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EXHIBIT 1 CITY OF SANTA ANA REPORT ON WATER QUALITY RELATIVE TO PUBLIC HEALTH GOALS Background: Provisions of the California Health and Safety Code (Reference No. 1) specify that larger ( >10,000 service connections) water utilities prepare a special report by July 1, 2013, if their water quality measurements have exceeded any Public Health Goals (PHGs). PHGs are non- enforceable goals established by the Cal -EPA's Office of Environmental Health Hazard Assessment ( OEHHA). The law also requires that where OEHHA has not adopted a PHG for a constituent, the water supplier is to use Maximum Contaminant Level Goals (MCLGs) adopted by the United States Environmental Protection Agency ( USEPA). Only constituents which have a California primary drinking water standard and for which either a PHG or MCLG has been set are to be addressed. (Reference No. 2 is a list of all regulated constituents with the MCLs and PHGs or MCLGs). There are a few constituents that are routinely detected in water systems at levels usually well below the drinking water standards for which no PHG nor has MCLG yet been adopted by OEHHA of USEPA including Total Trihalomethanes. These will be addressed in a future required report after a PHG has been adopted. The law specifies what information is to be provided in the report. (See Reference No. 1) If a constituent was detected in the City's water supply between 2010 and 2012 at a level exceeding an applicable PHG or MCLG, this report provides the information required by law. Included is the numerical public health risk associated with the MCL and the PHG or MCLG, the category or type of risk to health that could be associated with each constituent, the best treatment technology available that could be used to reduce the constituent level, and an estimate of the cost to install treatment if appropriate and feasible. What Are PHGs? PHGs are set by the California Office of Environmental Hazard Assessment ( OEHHA), which is part of Cal -EPA and are based solely on public health risk considerations. None of the practical risk - management factors that are considered by the USEPA or the California Department of Public Health (CDPH) in setting drinking water standards (MCLs) are considered in setting the PHGs. These factors include analytical detection capability, treatment technology available, benefits and costs. The PHGs are not enforceable and are not required to be met by any public water system. MCLGs are the federal equivalent to PHGs. Water Quality Data Considered: All of the water quality data collected by our water system between 2010 and 2012 for the purpose of determining compliance with drinking water standards was considered. This data 1 75A -3