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405 with about 40-50% of the normal water supply next year. The State is also exploring the possibility of establishing a permanent water bank from which water may be purchased during any drought year. In addition, the State will require permanent conservation practices such as water conserving landscaping, a limit on irrigation, and low-flow toilets. He indicated that based on ABAG's projected growth figures, which were taken from the cities' General Plans, Zone 7 estimates that there will be a sufficient water supply until the year 2007. Mr. Mercer inquired if Zone 7 has any plans to ration water to force mandatory rationing. Mr. Dixon said no. He added that with Zone 7's ability either to develop other water sources or purchase water, there would be no need at this time to go into mandatory water rationing. Mr. Mercer inquired if Zone 7 could use some of its $19 million fund to build pumps or purchase water. Mr. Dixon said yes. He stated that a great deal of that fund is earmarked for Zone 7 improvements. He explained that Zone 7 has two funding sources. The funds generated from the household meter charge of $830 each, which is the larger source, goes into an expansion fund and pays for projects that bring additional water -- into the area. The second source is part of Zone 7's rate structure and provides for improvements to the systems, such as the addition of ozone treatment to water, an expensive process that would eliminate the chloride problem by 1996. Mr. Tarver inquired what the potential supply of ground water is in terms of a drought and if there is any danger to be concerned about with respect to the effects of pumping so much water out of the ground. He further asked what Zone 7's policy is with respect to pumping water out of the ground and how many years the groundwater supply would last if it is not recharged. Mr. Dixon replied that Zone 7 adopted a policy in 1987 setting an elevation that should be maintained in the basin. He stated that Zone 7 has recharged about 94,000 acre feet of water since 1962 but that because of the drought and the lack of water to recharge the basin, the level moved down more quickly this year than anticipated and is a little lower than that elevation. He continued that at the current rate water is being used and if the drought continues, the Valley will have between six to ten years of water supply, after which the water level will be back to where it was before Zone 7 started recharging in 1962. He indicated, however, that the water that is being pumped out now is water that was put in over the last 20 years and that Zone 7 has another - 15 - 8-20-91