van Nuys CA 91411 89 Bullseye Telecom, Inc 25925 Telegraph Road, Suite 210 Southfield MI 48033 90 Cypress Comms Operating Co , Inc 75 Erieview Plaza, Suite 400 Cleveland OH 44114 91 Calltower, Inc 10701 South River Front Parkway, No 450 South Jordan UT 84095 92 Cogent Communications of Calif, Inc 1015 31st Street, NW Washington DC 20007 93 DMR Communications, Inc PO Box 720128 Oklahoma City OK 73172 94 Telecom North America Inc 2654 W Horizon Ridge Pkwy ,, Ste 135-143 Henderson NV 89052 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 95 Teledata Solutions, Inc 200 N Westlake Blvd, Suite 104 Westlake Village CA 91362 96 Crown Castle NG West LLC 2000 Corporate Drive Canonsburg PA 15317 97 A+ Wireless, Inc PO Box 5454 Ventura CA 93005 98 Greenfield Communications, Inc 34112 Violet Lantern, Ste C Dana Point CA 92629 99 Blue Casa Telephone, LLC 10 E Yanonali Street Santa Barbara CA 93101 100 Easton Telecom Services, LLC Summit Il, Unit A, 3046 Brecksville Rd Richfield OH 44286 101 Think 12 Corporation 650 East Devon Avenue, Suite 133 Itasca IL 60143 102 DSCI Corporation C/O CSI, 740 FL Central Parkway, Ste 2028 Lon ood FL 32750 103 First Communications, LLC 3340 West Market Street Akron OH 44333 104 Granite Telecommunications, LLC 100 Newport Avenue Extension Quincy MA 02171 105 Paxio, Inc 2045 Martin Avenue, Suite 204 Santa Clara CA 95050 106 Advanced Integrated Technologies, Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 107 Time Warner Cable Information Services (Calif) 60 Columbus Circle New York NY 10023 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 108 TC Telephone, LLC 243 Washington Red Bluff CA 96080 109 Neutral Tandem California, LLC 550 West Adams Street, Suite 900 Chicago IL 60661 110 Charter Fiberlink CA-CCO, LLC 12405 Powerscourt Drive St Louis MO 63131 111 New Horizons Communications Corporation 420 Bedford St, Suite 250 Lexington MA 02420 112 Nexus Communications, Inc 740 FL Central Parkway, Ste 2028 Longwood FL 32750 113 Global Connect Telecommunications, Inc 1146 N Central Ave , No 297 Glendale CA 91202 114 Spectrotel, Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 115 Newpath Networks, LLC 2000 Corporate Drive Canonsburg PA 15317 116 Ca-Clec LLC 2000 Corporate Drive Canonsburg PA 15317 117 Champion Broadband California, LLC 380 Perry Street Castle Rock CO 80104 118 Infotelecom, LLC 75 Erieview Plaza, Suite 400 Cleveland OH 44114 119 Bright House Networks Information Services (Calif ), LLC 4145 S Falkenburg Road, Suite 7 Riverview FL 33578 120 Extent Systems (California) LLC 3030 Warrenville Road, Suite 340 Lisle IL 60532 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 121 Mpower Networks Services, Inc 620-630 Third Street San Francisco CA 94107 122 Ymax Communications Corporation PO Box 6785 West Palm Beach FL 33405 123 Nextlink Wireless, Inc 13865 Sunrise Valley Drive Herndon VA 20171 124 Sunesys, LLC 202 Titus Avenue Warrington PA 18976 125 Cebridge Telecom Ca, LLC 520 Maryville Center Drive, Suite 300 St Louis MO 63141 126 Sonic Telecom, LLC 2260 Apollo Way Santa Rosa CA 95407 127 MCC Telephony of the West, LLC 100 Crystal Run Road Middletown NY 10941 128 Cal-Ore Communications, Inc 719 W Third Street Dorris CA 96023 129 Bandwidth Com Clec, LLC 900 Main Campus Drive, Suite 500 Raleigh NC 27606 130 Affiniti, LLC 9208 Waterford Center Blvd Austin TX 78758 131 Southern California Telephone Company 27515 Enterprise Circle West Temecula CA 92590 132 Oacys Telecom, Inc 767 North Porter Road Porterville CA 93257 133 Conterra Wireless Broadband LLC 2101 Rexford Road, Ste 200E Charlotte NC 28211 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 134 Race Telecommunications, Inc 101 Haskins Way So San Francisco CA 94080 135 Wide Voice, LLC 410 South Rampart, Suite 390 Las Vegas NV 89145 136 Channel Islands Telephone Company 3802 Rosecrans St, Ste 485 San Diego CA 92110 137 Rural Broadband Nowl LLC 111 South Main Street Willits CA 95490 138 Telequality Communications, Inc 24715 Fairway Springs San Antonio TX 78260 139 Telecommunication Systems, Inc 275 West St, Ste 400 Annapolis MD 21401 140 Telcentris Communications, LLC 9276 Scranton Road, No 300 San Diego CA 92121 141 Peerless Network of California, LLC 222 S Riverside Plaza, Suite 2730 Chicago IL 60606 142 Raw Bandwidth Telecom, Inc PO Box 1305 San Bruno CA 94066 143 Birch Telecom of the West, Inc 2323 Grand Blvd , Suite 925 Kansas City KS 64108 144 Shasta County Telecom, Inc 3802 Rosccrans Street San Diego CA 92110 145 Convergence Systems, Inc 10636 Scripps Summit Court, Suite 201 San Diego CA 92131 146 Empire Unified Communications LLC 1 West Main St, Ste 650 Rochester NY 14614 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 147 Public Wireless, Inc 25 East Trmble Road San Jose CA 95131 148 Telco Experts, LLC C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 149 Cruzio Media, Inc 877 Cedar St, Ste 150 Santa Cruz CA 95060 150 Entelegent Solutions, Inc 3800 Arco Corporate Drive, Ste 310 Charlotte NC 28273 151 Mosaic Networx, LLC 454 Las Gallinas Ave, Suite 145 San Rafael CA 94903 152 Pacific Lightwave, a California Corporation PO Box 10748 Palm Desert CA 92255 153 Calpop Com, Inc 600 West Seventh St, Ste 360 Los Angeles CA 90017 154 Broadvox-CLEC, LLC 75 Erieview Plaza, Suite 400 Cleveland OH 44114 155 Impulse Telecom, LLC 5383 Hollister Ave, Ste 240 Goleta CA 93111 156 Blue Rooster Telecom, Inc PO Box 4959 San Luis Obispo CA 93403 157 Rosebud Telephone, LLC Box 597 Rosebud TX 76570 158 Snowcrest Telephone, Inc 329 A N Mount Shasta Blvd , Suite 7 Mt Shasta CA 96067 159 Airus, Inc 840 South Canal, 7th Floor Chicago IL 60607 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 160 Cenic Broadband Initiatives LLC 16700 Valley View Ave , Ste 400 La Mirada CA 90638 161 Comity Communications, LLC 3816 Ingersoll Avenue Des Moines IA 50312 162 Crexendo Business Solutions, Inc 1615 South 52nd Street Tempe AZ 85044 163 321 Communications, Inc PO Box 15857 Brooksville FL 34604 164 Mobilitie, LLC 660 Newport Center Drive, Suite 200 Newport Beach CA 92660 165 Big River Telephone Company, LLC 24 S Minnesota Ave Cape Girardeau MO 63703 166 Net Talk com, Inc 1100 NW 163rd Drive, Suite B-4 North Miami Beach FL 33169 167 XYN Communications of California, LLC 8275 S Eastern Ave , 200 Las Vegas NV 89123 168 Common Point, LLC 3243 Meadowbrook Springfield IL 62711 169 Nobelbiz VOIP Services, Inc 5973 Avenida Encinas, Suite 202 Carlsbad CA 92008 170 Voxbeam Telecommunications, Inc 6314 Kingspointe Pkwy , Suite 1 Orlando FL 32819 171 CVIN, LLC 9479 North Fort Washington, Ste 105 Fresno CA 93730 172 Plumas-Sierra Telecommunications 73233 State Route 70, Suite A Portola CA 96122 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 173 California Broadband Cooperative, Inc 1101 Nimitz Ave Vallejo CA 94592 174 Blue Casa LLC 114 E Haley Street, Suite A Santa Barbara CA 93101 175 dishNET Wireline L L C 9601 S Meridian Blvd Englewood CO 80211 176 TQAvenger Telecom, LLC 12 Trophy Ridge San Antonio TX 78258 177 Digital Transportation Corp 1720 Q Street Sacramento CA 95811 178 Citrix Communications LLC 120018th Street N W, Suite 1200 Washington DC 20036 179 Optic Access 533 Airport Blvd , Suite 400 Burlingame CA 94111 180 Golden Bear Broadband LLC P O Box 157 Etna CA 96027 181 Local Access Services LLC 11442 Lake Butler Blvd Windermere FL 34786 182 Vodex Communications Corporation 3185 E2 Airway Avenue Costa Mesa CA 92626 183 CallFire, Inc 1410 2nd Street, Floor 2 Santa Monica CA 90401 184 ATC Outdoor DAS, LLC 10 Presidential Way Woburn Ma 01801 185 Ultimate Internet Access, Inc 3633 Inland Empire Blvd , Suite 890 Ontario CA 91764 R 15-06-009 ALJ/GK1/jt2 Appendix G-2 Competitive Local Carriers 186 LightSpeed Networks, Inc 921 SW Washington St, Suite 370 Portland OR 97205 Appendix G-3 Inter-Exchange Carriers 1 AT&T Corp 525 Market Street, Room 1944 San Francisco CA 94105 2 Global Crossing Telecommunications, Inc 225 Kenneth Drive Rochester NY 14623 3 Sprint Communications Company, LP 201 Mission Street, Suite 1500 San Francisco CA 94105 4 Teleconnect Long Distance Svcs &Systems 201 Spear Street, 7th Floor San Francisco CA 94105 5 Fiber Data Systems 203 Bellefontaine Street Pasadena CA 91105 6 Intellicall Operator Services, Inc 1049 E Macedonia Church Road Lee FL 32059 7 Coast International, Inc 14303 West 95th St Lenexa KS 66215 8 Value Added Communications, Inc 12021 Sunset Hills Road, Suite 100 Reston VA 20190 9 Matrix Telecom, Inc 433 E Las Colinas Blvd , Suite 500 Irving TX 75039 10 Affinity Network Incorporated 250 Pilot Road, Ste 300 Las Vegas NV 89119 s R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 11 Working Assets Funding Service, Inc 101 Market Street, Suite 700 San Francisco CA 94105 12 Mitel Netsolutions, Inc 1146 N Alma School Rd Mesa AZ 85201 13 Ameritel/Amerivision Comms Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 14 Arrival Communications, Inc 515 S Flower Street, 47th Floor Los Angeles CA 90071 15 Nos Communications, Inc 250 Pilot Road, Ste 300 Las Vegas NV 89119 16 MCI Metro Access Transmission Services 201 Spear Street, 7th Floor San Francisco CA 94105 17 Pac-West Telecomm, Inc 6500 River Place Blvd , Bldg 2, Suite 200 Austin TX 78730 18 Norstan Network Services, Inc 4805 Independence Parkway, Suite 101 Tama FL 33634 19 Roudebush Communications 176 W Logan Street, Suite 232 Noblesville IN 46060 20 Operator Service Company, LLC 6010 Exchange Parkway San Antonio TX 78238 21 CenturyLink Communications, LLC 6700 Via Austi Parkway Las Vegas NV 89119 22 National Comtel Network Inc 21031 Ventura Blvd , Ste 508 Woodland Hills CA 91364 23 Buehner-Fry, Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 24 TW Telecom of California, LP 10475 Park Meadow Drive Littleton CO 80124 25 Business Discount Plan, Inc 1 World Trade Center, Suite 800 Long Beach CA 90831 26 Electric Lightwave Inc 6160 Golden Hills Dr Golden Valley MN 55416 27 MCI Communications Services, Inc 201 Spear Street, 7th Floor San Francisco CA 94105 28 Dialink Corporation 1660 S Amphlett Blvd , Ste 314 San Mateo CA 94402 29 Cincinnati Bell Any Distance, Inc 201 East Fourth Street, 103-1280 Cincinnati OH 45201 30 TTI National, Inc 201 Spear Street, 7th Floor San Francisco CA 94105 31 Covista, Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 32 IDT America Corp 520 Broad Street Newark NJ 07102 33 Frontier Communications of America, Inc PO Box 340 Elk Grove CA 95759 34 Nosva, Limited Partnership 250 Pilot Road, Ste 300 Las Vegas NV 89119 35 San Carlos Telecom Inc 2999 Oak Road, Suite 400 Walnut Creek CA 94597 36 Teleport Communications America, LLC 525 Market Street, Room 1944 San Francisco CA 94105 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 37 Communications Brokers & Consultants 23939 Ventura Blvd Calabasas CA 91302 38 California RSA No 3 Limited Ptnshp PO Box 2607 Oakhurst CA 93644 39 Smart City Networks, LP 28 W Grand Ave Montvale NJ 07645 40 Cybernet Communications Inc 7750 Gloria Ave Van Nuys CA 91406 41 Bulletins, Inc 39252 Winchester Rd , No 107-259 Murrieta GA 92563 42 Verizon Select Services, Inc One Verizon Way, VC535455 Basking Ride NJ 07920 43 LDC Telecommunications Inc 2451 McMullen Booth Rd , Ste 200 Clearwater FL 33759 44 Tremcom International 6167 Bristol Pkwy , 320 Culver City CA 90230 45 Preferred Long Distance, Inc 16830 Ventura Blvd , Suite 350 Encino CA 91436 46 Primus Telecommunications, Inc 7901 Jones Branch Dr, Ste 900 Mclean VA 22102 47 Worldnet Communications Services, Inc 80 Wood Rd , Suite 308 Camarillo CA 93010 48 The Telephone Connection Local Svcs 8391 Beverly Blvd , Suite 350 Los Angeles CA 90045 49 Broadwing Communications, LLC 225 Kenneth Drive Rochester NY 14623 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 50 CTC Communications Corp 225 Cedar Hill Street, Suite 111 Marlborough MA 01752 51 Talk America, Inc 655 W Broadway, Ste 850 San Diego CA 92101 52 XO Communications Services 8851 Sandy Parkway Sandy UT 84070 53 Business Telecom, LLC d/b/a EarthLink Business 2610 Horizon Drive SE, Ste B Grand Rapids MI 49546 54 Network Enhanced Technologies, Inc 700 South Flower Street, Suite 420 Los Angeles CA 90017 55 CCT Telecommunications, Inc 1106 E Turner Road, Ste A Lodi CA 95240 56 Integrated Telemanagement Services 4100 Guardian Street, Ste 110 Simi Valley CA 93063 57 ABS-CBN Telecom North America, Inc 150 Shoreline Drive Redwood City CA 94065 58 North County Communications Corporation of California 3802 Rosecrans, Ste 485 San Diego CA 92110 59 Tcast Communications, Inc 25115 Avenue Stanford Valencia CA 91355 60 Sierra Telephone Long Distance PO Box 1505 Oakhurst CA 93644 61 Telecom House Inc (Sterling) 8421 Wilshire Blvd , Ste 300 Beverly Hills CA 90211 62 Global Tel*Link Corporation 12021 Sunset Hills Road, Suite 100 Reston VA 20190 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 63 Cox California Telcom, LLC 3732 Mt Diablo Blvd , Suite 358 Lafayette CA 94549 64 Global Crossing Local Services, Inc 225 Kenneth Drive Rochester NY 14623 65 Comcast Phone of California, LLC 3055 Comcast Place Livermore CA 94551 66 BT Americas, Inc 11440 Commerce Park Drive, Ste 1000 Reston VA 20191 67 McLeod USA Telecommunications Services, Inc 655 W Broadway, Ste 850 San Diego CA 92101 68 U S Telepacific Corp 515 S Flower, 47th Floor Los Angeles CA 90071 69 Verizon Long Distance LLC One Verizon Way, VC53S460 Basking Ride NJ 07920 70 Dial Long Distance, Inc 762 West Ventura Boulevard Camarillo CA 93010 71 Wholesale Airtime, Inc 27515 Enterprise Circle West Temecula CA 92590 72 DeltaCom, LLC 7037 Old Madison Pike, Suite 400 Huntsville AL 35802 73 Custom Network Solutions, Inc 210 Route 4 East, Suite 201 Paramus NJ 07652 74 Legacy Long Distance International, Inc 10833 Valley View Street, Ste 150 Cypress CA 90630 75 Association Administrators, Inc 180 East Main Street, Ste 203 Smithtown NY 11787 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 76 Associated Network Partners, Inc 3243 Meadowbrook Springfield IL 62711 77 SBC Long Distance, LLC 525 Market St, Room 1944 San Francisco CA 94105 78 Utility Telephone, Inc 4202 Coronado Ave Stockton CA 95204 79 TGEC Communications Co , LLC 6805 Tulunga Avenue North Hollywood CA 91605 80 Volcano Long Distance PO Box 1070 Pine Grove CA 95665 81 Surewest Long Distance PO Box 969 Roseville CA 95678 82 Net One International, Inc 457 South Avalon Park Blvd , Suite 500 Orlando FL 32828 83 Ldmi Telecommunications, Inc 655 W Broadway, Ste 850 San Diego CA 92101 84 Mpower Communications Corp 515 S Flower Street, 47th Floor Los Angeles CA 90071 85 Locus Telecommunications, Inc 2200 Fletcher Ave , 6th Floor Fort Lee NJ 07204 86 Access Point, Inc 1100 Crescent Green, Ste 109 Cary NC 27511 87 Americatel Corporation 433 E Las Colinas Blvd , Suite 500 Irving TX 75039 88 U S Telecom Long Distance, Inc 3960 Howard Hughes Prkwy ,, Suite 5001F Las Vegas NV 89109 R 15-06-009 ALJ/GK1/j t2 Appendix G-3 Inter-Exchange Carriers 89 Globalinx Enterprises, Inc 275 Kenneth Drive Rochester NY 14623 90 Quantumshift Communications, Inc 12657 Alcosta Blvd , Suite 418 San Ramon CA 94583 91 Level 3 Communications, LLC 225 Kenneth Drive Rochester NY 14623 92 NTT America, Inc 757 Third Avenue, Floor 14 New York NY 10017 93 Infotech Telecomms and Network Inc 725 Evans Road San Luis Obisbo CA 93401 94 Airnex Communications, Inc 3075 Breckinridge Blvd , Suite 425 Duluth GA 30096 95 International Telcom, Ltd 417 Second Avenue West Seattle WA 98119 96 Network Operator Services, Inc P O Box 3529 Longview TX 75606 97 Incontact, Inc 7730 S Union Park Ave, Ste 500 Midvale UT 84047 98 Kddi America, Inc 825 Third Avenue, 3rd Floor New York NY 10022 99 American Phone Services, Corp 308 Maxwell Rd, Suite 100 Alpharetta GA 30004 100 Pacific Centrex Services, Inc 6805 Tulunga Avenue North Hollywood CA 91605 101 Peak Communications, Inc 1442 East Lincoln Avenue, No 479 Orange CA 92865 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 102 Custom Teleconnect, Inc 2600 Maitland Center Pky ,, Suite 300 Maitland FL 32751 103 CenturyLink Public Communications, Inc 6700 Via Austi Parkway Las Vegas NV 89119 104 Clear World Communications Corp 2901 W MacArthur Blvd , Suite 204 Santa Ana CA 92704 105 01 Communications, Inc 5190 Golden Foothill Parkway El Dorado Hills CA 95762 106 Point To Point, Inc PO Box 3148 Rancho Cordova CA 95741 107 Advanced Telcom, Inc 6160 Golden Hills Dr Golden Valley MN 55416 108 Southern California Edison 2244 Walnut Grove Ave Rosemead CA 91770 109 Paetec Communications, Inc 655 W Broadway, Ste 850 San Diego CA 92101 110 Zayo Group, LLC 400 Centennial Parkway, Suite 200 Louisville CO 80027 111 Wnitel Communications, LLC 225 Kenneth Drive Rochester NY 14623 112 Advantage Telecommunications Corp C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 113 Astound Broadband, LLC 401 Kirkland Parkplace, Suite 500 Kirkland WA 98033 114 Freedom Telecommunications, LLC 624 S Grand Avenue, Suite 1200 Los Angeles CA 90017 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 115 Earthlink Business, LLC 3000 Columbia House Blvd , Suite 106 Vancouver WA 98661 116 Unity Telecom, LLC 2997 LBJ Freeway, Suite 225 Dallas TX 75234 117 Openpop Com, Inc 3055 Wilshire Blvd , Suite 730 Los Angeles CA 90010 118 Backbone Communications, Inc 811 Wilshire Blvd , Ste 1020 Los Angeles CA 90017 119 Surewest Televideo PO Box 969 Roseville CA 95678 120 Network IP, LLC 1807 Judson Road Longview TX 75605 121 PNG Telecommunications, Inc 8805 Governors Hill Dr, Suite 250 Cincinnati OH 45249 122 AT&T Corp 525 Market St, Room 1944 San Francisco CA 94105 123 Reliance Globalcomm Services, Inc 114 Sansome Street, 11th Floor San Francisco CA 94104 124 IP Networks, Inc PO Box 192366 San Francisco CA 94119 125 Broadview Networks, Inc 1018 West 9th Ave King Of Prussia PA 19406 126 Telmex USA, LLC 3350 SW 148 Avenue, Suite 400 Miramar FL 33027 127 ANPI Business, LLC 7460 Warren Parkway, Ste 218 Frisco TX 75034 s + R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 128 Cbeyond Communications, LLC 320 Interstate North Pkwy SE Atlanta GA 30339 129 Digital Net Phone, LLC 8391 Beverly Blvd , Suite 350 Los Angeles CA 90045 130 Encompass Communications, LLC 119 West Tyler Street, Suite 260 Longview TX 75601 131 Onvoy, LLC 10300 6th Avenue N Plymouth MN 55441 132 RGT Utilities of California, Inc 1221 Avenue Of The Americas, C2 Level New York NY 10020 133 Aries Network, Inc 5973 Avenida Encinas, Suite 202 Carlsbad CA 92008 134 Intrado Communications, Inc 1601 Dry Creek Drive Longmont CO 80503 135 Sage Telecom Communications, LLC 10440 North Central Expressway, Suite 700 Dallas TX 75231 136 Telscape Communications, Inc 10440 North Central Expressway, Suite 700 Dallas TX 75231 137 Call America, Inc 4202 Coronado Ave Stockton CA 95204 138 Curatel, LLC 1605 West Olympic Blvd , Suite 701 Los Angeles CA 90015 139 Norcast Communications Corporation 1998 Santa Barbara Street, Suite 100 San Luis Obispo CA 93401 140 Wholesale Carrier Services, Inc 5471 N University Drive Coral Springs FL 33067 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 141 NetFortis Acquisition Co , Inc 455 Market Street, Suite 620 San Francisco CA 94107 142 Great America Networks, Inc 10350 Heritage Park, Suite 101 Santa Fe Springs CA 90670 143 Budget Prepay, Inc 1325 Barksdale Blvd , Ste 200 Bossier City LA 71111 144 Creative Interconnect Communications PO Box 656 San Carlos CA 94070 145 Onelink Communications, Inc 8400 N University Drive, Suite 204 Tamarac FL 33321 146 New World Telecom International, Inc 2711 Centerville Road, Suite 400 Wilmington DE 19808 147 McGraw Communications, Inc 3483 Satellite Blvd , Ste 202 Duluth GA 30096 148 Cypress Comms Operating Co, Inc 75 Erieview Plaza, Suite 400 Cleveland OH 44114 149 Calltower, Inc 10701 South River Front Parkway, No 450 South Jordan UT 84095 150 Cogent Communications of Calif, Inc 1015 31st Street, NW Washington DC 20007 151 DMR Communications, Inc PO Box 720128 Oklahoma City OK 73172 152 Telecom North America Inc 2654 W Horizon Ridge Pkwy ,, Ste 135-143 Henderson NV 89052 153 Broadband Dynamics, LLC 8757 E Via De Commercio Scottsdale AZ 85258 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 154 Crown Castle NG West LLC 2000 Corporate Drive Canonsburg PA 15317 155 A+ Wireless, Inc PO Box 5454 Ventura CA 93005 156 Blue Casa Telephone, LLC 10 E Yanonali Street Santa Barbara CA 93101 157 Chunghwa Telecom Global, Inc 2107 N First St, Ste 580 San Jose CA 95131 158 Independent Telecommunications Systems, 4079 Park East Court Kentwood MI 49546 159 Granite Telecommunications, LLC 100 Newport Avenue Extension Quincy MA 02171 160 Paxio, Inc 2045 Martin Avenue, Suite 204 Santa Clara CA 95050 161 Advanced Integrated Technologies, Inc C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 162 Time Warner Cable Information Services 60 Columbus Circle New York NY 10023 163 TC Telephone, LLC 243 Washington Red Bluff CA 96080 164 Neutral Tandem California, LLC 550 West Adams Street, Suite 900 Chicago IL 60661 165 Charter Fiberlink CA-CCO, LLC 12405 Powerscourt Drive St Louis MO 63131 166 Lucky Communications, Inc 1028 Mission Street San Francisco CA 94103 w R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 167 Globalphone Corporation 137 North Washington Street, Suite 200 Falls Church VA 22046 168 Worldwide Telecommunications, Inc 4505 Las Virgenes Road, Suite 115 Calabasas CA 91302 169 Global Connect Telecommunications, Inc 1146 N Central Ave , No 297 Glendale CA 91202 170 Newpath Networks, LLC 2000 Corporate Drive Canonsburg PA 15317 171 Ca-Clec LLC 2000 Corporate Drive Canonsburg PA 15317 172 Champion Broadband California, LLC 380 Perry Street Castle Rock CO 80104 173 Infotelecom, LLC 75 Erieview Plaza, Suite 400 Cleveland OH 44114 174 Bright House Networks Information Services (Calif), LLC 4145 S Falkenburg Road, Suite 7 Riverview FL 33578 175 Extenet Systems (California) LLC 3030 Warrenville Road, Suite 340 Lisle IL 60532 176 IBFA Acquisition Company, LLC C/O CSI, 740 FL Central Parkway, Ste 2028 Longwood FL 32750 177 800 Response Information Services, LLC 1795 Williston Road, Suite 200 South Burlington VT 05403 178 Mpower Networks Services, Inc 620-630 Third Street San Francisco CA 94107 179 Nextlink Wireless, Inc 13865 Sunrise Valley Drive Herndon VA 20171 r R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 180 Sunesys, LLC 202 Titus Avenue Warrington PA 18976 181 Cebridge Telecom Ca, LLC 520 Maryville Center Drive, Suite 300 St Louis MO 63141 182 Sonic Telecom, LLC 2260 Apollo Way Santa Rosa CA 94507 183 Smart Choice Communications, LLC PO Box 720128 Oklahoma City OK 73172 184 MCC Telephony of the West, LLC 100 Crystal Run Road Middletown NY 10941 185 BLC Management LLC 6905 N Wickham Road, Suite 403 Melbourne FL 32940 186 Alliance Group Services, Inc 1221 Post Road East Westport CT 06880 187 Bandwidth Com Clec, LLC 900 Main Campus Drive, Suite 500 Raleigh NC 27606 188 Oacys Telecom, Inc 767 North Porter Road Porterville CA 93257 189 Channel Islands Telephone Company 3802 Rosecrans St, Ste 485 San Diego CA 92110 Telequality Communications, Inc 190 24715 Fairway Springs San Antonio TX 78260 191 CapTex Telecom, LLC 119 West Tyler Street, Ste 100 Longview TX 75601 192 Telcentris Communications, LLC 9276 Scranton Road, No 300 San Diego CA 92121 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 193 Roadway Communications, Inc 16012 S Western Avenue, Suite 303 Gardena CA 90247 194 Ekit Com Inc 27 Drydock Ave , 5th Floor Boston MA 02210 195 Call One Inc 225 W Wacker Drive, 8th Floor Chicago IL 60606 196 Momentum Telecom, Inc 880 Montclair Road, Suite 400 Birmingham AL 35213 197 Peerless Network of California, LLC 222 S Riverside Plaza, Suite 2730 Chicago IL 60606 198 Shasta County Telecom, Inc 3802 Rosccrans Street San Diego CA 92110 199 Convergence Systems, Inc 10636 Scripps Summit Court, Suite 201 San Diego CA 92131 200 Callcatchers, Inc 169 Saxony Rd , Ste 206 Encinitas CA 92024 201 Public Wireless, Inc 25 East Trimble Road San Jose CA 95131 202 X2 Telecom, LLC PO Box 90346 Santa Barbara CA 93190 203 Cruzio Media, Inc 877 Cedar St, Ste 150 Santa Cruz CA 95060 204 Mosaic Networx, LLC 454 Las Gallinas Ave , Suite 145 San Rafael CA 94903 205 Broadvox-CLEC, LLC 75 Erieview Plaza, Suite 400 Cleveland OH 44114 f R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 206 Impulse Telecom, LLC 5383 Hollister Ave , Ste 240 Goleta CA 93111 207 Telus Communications Company 500 8th Street, NW Washington DC 20004 208 Frontier Communications Online & LD 9260 E Stockton Blvd Elk Grove CA 95624 209 Blue Rooster Telecom, Inc PO Box 4959 San Luis Obispo CA 93403 210 Rosebud Telephone, LLC PO Box 597 Rosebud TX 76570 211 Pay Tel Communications, Inc PO Box8179 Greensboro NC 27419 212 Airus, Inc 840 South Canal, 7th Floor Chicago IL 60607 213 Cenic Broadband Initiatives LLC 1415 L Street, Suite 870 Sacramento CA 95814 214 Comity Communications, LLC 3816 Ingersoll Avenue Des Moines IA 50312 215 Digital West Networks, Inc 3620 Sacramento Drive, Suite 102 San Luis Obispo CA 93401 216 Splice Communications, Inc 1900 S Norfolk St, Suite 350 San Mateo CA 94403 217 Bestel (USA), Inc 2323 Bryan Street, Suite 2040 Dallas TX 78205 218 Crexendo Business Solutions, Inc 1615 South 52nd Street Tempe AZ 85281 h R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 219 Mobilitie, LLC 660 Newport Center Drive, Suite 200 Newport Beach CA 92660 220 Big River Telephone Company, LLC 24 S Minnesota Ave Cape Girardeau MO 63703 221 XYN Communications of California, LLC 8275 S Eastern Ave, 200 Las Vegas NV 89123 222 Common Point, LLC 3243 Meadowbrook Springfield IL 62711 - 223 Voxbeam Telecommunications, Inc 6314 Kingspointe Pkwy ,, Suite 1 Orlando FL 32819 224 Plumas Sierra Telecommunications 73233 State Route 70, Suite A Portola CA 96122 225 California Broadband Cooperative, Inc 1101 Nimitz Ave Vallejo CA 94592 226 Masergy Communications, Inc 2740 North Dallas Parkway Plano TX 75093 227 Lit San Leandro, LLC 777 Davis Street San Leandro CA 94577 228 IFN com, Inc 9841 Airport Blvd , 9th Floor Los Angeles CA 90045 229 LCB Communications, LLC P O Box 1246 Sam Martin CA 95020 230 Telecircuit Network Corporation 1725 Winward Concourse,Suite 150 Alpharetta GA 30005 231 Optic Access 533 Airport Blvd , Suite 400 Burlingame CA 94111 R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 232 Metro Star Networks, Inc 145 S Halcyon Rd , Suite E Arroyo Grande CA 93420 233 Local Access Services LLC 11442 Lake Butler Blvd Windermere FL 34786 234 Public Interest Telecom of CA 1050 Heinz Ave Berkeley CA 94710 235 Vodex Communications Corporation 3185 E2 Airway Avenue Costa Mesa CA 92626 236 Transbeam, Inc 8 West 38th St, 7th Floor New York City NY 10018 237 Global Telco Group Inc 1420 Spring Hill Road, Suite 401 Mclean VA 22102 238 Sage Communications, Inc 4274 Enfield Court, Suite 1600 Palm Harbor FL 34685 239 CallFire, Inc 1410 2nd Street, Floor 2 Santa Monica CA 90401 240 Smart Card Services, Inc 15953 NW 16th Street Pembroke Pines FL 33028 241 Surfnet Communications, Inc 25600 Hillside Road Los Gatos CA 95033 242 Viasat Inc 349 Inverness Drive South Englewood CO 80112 243 Ultimate Internet Access, Inc 3633 Inland Empire Blvd , Suite 890 Ontario CA 91764 O y R 15-06-009 ALJ/GK1/jt2 Appendix G-3 Inter-Exchange Carriers 244 LightSpeed Networks, Inc 921 SW Washington St, Suite 370 Portland OR 97205 Appendix G4 Commercial Mobile Radio Service Providers (Cellular Carriers) 1 Cellco Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 2 GTE Mobilnet of CA , Ltd Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 3 Los Angeles SMSA Limited Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 4 Sacramento Valley Ltd Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 5 Fresno MSA Ltd Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 6 GTE Mobilnet of Santa Barbara 201 Spear Street, 7th Floor San Francisco CA 94105 7 Santa Barbara Cellular Systems, Ltd 1525 Market St, Room 1944 San Francisco CA 94105 8 AT&T Mobility Wireless Operations Holdings Inc 525 Market St San Francisco CA 94105 9 WWC License, LLC 180 Washington Valley Road Bedminster NJ 07921 10 California RSA No 3 Ltd Partnership PO Box 2607 Oakhurst CA 93644 R 15-06-009 ALJ/GK1/jt2 Appendix G4 Commercial Mobile Radio Service Providers (Cellular Carriers) 11 Verizon Wireless, LLC 201 Spear Street, 7th Floor San Francisco CA 94105 12 Modoc RSA Limited Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 13 California RSA No 4 Ltd Partnership 201 Spear Street, 7th Floor San Francisco CA 94105 14 United States Cellular Corporation 8410 West Bryn Mawr Chicago IL 60631 15 T-Mobile West LLC 1755 Creekside Oasks Dr , STE 190 Sacramento CA 95833 16 New Cingular Wireless PCS, LLC 525 Market St, Room 1944 San Francisco CA 94105 17 Cricket Communications, Inc 525 Market St, Room 1944 San Francisco CA 94105 18 Metropcs California, LLC 1755 Creekside Oasks Dr, Ste 190 Sacramento CA 95833 19 Accessible Wireless, LLC 100 Via Dela Valle, Suite 200 Del Mar CA 92014 20 California Valley Broadband, LLC 1015 - B Airport Road Rio Vista CA 94571 t � R 15-06-009 ALJ/GK1/jt2 Appendix G-5 Radio Telephone Utilities 1 Madera Radio Dispatch PO Box 28 Madera CA 93639-0028 2 Fresno Mobile Radio Inc 160 North Broadway Fresno CA 93701 3 American Messaging Services, LLC 1720 Lakepointe Dr, Ste 100 Lewisville TX 75057 4 Velocita Wireless 70 Wood Avenue South, 3rd Floor Iselin NJ 08830 5 USA Mobility Wireless, Inc 6850 Versar Center, Suite 420 - Tax Dept Springfield VA 22151 6 Telefonica USA, Inc 1111 Brickell Avenue, 10thFloor Miami FL 33131 (End of Appendix G) t � R 15-06-009 ALJ/GK1/lt2 Appendix H (Service List of Resolution No W-4823) R 15-06-009 ALJ/GK1/jt2 Service List of Resolution No W-4823 Edward Jackson Park Water Company P O Box 7002 DOWNEY CA 90241-7002 Leigh K. Jordan Apple Valley Ranchos Wtr Co P O Box 7002 DOWNEY CA 90241 Lawrence Morales East Pasadena Water Co 3725 East Mountain View Ave. PASADENA CA 91107 Robert J DiPrimio Valencia Water Co 24631 Avenue Rockefeller VALENCIA CA 91335 Robert L Kelly Suburban Water Systems 1211 E Center Court Drive COVINA CA 91724-3603 Daniel A Dell'Osa San Gabriel Valley Water Co P O Box 6010 EL MONTE CA 91734 Michael Whitehead San Gabriel Valley Water Co P O. Box 6010 EL MONTE CA 91734 Timothy J Ryan, Gen Counsel San Gabriel Valley Water Co P O Box 6010 EL MONTE CA 91734 R 15-06-009 ALJ/GK1/jt2 Keith Switzer Golden State Water Company 630 East Foothill Blvd SAN DIMAS CA 91773-9016 Robert Thomas Adcock Alco Water Service 249 Williams Road SALINAS CA 93905 Martin A Mattes California Water Association 50 California Street SAN FRANCISCO CA 94111 Francis S Ferraro California Water Service Co 1720 N. First Street SAN JOSE CA 95112-4598 John Roeder Great Oaks Water Company P O Box 23490 SAN JOSE CA 95153-3490 Palle Jensen San Jose Water Company 374 W Santa Clara Street SAN JOSE CA 95196-0001 Robert C Cook, Sr Frurtridge Vista Water Company 1108 Second Street, Suite 204 SACRAMENTO CA 95814 David P Stephenson California-American Water Co 4701 Beloit Drive SACRAMENTO CA 95838 R 15-06-009 ALJ/GK1/jt2 Robert S Fortino Del Oro Water Company, Inc Drawer 5172 CHICO CA 95927 John Garon Golden State Water Company 630 East Foothill Blvd SAN DIMAS CA 91773-9016 Gladys Rosendo Golden State Water Company 630 East Foothill Blvd SAN DIMAS CA 91773-9016 John K. Hawks California Water Association Mail Code E3-608 601 Van Ness Ave , 2047 SAN FRANCISCO CA 94102 - E Garth Black Cooper, White, & Cooper, LLP 201 California Street, 17th Street SAN FRANCISCO CA 94111 Sarah Leeper Attorney at Law Manatt, Phelps & Phillips, LLP One Embarcadero Ctr ,, 30th Floor SAN FRANCISCO A 94111 Jose E Guzman, Jr California Water Association 50 California Street SAN FRANCISCO CA 94111 Joseph M Karp Winston & Strawn, LLP 101 California St , 39th Floor SAN FRANCISCO CA 94111 Ts =s R 15-06-009 ALJ/GK1/jt2 Thomas Smegal California Water Service Company 1720 North First SAN JOSE CA 95112 Edward Howard CPUC —Policy & Planning Div 505 Van Ness Avenue, Rm 5119 SAN FRANCISCO CA 94102 Jacquline A. Reed CPUC —ALJ 505 Van Ness Avenue, Rm 5017 SAN FRANCISCO CA 94102 Jason J Zeller CPUC-Legal Division, Rm 5105 505 Van Ness Avenue SAN FRANCISCO CA 94102 Joe Como CPUC — DRA- Admin Branch 505 Van Ness Avenue, Rm 4101 SAN FRANCISCO CA 94102 Ravi Kumra CPUC — DWA 505 Van Ness Avenue SAN FRANCISCO CA 94102 Ting-Pong Yuen CPUC — ORA 3-D 505 Van Ness Avenue SAN FRANCISCO CA 94102 Yoke W Chan CPUC —ORA 3-D 505 Van Ness Avenue SAN FRANCISCO CA 94102 (End of Appendix H) SOUTHERN CALIFORNIA EDISON An EDISON INTERNATIONAL Company Incorporated Cities and Counties Served by SCE COUNTIES Fresno Kern Madera Riverside Tuolumne Imperial Kings Mono San Bernardino Tulare Inyo Los Angeles Orange Santa Barbara Ventura CITIES Adelanto' Commerce Hesperia Los Alamitos Port Hueneme Simi Valley Agoura Hills Compton Hidden Hills Lynwood Porterville South El Monte Alhambra Corona Highland Malibu Rancho South Gate Aliso Viejo Costa Mesa Huntington Mammoth Lakes Cucamonga South Pasadena Apple Valley Covina Beach Manhattan Rancho Mirage Stanton Arcadia Cudahy Huntington Park Beach Rancho Palos Indian Wells Maywood Verdes Tehachapi Artesia Culver City Temecula Industry McFarland Rancho Santa Avalon Cypress Inglewood Menefee Margarita Temple City Baldwin Park Delano Irvine Mission Viejo Redlands Thousand Oaks Barstow Desert Hot Redondo Beach Torrance Springs Irwindale Monrovia Beaumont Rialto Tulare Diamond Bar Jurupa Valley Montclair Bell Ridgecrest Tustin Downey La Canada Montebello Bell Gardens Flintridge Rolling Hills Twentynine Palms Bellflower Duarte Monterey Park Upland La Habra Moorpark Rolling Hills P Beverly Hills Eastvale La Habra Estates El Monte Heights Moreno Valley Valencia Big Bear Lake Rosemead Victorville Bishop El Segundo La Mirada Murneta San Bernardino Villa Park Blythe Exeter La Palma Newport Beach San Bradbury Farmersville La Puente Norco Buenaventura Visalia Fillmore La Verne Norwalk San Dimas Walnut Brea West Covina Fontana Laguna Beach Ojai San Fernando Buena Park West Hollywood Fountain Valley Laguna Hills Ontario San Gabriel Calabasas Westlake Village Fullerton Laguna Niguel Orange San Jacinto g California City Westminster Garden Grove Laguna Woods Oxnard San Marino Calimesa Whittier Gardena Lake Elsinore Palm Desert Santa Ana Camarillo Wildomar Glendora Lake Forest Palm Springs Santa Barbara Canyon Lake Woodlake(Three Goleta Lakewood Palmdale Santa Clarita Carpinteria Santa Fe Rivers) Carson Grand Terrace Lancaster Palos Verdes Springs Yorba Linda Cathedral City Hanford Lawndale Paramount Santa Monica Yucaipa Cerritos Hawaiian Gardens Lindsay Perris Santa Paula Yucca Valley Chino Loma Linda Pico Rivera Seal Beach Hawthorne Chino Hills Hemet Lomita Placentia Sierra Madre Pomona Long Beach Signal Hill Claremont Hermosa Beach Last Updated 5/12/2014 Updated by Sylvia S Hernandez