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their property tax bill over a five to twenty year period. He provided the Council and staff will handouts regarding the program. John Huk addressed the Council regarding a tree matter on his property. Mayor Thome stated that he has offered to arrange a meeting with the Ironwood neighborhood in an effort to have a reliable and truthful discussion, free from time limits and other restrictions, regarding the upcoming Housing Element discussions. He extended that same offer to any other neighborhood that would like the same opportunity but said he would like to do so prior to the Council's September 2, 2014 meeting on the matter. PUBLIC HEARINGS AND OTHER MATTERS 20. Update on the Stage 3 Water Shortage and Local Emergency Declaration Director of Operation Services Smith presented the required monthly update on, and submitted a request to continue, the local drought emergency. He reported that staff has spent a considerable amount of time making community presentations over the last month is confident that the public has really started to develop a good sense of the situation and what it will require to come up with a comprehensive plan for a water program in California. Mr. Smith reported that the state legislature recently approved a $7.5 billion water bond to address regional water liability, safe drinking water, water recycling, groundwater sustainability, watershed protection and reservoir development. While many of these efforts could be of benefit locally, the bond must first be passed by the voters in November. He cautioned that most of the projects supported by the bond, with exception of recycled water, are not short or mid-term projects and will ultimately take quite a bit of time to finance, plan and construct. He also clarified that the water bond which included some monies for the bypass tunnels as part of the State Water Project is not a part of this bond and is thought to be as far out as 2028. He provided an update on both state and local conditions, noting that almost 100% of California is now experiencing severe drought conditions and the emergency is recognized from the local to the federal level. Wells throughout the state, including those feeding several properties near Callippe Preserve Golf Course and in Doherty Valley, have gone dry and further taxing city resources. Locally, the Drought Action Center continues to field calls for assistance from both residents and businesses. He credited this program, and the fourteen full time employees dedicated to answering calls and providing hands on assistance, with the city's success. A design contract as well as guaranteed resolutions for the state loan for the city's recycled water program will be coming to the Council September 2, 2014, with hopes of having that program in the ground and servicing the sports park by June of 2015. He commended Kaiser Permanente, who actually reached out to the city regarding its own program, for reaching an overall reduction of 30% (3.2 million gallons) in the last period. He also commended the Ruby Hills Homeowners Association on its reduction of 32.5% (5.4 million gallons) in the common area landscaping as well as several residences, one of whom achieved a 57% reduction. He again acknowledged the community concern over rate penalties when other local agencies have chose to raise rates for everyone. He reviewed the available data for six of the eight billing routes, noting that 92.5% of residential accounts, and 91% of total accounts, logged have achieved the required 25% reduction. In those residential accounts where the mandatory conservation was not achieved, there is actually an average increase of 11.4% over the previous year which really equates to nearly 39% of where they should be. Recent data demonstrates a citywide reduction of 37% for July and 32% month to date. Year to date the community as a whole has conserved 993 million gallons (25.9%) of potable water since January. He stressed that while these are notable accomplishments, it is City Council Minutes Page 6 of 11 August 19,2014