richie again the. >> steve richie, assistant general manager for water. i appreciate the rescheduling of the item because i had to drive back from yosemite. despite the rain last week and what's expected tomorrow, we are still continuing to experience one of the worst droughts in our history and our system is no exception to that. the last three years on the tuolome river have been the driest years since 1776. that is a tree ring record. we have a declaration to account for expanding project needs and increase of cost estimates due to unforeseen delays. due to the unique challenges of this drought, exacerbated by the damages created by the rim fire, it should be thought about as a long-term sustainability issue because droughts are long-term things, they are not instantaneous as we have to do in several other acute emergencies. the total kauflt of all emergency work is estimated to be an amount not to exceed $35 million dollars. we tested the watt or divergence structure into the cherry aquaduct, removing water and putting it back. they are important for

committee, i'm steve richie, general manager for water for the public utilities commission. today we're asking the committee to recommend two actions to the board. one is to accept and expend a 1.4 million proposition 84 grant for the project from the department of water resources which would actually be administered by abag. at the same time approving apring de-appropriating 1.4 million in ground water funds and reappropriating those funds to the water system bonds commercial paper expense. that way it can be used for other needs so it's a good offset of funds already available. one thing i would note is i will probably be back next week and a couple additional times in 2015 for additional grants for water conservation purposes and for the lower cherry aquaduct as well so we're doing well on the grant front under proposition 84. >> thank you, mr. richie. i see no questions, go to mr. rose, the budget analyst. >> yes, mr. chairman, supervisor avalos. on page 4 of our report we note the regional ground storage project overall is $113,500,000 and that's shown on the table on p