Request to FERC

----- Forwarded by Richard B Sanders/HOU/ECT on 05/22/2001 09:44 AM -----

"Dan Watkiss" <dwatkiss@bracepatt.com< 05/22/2001 09:46 AM To: <gfergus@brobeck.com<, <sbishop@gibbs-bruns.com< cc: <linda.robertson@enron.com<, <Richard.B.Sanders@enron.com< Subject: Request to FERC

I have had several more conversations that convince me that FERC will provide very helpful answers to the three quesitions that Robin sent to me regarding FERC's jurisdiction over the issues in the California cases.

You should be aware of timing issues. Two of FERC's five positions (both Republican or Independent) are vacant, but soon to be filled by nominated candidates. Both nominees (Pat Wood and Nora Brownell) are expected to be helpful to our interests. If we suceed in getting a U.S. district court judge to sollicit FERC's view befor the two new nominees are seated, there may be a slight risk that members of Congress will hold their nominations hostage over the issue of how FERC answers the court.

I have copied Linda Robertson, the head of Enron's Washington shop, so that she can assess how real this risk is and whether it should influence our timing.