Kleppe

ORDER AND MODIFICATION OF JUDGMENT

This matter is before the court on intervenor-defendant Pacific Gas & Electric Company’s (PG&E) motion for reconsideration of a portion of this court’s judgment entered on September 20, 1976. The portion in question reflects this court’s ruling in Part II.D.(4) of its Decision in this case filed on July 23, 1976. The court denied PG&E’s motion for summary judgment on its counterclaim against Santa Clara and ordered that the escrow agreement which was the subject of the counterclaim be continued in effect until such time as the Bureau of Reclamation reconsidered the power allocation scheme in issue in the suit.

PG&E’s counterclaim against Santaclara arose out of a contract executed in March, 1969, under which PG&E agreed to supply the City’s excess power requirements at wholesale rates at such times as Santa Clara’s share of Central Valley Project (CVP) power, as set by the Bureau of Reclamation, did not meet the City’s total power requirements. As the Bureau began withdrawing power from Santa Clara in mid-1971, the share of the City’s total requirements which had to be supplied by PG&E increased, and the utility billed the City for the…