FY18-19 and 19-20 RECOMMENDED OPERATING AND CIP BUDGET - FIN

Water Conservation (continued)

Financial Comments The source of funding for this activity is the Water Operations Fund which is supported by water service charges paid by Morgan Hill residents and businesses. As water conservation activities reduce water demand, quantity-based revenues from water sales decline accordingly. However, with the State’s limited water supplies and ongoing water delivery challenges, water conservation will remain an essential community program. The City’s Environmental Agenda recognizes the need for these activities in its Water Supply Subject Goal of “Maximize the efficient use of water and the development of alternative water supplies.”

196 COMMUNITY SERVICES