These statements are not statements of historical fact. The forward-looking statements are not guarantees of future performance. The new rates became effective on February 1, 2020. This resulted in the development of a capital project known as the Project. On August 27, 2019, the rate increases were approved via resolution 8123. 37510, issued on December 24, 2020 in Docket No. Historically, approximately half of our annual water supply is pumped from wells. All of our remaining wells extract ground water from managed or unmanaged water basins. Customer demand for water generally is lower during the cooler and rainy winter months. These assessments and plans include natural hazards as well as malevolent acts. Most well supplies are chlorinated or chloraminated for disinfection. Employee health and safety in the workplace is one of the Company's core values. Our focus on retention is evident in the length of service of our management team. The current agreement with the unions was effective through 2020. They tend to become more stringent over time. Either of these results may be costly. Rationing may have an adverse effect on cash flow from operations. Purchased water rate increases are beyond our control. There is no assurance we will not be subject to power blackouts in the future. Lower ratings by the agency could restrict our ability to access equity and debt capital. We are also subject to interest rate risks on new financings.
