California ORA Reference Letter

From: Richard Rauschmeier, California Public Utilities Commission, Office of Ratepayer Advocates

Date: December 20, 2017

RE: Aaron Rothschild, Rothschild Financial Consulting

To Whom It May Concern:

My name is Richard Rauschmeier and for the last 10 years, I have worked as the Program and Project Supervisor of the water policy branch of California Public Utilities Commission’s Office of Ratepayer Advocates (ORA). We are statutorily mandated with representing the interests of ratepayers in major rate cases before the California Public Utilities Commission. Since joining ORA, I have participated in most major water rate cases litigated before the Commission. I have supervised or sponsored testimony in four separate Cost of Capital proceedings and overseen the work of consultants and expert witnesses hired by ORA.

In 2017, ORA contracted the services of Mr. Rothschild to provide analysis and expert testimony pertaining to authorized rates of return for California’s four largest investor-owned water utilities. Throughout his engagement, Mr. Rothschild proved indispensable to my office’s efforts. His insightful financial analysis and high-quality work products enabled us to present the Commission with well-supported recommendations that best represented the ratepayers of California.

In both his pre-filed written testimony and his oral testimony before the Commission, Mr. Rothschild was able to deliver highly technical analysis presented in a format that could be understood by the necessary decision makers in the proceeding. Mr. Rothschild presented and successfully defended this analysis under rigorous challenges and cross-examination by multiple parties in the proceeding. Although a final decision in this proceeding is still pending at the time of this writing, I am certain that the outcomes reached for the ratepayers of California in this proceeding will have been significantly aided by his efforts.

Should you require any additional information, please do not hesitate to contact me.

Richard Rauschmeier
(415) 703-2732