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HomeMy WebLinkAbout0124.092January 16, 1991 THE HONORABLE CITY COUNCIL Palo Alto, Cali~ornia Urban Water Shortage contingency plan Members of ~he Council: Report ill Brier 5 Attached is a copy of the Urban Water Shortage Contingency Plal', and an amendment to the 1990 Urban water Management Plan. Toqether. the plans contain all the components that Assembly Bill 11 re.quires. utilities Advisory COmmissi~n Action The utilities Advisory Co~i$sion discussed the Urban Water contingency P~an at their January 8, 1992 meeting. They voted unanimously to approve the plan after making minor cnanges. No public comment was received at the meeting~ Background: Asse~ly Bill 11 (signed by Governor Wilson on October ~3, 1991} requires water utilities, including Palo Alto, to prepare a contingency plan for water shortages and a~end their Urban water Mana9~ent Plan ~ith its inclusion~ Adopted plans must he filed by January 31, 1992, ~ith th~ State Department of Water Resources~ Thereafter. the plans must be revie~ed and updated on the same schedule as the Urban Water Management Plan --at least once every five years~ Failure to submit the amendment results in being ineligible to receive State drought assistance~ Plans must be outlined for various levels of water supply shortage up to a 50 percent reduction in water supply. ~ctions to ~e outlined under each sta9~ of shortage must include: l} water waste and water use ordinances~ 2) rate structures and/or consumption limits: and 3) penalties or excess use charges. In addition, the plan must contain a discussion of impacts on revenues and expenditur~s and a mechanism to determine actual redUctions while in a water shortage situatio~. CK11:124,92 '~-7"··'-~"-"J·~;"'''L'''-''''''JII··,":--- j~?~~;1; .. c ,~~~~~ ,_:7i'~~_~l~7J-~" - - The plan contair.s a review of the actions taken since the cu?rent drought began in 1987. Palo Alto has signific~nt experience in the implem~ntation plans to meet emergency ~ater shortages. It is this experience which gives staff confidence in selecting hetween potential actions to meet varying levels of water use reduction require~ents. Water shortage mitigation options are discussed, including supply-and d.esand-side alternatives which can b<e pursu.ed in the short term. This section also contains a discussion of various rate structure alternatives and their apprQpriateness to various levels of watsr supply shortage. Palo Alto 1 s Plan The plan identifies actions to be undertaken for increa~inqly severe stages of a w'ater supply shortage. Actions fall under the categories of informational outreach and audit programs, water usa restrictions, incentive rate $tructure6~ incentive programs. and any supply-side actions. Finally, administrative details are discussed including a qene.l'al description of a revenue plan, the appeals process f enforcement of allocation li~its. procedures to monitor demand, and coordination with other agencies. The plan prepared by Palo Alto describes four stages of ~ater shortage. Stage I (5-10% supply redu.ction) calls tor a low level of informational outreach and enforcement of the permanent ~ater use ordinances. The standard inverted rate structure will be used l which calls for increasing per unit prices as consumptio~ increases~ Outreach efforts will be increased in stage II (10-20%) and addi~ional wuter use restrictions will be adcpted. A separate racte schedule for single-family residential cust01."'ierS "Would be established -with all other customers' rates relative to the -Baseline Cons~ption Allowance~, an estimate of indoGr water use needs. The prj ces for higher cons'.lrnption blocks ,",'ill increase at a higher rate than in Stage 1. Stage III (20-35%) calls for increased outreach activities. additional emergency water use restrictions and a tightening of the rate blocks for all custo~ers. ~llocations of water for each customer will be introduced in stage IV (35-50%). Informational outreach activities ... 'ould operate at a very nigh level, and very limiting 'Water use restrictio;15 wO'.Jld be adopted and enfor-ced. The draft plan contains a list of available documents in the form of end notes for Section 2 (see page 8 of the plan). All of CI<R:1H :92 . these docUlIlents are available for your review in the Utilities En~rgy Planning offices on the third floor of City Hall. Especially interesting is the staff report (CMR:228:91) prepared in response to the severe reduction request (3 nominal 45% reduction) from the San Francisco water Department. Although this plan wa~ not adopted or implemented , this staff report included a lenqthy and thorough CHScLlssior of many alternative drought ~esponse plan components. Palo Alto has been through the drought response planning process many times in recent year~ ano has honed its rEspcn~e. The plans presented in the Urban Water Shortage Contingency Plan are the result o£ that successful experience for stages I, II, and III of a water shortage, A plan for stage IV has been prepared; as ~ell {see s-t,aff report cited. above). ~commeDr5 .. tio:p staff ~ecommends that Cou~cil approve the attached Resolution ad~pting the Urban Water Shortage contingency Plan which has incorporated the utilities Advisory Commission's changes, thereby amending th~ 1990 Urban Water Management Plan lII'ith its additior,. The City Council has the authority to enact water use restrictions on an emergency basis as ~arranted. In the event of a water shortage, actual rate structures, the rates themselves and other components of a water management plan ""ill be brought to Council tor approval once the actual details of a water shortage are known. Respectfully submitted, i ,1',1;;/"" / /t~, 'J ___ , ~/....,4'_. 'VJll'-(,! ( lINE RAl'CHY E ' Power Engineer/Resource Planner rf/;-j " "" /. d--.. ;,,' ,/J-<-<"":? r: RjrCHARD L. YOUNG / -,' :" Director of Utilities ~~ Assistant City Manager ... - R£SOL.VrICN NO. RESGU;TrON OF THE C0CHCI L OF' THE CITY OF PALO ALTO AMENDING THE CITY OF PP-ooLQ AI.TO 199G "CP.BAN lo>.'ATER MANAGEMEWl.' PLAN TO INCLUDE AN UR.EAN WATER SHORTAGE CONT1NGENCY PLM!~ A.."1D DlRECTING THE FILING )o..N'D IMPLEMENTATION THER.EO? WHEREAS 1 the Urba.n ~iltE!r .Man~g<?lTIent PI anning Act, Water Code section 10610 , et ~ .• req-<.lire3 every urban supplier of ...... ater providing zr,orl2 than 3, 000 cust-omers or s~pplying more than 3, 000 acre feet of · ... 'ater annually, to prep,H"';; an Crban I\'ater ManageI:lent Plan ("Plan!'), t.he priTllary iu:'.cticn ct whi<..::h is to describe and evaluate reascnable and practical efficient •• rater uses and conservation activities: a~d WHER£;'.S, the city is 3.'"l urban ' .. ,later supplier serving .... at.er directly to customers a!"ld L., 1990 revie-... 'ed its 1985 Plan and circulated for public revi-e-", proposed ar.,e.'"J-:hner,ts to the Plan, and a prr:>perly notice-d publ ic he.~rL'"lg regarding Plan amendments ..... ·as held by the City Ccuncil on FebnJ.a.ry 25, 19·J:..; anc! WREFEAS, in 1991, the legisla"t.ure enacted amend~ents to the Urban water Manage::1ent Pl3.r1ni.ng Act (A.B. No. 11; Stats. 1991, c~ 13x) which reql..! ire preparation of an "Urban Water Shortage. Contingency Plan'l as a further arnendr::ent to the ci t:t' s Urba.n ~'ater Management Plan; and WHEREAS, the urban jo,~at:er Shortage Ce,ntingency Plan must be prepal"'"ed, adopted and submitted to the Department of Water Resources on or before J·3.rJuary 31, 1992, if the city is to remajn eligible Tor state drought assistance~ and WHEREAS, on January 21, 1992, a prDperly noticed public hearing regarding the l;rban Water Shortage Contin9-ency Plan ""as held by the City Council pursuant to Water Code se.::::tion l0642~ and "-"HEREAS, the City CCl..::.,:il has dete!:·Tni::-~ed, pursuan~ ..;0 .. rater Code section 350~ et §.§.Q., that a ... ·ater shGrt~ge emergency currently Exists in Palo Alto, and there e:.-:ists an ongoing possibility that water shortages will recur periodically; and w'HEREAS, the Cit~~ Council has deter~i.r.ed "that the public health and safety will be impaired if the ongoing availability of &tate drought assistance is terminated due tc failure to enact an Urban water Shortage Cor-;t.ingency Plan+ NOW/ THEREFORE, the Co·uncil of the City of Palo l>_lto does RESOLVE as follo'w·s: SECTION 1. The Urban Water Shorta<;:re contingency plan is hereby adopted as an amendnent to the 1990 urban Water Mdnage~ent Plan. 1 • t SECTTON 2. directed to file the Resources by January The ci 1.1' Plan. l.I i th 31, 1932. Ma.nager is he::-eby au.thor izp.d and th~ california Department of water SECTION -~. The city Manager-is hereby authorized to cause implementation of the Urbarl Water l"!anagentent Plan, as amended, provided 1'.owever 'Chat the y,'ater Management Programs identified in Section 7 of the Plan ...... il1 no":. be implemer:ted unless the City receives reasonable assurar.ce. from the San Francisco "l'Jate:::, Department that the City's future water allocations will not be adversely affect"€o. ~EC~l~Q,~. The Council finds that, p~r5uant to Water Code section 1C652, adoption of the Plan is not sll~ject to the Califor­ nia Envircnl'r'.ental QC13 1 i ty Act.. INTRODUCED k~D PASSED: AYES: ll'OES: ABSTEN'rrONS: ABSENT: ATTEST: APPROVED: City Clerk Mayor APPROVED AS TO FOHM: city Attorne-y------ Director of Utilities 2 ._-_._: ---"."" j I i I I I EXCER~IlL!!1.~ 07 HE trrlr~ITt'EB ADVISORY COKMIS8IruL-..KEETING Ol'-"~""N!Y 8. 1992 Chairperson Fred Eyerly callea the council Conference Room, California. L Roll Call the meeting to {lrder ~t 7:30 p.m. in 250 Hamilton Avenue, Palo Alto, PRESENT: Eyerly, Chandler, Crims~ld, Hoffner, Vejtasa ABSENT: None Water Management continqency Plan MO'lIOII: Commissioner Chandler moved, seconded by CO!!U'l1issioner Hoffner, that the utilities Advisory commission recommend that city Council :approve and adopt the Urban water Shortage contingency plarl and amend. the 1990 Urban Water Manaqement Plan by adding the amendment to it in conformity with AS 1]. commissioner Chandler was open to amen~ents. The statement about it not being cooperative [fr-om a regional viewpoint] to buy addi t:ional 'Water resources [indepen.dently] should be discussed ~ If it was not difficult, it should be considered an option. Mr. Young said as a member of the Bay Area Water Users (BAWJ), Palo Alto was one of a core group of users in the regicn. If Palo Alto unilaterally put into its document its intention of going into the ma~ketplace and buying up available water I it would be visw~d poorly among the group~ commissioner Vejtasa said because of Palo Alto's reliance on San Francisco water and the potential ~ith s~rwO, the better use of Palo Alto's resources should be considered. Mr. Young said Palo Alto ~ould be able to use water whiCh rather than being put to use as r~claimed is presently being put into the Bay tt~rough the Water Quality Control Plant (WQCP), which ~ould be a win/win situaticn. Commissioner Grimsrud said how much quantity could be reclaimed for agricultural use at a reasonable cost should be investigated. Mr. Young said the study thl.lS far had indicated the cost 'Would be high but could be amortized since it logically 'Would be largely facilities costs. • .~: commissioner Grimsrud said in the long-te~ he was interested in the possibility of paying the agricultural sector or opening the market, liKe in the electric utiliti, to allow them to receive marxet rates for the water ~hich ~ould be a tr2mendous h~lp for them. H~. Young said that was essentially what happened with the state water bank when the price was at the right level. commissioner Grimsrud said many in the community .. ere damaging their lawns, etc. at a consideracle cost and he thought at some point people would hegin to pay a high~r cost for water to offset the loss t~ their Y3rds. Mr. Young said staff vas at an exploratory process to find where the C:t"ossover point might be, but recognized supply problems were the principal concern at this tim~. COllmlissioner Hoffner said there were a number of iss1.les not covered in the document, perhaps rightfully so. The actual rates, ho ..... much could be done with reclaimed ~ater, etc. ~ere issues which should not be addressed but the fact that the City ~as working on them should be included~ P.egarding the actual resolution, section 2 regarding the 30 days time; it should be changed to "on or before January 31, 1992 w which would coincide with the direction by the City Manager to have the plan implemented by the due date. Ms. Ratchye said the COllUllissioners had an old version of the resoluti-::>n, as she had just received an updated version from the City Attorney's Office. The date January 20 'Was changed to January 21 ~ Also, in the sixth "Whereas" wording 'Was changed~ AKEHDKEllT: Chairperson Eyerly asked Commissioner Chandler to amend his motion as to the short-term basis on the water purchases from other suppliers on page 12 of the amendment. Commissioner Chandler said the city was obligated to their O'Nn citizens to find water aupplies. He suggested the language: ~In addition, 'While it is not consistent with the goal of 'Working togeth~r in a regional ..... ater shortage situation for Pale Alto to uni]ate~ally negotiate an arrangement to purchase additional ~ater for itseLf on a short-term basis, we should ..... ork. cooperatively to help develop a ~ater marketplace which could provide for additional supplies of water to the region." MAKER AlID SECONDER AGREED TO INCORPORATE TilE AMENDKENT IN TilE HAIN M~IOIf. MorION PASSED, 5-0. ~: 9:10 to 9:22 p.m. UAC: 01/08/92 ~:;'.>,:,. :~;¥~~; • .- DRAFT CITY OF PALO ALTO URBAN WATER SHORTAGE CONTINGENCY PlAN DECEMBER 1991 AMENDMENT TO 1990 URBAN WATER MANAGEMENT PLAN Adopted By The City 01 Palo Alto City Council Resolution No. Janumy _,1992 PREPARED BY THE UTIUllES DEPARTMENT RESOURCE PLANNING DMSION UJI.'DER 1HE DIRECTION OF RICHARD YOUNG, DIREcrOR OF UTILITIES Primed on Recycled Paper URBAN WATER SHORTAGE CONTINGENCY PlAN TABLE OF CONTENTS 1. EXECUTIVE SUMMARY ..................................... . Purpose .......•..•............................ , ............. . Background ........................................... , . .. . ... 1 Conclusions .... ~ ............ _ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 1 2. DROUGHT EXPERIENCE .....•................................. 3 1987 Water Management Plan ..................................... 3 1988·1989 Water Management Plan ............ '" .............. , ... 4 1989-1990 Water Management Plan ...........•.....•......... ' ..... 4 199(}'1991 Water Managemen! Plan ...• , ..... , ..... ' ................ 5 1991-1992 Water Management Plan ................................. 6 Summary of Drought Actions Taken 1987 Througb 1991 ................. 7 3. SUPPLY SITVATlON AND WATER REDUCTION TRIGGERING LEVELS ,. 9 4. WATER SHORTAGE MITIGATION OPTIONS ....................... 11 Increase Supply ......•....•................................... 11 City Wells Rec1ai.rned Water Water Purchases from Other Suppliers Reduce Demand .............................................. 12 Information Outreach Customer Water Use Audit Programs Aggres.sive Incentive Programs ln~ntive Rate Structures and Water Allotment Pians Water Use Restrictions • • TABLE OF CONTE!'<"TS 5. ACTION STAGES .........•............•...................... 19 Stag. I: Minimum, 5% to 10% Reduc'jon Request ..•................. 19 Stag. U: Moderate, 10% to 20% Reduction Request ................. ,. 20 Stage ill: Severe, 20% to 35% Mandatory Reduction .................. 21 Stage IV: Critical. 35% to 5()% Mandatory Reduction ... , ••............ 22 6. RATIONING PIAN ADMINISTRATION ..........•.... , ........... 24 Appeals ........................................... , ......... 24 Enforcement of Allocation Limits ................................. 24 Monitoring Demand ........••...........•..............•...... 24 Coordination with Other Agencies ................................. 24 Plan Adoption . . . . . • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 25 Revenue Plan ................................................ 25 APPENDICES AppendU A Text of Legislation: AB 11 Appendix B Criteria to Evaluate Water Shortage Response Plan Appendix C Water Use Restrictions Appendix D Resolution Adopting Plan Appendix E Draft Ordin.ance Figure I Figure U Figure ill Figure IV UST OF FIGURES (all figures follow page 8) Annual City of Palo Alto Water Consumption Sin<e July 1973 Monthly City of Palo Alto Water Consumption Since Rationing Began In 1988 Relative to tbe SFWD Allocation Annual Water Use by Customer CIa.; Since Fiscal Year 1986-87 Annual Water Use by Customer Class Relative to 1987 Water Use • ""-w 1111 .-, 1. EXECUTIVE SUMMARY PURPOSE On October 13, 1991, Governor Wilson signed Assembly Bill II (ABll) into law. This bill requires 'Water utilities, including Palo Alto, to am~nd their Urban V/ater Management Plam 10 include an utban wate~ &hortage contlngel1~ plan. Adopted plans must be Submitted to the State Department of Water Resources by January 31, 1992. Thereafter, these contingency plans must be updated and amended as part of the Urban Water Management Plan at least once every five years. ABU requires that plans be made for a water supply reduction of up to 50 percenL Stages of actions taken for each level of supply reduction must include: 1) water waste and water use ordinarlccs; 2) rate structures and/or consumption limits; 3) penalties or excess us-e charges; and 4) impacts on revenues and expenditures. Palo Alto's Urban Water Shortage Contingency Plan and the 1990 update to the Urban Water Management Plan oontain an of the r-equired e1'ernents of ABll. BACKGROUND Palo Alto has experience in the creation of drought plans due to the five years of the current drought. However, those plans were always CTeated [n response to water supply shortages of the major .;"ppJiers 10 the City. This plan goes beyond what had already been developed by addressing a wider range of situations which could arise and detailing strategies to meet increasingly severe stages of water supply shortage. CONCWSIONS Palo Alto does. not currently proouce any of iL~ mvn water supplies, but is dependent upon its suppliers. Palo Alto's prima.ry supplier is the San Francisco Water Department (SFWD). The SFWD is the only supplier in normal years. The City wells are maintained in standby cond;tion for use In emergencies and to supplement SFWD's supplies if needed. The coiJnty's groundwater is managed by !be Santa Gara Valley Water District (SCVWO) who exact a pump tax for all wate, produced by the wells. A key element to dcveloprng water shortage cuntinger.cy pia.ns for Palo Alto is close coordwation and cooperation \\ith il'i, water suppliers. Utilities Depanment staff regularly attend meetings with its suppliers and the other agencies supplied 1 • , by them. It h criticcJ to develop a .coheren: and coordinated regional response to walc:r shortages in order to provide a consistent message to c ... .istomers, Short-tenn options for increasing water supplies in times of water supply shorta£es are very limited. Trucked delivery or reclaimed wastewater for some uses Ls one option. yet quantities are likely to be insignificant. If the percentage reduction requested from the SFWD and SCVWD is identical, the wells win not increase available supplies for Palo Alto. Therefore, Palo AitO~5 priIr.aI) response to wlter supply shortages wil! be to reduce demand. Palo AlIO" Urban Water Shortage Contingency Plan de>::ribes the response at four water supply shortage stages.. Stage [ (5% to 10% supply reduction) calls for a low level of informational outreach and enforcement of the permanent water use ordinances. In Stage II (10% to 20%) there will be a stepp<d up outreach offon and the adoption of some additional water use resuictions. In addition, a separate rate schedule for single·fami!) residential customers would be established. For all other cm.lomers, rate scbedules would be relative to a "Basellne Consumption AIlowance~ which is an estimate of the indoor water use requirement far each customer. Stage ill (20% to 35%) caIls for increased outreach activities, additional emergency water use restrictions and a tightening of the rateblocks for all customers. Rates in each block would increase from tb~...e in Stage II Stage IV (35% to 50%) requiTe. very close management of the aVallable water supplies. Allocations of water for each cu.'stomer will be introduced. Informational outreach activities would be operating at a very high level Very limiting water use restrictions would be adopted and enforced. 1bis plan aIso addresses detalls of the water 5:honage contingency plan adminiMration. 2 ", . " - 2. DROUGHT EXPERIENCE 1987-1991 A!. outlined in the 1990 Urban Water Management Plan, our pri:nary supplier is the San Francisco Water Department (SFWD) while the Santa Clara Valley Water District (SCVWD) is a secondary supplier througb our groundwater wells. Since 1987, the C:ty of Palo Alto has gained valuable experience in the creation and administration of water management plans to meet drought-time water shortages. A very important part of that experience is the communication and coordination witb our W'dter suppliers. This experience has shown the importance of dose cooperation with OUf suppliers to facilitate the quick and coordina!ed response that an unpredictable water supply shortage situation demands Much of this com..rnunication and coordination is done through QUi active participation in the San Francisco Bay Area Water Users Association (BAWUA). The SFWD commu"J<ates on a regular basis with BA WTJA and contingency plaru are coordinated as early as possibl~ as the water supply situation develops. In addition. staff regularly attends meetings of the SCVWD water retailers. Ta coordinate the in!ernal response of the City to a water Shortage emergency, the Water Management Committee was fanned in 1987. Committee members represent all appropriate City Divisions. -Parks, Facilities Maintenance, Planning, the RWQCP. and Utilities Customer Service and Billing. Energy Services. Energy Planning, and Ra~es. This committee continues to be an effective way to COII'JDunicate with ail City Department.;, and the City Council about water management plans. 1987 WATER MANAGEMENT PlAN In January and February 1987. the SFWD informed its retaDers, including Palo Alto, that precipitation and sno'lollpack was below DOrn:.a1 and that a call fur water use reductions was anticipated "in case of a second dry \I,rinter in 1987--88"1. By May. 1987. the SFW]) had formally ;equested a voluntary 10% cutback from 1986 usage.' At the end of 1987. the users en the SFWD's system had not been able ta achie ... e this level of conservation. In fact, systemwide cOIl5umption had increased 6.5% from 1986. However, Palo Alto achieved a reduction of 1% in 1987 ,=o~p2!'ed t'J 1986. Pal" Alto's 1987·1988 Water Managen,ent Pian' consisted of daily monitoring of the City's water cODSumption, small scale public information activities (bill stuffers, response cards for further water !>aving infarrnation. phone coverage, etc), and responses to specific customer conservation assistance requests, 3 'C$?' - ,.--' 1988-lJI89 WATER MANAGEMENT PLAN Early 1988 brought mar. new,; from the SFWD indicating 1hlt water usage reduaions wen~ likely:' Vt'ben snow survey results were. completed in April, a nominaJ 25% mandatary reduction plan was established. Reductions were calanated on a "10/61)" {onnula whereby allotments for each retaller consi,ted of 9Q% of "indoor" use (defined as the average for January, February, March, and December) and 40% of 'outdoor" use,' 1987 was used as the "base year'. For Palo Alto. this translated into about a 2.3% reduction. In addLtion., the SF'\VD adopted a 15% wboJesa1e rate increase including charges for ucess usage above allocation. Palo AltO's 1988 Waler Management Plan' ioeluded iocreasing public outreach activities (bill sruffe", icentification of large use", water saving technology and practices "orkshop>, a major expansion of educational Ulerature holdings, and new me<lia advertising), the use of the City wells, and an emphasis on conservation at City--owued facilities. Additionru measures were considered by \he City CouncIl' including water use ordinances and a water ratiorting plan. The water rationing plan was similar 10 that adopted by the SFWD. except for the use of 1986, instead of 1987, as the base year. 1986 was used in order 10 protect custome" who were already oonserving in 1987. The plan consisted of monthly allocations determined by a formula providing 9()% of 1986 indoor water consumption and 50% of outdoor water consumption. In additio~ a "minimum allotment" was established so as not to penalize historically conserving customers. It was unnece~ to implement the ratIoning: plan because Palo Alto customers voluntarily con...~rved enougb to meet the SFWD targets. However~ tl::~ recommended water use ordinances were adopted as emergency restrictions. Unusually boary rains in the spring oi 1989 prompted Loe SFWD to call an end 10 its rationing program.·~ Therefore. w.c:.ter aIiocat[ons were effective only in the July 1980 through Ma)' 1989 billing periods, Palo AltO achieved a nl % reduction overall and a 27.4% reduction in Sl-"'WD Y'ater rons\.'mption compared to 1981 consumption for Lie period when rationing was effective. Tnerefore the wells provided for 8% of the overall reduction and oonserv.tion provided for 19%. Palo Alto ended the rationing period having paid no excess use charges and with a small 'bank" of saved water. The waste~prohlbiting emergency water use ordinance was convened to a permanent ordinance. 4 - 1989-1990 WATER MANAGEMENT PLAN No consumption reduction was requested by the SF\VD in this fiscal yea; although a commodity rate jncre~~ of 33.4% was adopted. However, drougbt contingency plans were prepared by a BA WUA comntittee. A low·k:ey volunta."Y water conservatjon av.veness program was continued (without any target leveL,,). Palo Alto's consumption was 16% below 1087 usage for fiscal year 1989-90. 1990-1991 WATER MANAGEMENT PLAN In January 1990, the SFWD informed the City of Palo Alto and the other w!JOlesale customers of dry (anditions and warned of the potential of rationing requirements if conditions did not improve du ring the remainder of the we t season. BA WAU again prepared contingency plans., induding alternative rationing guidelines and watC-r use restrictions. in close C"Jmmunicatlon 'With the SFWD. Since the water supply situation did not improve. a systemwide reduction target of 25% was adopted' by the SF\vD. As in 1988, the '10/60" indoorjaU!door formula was used, resulting in a 28% reduction target for paro Aho. In addition., • rate increase of 27.5% was adopted. Palo Alto adopted a water management plan 10 designed to meet the SFVlD's :equired cutback. The plan did not anticipate use of the wens, but instead aimed to achieve the necessary SFWD reduction er!tirely through conservatiol"_ The: three.point plan consi.st~d of expanding the water use ordinances.. adopting mandatory drought Tate schedules, and expanding the public information campaign. A majcr component of the 1990 Watu Management Plan wal\j the water allocation method adopted. The plan (onsislcd of an i.nverted rate structure with price penalties for excessive usage-in combinatioll with a low priced baseline allowance intended to meet minimum usage rcqulrements. For single-family residential customers. the first rateblock provided fur 85% of the 1987 indoor water use for an average customer and served as the winter use target. The second rate block provided for 50% of the average customer"s outdoor needs serving as the summer use target 111ree additional rate blocks had escalating prices designed to especially encourage conservation and ~o recover any SF\VD penalties incurred. The rate schedule adopted fur other customer classes was sinular in structure to the sing1e-Canu1y residential rate schedUle but was designed to accommodate the significant differences in commercial and industrial customer water use needs. Each customer received a "Baseline Consumption Allowance" (BCA) tailored to 5 II -I .. -'.--.. ._-• - its operation based on an estimate of indoor water use needs. This BCA amount drives the customer's rate schedule since rateblocks are based on !he BCA with prices increasing with multiples of the BCA. PaiD Alto achieved an ""erall reduction of 30.4% from 1987 ... ith the weJls pmvidinj; an additional 12% so that consumption of SFWD water was 31.5% below 1987. Therefore, PrJo Alto prUd SFWD no e"cess use cha.rges and was able to ~ank" ,,-a!er to carry fOiward to the next year. 1991-1992 WATER MANAGEMENT PLAN 1991 marked the fifth consecutive dry year for the SF\\lD, The situation appeared drastic enough that 45% system'.Vide rationing was adopted effective in April 199111. Rationing was dODe according to a "33/90'" formula requiring indoor Uo'le 10 be cut 33% and outdoor use 90% from 1987 usage. For Palo Alto. this transJated to a 53.4% overall reduction. To meet this objective, Palo Alto proposed a water management plan incorporating four major components: 1) us..; of wells; 2) introduction of mandatory water rationing; 3) imposition of additional water use restrictions; and 4) increased promotion of conservation 5ervi ces t2. Wells were expected to provide 15% oC the reductioD and conservatioD the remaining 38% Cor the total requirement of 53%. The mandatory water rationing plan re<:ommended was a modified per capita plan which allocates a certain amount per household sufficient for three persons or fewer. Households over three people would obtain additional allocations on a per capita basis. After exceptionally heavy rains in March 1991, the SFWD rescinded its 45% plan and replaced it with a 25% plan which was essentially the same as the 1990-91 plan13• Again, for Palo Alto, the reduc60n target was 28% of 1987 usage". Pa10 Alto therefore modified its ~"3.ter management plan to rerum to the rate structures created in 1990. However. lhe charges were increased dramatk·ally for consumption in the upper rateblocks. [n addition, a maximum cap was introc!uced to prever.t customers from "buying their way Ollt of the drought". Exceeding the maximum cap results in the [nstallation of a flow res.trictor. Water use ordinances were aho modified and ""panded. For the period from July t.'rrough December 1991, Palo Alto bas been able to achieve a reducti"n of 34.9% compared to 1987 coDSumptior_ For all of 1991. the level of reduction is 36.7%. Therefore. the City is well below aJlotted amounts and is earning a sizable "bank.-to carry fOI"V¥3Id as insurance in the event that 1992 is aho • dry year, 6 ·L'·.··.···· . ..- • --_._--'----------., SUMMARY OF DROUGHT ACTIONS TAKEN 1987 THROUGH 1991 The chart below sullUllaJ'izes the actions take~ to meet tbe restlktions imposed for ~ach year of t..'!.e current drought Year 1987 SFWD SFWD Reduction Reduction Reque$ted Acl'Jeved 100/0 1% 88-89 26_8% 27.4% (7/88-5/89) 90-91 28% 91-92 28% 30.4% 36.7% (Joly-Dec) Actions Tlil<en smilj·S6l1e pl!bbc !rJormatlon camp31gn Use of City wells (contnbuted 8% reduction) Large-scaJe pub!k ()utrea.ch efforts Adoption of water use ordinances Standard inverted rate structure Use of City wells (contnbuted 1.2% redu.-tion) Increased public outreach efforts Adoption of additional water use ordinances Adoption of mandatory drougl'.t r.te scoedules inel uding: 1) intrvduclion of Baseline C<>nsumptioD Allowances (BCAs) for ail but single-farmly re~idential customers; 2) dramatically inclining block rates for all customers; and 3) setting of fir.')t tier as winter target, second and third tiers as summer target, and last two tiers as "above target~ for all l,.'Uslome ["S. No use of City wells Maintained high level of public outreach Adoption of expanded water use ordinances Modification of rates adopted in 90-91 induding: 1) introduction of a maximum cap which, if exceeded, result'io in t"'::Je installation of a fhw restrictor; ~Id 2) dramatically expensive tail blocks. The figures on the foilowing pages illustrate PaJo Alto's consumption history. Figure I shows citywide con.<;.1..i.mption since l'.:.ly 1973. Figure n shows Palo Aho's total monthly consumption from both the SFWD and the wells since January 1987 relative to the n::onthly allocations from the SFVlD. Consumption in all cmtamer classes has declined signifiC2Dtly since 1987_ Figure ill shows the consumption of each ~tomer class since FY 86-87. Figure IV illustrates the water consumption for eacb customer class relative to its coruumption in 1987, the year SFWO used for the base year. 7 \', I j , i t • I r-' ~ , -" ---_. ,,----~- 1. February 24, 1987 letter from SfVD General ManageI: Co ["he City of Palo Alto. 2. May 26. 1987 letter from SFWO General MAnager to City of Pal~ Alto. 3. Tnts plan is outlined 1n ehe May 28, 1987 !lIem~rAndU!l! tc Ken DeD.ario, Assistant Utilities Director. from tha ~attr Management Committee. 4. :Karch 2a, 1938 letter frelD SFW"D ~eneral }t42-nager to Gicy of 1'.a10 Alto: -Even th6ugh 1988 may be ehe second very dry year, ~c do not anticipate a need to rattan .at.er. However, there may very well be a need, as in 1987. eo redu,=o>; consumptinn 10, in case of a chirj dry year in 1989.- S. The San Francisco Public Utilities Commission (SFPUC) unanimously adop~ed a 25, system-wide -rationing plan on April 28, 1988 which would begin levying. ?'!-r'l_slties for exceed!OlS allotments on July 1, 1988, 5. ."rer Shortage~n Plan Recompendation: CMR:285:8 dated May 2), 1985. 7. Yater Management Plan PrQResal: CMR:425:8 dated August 15, 1988. 8. On May 9, 1989, the SFPUC ~dopted Resolution 89-0142 declaring an end to the water shortage emErgency and the excess use charges. 9. On May 8, 1990, t:h~ SFPUC I.1nanf."!IQusly adopted t.he Manda_~..QS'y Rationing Program. 10. 119Q ,,'ater KanaS4iment Plan: CMR.:302:0 dated .Kay 10, 1990. 11. The SFPUC adopted the 45, reduction outlined in the Mandatory \.,'8tn Cgnservation Program on FebruAry 26, 1991. 12. Yater Status Upd.a te and D1 sellS 5 ion Dr Ii 1 t~rna.ti"e Dr-ough t Res-pons e P L""i: CHR:228:91 dated April 11, 1991. 13. The SFPUC aeopted the ~ater Cgns@rvation Program on April 23, 1991. 14. ~ou¢ht RespOnse Plan: CMR:292:91 dated May 23, 1991. 8 '-'~'~"'." .. "".""'."'. . . . "'··.~ ... ·'S'c:·.>; " " u '"-. ~ '-~ 3~ o ~ • o z o I I~ .. z ' 0' , : '. , , 0 0' t..:~ " : . • >..: :: CiTY OF P/~,l __ C) ,A,i 1"0 'vVi .. TER CO: J'3L,~',/~PT'()r'\ 80°1',1 -1 T. "./,', I, -[-'-1 . , i i 00°1 i /v ~~' .. I " \, i\{ I'! \ / I Ii I ,}\I ::: ~ irl I W \0 I \"'" i It :' "'II I I 1-' I .-L 'OOl'-! I I I ! !6(~ I, "j/ 200 J)., -I "~,I89 -+-:, ~ --:-;;.i;-, !-Joe" ,Jul BS Fig,",'~ oj IIIiII VSt-:-DF '.,'E:i '-C; .- _-L-_~,~_ ---- CH,A!'JGE IN "(I'" e II' oO:;r'GL[ rA.~.~Y • ,::. N':)USTi<IA .. VlATE~' St\L.ES '!?1 Cl"S~O~E:~ CLASS ---- --,-----r~-----,~,c;-,.~ I ::"':J 19S!! "lj~ 'e :', SiN(:;~:' :':"\oI:~'f t. IN["L''S'''~:'''L -.-._-- , I ! i I I J • ~ ..... , ..•. ,.:,.,. ---.. .. - . . --. - 3. SUPPLY SITUATION AND WATER REDUCTION TRIGGERING LEVELS / ..... "~~:" Except for a minor amount of reclaimed water developed, Palo Aito is primarily a wholesale water customer of the SFWD. An emergency or supplemental supply is our wells which are .'ioupplied through tbe groundwater recharge programs of SCYWO. Palo Alto Utilities staff "Nork closely with L"ese suppliers as each year's water supply situation develops. These suppliers stipulate conservation requeras based on the condition of their systems. They then communicate needed reductions to P.elo Alto and other wholesale customers based on their O'oAln trigger levels. The SFWD's and S(::VWO's trigger levels are outlined in their own Urban \Vater Shortage Contingency Plans. Therefore, Palo Alto·s water supply situation and trigger tevels are a reflection of the information provided by suppliers. Palo Alto then acts to meet the reduction targets imposed by its suppliers. FOT the SF'wD, trigger levels relate to a combination of 3.II!n:,mt of storage in their mountain and loca1 reservoirs, estimated snowpaek and runoff, and the availability of any other sources including purchases or transfers. Future plans to enhance supply reliability are being considered by the SFWD. These plans, if implemented, may result in access to diveT5e 50upply sources lessening the likelihood of the most ~vcre reductions ( more than. 35%) to be imposed. SCVWD e"aJuates the amount of water in storage in their local reservoirs, groundwater levels., and the expected recdpts from the State Water Project, the Central Valley Project, SFVv"D, and any other source relative to the total deMand of their wholesale customers. Reduction requests from suppliers range from 10% voluntary TJrograms to mandatory r~ductior..s of 25% or more. Sine..; Palo Alto m.tintain wells, it js possible for Palo Alto to comply ~ith a more severe reduction request from tr.e SFWD by drawing on its supplemental well supply. However, Palo Alto is also subject to overall supply reduction requests by SCVWD. If SCV~D called for the same reduction request as SFWD, the wells would not provide any additional water supplies. Although unlikely. ail or some of the welts could become contaminated, inoperative or fail to produce water which meets drinking water standards. Therefore, Palo Alto could potentially have to meet a severe SFWD n~ductioD request without rel)ing on the wells. This would be the worst case scenario for Palo Alto. The worst case scenario is prnislble in the next 12, 24. or 36 months. 9 The action stages descnbe~ in Chapter 5 discuss the City's plar'.5 to mee:t water sbortages of increasing s.c..;erirj. A.s required by AB1l, plans are designed t.o meet up to a 50% reduruon in total water supply. 10 4. WATER SHORTAGE MITIGATION OPTIONS INCREASE SUPPLY Palo Alto's options to increa...~ its supply are limited -at least in the short term. Palo Aito's lQoge-:-term alternatives are discur.sed L'l. the 1990 Update to tt.e Urban Water Management Plan. The SFWD is also considering long-term options to increase both the quantity and the reliability of its supplies for customers, including Palo Alto. Thi.'io 5ectJon discusses shc.rt term alternatives to increase supply in the event of a water supply snortag~. City W.U. The City could dig new wells to meet &n increa;ed :iemand for a water source alternative to water deliveries from the SFWD. However, this water l.s not a new or increased supp!y of water. [n general. this pooled supply of underground water which i."t managed by the SCVWD is in short supply at the same time as SFWD supply shortages. Therefore, this source can not a1ways be relied upon as an increased supply for Palo Alto during water supply .hortages. Reclaimed Water A master plan for reclaimed water is currently being completed which will guide the funrre development of that resource. It is possible to speed ~mplementation of reclaimed water delivery systems. but thts cannot be done in the months available to respond to a short-term water supply shortage. However, it is possible to require the use of reclaimed water for construction purposes and certain appropriate uses. Private comparues with ta...'1ker trucks can obtain permits to apply reclaimed water from the RWOCP. These companies can pick up reclaimed water and deliver it to customers who ",ill pay for this service. Pu'f11ic a"W'3Ieness could be enhanced by greater pubHdry of the availability of this alternative to cus(omers. In the short term, the City could rent tanker trucks and deIiver w<l.ler to save precious lands-caping. including City-{)wned trees whi<:h may cthePNise not survive an eJCtcnded, serious drought This tactic wO!Jld save trees and valuable landscaping, but not save significant amounts of water. Longer term aVaIlability of reclaimed water is dependent upon the outcome of the feasibility study currently underway. If feasible, reclaimed water could provide a significant and reliable source of water in water s.honag~5 and in normal years. 11 ., ....... • - ... --'~~' Water Purcbases t'rom Other SuppJiers Palo Alto could conceivably purcha..')(; water from a new supplier in an elCtreme water supply shortage situation. However, this would require agreement Vr.'lth the SF'tVD -and ·".rith ail other jurisdictiom. betweeo the source and Palo Alto -to transport this water. The SF¥lD has made purchases of water from various suppliers in times of water shortages. Palo Alto and all other BA \vuA members have received this wetter t.1'-..rough the SF\VD deU\o'e!')' systems. h is unlikely that Palo Alto could negotiate a better deal than the SFWD in these eJ.:treme!y complicated arrangements. In addition, while it is not cooslsteilt with a goal of working together tn a regional water shortage situation for Palo Alto to unilaterally negotiate an arrangement to purchase additional water for itself on a short-term basis, we should work cooperatively to hely develop a water marketplace which could pro .. ide for additional supplies of water for the !eg~on. REDUCE DEMAND The option to reduce demand has been considerably exercised Ln recent years in Palo Alto. Through a combffiation of information outreach programs, incentive rate structures, and water ll..~ restrictions, Palo Alto bas been abie to achieve substantial reductions in water use without mandatory rationing. Iuformation Outn!3ch Vv'hen customers are asked to reduce Lieir wafer consumption., they should be provided information on ways to achieve the reduct jon. Informational outreach efforts address this need by communicating to the customers how best to prioritize their water use needs and alternative ways to receive the same level of service whlle using less water. Infonnation and pubLic oufnacb programs include ~il1 stuffeL'i-, local prin! media campaigns, targeted mailings, workshops and demonstrations, factsheets on comen'a1ion technologies. and practices., on-~lte water audit<;, schoo!.s prcgrarns, working wi'[h product manufacturers and suppliers, and coo:dinatir:!g contests and special &lents. ]t is important to recognize and reward customer cooperation as well as to admonish waste with an outrear.h program. Customer Water Use Audil Programs Basically an infonnationa! servke, water audits provide all classes of customers with individualized, tallored. one-on-one analysis and recommendations. Audits can be enhiUlced by the delivery of relevant, action·oriented information, suppliers lists and even products for dire(:t iru.tallatioD. 12 .. ''-''-'~' . . '.' ..... -' . .,; . ~ - h· .. · '~.;" .. ,.;;" . .".~ ~-{ .. >~,.,: " ' .. : -, Aggressive Incenti\'e Programs In a persistent water shartae!, most customers v.111 take: the "quick and eas:\,," actions early on. More complex and expensive incentive programs would be needed to achieve additional re:;ults. Althoug..; i..!lcentive programs require time to develop and promote. they can result in significant water savings. Some incentive programs such as delivery of relatively inexpensive hardware (e.g. faucet aerators., showerheads) can offer Quick drought-time savi.ngs. Incentive Kale Siructures and Water Allotmeht Plans Pri~-ing is one of the most powerful tools that a utility can use to promote: it'> con.;e:rvation goals. Certain rat:: structures as well as water allotment plans can be developed to encourage conservation. Criteria to consider include those listed in Appendix S. These criteria have different weights depending on the water reduction goals. While each criterion relates to an irr.portant objective, certain criteria conflict 'With one anoL.ier. For exam;>1e, the ability to meet the "WB!er usage reduction" criterion is impacted by the "CDSt minimizing" criterio~ with respect to enforcement and administrative staffing costs. Similarly, the "equity" criterion may involve the use of individual hG'~orical data or square footage or census data wbich may be unavailab1e except at great expense. Thus any rate structure or water allotment pian can be viewed as a compromise between partly conflicting objectives in order to deal with the diversjt)' of \.\rater needs and consumption patterns by Palo Alto reside.nts and businesses. A discuss-ion of some alternative proposals folio'\4/S. Cus.tomty pass Target:;: Since OUT primary supplier has historically determined Palo Alto's allocation according to a fonnula based on inside and outside water consumption .. a reasonable strategy is to apply this same formula to !imit our customers' use levels. Alternately, the total percentage rc,duction target required of P<llo Aha 3 ... a whole can be p ... .,s.o;ed on to our customers without regard to the formula from which it was derived. It seems more prudent to utilize the formula to arrive at customer cla."s targets rather than apply t.'i.e same reduction percentage to each customer class. In this manner, customer cIa.."'S targets Mil mirror the required indoorjoutdonr water reduction goah. that exis.t for the city as a who1e. Howe\'er. it IIl2y be administratively burdensome and confusing to have a different rate schedule for each customer class. Experience has shown that separating class I (single-family residentiai) --whi.:h is more homogeneous than any other d~s - from classes 2-6 is generally the only dlStinction needed. 13 --- - Allocations Based on Percentaee of P&t lIse Plans which base a rustomet's allounent on a percentage of past LOse are sometimes perceived as fair a..,d ea.,"Y to administer. However, these plans h:.lve three significant Shortcomings. First, selection oC a base year is problematic. Since Palo AltO bas promoted conservation since 1987, allotments would ha .... e to be based on 1986 in order Dot to penalize cu3tomers who complied with the conservation requests. nus leads to the second problera. Each year tbe turno .... er of new accounts is approximately 20 to 3Q percent (mostly multi-family residents). In addition, many businesses have changed their practices to some extent in six years. Therefore, to .... this plan in 1992 and beyond would mean that a large percentage of water customers would have an allotment based on a previous occupant's usage. a previous operation,. or some alternative method. HandliOlg the large volume of such cases C4n create administrative difficulties and perceptions of inequities as revised or new alloo.:ations are assigned to these customers. The third major flaw in the "percent of pa..~t use" concept is that, regardless of base year selected, historically conservation-minded customers may feel penaIized. Equal Allotment for Each Home (for sinEle-family residential) This plan would set an identical allotment for each home designed to meet the target reduction for the class. The Erst tier in the rate structure would be set at this target amount. The second tier would be a "buffer" tier designed to accommodate seasonal water needs. The third and Ia.~t tjer would be a penalty rateblock prioed considerably higber than the fint two tien;. Since all homes would be treated the same, this plan suggests equity and fairness.. In addition it would be inexpensive to adminisfer. and easy to understand and implement However. it would 1>< perceived as u!lfair by relatively large families or those with large loIS. Under this plan, hardship exemptions would be lim.it~d to those who require more waier for health or safety reasons. No additional allovwances would be provided for the number of persons living !.n the household nOi the T andscaping requirements of the p~rt!culaT size lot. Enforcement of this plan would im'o1ve contacting all those customers ~xceeding the allotment and installing a flow restri(.tor on those customers who continue to eJlceed the aliutment beyond a 2 month peliO<!. 14 • i I .; . . .. ':J I ' i I ! I [. , , ,. I I I i Conceptually. the rate structure feiee"ed to above would be as rollo~'S: Rateblock o to target target to ta!get + buffer Over target + buffer Mode;ate Price (MP) 2 times MP 2-5 times MP This plan is probably most appropriate: for moderate water shortage reduction requirements where a target could be seLected that was adequate to meet the needs of almost all households. Complete Per Capita N1Qtmept Plan (for s[n~le-farnJlv Ter;idemiai) Under this plan each person would be allotted a certain amount of water per month. In addition, each household would be allotted a certain amount of water per month for other essential needs including a base minimum amount for outdoor watering of shrubs and trees. Per capita infonnation would be based on information supplied by tlle customers through a special mailing. The strengtll of this plan is that it would probably be more ac'Ceptable to the community than the equal allotment per household plan because it takes into accoun1 the relationship betv.·een water usage and the number of persons living in a household. Its weaknes.~s are higher administrative costs associated with processing per capita data (14,900 single-family accounts) and verification of per capiLl information. If the per capita allotment were 2 units/month and the additional allotment 1 unit per month, a conceptual rate structure would be as follows: Rateblock 1 No. of Moderate Price Rateblock 2 Rateblock 3 fm= _iMEL_ 2 timts MP LlQtime;s~ I o to 3 units 4 10 4 + buner over 4 + buffer 2 o to 5 units 6 to 5 + buffer over 6 + Duff:::r 3 a to 7 units 8 to 8 + buffer over 8 + buffer 4 o to 9 unil, 10 to 10+ buffer m·er lO+buffer and so 03 ... This plan is probably most appropriate for the most severe water shortage situations where water must be allocated very tightly and in the most equitable manner possible. 15 .t!W,W1...f~ita A11olID..e.nt Plan (for single.family resideIl1iaU Under this plan each hOU5ehold would receive an allotment which would 'be sufficient tal families of a default size. For households O\o'.er that Stu, an additional amount would be allotted per moath for the number of p<;ople ovu the default size. Tb.is plan is easier to adrr.ini5ter than a coI!1plete per capita plan since the number of data entries is significantly reduced. A=ding to • reaDtly completed survey, of tile 14,9(l() single-family residential accoun-:s, 7,800 accounts have households of one or two persoIlS 3ild 9,900 accounts have households of three ?erroru. or fewer. Therefore, if the default size was three persons, only 5,000 acrounts would need addiu<lnal allotments. Thus the plan bas the a..m-anrage of reduced implementation cost and io; administratively more feasible than the complete per capita allotment The pian'S weakness is its lack of detail or fine tuning for householw under the defauTt s[ze which may be per«:ived as unfalr by larger households. A conceptual rate structure for a default household size of three and an allotment of 2 units/month/capita is as follows: Rateblock 1 No. of Mooerate Price Rateblock 2 Rateblock 3 ~ iMP) z...tim~ 5 • 10 times MP 1 o to 6 units 6 to 6 + buffer over 6+ btLffer 2 o to 6 units 6 to 6+ buffer over 6+ buffer 3 o to 6 units 6 to 6+ buffer over 6 + buffer 4 010 8 units 9 to 9 + buffer over 9 + buffer 5 o to 10 units 11 to II + buffer over 11 + buffer 6 o to 12 units 12 to 12 + buffer over 12 + buffer and so 00. •• This p1an is probably most appl0priate in a relatively severe water shortage situatioil where dose 3ccounting of water consumption is required. MandatDry Water Rationing PI3ns Applicable to Multi-Famil.., Accounts Business. and City Departments Due to the lack of homogeneIty of the:.e customer clas&es, It is particularly diffiC\llt to construct rationing plans that meet all the. criteria listed in Appendix B. In 1990, Palo Alto introduced Baseline Consumption Ali()wanoes (BCAs) for ~tomer classes 2 • 6 (multi·family residential, commercial. industrial, institutional, and city facilities, respecti, ely). The BCA is intended to represent the indoor con."mmption of each customer. Sinc-e these BCAs have been 16 • eS'.ablished and refined for eacb customer, future drought rate structures win likely use this information. It is important for any allocation plan to take into account the specific needs of these customer cIa<;ses because of the diversity and unique requirements of these customers. Tbe BCA does wis. Rate structures using the BCAs can be C(lmtru~Led 3.-;' appropriate to meet the reduction 'L.argets required and to provlde the economic im:entive necessary to prompt action by these customers. For example, if the reduction target is; rnoeerate, a conceptual rate structure might be represented as follows: RatebJock o to.9 X BCA .9 X BCA to 1.25 X BCA 1.25 X BCA to 2 X BCA Over 2 X BCA Moderate Price (MP) 2 times MP 3 times MP 4·6 times MP Note that the 9Qt;~& of indoor usage is at the lowest price and usage above that is increasingly expoensive. The targets and the associated rateblock prices could be changed ,as the reduction requirement changes. For example, if very little outside watering could be accommodated and 20% cuts in inside water use was required, a resualng rate structure might bo a, follows: Rateh:ock o to.8 X BCA _8 X BCA to 1.0 X BCA Over 1 X BCA 'Water Use Restrictions Moderate Price (MP) 3 times MP 5-10 Ilmes MP Adopting water use restrictions is another way to manage how customer:; use a limited resource, Restrictions can be cla'isified as those preventing water waste, those '"setting a tone'", and those which prohlbit ~ow priority use in times of severe shortages. Again. close coordination with our suppliers is necessary. One of the considerations for selecting which water use restriction o~dinances to adopt is what our sllppber!" recommend for the region. Both the SFWD and SCVWD pravide recommendations and Palo Alto \!will attempt to folloow' those recommendations so that area\l,oide consistency is achieved. 17 Tne ability to enforce them is also a critical vMi.able in tile ~jection of water usc regulations. For restri(tions to be credible and obeyed) they must be enforced. Therdore certain res:trktions, such as limits on indoor uses such as showeri:lg. are unacceptable. Appendix: C lists water use restrictions which Palo Alto currently has in place pe=ently and th",e which could be adopted on an emergency b"-Sis in times of water shortage. 18 • . . / - 5. ACTION STAGES Actions to be taken in re.',pGnse to a water shortage obviously are relative to the severity of t.l).e shortage, The staged responses de~nd to some extent upon the local conditio!15 and the length of time that (."'JS!omers ha"e had to focus !.heir attention on the water sho:tage. For each stage below, activity le ..... els in se .... eral key areas are descnoed. Note that the reduction targets referred to below use 1987 as a b~-.e year, If the base year wer~ to cbange, the programs may require modification. In all stage~ action will be wen to ensure Cit)' facility water use i~ reduced by the appropriate amount. Some factors which influence the effectiveness of any water management plan ipclude: 1) the customer's behavior and perception of the need to COrI .. "erve; 2) weather variables; 3) the ;ength of the drought; 4) tae cu~tomer's economic situation; 5) the exteilt to w!:lkh the UttIity achieves iL~ revenue: targets; 6) the percer.tage of e;::emptions or variances granted; 7) the role of the media; 3Ild 8) the C"LlStOmers acceptance of the need for the program. Oue lesson learned from the current drought is that the longer the water shor!~_ge, tbe greater the water reducdor. achie .. 'ahle. This is likely due to a combination of factors including: 1) acknowledgement that the situation is serious since it seems to be lasting; 2) realization that saving lawns or other relatively unimportant landscaping is futile; 3) time for more people to get the message; 4) increasing availability of cunservation de~..r.ce5 in locaJ stores; 5) increastng examples of successful water cOrISeJ')-ation method~: and 6) more sophisticated response from the City as experience is gained. Therefore, there is a need for some flexibility in selecting the exact s.trategy to be used to respond to a particular water shortage situation. Even with the same reduction target, the strategy in the first year of a drought would be different than that recommended for an additional year of a long running drought. It ts very important early in a drought period to determine outJea('h messages and policy directions using a longer term perspective. In this way, communications \\-ith C'J5tomers throughout the drought venud will be consistent and appropriate. STAGE I: MINIMUM WATER SHORTAGE (5% TO 10% TARG}'T WATER SAVINGS) Inrormation Outreaeh and Audit Programs The Uulities Department provides ongoing informational outreach aIld audit programs. At this water shortage stage, the focus of these programs would be more on water sa,v;ng information. A low level media information campaign 19 ... ~-'-...,,-~--. ',--- would be embarked upon with the emphasis on vigilance in reducing~. As water COi1S(llI1ption is mor.dtored. the level of emphasi5 would be adjusted in order to meet tl:e goa!. Water Use R.estrktiou.1ii Palo Alto has pemlanent ordinances in place which prohibit the waste of wate'. These ordinances are 5ufficiellt for this stage of water shortage. Enforcement would be on an "as reported~ basis and mostly via reminder notices. (See Appendix c.) Rale SIruc:1 u ... No speciaJ drought rate structure is needed at this water shortage stage. Palo Alto's standard rate structure already encouragr;s conservation by hz."ing low flxed charges and increzsing block rates based on water consumption. STAGE II: MODERATE WATER SHORTAGE (10% TO 20% TARGET WATER SAVINGS) Palo Alto was able to achieve this level of water reduction (19.1%) when rationing was imposed by the SFWD for 1988·89. The program llied at iliat tim. is basically the onc outlined below. Information Outrach and Audit Program 5 The frequency of advertising and events comprising the information campaign would be increased. Audit availabWty would be more h .. >uy advertised and staff assigned to meet the increased demand. Water kits, wiili low-cost devices. will be available to customers. Water Use Restrictions The City would be more vigilant in enforcing the \A'ater use restrictions including the hiring of "Gush Busters" to patrol the city and identify customers who are not in compliance. A system of warning citations leading to possibie installation of a flow restrictor would be followed. A small number of emergency water use rostrictions woul d be added, (See Appendix C.) Incenti\l~ Rate Structure The City would establish separate rate schedules for single· family residential and a.ll other ctlstomers and increase the price difference ber.ween lower and higher consumption tiers. For all other than single-family residential customers. the 20 ""''''~.'.' .. ''''''' .. ~ : I ~·I rl " ; i 1 I I I consumption tiers would be based OD the Baseline Consumption . .6Jlowance (Bel.) concept des('Tibed in Chapter 3. Thes.e changes would underscore the need to conserve and provide an economic in(entlve to back up The ol>treach efforts. STAGE ill: SEVERE WATER SHORTAGE (20% TO 35% TARGJIT WATER SAVINGS) This level of water savings was achieved in 199()"91. The succes.sful p.ograrn consisted of the following rnaj or components. Information Outreach and Audit Programs AU activities from Stage II would continue at es.calated lcvel'i. In addition. empbasis would be put on targeted outreach to high water users and special categories of water users (car washes., restaurants, etc.), Water Use Restrictions Additional ~e:nc:,gency" water illte restrictions would be added to the e:cisting permanent ordinances. The amount of s[aff time dedi.-:ated to enforcement would be increased. (See Appendix C) Incentive Rate Siructure Since Palo Alta has been able to achieve this level at rt ..... uction with the 1991- 1992 Water Management Plan, the basic concepts used in thai plan are appropd3te iu this water shonage stage. This plan does Dot include customer allocations. Instead, inverted rates can provide the incenti\'e to achieve the desrred result ... along with the extensive information outreach effort. As in Stage [L rate schedules would be separate for single-family residential customers aa"'ld all others. Rateblocks would be structured to fit whatever formula OUT supplier indicated wa.<;. the basts of the overall wat:r usage reduction requirement Price signal'io within the rate structure would sene to alen the customer of their target. For other than single-family residential customers, the rate schedule would relate to the BCAs assigned to each customer. Prices for each of the rate tiers would increase at a greater rate than in Stage II in order to provide an incentive and rate signal. In addition,. the tiers themselves would decrea.<>e in sile providing for l..'UStorner targets reflective of the increased reduction requirement. For single­ family residential customers, a maximum usage cap of 50 CCF Jmontb per household would be introduced. 21 ._-- - The exact rates and rateblock..~ would be established upon receipt of the actual infonnation from the SFWD regarding both the reduction requirement and applicable peruilties and based on the utility's overall re\'enue requirements. Furthermore, a hardship exemption process would be a component of this plan. STAGE IV: CRITICAL WATER SHORTAGE (35% TO SO% TARGET WATER SAVINGS) A program to meet this level of water us',! reduction has not yet bee n implemented in Palo Alto. However, in the spring of 1991, the SFWD adopted a program calling for reductions in this range. Although ultimately replaced wit..~ a le~ restrictive program, Palo Alto discussed what actions would be taken to illeet the critical reduction targets. The program below outlines the maJor compm::ents or the plan 10 meet such a target loCorrnation Outreach and Audil Programs All activities from Stage III would continue at further escabted levels. A greater focus \\Iill be placed on survival strategies and prioritization assistance for aU customer classes. Water Use RestrictioDS Very limiting '"emergency" water use restriction.<., mF.ny of which will supersede previous ones, will be added. Enforcement will be more rigorous L"l terms of hours or enforcement, number of staff irr·mlved, and the speed wi th which penalti .. are applied. (See Appendix C.) Incentive Rate Structure At tllis level of redu ction, an allotment method ~"Ould be coIt.<o;ldered for each customer. The allotments would be sufficient for the most criticaL high priority w.es. of water aild the availabilitv of water fur ou!..:!ide use would be dramatica11v reduced. As in Stage IIL. rate ~hedules would be !Oeparate for si:lgle-fanuly ~ residential and all ot1'.er customer classes. A hardship exemption process would be • oomponent of this plan. The various types of allotment methods are discussed in Chapter 3. Weighing the advantages and disadvantages of each method, the default p<r capita method for single·family residential customers is recommended for this stage. The default famtly size would be established after ;ecelving actual reduction requirements from our ruppliers. lor relatively lesser reduction requirements., the default size may be 4 persoru 50 that only households with 5 or more would require an exemption (approximately 1700 households in Palo Alto) If the default needed 22 -.-"'~'" ..... '" ".J.<. ',-" :~, I I I I i to!>e 3> persons per household. the approximately 4700 hOI!5e-hoids '",ith more than 3 people would require exemption. For reduction requests on the high sice of the 35% to 50% Stage IV range, a default size of 2 may be necessary requiring about 7300 households to re<::eive an exemption. This is still significantiy fewer than the number of data entries required (14,900) for a romplete per capita plan. For other customer classes, the size of the rateblocks would decrease frum Stage III as appropriate to meet the reduction goal. An allocation for each customer would be based on some fraction of Lie BCA. This fraction would be del ermined after receiving the actual reduction requirements from our sllppllers. Incentive Programs Depending on what programs have been implemented prior to this stage, a selected number of indoor cOt"aServation incentives will be offered. These may include rebates for and/or gi\'e~aways of showerbead.o;, loilet modifications or retrofits, process water use modifications a:..d :..Ise of redaim(';d water. Redoimed Water Use Reclaimed water offers an alternative source of wal<:r to those customers with valuable landscaping. The availability of contractors who can haul recl~med water will be z.dvertised. In addition. the City ~ill rent tanker truck.s to irrigate valuable City landscaping and street trees whkh will undoubtedly be stressed by a long-term drought, the likely precursor to this stage of a water shortage. 2J • ~_ i . , '. 6. RATIONING PLAN ADMINISTRATION Appeals The appeais and exemption proces~s must be detailed while designing a water shoMage plan. It will aJw.ys be necessary to bave procedures to allow for exceptional or unforeseen situation..c;, bardship, and health and safety exemptions. Consistency in granting: appeals must ~ maintained. More severe reducti on requirements inevitably lead to morc appeals. The retort. to ensure a f3 tr. expedited process, staff and resource:i assigned to appeals processing mmt increase wben drought severity increases. Enforcement of AJlocation Limits level of enforcement relates to the level of water shortage to some extent. TIle more severe the water shonagc , the greater amoun: of staff and dollar resources are put towards enforcement The basic philosophy of enforcement will be th-::..t customers are entitled to be warned at least twice that their usage is exceeding allowed limits. If warnings do not result in a drop in use, and offers of follow-up 3S.fiiista.llce (e.g. a~Jdits) are Dot a("co:pted, a flow restrictor will be irutalled on th e customer's wate:-lme. The prke ~nalty for exccs.')i\'e usage will apply imr.::lediately~ howe ..... er, \\Iithout any individual advance warn.:ng. MonitOring Demond It is not sufficient to await receipt of the bill from our supplier to compare consumption with allocations. Since 1987, tile demand of tile City has been monitored on a daily basis. This allows adjustments to be made, if warranted. in level of water shortage plan promotion. Also, a valuable component of the pun1ic outreach carnpaign is keeping customers appri~d of how the City as a whole i~ doing, Coordination witb Other Agencleos Obviously, an important component of water shortage implementation is coordination with other agencies. Maintaining as much consistency as possible across jurisdictional boundaries is important for smooth plan implementation and sharing of media coverage. Joint activities can also improve 'he economies of scale 'Nith many outreach programs. Multj·agency coordination is one of the trickiest aspects of drought management since it depends on tIle cooperation of many parties not under Palo Alto's control. However, the City will continue to take a lead role in promoting information shadng between agencies. 24 r t '- The City's suppliers were consulte-d while this document was prepared. Information which was made availablr.: wa. ... used to de ..... elop the pian. It:s essentia1 that coordination with suppliers be maintained as water supply information develops each y~ar. PI"" Adoption 1b.is Urban Water Shortage Contifl_gency Plan was prepared during November and December 1991. The plan was adopted by the City Co,ncil and subsequently :svbmitted to the State Depar.ment of Water Resources. A property noticed public bearing was beld at the City CC:lllCll meeting of January __ , 1991. Cop;e; of the draft plan were available for public review in City offices and all branches of the Public Llbrary. The Resolution a:dopting the Urban Wat~r Shortage Contingen(.)' Plan is fOiJnG in Appendix E. Appendix F contains an ordinance which amends the City's municipal code by adding emergency water use restrictions in the event of a water sbortage. Revenue Plan Impact on Expenditures Water utility expenditures can be generally categorized as fued or .... ariable expenses. Tne variable costs are almost entirely related to the COSts of purchasing the water. Since Palo ArlO does not need to treat or pump the water, there are no variable energy or chemical treatment costs. Deta11ed expenditure estimates for this cr;tical item, cost of purchased ',\I'ater, is unav<&llable at the time that this document was prepared. Vw'hen estimates ar.;: provided by the SF\\'D, an evaluation will be made as to the impact on the water utility revenue requirement. As consumption falls, the fixed ex:pep.ses must be spread over fewer units sold which can trigger a rate bcrease (see bela",,). In addition, cost') for the informational outreach programs during a w~ter shortage increase, Estimates for those costs are relatively smaIl for voluntary programs -$25,000 for Stage I and S45,0Cl0 for Stage n. For mandatory programs, enforcement and advertising efforts are escalated and the (;o-sts rise. E."tirnate5 are Sl00,OOO for Stage ]11 and U50,OOO for Stage IV. The net effect is an increase in the expenses per unit Impact on Revenues From a utility perspective, there is often a downside to water con.~ervation -the erosion of saJes revenue. As consumers reduce their usage in response to the drought, the utility will experience a decline in sales. This decline in sales 25 -- ,._. revenue..-ill neces5aJ.i1y be greater than the associa!ed dedin~ in \-"ariabll! expenses. The im?8ct of this sales erosion on revenueS. can be mitigated to some extent with an increase in rates. A preferable approach might be to draw llpon the utIlity's cash reserves if lhey are sufficient., to cover the finandal obligations of the utility. One approach to establishing a reserve for this purpose is to earmark penalt)-surcharges jevenue (applicable ror usage above aBotment or target levels) as a f..lOding source for trois reserve. Other options L.1.dude short term borro'll'ing or financing long·tenn capital project5 through revenue bonds rather than through current rates. In tllis manner, !he rate revenue which 'WaS earmarked for tile capital project can then be applied towardli oft5etting othe!" utility expenses. This has the short term effect of relieving the pressur<:: to raise rates" EOich of these approaches has its advantages and disadvantages, The appropriate response depends upoa the specific circumstances facing the utility at that moment and other factors. 26 . - .' . [. APPENDIX .I. TEXT OF LEGISLATION: ASSEMBLY BILL 11 , .' ! ! ! o · ;. "1\ II -2_ CHAPTER __ _ An act 10 amend S('ctions HH)20, 1062J, 106,11. and JVfi52 (If, lind 10 I\dd Section IOt,56 10, Ihl~ WutN Code, minting IO\VIIIN 1./,(;/O;/,ATln: (:ot'\,<;f;L'f\ 11I(;['sr AB II, Filnnte, Urlml1 waiN mHlltlgemr.nt plttns. (1) (':J(istillg Iii\\, rt'quirt's f'verr mbull \Yuter SUppliN sen i11~ wlltcr oirt"ctly to cu~t(llll('f~ tn, not 1(ltN than Dpcembl'r J1, 1985, pr(>(/M(' Itnd adupt Hn tlrbllfl \\ alp, llIanug('ln(>ut plan. Existing luw uutiJoriz('s ItIl lIrt-lin WaiN suppllN indirectly prodding wuler to Cl.lstulhers to adopt llil urbiul water UJIIII,tgenH:'nt pilin ()r to participati> in mi.J(ln Woter fIIltllllp,<'IllC'nt planning, lhi;; bill \\'ould, imt('ud, ff:'quirl' ('\'{'ry urlMU wull'r sUPl'liN, whf'thN wryin!Z \nll('f (hr('ctl)· or indir(!cllr 10 ('u~t(}m('T5, In prppare und adopl all urhlln waiN IUnll1lgl'lllf'1l1 pilln, [lS pr('s('ribpd, (2) E,(lslin,L', IlIw rf'qllir~~~ the IIrhtiH \\'IIIN lIIanngl'llll'lIl plan to illdtldf' II prt's('filwd descrlptioll of \\ at"r supply (It-'fki'-'Il('i('~ 'rhi .. hill wuuld d .. lpl(' that proviswn und would r(l{JIIIf(' Ih<> urball wlIIl'r Illllllu,I!,Plllent pllln to illcllldt' .HI urh'lIl walpr shurtnp:t' ('(miingflllc), plUiI, Il.~ .~p{'dfied. The bill would n"'qtlirf' each urh'lI1 WJJter suppJi('r to ('oordiUfj[t' (hI" prl'pnrntiun of its urhull waiN !ihortage l'onting('nq plan with othf'f urban Wo.h'f suppliers IIlld ,Hlhli{' ag('nci{'~ in tlw aff'" to the {I}.tpnt I}TIlcticahle, The hill w[)ulfj r('(luirl' (·ltch Ur-b(lfl WatC'r supplif'f, l10t Jutor thilll J!.Inuar}' 31, 1992, to prepure, adopt, !.Iud submit to thl' j)c-parlnll"'nt of Water Hcsollrces all nmcndmf'nt 10 Its urban Witter-man!lgement plan which ,"('('Is th(' reqtlirclnenfs r('Jating to tht~ firl'pilralion of thf' urblln \voter :.horhlge contingm1ejl plltll. TIll"' hill would lTIukl' nn urhan wnter ~UppHN rhut dops Jlot suhmit tlJP Rtlil:'mhncnt by thi.l.t dale inf'ligihk' to rpl'f>i\ (' droll,l(hl H~'j"islan('", (rum the ';tftf(' until flil' urban WlIlt'r mllflflgement plnn is 'iubmittf~cl,;15 pr(l~{'Tlh('d, (3) E~isting low cXl~rnpl.~ the IHt"pawtlun /lilt! (» "'" ".,.,0:-' ., -7"/"'"~~'-"""""-• ____ _ -3~ All II adoplion of urban water management phlllS from the Co.\lifotnia Enviromnentlll Quality Act, ThiS bill would cxemp: the irnplemenhllion of urban Wlltet shortage c()nlingency plan!'! from that Hct. The bill WOtlltl provide thllt the e,l(emptlon provhlom do not f'xelllpt specified projects from the rcquir~til('nts of Ihat lid, TIl(' people of tlu. St;l/(> 1')[ Ollifornia da ennct liS (O!fOI',~: SECTI01'\ L S('Ctil)l1 10620 of the Water Codl~ j~ 1.I11J(!I1<icd to r{~IHI: 10620, (II) Ever), urban wnll'f slipplil'f shull prep,lre !.111ft udopt ,\11 Urbl~Jl WllIl'r 1'nlma~{'nH"ll:' phil in th,'" m<llllll.'r Sl't [orth :n Article J (commencing with Section 1f164(J) _ (b) Ever}' p('rson thut Iwcomes un urbilil waler supplier IIft"r Deceml){'r 31. 1984, shull adopt 1111 orb'ln wlifor manill!('tl\f~nt pbn within on(> yl'i\I' :jfter it has hl..'l'flJl\(' 1\11 urball W!lt!'r "llpplk'r, (c) An 1,lr!Ii\ll ""!ltN supplier indirec'-Iy provirling WI1!.{,r ''iililll not 1I1dudt' planning d('m('nl~ in its \\',III-'r I11,UlII~J/'Il1{'nl pl;lj) :IS provillcd in Artieh-. 2. (,olllllH'lH'iJ1~~ with S.:-ctioll W(;':}()j th:lt wOlild he applicahle In urlMn wilter "tlpplien or public 1I~('ndes dlr('ctl:,' pro\'idmg Wllti'r, or to th,~ir CU'itOIll<'rS, wlthollt I hi' t'!ln~{,llt of thn>;{' -'.UIJl'liers or public lI~tli1l'it''', (d) (1) All I1rb.\i1 \\'1I\pr ~llpplll'r 1I,,1~' ~ilti~r\' IllI' l'I'qtlir'-'II1f'nls of tillS !lilrt hy pllrlicipation in ;Ifl't\wid(>, r(',\!iuJlIII, w!lh'nhf'tl, or hluinwid,-, tlr/J .. m "-lIkr Ill,IIl'I)l.PHH·Il! pl.IIHllng ",11(.'1"(' thos(' plan~ will f('dm'p pr('!J,\nltioll ('(l .. t~ ilTld COlllrtbutt' to tlw IidIH'H'JnPlIl pf lOIlS('r\'iltion lind efflcit'lll \\'iltl'J' tlsP. (2) ";,lCh urb,lfl Witter <;U(Jphl'T slHlJl ('()I-,((Jin;lft' lilt' prl'ptl fat ion (If i I ~ lIrh',lII wall' r ,~Ilort UI!.(' l'Olltil1~t' Ill"-phlll with other urbllH \\'ttlpr "lIpplit'rs ilild puhlw :lv,Nwi('~ in II\(' lIIT'a, I" Ih<' t:>."\l"11I pru('ticllhle. /1') T)H' H.!,;", watpr r,uppJil'r mn .... prepilr(' Ihe pllin \\1111 it~ ')\\"II ~Iafr, by Cllllttilct. or in ('oop.'r;ltioll wilh "tllt'r ~O\('fIIITlI'I~I,li ~11!.{'nl'I{,'. SEC 2. Sce',inn IWi21 of til£' Watl~r Codt' i~ tlln/·uded (0 ,j~ 1111 f " r' I: (fi ",,'~,' , .'7' i' MJll -4- to ff"ad: 10021. {a) ElICh urban water supplier ~hiln, not later thun January 31, 1992, prepare, adopt, and submit to the d~pUftment an Ilm~ndment to its urban waiN roanag(!m~t'lt plan which meets thf! requiremonts of ~uhdjvjMon (e} of Sedl0n t063L (b) F;ach 1Jruur.. 'Water supplier shan periodicaUy r{'\,icw its pian at le'ij,t once every (jVf.~ YCMS, A(tcJ" the TCview, It shell make any amendments: Or chllnges: to its pilln whkh are inoicD-teo by the review, Amendments or­ ~hllf1gt'oS 1n 'it~ plan shalt be adopted "nrJ: filed in th~ tnann~r ~f'"t forth in Actide:l (cofllmencing with Sact"ion 1(640), SEC 3, S(':(!tioC! 10031 of the Wntcr-Cod~ is amenden trj read: 10(\.'31. A plsm shan do all of the following: {R} 'neludE" un estimo.te of past, current, ~nd proje:ctl:'d water 1)5~ and, to th~ (!](tent r~~of(h .ne Ilvnih\bl~> sel'!f{'gatf' thme lJS("S b~tw-P.i"n r~sidentia!, industrial, tommH('iaf, Rnd governmental uses. (bi ldenti.fy (,Qn~ervtltion mt'U!'OUfes curtf'ntly ~(ll)pt~d iHld bl.'ing pnsc\i{'('d, (<') Describe-alternative ('oJlwrvatiol) mell:mr~s, including. hut not limited to, consumer edvcRti.<:II1, metering, l.\'ater saving r:~ture$l1nd appii(m.::es, !QWI\ and gflrrien irrjgation techniques, nnd 10\ .. ' water V!i{" landscapiHg:. which wmdd improve fhe effldency of wjller usc with 1m ev,lluation of their C'os-t.s ~nd theit ('nvironmC'llbti [lOU Qthf"r significant imp«.ds, (d) Ptuvid(' .\ s~hcd\\'(' of lmfJl('m~rltlltion for l)t"Opo!;('_d adiOi{5 as 1l1dlcatcd by thoQ pll1t1. (c) Provide' I1n urban \vutE'T shorIng" ['ontill¢,cncy plntt whirh includes nll 1)( the foUowing l,lel'})(>ntt which ar(o wi-thin the uuthority of th<" urb{ln \\lalpr :wpp:licc: (1) Pa_"It, {'lIrrellt, rmd proje("ted water uS<" :md, ~o the ('x\cnt l'~<::ord~ nre lW\'oUab\e, j}. hr('akdown of thClSC USC":<;' nil I hr! hut;i<; of ff'gi<l(llltial singl(> f!ulIity, rt'SI(lf'llt-iul rnuh,flllHit .. , indu<;tril\l, comnWH~jl1t, F;(WNnJm'ntilL and rt,l{rkuhund mf!', (2) An {'.'tfimalt' of the lHinimum Wllt('l' ~t!pplr IIvailahl .... lit the ~'Ild of 12. 24, nnd 36-mlfnth .. , ~t'i"illning th~ () !11 1.'llI ........... ,~) •.. ; ............................ --.. ------.. ------.. .. ; -5-hE II W01S( ('ll~e wa.ter supply shcntages, (3) Stages of action to be l·.1tdertaken. by the urban wa.ter ~upvliel' in (espnn~ tQ water supply Jhortag('''!. including up tfl a 50 percent reduction in w.atM' supply. and lUI outHne of spedfic water supply tonditlQns. whi~h Ate upplil'abh: to each sljJ~e, (4} Mandahry pl'ovisioo:§ to-mduce waler USe which include prohibitions i,guimt !\p~H1e wast~ful practice!>, su'?h liS gutter flooding. jJ») Consumption hw1ts In the most rC$tril.'tivt' shtge!;. Each urban w~,tN supplier may USf.:'_ r.\ny type (1£ L'01l.nUnptiolllimil in its waiN shortage coutingeocy plftn thnt wovld reduce waler u~e-and lS a.ppro~ ,rjate for it$ ureR. Examples of com;uruption limits thilt IIJIlY b(! us-ed tnc1u<:il'.!, hut are no-t limited to, pcrcentagt" redl)('tions in w"h~r altotmt'nls, peT c:npita nl1ot'Rtium:, Ml incr~llsinR block rate schedl1l(~ for hl~h usnge of water wHh im:(~1\tiv~~ fOT conS('r\,ahQo, or wslrie:-tlotlo; On spet:\f;{C us~ ... (6) Pl'fllJitics or duugl!.'i for excessive tls(", 0) An linalysis of to(' imp"cts of the pl»n on fh{' rcv('nUi'-<; Imd e:tp(ondi\uH'S of lhc urlmn W~l\~r 5u[lpliN, IUl(\ propO:'lt~d meAsures to OVN('I)me tho!>£' imrad~, slll:h \lS the-d~vet()pment of rNNV~1\ and r8.\(' adjusht).C'nt.-.. (8) A draft water shorta~e ('(;fJtitlgency rt'solution nr <l\"(lin:wt'e to carry our the urb.m wah'r shutfagl~ ('ollHn~~n('y phm, - (9} A lnechanl!'ll1 for dt.~h~rminir~g actual h:,duchum-in WlltN me Jlur~Uilllt to the-urban wat('T Shdrf,1gt" (Onti\\~~tle.,. pilln. {f) To the edcnt f~;.\~ihk, dt.'~('ribf!: the method whl<'h wiH bf'" us(>d to f'~aIUl\tl" the I."f(ectiv(lrlt~Ss of f'drh \'I.)}}·\t'1\'Atlon lIIell"tUr(' implemented lw<!.pr the' plun. fA; DI~~cribc rh,' sti'PS which wou1d bt! flef'e.<.liury ((I impl('tnPut allY pwpO-'i(-,d ltdi~JflS iu tht~ ~lnn. SFL.4, S{'c\ion l065.2, of lhf' W"ter Col'll' i!i nml'ndf_,tl to r('\ul W(1o';2 Th(> Cntikltnl.ll EnviTQnm('n\llt Q\\~li.ly At:-t (O.'\'isJoll 13 (commenl'inn with Section 21UOO} of thl' Pubhe HeSoHH-'f'5 Code) dlJe>;; nut apply tl.l th(' pr('paratiol1 and i\dtlption of phm!. pursunnt to this part Qr o '" ,., .,...--..--.---------"~~- '1'?:< ..-'. ~-,.1i ,-" 1-Jf\:.!/hG " . ,v" "',,',;;:iiu',! I.,.,;,'·:;'~~ I,p_"~;~wr.", ". ,," '~,', i<t,1'~i\"""; \l;~l'l;' : j ,: ,", ,~,y .,-'. ' ,:' .,,',1 ;,," -"-';"" ' • , I I I i AS Il -5- to the implementatjon of subdivision {e) of Section 10631 Nothing in this part ~han be interpreted as exempting from the California EnvironmeC1t:J Quality Act any project that would significantly aHeet wate~ supplies for .fish and \o\.iJdhfe, or any project for Lf;).plementation of the plaJ1, other than projects i.mplementing subdi vision (e-) of Section l063L or any project for expanded or additional waler supplies, SEC 5. Section 1<l656 is added to the Water Code, to read: 1()6.56. An urban water supplier that doe,;;: nat submit an amendment to its urban. water ma. .. 1agement pJan pursuant to subdivision {a) of Section 10621 to the department by January 31,1992, is ineligjhle to receive drought a.ss4:tance from the state unhl the urban water management plan is sub:raitted pursuant to .,\rtide 3 (commencing .... 'th Section 1(640) of Chapter 3. Approved OC~.~,l99! • Go}-'ernor I , ---_ .. • . _-... _,-'----- OJ j 'i ! I " • >:, '- -.. , '. / '. APPENDIX B I I • CRITERIA TO EVALUATE WATER SHORTAGE RESPONSE PLAN , • j I 1. 2. 3. 4. 5. 6. APP£NDlX B CRITERIA TO EVALUATE WATER SHORTAGE RESPor,SE PLA." Reduce pverall Citym_ConSllnmtioQ by redllctiQD target r~ -u1is is the effective goal of arty plan. To accomprish this, goo.l the percentage reduction for the various customer classes will necessarily vary because their ratios of indoor/outdoor use varies. Sufficient water avaU;abJe for personal use -the most important use of water is for basic drinking, health, and sanitary uses, and therefore, this is given the highest priority of use. This prioritization will drive both rate schedules and water use restrictions. However. within allowed limits (i.e. ",later use restriction ordinances), customers wi..ll be able to choose how they use their allotment between indoor and outdoor uses. ~ -it is important for any plan to attempt to be fair to ail consumers of water by treating customers in s[nular circums,tances iD an equal manner. The :>Ian should not penalize those who have already been conserving significan~y. To a practical extent, additional water allotments should be made available ba...~d on the number of persons in a household. The varying need for water among businesses must Ix accommodated. A&c:gptance by the co~ • many people tend to evaluate or accept a particular water rationing plan in terms of how it would directly affect thenL It is this aspect which makes it difficult 10 gain a popular consensus on anyone plan. However, any plan must be generally accepted by the community to be successfuL One important aspect of acceptance is the public's understanding of the program; thus, it is viewed as important to make the plan as uncomplicated as possible. Minimize ynemployment Qr bll$iness loss· water is extensively u~d in both conur.ercial and indu.s.trial functions. If water is severely limited to these consumers, increa~d unemployment and business losses could result Staff intends that, wherever possible, this should be avoided. Still. outside water use must be sacrificed greatly if minimum indoor reductions are required. Landscaptne investment loss~ -in cases of critical or severe shonage of water, it is expected that significant landscaping losses may arise. The use of reclaimed water should be encouraged for certain appLications. In some (".ase~ using the PaJo Alto well system to augmer,t the SFWD supply will be an option to provide a minimum amount of water for lam:i5caping. In this case, the goal should he to keep valuable and mature trees and plantings alive. Shrubs and la~ns y,;ll be considered a lower priority. . ' " 7. ----_.-'. ProyisjQn [or hardShip exemptions -any pian 'Will not automattcally cover ail special hardship!: and exemptions~ therefore, a procedure must be included 10 address grieV"'d.Dces and grant exemptions 'Wben appropriate. However, as part of the plan, it should be pw.sible to estimate the likely "umber of valid exemptions to be requested An excessive need for exemptions is & sign that the orig1naJ plan needs modification. 8. Workable plan -in terms of having a plan actually accomplish its goal, it must be workable. This relates to the four are .. belo,," a Cost -the cost of any water plan to the puNk should be minimized. b. Enforcement -enforcement is viewed as a key component of any plan. Those plans r~q~ les..<, resources for enforcement would be prefeTabie. However, the success DC a plan is contingent upon effective enforcement and the utility must be provided tbe Te~Ujces to meet the enforcemen~ objective. The current staff can only absorb a certain level of additkmal responsibilities without ~'""li"easonab!y impacting service to the customer. c. The pIon must be practical and feasible from a data processing viewpoint and not subject to erroneous results due to incomplete or inaccurate data­ bases. A realistic timefI-.me must be allowed to perfDrm any necessary data entry Df customer programrr'Jng functions. 9. FleXlbiJjty -the water sbortage is a dynamic situatiol] and frl.1lY get better or worse. Thus, it is necessary that any plan be adaptable to changes in targets or adjustab~e if original expectations aren't being met. 10. CnnsiMeDt-'Y with other Bay districts -in the interest of effective dissemination oC public ir.iormation, it is important to have plans LI,at are basically consistent with plans in surrounding communities. 11. Al1owa.1ce for new se Mees -some provisi on must be made in any plan to se rve new establishmenl5 or tbose under construction. 12 Recover penalties applied_oW suppliers. revenue should be collected to the extent necessary to recover any penalties which may be charged by suppliers. -,- ~j , ' ( , APPENDIX C WATER USE RESTRICTIONS , '" , APPENDIX C WATER USE RESTRICTIONS 111is appendix discu.~s the current long·term wat'!.r use restrictior~'S and additional restrictions which could be applied during 2 water supply shortage situation. ExisElng Permanent Water Use Regulations 1" Flooding or runoff of potable water is prorubited" 2. A shut-off valve is required for hoses ll.."l.ed to wash vehicles, sidewalks, buildings, etc. 3. Potabl~ water for construction uses is prohibited if reclaimed water is availabie. 4. Braken or defective plumbing and irrigation systems must be repaired or repLaced within a re.asonable period. Additional Regulations for Emergency ,,"'ater Sbortage Situations Water U~e Restrictipnc;; added for WaleI:' ShQrta~e Sta~e II; 1. Landscape irrigation sball not be allowed between 10:00 vn. and 6:00 p"m", except for drip irrigation, soaker boses and hand watering. 2. Restaurants and other food service operations shall serve water to customer~ 0:11.\ upon request \Vater Use RestrictiQm added for Water Shona~e Stage In; All water use restrictions for Stage I1 above and the follov..ing: 1. Potable water other than when used from containers of five gallons or k)s, shill! not be used to ot1ean hard surfaced areas or building structures. 2. Potable water shall not be used to operat(, clean, fill or maintain levels in decorative fountains or ponds. 3. Newly constructed pooL" spas and hot tub;; may not be filled" 4. Signs providing notice of water shortage emergency shall be displaye<l in all public restrooms and restaurants, and in hote I guest rooms. 5. Outdoor water use audits required for those customers continuing to use more than target allotments for three months. · , i tj , , '....J 6. 7. B. 9. Com.."Ilcrcial car walihes must use !"ecyded water systems., if economically feasirie. V~rified wak:.r waste will serve as prima facie evidence that the allocatio:l assigned to the water account is exceS51ve and .iubjcct to reduction. The use oC potable water on golf cou~s is limited to putting greens and tees. The use of potable water for street ~'eepers/washers is prohibited. W?tt?[ Use Restrictions added for Water Shooage Sta~e IV' All water use restrictions for Stage 1II above and tbe following: 1. Indoor water use audits required for these customers continuing to use more than target allotments for three months. 2. No new water service hookups unless customer pays for sufficient conservation elsewru.re to offset anticipated waler use. 3. No new landscaping installed it new construction sii:es. Bonds to be posted fcr Jandscaping after wate-T shortage emergency is li!'ted. 4. Turf irrigation prolubited. 5. Owners/operators of private wells must adhere to the same water use restrictions as other residents and busines."" dependent upon the City's potable supply. 6. Once-through cooling syst<ms must ru. convened to re<yding systems. 7. The washing of all vehicles is prohibited outside of a conunerciil.! wao:;hing facillt) which recycles its w"tcr. B. Irrigatiou by sprinklers is prolubited at all times. -,' I , " APPENDIX 0 ~LUTIONADOPnNGPJAV ~-------'-----' ", RESOLt.1TION NO. RESOLUTION of THE COUN'CIL Of T-HE -CITY OF PALO ALTO AMENDING THE ClTY OF PALO ALTO 1990 URBAN WATER MANAGEY.ENT PLA.""l TO INCL'L'DE }u~ URBAN '-'iATER SHORTAGE CONTINGENCY PLAN, J',.'ND DIRECTlNG 'J'HE FILING AND IMPL$MENTATION THEREOF WHEREAS, the Urban Water Management Planning Act, W~ter Code se=tion ~0610, ~ ~., requires ev~ry urban supplier of vater providing more than 3, DOD customers or 5uFplying l1lore than 3, 000 acre feet of water annually, to prepare an Urban water Management Plan {IlPlan n ), the primary function of which is to describe and evaluate reasonable and practical efficient ~ater U$es and conservation ~ctivities; and WHEREAS, the City is an urban water supplier servi~9 water directly to customers and in 1990 revie .... 'cd its 1985 Pla~ and circulated for publ ic revie .... proposed amendments to the Plan, and a properly noticed publ ie he<:l;ring regarding Plan amendments 'Was hald by the City council on February 25, 1991; a~d WHEREAS, in 1991, the legislature enacted amendments to the Urban Water Management Planning Act (A.B. No. 11: Stats. 1991, C.13x) ·"..hich require preparation of an nUrban ","'ater Shortage Conting~ncy Plan" as a further amendment to the City's Urban Water Management Plan; and WHEREAS, the Urban water Shortage Contingency Plan must be prepared, adopted and submitted to the Department of Wate~ Resources on or before January ]1, 1992, if the City is to remain eligible for state drought assistance; and WHEREAS, on J,muary 21~ ]992, a properly noticed public hearing regarding the Urban Water Shortage Contingency Plan .... 'as held by the City Council pursuant to Wate~ Code section 10642; and WHEREAS, t.he cit:t Council has Q€'tenr.ined, pursuant to Water Code section 350, et §.§til., that a ' .. 'ater shortage emergency currently exists in Palo Alto, and there exists an ongoing possibility that water shortages ~ill recur periodically; and WHEREAS, the City council has determined that the public health and safety will be i~paired if the ongoing availability of state drought assistance is terrnina~ed due to failure to enact an Urban Water Shortage Contingency Plan. NOW, THEREFORE, the Council of the City of Palo Altc does RESOLVE as-follo'ws; SECTION 1. The Urban Water Shcrtage contingency Plan is hereby adopted as an amendment to the 1990 Urban Water Management Plan. SECT:::on 2. The cit:.: Ma."":a9E:r" is hs,:-·;!l:::1" authorized and directed to file t~e Plan ~ith the C~lifornia Deparc~ent of Water Resources by ~anudry 31, 1992 . .§_ECT~JN 3 ~ The City ~an~qf?r is her"eby al.lttlorized to cause implementatic:1. of the Vr::an Wate!';' !'tIIa:rlage::ler:t Pla:"'I .. as amended .. provided however that: the ;';a~er Ma.nagement P~:;grarr.s identj.fied in Sec't'.ion 7 of t::'e ?1·3.!". -,,;ill not t:e inp!e::'lent.ed unless the City receives reas..::nable ass:.J.ra:1ce from t!"i€ Sa...... Francisco Water Depart:nent tha= the City's future ... atE:.'r"" al.lc:cati~ns will not .be adversely affected. SECTION 4;.. The C:::a . .:r:r::il fi:;.cs that., pu..:-sua.:-.t to Water Codo:: section 10652, adoption of the Pla~ is net su~~ect to the Califor­ nia Environmenca,l Quality Ac~. AYES: NOES: ABSTENTIONS: ABSENT: ATTEST, APPROVED: City Clerk Mayor APPROVED AS TO FO&~: City-Attorney --------------D~ :rec::·:::r c: "t7til i t':es 2 • • APPENDIX E DRAFT QRDlNANCIl URBAN WArnR SHORTAGE C0N71NGENCY Pl.AN ORDINi\NCE NO. ORDINANCE OF THE COUNCIL OF T~E CITY OF PALO ALTO ~~ENDING CRAPTER 12.32 OF THE PALO ALTO MUNICIPAL CODE TO ENACT SUPPLEMENTAL WATER SHORTAGE EMEJ(CENCY REGULATIONS PUi<SUANT TO THE URBAN WATER SHORTAGE CONTINGENCY PLAN WHEREAS, in Ordinance No. the City Council duly declared a water shortage emergency pursuant to the notice and hearing procedures set forth in Water Code section 350, e~ ggg.; and WHEREAS, the wat~r shortage so declared remains an ongoing emergency which has intensified in scope and severity; and WHEREAS, on January 21, 1992, the City Council adopted an Urban Water Shortage Contingency Plan ("Contingency Plan~) through amendments to the 1990 Urban Water Management Plan; and ~mEREAS, one purpose of the Contingency Plan ~as to have a readily-available staged response plan to address ongoing water shortage emergencies as they intensif}' in scope and severity: and WHEREAS, [SET FORm REASONS FOR CONTINGENCY PUN USE}; and i-;"HEREAS~ i:1 order to achieve the necessary water use reductions it is necessary to endct supplemental and amended water £hortage emergency regulations in furthera.nce of the Contingency Plan. NOW. THEREFORE j the Council of the city of Palo Alto does ORDAIN as follows: SECTION 1. section 12.32. of Chapter 12.32 of the Palo Alto Municipal Code is hereby amended to read as follows: 12 .32 ~ water use Regulations. Tbe follcwing emergency regulations of the use ~f water are effective in the city of Palo Alto: [INSERT PROVlSlONS FROM 1 1111231 .p" OOS')_~~ t , I 1·' , URBAN WATER SHORTAGE CONTINGENCY PlAN] ~ECTION 2. The council finds that the provisions of this ordinance do not constitute a project under the California Environ­ mental Quality Act because it car, be seen ~ith certainty that no s~g1"lificant environmental impact will occur as a result of the ordinance. Moreover, tl':.e council finds that e!'.actment of this ordinance is exempt from provisions of the California Environment Quality Act because it i5 i~rnediat~ action necessary to mitigate a water shortage emergency. SECTION 3~ The Council finds and declares that, based upon the findings and declar~tions set forth above, the material fUrnished to the Cit:,' Council by the City staff l and oral and documentary testimony at the Council meeting at which this matter was considered, the enactment of this ordinance is necessary as an emergency measure to preserve public health and safety. This ordinance was introduced at a regular Council of the City of Palo Alto on Mond2Y, the ~ _ • 199_., and 'Was passed by a fOllr-fifths vote members present at the meeting as follows: INTRODUCED AND PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST: APPROVED: City Clerk Mayor APPROVED AS TO FORM~ city Attorney APPROVED: City Manager Director of utilities 2 9'1113 I .p" OO.sU:H)~ meeting of the day of __ _ of all council ,.