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City of Morgan Hill Comprehensive Water Report

Page D2

Purpose of Report

The City of Morgan Hill, along with the State of California, is entering the fourth year of

drought conditions. 2014 has been recorded as the warmest and driest year on record for

California. The City Council, at its goal-setting retreat in January 2015, adopted a drought

response position that included the following goal and strategy:

Goal

The Morgan Hill Community will continue to be leaders in the state responding to the

drought conditions and will support water rate increases to ensure system reliability.

Strategy

By March 2015, the Council will receive a comprehensive report that identifies short

and long term strategies to address the environmental and financial impacts of

drought conditions which may include new rate structure, Proposition 218 water rate

election, public investment in recycled water, and other measures as necessary.

The purpose of the report will describe:

Water Sources

Water System

Level of Service and Maintenance Standards

Rate Structure

Consumption

Water Conservation

Recycled Water

Drought Response Activities

Expanding, Preserving, and Conserving for Future Water Supplies

Report Conclusions and Next Steps

Introduction

While there is no question that California is currently experiencing a

drought that is causing significant challenges, there is also considerable

concern that California's water system is built on unsustainable

parameters. Historical records indicate that the State experienced a relatively wet period

throughout the 20th Century and built a water system based on rainfall amounts that are

not likely to be consistently experienced in the future. As the State's economy and

population continue to grow, the unsustainability of California's water system will be

exposed with increasing frequency. This new reality will ultimately increase the cost of

producing water.

Morgan Hill's water system is no exception. While the Santa Clara Valley Water District

(District) actively recharges Morgan Hill's aquifers with imported water, their ability to do

so is limited by the amount of imported water made available to the District.

In addition, the water infrastructure serving our State and the community of Morgan Hill

Current

Conditions

California Snow

Pack at 19%

Imported Water

Supplies Severely

Constrained

Groundwater

Levels Falling

Throughout

California

Water District

Unable to Fully

Recharge Morgan

Hill Aquifer