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HomeMy WebLinkAbout04/24(2)/2001, 3 - URBAN WATER MANAGEMENT PLAN UPDATE ADcouncil 'Ap i 24 2001 ac,Enaa aEpopt "3 CITY O F SAN LUIS O B I S P O FROM: John Moss,Utilities Direct' Prepared By: Gary Henderson, Water Division Manager 4gLL- Ron Munds,Utilities Conservation Coordinator SUBJECT: URBAN WATER MANAGEMENT PLAN UPDATE CAO RECOMMENDATION Adopt a resolution approving the update to the Urban Water Management Plan, and provide staff with direction regarding any policies the Council may wish to consider further at a later time. DISCUSSION Background The City Council adopted the City's first Urban Water Management Plan (UWMP) in November 1994. This plan was submitted to the State at the beginning of 1995 to satisfy the Urban Water Planning Act requirements which calls for water purveyors to submit an update to their plans every five years. Though slightly behind schedule, the Urban Water Management Plan has been updated in accordance with the provisions of AB 797 (as amended) and will be submitted to the State upon adoption. The Executive Summary of the Plan is included as Attachment 1 to this report with the entire document available in the Council Office for review. The specific objectives of the City's Urban Water Management Plan can be summarized as follows: 1. Provide policy as a basis for future water planning relative to new development within the community. 2. Provide a description of all water supply, treatment, conveyance/distribution facilities. 3. Provide estimates of future supplemental water requirements based on population projections developed from the General Plan Land Use Element and per capita water use figures. 4. Provide an evaluation of alternative water supply sources, both short and long term, that could meet both existing and future water requirements. 5. Summarize the water treatment processes and regulations, and identify the water treatment, distribution and storage system's current deficiencies and future recommended improvements. 6. Evaluate water operating programs. 7. Comply with the Urban Water Management Planning Act, AB 797 (as amended). Another important purpose in adopting the UWMP at this time is that State Revolving Fund (SRF) loans require all applicants to have a Water Conservation Plan filed with the State. With 3-1 Council Agenda Report—Urban Water.Management Plan Update Page 2 the funding for the Water Reuse Project proposed to come as loan from the SRF, it is imperative that the City approve an updated Water Conservation Plan which is a component of the UWMP. When looking at the plan as a whole, the most significant changes involve updating dates and schedules for the water supply projects and identifying system deficiencies and the recommended improvements. The following is a summary of the changes made to the plan by chapter. Chapter One Introduction Chapter One provides a brief overview of the plan,then details the City's sources of water supply and operational information. Three new sections were added to this chapter to meet the State's requirements. The new sections are as follows: 1. Section 1.3 Water Service Area Description 2. Section 1.4.4 Agency Coordination 3. Section 1.4.5 Transfer or Exchange Opportunities The other changes to the chapter are minor modifications to reflect operational variations or changes to operational agreements since the adoption of the 1994 UWMP. Chapter Two Water Policy The UWMP adopted in 1994 identified the water policies in Chapter Two as being the Water Element to the General Plan. The Water Element has been modified several times since the adoption of the UWMP in 1994 and those modifications are reflected in this update. These previously approved modifications and the dates approved are as follows: 1. Accounting for reclaimed water(July 1996). 2. Requiring new development to continue to retrofit until a determination is made that the City is essentially retrofitted(July 1996/December 1999): 3. Better defining the use of private wells in new development (July 1996/December 1999). 4. Clarifying water allocations to new development and annexation and infill projects (December 1999). 5. Accounting for siltation and correcting the safe annual yield information (May 2000). Though no changes to Chapter Two are being recommended at this time, staff has identified the following sections should be considered for future discussion and possible modification: 1. Section 2.4 Reliability Reserve, analyze the cost and implications of establishing the reserve. 3-Z i 1 ✓ Council Agenda Report—Urban Water Management Plan Update Page 3 2. Section 2.8.1 (C)Supplying New Development, discuss the phasing out the Water Use Offset Program (retrofit to build). 3. Section 2.8.3 Reserve for Intensification and Infill Development, discuss the practicality and possible modification of this policy. 4. Section 2.10.3 Accounting for Reclaimed Water, discuss how to account for reclaimed water when the project is initiated. If the Council agrees to revisit these or any of the other water policies contained in Chapter 2, staff would request that the Council provide direction as to which policies should be analyzed for possible modification. Staff uld-teenn need to bring the issues to the Planning Commission, as an amendment to the Wat r Management Element, for their review prior to Council consideration of any propos g Staff would recommend proceeding with the adoption of the UWMP at this time in order to facilitate the timely submittal of the plan to the State, with consideration of any desired policy modifications to follow at a later date. Chapter Three Supplemental Water Supply Projects Chapter Three describes all of the water supply projects under consideration plus some alternative projects that could be considered in the future. The changes to the chapter mainly consist of updating the information to reflect the current status of each of the water projects. A new section has been added to address the possibility of increasing the yield from the groundwater basin in conjunction with our other available water.sources. The current projects are: 1. Salinas Reservoir Expansion 2. Nacimiento Project 3. Water Reuse 4. Water Demand Management (conservation) 5. Increased Groundwater Production An update of the projects, including the water conservation program, will be discussed in detail when Council is presented the Annual Water Status Report in June of this year. Chapter Four Water Operational Programs Chapter Four describes the existing water system, operation and maintenance programs, staffing evaluations, and identifies current and future system deficiencies. Most of the changes in the chapter are revisions to reflect minor changes in the system, such as additional fire hydrants and water storage tanks which have been added since adoption of the 1994 UWMR. The most significant changes to the chapter occur in Section 4.2.3,Water Distribution Infrastructure Evaluation. This section identifies specific existing deficiencies in the water 3-3 U Council Agenda Report—Urban Water Management Plan Update Page 4 distribution system. Many of the deficiencies were identified in the Draft Water MasterPlan developed in conjunction with the Airport Area Specific Plan. Chapter Five Water Fund Financial Plan Chapter Five explains the policies and procedures for setting water rates which insures there is adequate revenue to recover all operating costs. There have been no modifications to this chapter since there have been no changes in the way water rates are determined. Appendices Appendix I Appendix I is a summary of the water policies contained in Chapter Two. It is meant to be a quick reference and summary of each policy. The changes to the appendix are discussed in the Chapter Two section of this report. Appendix II Appendix II lists General Plan Land Use Element policies that affect water management and service within the City. There have been no changes to this appendix. Appendix III Appendix III is a description of the Water Conservation Program's components and services. An update to the "Best Management Practices" is included, as well as an update to the evaluations of technologies and programs section. An analysis of implementing a high efficiency washing machine rebate program has been incorporated into this appendix. Appendix IV Appendix IV is the Water Shortage Contingency Plan (WSCP). The plan includes all the recommendations made by the Council and the Planning Commissioners at the joint study session held in July 2000. The highlights of the plan are: 1. Residential per capita water allocation methodology versus a percent reduction system. 2. Revised action levels based on gallons per person per day. 3. Commercial allocations based on either a percent reduction methodology or a baseline allocation determined by business type. 4. Significant penalties for exceeding water allocations during mandatory conservation periods. 3-4 Council Agenda Report=Urban Water Management Plan Update Page 5 Appendix V & VI Appendix V will contain the most recent Water Fund analysis which will be presented to Council in May. Appendix VI will contain the most recent water impact fee analysis which will also be presented to Council in the summer of 2001. CONCURRENCES The Community Development and Finance Departments concur with the recommendations made in this report. Because this update does not modify the Water Management Element of the General Plan, Planning Commission review was not necessary. However, as noted in the report, if the Council desires further changes to policies included in Chapter 2, then Planning Commission involvement will be necessary. FISCAL IMPACT Adoption of the updated Urban Water Management Plan (UWMP)document does not directly create additional fiscal impacts on the Water Fund. Conceptual approval of water policies does not approve work programs or budget. However, the policies contained in the Urban Water Management Plan do have financial implications, all of which are examined in detail in the Water Fund review presented to Council annually in May. ATTACHMENTS Attachment 1- Executive Summary to Urban Water Management Plan Attachment 2- Resolution to adopt the Urban Water Management Plan Available in Council Office for Review: Urban Water Management Plan 3-5 Urban Water Management Plan This plan was adopted on , pursuant to San Luis Obispo City Council Resolution No. XXXX (XXXX series). San Luis Obispo City Council Allen K. Settle, Mayor John Ewan Jan Howell Marx Christine Mulholland Ken Schwartz City of San Luis Obispo Utilities Department 879 Morro Street San Luis Obispo, CA 93401 805.781.7215 1. Foreward This Urban Water Management Plan was developed jointly by City of San Luis Obispo Utilities,Community Development and Finance Departments as a single policy and resource document. It is intended to consolidate information regarding policies and programs as they relate to the City's water resources. As a planning document,this Urban Water Manage- ment Plan was intended to provide the basis upon which the Utilities Department would pursue development of water resources,programs and services. As the City progresses with the various proj ects and programs identified in this document,it will be necessary to review and modify this document,especially as it relates to the policies established herein. The Urban Water Management Plan is structured to serve as an easily-understood water policy and resource guide. Following the introduction,the major policies are stated, followed by a description and analysis of the projects,programs and financial consider- ations necessary to support those policies and the goals of the City's General Plan. The chapter on policies,Chapter 2,is structured to first identify the policy and its relation to other policies contained in the plan,then to provide the"basis"of that policy or the rationale used in malting the policy decision. This format creates a document where the substantive policy information is readily retrievable without having to search the text for the actual policy statement. Chapter 2 serves as the Water Element to the General Plan. The Urban Water Management Plan is updated every five years but maybe revised more often. To insure the most up-to-date policies,the reader should refer to the Water Management Element. Cross references to other elements in the City's General Plan are indicated in the galleys by The policies and information contained in this Urban Water Management Plan provide the necessary policy support for the water-related ordinances and regulations contained in the Municipal Code(Titles 4,14 and 17). Planning for the development and wise use of our water resources is of paramount impor- tance to the City of San Luis Obispo..This Urban Water Management Plan the polices contained here in will provide the foundation for responsible waterresource planning. ii uusan wateR management plan - city of san LUV? i Table of Contents EXECUTIVE SUMMARY V CHAPTER 1: INTRODUCTION 1 1.1 Purpose And Scope 1 1.2 Relationship To General Plan 2 1.3 Water Service Area Description 2 1.4 Current Water Sources 3 CHAPTER 2: WATER POLICY 13 2.1 Safe Annual Yield 13 2.2 Water Conservation 16 2.3 Water Demand Projections 17 2.4 Reliability Reserve 21 2.5 Siltation At Reservoirs 22 2.6 Supplemental Water Requirements 24 2.7 Multi-Source Water Supply 25 2.8 Allocation Of New Water Supplies 26 2.9 Water Allocation And Offsets 28 2.10 Reclaimed Water 29 2.11 Water Service Within The City 31 CHAPTER 3: SUPPLEMENTAL WATER SUPPLY PROJECTS 32 3.1 Salinas Reservoir Expansion Project 33 3.2 Nacimiento Project 35 3.3 Water Reuse 38 3.4 Water Demand Management 41 3.5 Increased Grondwater Production 42 3.6 Other Project Alternatives 44 CHAPTER 4: WATER OPERATIONAL PROGRAMS 46 4.1 WaterTreatment 47 4.2 Water Distribution 51 4.3 Water Customer Service 60 4.4 Telemetry 62 4.5 Water Conservation 65 CHAPTER 5: FINANCIAL PLAN 69 5.1 Annual Water Fund Review 70 5.2 Impact Fees 73 (CONTINUED) My of san lues osispo- urian wateR management plan 3-8 iii Table of Contents FIGURES Figure 1: Whale Rock Conveyance System 6 Figure 2: Available/Projected Water Supplies 32 Figure 3: City's Water Supply and Conveyance System 47 Figure 4: Pressure Zones 52 Figure 5: Storage Facilities 53 Figure 6: Water Transmission Schematic 54 TABLES Table 1.3.0: Population Projections 2 Table 2.1.1: Safe Annual Yield 14 Table 2.3.1: Water Use 1980-1993 19 Table 2.3.2:1Per Capita Water Use 20 Table 2.3.4: Calculation of Present(2000)Water Demand 21 Table 2.5.1: Salinas Reservoir Capacity Studies 23 Table 2.6.1: Required Safe Annual Yield for General Plan Build-Out 24 Table 2.6.2: New Water Supply Requirements(In Acre Feet) 25 Table 4.5.3: Water Savings Through Hardware Retrofit 67 APPENDICES iv urian wateu manaGement plan - city of san Ujis J- 9sispo Executive Summary URBAN WATER MANAGEMENT PLAN This summary describes the purpose,water policies,operations,and a basis for financial analysis of the Urban Water Management Plan(Plan). The goal of the summary is to provide a clear, concise overview of the water planning and management decisions facing the City of San Luis Obispo. PURPOSE AND SCOPE The purposes of the Plan are to assist in formulating long range City water policy, determine needed improvements in the water supply and distribution systems,identify needed expansion to reach General Plan goals,and develop a financial plan for achieving the recommendations presented in this document. The specific objectives of the Plan can be summarized as follows: • Provide estimates of future supplemental water requirements based the Land Use Element and per capita water use figures. • Provide an evaluation of altemative supplemental supply sources that could meet projected water requirements. Summarize water treatment processes and regulations,and identify the watertreatment,distribution and storage systems current deficiencies and fixture needs. • Consolidate previous water policy. • Evaluate the Water Conservation Program. Comply with State Law,AB 797,the Urban Water Management PlanningAct. URBAN WATER MANAGEMENT PLAN SUMMARY This Executive Summary condenses the Plan into the following six main areas: 1.2 The Plan's Relationship to the General Plan 1.3 Current Water Supply Sources 2.0 Water Policy 3.0 Supplemental Water Supply Projects 4.0 Water Operational Programs 5.0 Financial Plan city of San lues OBISpO- uuaan wateR management plan 3_10 v Executive Summary 21 T TO THE GENERAL PLAN AND OTHER' DOCUMENTS Chapter 2 ofthis Plan reflects the General Plan's Water Management Element,first adopted in 1987. This plan includes all information needed to comply with state law AB 797;the Urban Water Management Planning Act. Implementation progress of this plan will be presented to the Council on yearly basis as part ofthe Annual Water Status Report. 1:3 WATER SERVICE AREA DESCRIPTION The City of San Luis Obispo is located halfway between Los Angeles and San Fran- cisco,situated in a coastal valley approximately 10 miles from the Pacific Ocean. It's Mediterranean climate provides for mild and dry summers and cool winters,with an average rainfall of about 20 inches per year. 1 .4 CURRENT WATER SUPPLY SOURCES The City of San Luis Obispo currently receives water from three sources, Salinas Reservoir, Whale Rock Reservoir, and local groundwater. The City has depended on imported supplies from Salinas Reservoir,located near the community of Santa Margarita, since 1944 and Whale Rock Reservoir,located near the community of Cayucos,since 1964. With the onset of the drought in 1986, resulting in decreasing surface water supplies,the City activated its groundwater sources in 1989. The Whale Rock Reservoir provides water to the City of San Luis Obispo, California Polytechnic State University, and the California Mens Colony as well as the town of Cayucos. The City staff work closely with staff from the other entities relative to water planning issues. The City of San Luis Obispo is represented on the county-wide Water Resources Advisory Committee (WRAC). The WRAC is an advisory committee to the County Board of Supervisors on issues pertaining to water resource planning. The City of Morro Bay and the Whale Rock Commission(which the City is a member agency) executed an agreement in June of 2000 which provides for Mutual Aid be- tween agencies during disruption of water deliveries or lack of available water sup- plies. A uuBan watEu management plan - city of san 1i n Ispo Executive Summary 0 WATER POLICY The following policy statements and basis for policy summaries provide the foundation for delivering an adequate supply of water to meet current and projected demands for the City of San Luis Obispo. Safe Annual FA SAFE ANNUAL YIELD Yield POLICY 2.1.1 Basis for Planning The City will plan for future development and for water supplies based on the amount of water which can be supplied each year, under critical drought conditions. This amount, called "safe annual yield", will be adopted by the City Council. The safe annual yield determination will be revised as significant new information becomes available, and as water sources are gained or lost. The determination will consider a staff analysis,which will recommend an amount based on coordinated use of all water sources. Each change to safe annual yield will be reflected in an amendment of the Water Management Element and will be updated in this plan every five years. 2.1.2 Safe Yield Amount The City's safe annual yield, from► the coordinated operation of Salinas and Whale Rock Reservoirs and 500 acre feet of goundwater,is shown in Table 2.1.1 The safe annual yield includes reductions due to siltation at the reservoirs,discusses in more detail in Section 2.5. 2.1.3 Groundwater A) The amount of groundwater which the City will rely upon towards safe annual yield is identified in Section 2.1.2. The City will maximize the use of groundwater in conjunction with other available water supplies to maximize the yield and long term reliability of all water resources and to minimize overall costs for meeting urban water demands. The City shall monitor water levels at the well sites to determine whether reduction or cessation of pumping is appropriate when water levels approach historic low levels. B) The City will not compete with local agricultural use of groundwater outside the urban reserve line or damage wildlife habitat through reduced natural stream flows in obtaining long-term sources of water supply. crty of san Luis ostspo - uuaan wateR management plan 3-12 Vii � I 4T'CA Giw.1�-•T Executive Summary BASIS FOR POLICY SUMMARY The safe annual yield of a reservoir depends on rainfall,the resulting runoff;evaporation,and releases for purposes other than the supply in question(such as required releases for downstream uses). The estimation of safe annual yield is based on historical hydrological data. The City has developed a mathematical computer model of the Salinas and Whale Rock Reservoirs,which accounts for all the factors that result in safe yield amount. The current safe annual yield amount results from using data from 1943 through 1999. This period includes the drought periods of 1946-51, 1959-61, 1976-77,and 1986-91. The current calculation reflects taking advantage ofdifferences between the reservoirs through coordinated operation which means the City uses Salinas first,since it gains and loses water faster than Whale Rock,which is used as a backup source. Water 6� 2.2 WATER CONSERVATION mon POLICY 2.2.1 Long-term Water Efficiency The City will implement water efficiency programs which will maintain long-term,per- capita usage at or below the per capita use rate as identified in Section 2.3.2. 2.2.2 Short-term Water Shortages Short-term mandatory measures, in addition to the long-term programs, will be implemented when the City's water supplies are projected to last three years or less, based on projected water consumption,coordinated use of all City water supplies sources, and considering the drought pattern on which safe yield is based(or response to other situations which may interrupt supply). BASIS FOR POLICY SUMMARY Water conservation was first referenced as a part of the City's water management policy in the 1973 General Plan. In 1985,the City adopted the Annual Water Operational Plan policy which established water conservation as a means to extend water supplies during projected water shortages. During this time,many technological and philosophical changes have occurred which are proving water conservation to be both a short term corrective measure for immediate water supply shortages and a long term solution to water supply reliability. Viii urian wateu manarlement plan - city of sangill Ispo Executive Summary .3 WATER DEMAND PROJECTIONS Water Demand POLICY 2.3.1 _ Basis of P_roiections The Citywill project water requirements,considering long-term conditions and the full range of water uses in the City. 2.3.2 Water Use Rate The City shall use 145 gallons per person per day(approximately 0.162 acre-feet per person per year) and the number of City residents to plan total projected future water demand. This quantity will be revised if warranted by long-term water use trends, including differences in the relationship between residential and nonresidential usage. (Throughout this Plan, 145 gallons per person per day is used in computations of future water demand.) 2.3.3 Overall Projected Water Demand Applying 145 gallons per person per day to a.projected City resident population of about 56,000 at General Plan build-out results in a projected water demand of 9,096 acre-feet per year, (excluding demand from the Cal Poly campus,which has separate entitlements). 2.3.4 Present Water Demand Present water demand shall be calculated by multiplying the water use rate identified in Section 2.3.2 by the current city population(as determined by the California Department of Finance,Population Research Unit). BASIS FOR POLICY SUMMARY The City must know how much water will be needed to serve residents,businesses,and other users which could be accommodated by the General Plan. This quantity can be projected using different methods. All methods involve assumptions about both future usage rates and the numbers and types of users expected in the future. The quantity expressed in the policy above corresponds closely with both (1) total citywide usage compared with total resident population and(2)projections of water demand.based on usage by various land use categories. city of san Luis osispo - uusan wateR manarlEment plan 3-14'x Executive Summary Reliability 2.4 RELIABILITY RESERVE Reserve POLICY In seeking and accounting for new water supplies,the Citywill strive for a`reliability reserve" of 2,000 acre feet of safe annual yield(about 20 percent ofproj ected water demand at full build-out). BASIS FOR POLICY SUMMARY The Council supported the reliability reserve concept in March 1993,by amending the Water and Wastewater Management Element to include it. The reserve will help maintain adequate water supplies during unpredictable changes, such as a new worst case drought, loss of a water source, contamination of a water source, or failure of a Siltation at new source to provide projected yield,but not to allow additional development. Reservoirs � 15 SILTATION AT SALINAS AND WHALE ROCK RESERVOIRS POLICY The City shall account for siltation in the adoption of the safe annual yield as identified in Policy 2.1.2. The estimated annual reduction in safe annual yield from Salinas and Whale Rock Reservoirs is 10 acre-feet per year. BASIS FOR POLICY SUMMARY Siltation at reservoirs is a natural occurrence which can substantially reduce the storage capacity over long periods. The reduction of available storage will reduce the safe annual yield of the reservoir. Siltation at reservoirs varies depending on factors such as rainfall intensity, and watershed management practices. There have been numerous reports addressing siltation at Salinas Reservoir, but no studies have been done for Whale Rock Reservoir. During the recent drought,water at Salinas Reservoir fell to a record low level. An aerial survey of the reservoir was prepared in order to update storage capacity information. The latest information indicates that the siltation rate is on the order of40 acre-feet per year. Since no information is available to indicate what rate of siltation is occurring at the Whale Rock Reservoir,it is assumed for planning purposes that the annual average rate of siltation is similar to Salinas Reservoir. X uusan watEn manaGEment plan - city of san�io�ispo L\_r�CAN" Executive Summary 2.6 SUPPLEMENTAL WATER REQUIREMENTS Supplemental Water POLICY 2.6.1 Supplemental Water Requirement The City shall develop additional water supplies to meet the projected demand at build-out ofthe City's General Plan,to establish the reliability reserve,and to offset water yields lost due to siltation. The supplemental water supply amount shall be based on the adopted per capita water use figure identified for planning purposes in Section 2.3. 2.6.2 Supplemental Water Sources , In deciding on appropriate sources of supplemental water,the City will evaluate impacts on other users of the water and other environmental impacts,total and unit costs,reliability, CO 2.1.3 water quality,development time,and quantity available. CO 2.1.4 CO 2.1.5 2.6.3 Paving for Supplemental Water for New Development The cost for developing new water supplies necessary for new development will be paid by impact fees set at a rate sufficient to cover the annual debt service cost of the new water LU Goal 22 supplies attributable to new development. BASIS FOR POLICY SUMMARY Based on the Land Use Element adopted by the City Council in August 1994 and the per capita use rate,the projected total amount of water for the City to serve General Plan build-out is 11,596 acre feet. This figure includes the 2,000 acre feet reliability reserve and accounting for siltation at the reservoirs. Multi- 2.7 MULTI-SOURCEWATER SUPPLY Source Water POLICY Supply The City shall continue to develop and use water resources projects to maintain multi- source water supplies, and in this manner,reduce reliance on any one source of water supply and increase its supply options in future droughts or other water supply emergencies. BASIS FOR POLICY SUMMARY Having several sources of water can avoid dependence on one source that might not be available during a drought or other water supply emergency. The Council has supported having multiple sources since adopting the General Plan Water Management Element in 1987 and by endorsing the above policy statement in November 1990. city of san Luis owspo- u2mn wate2 manacement plan 3 16"i Executive Summary Allocation .8 ALLOCATION OF NEW SUPPLIES, of New Supplies POLICY 2.8.1 Balancing Safe Annual Yield and Overall Demand When new water sources are obtained,the additional safe annual yield shall be allocated first to eliminate any deficit between safe annual yield(Section 2.1)and present demand as defined in Sections 2.1 and 2.3.4 at the time the new source is obtained. 2.8.2 Supplying New Development LU1.13.1 LU 1.13.4 1) The City will determine the water availability for allocation based H 2.3.6 solely on the adopted per capita water use rate(policy 2.3.4)times CO 2.1.2 the current city population. This value is then subtracted from the adopted safe annual yield value to determine the amount of allocation available each year. Available allocations will be assigned to development in a way that supports balanced growth,consistent with the General Plan. Allocations from anew water supply project shall be considered available at the time project construction is initiated B) Any additional safe annual yield beyond that needed to balance safe annual yield and present demand will be allocated(A)one- half to the reliability reserve and compensating for reduced yields due to siltation and(B)one-half to development, subject to the requirements in Section 2.8.3,"Reserve for Intensification and Infill". C) Until a determination is made by the City Council that essentially all toilet and showerhead fixtures in the City are replaced with low flow toilet and showerhead fixtures,projects may be built if the developer makes changes,in facilities served by the City,which will reduce long-term water usage equal to twice the water allocation required for the project. 2.8.3 Reserve for Intensification and Infill Development The City will annually update the water available for allocation based on the difference between the adopted safe annual yield (policy 2:8.1) and the present water demand (policy 2.3.4) as part of the annual Water Resources Status Report. One-half of the water available for allocation(not to exceed the total required for infill and intensification), as identified in the Water Resources Status Report,will be reserved to serve intensification and infill development within existing city limits as of July 1994. 2.8.4 Accounting for Reclaimed Water Reclaimed water will be added to the City's Safe annual yield consistent with policies contained within this document for other water supply projects. Al urian wate>z manacement plan - city of san,uus„ogtspo Executive Summary 2.8.5 Private Water Supplies When developments are supplied by private groundwater wells,the yield of those wells will not be counted toward the City's safe annual yield. Such yield,however,will result in the demand for City water supply being lower than it otherwise would be,which may necessitate adjustments of the per capita water usage figure used to estimate overall demand. BASIS FOR POLICY SUMMARY The City is pursuing additional water supply projects. The City must address how the added yield from these projects will be allocated,since the yield added at anyone time may not supply all potential uses. The City has identified the following potential uses for the new supplies: a Eliminating the deficit(if any)between adopted planning water usage figures and safe yield; • Compensating for reduced.yields due to reservoir siltation; Establishing a reliability reserve; a Providing fordevelopment ofmore dwellings,businesses,and public facilities. The policies objectives are to balance the needs of all the areas identified while not compounding the potential water shortage problems for existing residents of the City. Water Allocation 2.9 WATER ALLOCATION AND OFFSETS and Offsets POLICY 2.9.1 Exemptions for Offsets 1) The City will not allow a project to reduce or eliminate the amount of the required allocation or offset,to the extent that the project is supplied by a private well,with the following exceptions: A) The City may reduce the amount of the required water allocation,to the extent that the project is supplied by a private well serving non-potable water needs (such as irrigation)which will not significantly affect the yield of City wells. Such a well may be operated by the owner of the property containing the well only for the owner's use. As an exemption,the City may allow a well to supply landscape irrigation on more than one parcel'ifthe irrigation is: city of san Luis oeispo - uRaan wateR management plan 3-13.19 Executive Summary 1. for the common area of a condominium com- plex of other development with similar common areas as approved by the Utilities Director,and the well and irriga- tion systems are under the control of an owner's associa- tion;or 2. in a single commercial development,and the well and irrigation system are subject to a recorded agree- ment among parcel owners,which is acceptable to the Utili- ties Director and the City Attorney,and which establishes responsibilities for operation and maintenance of the com- mon areas served by the well. B) When an allocation or potential offset is not available,a well may be allowed to eliminate the required offset for potable water needs only as an interim source until a new Citywater source is available. Once a new source becomes available,the project will be required to acquire an allocation from the City. Impact fees will be due at the time the development is approved. C) The City Council approves the well proposal as part of a specific land development project approval, and the proposed well system meets all City standards;and D) A qualified, independent, hydrological investigation demonstrates that the well(s)reliably can provide sufficient quality and quantity of water for the proposed land development project and will not impact the yields from Citywells. 2.9.2 Basis for Allocations and Offsets H 6.3.6 Required allocations and offsets will be based on long-term usage for each type of development. (These use and offset factors will be determined and published by the City,and may be revised,as warranted by new information.) BASIS FOR POLICY SUMMARY In 1988, the City began to formally account for long-term water usage in new development. As a result of the 1986-1991 drought,the City decided that there should be no new development that would increase water use unless safe yield and present use would be balanced. Nearly all construction since 1990 has been replacement buildings, remodels, or projects which retrofitted facilities to save(offset) twice the amount of water or water allocation necessary to serve the project. xiv uRBan water management plan - city of sant illIspo Executive Summary 10 RECLAIMED WATER Reclaimed Water POLICY 2.10.1 Reclaimed Water Ouality The City will produce high quality reclaimed water,suitable for a wide range of non-potable uses. LU 7.10 OS 12.3.6B 2.10.2 Uses of Reclaimed.Water CO 2.1.9 The City will make available reclaimed water to substitute for existing potable water uses as allowed by law and to supply new non-potable uses. When deemed appropriate by the Utilities Director,new development shall be equipped with dual plumbing to maximize the use of reclaimed water for non-potable uses. 2.10.3 Accounting for Reclaimed Water Reclaimed water will be added to the City's safe annual yield consistent with the policies contained within this document for other water supply projects. BASIS FOR POLICY SUMMARY Reclaimed water is highly treated wastewater(sewage) which can be used for many nonpotable uses such as landscape irrigation,industrial processes,and toilet flushing in certain types of buildings. Use of reclaimed water will require a separate distribution system from potable water lines. Reclaimed water can be used to supply nonpotable uses in new development and to offset potable uses in existing development. These potential uses require a deliberate method to account for reclaimed water use, consistent with policies concerning total water requirements and other water sources. Mater Service bVithin the 2.11 WATER SERVICE WITHIN THE CITY City POLICY 1. The City will be the only purveyor of water within the City. 2. Appropriate use of privately owned wells may be allowed with the approval of the Utilities Director,consistent with policies 2.8.5 and 2.9.1. city of san Luis owspo - ummn wateu manaoment plan 3_2nxv Executive Summary BASIS FOR POLICY SUMMARY Historically,the City has been the sole water purveyor within the City limits. This allowed the Cityto maintain uniformityofwater service and distribution standards,and to be consistent in developing and implementing water policy. In continuing to be the sole water purveyor, the Citywill maintain control over water quality,distribution and customer service,as well as ensure consistency with the City's General Plan policies and goals. .0 SUPPLEMENTAL WATER SUPPLY PROJECTS CO 2.1.2 POLICY The City shall pursue the expansion of the Salinas Reservoir,the Nacimiento Reservoir Project,water reuse,water demand management activities,and increased groundwater as supplemental water supply sources to meet current and projected water demand. INTRODUCTION The City has been pursuing several water supply options over the past several years to secure adequate supplies to meet current and projected future demand. The following section discusses the projects presently being considered by the City. ,�.1 SALINAS RESERVOIR EXPANSION PROJECT The Salinas Dam was constructed by the War Department in 1941 to provide water to Camp San Luis Obispo and the City of San Luis Obispo. The original construction plans for the dam included the installation of an operable spillway gate to provide an estimated storage capacity of approximately 45,000 acre-feet. A small fault was discovered beneath the dam during construction. Therefore,the gates were not installed because of stability concerns. The Project envisions the installation of the originally planned spillway gates to increase the storage capacity from 23,843 acre feet to 41,792 acre feet'. The additional storage capacity would result in an estimated increased safe annual yield of 1,650 acre feet per year. xvi uusan wateu manaclement plan - city of san,kus gfispo ATTM6 C-AA,"i_ Executive Summary The revised environmental impact report for the project was certified by the CityCouncil in June of 1998 and the Notice ofDetermination was filed on November 13,2000. Additional studies required as a condition ofthe City's water right permit issued by the State Water Resources Control Board will be pursued over the next several years. The City will also be undertaking additional review ofthe recent seismic analysis that indicates that the dam with the spillway gates installed may not meet State Division of Safety ofDam standards without significant strengthening measures. These studies and issues will be evaluated and presented to the Council along with the studies being undertaken on the Nacimiento Project to detemrine which water supply proj ect should be pursued to meet the City's water supply needs. .2 NACIMIENTO RESERVOIR PROJECT The Nacimiento Reservoirprovides flood protection and is a source of supply for groundwater recharge for the Salinas Valley. Itis owned and operated by the Monterey County Flood Control and Water Conservation District. The San Luis Obispo CountyFlood Control and Water Conservation District(District)has an entitlement of 17,500 acre-feet per year of water from the reservoir. The preliminary feasibility studyhas been divided into three phases and District has requested that agencies interested in future participation share the costs associated with the studies. Phase I ofthe study evaluated the reliability ofthe reservoir to deliver water at a maximum amount of 17,500 acre-feet per year and was completed in December 1992. The purpose ofPhase II is to evaluate and recommend equitable apportionment ofthe District's entitlement to interested agencies,to analyze and determine the best pipeline alignment,to determine facility requirements,estimate costs,and to determine probable environmental impacts and mitigation measures. The reports were completed in December 1993. Phase M work involves preparation ofthe preliminary engineering and the environmental impact report.The draft EIR was released in August 1997 and numerous comments and concerns were raised during public review. Due to pipeline routing concerns,anew alignment through Camp Roberts was investigated and was determined to be a viable alternative. A revised draft EIR is currentlybeing prepared based in the new alignment and is expected to be released for public review in early 2002.Following certification ofthe EK interested agencies will be required to commit to the project. Assuming sufficient project support,the project design would be initiated which is expected to take twelve months. Project OS 12.3.6B construction is estimated to take twelve to eighteen months. Based on those assumptions, the earliest the City could expect to receive Nacimiento water would be 2005 city of san tuts owspo - tmmn wateR manacement plan 3_2fii Executive Summary .3 WATER REUSE Reuse ofthe highlytreated waterproduced bythe City's WaterReclamation Facility(WRF) is a drought resistant portion of the City's multi-source water plan. The WRF produces approximately 4,000 acre-feet of disinfected tertiary treated reclaimed water per year. This water is suitable for most uses other than drinking and food preparation. Since most of the recycled water will be used for irrigation,it is estimated that only 1,200 acre-feet will actually be usable in the long-term. This is because demand for irrigation water is very limited during the winter while discharge from the WRF is fairly constant. The City does not plan to construct a seasonal storage facility at this time. The Water Reuse Project will construct a distribution system to deliver reclaimed water to large volume customers. The system will be designed for future expansion to serve small volume users,when it becomes economically feasible to do so. The City's Wastewater Division will operate the WRF and the water reuse pumps and filters located at the treatment Plant. The City's Water Division will operate and maintain the water reuse distribution fern. .4 WATER DEMAND MANAGEMENT Water demand management practices and technology have advanced significantly in the last several years in reaction to the drought of 1986-1991. Historically, water demand management was viewed as an emergency response to extreme water shortage situations. The importance of using our water resources wisely and efficiently is imperative to assure adequate,reliable water supplies in the future.. In September 1991, the City Council approved and authorized the Mayor to sign the "Memorandum of Understanding"(MOU)regarding urban water conservation and the implementation of the "Best Management Practices" (BMP's). This signifies a commitment to implement and evaluate the water efficiency measures presented in the MOU. Using the BMP's as a road map for future water demand management program implementation, a balanced program of providing information and assistance to the City's water customers is necessary to maintain the water use levels required to"stabilize the City's water supplies." • .5 INCREASED GROUNDWATER PRODUCTION Prior to the drought of the late 1980's, the City of San Luis Obispo had not used groundwater to meet the City's water demand since the early 1940's.. In response to the drought conditions,the City drilled new wells and began using groundwater in April 1989. Beginning.in 1992, elevated levels of nitrates in the basin greatly curtailed the use of groundwater within the City. xviii uRsan wateR manaGsmsnt plan - city of san NiTJIspo Executive Summary The City is currently investigating the potential for increasing ground water production. Preliminary information indicates that an additional 890 ace feet of groundwater could be attained through a coordinated operation of all the City's available water sources. The additional groundwater production will require treatment to remove PCE and ni- trates from the water. 3.6 OTHER SUPPLEMENTAL WATER SUPPLY ALTERNATIVES 3.6.1 Desalination In May 1990,the City began a feasibility study for a short-term desalination facility. The preliminary analysis concluded that 3,000 acre feet per year of water could be provided at an estimated cost of 19.5 million dollars. The"Miracle March"rains of 1991 provided adequate runoffand storage in the City's reservoirs to allow the termination ofthe desalination project on April 16, 1991. Desalination may be a water supply consideration in the future if other water supply projects currently under review are not accomplished. Though considered an expensive source of water at this time,advances in technology in the future may reduce the costs to a more acceptable level. 3.6.2 Cloud Seeding The City activated a three year cloud seeding program in January 1991 in response to the drought. The program targeted the Salinas and Lopez reservoirs watersheds,and the County of San Luis Obispo paid a prorata share of the total cost of the program. Salinas Reservoir's watershed nmoff characteristics are favorable for producing significant runoffduring average rain seasons. Therefore,cloud seeding is not viewed as an annual program but as a program that the Council may approve following below normal rainfall years- 3.6.3 Groundwater Recharge Groundwater recharge using tertiary treated reclaimed water may be a future water supply alternative. Because of the capacity and recharge capabilities, there may be limited opportunities for recharging the groundwater basin. The State Department of Health Services have very stringent regulations governing such non-potable water recharge projects. An extensive analysis and study evaluating costs, water recharge potential, and potential storage or injection sites will be required before pursuing such a project. crty of san lues osispo - uusan wateu manar4ement plan 3-24 ix Executive Summary .O WATER OPERATIONAL PROGRAMS POLICY The City shall sustain city-wide water efficiency programs and provide an adequate supply ofhigh qualitywaterwhich: :Z Mats all Federal and State standards; Provides uninterrupted water flow at sufficient pressures; Provides fire protection. The City shall allocate funding to meet the goals and objectives presented in this chapter (also see Chapter 5). The City should strive to replace aging water lines at the annual rate of 2%of the replacement value of the water distribution system. INTRODUCTION This section will describe the existing water system, operation and maintenance procedures,and identify current and future system deficiencies. 4.1 WATER TREATMENT . Over the past twenty years,surface water treatment and groundwater treatment standards and regulations have become more stringent. With the enactment of the Safe Drinking Water Act(SDWA)in 1974,Congress authorized the federal government to establish national drinking water regulations. Since that time, many amendments have been made to the act which require additional monitoring and treatment and thereby increased operational costs. For the City,the most significant issue.is the regulation aimed at reducing the formation of disinfection by-products,specifically trihalomethanes (THM's). To remain within the acceptable level of THM's,meet anticipated future surface water quality standards, and increase water treatment operational efficiency, the water treatment facility uses ozone as the primary disinfectant instead of chlorine.With the use of ozone,THM levels have been significantly reduced,and meet all federal and state standards. In November 1992,nitrate levels in the Auto Park Way well exceeded State standards, so that well was taken off-line. The City's Denny's well experienced similar increase in nitrate levels and was taken off-line in June 1993. Treatment alternatives for nitrate removal will be recommended as part of the study to increase groundwater production. xx ummn wateu manaGement plan - city of san lin ispo Executive Summary 4.2 WATER DISTRIBUTION ' The water distribution program delivers potable water from the water treatment plant and wells to customers and fire hydrants via three concrete storage reservoirs,nine pump stations, nine water tanks,and approximately 150 miles ofwater mains. Some pipes are over 100 years old,and many are too small to meet current fire-flow requirements. The Cityfor many years did not fund distribution system replacement sufficiently to ensure replacement prior to reaching the end oftheinfrastructure'sservice life. Because ofthis,the currentwaterdistnbution staffworkload is limited mainly to corrective maintenance with minimal time for preventative maintenance. The City has adopted a goal of replacing about 2%of the water system annually and has been budgeting approximately 1 million dollars per year for distribution system replacement projects since the mid-1990's. 4.3 WATER CUSTOMER SERVICE The Water Customer Service Program is responsible for accurately measuring water delivered through the distribution system to the City's 13,700 customers. Other duties include the repair of meter leaks,meter replacement and testing,and the starting and discontinuance of service. The current program needs are being met with assistance from the water distribution crew during peak workload periods. Future growth will add a significant number of water meters which may require additionalstaffmg. As areas are annexed,an analysis of staffing impacts will be performed and recommendations presented to Council. .4 TELEMETRY Telemetry literally means`measuring at a distance". Telemetrybecame part of the Utilities' operations in 1988 when the Regional Water Quality Control Board required installation of alarms on the Citywastewater collection lift stations. It has evolved into complex computer network,monitoring the City's water and wastewater systems. When completed,the telemetry system will save staff time by allowing the monitoring and system adjustments to be made from a central location,add reliabilityto the water system,and insure the Cityis in compliance with federal and state regulations. 4.5 WATER CONSERVATION In June 1985,the Council adopted the Annual Water Operational Policy which established a procedure to monitor the City's water supply situation. An integral component of the H 9.1.1 policy was the establishment of a water demand program aimed at instituting preventative H 9.3.6 measures when water supply deficits are proj ected. city of san lues osispo - unBan wateR manac,Ement plan 3-2Ci Executive Summary Water conservation has two primary components,short-term and long-term water demand management. Short-term activities address immediate water shortage situations caused by prolonged below normal rainfall or disruption in water service due to natural disaster such as an earthquake. Due to the drought and water shortages experienced from 1989 to 1992,the short-term measures were developed.Based on the lessons learned from the drought,an update to the water shortage contingency plan has been completed. Long-termpmgrams makepermanentreductions mwaterdemand while minimallyimpacting customer's life-styles. In September 1991,the Cityapproved and signed the"Memorandum of Understanding"(MOU)regarding urban water conservation and the implementation of the"Best Management Practices"(BMP's). The BMP's act as a road map for the City's CO 2.1.8 long-term water conservation program. 5.0 FINANCIAL PLAN POLICY The City's policy is to fully recover all water costs which include,operations,maintenance, capital,debt service,and appropriate overhead,through water revenues. Resolution No. 6447 states the primary goals of the City's water utility are to provide quality water service to its citizens and to function as a self-sufficient enterprise. Under the policy,all water revenues are used only for water purposes. The water fund will reimburse the general fund for all indirect costs pursuant to the approved cost allocation plan. Water impact fees were established in 1991 to pay for needed facilities and improvements reasonably related to new development within the City. These fees are adjusted annually to account for changes in the cost of construction or other considerations which affect the reasonable relationship between the fees and the cost of facilities and improvements on which the fees are based. Xxii uRsan wateR management plan - city of san jui;%�ispo ATTACHMENT 2 RESOLUTION NO. (2001 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADOPTING THE REVISED URBAN WATER MANAGEMENT PLAN WHEREAS, the California Legislature enacted Assembly Bill 797 during the 1983-1984 Regular Session, and as amended subsequently, which mandates that every supplier providing water for municipal purposes to more than 3,000 customers or supplying more than 3,000 acre feet of water annually,prepare an Urban Water Management Plan; and WHEREAS, the City is an urban supplier of water providing water to a population over 40,000; and WHEREAS, the Plan shall be periodically reviewed at least once every five years, and that the City shall make any amendments or changes to its plan which are indicated by the review; and WHEREAS, the Plan must be adopted, after public review and hearing, and filed with the California Department of Water Resources within thirty days of adoption; and WHEREAS, The City has therefore prepared for public review a draft Urban Water Management Plan, and a properly noticed public hearing regarding the Plan was held by the City Council on April 24, 2001; and WHEREAS, the City of San Luis Obispo did prepare and shall file said Plan with the California Department of Water Resources. BE IT RESOLVED by the.Council of the City of San Luis Obispo that the Urban Water Management Plan, consisting of text with tables and figures, with changes reflected in the Council minutes of April 24, 2001, on file in the City Clerk's Office, is hereby adopted. Upon motion of , seconded by , and on the following roll call vote: AYES: NOES: ABSENT: the foregoing resolution was adopted this day of , 2001. 3-28 i Resolution No. (2001 Series) Page 2 Mayor Allen Settle ATTEST: Lee Price, City Clerk APP VED AS TO FORM: Jeffrey G. Jorgensen, City Attorney 3-29 EETING AGENDA vATE ITEM# 3 MEMO April 20, 2001 �UNCIL M CCD DIR To: Council Coll D M PIN DIR From Ken Schwartz P� �AC C FIRE CHIEF �'ASf4RNEY L PW DIA Copies: John Moss, Henderson, Ron Munds, �®''G 244/CPId n POLICE CHF Ken Hampian,tic John Mandeville p WEPT b a® 1� W DIR Re: Agenda Item#3,April 24a'Council Meeting Q WA QII8I URBAN WATER MANAGEMENT PLAN UPDATE I wish to propose two amendments to the UWMP—one small; one a bit more involved. 1. Pg. vi(agenda pg. 3-11) Section 1.4, Current Water Supply Sources, first paragraph, last line: ". . . supplies,the City activated its veru limited groundwater . . ." x�l u 2 Pp. xvi&Z(agenda pp 3-2-1, 22)I propose that the Nacumento and Salinas Reservoir Expansion Projects be presented as options under the title"Surface Water Expansion Options"in order to-more-f dly-explainthat while we are pursuing two possible projects,we intend to select but one. Hence, I propose the following outline of Section 3.1: 3.1 SURFACE WATER EXPANSION OPTIONS 3.1.-1 NAGIMIENTO PROJECT OPTION (No change proposed in text) 3.1.2 SALINAS RESERVOIR EXPANSION PROJECT OPTION (No change proposed in text) Rationale: I think it is more accurate to say that there are two surface water sources that we are pursuing,but that our intent is to tap into just one to satisfy the supplemental water needs for-our General Plan build-out-target. i-think that wording to this effect should be noted in the INTRODUCTION paragraph. Further, I believe the Naci project should be listed first-and the Salinas second for two reasons-.-(a)The Council appears to favor the Naci over the Salinas, and(2)It may help to clarify our intentions with the North County. It would be fair-to add-that we see the Salinas-as-a backup should-the cooperation of North County water agencies in the Naci project not be achieved by(insert drop-dead date). If the Council accepts this proposed amendment,the remaining Headings will have to be re-numbered RECEIVED APR 2 3 2001 SLO CITY COUNCIL