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251 how much water the City is pumping from the groundwater basin. She added that the Staff is aware of the issue on treated water and that this is part of the discussions for renegotiation of the contract. Mr. Robert Pearson, 3590 Churchill Court, made the following comments: (1) With respect to Ms. Mohr's position that the City should provide houses, most of the zoning actions taken by the Council were for million dollar homes which do not serve an overriding social need in the Valley and will consume an appreciable percentage of Zone 7's total allotment. He indicated that he would not want to allow his landscaping to die so that a millionaire can buy a house by a golf course. He stated that there ought to be a moratorium on that kind of development in the Valley. (2) The Reverse-Osmosis (RO) program proposed in the 1970's entailed putting the RO units on the water heads to clean up the water system, which is very different from putting the RO units on a sewer plant and injecting the sewage into the ground table. He urged Council to be very careful before using sewage effluent for drinking water because the RO process removes only a percentage of the virus present. Ms. Peggy Purnell, 2472 Via de los Milagros, read statements in the Staff Report that point to a limited water supply for Pleasanton. She requested Council to use the groundwater supply judiciously and to consider the effects of overdrafting the basin. She indicated that the City is gambling with her lifestyle, as well as those of other Pleasanton residents, by approving million dollar homes. She questioned how the City can provide water for other people when it is unable to provide water to its current residents. She suggested that all new development be suspended until the City is sure it has sufficient water supply. There being no further testimony, Mr. Mercer declared the public hearing closed. Mr. Tarver brought up some question for Staff to consider: (1) Does the City have any legal recourse against either the State or Zone 7 in terms of meeting the City's obligations to its constituents with respect to water supply. (2) If the State's water demand is 3.6 million gallons, and the supply is only 2.3 million gallons, where is the shortage going to come from, especially since the State's reserve is down to 2.5 million gallons. (3) What does the State plan to do next year, and what methods are being addressed by the State Drought Task Force in solving the crisis. (4) What would Staff consider to be a "crisis level" in terms of water. (5) Does the State have funds available for the water improvements projects that are planned and anticipated for supplying additional water. (6) Does the City have - 9 - 6-18-91