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Mike Slate explained that a large number of wells being applied for are “paper- wells”, meaning they have no water or substance to them. He said that an application could not be made until there was an existing or projected need during the life of that permit. He stressed if the County anticipates future growth needs over the next 20-years, then the application should be submitted promptly. Director Olson believed that with today’s construction, the County has capacity for a few more years. He suggested the Board make a decision by Spring so the next capacity would be in place by 2011 or 2012. Director Olson added, “the key (at that point) would be if we had enough information to submit a consumptive use permit because you cannot bank future water supply allocations”. He anticipates that by summer they will know the amount needed, the direction to go and at that point, be ready to submit the application. Mr. Green reported that they were getting ready to start the next assessment. He explained the planning process to the Board then encouraged the staff to work closely with Barbara Vagara’s staff so certain specifics could be built into the planning process. Chairman Wheeler commented that he felt the County would continue to be in pretty good shape as long as the population and development at build-out was maintained through 2025. Discussion ensued and the Commissioners posed several questions to Mr. Green to learn more about the implementation of a consumption use permit. Commissioner O’Bryan commented that the County did not want to get into a “water-war race” with other Counties. He was concerned that the communities that build-out the fastest could get their consumptive use permits first and get the water. He did not want this County to be penalized because it has better and slower managed growth. December 6, 2006 6 ALTERNATIVE WATER SUPPLY