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14. What rationale drove the city to keep its fixed revenue share to approximately 14%, even lowering the fixed charges for many customer classes?How do we reconcile it with much of the water costs (nearly 60%) being fixed? Wouldn't the fixed cost share even increase with its wells? 15. With its heavy reliance on variable consumption-based revenues, how does the city plan to recover its fixed costs if the stiff increases in inclining tiered pricing cause its high-usage customers to reduce consumption significantly? If the tariff structure does not change, will this not lead to further volumetric rate increases? Wouldn't this be equivalent to penalizing residential customers for water conservation— the opposite of what the city wants to achieve? 16. Has the city used its historical water consumption data to analyze conservation trends, price elasticity, etc.?Wouldn't a data-driven approach help facilitate more informed decision-making? 17. In adopting the tiered SFR variable tariffs to encourage water conservation, how does the city reward reduction in waste for other customer classes? Or has the city concluded via studies that there is no potential for water waste reduction in any segment other than SFR customers who use over 20 ccf? 18. Would the city be opposed to considering alternative approaches to encourage conservation that would appropriately reward all customers, irrespective of their class or current usage level? (For example, rebates towards a future bill if the current consumption is lower by a margin compared to the previous year's period.) 19. The city has emphasized the need to replenish Pleasanton Water Enterprise's declining reserve fund to improve its credit rating so that it would pay a lower interest rate if it borrows funds for capital expenses. However, that is different from the stated plan. Isn't this a temporary funding need that should be addressed by a temporary charge in water bills rather than bundled in regular permanent water rate increases?How is reducing fixed charges helpful in improving the stability of cash flows needed to improve debt financing or servicing? Would the city oppose considering alternative creative ways of boosting its reserves? (For example, incentivizing customers to pre-pay their budgeted fixed costs.) 20. Finally, is it a wasteful exercise to increase awareness of the cost structure of the city's water utility using a simple infographic like the one below, which shows where a customer's dollar in water bill goes?Infographics like the one below, by customer category, if they differ, for the current and future bills, would be much easier to follow rather than poring through and analyzing the 79-page Water Report to find answers to questions like the above. Do you disagree? 4