May 20, 2008 Exhibit 1

Contracting Services Overview of solicitation process – Peter Lan

Business Outreach Overview by John Arena

Metropolitan Water District of Southern California o 6 counties; 5,200 Square Miles o 18 million people o Regional economy: $927 Billion o Projected growth: ~220,000 people/year o MWD provides about half of southern California’s supply

Where Southern California Gets its Water Where Southern California Gets its Water LAKESHASTALAKESHASTA LAKEOROVILLELAKEOROVILLE Bay-DeltaBay-Delta STATE WATER PROJECT 1.2+ MAF STATE WATER PROJECT 1.2+ MAF LOS ANGELES AQUEDUCTS 0.3 MAF LOS ANGELES AQUEDUCTS 0.3 MAF COLORADORIVERAQUEDUCT 500,000+ MAF COLORADORIVERAQUEDUCT METROPOLITAN WATER DISTRICT SERVICE AREA METROPOLITAN WATER DISTRICT SERVICE AREA LOCAL 1.5 MAF LOCAL

Importance of water conservation Years of record dry conditions State’s fragile water supply and delivery system Need for permanent change in the way we use water

Goal Reduce residential water use voluntarily in Southern California

Objectives Consumer behavior change with everyday water use, particularly outdoors Rebates requested on water-saving devices Develop/enhance water conservation ethic Stress urgency of message

Audience Characteristics Residents of six SoCal counties Los Angeles, Orange, Riverside, San Bernardino, San Diego and Ventura counties Adults People with outdoor landscaping and automatic sprinkler systems English/Spanish

Timing July and August are peak water use months April-June and September-November are the next highest water use periods Typical “wet” months are December-March

Outside water use as estimated by California Urban Water Conservation Council, 2005 Landscape Task Force Indoor water use as estimated by American Water Works Association, Residential End Users of Water study, 1999

Messages We have a problem with our water supply Need for permanent change Rebates are available on new technologies Smart sprinkler controllers Precision rotating sprinkler heads High-efficiency clothes washers Minimize the amount of turf in your yard More tips and info on bewaterwise.com

“Time to Get Serious” August-December 2007 $3 million budget 18 weeks Spot radio/traffic radio Print and online

“Time to Get Serious” :60 Radio BrushDripHose

“Cut Your Water Use” Media mid-April to early July $1.3 million budget :10 TV (news & sports programming) :60 Radio 1/4 Page Newspaper Online :30 TV PSAs

“Cut Your Water Use” Gives audience a very easy prescriptive way to save water. Uses extremely simple animation to stand out on airwaves and make saving water seem easy.

:10 Television

“Cut” :60 Radio Outdoor VersionIndoor Version

Print Languages English Spanish Mandarin Chinese Vietnamese Korean

Campaign Effectiveness Tracking Pre- and post-campaign consumer surveys Visitors to bewaterwise.com Rebates issued Retail water sales at local level (actual sales vs. projected sales, accounting for weather, population growth)

November 2007 (random digit dialing survey)

Water Shortages This is a multiple response question and percentages may exceed 100%. Awareness of shortages has increased by 5 percent Changing behavior to conserve has increased 10 percent Q17: Have you heard anything about below average rainfall or potential water shortages? Q18: As a results of this, have you changed anything in the last three months to help conserve water? Q19: What have you changed? This survey is comprised of two independent samples (one of general public and the second of homeowners) that include some overlap. The sample size for each study is 544 and is distributed across the six-county region according to population. This provides accuracy of +/-5% at a 95% confidence level for the region as a whole. Surveying was conducted in November and early December 2007 by telephone using random digit dialing.

Awareness of New Technologies  Awareness of smart sprinkler controllers has decreased for the first time since 2005, from the high of 38 percent in summer 2007 to 31 percent in winter  At 50 percent, awareness for dual-flush toilets is unchanged from summer  Awareness for rotating sprinkler heads is 28 percent, down slightly from 33 percent in summer Q38-40 Now I am going to ask you about a couple of new water saving products. Have you seen or heard anything about…?

Awareness of Rebates  Rebate awareness is highest for clothes washers at 48 percent followed by dual-flush toilets at 20 percent and smart controllers at 7 percent.  Awareness of rebates is essentially unchanged from summer of Q41-43: Now I am going to ask you if you have seen or heard anything about rebates for water saving products. Have you seen or heard anything about…?

Advertising Awareness and Recall-Unaided  Advertising awareness continues to increase from the past four studies, rising to 83 percent for the current study.  Question in Nov and prior was: Do you recall seeing, or hearing any ads or advertising messages about outdoor water conservation, sprinkler use, or water-wise plants in the past six months? Q44: Do you recall seeing or hearing advertisements in the last 6 months about the need for water conservation, dry weather, or ways to save water?

Water Supply Summary We are in a critical water supply situation We are already using our reserves to meet regular demand Water conservation must be a new way of life

Water Use Summary Between 30 and 70 percent of a household’s water use is outside the home Peak water use occurs in July and August Most people with automatic sprinkler systems are overwatering their landscapes

Research Summary Awareness of need to save water is high Awareness of new technologies is low People say that they have changed their behavior; what more can they do?

Goal/Objectives Summary We want to see consumer behavior change with everyday water use Cash in more rebates Further develop a “water conservation ethic” Interested in media plan that includes value-added elements

Questions? Advertising campaign or MWD-related (Yvette and Lynn) Solicitation-related (Peter)