EXHIBIT 99.490

February 13, 2001

Mr. Pete Garris
California Department of Water Resources
Operations Control Office
3310 El Camino Ave
Sacramento, CA 95821
Tel:  916-947-4705


Dear Pete,

Perot Systems Corporation is excited to have the opportunity to present this
proposal for providing scheduling and settlements services to California
Department of Water Resources (CDWR).

We understand the enormous responsibility that has been assigned to CDWR to lead
California out of its current energy crisis. We also understand the tremendous
technical and business challenge that your organization is facing in providing
scheduling and settlements services to CDWR. We are uniquely qualified to offer
CDWR solutions that will mitigate its technical and business risks. Prominent
among our qualifications are:

     o    Perot Systems was a principal member of the teams that designed,
          developed and implemented scheduling and settlements business and IT
          solutions for both the California ISO and the California PX (CalPX).

     o    Perot Systems developed and integrated the scheduling and settlements
          systems that are currently being used at CalPX - we believe that the
          scheduling and settlements solutions that would meet CDWR's needs are
          very similar to those currently being used by CalPX.

     o    Perot Systems staff that will be engaged in this "process" has been
          operating all the IT infrastructure, applications and business
          processes that CalPX currently uses for its scheduling and settlements
          functions.

The proposal that follows details our approach which is intended to enable CDWR
to optimize between its competing objectives of risk mitigation and cost
control. We welcome the opportunity to discuss our proposal with you in greater
detail, and look forward to working with you. Please contact me at (626)
537-3027 should you have any question regarding our proposal.

Sincerely,



Dariush Shirmohammadi
Director, Energy Industry

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