SAN JOSE (CBS/AP) — San Francisco Bay Area residents face price hikes for water as the drought continues.

Three of the area’s largest water agencies have rate hikes of up to a third on their agendas.

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The San Jose Mercury News reports that water agencies are spending millions of dollars more to buy water from a Southern California water bank.

Programs to encourage residents to save water are costing the agencies millions of dollars more.

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Beau Goldie of the Santa Clara Valley Water District says water agencies also are losing revenue because water customers are using less water.

The East Bay Municipal Utility District and the San Francisco Public Utilities District also face rate hikes.

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