Rate Design. The Settling Parties agree that the results of the rate design process as shown by the rate schedules in Appendix C to this Agreement (“Phase 2 Rate Design Agreement”) are reasonable and should be adopted by the Commission. Appendix C lists rates that reflect the Phase 2 Revenue Allocation Agreement, and the additive impact of the DA CRS revenue allocation adjustments. These rates are based on the estimated total system revenue requirement for June 2006 and shall be adjusted consistent with the terms of this Agreement to reflect SCE’s actual total system revenue requirement when this Agreement is implemented and consistent with the Commission’s final decision on the working group report in the DA CRS proceeding.
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