Poseidon Distribution Options Options 1 – 3 include new facilities to take 15 mgd of Poseidon Water into the Talbert Seawater Barrier; an equal amount of displaced GWRS water is sent to Burris Basin Option # 35 Mgd Option Descriptions Capital Cost 1A 26 Injection Wells and necessary pipelines $305 M 1B New pipeline branching off of GWRS pipeline to Kraemer Basin and 16 injection wells $316 M 1C New pipeline from Fountain Valley to Anaheim and a new 20 acre recharge basin $280 M 1D Sell additional water to Newport Beach and Huntington Beach and 20 injection wells $250 M 2 New pipeline up Newland to WOCWB Line to distribute water to 5 Producers $97 M 3 Same as option #2 plus a new pipeline to send water to SOC; $161 M 4 Original Poseidon Distribution of Water into OC44 and EOCF#2 $108 M

GWRS Final Expansion (30 mgd of new water) Kraemer Miller 15 mgd Miraloma 60” La Palma Burris Booster Pump Station to send additional 15 mgd to Kraemer Basin (85 to 100 mgd) GWRS Final Expansion (30 mgd of new water) 7 mgd 66” Willowick Golf Course 72” Edinger Five Mid Basin Injection Wells at Centennial Park - ~8 mgd GWRS Pipeline (not to scale) 78”

Desal Option 1A $305 Million $465/af 26 Injection Wells Facility Ball Road Basin Inj. Wells Facility Flow (MGD) Ball Road Basin Inj. Wells 4.5 ARTIC Inj. Well 2 Campesino Park Inj. Wells Dyer Wellfield Inj. Wells 12 SAR Injection Wells 6 Talbert Seawater Barrier 15 Southeast Talbert Inj. Wells TOTAL 50 ARTIC Inj. Well Campesino Park Inj. Wells Dyer Wellfield Inj. Wells SAR Injection Wells Desal Distribution Pump Station Southeast Talbert Inj. Wells $305 Million $465/af 26 Injection Wells 54-inch Desal Distribution Pipe

Desal Option 1B $316 Million $478/af 16 Injection Wells Facility Flow (MGD) Kraemer Basin Recharge 15 ARTIC Inj. Well 2 Dyer Wellfield Inj. Wells 12 Talbert Seawater Barrier Southeast Talbert Inj. Wells 6 TOTAL 50 ARTIC Inj. Well 30-inch Desal Kraemer Distribution Pipeline Dyer Wellfield Inj. Wells $316 Million $478/af 16 Injection Wells Southeast Talbert Inj. Wells 54-inch Desal Distribution Pipe

Desal Option 1C $280 Million $415/af 0 Injection Wells Facility New Recharge Basin Facility Flow (MGD) New Recharge Basin 35 Talbert Seawater Barrier 15 TOTAL 50 42-inch Desal Recharge Basin Distribution Pipeline $280 Million $415/af 0 Injection Wells 42-inch Desal Barrier Distribution Pipeline

Desal Option 1D $250 Million $398/af 20 Injection Wells Facility Flow (MGD) ARTIC Inj. Well 2 Dyer Wellfield Inj. Wells 12 SAR Injection Wells 6 Talbert Seawater Barrier 15 Southeast Talbert Inj. Wells 54-inch Desal Pipeline Turnouts to OC Producers 9 TOTAL 50 ARTIC Inj. Well Dyer Wellfield Inj. Wells SAR Injection Wells Desal Distribution Pump Station Southeast Talbert Inj. Wells $250 Million $398/af 20 Injection Wells 54-inch Desal Distribution Pipe

Total Expected Future Recharge with Poseidon Water (afy)

Desal Option 2 $97 Million $165/af Facility Flow (MGD) OC Producers via WOCWBF 27 OC Producers via Adams 8 Talbert Seawater Barrier 15 TOTAL 50 42-inch Desal Producer Distribution Pipe via WOCWBF 24-inch Desal Producer Distribution Pipe via Adams $97 Million $165/af 42-inch Desal Distribution Pipe

Desal Option 3 $161 Million $243/af Facility Flow (MGD) OC Producers via WOCWBF 25 South County via OC-44 & South County Desal Pipe 10 Talbert Seawater Barrier 15 TOTAL 50 42-inch Desal Producer Distribution Pipe via WOCWBF 36-inch OC-44 Pipe Improvements 42-inch Desal Distribution Pipe $161 Million $243/af 36-inch South County Desal Distribution Pipe HB Desal Facility EOCF No.2

New Issues No increase to future water demands State’s emergency 25% water demand reduction Permanent? Standard operating procedure? Modified? Ocean desalination get credit? MWD Indirect Potable Reuse project with LA County

Historical Total Water Demands (afy) Projection

Future Water Supply Portfolio Total Water Demands 452,000 afy

Future Water Supply Portfolio Total Water Demands 452,000 afy

AAA Credit Rating Issues Project will double OCWD’s operating budget; could approximately double necessary reserves to maintain 625 days coverage Taking on any new debt – requires twice the revenues to maintain coverage ratio

Alternatives Study Approved by Board with Term Sheet Approval in May 2015 Money set aside to hire consultant