HomeMy WebLinkAboutStaff Report 12025City of Palo Alto (ID # 12025)
City Council Staff Report
Report Type: Action Items Meeting Date: 6/7/2021
City of Palo Alto Page 1
Summary Title: Urban Water Management Plan
Title: PUBLIC HEARING: Adoption of Resolutions Adopting the 2020 Urban
Water Management Plan and Water Shortage Contingency Plan
From: City Manager
Lead Department: Utilities
RECOMMENDATION
Staff and the Utilities Advisory Commission (UAC) recommend the City Council adopt a
resolution (Attachment A Linked Document) adopting the 2020 Urban Water Management Plan
and a resolution (Attachment B Linked Document) adopting the Water Shortage Contingency
Plan.
EXECUTIVE SUMMARY
Every urban water agency in California is required to submit an Urban Water Management Plan
UWMP), which includes a Water Shortage Contingency Plan (WSCP) (Linked Document) every
five years. UWMPs must include information about water demand, water supply, demand
management activities, alternative water supplies, anticipated shortages during dry periods,
and contingency plans for addressing those shortages. The actions recommended in this report,
if approved, would satisfy this requirement for the City of Palo Alto.
The City of Palo Alto’s (‘City’ or ‘Palo Alto’) demand for water is expected to increase over the
next 25 years based on projected population increases, although per capita water use is
expected to decrease due to water conservation and efficiency gains. Potable water supply
from the City’s supplier, the San Francisco Public Utilities Commission (SFPUC), is projected to
be adequate during normal years, but significant shortfalls are expected during droughts.
The UWMP provides information regarding the alternative water supplies under consideration
by both Palo Alto and the SFPUC. Some of these include expanded uses for recycled water and
storage. Palo Alto, in collaboration with its partners, continues to seek to maximize water
conservation to reduce the impact of dry years. When water supply shortage do occur, Palo
Alto’s WSCP provides for increasingly aggressive steps to reduce use including public outreach
and education, rebate programs, water use restrictions, and water allocation processes.
https://www.cityofpaloalto.org/
files/assets/public/agendas-mi
nutes-reports/reports/city-man
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https://www.cityofpaloalto.org/f
iles/assets/public/agendas-min
utes-reports/reports/city-mana
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06-07-2021-id-12025-reso-ws
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fpaloalto.org/files
/assets/public/ag
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City of Palo Alto Page 2
BACKGROUND
The California Urban Water Management Planning Act (‘Act’) requires every California water
agency supplying more than 3,000 acre-feet (AF) of water per year or providing service to more
than 3,000 connections to prepare an UWMP. The UWMP is prepared every five years by urban
water suppliers to assess the reliability of water sources over a 20 -year planning horizon under
both normal and dry hydrologic conditions and to ensure adequate water supplies are available
to meet existing and future water demands. Urban water agencies are also required to adopt a
Water Shortage Contingency Plan which lays out the action that will be taken by the agency in
the event of a water supply shortage.
The City must adopt the 2020 UWMP, including the WSCP, by July 1, 2021 and submit it to the
California Department of Water Resources within 30 days of adoption.
DISCUSSION
The key elements of the UWMP are summarized below.
1. Water Demand
2. Water Supply Adequacy
3. Water Conservation
4. Alternative Water Supplies
5. Water Supply Reliability
6. Water Shortage Contingency Plans
1. Water Demand
Although the City has experienced several drought periods since 1975, the recent drought of
2014 to 2016 has had a particularly profound effect on City and customer attitudes regarding
water. The state-mandated water use reductions in the recent drought resulted in large
numbers of landscape conversion projects as well as a dramatic shift in customer behavior
regarding water use. In addition, new construction in every sector is subject to increasingly
stringent regulations regarding water using appliances and fixtures.
The City relied on an end-use model and an econometric model to determine demand
projections. The econometric model projected short-term demands through 2025 based upon
historical water use patterns through 2019 and the projected future rebound in water demand
associated with forecasts for drought recovery. The end-use model projected long-term
demand for each end-use customer class (through 2045) based upon expected service area
growth for both population and employment. The end -use model considers unemployment
rates and projects demand assuming a normal economy. Age of buildings is also considered
with regard to end uses as a result of plumbing code changes and as sumed fixture replacement
rates.
City of Palo Alto Page 3
Figure 1 below shows the City’s potable water use since 1988 and a projection of water supplies
through 2045. Water consumption in the recent drought reached its lowest level in more than
25-years. The reduction in water consumption was the result of state mandated water
reductions combined with permanent water conservation measures.
Figure 1: SFPUC Purchases - Actual and Forecast
In developing these projections the City relied on ABAG population and employment
projections for the 2010 and 2015 UWMPs and models developed by a consultant. According to
these projections shown in Error! Reference source not found., expected 2020-2045
population growth is about 0.8% per year with expected growth in employment 0.5% per year.
These projections do not consider potential impacts of COVID-19. To date, the pandemic
appears to have had little impact on Palo Alto’s water use, but long-term trends such, as a shift
to more telework, are not yet known. Staff will continue to monitor and update water demand
projections during annual supply planning, financial planning, and in the 2025 UWMP.
Table 1: Population - Current and Projected
2020 2025 2030 2035 2040 2045
Service Area Population 68,819 71,667 74,815 77,963 81,111 84,259
Five Year Percent Increase 4.1% 4.4% 4.2% 4.0% 3.9%
Total Employment 97,654 100,095 102,535 104,975 107,416 109,856
Five Year Percent Increase 2.5% 2.4% 2.4% 2.3% 2.3%
City of Palo Alto Page 4
2. Water Supply Adequacy
The City receives 100% of its potable water from the SFPUC through the Regional Water System
RWS). The City also uses some recycled water produced at the Palo Alto-operated Regional
Water Quality Control Plant (RWQCP) for irrigation of the municipal golf course, a park, and
some other minor applications. A system of local groundwater wells and storage provide
emergency water supply service.
The SFPUC has a perpetual commitment (Supply Assurance) to deliver 184 MGD to the 24
permanent Wholesale Customers collectively. Palo Alto’s allocation, or Individual Supply
Guarantee, is 16.575 MGD, or approximately 18,579 acre feet per year. The City’s allocation
was reduced to this level in May 2018 upon a permanent ISG transfer of 0.5 MGD to the City of
East Palo Alto1.
In normal years, the Palo Alto’s potable water demand is not expected to exceed supply as
shown in Table 2.
Table 2: Palo Alto Potable Water Supply and Demand Balance - normal years
2020 2025 2030 2035 2040 2045
Palo Alto Demand for SFPUC
Water 10,921 11,287 11,394 11,546 11,801 12,113
Individual Supply Guarantee 18,579 18,579 18,579 18,579 18,579 18,579
Difference 7,658 7,292 7,185 7,033 6,778 6,466
3. Water Conservation
Water conservation plays an important role in the City’s water supply planning. The City
partners with the Santa Clara Valley Water District (Valley Water) to offer a wide range of water
conservation programs to our residential and commercial customers. Through rebates,
education and outreach, the City has been able to reduce per capita water use by about 15%
over the past decade.
Senate Bill x7-7 (SBx7-7), adopted in November 2009, mandates a statewide per capita potable
water use reduction of 20% by the year 2020. Urban water suppliers are required to identify a
baseline usage (expressed in gallons per capita per day, or GPCD) for their service area,
calculate a target to meet the 20% reduction, and report on compliance in the 2020 UWMP.
The City’s 2020 UWMP confirms the City met the conservation target by more than 20%,
resulting in the per capita water use reduction cited above.
1 See Staff Report #9041 https://www.cityofpaloalto.org/civicax/filebank/documents/64801
City of Palo Alto Page 5
Figure 2: SBx7-7 Targets and Compliance
4. Alternative Water Supplies
In anticipation of extended periods of drought and possible regulatory changes by the State,
the City is evaluating a wide range of alternative water supplies. The Northwest County
Recycled Water Strategic Plan, completed in collaboration with Valley Water, identified and
evaluated a number of potable and non-potable water reuse concept options using effluent
from the RWQCP in Palo Alto. Concept options that are compatible with the effluent transfer
agreement with Valley Water will be considered along with traditional potable supply sources,
demand management, green stormwater infrastructure, and graywater in a holistic 2021 “One
Water” Plan. The One Water Plan will take into consideration long-term reliability and dry year
needs as well as cost, quality, and public acceptance. The City, through the Bay Area Water
Supply and Conservation Agency (BAWSCA), has additional water supply management
opportunities. Each is discussed in more detail in the 2020 UWMP.
The SFPUC is increasing and accelerating its efforts to acquire additional water supplies and
explore other projects that would increase overall water supply resilience through the
Alternative Water Supply Planning Program. The key objectives relevant to this effort can be
summarized as:
Meet dry-year delivery needs while limiting rationing to a maximum of 20 percent
system-wide reduction in water service during extended droughts;
Diversify water supply options during non-drought and drought periods;
City of Palo Alto Page 6
Improve use of new water sources and drought management, including groundwater,
recycled water, conservation, and transfers;
Meet, at a minimum, all current and anticipated legal requirements for protection of
fish and wildlife habitat;
Maintain operational flexibility.
5. Water Supply Reliability
Since the City relies on the SFPUC RWS for its potable water supplies, the City’s water supply
reliability mirrors that of the RWS. During a water supply shortage, contractually agreed upon
allocation methods apply in limited circumstances. Assumptions regarding how water will be
allocated in critical, severe, and emergency water shortage scenarios were made. The amount
of water available to San Francisco’s Retail Customers (the residential and commercial
customers in the City of San Francisco) and Wholesale Customers (the 26 agencies, including
Palo Alto, that purchase water from the SFPUC) will be impacted by the outcome of the Water
Quality Control Plan for the San Francisco Bay/Sacramento-San Joaquin Delta Estuary (Bay-
Delta Plan Amendment or Bay Delta Plan). This 2020 UWMP assumes the Bay Delta Plan and
associated unimpaired flow requirements for the Tuolumne River will be implemented in 2023
as adopted by the state. In August 2018, City Council voted to support the Bay Delta Plan2.
SFPUC’s water supply availability projections assumed current Wholesale Customer demand
forecasts. The SFPUC will provide an appendix to their UWMP with water supply availability
projections using a Wholesale Customer demand of 184 MGD, the amount the SFPUC is
contractually obligated to provide. Projected supply shortfalls are slightly greater using
contractual demands.
Given the City’s forecasted water demand and projections of water supply availability provided
by the SFPUC, the City anticipates the need to implement water use reductions of nearly 50% in
the first dry year post Bay Delta Plan implementation. Table 3 shows the projected necessary
water use reductions for a five-year drought beginning in 2021.
Table 3: Five-year Drought Assessment
Year 2021 2022 2023 2024 2025
Palo Alto Demand 10,565 10,776 10,982 11,182 11,287
Cutback 0.0% 0.0% 43.6% 43.6% 49.0%
Available Supply 10,565 10,776 6,194 6,306 5,759
Similar levels of water use reductions are anticipated for future droughts lasting multiple years.
Table 4 shows the needed anticipated reduction levels.
2 See Council meeting minutes: https://www.cityofpaloalto.org/civicax/filebank/documents/66831
City of Palo Alto Page 7
Table 4: Cutbacks in Future Multiple Dry Years
AFY 2025 2030 2035 2040 2045
First Year 36.1% 36.3% 36.5% 36.5% 45.5%
Second Year 45.2% 45.4% 45.6% 45.6% 45.5%
Third Year 45.2% 45.4% 45.6% 45.6% 45.5%
Fourth Year 45.2% 45.4% 45.6% 52.0% 53.7%
Fifth Year 45.2% 45.4% 50.1% 52.0% 53.7%
6. Water Shortage Contingency Planning
During the most recent drought, the City was able to reduce water use by 31% by restricting
landscape irrigation to two times per week as well as a number of other measures. The City’s
proposed Water Shortage Contingency Plan (WSCP) includes actions to achieve water use
reductions above 40% and above 50%, but the City does not have actual experience in
implementing such drastic measures. With each progressive stage, enforcement, rate
strategies, and water use restrictions will be increased while putting in place mitigation
measures to maintain the health of the City’s tree canopy.
Table 5: Summary of Proposed Water Shortage Contingency Plan
Stage I Stage II Stage III Stage IV Stage V Stage VI
Target Water
Savings Up to 10% 10% -20% 20% -30% 30% - 40% 40%- 50% Above 50%
Information
Outreach
and Audit
Program
Low level
outreach
Increase advertising, social media
campaigns and direct communication with
customers targeting highest users and
increasing water use auditing
Escalate
outreach
efforts and
media
campaign
with focus on
water use
prioritization
Highest
outreach
effort level
with focus
on health
and safety
Demand-Side
Management
Programs
Continuation
of existing
programs,
evaluation of
new programs
Augment programs and incentive levels as necessary to achieve
reduction targets
Rate
Structures
Standard
rates already
encourage
conservation
Drought rate structures may be
implemented to secure needed revenue
Water allocations or
allotments may be
implemented
City of Palo Alto Page 8
Stage I Stage II Stage III Stage IV Stage V Stage VI
Water Use
Restrictions
Only
permanent
water use
ordinance –
no new
restrictions
apply
Water use restrictions become more severe with each stage and
enforcement is enacted more strongly with each stage. With each stage,
efforts made to ensure tree canopy is protected as much as possible.
Recycled
Water Use
Business as
usual use
Water use restrictions require use of recycled water for specific
purposes, advertise availability of recycled water for trucked delivery,
use recycled water for City facilities and street trees as much as
possible.
Short-term emergency water needs will be met with the City’s groundwater wells and storage
system which was recently renovated. The system was designed to provide adequate fire
protection following a disaster such as a major earthquake. Groundwater may also be available
during drought periods although pumping restrictions may be in place, and the City’s wells are
currently restricted to 1,500 AFY, 5 consecutive days of pumping, and 15 days of pumping per
year. Expanded groundwater utilization as a drought supply and as a long-term supply will be
considered as part of the One Water Plan.
RESOURCE IMPACT
Adoption of the 2020 UWMP does not have an associated resource impact. Actions to execute
this plan will require allocation of resources, especially should implementation of contingency
planning be necessary.
COMMUNITY ENGAGEMENT
An UWMP webpage (www.cityofpaloalto.org/UWMP) was created to educate the public about
the UWMP process, provide outreach for public meetings and opportunities to participate, as
well as to make available background materials on the City’s urban water ma nagement
planning activities. Public participation notices were sent by the City in compliance with Water
Code 10621(b), 10620(d)(2), and 10642.
COMMISSION REVIEW
The 2020 UWMP was presented to the UAC at its May 12, 2021 meeting. The Commissioners
asked questions about and discussed projected water demands and the supply reliability
projections under drought scenarios. The UAC voted unanimously (7-0) to recommend Council
adopt the draft UWMP and WSCP.
www.cityofpaloalto.org/UWM
P
City of Palo Alto Page 9
ENVIRONMENTAL IMPACT
Adoption of the 2020 Urban Water Management Plan and the Water Shortage Contingency
Plan does not constitute a project under the California Environmental Quality Act’s (CEQA)
under Water Code Section 10652, and no environmental assessment is necessary.
Attachments:
Attachment A: Resolution Adopting the 2020 Urban Water Management Plan
Attachment B: Resolution Adopting the Water Shortage Contingency Plan
NOT YET APPROVED*
1
6055503
Resolution No. XXXX
Resolution of the Council of the City of Palo Alto Adopting the 2020
Urban Water Management Plan to be Submitted to the California Department
of Water Resources
R E C I T A L S
A. The California Legislature has enacted the Urban Water Management
Planning Act, California Water Code Sections 10610 -10656 and 10608, as amended, which
requires every urban water supplier providing water to more than 3,000 customers or supplying
more than 3,000 acre -feet of water annually to prepare an urban water management plan
Plan") that has as its primary objective the conservation and efficient use of water.
B. The City of Palo Alto ("City"), a municipal utility and chartered city, is an
urban water supplier providing water to a population over 60,000.
C. The Plan must be reviewed at least once every five years by the City, which
must amend the Plan, as necessary, after it has conducted a review.
D. The preparation of the updated Plan has been coordinated with other
public agencies to the extent practicable, and staff has encouraged the active involvement of
diverse social, cultural and economic sectors of the population within the City's retail water
service area during preparation of the Plan.
E. The Plan must be adopted by July 1, 2021, after it is first made available for
public inspection and a public hearing is noticed and held, and it must be filed with the California
Department of Water Resources within thirty days of adoption.
F. After reviewing a draft Plan at their May 12, 2021 meeting, the Utilities
Advisory Commission recommended that the Council adopt the Plan as presented; and
G. A noticed public hearing on the draft Plan was held by the City Council on
June 7, 2021, at which time public comments were heard and considered.
NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows:
SECTION 1. The Council hereby adopts the 2020 Urban Water Management Plan of the
City of Palo Alto, which shall be filed with the City Clerk. The City Manager is hereby authorized
and directed to file the 2020 Urban Water Management Plan of the City of Palo Alto with the
California Department of Water Resources and the State Library.
NOT YET APPROVED*
2
6055503
SECTION 2. The Council finds and determines that, under the California Water Code
Section 10652, the adoption of the Plan and the WSCP and this resolution does not constitute a
project under the California Environmental Quality Act, and no environmental assessment is
required.
INTRODUCED AND PASSED: June X, 2021
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
City Attorney or designee City Manager
Director of Utilities
Director of Administrative Services
NOT YET APPROVED*
1
6055504
Resolution No. XXXX
Resolution of the Council of the City of Palo Alto Adopting the 2020 Water
Shortage Contingency Plan Included in the Urban Water Management Plan to be
Submitted to the California Department of Water Resources
R E C I T A L S
A. The California Legislature has enacted the Urban Water Management
Planning Act, California Water Code Sections 10610 -10656 and 10608, as amended, which
requires every urban water supplier providing water to more than 3,000 customers or supplying
more than 3,000 acre -feet of water annually to prepare an urban water management plan
UWMP") that has as its primary objective the conservation and efficient use of water.
B. The California Water Code requires urban water suppliers to prepare a
Water Shortage Contingency Plan (WSCP) to be included in its UWMP.
C. The WSCP must be adopted, along with the UWMP, by July 1, 2021, after it
is first made available for public inspection and a public hearing is noticed and held, and it must
be filed with the California Department of Water Resources within thirty days of adoption.
D. After reviewing a draft WSCP, which is included in the UWMP, at their May
12, 2021 meeting, the Utilities Advisory Commission recommended that the Council adopt the
WSCP as presented; and
E. A noticed public hearing on the WSCP, included in the UWMP, was held by
the City Council on June 7, 2021, at which time public comments were heard and considered.
NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows:
SECTION 1. The Council hereby adopts the 2020 Water Shortage Contingency Plan of the
City of Palo Alto, included in its UWMP, which shall be filed with the City Clerk. The City Manager is
hereby authorized and directed to file the 2020 Water Shortage Contingency Plan of the City of
Palo Alto, included in the UWMP, with the California Department of Water Resources and the
State Library.
NOT YET APPROVED*
2
6055504
SECTION 2. The Council finds and determines that, under the California Water Code
Section 10652, the adoption of the Plan and the WSCP and this resolution does not constitute a
project under the California Environmental Quality Act, and no environmental assessment is
required.
INTRODUCED AND PASSED: June X, 2021
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
City Attorney or designee City Manager
Director of Utilities
Director of Administrative Services