As long as people are getting water, nothing is wrong?

The city is losing 7 million gallons per day in leaks (this also includes firefighting).

Are there alot of fires daily?

So it delivers 97% of the product to the user. Seems pretty good. What is your standard? According to the EPA the typical water system loses 16% to leaks, that means SFPUC is well above the typical system performance.

https://www.epa.gov/sites/production/files/2015-04/documents...

Where are you getting 3% loss number from?

It seems to be over 10% is lost, based on the numbers in your prior comment.

As long as most places are leaking more, it is ok? Infrastructure relativism?

The amount of water SFPUC delivers to residential customers in SF is a small portion of the whole system, which serves a large area outside the city.