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HomeMy WebLinkAboutStaff Report 4.B 06/01/2015r' U aw � 18�$ Agenda Item #4.B DATE: June 1, 2015 TO: Honorable Mayor and Members of the City Council through City Manager FROM: D S ., CE — Director, Public Works and Utilities D S G. alker, P.E. — Environmental Services Manager SUBJECT: Resolution Authorizing the City Manager to Implement the City's Water Shortage Contingency Plan, Stage 2 as Amended, as Mandated by the State Water Resources Control Board within the Area Served by the City of Petaluma Public Water System and Repeal and Replace Resolution No. 2014 -141 N.C.S. RECOMMENDATION It is recommended that the City Council Adopt a Resolution Authorizing the City Manager to Implement the City's Water Shortage Contingency Plan, Stage 2 as Amended, as Mandated by the State Water Resources Control Board (SWRCB), within the Area served by the City of Petaluma Public Water System and Repeal and Replace Resolution No. 2014 -141 N.C.S. BACKGROUND California has entered a fourth year of severe drought. On May 5, 2015, new emergency regulations for water conservation were enacted by the State Water Resources Control Board (SWRCB) by Resolution No. 2015 -0032 and attached herein. These new regulations expect California urban water agencies (such as the City) to implement more stringent water conservation measures than those adopted in 2014 in order to meet a 25% Statewide reduction from 2013 usage. This action was part of a recent surge of State activity including SWRCB regulations adopted on March 17, 2015 (Resolution 2015 -0013) and Executive Order B -29 -15 issued by Governor Brown on April 1, 2015, which is also attached. The Executive Order and the 2015 regulations impose additional requirements on urban water suppliers. These include: Beginning June 1, 2015, reduce total potable water use by a specific conservation standard compared to 2013 usage. The conservation standard for Petaluma is 16 percent. Compliance with the standard will be determined monthly and cumulatively based on the City's water production from June 2015 through February 2016. It is important to note that the 16 percent applies to the total water supplied to the City water distribution system and not to each water account individually. An urban water supplier's water conservation tier was determined by the residential water use for June to September 2014. Petaluma's water use for that period was 89.6 gallons per day per capita. • Provide prompt notice to a customer whenever the supplier obtains information that indicates that a leak may exist within the end -users exclusive control. • Submit a monthly report to the SWRCB that includes the amount of potable water produced (including water provided by a wholesaler), the population served by the urban water supplier, the percentage of water produced that is used for the residential sector, descriptive statistics on water conservation compliance and enforcement efforts, the number of days that outdoor irrigation. is allowed, and monthly commercial, industrial, and institutional sector use. The monitoring report shall also estimate the gallons of water per person per day used by the residential customers it serves. Additional prohibitions and requirements from the new regulations include: • The application of potable water to outdoor landscapes during and within 48 hours after new measurable rainfall is prohibited. • The serving of drinking water other than upon request in eating or drinking establishments, including but not limited to restaurants, hotels, cafes, cafeterias, bars, or other public places where food or drink are served and /or purchased is prohibited. • Irrigation with potable water is prohibited on landscapes outside of newly constructed homes and buildings in a manner that is inconsistent with regulations or other requirements established by the California Building Standards Commission. The Commission is expected to consider the adoption of emergency regulations on or before June 1, 2015 that would prohibit landscape irrigation on new buildings that is not delivered by drip or microspray systems. • To promote water conservation, operators of hotels and motels shall provide guests with the option of choosing not to have towels and linens laundered daily. The hotel or motel shall prominently display notice of this option in each guestroom using clear and easily understood language. • Irrigation with potable water of ornamental turf on public street medians is prohibited. The new regulations and the Executive Order add to the list of activities specifically prohibited last year by S WRCB except where necessary to address an immediate health and safety need or to comply with a term or condition in a permit issued by a state or federal agency, as follows: • The application of potable water to outdoor landscapes in a manner that causes runoff such that water flows onto adjacent property, non - irrigated areas, private and public walkways, roadways, parking lots, or structures; • The use of a hose that dispenses potable water to wash a motor vehicle, except where the hose is fitted with a shut -off nozzle or device attached to it that causes it to cease dispensing water immediately when not in use; • The application of potable water to driveways and sidewalks; and • The use of potable water in a fountain or other decorative water feature, except where the water is part of a recirculating system. W, The regulations also specify that the failure to comply with the regulations, in addition to any other applicable civil or criminal penalties, is an infraction punishable by the State, by a fine of up to five hundred dollars ($500) by the State.for each day in which the violation occurs. On November 17, 2008, Council adopted a resolution updating the schedule of penalties for administrative citations for violation of the Petaluma Municipal Code (PMC) that sets penalties for first, second and third violations at $100, $500, and $1000, respectively. These fines are applicable to violators of the City's Water Conservation regulations. The Governor introduced, in a budget trailer bill, a proposal to amend the State Water Code, to allow local agencies to hold civilly and criminally liable persons violating water conservation ordinances. Proposed criminal penalties include imprisonment in the County Jail for up to 30 days, and /or a $1,000 fine. Civil penalties can be imposed, up to $10,000 for violation of water conservation ordinance or resolution, with an additional penalty of $500 per day for each additional day the violation continues. The City Council would need to update the City's fines to implement those changes, if they are adopted into law by the State. The City Council held a workshop on April 27, 2015 to discuss the drought emergency and consider water conservation measures necessary to achieve the 16% reduction goal. The subject Council action is intended to implement Council direction received at the workshop to add the new State mandates to Stage 2 of the City's Water Shortage Contingency Plan. This will allow City staff to promote and enhance these measures along with all the standard and Stage 1 measures, which are currently in place. While not subject to the proposed action herein, it should be noted that the City is enhancing many of its existing incentive, outreach, and internal water conservation measures in the face of the drought and has budgeted accordingly. The City Council will have the opportunity to provide direction on these measures during the Council meeting discussion of this matter. Additional background on this item includes the following: • On January 17, 2014, Governor Brown declared a drought state of emergency. On February 3, 2014 the Water Advisory Committee (WAC) of the Sonoma County Water Agency (SCWA) adopted a resolution supporting Governor Brown's drought proclamation. The City of Petaluma, on March 3, 2014, adopted Resolution No. 2014- 045 "Declaring a Water Shortage Emergency and Implementation of Stage 1 of the City's Water Shortage Contingency Plan". • On April 25, 2014, the Governor signed an Executive Order calling on the State to redouble drought actions. Among other things, the Executive Order provides that: "The Water Board shall direct urban water suppliers that are not already implementing drought response plans to limit outdoor irrigation and other wasteful water practices such as those identified in this Executive Order. The Water Board was directed to adopt emergency regulations as it deems necessary, pursuant to Water Code section 1058.5, to implement the Governor's directive." • On July 15, 2014, the SWRCB adopted a resolution enacting emergency regulations adding Article 22.5, Section 863, 864 and 865, to Title 23 of the California Code of Regulations. Key provisions of the proposed emergency regulations prohibit certain 3 outdoor water use practices and require urban water suppliers to implement "the stage of its water shortage contingency plan that imposes mandatory restrictions on outdoor irrigation of ornamental landscapes or turf with potable water." In addition, water suppliers with 3,000 or more service connections must provide monthly data on water production. On September 8, 2014, the City adopted Resolution No. 2014 -141 that replaced previous resolution No. 2014 -045, required the implementation of Stage 1 of the City's Water Shortage Contingency Plan, and amended Phase 1 to enact the additional requirements of the SWRCB emergency regulations. Specifically, the City established a 20 percent reduction goal and limited outdoor irrigation to the hours of 7:00 PM and 8:00 AM. The Stage 1 requirements were to be effective until the SWRCB determined emergency regulations were no longer necessary or renewed the regulations due to continued drought; absent those actions, the Stage 1 declaration would end on April 25, 2015. The City Council adopted the Water Shortage Contingency Plan (WSCP) in 2011 with the Urban Water Management Plan. The WSCP outlines four progressive stages to achieve water demand reductions during a water supply shortage. The City achieved a 14% reduction cumulatively from June 2014 through February 2015 compared to the same months in 2013. June 2015 through February 2016 is the period SWRCB designated for compliance. DISCUSSION The recommended Council action endeavors to assure compliance with the SWRCB's recent Emergency Regulations. Due to continued drought and the new requirements, it is recommended that Council move from Stage 1 to Stage 2 of the water shortage contingency plan, with amendments, to reflect State requirements and best practices. The second stage of the City's Water Shortage Contingency Plan is designed to achieve a 25% reduction although the City is only required to achieve a 16% reduction. Water conservation is not an exact science and it is necessary to aim higher to assure compliance with the State mandate. The City implemented time of day irrigation restrictions last year, to achieve 16% savings each month, but stricter measures are necessary. The Sonoma Marin Water Savings Partnership, to which the City belongs, has agreed upon a consistent approach of allowing irrigation no more than three days per week within the region. With adoption of the proposed resolution implementing Stage 2 as modified herein, the following mandatory restrictions to outdoor irrigation and potable water use will be in place. Those indicated as Stage 1 or Petaluma Municipal Code are currently in effect while those showing Stage 2 or Stage 2 Modified will be new with the proposed action. 1. Irrigation of landscaping with potable water using automatic sprinkler systems shall be prohibited except on Tuesdays, Thursdays, and Saturdays during the hours of 7:00 p.m. to 8:00 a.m. for all customers except City of Petaluma irrigation accounts, which will be limited to any three days per week. (Stage 2 Modified) 2. Hose -end shut off nozzles required on all garden and utility hoses to include washing cars, boats, and trailers. (Stage 1) in 3. No application of potable water for washing down pavement, except for health and safety including sanitation. (Stage 1) 4. No runoff or overspray caused by outdoor irrigation. (Petaluma Municipal Code (PMC)) 5. No water used for non - recycling water features such as fountains. (PMC) 6. Water served in restaurants on request only. (Stage 1) 7. Operators of hotels and motels to provide guests with the option of choosing not to have towels and linens laundered daily. The hotel or motel shall prominently display notice of this option in each guestroom using clear and easily understood language. (Stage 2 Modified) 8. The application of potable water to outdoor landscapes during and within 48 hours after measurable rainfall is prohibited. (Stage 2 Modified) 9. Irrigation with potable water of ornamental turf on public street medians is prohibited. (Stage 2 Modified) 10. Irrigation accounts cannot exceed allocated water budgets by more than twenty percent. (PMC) 11. Filling new swimming pools is prohibited, except for pools where an application for building permit has been submitted by June 1, 2015. (Stage 2 Modified) 12. Prohibit use of potable water for dust control at construction sites when reclaimed water is available. (Stage 2 Modified) 13. Track customer use and mandate reductions to high use customers who do not reduce their demand. (Stage 2) 14. To remain consistent with the action taken by the SWRCB, the proposed resolution to implement Stage 2 of the City's Water Shortage Contingency Plan would end ( "sunset ") on February 8, 2016 unless Emergency Regulations are extended or ended earlier by the SWRCB. (Stage 2 Modified) Items 2, 3, 4, 5, 6, 7, 8 and 9 are substantially the same requirements adopted by the SWRCB in its Emergency Regulations or specified by the Governor in the Executive Order. With items 1, 10, 11, 12, and 13,, the City is proposing to go further than mandated by the State to set additional requirements and increase awareness of the severity of the drought to ensure that the City will achieve a 16% reduction in water demands each month during the compliance period. If the City fails to meet its conservation standard, the SWRCB may issue conservation orders requiring additional actions by the City to come into compliance. In addition to the measures included in the Stage 2 modified declaration, the following water conservation measures are being proposed. Council input on items designated with an asterisk ( *) is particularly encouraged: • Stepping up Public Information, including: • Billing inserts and customer mailers. • Additional workshops and town hall meetings to address drought tolerant landscaping and other relevant topics. o Outreach to HOAs and mobile home parks, in part to assure that management is not in violation of AB 2100, which prohibits HOAs from penalizing homeowners for brown lawns during established drought conditions. o Outreach to commercial, institutional, industrial (CII), and irrigation customers, including placards to restaurants addressing drinking water prohibition. • Placards in City shower and restroom facilities encouraging water reductions. • Speakers' bureau of City officials to present the City Water Conservation Action Plan to civic and community groups. • FAQ's and talking points prepared for all City employees who have regular interactions with the public. • Customer support, including: o Water wise house calls with expanded staffing o Professional irrigation technician and audit services for irrigation and high use CII and irrigation customers. • Expand rebate and incentive programs, including: o Toilet rebates in schools and large commercial users. o Consider including high efficiency dishwashers to washer rebate program. o *Consider adding "cash for grass" option to Mulch Madness program. • City facilities, including: o Verify retrofit of water efficient fixtures occurred in 2008 and 2011; retrofit any fixtures that do not meet current standards for water efficiency. o Water audits of landscaping and continued application of mulch where turf is not essential. • Reclaimed water use, including: o Identify commercial and irrigation users within reasonable proximity of existing purple pipe and incentivize connection and use of reclaimed water. o Make "shovel ready" next phase of purple pipe extension and expansion of tertiary treatment facilities at Ellis Creek Water Recycling Facility. o Consider providing convenient fill station location to contractors for dust control. • Billing and Rates, including: • Evaluate existing water conserving rate structure and expand to all customer categories if possible. • Modify bill to include comparison to 2013 base year and allow monthly water use to be reported to the tenth of a unit, if possible. • *Modify on -line bill pay system to require customers to acknowledge water conservation requirements before paying their bill. • Leak Detection, including pilot program to evaluate efficacy of process. • Monitoring and Enforcement, including standard reports of o Significant water users for direct targeting • Single family customers using over 16 units (12,000 gallons) per month putting them in the 3rd and 4th tier of the block rates o Customers with significant increases over same period a year ago to identify potential leaks on customer side of meter. • Irrigation customers using over 120% of their water budget. Review water budgets to assure accuracy. • Follow up with identified customers with education and incentives, and failing that provide water budgets to these customers and enforce up to and including $1,000 (or $10,000) fine and /or shutting water off. 31 Legislative, including: o Revise development code and SPAR guidelines to increase water conservation effectiveness of landscaping on new projects to meet, at a minimum, requirements expected to be promulgated by the California new development. Standards Commission. o Reduce the percentage of turf allowed o * Require pre -sale inspection and certification to assure that house or property has water efficient fixtures including low flow toilets, washing machine, and dish washer before closing escrow on sale. Staff will exercise progressive enforcement of the mandatory for irrigation res the PMin and PMCe with the 2008 resolution addressing administrative citation 15.16.100, Enforcement and Fees, as follows: 1. Personal contact: Education and technical support prdo ddCustomer fno neg is ven home, a dos or hanger indicating the nature of the violation p less as appropriate to mitigate violation. 2. If personal contact is not successful: Provide written notice of the violation including date when correction must be complete. Copy of notice is sent by certified mail. 3. First violation under administrative penalty resolution: If correction not made in accordance with written notice, apply fine of $100. 4. Second violation within 36 months under administrative penalty resolution: If correction not made or recurrence of violation a fine of $500. 5. Third violation within 36 months under administrative penalty Shut off water Fine of until 000. o 6. In addition to issuing a notice of violations, if appropriate: verification of correction is made. Cost of shut off and turn on is an additional $60. Note that the City's administrative fines are more onerous that those adopted by the SWRCB in the Emergency Regulations. The proposed action will meet Council Goal: "Plan for the future ". FIN ANCIAL IMPACTS The financial impacts of implementing the Stage 1 plan, as amended include: 1. Reductions of revenue from commodity charges rn strat ve and 2. Implementation of Stage 2 as amended w ill q uire additional admire environmental service technician resources to in Ce awategwaste monitoring, lmailers to al for water wise house calls, CII technical assistance, customers, workshops and enforcement. Staff expects to hire two additional water conservation specialists and spend an additional $100,000 above a normal year for temporary labor, advertising, and consulting services through the end of the drought declaration. The net fiscal impact of the proposed action appears to be within thrisexfundg budget proposal of $716,000 for the water conservation cost center of the 7 ATTACHMENTS 1. Resolution 2. State Water Resources Control Board (SWRCB) May 5, 2015 Resolution No. 2015 -0032 and Emergency Regulations 3. April 1, 2015 Executive Order B -29 -15 Attachment 1 RESOLUTION AUTHORIZING THE CITY MANAGER TO IMPLEMENT THE CITY'S WATER SHORTAGE CONTINGENCY PLAN, STAGE 2 AS AMENDED, AS MANDATED BY THE STATE WATER RESOURCES CONTROL BOARD WITHIN THE AREA SERVED BY THE CITY OF PETALUMA PUBLIC WATER SYSTEM AND REPEAL AND REPLACE RESOLUTION NO. 2014-141 N.C.S. WHEREAS, the City of Petaluma is a City empowered to provide water service within certain boundaries; and WHEREAS, calendar year 2013 was the lowest rainfall year on record in 120 years; and WHEREAS, due to this water supply shortage, a water shortage emergency exists and a reduction in demand is required to ensure adequate supply in 2015 and beyond; and WHEREAS, on January 17, 2014 Gov. Edmund G. Brown, Jr. declared a drought state of emergency and directed state and local officials to take all necessary actions to conserve water; and WHEREAS, the Restructured Agreement for Water. Supply, executed on June 23, 2006, by and between the Sonoma County Water Agency (SCWA), the Cities of Cotati, Petaluma, Rohnert Park, Santa Rosa, and Sonoma, the North Marin and Valley of the Moon Water Districts and the Town of Windsor, collectively known as the Water Contractors, created the Water Advisory Committee and Technical Advisory Committee; and WHEREAS, the Water Contractors, along with SCWA and Marin Municipal Water District, are members of the Sonoma - Marin Saving Water Partnership, through which these members have joined together to provide a regional approach to water use efficiency; and WHEREAS, on February 3, 2014, the Water Advisory Committee of the SCWA approved a Resolution supporting the Sonoma Marin Saving Water Partnership Efforts and Governor Jerry Brown's Emergency Drought Declaration that includes seeking 20% voluntary conservation and recommended that all principal SCWA contractors follow suit with their respective governing boards; and WHEREAS, on March 3, 2014, the City Council adopted Resolution No. 2014- 045 "Declaring a Water Shortage Emergency and Implementation of Stage 1 of the City's Water Shortage Contingency Plan "; and WHEREAS, on April 25, 2014, Governor Edmund G. Brown Jr. issued an Executive Order to strengthen the State's ability to manage water and habitat effectively in drought E conditions and called on all Californians to redouble their efforts to conserve water. The Executive Order finds that the continuous severe drought conditions present urgent challenges across the State including water shortages in communities and for agricultural production, increased wildfires, degraded habitat for fish and wildlife, threat of saltwater contamination, and additional water scarcity if drought conditions continue into 2015. The National Integrated Drought Information System reported that nearly 80% of the state was reported to be under "extreme" drought conditions at the end of June; and WHEREAS, on July 15, 2014, the State Water Resources Control Board ( SWRCB) adopted Resolution No. 2014 -0038 enacting Article 22.5, Sections 863, 864 and 865 to Title 23 of the California Code of Regulations, emergency regulations for mandatory statewide urban water conservation that sets certain requirements for urban water suppliers to meet; and WEHREAS, on September 8, 2014, the City Council adopted Resolution No. 2014 -141 "Authorizing the City Manager to Implement the City's Water Shortage Contingency Plan, Stage 1, As Amended, As Mandated by the State Water Resources Control Board within the Area Served by the City of Petaluma Public Water System and Repeal and Replace Resolution No. 2014 -045 N.C.S "; and WHEREAS, on March 17, 2015, the SWRCB adopted Resolution No. 2015 -0013 enacting revisions to Article 22.5, Sections 863, 864 and 865 to Title 23 of the California Code of Regulations, which imposed additional emergency regulations for water conservation by the SWRCB; and WHEREAS, on April l; 2015, Governor Edmund G. Brown Jr. issued an Executive Order directing all water agencies to achieve reductions in potable water use of 25% and other restrictions; and WHEREAS, on May 5, 2015, the SWRCB adopted Resolution No. 2015 -0032 enacting revisions to Article 22.5, Sections 863, 864, 865 and 866 to Title 23 of the California Code of Regulations, which imposed additional emergency regulations for water conservation by the SWRCB; and WHEREAS, the City of Petaluma has satisfied the mandates of SWRCB Resolution No. 2015 -00013 through its Water Conservation Ordinance that prohibits water waste for all water use classifications and implementation of Stage 2 of the City's Water Shortage Contingency Plan, which establishes a 25% reduction target in water use by all customers served by the City's potable water distribution system; and 10 WHEREAS, the City of Petaluma has adopted a resolution updating the schedule of penalties for administrative citations for violations of the Petaluma Municipal Code including violation of the Water Conservation Ordinance; and WHEREAS, the City of Petaluma has the authority and responsibility to adopt water demand reduction measures within its area of service. NOW, THEREFORE, BE IT RESOLVED that the City Council declares that under the current water shortage conditions, a water shortage emergency continues to exist and in order to satisfy the water conservation goal of the Executive Order, SWRCB Resolution No. 2015- 0032 and Sections 863, 864, 865 and 866 to Title 23 of the California Code of Regulations, all requirements and actions of Stage 2 of the City's Water Shortage Contingency Plan will be immediately re- implemented as amended as follows: 1. Resolution No. 2014 -141 N.C.S. is hereby repealed and replaced with this Resolution. 2. Under the current water shortage conditions, a water shortage emergency exists and Stage 2 of the City's Water Shortage Contingency Plan shall be implemented immediately, with the following modifications: a. Irrigation of landscaping with potable water using automatic sprinkler systems shall be prohibited except on Tuesdays, Thursdays, and Saturdays during the hours of 7:00 p.m. to 8:00 a.m. for all customers except City of Petaluma irrigation accounts, which will be limited to any three days per week. b. The application of potable water to outdoor landscapes during and within 48 hours after measurable rainfall is prohibited. c. Use of potable water for dust control at construction sites when reclaimed water is available is prohibited. d. Operators of hotels and motels shall provide guests with the option of choosing not to have towels and linens laundered daily. The hotel or motel shall prominently display notice of this option in each guestroom using clear and easily understood language. e. Filling new swimming pools is prohibited, except for pools where an application for building permit has been submitted by June 1, 2015. f. Stage 2, as amended, shall remain in effect until the SWRCB determines that the Emergency Regulations are no longer necessary due to changed conditions or unless it renews the regulations due to continued drought. In the absence of this, the Stage 2, as amended, declaration ends on February 8, 2016. 11 Attachment 2 STATE WATER RESOURCES CONTROL BOARD RESOLUTION NO. 2015 -0032 TO ADOPT AN EMERGENCY REGULATION FOR STATEWIDE URBAN WATER CONSERVATION WHEREAS: 1. On April 25, 2014, Governor Edmund G. Brown Jr. issued an executive order (April 2014 Proclamation) to strengthen the State's ability to manage water and habitat effectively in drought conditions, and called on all Californians to redouble their efforts to conserve water. The April 2014 Proclamation finds that the continuous severe drought conditions present urgent challenges across the State, including water shortages in communities and for agricultural production, increased wildfires, degraded habitat for fish and wildlife, threat of saltwater contamination, and additional water scarcity, if drought conditions continue into 2015. The April 2014 Proclamation also suspends the environmental review required by the California Environmental Quality Act to allow the emergency regulation and other actions to take place as quickly as possible; 2. The April 2014 Proclamation refers to the Governor's Proclamation No. 1 -17 -2014, issued on January 17, 2014, declaring a drought State of Emergency to exist in California due to severe drought conditions (January 2014 Proclamation). The January 2014 Proclamation finds that dry conditions and lack of precipitation present urgent problems to drinking water supplies and cultivation of crops, which put farmers' long -term investments at risk. The conditions also threaten the survival of animals and plants that rely on California's rivers, including many species in danger of extinction. The January 2014 Proclamation also calls on all Californians to reduce their water usage by 20 percent; 3. On December 22, 2014, in light of the continued lack of rain, Governor Brown issued Executive Order B- 28 -14, which extends the California Environmental Quality Act suspension through May 31, 2016 for Water Code section 13247 and certain activities ,identified in the January 2014 and April 2014 proclamations; 4. On April 1, 2015, Governor Brown issued a new Executive Order that directs the State Water Board to impose restrictions on urban water suppliers to achieve a statewide 25 percent reduction in potable urban usage through February 2016; require commercial, industrial, and institutional users to implement water efficiency measures; prohibit irrigation with potable water of ornamental turf in public street medians; and prohibit irrigation with potable water outside newly constructed homes and buildings that is not delivered by drip or microspray systems; along with other directives; 5. Water Code section 1058.5 grants the State Water Board the authority to adopt emergency regulations in certain drought years in order to: "prevent the waste, unreasonable use; unreasonable method of use, or unreasonable method of diversion, of water, to promote water recycling or water conservation, to require curtailment of diversions when water is not available under the diverter's priority of right, or in furtherance of any of the foregoing, to require reporting of diversion or use or the preparation of monitoring reports "; Attachment 2 6. On July 15, 2014, the State Water Board adopted an emergency regulation to support water conservation (Resolution No. 2014 - 0038), and that regulation became effective July 28, 2014 upon approval by the Office of Administrative Law (OAL); 7. On March 17, 2015, the State Water Board amended and readopted the emergency regulation to support water conservation (Resolution No. 2015 - 0013), which became effective March 27, 2015 upon approval by OAL; 8. The current emergency regulation has supported Californians' water conservation efforts, with over 125 billion gallons saved from August 2014 through March 2015; however, statewide water use is only nine percent less than the same months in 2013. Achieving a 25 percent reduction in use will require even greater conservation efforts across the state. In particular, many communities must dramatically reduce their outdoor water use; 9. In many areas, 50 percent or more of daily water use is for lawns and outdoor landscaping. Outdoor water use is generally discretionary, and many irrigated landscapes will survive while receiving a decreased amount of water; 10. Although urban water suppliers have placed restrictions on outdoor watering, the State Water Board continues to receive reports of excessive outdoor water use; 11. Water conservation is the easiest, most efficient and most cost - effective way to quickly reduce water demand and extend supplies into the next year, providing flexibility for all California communities. Water saved this summer is water available later in the season or next year, reducing the likelihood of even more severe water shortages should the drought continue; 12. Education and enforcement against water waste is a key tool in conservation programs. When conservation becomes asocial norm in a community, the need for enforcement is reduced or eliminated; - 13. Public information and awareness is critical to achieving conservation goals, and the Save Our Water campaign, run jointly by the Department of Water Resources (DWR) and the Association of California Water Agencies, is an excellent resource for conservation information and messaging that is integral to effective drought response (http: / /saveourwater.com); 14. Many California communities are facing social and economic hardship due to this drought. The rest of us can make adjustments to our water use, including landscape choices that conserve even more water; 15. The California Constitution declares, at article X, section 2, that the water resources of the state must be put to beneficial use in a manner that is reasonable and not wasteful. Relevant to the current drought conditions, the California Supreme Court has clarified that "what may be a reasonable beneficial use, where water is present in excess of all needs, would not be a reasonable beneficial use in an area of great scarcity and great need. What is a beneficial use at one time may, because of changed conditions, become a waste of water at a later time." (Tulare Dist. v. Lindsay Strathmore Dist. (1935) 3 Cal.2d 489, 567.) In support of water conservation, the legislature has, through Water Code section 1011, deemed reductions in water use due to conservation as equivalent 2 Attachment 2 to reasonable beneficial use of that water. Accordingly, this regulation is in furtherance of article X, section 2 during this drought emergency. This temporary emergency regulation is not to be used in any future administrative or judicial proceedings as evidence or finding of waste and unreasonable use of any individual water user or water supplier subject to this regulation, and are not to affect or otherwise limit any rights to water conserved under applicable law, including without limitation, water conserved consistent with Water Code section 1011; 16. Directive two of the Governor's April 1, 2015 Executive Order directs the State Water Board to consider the relative per capita usage of each urban water supplier's service area and require that areas with high per capita use achieve proportionally greater reductions than areas with low per capita use; 17. On April 7, 2015, the State Water Board issued a draft framework proposing increasing levels of required water reduction based upon residential per capita per day use (R -GPCD) for the proposed regulation, and solicited public comments. The Board received over 300 comments on the framework, primarily relating to the levels of required water reduction; 18. On April 18, the State Water Board issued draft regulatory language for public comment based on the April 7 framework and the comments received. The draft regulatory language reflected careful consideration of all comments including those directed at the levels of required reduction. Again, the Board received close to 300 comments; 19. On April 28, 2015, the State Water Board issued a final version of draft regulatory language for comment, followed on April 29 by a formal public notice that it would consider the adoption of the emergency regulation at the Board's regularly - scheduled May 5 and 6, 2015 public meeting, in accordance with applicable State laws and regulations. The State Water Board also distributed for public review and comment a Finding of Emergency that complies with State laws and regulations; 20. As discussed above, the State Water Board is adopting the emergency regulation because of the continuing emergency drought conditions, the need for prompt action to prevent the waste and unreasonable use of water and to promote conservation, and the specific actions called for in the Governor's April 1, 2015 Executive Order; and 21. Nothing in the regulation or in the enforcement provisions of the regulation precludes a local agency from exercising its authority to adopt more stringent conservation measures. Moreover, the Water Code does not impose a mandatory penalty for violations of the regulation adopted by this resolution, and local agencies retain the enforcement discretion in enforcing the regulation to the extent authorized. Local agencies are encouraged to develop their own progressive enforcement practices to promote conservation. THEREFORE BE IT RESOLVED THAT: 1. The State Water Board adopts California Code of Regulations, title 23, section 866 and re- adopts sections 863, 864,and 865, as appended to this resolution as an emergency regulation; 3 Attachment 2 2. State Water Board staff will submit the regulation to OAL for final approval; 3. If, during the approval process, State Water Board staff, the State Water Board, or OAL determines that minor corrections to the language of the regulation or supporting documentation are needed for clarity or consistency, the State Water Board Executive Director or the Executive Director's designee may make such changes; 4. This regulation shall remain in effect for 270 days after filing with the Secretary of State unless the State Water Board determines that it is no longer necessary due to changed conditions, or unless the State Water Board renews the regulation due to continued drought conditions as described in Water Code section 1058.5; 5. The State Water Board directs staff to provide the Board with monthly updates on the implementation of the emergency regulation and its effect. These updates shall include information regarding the progress of the Building Standards Commission, Department of Housing and Community Development, and other state agencies in the adoption and implementation of emergency regulations or other requirements that implement increased outdoor irrigation efficiency for new construction. These regulations and other requirements will extend existing efficiency standards for new construction to the outdoor environment and ensure that California's new homes are constructed to meet the growing demand with the most efficient standards; 6. The State Water Board directs staff to condition funding upon compliance with the emergency regulation, to the extent feasible; 7. The State Water Board directs staff to work with DWR and the Save Our Water campaign to disseminate information regarding the emergency regulation; and 8. The State Water Board directs staff to update the electronic reporting portal to include data fields for the new reporting required by the emergency regulation. THEREFORE BE IT FURTHER RESOLVED THAT: 9. The State Water Board shall work with DWR, the Public Utilities Commission, and other agencies to support urban water suppliers' actions to implement rates and pricing structures to incent additional conservation, as required by directive eight in the Governor's April 1, 2015 Executive Order. The Fourth District Court of Appeal's recent Decision in Capistrano Taxpayer Association Inc. v. City of San Juan Capistrano (G048969) does not foreclose the use of conservation- oriented rate structures; 10. The State Water Board calls upon water suppliers to: a. ensure that adequate personnel and financial resources exist to implement conservation requirements not only for 2015, but also for another year of drought should it occur. Water suppliers that face budget shortfalls due to reduced sales should take immediate steps to raise necessary revenues in a way that actively promotes continued conservation; b. expedite implementation of new conservation programs by minimizing internal review periods and utilizing emergency authorities, as appropriate; 4 Attachment 2 c. consider the relative water use and conservation practices of their customers and target those with higher water use to achieve proportionally greater reductions than those with low use; d. minimize financial impacts to low- income customers; e. preserve safe indoor water supplies in areas with very low R -GPCD and where necessary to protect public health and safety; f. promote low -water use methods of preserving appropriate defensible space in fire -prone areas, consistent with local fire district requirements; g. educate customers on the preservation of trees; h. promote on -site reuse of water; and i. promptly notify staff of the supplier's need for an alternate method of compliance pursuant to resolved paragraph 16. 11. The State Water Board calls upon all businesses within California's travel and tourism sectors to inform visitors of California's dire drought situation and actions visitors should take to conserve water; 12. The State Water Board commends wholesale water agencies that have set aggressive conservation targets for their retail water suppliers; 13. The State Water Board commends water suppliers that have made investments to boost drought- resistant supplies, such as advanced treated recycled water and desalination. Those investments help to make communities more resilient in the face of drought; 14. The State Water Board commends the many water suppliers that have already surpassed their 20x2020 conservation targets. Long -term conservation efforts are critical to maintaining economic and social well- being, especially in light of the impacts of climate change on California's hydrology; 15. During this drought emergency, heightened conservation that extends urban resilience is necessary. The State Water Board's. focus is primarily on immediate reductions in outdoor water use. Some short -term conservation efforts, such as landscape conversions, and installation of efficient appliances, will also support long -term conservation objectives, and are encouraged wherever possible; 16. The State Water Board recognizes that some commercial and industrial customers, while accounting for a significant portion of total use in a service area, have already taken steps to significantly reduce their water consumption and cannot further reduce their use without substantial impacts. However, the Board also recognizes that in many areas there are significant opportunities for reductions in water use by industries and commercial enterprises that have yet to take action, especially those with large areas of non - functional turf. The Board directs staff to respond promptly upon receipt of any request for alternate enforceable methods of compliance. If the supplier believes the conservation standard is unachievable due to firm commercial and industrial water use 5 Attachment 2 and residential use reductions that would affect public health and safety, it should provide any supporting information or documentation for an alternate method of compliance; and 17. Some water suppliers have called for further refinement of the tiers to reflect a range of factors that contribute to water use, including but not limited to temperature, lot size, and income. Others have called for an approach that provides greater recognition for early investments in conservation, the development of local, drought resistant water supplies, and health and safety needs. These suggestions and many others are important considerations in the development of a more comprehensive, and long term, conservation framework. The State Water Board directs staff to work with stakeholders on a thoughtful process to devise options for extended and expanded emergency regulations should the drought continue into 2016. CERTIFICATION The undersigned Clerk to the Board does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on May 5, 2015. AYE: Chair Felicia Marcus Vice Chair Frances Spivy -Weber Board Member Tam M. Doduc Board Member Steven Moore Board Member Dorene D'Adamo NAY: None ABSENT: None ABSTAIN: None Jeanie Townsend Clerk to the Board In Attachment 2 ADOPTED TEXT OF EMERGENCY REGULATION Article 22.5. Drought Emergency Water Conservation. Sec. 863. Findings of Drought Emergency. (a) The State Water Resources Control Board finds as follows: (1) On January 17, 2014, the Governor issued a proclamation of a state of emergency under the California Emergency Services Act based on drought conditions; (2) On April 25, 2014, the Governor issued a proclamation of a continued state of emergency under the California Emergency Services Act based on continued drought conditions; (3) On April 1, 2015, the Governor issued an Executive Order that, in part, directs the State Board to impose restrictions on water suppliers to achieve a statewide 25 percent reduction in potable urban usage through February, 2016; require commercial, industrial, and institutional users to implement water efficiency measures; prohibit irrigation with potable water of ornamental turf in public street medians; and prohibit irrigation with potable water outside newly constructed homes and buildings that is not delivered by drip or microspray systems; (4) The drought conditions that formed the basis of the Governor's emergency proclamations continue to exist; (5) The present year is critically dry and has been immediately preceded by two or more consecutive below normal, dry, or critically dry years; and (6) The drought conditions will likely continue for the foreseeable future and additional action by both the State Water Resources Control Board and local water suppliers will likely be necessary to prevent waste and unreasonable use of water and to further promote conservation. Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, and 275, Water Code; Light v. State Water Resources Control Board (2014) 226 Cal.App.4th 1463. Sec. 864. End -User Requirements in Promotion of Water Conservation. (a) To prevent the waste and unreasonable use of water and to promote water conservation, each of the following actions is prohibited, except where necessary to address an immediate health and safety need or to comply with a term or condition in a permit issued by a state or federal agency: (1) The application of potable water to outdoor landscapes in a manner that causes runoff such that water flows onto adjacent property, non- irrigated areas, private and public walkways, roadways.. parking lots, or structures; (2) The use of a hose that dispenses potable water to wash a motor vehicle, except where the hose is fitted with a shut -off nozzle or device attached to it that causes it to cease dispensing water immediately when not in use; (3) The application of potable water to driveways and sidewalks; and (4) The use of potable water in a fountain or other decorative water feature, except where the water is part of a recirculating system; Attachment 2 (5) The application of potable water to outdoor landscapes during and within 48 hours after measurable rainfall; (6) The serving of drinking water other than upon request in eating or drinking establishments, including but not limited to restaurants, hotels, cafes; cafeterias, bars, or other public places where food or drink are served and /or purchased; and (7) The irrigation with potable water of ornamental turf on public street medians; (8) The irrigation with potable water of landscapes outside of newly constructed homes and buildings in a manner inconsistent with regulations or other requirements established by the California Building Standards Commission and the Department of Housing and Community Development. (b) To promote water conservation, operators of hotels and motels shall provide guests with the option of choosing not to have towels and linens laundered daily. The hotel or motel shall prominently display notice of this option in each guestroom using clear and easily understood language. (c) Immediately upon this subdivision taking effect, all commercial, industrial and institutional properties that use a water supply, any portion of which is from a source other than a water supplier subject to section 865, shall either: (1) Limit outdoor irrigation of ornamental landscapes or turf with potable water to no more than two days per week; or (2) Reduce potable water usage supplied by sources other than a water supplier by 25 percent for the months of June 2015 through February 2016 as compared to the amount used from those sources for the same months in 2013. (d) The taking of any action prohibited in subdivision (a) or the failure to take any action required in subdivisions (b) or (c), is an infraction, punishable by a fine of up to five hundred dollars ($500) for each day in which the violation occurs. The fine for the infraction is in addition to, and does not supersede or limit, any other remedies, civil or criminal. Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, 275, 350, and 10617, Water Code; Light v. State Water Resources Control Board (2014) 226 Cal.App.4th 1463. Sec. 865. Mandatory Actions by Water Suppliers. (a) As used in this section: (1) "Distributor of a public water supply' has the same meaning as under section 350 of the Water Code, except it does not refer to such distributors when they are functioning solely in a wholesale capacity, but does apply to distributors when they are functioning in a retail capacity. (2) "R -GPCD" means residential gallons per capita per day. FJ1 Attachment 2 (3) "Total potable water production" means all potable water that enters into a water supplier's distribution system, excluding water placed into storage and not withdrawn for use during the reporting period, or water exported outsider the supplier's service area. (4) "Urban water supplier" means a supplier that meets the definition set forth in Water Code section 10617, except it does not refer to suppliers when they are functioning solely in a wholesale capacity, but does apply to suppliers when they are functioning in a retail capacity. (b) In furtherance of the promotion of water conservation each urban water supplier shall: (1) Provide prompt notice to a customer whenever the supplier obtains information that indicates that a leak may exist within the end - user's exclusive control. (2) Prepare and submit to the State Water Resources Control Board by the 15"' of each month a monitoring report on forms provided by the Board. The monitoring report shall include the amount of potable water the urban water supplier produced, including water provided by a wholesaler, in the preceding calendar month and shall compare that amount to the amount produced in the same calendar month in 2013. The monitoring report shall specify the population served by the urban water supplier, the percentage of water produced that is used for the residential sector, descriptive statistics on water conservation compliance and enforcement efforts, and the number of days that outdoor irrigation is allowed, and monthly commercial, industrial and institutional sector use. The monitoring report shall also estimate the gallons of water per person per day used by the residential customers it serves. (c)(1) To prevent the waste and unreasonable use of water and to meet the requirements of the Governor's April 1, 2015 Executive Order, each urban water supplier shall reduce its total potable water production by the percentage identified as its conservation standard in this subdivision. Each urban water supplier's conservation standard considers its service area's relative per capita water usage. (2) Each urban water supplier whose source of supply does not include groundwater or water imported from outside the hydrologic region in which the water supplier is located, and that has a minimum of four years' reserved supply available may, submit to the Executive Director for approval a request that, in lieu of the reduction that would otherwise be required under paragraphs (3) through (10), the urban water supplier shall reduce its total potable water production by 4 percent for each month as compared to the amount used in the same month in 2013. Any such request shall be accompanied by information showing that the supplier's sources of supply do not include groundwater or water imported from outside the hydrologic region and that the supplier has a minimum of four years' reserved supply available. (3) Each urban water supplier whose average July- September 2014 R -GPCD was less than 65 shall reduce its total potable water production by 8 percent for each month as compared to the amount used in the same month in 2013. (4) Each urban water supplier whose average July- September 2014 R -GPCD was 65 or more but less than 80 shall reduce its total potable water production by 12 percent for each month as compared to the amount used in the same month in 2013. Attachment 2 (5) Each urban water supplier whose average July- September 2014 R -GPCD was 80 or more but less than 95 shall reduce its total potable water production by 16 percent for each month as compared to the amount used in the same month in 2013. (6) Each urban water supplier whose average July- September 2014 R -GPCD was 95 or more but less than 110 shall reduce its total potable water production by 20 percent for each month as compared to the amount used in the same month in 2013. (7) Each urban water supplier whose average July- September 2014 R -GPCD was 110 or more but less than 130 shall reduce its total potable water production by 24 percent for each month as compared to the amount used in the same month in 2013. (8) Each urban water supplier whose average July- September 2014 R -GPCD was 130 or more but less than 170 shall reduce its total potable water production by 28 percent for each month as compared to the amount used in the same month in 2013. (9) Each urban water supplier whose average July- September 2014 R -GPCD was 170 or more but less than 215 shall reduce its total potable water production by 32 percent for each month as compared to the amount used in the same month in 2013. (10) Each urban water supplier whose average July- September 2014 R -GPCD was 215 or more shall reduce its total potable water production by 36 percent for each month as compared to the amount used in the same month in 2013. (d)(1) Beginning June 1, 2015, each urban water supplier shall comply with the conservation standard specified in subdivision (c). (2) Compliance with the requirements of this subdivision shall be measured monthly and assessed on a cumulative basis. (e)(1) Each urban water supplier that provides potable water for commercial agricultural use meeting the definition of Government Code section 51201, subdivision (b), may subtract the amount of water provided for commercial agricultural use from its potable water production total, provided that any urban water supplier that subtracts any water provided for commercial agricultural use from its total potable water production shall: (A) Impose reductions determined locally appropriate by the urban water supplier, after considering the applicable urban water supplier conservation standard specified in subdivision (c), for commercial agricultural users meeting the definition of Government Code section 5 120 1, subdivision (b) served by the supplier; (B) Report its total potable water production pursuant to subdivision (b)(2) of this section, the total amount of water supplied for commercial agricultural use, and shall identify the reduction imposed on its commercial agricultural users and each recipient of potable water for commercial agricultural use; (C) Certify that the agricultural uses it serves meet the definition of Government Code section 51201, subdivision (b); and (D) Comply with the Agricultural Water Management Plan requirement of paragraph 12 of the April 1, 2015 Executive Order for all commercial agricultural water served by the supplier that is subtracted from its total potable'water production. 9 Attachment 2 (2) Submitting any information pursuant to subdivision (e)(1)(B) or (C) of this section that is found to be materially false by the board is a violation of this regulation Punishable by civil liability of up to five hundred dollars ($500) for each day in which th e violation occurs. Every day that the error goes uncorrected constitutes a separate violation. Civil liability for the violation is in addition to, and does not supersede limit, any other remedies, civil or criminal. or (t)(1) To prevent waste and unreasonable use of water and to promote water conservation, each distributor of a public water supply that is not an urban water supplier shall take one or more of the following actions: (A) Limit outdoor irrigation of ornamental landscapes or turf with potable water by the persons it serves to no more than two days per week; or (B) Reduce by 25 percent reduction its total potable water production relative to the amount produced in 2013. (2) Each distributor of a public water supply that is not an urban water supplier shall submit a report by December 15, 2015, on a form provided by the Board, that either confirms compliance with subdivision ther production, by month, from June'through November, 2015, 2015�and total tae Water production, by month, for June through November 2013. Potable water Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, 275, 35 and 10632, Water Code; Light v. State 0, 1846, 10617 Cal.App.4th 1463, Water Resources Control Board (2014) 226 Sec. 866. Additional Conservation Tools. (a)(1) To prevent the waste and unreasonable use of water and to promote conservation, when a water supplier does not meet its conservation standard required b section 865 the Executive Director, or the Executive Director's designee, may issue conservation orders requiring additional actions by the supplier to come into co y with its conservation standard. compliance (2) A decision or order issued under this article by the board or an officer or employee of the board is subject to reconsideration under article 2 (commencing with section 1122) of chapter 4 of part I of division 2 of the California Water Code. (b) The Executive Director, or his designee, may issue an informational order requiring water suppliers, or commercial, industrial or institutional properties that receive any portion of their supply from a source other than a water supplier subject to section 865, to submit additional information relating to water production, water use or w ater conservation. The failure to provide the information requested within 30 days or any additional time extension granted is a violation subject to civil liability of up to $500 per day for each day the violations continues pursuant to Water Code section 1846. Authority: Section 1058.5, Water Code. References: Cal. Coast., Art., X § 2; Sections 100, 102, 104, 105, 174, 186, 187 275 350, 1051, 1122, 1123, 1825, 1846, 10617 and 10632, Water Code; Light v. 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