as you know, we're doing a lot of work to upgrade both of our treatment plants at harry tracy work is progressing very well. we're now 31%. and by the end of the year we're pushing to be at 40%. what you see on the left photo there is construction of the five new filters at the plant there. the -- valley water treatment plan is much further along. we're 90% done over there and we anticipate to reach substantial completion in march of 2013. i've also been pleased with progress being achieved on our two ongoing tunnel projects. two-thirds of the half mile tunnel has now been esexcavated. it has dried out allows us to achieve a bigger production rate. we can see more groundwater inflows, but overall i'm very pleased with our moving there. on the bay tunnel, 90% of the tunnel has been excavated now. the total boring machine did cross all the levies. the last levies under the salt ponds on east bay without impact to the surface so we're pleased with that. what you see on the right side is the receiving shaft in newark. so work there has progressed very well. and if all goes according to pl

harry reid says something we get violent movements out of the markets. only in the last couple weeks are they finally starting to pay attention to this. tracy: okay, we don't get a deal, let's play this out. do they punt to next year and we see a bunch of retroactive taxes put in place? will we see entitlement spending cuts? how do you see this in the end? >> there are two con sit when sis out there to keep in mind. the president won the election and he feels he has a mandate and that's correct. there is also the financial markets and they matter too. if we go into no deal in january and cbo estimates are right, i have no reason to doubt that, the economy takes a hit, financial markets take a hit and there is enormous pressure on everybody in washington to stop the bleeding. the markets are going down, economy is going down. of therefore i think they will start to have pressure on them. the president, as he sounded today, doesn't sound like he wants to really negotiate. he won. he wants the taxes on everybody over 250 to go up, the rate to go up. he has a pen ready to sign it. unless the markets put pressure on him he will not come off of t