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developing the use factors, the perception that the 1983 Regional Water Study data base did not contain a sufficient representation of drought conditions or dry years, and the opinion that the data gathered through the 1983 Regional Water Study reflected extraordinary conservation efforts even after the exclusion of 1977 data. Response There were numerous reasons for using water consumption data from the period 1974 through 1982. Water use paUerns are changing and environmental and conservation awareness has increased. Therefore, a more recent period should be a better indication of future demand patterns. Also, detailed records of water consumption are available for the 1974 through 1982 period. Notwithstanding, there are limita- tions in the data base, which include the failure of some water suppli- ers to report data for all years and the inability to disaggregate certain customer classes in some of the suppliers' records. The COE is confident that the collection and compilation of data from water suppliers was conducted in a careful manner consistent with primary data collection efforts in the professional research field. The limitations of the data base and the adjustments that were made (such as the exclusion of inconsistent or atypical data) and their effects upon the demand modeling process will be more fully explained in the final Task 2 technical appendix. The 1974 through 1982 data base contains dry and wet years. The weather during the base period was analyzed and the yearly patterns were found to be representative of long-range weather patterns, except for the year 1977 which was an extreme. Because it was an extreme case which is not typical of an unconstrained situation, 1977 was excluded from the data base prior to the development of the use factor model. 8