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<br />IV. Develop business partnerships in other parts of the state for <br />cooperative storage, exchange and transfer programs. <br /> <br />V. Promote coordinated public policies and state investments that <br />provide measurable returns to the environment and the state's water <br />supply infrastructure. We were early supporters ofProposit,ion "0, <br />and we continue to strongly advocate a balanced CALFED pt:9gram. <br /> <br />6. Our business decision also will be based on our assessment of the cost of the OSA and <br />the Interim Surplus Guideline~ relati-ye to other water supply programs. A report on <br />comparative costs recently presented to our Board is attached. I would like to briefly <br />review that with you today as well. <br /> <br />In closing, I would remind you that we were fully engaged in the intensive QSA negotiations <br />conducted last year under the leadership of state legislative and Administration officials. lam <br />aJlthori~my Board to execute:<. a QSA a~QJent that is consistent with the product of that <br />negotiation and that is acceptable to the Department of the Interior, the State of California, and <br />the other Basin States. <br /> <br />Thank you for your interest and the valuable support the State of California has provided <br />throughout our deliberations. <br /> <br />-5- <br />