The consulting’ firm of Charles Howard and Associates has worked to develop a series of rule curves that relate the volume of water in storage at a given date to the level of demand that can be sustained wi that exceeding a pre-determined risk of supply shortfall by the selected target date., An example of such a curve is attached. Capilano and Seymour, together.with storage in the mountain lakes, are being considered together as the existing infrastructure allows for some transfer between the two systems. The District intends to operate its system in a manner that balances the drawdown of Capilano. and Seymour Lakes so that their risk of shortfall is virtually equivalent at any time. We will also maximize the use of Coquitlam water within the constraints imposed by the transmission system. It is proposed that one of the goals of the WSRP would be to identify when the demand for water supplied from Seymour and Capilano rises to the point where the reliability of staying above minimum allowable lake levels through to the end of the drought is less than 99 percent (the 100-year drought case). This can be determined from the rule curve by -entering with a known storage volume at a given date and determining whether or not the previous week's average demand falls above or below the reliability = 99 percent line. From this, it may be determined whether or not action must be taken to reduce demand on the Capilano and Seymour systems, and what relative reduction in demand is indicated for the upcoming week. A set of weekly rule curves covering the entire peak draw period is being prepared. At the beginning of each week an update of the storage volume in Capilano-and Seymour together with the previous week’s average withdrawal from those sources would be communicated to the members by fa acsimile with a notation as to the perceived risk of supply shortfall. If desired, a copy of the relevant rule curve could also be provided, ‘showing the most recent storage/demand plot. The change in risk of shortfall would be tracked in this manner and a_ recommended course of action would be ‘propos sed if the risk exceeds the . allowable. Recommendation for Appropriate Response In the simplest case, the District could use the rule curve to trigger the usage of additional water from Coquitlam Lake in areas that would otherwise be fed from Seymour or Capilano. As mentioned previously, the. ability to do this during peak demand periods is limited by the supply system's transfer capacity. Steps are being taken to improve this ITEM