Pricewaterhouse is going to audit the CAISO and is seeking confidential input on the areas in which it should focus its audit.  Although it will be some time before the audit is completed, it would be of obvious benefit to have the CAISO's auditors publicly confirm our allegations.  In addition to the CDWR/OOM matter, I would suggest that PwC look into the CAISO's procedures for "adjusting" SC schedules, CAISO manual adjustment of market clearing prices, and how the CAISO decides whom to buy OOM energy from.

-----Original Message-----
From: CRCommunications [mailto:CRCommunications@caiso.com]
Sent: Wednesday, August 29, 2001 10:22 AM
To: ISO Market Participants
Subject: CAISO Notice - PwC Operational Study


ISO Market Participants:
In past years, the California Independent System Operator (ISO) has
evaluated its operating practices through an independent review.
PricewaterhouseCoopers (PwC) plans to commence the ISO's 2001 Operational
Study during September 2001. As in past years, the Operational Study will be
focused on hour-ahead, day-ahead and real-time operating practices performed
by ISO personnel in its Folsom and Alhambra control rooms. 
PwC is seeking input from ISO market participants prior to conducting its
Operational Study. Consistent with prior studies, the scope of the 2001
Operational Study will not include active settlement disputes which are
being addressed in other forums. 
If you would like to meet with PwC (via conference call) to discuss the
scope of this Operational Study, please call Ms. Ericia Berti at (916)
351-4453 or e-mail her at eberti@caiso.com <mailto:eberti@caiso.com> .  You
can schedule a meeting for Wednesday, September 5th or  Friday, September
7th.  Market participants will be given the opportunity to have a member of
ISO Operations management, Vicken Kasarjian, present during all or a portion
of their meetings if they so desire.  Information conveyed by market
participants to PwC during these meetings will be treated in the strictest
confidence at the request of the market participants.
When scheduling a meeting, please advise Ms. Berti whether you prefer to:
1.	Meet with PwC only;
2.	Meet with PwC and Vicken Kasarjian; or
3.	Meet first with PwC only, followed by a session including Vicken
Kasarjian to cover certain matters addressed in the first meeting that you
wish to communicate directly to ISO management.
If you have any questions regarding the PwC Operational Study or the
interviews, please contact Ericia Berti.
Client Relations Communications
CRCommunications@caiso.com