(a)(1) When an urban retail water supplier does not meet its real water loss standard required by section 981, the executive director, or the executive director's designee, may issue conservation orders requiring additional actions by the supplier to come into compliance with its real water loss standard. Prior to issuance of a conservation order, the Board will provide the supplier an indication of their noncompliance and seek to resolve the noncompliance informally, including through alternative enforceable agreements with the supplier. Informal resolutions of noncompliance will be sought for all systems, and particularly for suppliers that have met the provisions of section 981 (h) or (i).