HomeMy WebLinkAbout07/01/2003, BUS 3 - 2003 WATER RESOURCES STATUS REPORT council "u i 1 2003
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CITY OF SAN LUIS O B I S P O
FROM: John Moss, Utilities Directdir—
Prepared By: Gary W. Henderson, Water Division Manager Zz'j u
SUBJECT: 2003 WATER RESOURCES STATUS REPORT
CAO RECOMMENDATION
1.) Receive and file report.
2.) Approve the recommended prioritization of water supply projects as identified in Table 2.
DISCUSSION
The purpose of the annual "Water Resources Status Report" (WRSR) is to provide an overview of
various aspects of the City's water resources. The attached report discusses five major topics: 1.)
Existing Water Supply Status, 2.) Multi-Source Water Supply Projects, 3.) Water Conservation
Program, 4.) Water Supply Strategies to Meet Future Needs, and 5.) Projected Water Supply
Situation.
Report Summary
Existing Water Supply Status
This past year's rainfall was average for Cal Poly and Salinas Reservoir locations but only about
73% of normal at Whale Rock Reservoir. This year's unusual rainfall pattern with early winter
storms followed by several relatively dry months and then several late rainfall events, did not
produce significant runoff into our reservoirs. The City's combined total water storage, above
minimum pool, in Salinas and Whale Rock Reservoirs is 29,522 acre feet (as of June 1, 2003)
which is 68% of the maximum City available storage. Groundwater production for 2002 was 168
acre feet.
The City's per capita water demand has increased from the low drought period (1991) use of 86
gallons per capita per day (gpcd) to 121 gped for 2002. This past year's use was below the 1997
use rate of 132 gpcd (which was the high since the end of mandatory conservation) but slightly
above last year's use of 119 gpcd (see Table 3, page 2 of WRSR). It should be noted that the 121
figure is not the amount that an average resident in the city used in 2002. The basis of the
number is the total water pumped into the water system divided by the current city population.
Thus, it reflects both residential and non-residential uses, such as businesses, churches and
schools, etc. which account for about 40% of the City's water use.
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Water Available for Development
The policies in the Water Management Element to the General Plan determine the water available
for new development. The policies use a planning figure of 145 gpcd times the current population
to determine the present demand. This figure is then subtracted from the City's adopted safe annual
yield to determine water available for development as shown in the table below.
Table 1: Water Available for Development
Year Population Present Water Safe Annual Water Available
Demand Yield 1 for Allocation
@ 145 gpcd
2003 44,359 7,204 a f. 7,510 a.f. 306 a.f.
1 From Water Management Element,Table 1: includes reductions due to siltation to date
Per Water Management Element Policy 8.1.3, one-half of the water available for allocation will be
reserved to serve intensification and infill development within existing City limits as of July 1994.
Therefore, 153 acre feet is available for infill and intensification and 153 acre feet is available to
serve new annexation areas outside the July 1994 City limits.
Multi-Source Water Supply Projects
One of the major goals of the Council is the pursuit of additional long term water supplies to meet
the current and future water demands of the community. The City is currently pursuing the Water
Reuse Project, additional groundwater resources, increased water conservation strategies, the
Nacimiento Pipeline Project, the Salinas Reservoir Expansion Project, and possibly desalination to
meet these needs. The Water Reuse Project has the potential to be accomplished in the shortest
time frame, with projected water deliveries beginning in late 2004. Following initial construction,
recycled water will offset approximately 130 acre feet per year of current potable water used for
irrigation. The project has a total potential yield of 1,200 acre feet per year.
The potential for increasing groundwater production is currently under evaluation. Proposals from
consulting firms are currently being evaluated for provision of services relative to the study and
design required to increase the City's use of groundwater resources. The current schedule for the
project envisions completion of the preliminary design in spring 2004, final design in spring
2005, and construction initiated in summer 2005. The goal of the project will be to increase
groundwater production by approximately 500 acre feet per year.
The potential for increasing yield from water conservation efforts was presented to Council in
January 2002. Based on Council direction, the 2003-05 Financial Plan includes an expanded Water
Conservation Program which includes a more aggressive efficient landscape irrigation program
and an expanded commercial sector program. Development and implementation of these
programs will take place during the 2003-04 fiscal year with progress reported in the 2004 Water
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Council Agenda Report—2001 Water Resources Status Report
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Resources Status Report. Increased conservation efforts have the potential to reduce water use
by approximately 340 acre feet per year.
On February 19, 2002, the San Luis Obispo City Council considered and endorsed the concept of
working with the City of Mono Bay to allow cooperative use of the existing Monro Bay
desalination facilities. During this past year, discussions between the two City's were held to
determine options available to allow for joint use of the facilities. Based on a reevaluation of the
City of Morro Bay's long-term water needs, the City of Morro Bay determined that it would not be
in the best interest of their City to allow for the cooperative use of the facility. As such, the
discussions relative to the cooperative use of the facility were curtailed.
The Nacimiento Pipeline Project is being administered by the County of San Luis Obispo and has
been under review for over 8 years. The revised environmental impact report is currently being
completed to evaluate the impacts associated with the project and the revise alignment of the
pipeline. The revised draft EIR is scheduled for release for public comment in July 2003 and
certification by the County Board of Supervisors in late 2003. The City of Paso Robles has recently
completed an analysis of water related issues facing their city and the Nacimiento Project was
identified as a critical project for meeting their long-term water resources needs.
The City of San Luis Obispo has been pursuing the Salinas Reservoir Expansion Project for over 11
years. This past year, no work has been undertaken on this project. While the project schedule
(Page 10 of WRSR), which was developed for last year's report, indicated a critical decision
point for July 2003, staff would recommend deferring a decision to pursue the Salinas Reservoir
Expansion Project until a decision can be made relative to participation in the Nacimiento
Project. As discussed above, the certification of the Nacimiento Project EIR is anticipated for
late 2003 with potential agency reservation agreements to be considered by interested agencies in
early 2004. Following the decision on the Nacimiento Project, Council can consider whether
aggressive pursuit of the Salinas Reservoir Expansion Project is warranted in light of the
significant hurdles that would need to be overcome.
Waxer Conservation
The Utilities Conservation Office continues to implement the Best Management Practices (BMPs)
established by the California Urban Water Conservation Council. The following is a brief summary
of the three key components of the program,which are further detailed in the WRSR.
1. Water Hardware Retrofit
Replacing higher water using plumbing fixtures such as toilets and showerheads has been the
number one priority of the Water Conservation Program over the past 14 years because of the
associated water saving potential. Since 1990, it is estimated that approximately 78% of all toilets
in the City of San Luis Obispo have been retrofit resulting in an estimated water savings of 1,430
acre feet per year. This is the largest percentage of total toilet retrofit within any community within
the State of California.
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Council Agenda Report—2001 Water Resources Status Report
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2. Technical Assistance
The Utilities Conservation Office provides technical assistance to water customers via free
indoor and outdoor water audits. The audits include indoor and outdoor leak detection services,
irrigation system evaluations, landscape plant material information and other information on how
to use water efficiently. Conservation staff performed approximately 600 water audits this past
year.
3. Public Information and Education
This is a multi-faceted component which uses free printed information, paid advertising, public
service announcements, workshops, newsletters and an in-school education program to inform
and educate the community.
4. New Water Conservation Programs
As part of the 2003-05 Financial Plan, an expanded Water Conservation Program has been included
in the budget which will focus on efficient landscape irrigation and expanded commercial sector
programs.
Water Supply Strategy to Meet Future Needs
The City is currently pursuing six potential water supply projects to meet future water demands at
General Plan build-out. Based on the information Table 2• Priority of Water Supply Projects
that is currently available on the multiple projects - - - -
being pursued and the timing and costs Tier Pro'ect
associated with each project, staff would Water Reuse
recommend the prioritization of the projects, as 1 Additional Groundwater
shown in Table 2, to meet our future needs. Additional Water Conservation
2 Nacimiento Pipeline
The revised draft of the environmental impact 3 Salinas Reservoir Expansion
report for the Nacimiento Project is expected to I Desalination
be released in July of 2003 with certification by the Board of Supervisors in late 2003. The
recommended Tier 2 prioritization for the project recognizes that this project could benefit the
City of San Luis Obispo as well as numerous other interested agencies. City staff resources will
be needed to provide review of the draft EIR and development of reservation agreements which
will allow the City Council to make a decision concerning participation in the project by this
time next year.
While the Tier 1 projects may be able to meet the projected water needs of the City, the
Nacimiento Project may be viable in enhancing the City's goal for multi-source water supplies.
In addition, the potential success of the Nacimiento Project may be better due to the recent
renewed interest in the project by the City of Paso Robles. Paso Robles has indicated that their
community's long-term water needs would be greatly strengthened by having a second water
supply. In addition, the City of Paso Robles has issues relative to their wastewater discharge
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Council Agenda Report—2001 Water Resources Status Report
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permit from the Regional Water Quality Control Board which would be improved with lower
turbidity water from Nacimiento Lake.
Projected Water Supply Situation
The City utilizes a computer program to project how long the City's available water supplies would
last based on a number of assumptions. The model uses historical drought weather patterns,
projected water demands,etc., to forecast the City's water supply position and to make certain water
policy recommendations. The model predicts current water supplies would last until October of
2008 if the City was to enter into a drought period with conditions comparable to those experienced
in the 1986-91 drought(see Figure 4 of the WRSR).
FISCAL IMPACT
There is no fiscal impact associated with the recommended action. Any fiscal impacts associated
with the pursuit of additional water supply projects or additional conservation measures have been
or will be addressed through the City's Financial Plan processes.
Attachment: 2003 Water Resources Status Report
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j City ofSan Luis Obispo
2003 Water Resources Status Report
June 2003
t
Prepared by:
Gary Henderson, Water Division Manager
Ron Munds, Utilities Conservation Coordinator
TABLE OF CONTENTS
I. EXISTING WATER SUPPLIES.......................:.................................................................1
CurrentStatus.........................................................................................................................1
WaterConsumption.................................................................................................................2
Water Available for Development...........................................................................................3
II. MULTI-SOURCE WATER SUPPLY PROJECTS...........................................................4
WaterReuse Project................................................................................................................5
Additional Groundwater Resources........................................................................................6
Joint Use of Morro Bay Desalination Facility........................................................................7
City of San Luis Obispo Desalination Facility.......................................................................8
Nacimiento Pipeline Project...................................................................................................8
Salinas Reservoir Expansion Project......................................................................................9
III. WATER CONSERVATION PROGRAM.....:.:...............:............................................10
Water Hardware Retrofining Summary................................................................................11
TechnicalAssistance.............................................................................................................11
Public Information & Education...........................................................................................12
New Water Conservation Programs.....................................................................................12
Future Water Conservation Programs..................................................................................13
IV. WATER SUPPLY STRATEGY TO MEET FUTURE NEEDS.....................................13
V. PROJECTED WATER SUPPLY SITUATION.................................................................15
ReservoirStorage Curve.......................................................................................................15
VI. SUNEWARY..........................................................................................................................15
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City of San Luis Obispo
2003 Water Resources Status Report
The Water Resources Status Report for the City of San Luis Obispo is prepared annually by the
Utilities Department to provide the City Council and interested members of the community with
an update of the status of existing water resources as well as water supply projects being pursued
to meet the community's future needs. The report covers five main areas: 1.) Existing Water
Supply Status, 2.) Multi-Source Water Supply Projects, 3.) Water Conservation Program, 4.)
Water Supply Strategy to Meet Future Needs, and 5.) Projected Water Supply Situation. The
report provides an opportunity to evaluate the existing water supply situation for the City,
identify the amount of water currently available to serve new development, and discuss issues
relative to existing policies and water projects being pursued.
I. EXISTING WATER SUPPLIES
The City of San Luis Obispo currently utilizes three sources of water supply to meet the
community's water demand: Santa Margarita Lake (also referred to as Salinas Reservoir), Whale
Rock Reservoir, and groundwater. The adopted safe annual yield from these three sources for
2003 is 7,510 acre feet (af) which takes into account annual estimated reductions due to siltation
at the reservoirs. The actual total city-wide water use for 2002 was 6,032 af.
Current Status
This past year's rainfall (October through May) was average for Cal Poly and Salinas Reservoir
locations but only about 73% of normal at Whale Rock Reservoir(Table 1). The unusual rainfall
pattern this past year did not produce Table 1: Area Rainfall
significant runoff into our reservoirs.
Early significant rainfall events did Location_._ 2002/03 Average
produce the "live stream" in Salinas Cal Poly State University 19.59" 22.18"
River (December 22, 2003), but Whale Rock Reservoir_ 14.51 19.86"
minimal rainfall during the subsequent Salinas Reservoir 21.14" 21. 05"
months only allowed a small amount of
water to be added to storage at Salinas Reservoir. While there were several late season rainfall
events, these storms did not lead to any significant additional runoff into the reservoirs due to the
previous relatively.dry months. Even with minimal runoff, Salinas and Whale Rock Reservoirs
are at approximately 61% and 81% of total capacity respectively.
For the calendar year of 2002, the water demand for the City of San Luis Obispo was provided
from the three available sources as shown in Table 2. The total water demand for all City uses in
2002 was 6,032 of which was approximately 2.5% more than the total water use for 2001. The
total amount of City water use shown in Table 2 does not include domestic water delivered to
Cal Poly University which is accounted for from their available water supply from Whale Rock
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2003 Water Resources Status Report
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Table 2: Water Supply Sources
Reservoir. As of June 1,
Salinas Whale Rock Groundwater Total 2003, the City's available
water storage in Salinas
3,470 of 2,394 of 168 of 6,032 of Reservoir (above minimum
pool) was 12,457 acre feet.
The City's share of the Whale Rock storage (above minimum pool) was 17,065 acre feet. The
combined water storage available to meet city water needs was 29,522 acre feet.
Based on the available water storage in both reservoirs, estimated groundwater production and
assuming the return of drought conditions as experienced during the late 1980s, the City has
approximately 51/2 years of water supply, according to the computer storage model as shown in
Figure 4 (figures are at end of report). The model assumes that conservation measures are
implemented when supplies are estimated to last only three years. The model indicates that if the
next two winters are dry, Stage 1 conservation efforts will need to be implemented in spring of
2005. The goal of Stage 1 conservation efforts is to reduce per capita water use to 115 gallons
per capita per day (gpcd). With the excellent community water awareness, this will only require
approximately 5% reduction in community-wide water use. Therefore, staff may recommend a
voluntary program for Stage 1 with increased public education and awareness programs which
will likely achieve the additional 5% reduction. The various stages of conservation are indicated
on Figure 4 and are discussed in more detail in the Water Shortage Contingency Plan which is an
Appendix to the Urban Water Management Plan which was recently updated and adopted in
April of 2001.
Water Consumption
As noted previously, the total City water use for 2002 was slightly higher than the use for 2001.
Table 3 shows the population estimates from 1990 through 2002 as well as the total City water
use and corresponding
per capita use rate. Table 3: Population Estimates, Water Use & Rainfall
Based on policies
contained in the Water Year _ Po ulation Acre Feet, Per Capita Rainfall
Management Element of 1990 41,958 4,186 89 gpcd 13.60"
the General Plan, the 1991 42,178 4,040 86 cd 18.55"
City has adopted a per 1992 _ 42,922 4,716 98 gpcd 22.14"
capita use rate of 145 1993 43,415 _ 5,008 103 gvcd 30.90"
gallons per person per . 1994 43,919 5,200 106 gpcd 16.96"
day (gpcd) for projecting 1995 41,295 5,574 121 gpcd 44.33"
future water supply 1996 41,404 5,791 125 cd 24.06"
needs and determining 1997 41,807 6,220 133 gpcd 31.36"
the availability of water 1998 42,201 5,853 124 gpcd 43.54"
for new development. 1999 42,446 6,172 130 cd 16.34"
The 145 figure is not the
amount that the average 2000 447174 6,121 124 gpcd 24.97"
2001 447218 5,886 119 cd 24.53"
person uses but takes
into account all water 2002 44,333 67032 1 12LEpcd 22.91"
uses including 1.Rainfall amounts for July through June from Cal Poly weather station
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2003 Water Resources Status Report
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residential, commercial, industrial, landscape, etc. Chart 1 shows the water use between
different customer classes (landscape use is only specific dedicated landscape meters). The city
wide water use is monitored to insure that actual use remains below the adopted planning figure
so that the City does not exceed our available water resources.
While per capita use increased following the end of the drought up to 1997, the use appears to
have stabilized since that time. A number of factors can impact the per capita use rate including,
timing and amount of yearly rainfall,
Chart 1: Water Use by Category population figure estimates from the State
Landscape which can fluctuate, and hardware retrofit that
Irrigation single has been an ongoing requirement for new
g'/° Family development since 1989. It should be noted
Commercial Residential
29% 42% that new development has been required to
retrofit to not only offset their expected water
WIti-family use but at twice the estimated use (i.e. 2 to 1).
Residential
20% The mandatory retrofit requirement was
eliminated as of January 1, 2002 based on the
fact that the majority of existing toilets have been retrofit. With the elimination of the retrofit
requirement, the overall per capita use figure may tend to increase as new development occurs.
Maintaining per capita use rates in the 130 gpcd range may likely be achievable over the long
term but additional time should be provided to insure use will remain at these lower levels.
Water Available for Development
The policies in the Water Management Element of the General Plan determine the water available
for new development. Section 8.2.A. states"The City will make available to new development only
that amount of safe annual yield which exceeds present water use (policy 3A)." Policy 3.4 and
related policies define present water use as the current population times the adopted per capita water
use rate (145 gallons per capita per day). Based on these policies,Table 4 below indicates the water
available to allocate to new development in 2003. The population figures are provided by the
California Department of Finance. The estimates provided recently by the State adjusted the
population estimate for 2002 from 44,426 to 44,333. This year's estimate of 44,359 represents an
approximate 0.06%population increase.
Table 4: Water Available for Development
Year Population Present Water Safe Annual Water Available'
Demand Yield 1 for Allocation
@ 145 gped
2003 44,359 7,204 af. 7,510 a f. 306 a.f.
1 From Water Management Element.Table 1: includes reductions due to siltation to date
Per Water Management Element Policy 8.1.3, one-half of the water available for allocation will be
reserved to serve intensification and infill development within city limits existing as of July 1994.
Therefore, 153 acre feet is available to serve new annexation areas outside the July 1994 city limits
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2003 Water Resources Status Report
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and 153 acre feet is reserved for infill and intensification projects. It is currently estimated that
approximately 476 of are needed to meet the projected development needs within the 1994 city
limits (i.e. infill). Table 5 below shows the water that has been allocated to residential versus non-
residential development since 1995.
Table 5: Water for Development(acre feet)
Year Residential Non-Residential Total
1995 16.89 12.02 28.91
1996 24.54 5.83 30.37
1997 39.96 16.94 56.90
1998 41.40 8.32 49.72
1999 16.26 17.42 33.68
2000 25.08 1.73 26.81
2001 29.10 20.52 49.62
2002 25.02 5.53 30.55
Total 218.25 8831 306.
111. MULTI-SOURCE WATER SUPPLY PROJECTS
Water Management Element Policy 7.1 identifies the strategy of developing multiple sources of
water supply as a basis for strengthening the security of the resources to meet the City's water
demand. The policy states that "The City shall continue to develop and use water resource 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."
Much like financial planning strategies, a diversified "portfolio" of water supplies will protect
against future uncertainties of any one water source.
Based on the General Plan build-out population of 56,000 and the per capita water use rate of
145 gpcd, the projected demand at full build-out is 9,096 acre feet per year (afy). Table 6 shows
the water supply requirements based on the adopted policies with the exception of the previous
policy for establishment of a reliability reserve. On September 3, 2002, the Council adopted
Resolution No. 9363 amending the Water Management Element which included the elimination
of the policy for establishing a 2,000 of reliability reserve.
Based on the elimination of the goal for
Table 6: Water Supply Requirements (acre feet)
the reliability reserve, the additional Safe Annual Yield Required at Build-out 9,096
supplemental water requirement to meet Current Safe Annual Yield(2002) 7,510
build-out is 1,806 acre feet. Additional Safe Annual Yield Required 1,586
To provide the required water resources Siltation(2003 to 2025) 220
to achieve our General Plan build-out Total Water Supply Requirement uirem_ent 1_,806
goals, the City is pursuing the Water
Reuse Project, additional groundwater resources, increased water conservation strategies,
potential desalination facility, the Nacimiento Pipeline Project, and the Salinas Reservoir
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2003 Water Resources Status Report
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Expansion Project. The following is a brief status report on each of these projects being
considered to meet the City's future water needs.
Water Reuse Proiect
In 2004, recycled water will flow to several parks, sports fields, and other landscaped areas.
Initially, approximately 130 acre-feet per year of recycled water will offset potable water that has
been used for irrigation. The Water Reclamation Facility produces enough recycled water so that
approximately 1,200 acre-feet per year could be delivered for irrigation in the future. The additional
water will be used to irrigate new developments, to mitigate surface water impacts that may result
from increased groundwater pumping, and to irrigate crops adjacent to the City in exchange for the
groundwater previously used for irrigation.
Recycled water will provide a reliable long-term source of water for the City. Since drought
conditions have very little impact on this source of supply, a dependable water supply can be
delivered to the parks, playgrounds and similar landscape areas served by the project even during
drought periods.
Water Recycling became economical in 1994 after the City completed a$25 million upgrade of the
Water Reclamation Facility (WRF) to comply with requirements for discharge to San Luis Obispo
Creek. The tertiary treatment required for discharge to the creek, produces recycled water that can
be used to irrigate parks,playgrounds, agricultural crops, and landscaping. The recycled water may
also be used in industrial processes,for construction, and many other non-potable uses.
During this past year the final plans and specifications were completed for the Water Reuse Project.
The project was separated into two "subprojects" for bidding purposes. One portion involves the
improvements at the City's Water Reclamation Facility and the second involves the offsite pipeline
and distribution facilities to deliver recycled water. Bids for the project were received on March 25,
2003 and were below the engineer's estimates for both projects as shown in Table 7.
Table 7: Water Reuse Project Costs The favorable bids are welcome
Project Component Engineer's Low Bid news and along with the $3.39
Estimate million dollar State grant and the
WRF Improvements $5,640,000 $5,440,528 low interest State Revolving Fund
Water Distribution System $7,630,000 $5,024,528 loan, will provide for a lower level
of overall cost than originally
anticipated for completion of the project. With construction initiation planned for this summer, the
project should be providing water deliveries by fall of 2004.
In addition to the construction of the first phase of the water reuse system, a Water Reuse Master
Plan is currently being developed to plan for the logical expansion of the water reuse distribution
system to more fully utilize the available recycled water. The Water Reuse Master Plan received
grant funding from the State for matching costs up to $75,000. The contract for preparation of the
Master Plan is with Dudek and Associates for an amount not to exceed $124,390. The completion
of the Water Reuse Master Plan is scheduled for fall/winter of 2003.
2003 Water Resources Status Report
Page 6
Additional Groundwater Resources
The City has been evaluating the potential to increase groundwater production for several years.
The current groundwater program utilizes three wells for domestic use, two wells for irrigation at
the City golf course and one well at the Corporation Yard for construction water uses. The City's
two largest producing wells, the Auto Parkway and Denny's wells, were shut down in 1992/93 due
to elevated nitrate levels. The Pacific Beach #1  wells are not operated simultaneously due to
the close proximity of the wells and the interference problem which occurs between the two sites.
At this time, groundwater production is approximately 12 acre feet per month which represents
about 2.5% of the total City water demand. The relatively small groundwater basin which supplies
the majority of the City's groundwater production is recharged very quickly following normal
rainfall years. The water levels in the basin also fall relatively quickly following the end of the rain
season. This past year's production from the available wells was 168 acre feet which was less than
the previous year's amount of 246 acre feet. The lower production is partly attributable to the shut
down of the Fire Station#4 well due to potential contamination from the Shell service station across
the street. The Shell site is being evaluated and monitored for petroleum contamination. While no
petroleum contaminates, including MTBE, have been identified in the groundwater at Fire Station
#4, as a precautionary measure the well was shut down so that contaminates would not be drawn
onsite. Three monitoring wells have been constructed on the Fire Station site, at Shell's expense,to
monitor potential contamination. In addition, a number of monitoring wells were constructed in
Madonna Road between the Shell Station and the Fire Station to provide early detection of potential
contamination migration.
On May 6, 2003, the City Council approved advertising the request for proposals for engineering
and related services for the Groundwater Development Project. Proposals were received on June
11, 2003 and are currently being evaluated. Staff will return to Council this summer with the
recommendation for approval of the contract with the selected consultant team.
The project will evaluate alternatives for use of potential well sites in the area to provide
approximately 1,000 acre feet per year of potable water to the City's water system and the
various treatment options and facilities needed for each alternative including associated cost
estimates. The consultant will then prepare plans and specifications for the construction of the
selected alternative.
The project is envisioned to be divided into three phases, as shown below, to provide key
decision making points for the City Council. Following completion of each phase, staff will
return to Council for concurrence on project direction and approval of the next phase of the
project and associated funding.
Phase 1:
■ Wells needed and site locations
■ Alternative treatment facility locations and site evaluations
■ Treatment alternatives for removal of nitrate and PCE
■ Cost comparison of alternatives
• Treatment waste stream impacts to WRF effluent quality
® Potential water quality impacts that could impact use of WRF effluent for irrigation
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2003 Water Resources Status Report
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■ Recommended project alternative
Phase I
■ Site surveying and geotechnical work
■ Preliminary facilities design
■ Operational strategy to minimize environmental impacts
• Compliance with CEQA (all required analysis and studies)
■ Consultation with State Department of Health Services
■ Refined cost estimate for project
Phase 3:
• Final plans and specifications for facilities
• Staffing evaluation for new treatment facilities
• Engineers final cost estimate
The current schedule for the project envisions completion of the preliminary design in spring
2004, final design in spring 2005, and construction initiated in summer 2005..
Joint Use of Morro.Bay Desalination Facility
On February 19, 2002, the San Luis Obispo City Council considered the concept of working with
the City of Morro Bay to allow cooperative use of the existing Morro Bay desalination facility.
The current capacity of the facility is approximately 645 acre feet but the facility was designed to
allow expansion up to approximately 1,550 acre feet per year.
Based on Council direction, staff initiated discussions with the City of Morro Bay relative to the
joint use of their facilities. The initial meetings identified mutual benefits to both agencies
through the cooperative use and cost sharing relative to the desalination plant. Following a
number of meetings, City of San Luis Obispo staff prepared a preliminary draft agreement to
layout terms and conditions for joint use of the facilities. This was done to initiate discussion
and move the project forward from just the conceptual stage.
Following the transmittal of the draft agreement to Morro Bay staff for review, the City of Monro
Bay faced an impending problem relative to water supply for their community. The City of
Morro Bay relies heavily on State Water Project as their primary supply with well water serving
as backup. The City of Morro Bay has wells along the Morro Creek area which were impacted
by MTBE contamination from a service station in the area. As such, these wells were not
available at full production. To compound matters, the agency responsible for operations and
maintenance of the State Water Project delivery system had scheduled a one month shutdown of
the facilities for inspections and maintenance. Based on the pending shutdown of the State
Water Project pipeline, Morro Bay hastily reactivated the desalination facility to meet the water
demand needs during the State Water shutdown. Morro Bay successfully accomplished the
reactivation of the desalination plant and was able to meet the community's water needs during
this period.
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Based on this incident and changes on the Morro Bay City Council following the June elections,
the City of Morro Bay reconsidered their water supply needs and future strategies for meeting
community build-out. Based on the evaluation of the water supply situation and sources
available, the City of Morro Bay determined that joint use of the desalination facility with the
City of San Luis Obispo was not in the best interest of the City of Morro Bay. As such, the
discussions relative to the cooperative use of the facility were curtailed.
City of San Luis Obispo Desalination Facility
The City of San Luis Obispo has investigated the potential to construct a desalination facility in
the past to meet city water demands. In 1989, the City was experiencing a significant drought
and as such was pursuing the construction of a temporary (5 year) desalination facility located on
PG&E (now Duke) power plant property in Morro Bay. The idea was to utilize the existing
intake and outfall facilities from the plant to minimize potential impacts associated with the
construction and operation of a desalination plant. PG&E was not interested in a long-term
agreement for use of the facilities and construction of the desalination facility on their property,
but were willing to allow a short-term lease due to the serious water shortage facing the City of
San Luis Obispo. With the "Miracle March" rains of 1991, the City was able to curtail work on
this project which was estimated to cost over$20 million and would only be used for five years.
There is the potential for the City of San Luis Obispo to consider construction of a desalination
facility in the future to meet projected water needs if other water supply projects currently being
pursued are not successful. The desalination facility could potentially be located at or near the
Duke Power Plant to utilize existing outfall facilities or it could be located in other areas nearby
such as Whale Rock Reservoir property. Pursuit of a new desalination facility, especially one
that required new intake and outfall facilities, would require significant study and analysis prior
to construction. Impacts associated with the project would need to be thoroughly evaluated and
numerous regulatory permits would be required. Based on other potential water supply projects
currently being pursued, staff recommends that a potential desalination facility be considered as
the last option after a decision on the City's participation in the Nacimiento Project is made as
discussed later in this report.
Nacimiento_Pipeline.Project
In 1959, the County of San Luis Obispo acquired the rights to 17,500 acre-feet per year (afy) of
water from Nacimiento Reservoir. In 1995, the County began the most recent effort to bring the
water to various cities, County Service Areas, and other water agencies in the northern part of the
County. For the purposes of environmental review, the City has requested 3,380 afy of water
from the Nacimiento project (our full build-out deficit plus the previous policy for a 2,000 acre
foot reliability reserve).
Several preliminary studies led to the preparation of a draft Environmental Impact Report (EIR),
which was released for public comment in July of 1997. A strong public reaction to the
alignment of the project pipeline down Lake Nacimiento Drive resulted in negotiations with
Camp Roberts to locate the pipeline on their property. Camp Roberts administration has
conceptually agreed to the new alignment, resulting in the need to revise the draft EIR. The
2003 Water Resources Status Report
Page 9
revised draft EIR is expected to be released for public comment in the July of 2003 and
certification by the Board of Supervisors is anticipated in late 2003.
The County is currently holding requests for 11,848 afy. An additional 1,300 afy has been
reserved for uses around the lake. This leaves an excess of 4,352 afy which is unallocated. One
of the most significant issues facing the project is the question of how to pay for the unallocated
water. Historically, the County has indicated an expectation that the participating agencies
would share in the cost of the excess water, driving up the "per acre-foot" cost of the water to
each of the participants. Impacts to archaeological resources, as well as other environmental
impacts, will require some mitigation in accordance with the California Environmental Quality
Act. The extent and cost of these mitigation measures have yet to be developed and therefore are
not included in the current cost per acre foot estimate.
Current estimates of the cost of Nacimiento water for the City of San Luis Obispo are
approximately $1,710 per acre-foot for treated water. This estimate includes the capital cost of
the pipeline, pump stations, storage tanks, and treatment plant, as well as the on-going operation
and maintenance costs of the system. The $1,710/af cost figure also includes the City's share of
the unallocated entitlement, which could change at the time final participation agreements are
executed with the County.
Salinas Reservoir Expansion Noieet
The City has been pursuing the Salinas Reservoir Expansion Project for the past 10 to 15 years.
The project when originally envisioned seemed relatively simple and straight forward: install a
spillway gate in the dam that was originally intended as part of the structure. The installation of
the spillway gate would raise the maximum water surface level by approximately 19 feet. This
would increase the storage capacity by almost 18,000 acre feet (currently 23,843 af) and would
result in an estimated increase of safe annual yield of 1,650 acre feet.
The project has many hurdles to overcome prior to initiation of construction. The major issues
involve environmental impacts due to inundation of areas around the lake, opposition by
agencies and individuals in the north county due to concerns of impacts to groundwater
resources, and strengthening of the dam to safely store the additional water.
These issues were discussed in detail in the 2002 Water Resources Status Report. While the
schedule below, which was developed for last year's report, indicated a critical decision point for
July 2003, staff would recommend deferring a decision of pursuing the Salinas Reservoir
Expansion Project until a decision can be made relative to participation in the Nacimiento
Project. As discussed above, the certification of the Nacimiento Project EIR is anticipated for
late 2003 with potential agency reservation agreements to be considered by interested agencies in
early 2004. Following the decision on the Nacimiento Project, Council can consider whether
aggressive pursuit of the Salinas Reservoir Expansion Project is warranted in light of the
significant hurdles that would need to be overcome.
3 -Ilo
2003 Water Resources Status Report
Page 10
Milestone Start Complete
1. Project Go/No Go Decision July 2003 na
2. Resolve CEQA Protests Sept 2003 Sept 2004
3. Detailed Mitigation Sites/Plans Jan 2004 Jan 2006
4. Ownership Transfer Issues Jan 2004 Jan 2006
5. Final Design for Dam&Recreation Facilities Jan 2006 June 2007
6. Construction Jan 2008 Dec 2010
M. WATER CONSERVATION PROGRAM
The Water Conservation Program is an integral part of the City's overall water management
strategy and can actually be considered as a new source of supply contributing to our safe annual
yield based on the water saved. Since the mid 1980's, the City has implemented water efficiency
programs and policies that have enabled the City to decrease overall demand while the
population continues to grow. In 1991, the City became one of the charter members of the
California Urban Water Conservation Council and has implemented the organization's fourteen
"Best Management Practices" (BMP's) regarding urban water conservation. The Memorandum
of Understanding acts as a road map for the City's long-term water conservation program and
signifies a commitment to the implementation of the BMP's. The fourteen BMP's are listed
below:
1. Water Use Survey Programs for Single-Family Residential and Multi-Family Residential
Customers
2. Residential Plumbing Retrofit
3. System Water Audits, Leak Detection and Repair
4. Metering with Commodity Rates for All New Connections and Retrofit of Existing
Connections
5. Large Landscape Conservation Programs and Incentives
6. High-Efficiency Washing Machine Rebate Programs
7. Public Education Programs
8. School Education Programs
9. Conservation Programs for Commercial, Industrial, and Institutional Accounts
10.Wholesale Agency Assistance Programs
11. Conservation Pricing
12. Conservation Coordinator
13. Water Waste Prohibition
14. Residential Ultra Low Flush Toilet Replacement Programs
Based on the BMP's, the City's Water Conservation Program is divided into three primary
components:
1. Water hardware retrofitting
2. Technical assistance
3. Public education and information
r I
2003 Water Resources Status Report
Page 11
The following is a summary of these water conservation program components:
Water Hardware Retrofiltiniz Summary
With the adoption of the UWMP in 1994, toilet retrofitting had been identified as a significant
water demand management strategy and integral part of the City's overall management plan. As
of May 2003, approximately 30,500 toilets out of an estimated 39,000 toilets have been
retrofitted either through the Retrofit Table 8: Summary of Toilet Retrofitting
Rebate; Retrofit Upon Sale and/or
the Water Offset Programs. This Year Rebate Offset Total Estimated
equates to approximately 78% of all Savings
toilets within the City of San Luis 1999 160 2,145 2,305 130 of
Obispo. This is the largest 2.000 76 3,194 3,270 155 afy
percentage of total toilet retrofit 2001 53 2,590 2,643 185 of
within any community within the 2002 54 860 914 44 of
State of California. This represents 2003 (as of 25 30 55 3 afy
an annual estimated water savings of ' 5/27/02)
approximately 1,400 acre feet. Total 368 89819 99187 517 of
Totals Since 9,011 21,539 30,550 1,430 afy
Table 8 summarizes the toilet retrofit 1990
activity since 1999 and the program
totals since 1990. As indicated in Table 8, a vast majority of the toilets replaced through the
years have been through the Water Offset Program (Retrofit to Build). As mentioned earlier, the
mandatory Water Offset Program was terminated in January 2002. As can be seen in Table 8,
toilet replacement has dramatically decreased since that time.
As part of the 2001-03 Financial Plan, a High Efficiency Washing Machine Rebate Program was
implemented. A $150.00 dollar rebate was offered for qualifying machines. The budgeted
amount was for 100 machines per fiscal year (2001-03 Financial Plan). Phase I of the program
began in August 2001 with the allocated funding running out in April 2002. Phase II of the
program began July 1, 2002. Funding for Phase II was fully utilized by January 2003. It is
estimated that about 3.5 acre feet of water will be saved annually by these machines with
considerable energy savings as a side benefit.
Technical.Assistance
The Utilities Conservation Office (UCO) offers technical assistance to water customers via free
indoor and outdoor water audits. The audits include indoor and outdoor leak detection services,
irrigation system evaluation, landscape plant material information and other information on how
to use water efficiently. The requests for audits are typically received from people experiencing
high water bills, residents participating in the low income assistance program, or customers
requesting a utility bill adjustment through the Utility.Billing Adjustment Committee.
The Water Audit Program has been very active the last three years due mainly to the follow-ups
to high meter readings. Prior to the year 2000, the office averaged about 250 audits per year.
The office saw a dramatic increase in audit activity when the UCO took over the task of
i 1
2003 Water Resources Status Report
Page 12
investigating high water bills. During the calendar years 2000 and 2001, approximately 450
water audits were performed each year by UCO staff. For the calendar year 2002 the number
increased to about 600 water audits. These water audits often reveal problems which are then
corrected by the property owner,which results in lower water use and associated billing charges.
Public Information & Education
In our ongoing effort to educate the public on efficient resource utilization, the Utilities
Conservation Office provides informational brochures on a variety of water conservation and
recycling topics upon request. Additionally, staff has produced a quarterly newsletter which
focuses on current information regarding water, wastewater and solid waste issues. Additional
information has been distributed through paid media advertising and public service
announcements and participation at Farmer's Market, Garden Festival, etc. The current
emphasis in the water conservation program's information and education campaign is efficient
irrigation practices.
In addition to the above programs,in 1999 the Utilities Department implemented a water education
program within San Luis Obispo Coastal School District. The program targets third and fourth
grades, to compliment the study of water within the school district. Teachers have been
enthusiastic about the new program, particularly with the field trip to the Water Reclamation
Facility.
During the 2002-2003 school year, 13 class presentations and 15 field trips were given for schools
within the city. The class presentations were 45 minutes and covered the subjects of. Water Cycle,
Water Treatment, Water Use, Water Conservation, and Water Reclamation. The classroom
presentation is a prerequisite for the field trip.
The department's hope is that the conservation education programs are lively, fun and
interesting, so that the teachers will continue to want to use the presentations, water education
toolkits and tours as a way of enhancing their current water education curriculum. The benefits
are immediate and long-term. Instilling .water awareness in children leads to increased parental
water awareness. It also positively affects future generations: these students are tomorrow's
adults and they will have the information to make informed and appropriate decisions about
water. It is expected that demand for the programs and field trips in the upcoming year will be
similar to this last year.
New Water Conservation Programs
Because of the City's affiliation with the California Urban Water Conservation Council
(CUWCC), valuable information regarding water conservation program development and
implementation is available. Most of the nation looks to California, and more specifically to the
CUWCC and the BMPs when developing water efficiency programs. Given this fact, the City's
water conservation program uses the CUWCC information to determine if the implementation of
a new program will provide dependable water savings in a cost effective manner. Many new
studies are currently under way and the information obtained from these studies may lead to new
programs in the future.
2003 Water Resources Status Report
Page 13
Prior to the development of the 2003-2005 Financial Plan, staff prepared a report for Council
consideration relative to the expansion of the Water Conservation Program to include a more
aggressive efficient landscape irrigation program and an expanded commercial sector program.
Development and implementation of these programs will take place during the 2003-04 fiscal
year with progress reported in the 2004 Water Resources Status Report.
Future Water Conservation Prozrams
The water saved through the Water Conservation Program, historically, has been the least cost
option when looking at new sources of supply. The City has implemented numerous programs
over the years which have resulted in a dramatic decrease in per capita water use. When
evaluating the potential yield from a new conservation measure, it is very important to factor in
the reliability of the program to achieve the estimated savings. That is why, in the past, toilet
and showerhead replacement had been the cornerstones of the Water Conservation Program.
As previously stated, numerous studies statewide are currently underway which are evaluating
new water conservation technology. One of the most promising studies is evaluating several
brands of irrigation controllers that use real time weather data to determine when and how much
to irrigate. The strategy at this point for the efficient irrigation system program is to focus on
proper irrigation scheduling and upgrading poorly designed systems, then as more information is
available relative to the effectiveness of this new technology, it could be considered as a new
program. Staff will continue to monitor new and up and coming water conservation technologies
and make recommendations to the Council at the appropriate time.
IV. WATER SUPPLY STRATEGY TO MEET FUTURE NEEDS
The City of San Luis Obispo is currently pursuing multiple water supply projects to meet the
projected city needs based on the policies contained in the General Plan and related Elements.
Based on the Council policy change this last year which eliminated the goal of acquiring an
additional 2,000 acre feet of water for a reliability reserve, the City has a projected need for an
additional 1,806 acre feet per year as shown in Table 6. To meet this additional water supply
goal, the City could develop the additional
Table 9: Previous Priority for Water supplies from multiple sources thereby
Supply Projects diversifying our resources and strengthening
Tier Project our overall reliability. By diversifying our
Water Reuse resources as identified in the Multi-Source
1 Additional Groundwater Resources Water Policy discussed earlier in this report,
Additional Water Conservation the City would not be placing all of it's "eggs
2 Desalination (supplies) in one basket".
3 Nacimiento Pipeline
Salinas Reservoir Expansion During last year's Council discussion of the
2002 Water Resources Status Report, the
Council prioritized the potential water supply projects into three "tiers", as shown in Table 9.
Last year the desalination project was identified as a Tier 2 project and Nacimiento and Salinas
Reservoir Expansion Project were identified as Tier 3. The desalination project was envisioned
3
2003 Water Resources Status Report
Page 14
as a cooperative use of the City of Morro Bay's desalination facility and as discussed earlier is
no longer a viable option. Therefore, staff would.recommend the revised priority as shown in
Table 10 for the projects. Table 10 also identifies revised estimates for potential yield from each
project.
The rationale for the Table 10: Revised Priority for Water Supply Projects
recommended prioritization takes Tier Project_ Potential Yield
into account many factors such as
Water Reuse 1.,200 of
project implementation obstacles I Additional Groundwater 500 of
and impacts, reliability, City Additional Water Conservation 340 afy
control, costs and likelihood of 2 Nacimiento Pipeline 3,380 of
success. The Council's
concurrence with the 3 Salinas Reservoir Expansion 1,650 of
prioritization of the projects will Desalination Na
allow staff to focus their efforts 'Current requested allocation
on the top projects and defer additional work on the projects at the bottom of the list.
The Water Reuse Project contract for construction will be awarded shortly and recycled water
deliveries should begin in fall of 2004. When the project is completed, approximately 130 acre
feet will initially be used to offset potable demand and this amount would therefore be available
for new development based on the policies in the Water Management Element. Staff will
continue to actively pursue completion of the initial phase of the project. Additional yield will
be developed from the reuse project as exchange opportunities and development occurs in the
south portion of the City. In addition, the Water Reuse Master Plan is currently under
development which will identify opportunities to systematically expand the use of recycled water
through the logical expansion of the delivery system.
Additional groundwater production is currently being pursued and the consultant contract for the
implementation of the preliminary studies and design will be brought to Council for approval this
summer. The goal of the Groundwater Development Project will be to increase City
groundwater production to approximately 1,000 acre feet per year. This is 500 acre feet above
the adopted Water Management Element goal of 500 acre feet.
The third area of focus will be to increase our conservation efforts. Efficient use of our resources
stretches the availability of our water supplies and has proven to be very cost effective. As part
of the 2003-05 Financial Plan, the Council has endorsed an expanded water conservation
program to achieve long-term water reductions. In addition, as new technology or ideas surface
in the future and new sources of water become more costly, the City needs to continue to
evaluate the potential for conservation strategies to reduce our need to develop new water supply
projects.
The Nacimiento Project is being administered by the County of San Luis Obispo and as such
currently requires minimal staff time for City employees. The City should continue to dedicate
the staff resources necessary to move this project through the EIR process so that all interested
participants can have the information needed to determine whether their agency should commit
to the project.
2003 Water Resources Status Report
Page 15
The Salinas Reservoir, Expansion Project has numerous hurdles to overcome prior to
construction. While the schedule developed for the project indicates that a decision point for the
project is right now, delay of the decision until a decision can be made on the Nacimiento Project
appears appropriate. Pursuit of the Salinas Reservoir Expansion Project will require significant
financial and staff resources.
Relative to desalination, the possible use of desalinated seawater will be a potential project for
the City if other less costly options prove unsuccessful. Desalination process efficiency
improvements over the past decade have resulted in lower costs for producing potable water
from seawater. It is likely that this trend will continue in the future, so pursuit of a desalination
project would likely benefit from delaying implementation until the water is actually needed
(taking into account the time needed for studies, design, etc.).
Based on the above analysis: if our Tier 1 projects are successful, it appears we may be able to
achieve adequate water resources through a combination of water reuse, groundwater, and
additional conservation.
V. PROJECTED WATER SUPPLY SITUATION
Reservoir Storage Curve
The Reservoir Storage Curve is integral to the City's annual water plan analysis. It is a computer
model used to estimate the City's future reservoir storage based on historical drought weather
patterns, water use projections, reservoir data and available groundwater supplies. The model is
used to forecast the City's water supply position and to make certain water policy recommendations.
The model also assumes implementation of Stage I conservation when supplies are projected to last
only three years. Stage II and III conservation measures are implemented when water supplies are
estimated to last only 2 years and 1 year, respectively (as shown on Figure 4). The curve has been
updated to reflect the City's current storage and the policies contained in the Urban Water
Management Plan.
The model predicts current water supplies would last until October of 2008 (Figure 4), under a set
of assumptions that represent the average weather conditions during the worst four years of the
drought period.from 1986-91.
VI. SUMMARY
With the abnormal rainfall pattern this year, little water was added to the storage in our reservoirs.
The City needs to continue pursuit of additional supplemental water supplies to meet the goals of
the General Plan. Based on the cost projections for developing new water supplies, it is evident that
water conservation will continue to be a crucial element of the City's water resources planning in
the future. With the multi-source water policy, a number of supply projects under development,
strong water conservation program and other related policies which were adopted as part of the
W.M.E., the City is pursuing a direction which will create a reliable supply of water to meet the
current and future needs of the community.
2003 Water Resources Status Report
Page 16
Attachments: 1. Definitions
2. Figures 1-5
� ^a3
Definitions
Safe Annual Yield:
The maximum quantity of water which can be delivered from the water
source each year during a critical dry period(i.e. historical drought period).
Acre Foot:
* 1 acre foot = 325,851 gallons
* Enough water to cover a football field with 1 foot of water
* Enough water to serve approximately 3.5 average single family homes (in San Luis
Obispo)per year
Gallons per Capita per Day(gpcd):
Calculation= Total Acre Feet x 325,851
City Population x 365
Present Water Demand (acre feet per year):
Calculation = 145.gpcd x Current City Population x 365
325,851
Salinas Reservoir:
Maximum Storage Capacity=23,842.9 acre feet
Minimum Pool=storage amount when water extractions must cease=2,000 acre feet
Surface Area=730 acres
Drainage Area= 112 square miles=71,700 acres
Whale Rock Reservoir:
Maximum Storage Capacity=40662 acre feet
Minimum Pool = storage amount when water extractions must cease=2,000 acre feet
Surface Area= 594 acres
Drainage Area=20.3 square miles= 13,000 acres
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