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HomeMy WebLinkAboutStaff Report 417-08City of Palo Alto City Manager’s Summary Report TO:HONORABLE CITY COUNCIL FROM: DATE: REPORT TYPE: CITY MANAGER OCTOBER 20, 2008 INFORMATIONAL Department: UTILITIES CMR: 417:08 SUBJECT:San Francisco Planning Commission’s Release of the Final Program Environmental Impact Report on the San Francisco Public Utilities Commission’s Water System Improvement Program This is an informational report and no Council action is required. This item is provided as background information in conjunction with the study session on October 20, 2008. BACKGROUND The San Francisco Public Utilities Commission (SFPUC) operates the regional water system, which supplies water to Palo Alto and the 26 other member agencies of the Bay Area Water Supply and Conservation Agency (BAWSCA). The regional water system is in need of repairs and upgrades to ensure that it can reliably deliver high quality water to meet the region’s water supply needs. A report released in January 2000 indicated that the regional water system could suffer damage from a large earthquake so severe that water supplies would be cut off for up to two months. In response, the SFPUC developed the Water System Improvement Program (WSIP) comprised of 37 capital improvement projects to address the deficiencies of the regional water system. Palo Alto and the other BAWSCA agencies have worked with the SFPUC since early 2003 to prepare for the environmental review phase of the WSIP. Since the environmental review would evaluate the impact of delivering additional water supplies to San Francisco and the BAWSCA agencies, BAWSCA and the SFPUC coordinated on the establishment of the future water supplies needs for the region. Water supply demands for 2030 were calculated for each agency after incorporating cost-effective water conservation measures. The BAWSCA agencies committed to a total of 15 million gallons per day (MGD) of conservation, groundwater and recycled water to meet future water supply needs. Palo Alto’s long-term demand projections incorporated a savings of 4% from all measures found to be feasible and cost-effective at the time. These measures and natural conservation from improved efficiency standards for water- CMR: 417:08 Page 1 of 5 using fixtures and appliances resulted in no increased demand for water from the regional system for Palo Alto. Despite the 15 MGD committed to by the BAWSCA agencies, San Francisco and the BAWSCA agencies indicated a need for 35 MGD of additional water by 2030 from the regional water system. On June 27, 2007, the San Francisco Planning Department released the Draft Program Environmental Impact Report (PEIR) on the SFPUC’s WSIP for public review and comment. The WSIP proposed that the additional water supply needs for 2030 be met with 10 MGD of additional conservation, water recycling and groundwater supply programs in the City and County of San Francisco and 25 MGD from increased use of Tuolumne River water. The Draft PEIR described the proposed WSIP, identified the environmental consequences associated with implementation of the WSIP, specified mitigation measures to reduce significant and potentially significant impacts, and analyzed and compared the environmental effects of alternatives to the proposed program as required by the California Environmental Quality Act. The Draft PEIR also included an analysis of three variants to the WSIP as requested by the SFPUC. On September 24, 2007, the Council considered comments on the Draft PEIR (Attachment B, CMR: 370:07). On September 25, 2007, the City of Palo Alto submitted comments on the draft PEIR to the San Francisco Planning Department (Attachment C). DISCUSSION On September 30, 2008, the San Francisco Planning Department released the Final PEIR on the SFPUC’s WSIP. The Final PEIR consists of the Draft PEIR, comments and recommendations received on the Draft PEIR, the responses of the lead agency to significant environmental points raised in the review and consultation process and any other information added by the lead agency. Since publication Of the Draft PEIR in June 2007, the SFPUC has proposed revisions to the WSIP in three areas, either in response to comments received on the Draft PEIR or as part of its ongoing system operations and planning. These revisions include: (1) changes in the project descriptions of two WSIP facility improvement projects (both of which help reduce impacts associated with the projects as originally proposed) which affect overall system operations; (2) updated water system assumptions and corresponding updates in the system modeling and results; and (3) development of the Phased WSIP Variant, a "hybrid" program that is a combination of the proposed program and one of the alternatives analyzed in the Draft PEIR. The "Phased WSIP Variant" was developed by the SFPUC as an option that would involve full implementation of the proposed WSIP facility improvement projects to ensure that the public health, water quality, seismic safety, and delivery reliability goals are achieved as soon as possible, but a phased implementation of water supply delivery through 2030. Phasing the water supply element of the WSIP would allow the SFPUC and its wholesale customers to focus first on implementing additional local recycled water, groundwater, and demand management actions while minimizing additional diversions from the Tuolumne River. Under this variant, the SFPUC would establish an interim, mid-term planning horizon--the year 2018. If the SFPUC CMR: 417:08 Page 2 of 5 adopts this variant, it would make a decision about future water supply for its customers through 2018 only and defer a decision regarding long-term water supply until after 2018. Under this variant, the SFPUC would limit average annual water deliveries supplied from its watersheds to 265 million gallons per day (mgd), which represents the base-year level of supply delivered from the SFPUC watersheds through the regional water system to both the retail and wholesale customers analyzed in the Draft PEIR. The SFPUC would maintain the 265 mgd average annual delivery of surface water from the SFPUC watersheds to existing levels through 2018. At the same time, through 2018, the SFPUC would implement the delivery and drought reliability element of the WSIP, which would increase average annual diversions from the Tuolumne River by about 2 mgd over the existing conditions. By 2018, the demand on the SFPUC regional water system is projected to be 285 mgd, consisting of 91 mgd for San Francisco and 194 mgd for the BAWSCA agencies. To satisfy the remaining 20 mgd of demand on the regional system through2018 while holding deliveries from the SFPUC watersheds to 265 mgd, the SFPUC proposes development of local conservation, recycled water, and groundwater projects within its service area. As proposed under the WSIP, the Phased WSIP Variant would develop 10 mgd of local supply and supply offsets through conservation, recycled water and groundwater projects in San Francisco. The SFPUC also proposes to develop an additional 10 mgd of local conservation, recycled water, and groundwater within the service area. By 2018, the SFPUC would reevaluate the delivery amount and consider whether to maintain these delivery limitations from the SFPUC watersheds through 2030 or increase them, and whether and how to provide additional supply to the BAWSCA agencies. The Final PEIR determines that the potential environmental effects of the Phased WSIP Variant fall within the range of impacts already evaluated in the Draft PEIR for the WSIP and-the alternatives. Although the Phased WSIP Variant does not include a specific water supply proposal beyond 2018, for purposes of environmental impact analysis and comparison to the proposed WSIP and other alternatives evaluated in the PEIR, the PEIR does assess the range of water supply that could be provided under this variant through 2030. Table 13.1 in the Final PEIR, reproduced below, summarizes the SFPUC average annual water deliveries to its retail (San Francisco) and wholesale (BAWSCA agencies) customers under the Phased WSIP Variant. In that variant, the SFPUC proposes to establish an interim delivery amount through the year 2018, and then to either maintain this same delivery amount through 2030 or increase it, possibly up to the. level proposed under the WSIP. CMR: 417:08 Page 3 of 5 (SFPUC, WSIP, PEIR) TABLE 13.1 SFPUC AVERAGE ANNUAL WATER DELIVERIES UNDER THE PHASED WSlP VARIANT Supply Source SFPUC Regional System Average Annual Water Deliveries (mgd) WSIPExist|rig Condition (Proposed Program}Phased WSIP Variant200520302018 SFPUC Watersheds Retail customersa 91 81 81 Wholesale customers 174 209 184 Total 265 290 265 Local Conservation. Recycled Water, and Groundwater (not included inpurchase requests) Retail customers Wholesale customers Total 0 0 10 10 0 0 -- 10b 10 10 - 20 Total from all sources 265 300 275 - 285 a The SFPUC retai~ customer deliveries include I n’.<jd de!ivered to Castie,^~<>d in the Pleasanton area that ~s supplied by local groundwater rather than from the regional system. Thus, although this detivep.# amount is included ~n the SFPUC retail customer delivery total. 90 mgd represents the current and future de:i’~eries to re[ai! customers that are and will continue to be made from Ihe regk>nal s~tem.b A range ;s provided because 10 mgd may be provided by SFPUC in partnership with B~WSCA and wholesale customers or BAWSCA and ~,~otesate customers may choose to seoarateiy deve;;op this 10 rngd. As explained in the Final PEIR, although the SFPUC would only make a decision regarding water supply through 2018 under the Phased WSIP Variant, after 2018 and through 2030 it is possible that average annual deliveries to the wholesale customers could range from 184 mgd to 209 mgd, as shown in Table 13.1 (or 199 mgd, on the high end if it is an assumed additional 10 mgd of local conservation, recycled water and groundwater programs is implemented by 2018). If, after 2018, the SFPUC decides to maintain the 184 mgd average annual limit on SFPUC watershed deliveries to the wholesale customers, then by 2030 the SFPUC regional water system deliveries to the wholesale customers could be up to 25 mgd less than their 209 mgd purchase request amount. It is possible that, in combination with the additional local conservation, recycled water, and groundwater already developed during the first phase of this variant, the wholesale customers could receive up to their full 2030 purchase request amount of 209 mgd with no shortfall. Impact on Palo Alto The impact on Palo Alto of the Phased WSIP Variant is not completely clear. Since Palo Alto did not project and does not anticipate growth in water supply needs, the stricture to limit future water deliveries from the regional water system of the variant may not negatively impact Palo Alto. However, Palo Alto will need to re-examine its water needs and potential to implement additional water efficiency programs along with all the BAWSCA agencies to ensure that all CMR: 417:08 Page 4 of 5 water supplies are used as efficiently as possible. It is also true that Palo Alto residents use more water per capita than most of the BAWSCA agencies. Additional efficiency programs, perhaps related to water used on landscaping, may need to be evaluated. In addition, Palo Alto will need to seriously evaluate expanding the recycled water distribution system to new users in the search for solutions to the regional water supply issues. The Final PEIR contains responses to Palo Alto’s comments on the Draft PEIR (Attachment D). Many of the comments were acknowledged and additional information was provided as appropriate. On the request for the PEIR to address the concept of an intertie with the Santa Clara Valley Water District (SCVWD) the response was that the SCVWD does not have excess water to transfer and, therefore, would not be a dependable future water source for the regional water system. The Final PEIR also revised a paragraph describing Palo Alto’s parklands. NEXT STEPS The San Francisco Planning Commission is scheduled to certify the Final PEIR (if it is determined to fulfill all requirements under the California Environmental Quality Act) on October 30, 2008. On that same day, the SFPUC is expected to adopt the WSIP, including the Phased WSIP Variant. BAWSCA and its member agencies have already begun a study to update the estimates for future water demand and the potential for efficiency measures that were developed in 2003 and 2004 for the Draft PEIR. This study is expected to identify additional water efficiency programs and recycled water projects that can be completed to meet the water supply restrictions that are expected to be adopted. One part of the study is the development of a plan to implement the identified programs and projects. ATTACHMENTS A. September 30, 2008 go C° D. PREPARED BY: Memorandum from Ed Harrington, SFPUC General Manager regarding Staff Recommendation for WSIP Adoption CMR: 370:07 - Approval of Palo Alto’s Comments on Draft Program Environmental Impact Report Concerning San Francisco Public Utilities Commission’s Water System Improvement (Hetch-Hetchy) Program (without attachment) September 25, 2007 Letter from the City of Palo Alto Mayor to San Francisco Planning Department Regarding Comments on the Draft PEIR for SFPUC’s WSIP Response in the Final PEIR to City of Palo Alto Comments on Draft PEIR DEPARTMENT APPROVAL: CITY MANAGER APPROVAL: ~uANE RATCHYE tilities Assistant Director, Resource Management Director, Utilities KEENI~/~- ~¢ ~Manager CMR: 417:08 Page 5 of 5 ATTACHMENT A WATER POWER GAVIN NEWSOM MAYOR ANN MOLLER CAEN PRESIDENT F,X, CROWLEYCOMMISS!ONER FRANCESCA VIETOR COMMISSIONER ED HARRINGTON GENERAL MANAGER SAN FRANCISCO PUBLIC UTILITIES COMMISSION OFFICE OF THE GENERAL MANAGER 1155 Market St., 1 lt~ Floor, San Francis~.o, CA 94103 ¯ Tel. (415) 554~1600. Fax (415) 554-3161. l-P( (415] 554.3488 DATE: TO: FROM: SUBJECT: September 30, 2008 Ann Moller Caen, SFPUC President F.X. Crowley, SFPUC Commissioner Francesca Viewer, SF2UC Commissioner Ed Harrington, t_reneral Manager Staff Recommendation for WSIP Adoption Recommendation Staff recommends that the San Francisco Public Utilities Commission (SFPUC) adopt the Phased Water System Improvement Program (WSIP) Variant based on the determinations and findings of the Final Programmatic Environmental Impact Report (FPEIR) for the WSIP and other policy considerations. Description In March 2008, SFPUC staff requested the San Francisco Planning Department to consider a variation of the WSIP called the Phased WSIP Variant. The SFPUC identified this Variant in order to consider a program scenario that involves full implementation o fall proposed WSIP facility improvement projects to insure that the public health, seismic safety and delivery reliability goals are achieved as soon possible but phased implementation of a water supply program to meet projected water purchases through 2030. Deferring the 2030 water supply element of the WSIP until 2018 would allow the SFPUC and its wholesale customers to focus first on inaplementing additional local recycled water, groundwater and demand management actions while minimizing additional diversions fromthe Tuolumne River. Under the Phased WSIP Variant, the SFPUC would establish an interim mid- term planning horizon - 2018. If the SFPUC adopts this Variant, it would make a decision about future water supply to its customers through 2018 only, and would defer a decision regarding long-term water supply until after 2018 in light of then- current information and updated analysis. All non-water supply related WSIP goals and level of service objectives would be achieved under this Variant and all individual WSIP facility improvement projects proposed in the original WSIP would be constructed. Under the Phased WSIP Variant, the SFPUC would construct and operate all the regional water system WSIP facility projects while (1) limiting water sales to an average annual of 265 million gallons per day (mgd) from the watersheds through 2018; and (2) improving water supply reliability to meet the goals and objectives of the WSIP including no greater than 20 percent rationing in any one year of a drought. The Phased WSIP Variant would not provide water supply to meet 300 mgd average SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 2 amaual water sales in 2030 as proposed under the WSIP. Rather, the SFPUC would supply no more than 265 mgd from the watersheds through 2018, and the SFPUC and wholesale customers would collectively develop 20 mgd in conservation, recycled water, and groundwater to meet or offset the regional water system purchase request of 285 mgd in 2018. This 20 mgd of conservation, recycled water, and groundwater includes development of 10 mgd of conservation, recycled water and groundwater in San Francisco as proposed under the WSIP and 10 mgd of conservation, recycled water and groundwater developed by the wholesale customers, which is in addition to 15 mgd of conservation, recycled water and groundwater already assumed by the wholesale customers in preparing their regional water system purchase requests. The SFPUC would also implement the delivery and drought reliability elemelats of the WSIP, which would increase average annual diversions fi’om the Tuolumne River by about 2 mgd over existing base-year conditions. Before 2018, the SFPUC would engage in a flew planning process to re-evaluate water system demands and water supply options. As part of the process, the San Francisco would conduct additional environmental studies and CEQA review as appropriate to address the SFPUC’s recommendation regarding water supply and proposed water system deliveries after 2018. Background The Water System Improvement Program (WSIP) is a multi-billion dollar, multi-year capital program to upgrade the San Francisco’s regional and local drinking water systems. The program will deliver improvements that enhance the San Francisco’s ability to provide reliable, affordable, high quality drinking water to its 27 wholesale customers and regional retail customers in Alameda, Santa Clara, and San Mateo Counties, and to 800,000 retail customers in San Francisco, in an environmentally sustainable manner. Propositions A and E, passed in November 2002 by San Francisco voters, approved financing for San Francisco’s portion of the water system improvements. Assembly Bill No. 1823 (AB 1823); the Wholesale Regional Water System Security and Reliability Act, also approved in 2002, required the City and County of San Francisco to adopt a capital improvement program designed to restore and improve the regional water system and to review and update the program as necessary. Program Need The need for the WSIP is predicated on the basic mission of the SFPUC, which is in part: To serve San Francisco and its Bay Area customers with reliable, high-quality and affordable water, while maximizing benefits from power operations and responsibly managing the resources to its care (SFPUC, 2002) There are numerous factors contributing to the need for a comprehensive, systemwide program such as the WSIP. In order to continue to reliably meet this mission in the future, the SFPUC must plan for future needs as well as address existing, known SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 3 deficiencies. The proposed program addresses these needs and deficiencies, including: .. ¯ Aging Infrastructure. The SFPUC regional water system is old. Many of its components were built in the 1800s and early 1900s; parts of the regional water system were built using now-outdated construction materials and/or methods and are currently in need of major repair. As the system ages, its reliability decreases and the risk of failure increases. ¯ Exposure to Seismic and Other Hazards. The 167-mile-long system crosses five active earthquake faults. Many of the SFPUC regional water system components are located on or in the immediate vicinity of maj or earthquake faults. Due to the age of the system, many facilities do not meet modern seismic standards. To protect public safety, the California Department of Water Resources, Division of Safety of Dams has imposed operating restrictions on Calaveras and Crystal Springs Reservoirs, reducing the local storage capacity and impairing normal system operations; this storage capacity needs to be restored. ~o Maintain Water Quality. The regional water system currently meets or exceeds existing water quality standards. However, system upgrades are needed to improve the SFPUC’s ability to continue to maintain compliance with current water quality standards and to meet anticipated future water quality standards under a range of operating conditions, including such events as a major earthquake, without reducing system reliability. ¯ Improve Asset Management and Delivery Reliability. In order to implement a feasible asset management program in the future that will provide continuous maintenance and repairs to facilities, the regional water system requires redundancy (i.e., backup) of some critical facilities necessary to meeting day-tO-day customer water supply needs. Without adequate redundancy of critical facilities, the SFPUC has limited operational flexibility in’the event of an emergency or a system failure, as well as constraints on conducting adequate system inspection and maintenance. ° Meet Customer Water Demands. Water demand among SFPUC customers is predicted to increase over the next 25 years. Additional supplies are needed to satisfy current demand in drought years and projected 2030 demand in all years. The experience of the last 150 years of record as well as recent studies on California’s climate show the region is susceptible to droughts. Two of the most severe droughts occurred during the past 30 years. The regional water system currently has insufficient water supply to meet customer demand during a prolonged drought, and this situation will worsen in the future. To address these challenges to the reliability of the regional water system, the SFPUC must replace or upgrade numerous components of the system and add some new components--thus the need for the WSIP and its associated facility improvement projects. SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 4 Program Goals and Ob/ectives The WSIP goals and objectives were developed based on a planning horizon through 2030. The SFPUC selected the year 2030 because published population projections generally do not extend beyond 20 to 25 years, and the agency determined the 2030 forecasts to be the most reasonably foreseeable future condition. The goals and objectives are founded ontwo fundamental principles pertaining to the existing regional water system: (1) maintaining a clean, unfiltered water source from the Hetch Hetchy system, and (2) maintaining a gravity-driven system. The overall goals of the WSIP for the regional water system are to: . ¯ Maintain high-quality water and a gravity-driven system ¯ Reduce vulnerability to earthquakes ¯ Increase delivery reliability ¯ Meet customer water supply needs ¯ Enhance sustainability ¯ Achieve a cost-effective, fully operational system To further these program goals, the WSIP includes objectives that address regional water system performance. The following table presents these objectives as they relate to the WSIP goals. The system performance objectives describe and, in many cases, more specifically quantify, what the regional water system proposes to achieve under the WSIP, and thereby guide the water supply actions, facility improvements, operations, and maintenance requirements included in the WSIP. WSIP GOALS AND OBJECTIVES Program Goal System Performance Objective Water Quality- o maintain high water quality Design improvements to meet current and foreseeable future federal and state water quality requirements. Provide clean, unfiltered water originating from Hetch Hetchy Reservoir and filtered water from local watersheds. Seismic Reliability - ¯ reduce vulnerability to earthquakes ~ Continue to implement watershed protection measures. Design improvements to meet current seismic standards. Deliver basic service to the three regions in the service area (E~st/South Bay, Peninsula, and San Francisco) within 24 hours after a major earthquake. Basic service is defined as average winter-month usage, and the performance objective for the regional system is 215 mgd. The performance objective is to provide delivery to at least 70 percent of the turnouts in each region, with 96, 37, and 82 mgd delivered to the East/South Bay, Peninsula, and San Francisco, respectively. Restore facilities to meet average-day demand within 30 days after a major earthquake, SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 5 Program !~oal Delivery Reliability- increase delivery reliability and intprove ability to maintain the system System Performance Objective Provide operational flexibility to allow planned maintenance shutdown of individual facilities without interrupting customer service. o Provide operational flexibility to minimize the risk of service interruption due to unplanned facility upsets or outages. Provide operational flexibility and system capacity to replenish local reservoirs as needed. Water Supply - meet customer water needs in non-drought and drought peri~Ms Sustainability - enhance sustainability in all 8yslem activities Cost-effectiveness - achieve a cost-effective, fully operational system Meet the estimated average annual demand of 300 mgd for 2030 under the conditions of one planned shutdown of a maj or facility for maintenance concurrent with one unplanned facility outage due to a natural disaster, emergency, or facility failure/upset. - Meet average annual water purchase requirements of 300 mgd from retail and wholesale customers during non -drought years for system demands through 2030 Meet dry-year delivery needs through 2030 while limiting rationing to a m~.,dmum 20 percent system-wide reduction in water service during extended droughts. Diversify water supply options during non-drought and drought periods. Improve use of new water sources and drought management, including groundwater, recycled water, conservation, and transfers. Manage natural resources and physical systems to protect watershed ecosystems. Meet, at a minimum, all current and anticipated legal requirements for protection offish and wildlife habitat, Manage natural resources and physical systems to protect public health and safety. Ensure cost-effective use of funds~ Maintain gravity-driven system. Implen~ent regular inspection and maintenance program for all facilities. The Phased WSIP Variant The Phased WSIP Variant achieves the original WSIP goals and objectives as outlined above with one exception: the Phased WSIP Variant does not propose to mee~ the projected wholesale and retail needs for 300 mgd water purchases in 2030. Instead, the Variant establishes an interim mid-term planning horizon of 2018, and focuses on meeting the projected wholesale and retail purchase needs through 2018 only. Any decision regarding long-term water supply beyond the interim planning horizon would be deferred until 2018 based on additional information and updated analysis. As described in the FPEIR, purchases in 2018 are projected to be 285 mgd (this :includes 15 mgd of conservation, recycled water, and groundwater already factored in the purchase requests for the wholesale customers). The Phased WSIP Variant would meet only 265 mgd of retail and wholesale customer purchases from the SFPUC watersheds, and meet or offset the remaining 20 mgd through conservation, recycled SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 6 water, arid groundwater in the retail and wholesale service areas. Ten mgd of this would be met, as proposed under the WSIP, through conservation, recycled water, and ~roundwater projects in San Francisco. The FPEIR analyzed the following three options to meet the remaining 10 mgd: The SFPUC, wholesale customers and BAWSCA partner to develop an additional 10 mgd in local conservation, recycled water, and groundwater in the service area; or BAWSCA and the wholesale customers develop an additional 10 mgd in local conservation, recycled water, and groundwater within the wholesale customer service area independent of the SFPUC; or Individual wholesale customers develop 10 mgd of additional conservation, recycled water, and groundwater on their own within their individual service area. The SFPUC and BAWSCA staffhave worked together to ensure demand in 2018 is met. The following describes total demand in the regional water system service area in 2018 and the proposal for meeting demand. Total demand in the regional water system service area is projected to be 417.4 mgd in 2018. As presented in the table below, plumbing code savings, coupled with the use of other sources by retail and wholesale customers, result in purchases from the regional water system of 299.2 mgd in 2018 (91 mgd retail; 208.2 mgd wholesale). The wholesale customers assumed 15 mgd of conservation, recycled water and groundwater in preparing the purchase requests to be analyzed in the PEIR. Thus, total purchase requests, as considered in ,the FPEIR, from the regional water system in 2018 are estimated at 284.2 mgd (91 mgd retail; 193.2 mgd wholesale),a In an effort to limit sales from the SFPUC watersbeds to 265 mgd, additional development of conservation, groundwater, and recycled water in the service area is necessary to reduce total purchases from the regional water system even further. Ten ,mgd of conservation, recycled water and groundwater is planned under the proposed .WSIP in the retail service area by 2018, while an additional 10 mgd of conservation, recycled water, and groundwater is proposed to be developed in the wholesale service area. As presented in the table below, the development of a total of 35 mgd of conservation, recycled water, and groundwater in the service area, within the next decade, will reduce demand on the Tuolumne River and local watersheds, bringing the projected total regional water system purchases down to 264.2 in 2018 (81 mgd retail; 183.2 wholesale, including 9 mgd for the cities of San Jose and Santa Clara). ~ The FPEIR uses rotmded values in developing purchase requests from the regional water system. In 2018, purchase requests in the FPEIR are estimated at 285 mgd (91 mgd retail; 194 mgd wholesale). SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 7 2018 Demand and Projected Purchases from the Regional Water System (all aumbers in MGD) " Total Demand (including Plumbing Code Savings) - minus plumbing code savings - minus base use of other sources2 - minus additional supply from other sources2 Total Regional Water System Purchases Before Conservation/Recycled Water/Groundwater - minus planned conservation, groundwater, recycled water reflected in Regional Water System purchase requests (increase from 2002-2018) Total Regional Water System Purchase Request - minus additional conservation, groundwater, recycled water not reflected in Regional Water System Ptirchase requests (increase from 2002-2018) Total Purchases from Regional Water System after Conservation/Recycled Water/Groundwater After Recommended SFPUC Action on WSIP Total Conservation/Recycled Water/Groundwater Retail 98.8 6.8 1.0 91.0 91.0 10.0 81.0 10.0 Wholesale 318.6 16.7 84.5 9.2 208.2 15.0 193.2 10.0 183.2 25.0 Total 417.4 23.5 85.5 9.2 299.2 15.0 284.2 20.0 264.2 35.0 The Phased WSIP Variant includes the following key program elements: ¯Full implementation of all WSIP facility improvement projects. ¯Water supply delivery to regional water system customers through 2018 only of 265 mgd average annual target delivery originating from the watersheds. This includes 183.2 mgd for the wholesale customers (including 9 mgd for the cities of San Jose and Santa Clara), and 81 mgd for the retail customers. Water supply sources include: 265 mgd average annual from the Tuolurrme River and local watersheds plus 20 mgd of conservation, recycled water and groundwater developed within the service area (10 mgd retail; 10 mgd wholesale; in addition 15 mgd of conservation, recycled water and groundwater assumed as part of the wholesale customers purchase requests). Dry-year water transfers coupled with the Westside Groundwater Basin Conjunctive Use Project. Re-evaluation of 2030 demand projections, potential regional water system ¯ purchase requests, and water supply options by 2018 and a separate SFPUC decision in 2018 regarding regional water system water deliveries after 2018. Financial incentives to limit water sales to an average annual of 265 mgd from the watersheds. To summarize, the SFPUC will deIiver 265 mgd from the SFPUC watersheds. By limiting sales to 265 mgd average annual from the watersheds, the SFPUC will not increase average annual Tuolumne River diversions from base-year conditions to meet non-drought year needs. To meet the delivery reliability goals of the WSIP, z Examples of other sources include State Water Project water, Santa Clara Valley Water District supplies, groundwater, and local surface water. SFPUC Staff Recommendation for WSIP Adoption September 30, 2008 Page 8 includin~ drought reliability, the SFPUC would need to divert an additional 2 mgd aver.age annual from ~he Tuolumne River. As part of adoption of this program, the SFPUC will implement the mitigation measures identified for this Variant in the FPEIR. The SFPUC must maintain water deliveries to all its customers for the protection of public health and safety. Therefore, the SFPUC will develop f’mancial incentives to limit water sales to an average annual of 265 mgd from the watersheds through 2018. Additionally, in the event that sales to all its customers exceed 265 mgd average annual prior to the implementation of the conservation, recycled water and groundwater projects, the SFPUC would implement the applicable miligation measures set forth in the FPEIR. Sumtnary To accomplish all of its objectives, the SFPUC must move forward with the WSIP facilities as proposed to improve seismic and water delivery reliability, meet current and future water quality regulations, provide for additional regional water system conveyance for maintenance, and meet water supply reliability goals. Like all water utilities, the SFPUC must consider current needs as well as possible future changes and unplanned outages, and design a system that achieves a balance anaong the numerous objectives, functions and risks a water supply must face. Approval of the Phased WSIP Variant will allow the SFPUC to accomplish these many goals. ATTACHMENT B TO:HONORABLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: UTILITIES DATE:SEPTEMBER 24, 2007 CMR:370:07 SUBJECT:APPROVAL OF PALO ALTO’S COMMENTS ON DRAFT PROGRAM ENVIRONMENTAL IMPACT REPORT CONCERNING SAN FRANCISCO PUBLIC UTILITIES COMMISSION’SWATER SYSTEM IMPROVEMENT (HETCH-HETCHY) PROGRAM RECOMMENDATION Staff recommends that the City Council approve Palo Alto’s comments on the Draft Program Environmental Impact Report concerning the San Francisco Public Utilities Commission’s Water System Improvement Program, including informing San Francisco of Palo Alto’s expectations and wish to be consulted on any projects being constructed in and around Palo Alto and on the use of any of the water resource options that Palo Alto controls, such as recycled water, groundwater, or water efficiency programs. BACKGROUND In January 2000, the City’s primary water supplier, the San Francisco Public Utilities Commission (SFPUC), released a report indicating that its regional water system is vulnerable to damage from a large earthquake and that water supplies could be cut off to the users, including Palo Alto, for up to 60 days. On July 10, 2000, the City Council adopted a resolution recommending that the SFPUC take prompt action to improve regional water supply reliability and quality [CMR:311:00]. The SFPUC proposes to implement the Water System Improvement Program (WSIP) to repair and replace aging portions of its water delivery system. The system currently serves 2.4 million people inSan Francisco, San Mateo, Santa Clara, Alameda and Tuolumne counties. The WSIP is a program to implement the service goals and system performance objectives established by the SFPUC for the regional water system in the areas of water quality, seismic reliability, delivery reliability and water supply through the year 2030. The SFPUC approved the WSIP in November 2005. CMR:370:07 Page 1 of 11 Palo Alto is a member of the Bay Area Water Supply and Conservation Agency (BAWSCA). BAWSCA is a special district that represents the interests of 25 cities and water districts, and two private utilities that purchase water wholesale from the San Francisco regional water system. These agencies, in turn, provide water to 1.7 million people, businesses and community organizations in Alameda, Santa Clara and San Mateo counties. Palo Alto and the other BAWSCA member agencies are on record in support of the SFPUC’s program to improve the regional water system. The environmental review process is a major step in receiving approvals to proceed towards implementation of the WSIR Since early 2003, in preparation for the environmental review phase of the WSIP, BAWSCA and SFPUC have coordinated on completing the foundational work of establishing the water supply needs for the BAWSCA agencies and San Francisco through 2030. As part of this effort, San Francisco obtained copies of each land use planning agency’s adopted general or comprehensive plan. The long-term demands were calculated for each agency using a detailed end-use forecasting model. The result of those calculations, Palo Alto’s long-term water demands, were provided to the City Council on March 15, 2004 [CMR:106:04]. These demand projections included the natural efficiency improvements that would take place as a result of changes in the pl,umbing codes since 1992 requiring new fixtures to be water conserving. After establishing the long-term demands for each BAWSCA agency, SFPUC conducted an analysis of thirty-two water conservation measures to determine which measures would be effective in each agency’s service area. On September 13, 2004, the Council received an information report [CMR:395:04] on this evaluation. That report concluded that the long-term conservation savings potential for Palo Alto is between 1.6% and 4% of the water demands in 2030. Palo Alto selected the high end of this range as the basis to determine how much water Palo Alto plans to purchase from San Francisco. A report to the City Council on October 25, 2004 [CMR:449:04] provided Palo Alto’s estimate of water purchases from San Francisco by 2030. These water purchase estimates for Palo Alto, the other BAWSCA agencies, and San Francisco provide the basis for the water supply needs expected to be placed on the regional water system. The SFPUC provided these estimates to the San Francisco Planning Department to use in its preparation of the PElR for the WSIR The California Environmental Quality Act (CEQA) requires that the public be informed about the significant environmental effects of a project or program, and ways to avoid or reduce those ~nvironmental effects, before that project or program is approved. In accordance with the requirements of CEQA, the San Francisco Planning Department issued a Notice of Preparation (NOP) of the Program Environmental Impact Report (PEIR) for the WSIP on September 6, 2005. On June 29, 2007, the San Francisco Planning Department issued a public notice announcing the availability of the Draft PEIR for the SFPUC’s WSIP. The public notice provided the following Program Description: "The San Francisco Public Utilities Commission (SFPUC) proposes to adopt and implement the WSIP to increase the reliability of the regional water system, which provides drinking water to 2.4 million people in San Francisco, San Mateo, Santa Clara, Alameda, and Tuolumne Counties. WSIP implementation would involve using additional water CMR:370:07 Page 2 of 11 supplies to serve customer needs through 2030 as well as construction of repairs and/or improvements to many facilities within the existing system located in Tuolumne, Stanislaus, San Joaquin, Alameda, Santa Clara, San Mateo, and San Francisco Counties." On July 23, 2007, the Mayor appointed an ad-hoc subcommittee of the Council to work with staff to craft the proposed Council comments to the PEIR. The subcommittee consisted of Vice Mayor Klein and Council Members Mossar and Beecham. The subcommittee met three times to review the Draft PEIR and to develop comments for Council consideration. DISCUSSION San Francisco’s Public Notice announcing the availability of the draft PEIR provided the following Summary of Impact Analysis: "The Draft PEIR evaluates the environmental effects of the proposed changes in water supply, including growth-inducing impacts, as well as the general environmental effects of implementing 22 facility projects. The analysis in the Draft PEIR finds that the WSIP would support planned growth in the existing SFPUC service area and indirect effects of growth are significant and unavoidable. All other impacts resulting from water supply changes could be mitigated to a less-than-significant level, with the exception of an unavoidable impact on streamflow for about two miles in Alameda Creek and a potentially significant and unavoidable fisheries impact in Crystal Springs Reservoir. Other potentially significant but mitigable impacts as a result of water supply changes include: impacts on water quality, fishery resources, terrestrial biological resources, recreation and visual resources in the watersheds of either the Tuolumne River, Alameda Creek, San Mateo Creek, or Pilarcitos Creek; and impacts on groundwater and related resources in the Westside Groundwater Basin. "The environmental analysis also determined that most of the impacts associated with implementing facility projects could be mitigated to a less-than significant level, although some impacts in the areas of land use, visual resources, cultural resources, biological resources, noise, vibration, air quality, and traffic were conservatively identified as potentially significant and unavoidable at the programmatic level. These impact determinations may be revised during subsequent environmental review of individual facility improvement projects. The Draft PEIR identifies potentially significant, but mitigable impacts from construction and operation of 22 facility projects in the areas of land use~ visual quality, geology, hydrology/water quality, biological resources, cultural resources, traffic, air quality, noise, vibration, public services, utilities, recreational resources, agricultural resources, hazards, and energy. "The Draft PEIR also evaluates the environmental effects of variations of and alternatives to the WSIP." CMR:370:07 Page 3 of 11 Level of Service Goals The service goals and performance objectives, established by SFPUC, include: Water Quality - meet or exceed all current and anticipated water quality requirements Seismic Reliability - restore basic service (wintertime usage) within 24 hours after a major earthquake and full service within 30 days Delivery reliability - allow for system redundancy so that there will be no disruption of service in the event of one planned and one unplanned outage of major facilities. Water Supply fully meet customer purchase requests through the year 2030 in non-drought years. Drought Protection - partially meet customer demands in drought years so the maximum amount of rationing in any year of the design drought does not result in more than a 20 percent system wide reduction in delivery of the 2030 purchase requests Environmental stewardship - enhance sustainability in all system activities Water Supply Regarding water supply, the Draft PEIR notes that the proposed program, the WSIP, would serve the average annual retail and wholesale customer purchase request of 300 million gallons per day (MGD) from SFPUC in the year 2030. This is 35 MGD more than current annual average delivery of 265 MGD from the regional system. The water supply to meet the 35 MGD of increased demand includes 25 MGD of increased use of Tuolumne River water under San Francisco’s existing water rights and 10 MGD of increased conservation, water recycling and groundwater supply programs in the City and County of San Francisco. The proposed WSIP’s drought year water supply includes: (1) reduced supplies from local sources and the Tuolumne River; (2) restoring historic storage capacities in Calaveras and Crystal Springs Reservoirs; (3) acquiring 23 MGD of water though transfer agreements with the Modesto Irrigation District and the Turlock Irrigation District; (4) implementing a groundwater program to store water for recharge in non-drought years; and (5) requiring up to 20% system- wide rationing in any year of a drought: Environmental Impacts of WSIP ~ The evaluation of environmental impacts of the WSIP in the Draft PEIR include: (1) impacts associated with facility improvement projects; (2) impacts associated with water supply and system operations; and (3) growth-inducement potential and indirect effects of growth. 1. Impacts associated with facility improvement projects ¯ The Draft PEIR indicates that most of the impacts associated with the WSIP projects occur during the construction phase and can be mitigated to less than significant. Some impacts were determined to be potentially significant and unavoidable and mitigations were identified in the PEIR. Impacts from implementation of WSIP projects exist, but implementation of the identified mitigation measures would reduce these impacts to less than significant levels. 2.Impacts associated with water supply and system operations The Draft PEIR evaluates the impacts of the WSIP water supply and system operations on the watersheds which are the supply sources of the regional water system. The Draft PEIR notes that CMR:370:07 Page 4 of 11 the impacts can be less than significant with proposed mitigation measures, except for the following: a) a significant and unavoidable impact in the Alameda Creek watershed below the Alameda Creek Diversion Dam; and b) a potential significant and unavoidable impact in the San Mateo creek watershed on fishery resources in Crystal Springs Reservoir. Impacts on the upper Tuolumne River meadow habitat are mitigable with controlled releases. Impacts on fishery resources on the lower Tuolumne River below La Grange Dam are significant and include a listed species. Mitigation measures identified include water transfers from MID/TID or enhanced fishery protection projects. 3. Growth-inducement potential and indirect effects of growth. According to the Draft PEIR, the WSIP would support planned growth in the SFPUC service area and growth inducement impacts cannot be entirely mitigated. The Draft PEIR states that the WSIP supports planned growth in the area served by the regional water system. Most of the growth is infill, or "smart growth" in existing developed areas: Most of the growth identified has been addressed in adopted general plans, but the planning horizons for many general plans do not extend to 2030, the planning horizon for the WSIP. Palo Alto’s comprehensive plan, adopted in 1998, has a planning horizon of 2010. Alternatives to the Proposed Program The Draft PEIR evaluated seven alternatives to the proposed WSIP: 1. No Program Alternative Only projects that are required by regulations would be completed in this alternative. Seismic and delivery reliability goals would not be achieved. Although in normal and wet years additional water would be diverted from the Tuolumne River under San Francisco’s water rights, more severe rationing would be required in droughts since the transfers with MID/TID would not be effected and the additional conservation, recycled water, and groundwater projects would not be completed. The Draft PEIR concludes that the regional water system would be placed at significant risk due to seismic events under this alternative. 2. No Purchase Request Increase Alternative Under this alternative, SFPUC’s wholesale customers would receive additional water up to the amount required under the existing Master Water Contract between San Francisco and the SFPUC’s wholesale customers, including Palo Alto. Currently, the wholesale customers purchase about 170 MGD and the Master Water Contract requires that San Francisco deliver up to 184 MGD. However, the projected wholesale customer’s purchase requests in 2030 of 209 MDG are not served under this alternative. The Draft PEIR notes that the wholesale customers may seek supplemental supplies to meet their long-term demands, but impacts from those potential actions are not analyzed. In droughts, water transfers from MID/TID would total 1 MGD, instead of the 23 MGD in the Proposed WSIE The Draft PEIR notes that additional development in the SFPUC service area might be slowed somewhat, but it is likely that growth would occur elsewhere in the Bay Area or in the Central Valley. Growth in these outlying areas could have more severe environmental impacts due to the CMR:370:07 Page 5 of 11 effects of new development versus infill that would occur in the communities served by the regional system. 3. Aggressive Conservation/Water Recycling and Local Groundwater Alternative All WSIP facilities would be constructed in this alternative, but the additional 25 MGD of water purchase requests through 2030 would be met by about 19 MGD of aggressive conservation, water recycling, and local groundwater projects. The additional water purchase requests would be either: 1) additional 6 MGD of Tuolumne River diversions; or 2) not be met. If the additional purchase requests are not met, then the maximum rationing amount would increase to 25%, rather than the 20% maximum under the WSIE SFPUC worked with BAWSCA to identify potential additional conservation, water recycling and local groundwater projects that were not included in the demand projections. Projects were classified into three categories: (1) projects likely to be implemented; (2) projects in early planning stages; and (3) potential projects for future consideration. There were two projects in Category 1, projects likely to be implemented, that were not included in the 10 MGD of recycled water, conservation, and groundwater projects included inthe WSIE Ten projects in Category 2, projects in early planning stages, were identified. Expanding the recycled water distribution system in Palo Alto was included in this category of projects with a maximum yield of 1 MGD. The range of yield for all Category 2 projects was 5.1 to 15.2 MGD. Category 3 projects identified are conceptual in nature and have not yet been determined to be feasible. The five projects in this category could yield between 0.5 and 2.23 MGD. The total amount of conservation or new water supply from the projects totals up to 19 MGD if all the projects are completed, including those for which no planning or feasibility studies have been done. The Draft PEIR calls the 19 MGD "an optimistic, high-end estimate based on very preliminary studies." The Draft PEIR states that this alternative may not meet the seismic objectives and could partially, but not fully, meet the delivery reliability and water supply performance objectives. In addition, this alternative would provide less drought year supply reliability than the WSIR Additional environmental impacts from development of recycled water and groundwater projects would occur under this scenario, but these would be mostly related to construction, water quality, and use of energy. The growth inducement potential would be similar to that for the No Program Alternative. 4.Lower Tuolumne River Diversion Alternative In this alternative, all WSIP facilities would be implemented and increased customer purchase requests would be served from diversions from the lower Tuolumne River near its confluence with the San Joaquin River. This alternative wou~d result in additional environmental impacts from construction and operation of additional conveyance and treatment facilities to divert, transport, and treat the new regional system supply. This alternative would only partially meet the water quality goal and it is uncertain that the seismic and delivery reliability goals would be met. The water supply reliability goal would be CMR:370:07 Page 6 of 11 met, but the sustainability objectives may not be met due to the need to resolve numerous regulatory and permitting issues, including the effects on fisheries in the lower Tuolumne. Due to significant increases in energy use, the cost-effectiveness goal would not be achieved. The additional flows on the lower Tuolumne River above the diversion point near the confluence with the San Joaquin River would benefit fisheries, habitat, and recreation. However, operation of the intake structures is critical as they could result in trapping of certain critical fish species. Additional environmental impacts include greater energy use and impacts from construction and operation of the conveyance, pumping, and treatment facilities. 5.Year-Round Desalination at Oceanside Alternative All WSIP facilities would be implemented in this alternative. This alternative does not include any increased diversions from the Tuolumne River since a new 25 MGD desalination plant in San Francisco would be constructed and operated year-round to serve additional customer purchase requests. Most of the service objectives are met for this alternative with the possible exception of the sustainability goal due to the regulatory and permitting issues related to building a desalination facility. Additionally, the cost-effectiveness goal is not met due to increased energy use and the cost for the new facilities. Increased environmental impacts would occur due to the construction and operation of the additional facilities, which include an intake structure, pipelines, pump stations, and the desalination plant. This alternative would not result in changes in average annual releases to the upper Tuolumne River, but changes could occur due to operational changes. Occasional differences in releases in the lower Tuolumne River could occur, but no changes in average annual releases. 6. Regional Desalination for Drought Alternative sFPUc is currently investigating the construction of a regional desalination plant with other regional water supply agencies in the Bay Area. This alternative would implement all the WSIP projects and operate this regional plant to provide the SFPUC with supplemental water supplies in dry years. This alternative is the same as Variant 2 described below. 7.Modified WSIP Alternative The Draft PEIR identified this alternative as the "environmentally superior alterative." All the WSIP facilities would be constructed, but system operations would be modified to minimize environmental impacts. Key features of this alterative include: ¯Transfer of conserved water from MID and TID. ¯Implementation of minimum stream flow requirements in a portion of Alameda Creek. o Modification of operations at Pilarcitos Creek to accommodate increased demands from Coastside County Water District, a wholesale water customer; -Management of the levels at Crystal Springs Reservoir to preserve upland habitat; and o Implementation of 5-10 MGD of additional conservation, water recycling, and local groundwater projects in the service areas of the wholesale customers. CMR:370:07 Page 7 of 11 This concept requires the implementation of water conservation measures in the MID and TID service areas with the freed up water being used by SFPUC for delivery into the regional water system. The transfer of conserved water would be implemented every year, not only as a dry- year supplement, so that WSIP impacts on the lower Tuolumne River could be avoided. The additional 5-10 MGD of conservation, water recycling and local groundwater projects would likely be a subset of the most feasible of those identified in the Aggressive Conservation/Water Recycling and Local Groundwater Alternative (see #3 above). The Modified WSIP Alternative would reduce impacts on natural resources along the lower Tuolumne River, parts of Alameda Creek, l:’ilarcitos Creek and Reservoir, and Crystal Springs Reservoir. The additional conservation, water recycling, and local groundwater projects would cause construction impacts, but they are minor compared to the fewer and less severe environmental impacts on the Tuolumne River for this alternative. The ad-hoc Council subcommittee supported the Modified WSIP Alternative. Water Supply Variants The Draft PEIR evaluated three water supply variants to the proposed WSIP, which differ from the proposed WSIP in water supply sources or rationing limits, but are identical in terms of meeting water quality, seismic reliability, and delivery reliability goals. These variants are not complete alternatives, but could be substituted for the water supply component of some of the alternatives described above. I.Variant 1 -All Tuolumne This variant would accommodate the entire 35 MGD of additional water supply needs from the Tuolumne River and would not include the 10 MGD of recycled water, conservation, and groundwater projects that the WSIP includes. Modeling of historic hydrologic years indicates that the system under this variant would require increased diversions from the Tuolumne River. of 32 MGD compared to existing conditions and 5 MGD compared to the proposed WSIR Rationing in droughts would be both more frequent and more severe compared to the proposed WSIR This variant would have slightly more severe impacts on the Tuolumne River resources compared to the WSIP, although no additional mitigations measures would be required. 2. Variant 2 - Regional Desalination for Drought This variant differs from the WSIP in that supplemental dry-year supplies would come from a regional desalination plant instead of from drought-time water transfers from MID and TID. This variant would result in slightly reduced impacts on the Tuolumne River resources due to the absence of transfers from MID and TID. However, environmental impacts from the desalination plant and conveyance facilities would be substantial due to the increased energy consumption and impacts related to seawater intake structures and brine disposal. 3.Variant 3 - 10% Rationing Under this variant, the maximum rationing during droughts would be reduced to 10%, compared to the WSIP maximum rationing of 20%. This would be accomplished by increasing dry-year transfers from MID and TID, thereby increasing average annual diversions from the Tuolumne CMR:370:07 Page 8 of I 1 River (35 MGD compared to 23 MGD under the WSIP). These increased dry-year diversions would result in somewhat more severe impacts on Tuolumne River resources, but not enough to trigger additional mitigation measures. Overall, this variant and the WSIP would result in an increase of average annual diversion from the Tuolumne River over current conditions of about 27 MGD over the 82-year hydrologic record. Proposed Comments The attached letter contains proposed comments on the Draft PEIR on SFPUC’s WSIP that were developed by the Council ad-hoc subcommittee. The major comments summarized in the first part of the letter are repeated below: Palo Alto commends the City of San Francisco for completing the very comprehensive PEIR for the WSIP. Preparing the Draft PEIR is a major undertaking and Palo Alto commends San Francisco on its substantial effort. Overall, Palo Alto would support a finding that the Draft PEIR on SFPUC’s WSIP is adequate and, therefore, satisfies CEQA requirements. Palo Alto appreciates the precious nature of the water supplies delivered to it in a manner that utilizes a well-engineered system designed to flow by gravity from the pristine mountain source to end users in the Bay Area, and knows that the aging system of pipes, tunnels, dams and water treatment plants is in dire need of upgrades. Palo Alto urges San Francisco to move expeditiously to implement the seismic improvement projects contained in the WSIP as they are urgent for earthquake reliability. Palo Alto’s City Council has named emergency preparedness as one of its top three priorities. Palo Alto supports the environmentally superior alternative identified in the Draft PEIR, the "Modified WSIP" alternative. This alternative would result in less severe environmental impacts, particularly on the lower Tuolumne River. Palo Alto supports reducing diversions from the lower Tuolumne River as it believes that there is significant potential to conserve or recycle water rather than diverting more water from the river. ¯Palo Alto is aware of other diverters of Tuolumne River water with significant potential for implementing conservation measures. Palo Alto would support and commit to pay its share for aggressive conservation measures in these areas as well as in the SFPUC’s service area. Palo Alto is committed to implementing cost-effective conservation and water recycling projects in Palo Alto itself. ¯The WSIP should limit drought year reductions to no more than 10% per year. Palo Alto is concerned that a plan that incorporates up to 20% cutbacks in drought years discourages long-term investments in conservation measures by providing what amounts to a "penalty" for maximizing conservation in non-drought years. The PEIR should clarify how the 2030 water demand projections were developed using Palo Alto’s Comprehensive Plan, which incorporates populationand employment figures only through 2010. Further, the PEIR should explain the inconsistency between ABAG’s 2030 population projections for Palo Alto and the population forecast used in the PEIR. Palo Alto considers the PEIR estimates to be reasonable and realistic based on anticipated development and historic growth rates for the City. The WSIP project schedule should be coordinated with Palo Alto’s Gunn High School to minimize construction impacts of Project BD-2 on the school, its students, and any other users of the facilities. CMR:370:07 Page 9 of 11 COMMISSION REVIEW AND RECOMMENDATIONS The Utilities Advisory Commission (UAC) received a presentation on the Draft PEIR at its September 5, 2007 meeting. The UAC unanimously recommended that the Council: (1) Strongly support completion of the WSIP project to seismically improve the water system; (2) Support the following activities recommended by BAWSCA: ¯Agencies should review PEIR for overall accuracy in describing retail agency activities ¯Agencies should review how their own systems and growth plans are described ¯Make sure comments do not unintentionally conflict with other wholesale customers (intentional conflicts may exist) ¯Convey the urgency of the seismic improvements needed for the system - water supply decisions are not urgent; and (3)Include a cost effectiveness measure such as a cost not to exceed more than 10% of the projected water rate of $1600/acre-ft for any conservation measures pursued within TID or MID. NEXT STEPS Written comments on the Draft PEIR for SFPUC’s WSIP will be accepted by the San Francisco Planning Department until close-of-business on October 1, 2007. Itis anticipated that the Final PEIR will be certified in May 2008. RESOURCE IMPACT The estimated cost for SFPUC’s WSIP is incorporated into long-term cost projections. Any alternatives that are identified in the PEIR will need to be evaluated as to the cost impact. City Staff resources to monitor and participate in this project are budgeted. The cost for BAWSCA, which is deeply involved in the process to represent its member agencies, is also included in the water fund budget. POLICY IMPLICATIONS Comments submitted to San Francisco on the PEIR are in conformance with Council-approved policy. ENVIRONMENTAL REVIEW Submitting comments on the Draft PEIR for SFPUC’s WSIP does not constitute a project under the California Environmental Quality Act; therefore, no environmental assessment is required. ATTACHMENT A.Proposed Comments of the Council of the City of Palo Alto on the Draft PEIR for SFPUC’s WSIP CMR:370:07 Page l0 of ll PREPARED BY: JANE O. RATCHYE Assistant Director of Utilities, Resource Management DEPARTMENT APPROVAL: VALERIE O. FONG Director of Utilities CITY MANAGER APPROVAL: EMILY HARRISON Assistant City Manager CMR:370:07 Page 11 of 11 ATTACHMENT C L PaloAIto City of Palo Alto Office of the Mayor and City Council Scptd,nher 25.2{ff;? Paul Mall×or. E~vironmenlal Review Officer, WSIP PEIR Sun Francisco Phmning L)cpartment 1650 Missitm Slrcct. Suile 400 San Francisco. CA 94103 RECEIVED SEP 2 6 2OO7 (;~ ry & COUNTY OF S.F. ¯., ~ ;q~,,,l~.tG OEPARI’MEN1 Re:Draft Program Environmental Impact Report for the San Francisco Public Utilities Commission’s Water System Improvement Program Dear Mr. Maltzer. " The City ol’Palo Alto receives all.ol’its potable water supplies from the regional water system operated by Ihc San Francisco Public Utilities Commission (SFPU(’). Palo Alto has great interest in the Water System Improvement Program (WSIP) that aims to repair and upgrade the regional water system to increase its reliability. Palo Alto undcrsllmds that the completion oflhc Drali Program Environmental Impact Report (PEIR) lbr the WSIP is a sigrtilican! slep towards timely COml)lcticm of the urgent seismic mlprovement projecls needed Ibr improved earthquake reliability. ~ummarv of (~omments Palo Alto commends Ihe City of San Francisco Ibr completing the very comprehensive PEIR Ibr Ihe WSIP. Preparing lbc Draft PEIR is a-mqor unde~aking and Palo Alto commends San Francisco on its substantial effort. Overall, Palo Alto would support a finding ll~al the Draft PEIR on SFPUC’s WSI~ is adequate and, theref6re, salisfies CEQA requirements. Palo Alto appmctates the precious nature and high quality of flat water supplies delivered ~o it in a rammer that utilizes a well-engineered system designed to flow by gravity from the prislmc motmlain source to end users in the Bay Area, and knows thal the aging system of pipes, lunnels, dams and wuler lrcalmcnt phmts is in dire need of upgrades. Palo Alto urges San Francisco to move cxpediliously to implement lhe seismic improvement projccls contained in the WSIP as they are urgent tbr earthquake reliabilily. Palo Allo’s City Council has named emergency preparedness as one of its toD priorities. Palo Alto supports the environmentally superior allernalive identilqed in the Dra~i PEIR, the "Modified WSIP" alternative. This alternative wotlld result in less severe environmental impacts, Imrticuhtrly on the lower q’uohmme River. Palo Aim supports reducing diversions fi’om the lower Tuohtnme River as it believes that there is s~gnificant potential to conse~e or recycle xvamr ralher than di vetting more waler l~om ll~e river. Palo Alto believes there is a significanl opportunity ~or impleme~ting conservalion measures through cooperative efforl betxvcela lhe Bay Area’s wholesale water pttrchascrs mad other divctters of Tuolumne River waler. Pa]o Alto would support and commil to pay its share tbt aggressive conservation measures in these areas as well as in the SFPUC service area Palo Alto is also committed to m~plemenling cost-effective conservation and water recycling ¯ i)rojccts in I’alo Alto itself. P.O. Box I02~P~lo Alto, CA ~3650.329.2477650.328.3631 fax 01 L PaloAIto The WSIP should limit drought ycar rcductions to no more than 10% per ycar, Palo Alto is concerned tha~ a plan that incorporates up to 20% cutbacks in drought years discourages long-term investments in conscrvmion measures by providing wha( amounts to a "pcnaltf’ Ibr maximizing conservation in non-drought years. The PEIR should clari[~ how dao 2030 water demand projections were developed using Palo Aho’s (’omprehensive Plan, which incorporates population and employment figures only through 2010. Further, II~e PEI R slmuld explain the inconsistency between ABAG’s 2030 populalion projeciio~3s for Palo Alto and the population tbrecast used in the PEIR. Palo Alto considers the PEIR estimates to be reasonable and realistic based on anticipated development and historic growth rates tbr the City. The WSIP project schedule should be coordinalcd wilh Palo Alio’s Gunn High School to minimize construction impacts of Project BD-2 on the school, its students, and any other users o I" the Ihcilities. The City of Pulo Alto rcspectf’ully submits the tbllowing more detailed comments on the subject Drafl PEIR: Palo Alto strongly soppo,-ts ~imely completion of the seismic improvement projects contai~led in the WSIP. Palo Alto has understood since 1999 that a large earthquake in the Bay Area could result in parts of the SFPUC service area being without water for up to 60 days. The Palo Alto City Council adopted Resolution//7986 (Attachment A) io July 2000 urg{tlg the SFPUC to take immediatc steps to safeguard the regional water system [’tom earthquakes ;.|l’~d to secure water supplies lbr dry years. Subsequcndy, City (’ouncil adopted Resolutions 08135 and #8136 (Attachments B and C) in support of bills in Ihe state legislature that would form cntitics that could provide funding for the projects to upgrade and repair tile regional water system. The Palo Alto City Council has delermincd that emergency preparedness is lhe first o f its top [’our priorities and strongly SUl~ports projects such as tbc WSIP that wot, ld increase the seismic preparedness [br the community and better ensure its health and safety. Palo Alto has also supported major local capital projects to in]prove the reliability of the Palo Alto water distribution system. Palo Alto st~pports the "Modified WSIP" alternative, which is identified as the eaviroumentally superior alternative. Palo Alto believes that completing the seismic upgrades and repairs of the regional water systcm arc critical. While ensurtng adequate water supply tbr tile future ~s impo~lant, it is not nearly as urgent as completing the se’sm~c improvements to tile regional system. Since water tlSC by San Francisco’s wholesale customers remains below the anqount co~almitted il~ the existing Master Water (’ontract. th,Src is time to e~plore lhe development of alter~late resources, including recycled water and more aggressive conservation measures. Palo Alto slrongly supports the development o f these allernate resources and is especial l y supportive of searching for ware," conservatio~ opporhmities wherever they make the mosl sense, h~cluding in the smwice ureas of Modesto and Turlock Irrigation Districts (M ID and TID). T01 cont. O2 I 03 O4 O5 L PaloAlto Palo Alto believes that the transfers of conserved water from MI D and TID tha! are part ol’O~e Modified WSIP alternative should be aggressively pursued, as this may be potentially the least expensive and most effective "new" wa~er supply available for the regional water system. Because MID and TID are by fi~r ll~c largest divc~ers of w:uer []’om the Tuolumnc River, they are an obvious source o~conservalion opportunities ~ ~al would resull in minimizing ~olal river diversions. Pale Abe advocales fl~at SFPUC’s wholesale customers pay For the best conservation measures, wherever [hey exist, to improv~ environmental conditions on lhe Tuolumnc River. Pale Alto supports aggressive i~ursuil ofconservalion opportunities in the MID and TID service areas and would support creating a ~e[ increase to flows in the lower Tuolumnc River Io improve cnvironmcntal conditions. Pale Alto is concerned about the environmental impacls identified on the lower Tuolumnc River and supports significant improvements. Polo Allo strongly supports efficieul use of natural resources, including water. AllachlllCnt D conlains ordinances, resolutions, guidelines, policies, and reports that document lhat support. For example, Polo Alto adopted enlbrceablc water use regulations in 1989 that made certain wasteful practices illegal, such as landscape runoff and using potable water to wash vehicles. In March 1991. Polo AIIo produced a booklet ¯ "Using the Pulo Alto Landscape Guidelines" to educate the public and developers on how to use effective xvater management melhods such as automatic controller use, adjusting ~rrlgation lbr cvapotranspu’ation rates, zone planting For water needs, water budgeting, separating irrigation meters, etc, to limit water used for landscape irrigation. Polo Alto cn£orccs landscape water efficiency slzndards thal are in compliance with the State of ’ Calilbrnia’s Water Conservation in Landscaping Act (AB 325). Polo Alto also strongly supports stewardship of tthe ~alural envirooment, iacluding responsible managemeut of waler resources and smart growth practices. In October 2005, Polo Alto adopted modified Ahwahnee Water Principles. These principles address isst~es such as water contamination, slorm water runoft~ flood damage, and reliabilily of water supply. The principles promote compact community design, prcservation of natural habitats, reduction of runoff, appropriate landscaping, use of permeable surfaces, dual plumbing lbr nonpotablc water uses, and use O~ waler conservation technologies. Polo Alto understands the relationship bclwccn land use practices and nalural resource stewaMship. Many oflhe Ah~vabnee Water Principles arc roflcctcd in Polo Alto’s land ttsc ordinances and practices. ~or example, in 2005, Polo Alto’s application ~ora Priority Development Area designation near a transit station with the potential tbr in-fill growll~ was approved. In 2006, Polo Alto adopted an ordi]mnccamcndin~ its Municipul Code in support of pcdcslrim~ and transit oriented development combining district, to implement Polo Alto’s Housing Element and Comprehensive Plan policies in support of resource con~ervalion. An amendnacnl to the Municipal Code in 2007 promotes snstainable landscaping (Chapter 18.40.130), strema~ corridor protection (Chapter 18.40.140), and storm wutcr qualily prolcction (Chapter 18.40.150). AIso, in 2007, Polo AIIo adopted an ordinance amending Municipal Code Chapters 18.76 and 18.77, which address Polo Alto’~ Sustaimd)ility Policy and Green Building practices. 06 07 O8 L PaloAIto Pale Alto has long offered robust energy and water conservation programs, services and technica! support, to its residential and business customers. As a provider of natural gas and electricity as well as water, the Cfly of Pale Alto Utilities can effectively promote cftlcicncy improvements by informing customers through its Utilities bill inserts, Attachment E contains pasl bill inserts specifically related to water ei’ficicncy. Along with bill inscms, City of Pale Alto Utilities has produced and/or distributed marketing materials to its customers to promote e/’ficiency Attachment F contains a sampling of marketing materials speci tic to water cfftcicnt programs and practices. C.ity of Pale Alto Utilities also makes extensive use of’advertisements in print media to get out the message on e fficiency. Attachment G contains copies o~’ads and articles promoting water efficiency. City o1" Pale Alto Utilities also has an active school education program to encourage efficient use of resources. Attachment H is a collection of’materials, ir~cluding workbooks, flyers, and brochures used in school water efficiency education programs. Pale Alto’s efforts to manage demand citywide are effectively illustrated in the grat}hic showing actual water consumption since 1965 in Attachment 1. Pale Alto’s wa(cr usage peaked in 1976 at almost 20,000 acre-feet per year (AFY). After lowered consunq)ti~,~n during the 1976-1977 drought period, usage rebounded to almost 19,000 AFY in 1988. EITorts to curb consumption during the extended drought period ]9~8 to 1992 were successful with consumptior~ since the drought ranging between 14,00(~ AF-Y and 15,000 AFY. Consumption projections lbr the future are flal at about 15,0()0 AF¥, I~u" lower than actual usage in 1976 despite increases in popuh~tion mad economic activity in Pale Alto over tile last 30 years. Du ring both tile 1976-77 and the ] 988-1992 drought periods, Pale Alto implemented an extensive public educatian program on water conservation. Pale Alto produced many materials designed to educate the public about the drought and promole waler efficiency. A sampling of these materials is found in Attachment J. Pale Alto has long struelured its residenlial retail water rates to promote efficient use of water. Since July 1976, Pale Alto has had an "increasing block rate structure" for residents. Increasing block rates increase as the quantity used increases. This rate structure is considered by the Cali fomia Urban Water Conservation Council to be water conserving pricing. Attachment K contains Pale Alto’s residential water rates since J uty 1976. During the 1988-1992 drought, Pale Alto was able to achieve the goals for water use cutbacks by increasing the differential between the rates in lower and higher use tiers. Because the conservation pricing, extensive public education, conservation programs, use restrictions and related enforcement practices that wcrc nscd wcrc so cffcctive, Pale Alto did not need to implement rations or limits for residenlial cuslomcrs during that drought. Pale Alto’s ongoing efforts to encourage and invest in conservation are not well "[ served by the proposed drought-time rationing goal of cutbacks of up to 20%. With tb¢ Ibl’¢al of a prc-dcternaincd rationing goal, Pale Alto and other wholesale cttstomers may huve difficulty continning to invest in conservation measures and recycled walcr projects. To the extcnt that demands are limited and wasles are elin’fim~ted, getting an 09 10 L PaloAIto II. additional 20% reduction in usage is and will bc difficuh. The Drall PEIR evaluated a "’water supply variant" with 10% maximum drought reduclion and dclem~ined thai the environn]enlal impacts of such an option were similar to the impacts ol’d]c proposed program anti that the average annual diversions fiom the Tuolumne River would bc thc same over a long period of time. Besides increasing supply reliability, the 10% ralioning option would reduce the inevitable economic impact resulting from lhe extended reduction of water supplies, Palo Alto supports thc 10% m aximum drought reduction "’water supply wwianl" and encourages San Francisco to selecl that option. [n concert wdh tim pursuit of additional conserved wa~er flom MID and TID, lllis option could resull in no additional diversions from Ihe Tuolunme River in droughts than the proposed program. The Draft PEIR addresses the concept of an additional intertie with the Santa Clara Vnllev Wnler District (SCVWD), but presents it only as a strategy that affects water supply sources. This concept, which Palo Alto raised in its written commenls regarding the Notice of Prcparatim~ of Ihe PE[R, would increase desirable redundancy and operational flcxihility for both regional systems (SFPUC and SCVWD) and offers improved emergency response. The concept could help meet or exceed the Level of Service goals for the pro.leer relating to seismic reliability and deliverability. The PEIR t[iscosscs a dry year transfer concept and a [’uture water supply source for the SFPUC regional systcm and rejects those ideas with good reasons. However, the concept of using ancw intcrtic for emergencies is nol given adequate discuss,on. Such an intertie would be created by extending SCVWD’s West Pipeline from the point where it currently ctads at Foothill Expressway and Fremont Avcrmc in Mountain View to Foothill Expressway and Page Mill 1o Bay Division Pipelines 3&4. Alternately, the West Pipeline couht be paralleled back to SCVWD’s Rinconada Water Treatmcnt Plant to tmprove reliability tbr both rcgiomd systems. Palo Alto understands that one ofthe crossovers between Bay Division Pipelines 3&4 for WSIP Project BD-2 is located in Palo Alto. The site for the crossover in Palo Alto is it!entitled in the Draft PEIR is "near Barr0n Creek, adjacent to the running-track and sports fields at Gunn High School." According to the Draft PEIR, the project includes a valve vault of app,’oximately 3,750 square feet with the drainage outfall located on the site and that piping to connect the [’acility to outfalls would be required. [n addition, a control building (3 to 8 feet high) tot" electrical anti mechanical equipment at the valve vault is required Section 4.3 ofthe PEIR should include an clcvation/schemalic oflhe control buildin,g aud/or vault so the reader has an understanding ofwhal the racilily will look like and how it may visually impact sensitive areas, Ma~ly of the mitigation measures for WSIP project impacts located within Palo Alto involve constructton. The PEIR should state lhal mitigatmn measures may not violate City ordinances, including, but not limited to, noise and nuisance ordinances. In addition. Palo Alto expects to be involved in and consulted at an early stage m this project 10 :ont. 11 12 L PaloAlto The City of Palo Aim rcspectfldly submits the tbllowing comments with rc[’c,cnccto specific sections and pages on the subject Draft PEIR: Pages 4.3-17 and 6-4 lisl scveral mitigations for construction impacts. The first measure listed on page 6-4, Neighborhood Notice, in and of itself is not mitigation. This measure may m,,ke it more palatable to neighboring residents because they will know when construction will occur, but it doesn’t reduce the impact. As a substitute mitigation, Palo Alto suggests coordinating with Gunn High School in order to limit construction of the crossover to times during the school year that would be least likely to result in noise and other construction impacts on school activities. 14.Page 4.3-22 mentions that additional right of way/easement cot,[d be needed for the crossover outfal} at the Ounn/Veteran’s Administration hospital location. The PEIR should identify how much additional landwill be required, when thai will be determined and where it will be located. 15.Page 4.3-,-10 of the PEIR is ambiguous as to whethcr thc control building and/or vault will be visible frorn Foothill Blvd. [fit will not Io be visiblc, then no mitigalion is needed. If" it is going to be visible, then il should be so stated in the PEIR. 16.On page 4.12-10, the firsl two sentences ol’tl~e City of Patio Alto section should read: "’Palo Alto has a Iotal o1"4,358 acres of parkland and open space areas irmluding 32 City t~rban parks encompassing approximately 200 acres and several large open space and nature preserves. Foothills Park is af~proximately 1400 acres and the Arastradero Preserve is approximalcly 610 acres." Many of the City parks are dedicated parks, crealed by ordinance. The City Charter bans substantial building, construction, reconstruction, or development upon or with respect to any dedicated park lands except pursuant to ordinance subject to referendum. 17.Page 6-6 in the last paragraph under the Cultural Resources section should clarify that it "l- is San F,’ancisco’s Planning Department and Environmental Review O{’ficer that will be responsible for these actions. 18.Section 7.3 needs to be clarilied regarding the population and employmenl forecasts used Ibr the water dcmand projections and assumptions. The discussion should be clear that . lhe City’s projecled population and employment forecasts in dm PEIR for lhe year 2030 are assumed to be extrapolated from the Palo Alto 2010 Comprehensive Plan; the Ibrecasls used in the analysis are within I0% and 16% of |he 2010 Comprehcnsivc Plan population and employment figures, respcctivcly. ABAG’s projected 2030 population growth cited in the PEIR for Palo Alto’s Sphere of Influence is over 33% higher than the 2030 population pro.iection for Palo Alto used in lhe PEIR. The PEIR does not explain why ABAG’s population projections are signiticantly higher than the population projections used tbr thc water demand plan given that both arc for a 2030 horizon. The PEIR should explain that the City considers the forecast uscd in the PEIR to be a rcasonable and realistic projection of Palo Alto’s anticipated growth through 2030, I lislodcally, Palo Alto has grown very slowly; the 2000 census showed a 5% increase in 13 16 L PaloAIto population over a lhirty year period from 1970. Although in tile last seven years, Pale Alto has experienced tmprecedented new honsing develop~rmnl resulting in an 8% increase in population (still l’ar below the A BAG projections), this growth cannot be sustained given Pale Alto’s limited land availability and redevelopment potential: thcrctbrc, the City considers the PEIR 2030 population Forecast, which is approximately a I0% growth increase from our 2010 Comprehensive Plan projected population, to be a reasonable increase. Pale Alto commends tim City of San Francisco rot completing the very comprehensive PE[R for the WGIP. especially in ll~e context that the WSIP is a significant step towards timely completion oFthc urgent seismic improvement projects needed [’or tmproved earthquake reliability. Sinccrely, 16 cont. Kishimom lyOl" AtlaChl~lCnls: A.Resohition No 7986 D, E. F. G. H. Resolution of the Council of the City of Pale Alto Recommending that Ihe San Francisco Public Utililies Commission Take Prompt Action to Improve ~eg[onal Water Supply Rcliabilily and Quality. Resolution No. 8135 - Resolution of the Cotmcil of the Cily of Pale A Ire in Suppml of Legislalion Allowing the Formation era Regional Water Agency, Specifically Senate Bill 1870, the Bay Area Waler Reliability Financing Authority Acl Resolulion No. 8136 - Resolution of the Council of l!)e City of Pale Alto in Support of Legislation Allowing the Formation era Regional Water Agency, Specifically Assembly Bill 2058, ~l~e Bay Area Water Regional Water Supply and Conservation Agency Acl Water Policies and Reports Regarding Water City of Pale Alto Utililies Bill luserts City o~" Pale A]lo Utilities Marketiog Material Advertisements and Articles relating to Water Efficiency City o(" Palo Alto Utilities School Education Program Materials Cily of Pale A)lo Annual Water Supply Purchases Since 1965 and Long-Term Purchase Forecast Cily o~" f’alo Alto Ulilities School Special Orought Materials Cily of Pale Alto Utilities Residential Water Rate Schedules (since July 1976) cc:Art .lensen, General Manager of the Bay Area Water Supply and Conscrvalion Agency 15. Responses to Individual Comments Local and Regional Agencies ATTACHMENT D City of Palo Alto, Yoriko Kishimoto, Mayor, 9/25/07 L PaloAlto-01 L PaloAlto-02 L PaloAlto-03 L PaloAlt0-04 This comment expresses support for the WSIP and the adequacy of the Draft PEIR in satisfying CEQA requirements. It summarizes the more detailed comments presented in Comments L_PaloAlto-04 through L_PaloAlto-06; refer to Responses L_PaloAlto-04 through L_PaloAlto-06 for the specific responses. This comment requests clarification on the development of the water demand projections. The Draft PEIR (Vol. 1, Chapter 3, pp. 3-16 to 3-22) describes the methodology used to develop the 2030 water demand projections; more detailed information is provided in Draft PEIR Appendix E.2 (Vol. 5). As described on p. 3-21, each wholesale customer selected the source of the demographic projections to be used in the development of the water demand projections for its service area. According to the SFPUC Wholesale Customer Water Demand Projections Technical Memorandum (Table 4-1 of that report, p. 4-5; UP, S, 2004a), the Association of Bay Area Governments’ (ABAG) Projections 2002 was used to develop water demand for Palo Alto, not the comprehensive plan (as implied in this comment). The "Wholesale Customer Population Selection Form" submitted by the City of Palo Alto to the SFPUC also indicates that Projections 2002 was the City’s choice of projections for use in the demand model. The inconsistency between ABAG’s 2030 projections and the population forecast used is discussed in the customer summary presented in Draft PEIR Chapter 7 (Vol. 4, pp. 7-51 and 7-52). The comment that the Draft PEIR demand estimates for Palo Alto are realistic is acknowledged. The commenter’s request for coordination of the construction schedule for the BDPL Nos. 3 and 4 Crossovers project (BD-2) with Palo Alto’s Gunn High School is addressed by SFPUC Construction Measure #1, Neighborhood Notice (Draft PEIR, Vol. 4, Chapter 6, p. 6-4), which states, "Where schools would be affected, the SFPUC will coordinate with school facility managers to schedule construction for time periods with the least impact on school activities to ensure student safety and to minimize disruption to educational and recreational uses of the school property." The comment stressing support for the timely completion the seismic improvement projects contained in the WSIP is acknowledged. The information related to Palo Alto City Council Resolution #7986 is also noted. Please refer to Section 14.1, Master Response on WSIP Purpose and Need (Vol. 7, Chapter 14, Section 14.1.2) for more discussion. PEIR on SFPUC Water System Improvement Program 1 5.3-1 4z~ESA+Odon ! 203287 Comments and Responses Seotember 2008 15. Responses to Individual Comments Ci~ of Palo Alto, Yodko Kishimoto, Mayor. 9/25/07 L PaloAlto-05 L PaloAlto-06 L PaloAlto-07 L PaloAlto-08 L PaloAlto-09 L PaloAlto-10 L PaloAlto-11 This comment expressing Palo Alto’s support for the Modified WSIP Alternative is acknowledged. Please see Section 14.10, Master Response on Modified WS1P Alternative (Vol. 7, Chapter 14) for additional discussion and analysis of this alternative. In addition, this comment noting the critical need for completing the seismic upgrades and repairs of the regional system is also acknowledged. Please see Section 14.1, Master Response on WSIP Purpose and Need (Vol. 7, Chapter 14, Sections 14.1.2 and 14.1.3) for further discussion. This comment expressing Palo Alto’s support for the transfers of conserved water as a component of the Modified WSIP Alternative is acknowledged. The commenter also expresses support for the following: wholesale customers paying for the best conservation measures; aggressive pursuit of conservation opportunities in the Modesto and Turlock Irrigation District service areas; and creating a net increase in flows in the lower Tuolumne River to improve environmental conditions. These comments are acknowledged. See Response L-BAWSCA1-47. This information related to the City of Palo Alto’s support for the efficient use of natural resources, including water supplies, is noted. Please see Section 14.2, Master Response on Demand Projections, Conservation, and Recycling (Vol. 7, Chapter 14), for more discussion on assumptions regarding conservation and recycling used in the development of the WSIP. Please also refer to Section 14.3, Master Response on Proposed Dry-Year Water Transfer (Vol. 7, Chapter 14, Section 14.3.2) for additional discussion regarding the proposed dry-year transfer under the WSIP. This comment, which describes Palo Alto’s commitment to stewardship of the natural environment and smart growth practices, is acknowledged. As it does not address the adequacy or accuracy of the PEIR, no response is provided. This comment, which describes Palo Alto’s energy and water conservation programs, water consumption patterns, and water rates, is acknowledged. This information is conceptually included in the PEIR by virtue of its inclusion in this comment letter. The opinion of the commenter supporting WSIP Variant 3 - 10% Rationing is acknowledged See Response L_Burlgme-02 for clarification of the difference between the proposed program and Vari,ant 3. As described in the Draft PEIR (VoI. 4, Chapter 9, pp. 9-116 and 9-122 to 9-123), the SFPUC investigated several alternatives for an exchange or transfer with the Santa Clara Valley Water District (SCVWD) as part of the WSIP background studies exploring regional water supply opportunities. The SFPUC and SCVWD explored options using the existing intertie or a new intertie, as P~IR o~ SFPUC Water System Improvemenl Program 15, 3-145 ESA+Odon / 203287 Comments and Resporlses September 2008 15. Responses to Individual Comments Local and Regional Agencies L PaloAlto-12 L PaloAlto-13 well as exchanges through delivery to the eight customers in common to both the SCVWD and SFPUC. In general, an exchange would involve the SFPUC advancing water in wet years to the SCVWD in exchange for supplies from the SCVWD in dry years. However, the SCVWD does not have the capacity or need for additional water supplies during wet years. At times when the SFPUC has addi.tional supplies available for delivery to the SCVWD, the SCVWD cannot use the water directly or store it. Additionally, the SCVWD does not have excess water to transfer to the SFPUC in normal or dry years. Therefore, this concept was eliminated from further consideration because it would not provide a dependable future water source for the SFPUC regional system. The commenter requests that the PEIR include an elevation/schematic of the control building and/or vault associated with the BDPL Nos. 3 and 4 Crossovers project (BD-2). Please refer to Section 14.4, Master Response on PEIR Appropriate Level of Analysis (Vol. 7, Chapter 14, Section 14.4.2) for detailed discussion of the issues raised by this comment. This master response provides information on the appropriate level of detail of an impact analysis at the program level versus the project level. Atthe programmatic level, design details for individual WSIP projects are not presented or evaluated in the Draft PEIR. The City will have the opportunity to review and comment on the design details of this project during project-level CEQA review~ The commenter states that the mitigation measures should not allow WSIP projects to violate city ordinances (including but not limited to noise and nuisance ordinances), and that the City should be consulted at an early stage in this project. The Draft PEIR (Vol. 2, Chapter 4, p. 4.2-9) states that the SFPUC is exempt from complying with the building and zoning ordinances of other cities. However, project consistency with the provisions of other local ordinances (including noise and tree ordinances) wilt be determined during the preparation of project-level CEQA documentation. The Palo Alto tree, vegetation, and noise ordinances are identified in Tables 4.6-1 and 4.10-2 (Vol. 2, Chapter 4, pp. 4.6-34 and 4.10-7). As stated in the Draft PEIR (Vol. 2, Chapter 4, p. 4.10-6), time and noise limits prescribed in local noise ordinances were used in the PEIR as criteria to determine the gignificance of project impacts under CEQA. Please refer to Section14.4, Master Response on PEIR Appropriate Level of Analysis (Vol. 7, Chapter 14, Section 14.4.3) regarding the City’s request for early consultation. This request for early consultation has been noted in Draft PEIR Table C.6 (Vol. 5, Appendix C, p. C-26). The commenter requests substitution of SFPUC Construction Measure #t with specific language requiring coordination with Gunn High School, but such coordination is already required, as described in Response L_PaloAlto-03. PEIR dn SFPUC Water System Improvement Program ’15,3-146 ESA+Odon / 203287 Comments and Responses September 2008 15. Resoonses to Individual Comments City of Pale Alto, Yoriko Kishimoto, Mayor. 9/25/07 L PaloAlto-14 L PaloAlto- 15 L PaloAlto-16 The commenter also mentions that additional right-of-way/easement could be needed for the BDPL Nos. 3 and 4 Crossovers project (BD-2), and also questions the visibility of the control building/vault from Foothill Boulevard. Please refer to Section 14.4, Master Response on PEIR Appropriate Level of Analysis (Vol. 7, Chapter 14, Section 14.4.2) for information on the appropriate level of detail of an impact analysis at the program level versus the project level. As a program-level document, the Draft PEIR does not present or evaluate the design details for the individual WSIP projects. The City will have the opportunity to review and comment on the design details of this project during project-level CEQA review. The commenter requests that information on the city’s parks and open space be updated. The number of parks and total urban park acreage presented in the Draft PEIR (Vol. 2, Chapter 4, p. 4.12-10) are based on information cited in the City of Pale Alto Comprehensive Plan (1998) and subsequent revisions to the plan made in July 2007. In response to this comment, the Draft PEIR (Vol. 2, Chapter 4, p. 4.12-10, fourth full paragraph) has been revised as follows: City of Palo Alto According to the Cits, of Palo Alto, the city has a total of 4,358 acres of parkland and open space areas, including 32 urban parks encompassing approximately 200 acres and several large open-space and nature preserves. Foothill Park is approximately 1,400 acres and the Arastradero Preserve is approximately 610 acres (City of Palo Alto, 2007). Pale Alto Preserve, ape, pular ........ s .................. ~, ....... £an Ff"~ncio°cc Bay, encompasses !,940 acres and contains !5 miles of facilities, " ...... ~...a .~ ~.?,~.~a~ Nature Inte~retive ~"-t~* The CiW of Pale Alto owns the wetl~ds south of Cooley Landing (in E~t Pale Alto) in the vicini~ of the BDPL ReliabiliV Upgrade (BD-1) pipeline alignment (Ci~ of Pale Alto, 1998). A BDPL Nos. 3 and 4 Crossovers (BD-2) crossover Ncili~ would be adjacent to the spo~s fields N G~n High School. The following reference has been added to the Draft PEIR (Vol. 2, Chapter 4, p. 4.12-29): _City of Pate Alto, Yoriko Kishimoto, Mayor, letter communication, September 25, 2007. The commenter’s recommendation to correct the last paragraph under the Cultural Resources section (Vol. 4, Chapter 6, p. 6-6) is not necessary. The Environmental Review Officer represents the Planning Department. This comment repeats points made in Comment L_Palo Alto-02 about the projections source used in the demand model and differences between ABAG PEIR on SFPUC Water System Improvement Program Comments and Responses 15.3-147 ESA+ eden / 203~87 September 2008 15. Responses to Individual Comments Local and Regional Agencies projections and those used in the demand model. Please refer to Response L PaloAlto-02. The Draft PEIR (Vol. 4, Chapter 7, p. 7-52) indicates that the population and employment projections used for Palo Alto in the demand study are about 10 percent and 16 percent higher, respectively, than those shown for 2010 in the comprehensive plan (referred to as the general plan), consistent with this comment’s request. The comment that the City considers the forecast shown in the PEIR to be reasonable is acknowledged. PEIR on SFPUC Water System Improvement Program 15.3-148 ESA÷Odon / 203287 Commen~s and Responses September 2008