Based on these ndings and others set forth in Part V of this Report, if the political

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(rather than privatizing them), then we propose the following recommendations for

consideration:

• Recomposing the boards of directors for the Public Utilities to include a mix of
Governor-appointed and independent members, with longer and staggered terms
across administrations;

• Establishing an audit committee comprised of a majority of independent members of

the Public Utilities’ boards of directors, to verify nancials and compliance with rate
covenants. The committee should be instructed to exclude uncollected revenues from
rate covenant calculations;

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The Independent Investigator’s Final Investigative Report

• Adopting speci c requirements for the Public Utilities to disclose their actual use of
bond proceeds;

• Establishing independent rate boards for both of the Public Utilities, which will be
tasked with setting and adhering to rate changes on a predictable, market-responsive

schedule;

• Empowering an independent scal agent to implement the Public Utilities’ respective

FOAs in a way that requires compliance with rate covenants; and

• Eliminating CILT altogether.

C. Summary of Findings and Recommendations Regarding COFINA

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As detailed in Part VI of this Report, we found no evidence that the original purpose of