HomeMy WebLinkAbout06/15/2004, BUS 3 - 2004 WATER RESOURCES STATUS REPORT council "Ju`a 15, 2004
j ac En as Repout 3
CITY OF SAN LUIS OBISPO
FROM: John Moss, Utilities Directo
Prepared By: Gary W. Hen rson, Water Division Manager A*4* A
SUBJECT: 2004 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. The following is a.summary of the information contained in the 2004 Water Resources
Status Report.
Report Summary
Existing Water Supply Status
This past year's rainfall was below average for Salinas and Whale Rock Reservoirs with the two
lakes only receiving about 60% of the average. This year's below average rainfall 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 23,480 acre feet (as of May 1, 2004) which is 54%
of the maximum City available storage. Groundwater production for 2003 was 140 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 120 geed for 2003. 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
below last year's use of 121 gpcd(see Table 3, page 2 of WRSR). It should be noted that the 120
figure is not the amount that an average resident in the city used in 2003. The basis of the
number is the total water pumped into the water system divided by the current city population.
Thus, it reflects both residentialand non-residential uses, such as businesses., churches and
schools,etc. which account for about 40% of the City's water use.
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
Council Agenda Report—2004 Water Resources Status Report
Page 2
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 Yieldfor Allocation
@ 145 gpcd
2004 44,176 7,176 a f. 7,500 a.f. 324 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, 162 acre feet is available for infill and intensification and 162 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 or
considering the Water Reuse Project, the Nacimiento Pipeline Project,increased water conservation
strategies, additional groundwater resources, potential desalination facility, and the Salinas
Reservoir Expansion Project 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 early 2005.
Following initial construction, recycled water will offset approximately 130 acre feet per year of
potable water currently used for irrigation. The project has a potential to provide approximately
1,000 acre feet per year for non-potable purposes.
The Nacimiento Pipeline Project is being administered by the County of San Luis Obispo and has
been under review for over 9 years. The County Board of Supervisors certified the Final
Environmental Impact Report for the project on January 6, 2004. Following the Board's
certification, the City Council has held numerous public meetings to discuss a number of project
issues which include: the draft participation agreements, cost allocation methodologies, City
participation and requested amount of water allocation, and potential modifications to policies in
the Water Management Element to support the City's participation in the project. On March 9,
2004, the Council supported participation in the project for a total City allocation of 3,380 acre feet
per year and directed staff to initiate the process to amend the Water Element. The Nacimiento
Project is scheduled to be before the City Council again at a special meeting on June 29, 2004. The
Council will consider the recommended amendments to the General Plan Water and Wastewater
Element, the Final Environmental Impact Report for the Nacimiento Project, and execution of the
agreement with the County for participation in the Project.
As part of the 2003-2005 Financial Plan, Council approved funding necessary to expand the
water conservation program that would have an irrigation efficiency component, and a broadened
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Council Agenda.Report-2004 Water Resources Status Report.
Page 3
commercial conservation program. In the first year of the program, staff estimates that a little
over 100 acre feet in water savings will be achieved, with about 80% of the savings coming from
the landscape component. The irrigation efficiency program was initiated in the spring of 2004
and the commercial component (replacing restaurant spray rinse valves with low water using
models) will likely kickoff this summer. A monitoring system has been developed.to track the
program's effectiveness and the results should be available by late 2004.
The City is currently evaluating expansion of the groundwater program through a contract with
Stetson Engineers. The first phase of the contract will provide a preliminary evaluation of the
various treatment processes available to remove known contaminants, an evaluation of potential
well sites, a preliminary environmental evaluation, evaluation of the alternatives including cost
analysis, and an evaluation of possible sites for locating treatment facilities. The preliminary
report should be completed this summer with presentation to Council in early fall. With the
Council's decision on Nacimiento participation, a modified strategy and project implementation
schedule for groundwater development will be developed for Council consideration along with
the preliminary report.
On February 19, 2002, the San Luis Obispo City Council considered and endorsed the concept of
working with the City of Morro Bay to allow cooperative use of the existing Morro Bay
desalination facilities., The City of Monro Bay has determined that it would not be in their best
interest to pursue cooperative use of the facility. As such, the discussions relative to the
cooperative use of the facility were curtailed. 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. Based on other
potential water supply projects currently being pursued, staff recommends that a potential
desalination facility be considered as one of the last options.
The City of San Luis Obispo has been pursuing the Salinas Reservoir Expansion Project for the past
10 to 15 years. This past year, no work has been undertaken on this project. With the City
Council's recent decision on the Nacimiento Project and the fact that the Salinas Reservoir
Expansion Project is a Tier 3 project (as discussed later in the report), staff would recommend
that no additional work associated with the actual reservoir expansion project be undertaken at
this time. Additional work related to Salinas Dam will likely be required this year relative to
ownership transfer of the facilities from the U.S. Army Corps of Engineers (Corps) to a local
agency. The Corps have been interested in transferring ownership to a local agency for more
than 30 years and as part of the renegotiation of the existing agreements (City and County) for
operations and use of the facilities, the Corps will likely require initiation of the studies and
environmental documentation to allow the property transfer.
Water 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.
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Council Agenda Report—2004 Water Resources Status Report
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1. Water Hardware Retrofit
Replacing higher water using plumbing fixtures such as toilets and showerheads has been the
cornerstone of the Water Conservation Program because of the associated water saving potential.
Since 1990, it is estimated that approximately 79% of all toilets in the City of San Luis Obispo have
been retrofit resulting in an estimated water savings of 1,447 acre feet per year. This is the largest
percentage of total toilet retrofit within any community within the State of California. As part of the
2001-03 Financial Plan, a High Efficiency Washing Machine Rebate Program ($150 rebate) was
implemented. Over the past 3'/z years, a total of 213 rebates were processed with an estimated
water savings of 3.57 acre feet per year.
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 768 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.
Water Supply Strategy to Meet Future Needs
The City is currently pursuing multiple water supply projects to meet the projected community
needs based on the policies contained in the Table 2• Priority of Water Supply Pro'ects
General Plan and related Elements. Based on the Tier Pro'ect
information that is currently available on the
projects being pursued and the timing and costs Water Reuse
associated with each project, staff would 1 Nacimiento Pipeline
recommend the prioritization of the projects, as Additional Water Conservation
shown in Table 2, to meet our future needs. 2 Additional Groundwater
Desalination
The. Tier 1 projects will be able to meet the 3 Salinas Reservoir Expansion
projected water needs of the City. The
Nacimiento Project when completed will strengthen the City's water supply resources to meet
unforeseen future situations such as loss of one of our water supplies or worst case drought
conditions.
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Council Agenda Report—2004 Water Resources Status Report
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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 December 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
1. 2004 Water Resources Status Report
� _Sr-
Attachment 1
i
City ofSan Luis Obispo
2004 Water Resources Status Report
June 2004
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
IL MULTI-SOURCE WATER SUPPLY PROJECTS...........................................................4
WaterReuse Project..........................:...............:.......:....................:...:......... .......................S
Nacimiento Pipeline Project....................................................................................................6
Additional Water Conservation Strategies..............................................................................6
Additional Groundwater Resources........................................................................................ 7
DesalinationFacility...............................................................................................................8
Salinas Reservoir Expansion Project.........................,............................................................8
III. WATER CONSERVATION PROGRAM..............»........................................................10
Water Hardware Retrofitting Summary:..........:...:..:.:.:.:.:.:......:....I........... ...............:.........:1.1
TechnicalAssistance...........................................................:.:...............................................12
Public Information &Education...........................................................................................12
New Water Conservation Programs.....................................................................................13
Future Water Conservation Programs..................................................................................13
IV. WATER SUPPLY STRATEGY TO MEET FUTURE NEEDS.....................................14
V. PROJECTED WATER SUPPLY SITUATION.................................................................16
Reservoir Storage Curve.......................................................................................................16
VI. SUMMARY...........................................................................................................................16
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City of San Luis Obispo
2004 Water Resources Status Report
The annual Water Resources Status Report for the City of San Luis Obispo is prepared 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
2004 is 7,500 acre feet (af) which takes into account annual estimated reductions due to siltation
at the reservoirs. The actual total city-wide water use for 2003 was 5,968 of which was slightly
less than last year's use of 6,032 af.
Current Status
This past year's rainfall was below average for Cal Poly and Salinas and Whale Rock Reservoirs
with the two lakes only receiving about 60% of the average (Table 1). Approximately 50% of
the total rainfall this year occurred in Table 1• Area Rainfall
February. While this is not necessarily
unusual, the low rainfall earlier in the Location 2002/03 Avera e
year did not allow a "live stream" to Cal PolyState University16.08" 22.18"
develop in the Salinas River until . Whale Rock Reservoir 11.81" 19.86"
February 26`h which occurred following Salinas Reservoir 12.90" 21.05"
a significant rainfall event. Until a
"live stream" is declared by County staff, no additional water can be added to storage at Salinas
Reservoir.. The live stream lasted about three weeks which only allowed an additional 1,500 of
to be captured at Salinas Reservoir. Whale Rock Reservoir captured slightly more runoff and
started the season with a higher storage percentage than Salinas. With the minimal runoff,
Salinas and Whale Rock Reservoirs are at approximately 40% and 77% of total capacity
respectively.
For the calendar year of 2003, 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
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2004 Water Resources Status Report
Page 2
2003 was 5,968 of which was approximately 1% less than the total water use for 2002. The total
amount of City water use shown in Table 2 does not include.domestic water delivered to Cal
Table 2: Water Supply Sources Poly University which is
accounted for from their
Salinas Whale Rock Groundwater Total available water supply from
- Whale Rock Reservoir. As
4,069 of 1,759 of 140 of 5,968 of of May 1, 2004, the City's
available water storage in
Salinas Reservoir (above minimum pool) was 7,321 acre feet. The City's share of the Whale
Rock storage (above minimum pool) was 16,159 acre feet. The combined water storage
available to meet city water needs was 23,480 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 4t/z 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 additional conservation
measures, consistent with our water shortage contingency plan, are implemented when supplies
are estimated to last only three years. The model indicates that if the next rain season is
marginal, 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 based on current usage. 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 in Figure 4 and are discussed in more detail in the Water Shortage
Contingency Plan. The Plan is an Appendix to the Urban Water Management Plan that was
updated and adopted in
April of 2001. Table 3: Population Estimates,Water Use & Rainfall
Water Consumption Year Population Acre Feet Per Capita Rainfall
1990 419958 4,186 89 gpcd 13.60"
1991 42,178 4,040 86 d 18.55"
As noted previously, the „
total City water use for 1992 42,922 4,716 98 cd 22.14
2003 was slightly less 1993 43,415 5,008 103 2Dcd 30.90"
than the use for 2002. 1994 43,919 5,200 106 gpcd 16.96"
Table 3 shows the 1995 41,295 5,574 121 gpcd 44.33"
population estimates 1996 41,404 5,791 125 gpcd 24.06"
from 1990 through 2003 1997 41,807 6,220 133 gpcd 31.36"
as well as the total City 1998 42,201 5,853 124 gpcd 43.54"
water use and 1999 42,446 6,172 130 gpcd 16.34"
corresponding per capita 2000 44,174 6,121 124 gpcd 24.97"
use rate. Based on 2001 44,218 5,886 119 gpiod 24.53"
policies contained in the 2002 44,333 6,032 121 gpcd 22.91"
Water Management 2003 44,225 5,968 120 cd 16.08"
Element of the General 1.Rainfall amounts for July through June from Cal Poly weather station
Plan, the City has
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2004 Water Resources Status Report
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adopted a per capita planning use rate of 145 gallons per person per day (gpcd) for projecting
future water supply needs and determining the availability of water for new development. The
145 figure is not the amount that the average person uses but takes into account all water uses
including 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. In fact, the last three years have remained at 120 gpcd. A
number of factors can impact the per capita
Chart 1:Water Use by Category use rate including, timing and amount of
yearly rainfall, population figure estimates
Landscape
Irrigation Single from the State which can fluctuate, and
hardware retrofit that was a requirement for
Commercial 6% Family
31% Residential new development from 1989 to 2002. It
43% should be noted that new development had
WIti-family been required to retrofit to not only offset
Residential their expected water use but at twice the
20% estimated use (i.e. 2 to 1). 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 3.4)." 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 2004. The population figures are provided by the
California Department of Finance. The estimates provided recently by the State adjusted the
population estimate for 2003 from 44,359 to 44,225. This year's estimate of 44,176 represents an
approximate 0.1% population decrease.
Table 4: Water Available for Development
Year Population Present Water Safe Annual Water Available
Demand Yield t for Allocation
@ 145 gped
2004 44,176 7,176 a.f. 7,500 af. 324 a.f.
1 From Water Management Element,Table 1: includes reductions due to siltation to date
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2004 Water Resources Status Report
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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, 162 acre feet is available to serve new annexation areas outside the July 1994 city limits
and 162 acre feet is reserved for infill and intensification projects. It is currently estimated that
approximately 458 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 includes all projects within the city, both infill and
annexation areas.
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 1.08 _ 26.10
2003 57.87 14.59 72.46
Total 276.12 98.45 37457
II. 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.
With the City Council's recent decision to participate in the Nacimiento Pipeline Project,
modification to several of the policies in the Water Management Element are currently under
review and will be presented to Council for approval on June 29, 2004. These policy changes
strengthen the need for developing multiple sources of supply to mitigate future water supply
emergencies.
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 to meet General Plan build-out. The
proposed modifications to the Water Management Element policies identify that any water
available above that needed to serve build-out will be for secondary water needs (future siltation,
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2004 Water Resources Status Report
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loss of a supply source, etc.) and will not be made available to serve new development above
adopted General Plan build-out.
The City is currently pursuing or Table 6: Water Supply Requirements (acre feet)
considering the following supplemental Safe Annual Yield Required at Build-out 9,096
water supply projects: Water Reuse Current Safe Annual Yield(2002) 7,500
Project, the Nacimiento Pipeline Additional Safe Annual Yield Required 1,596
Project, increased water conservation
strategies, additional groundwater Siltation(2003 to 2025) 210
resources, potential desalination facility, Total Water Supply Requirement 1_,806
and the Salinas Reservoir 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
Beginning in spring of 2005, 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 1,000 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 two major project components have been under construction. The first
component involves the offsite pipeline and distribution facilities to deliver recycled water and the
second involves the improvements
Table 7: Water Reuse Project Costs at the City's Water Reclamation
Project Component Engineer's Low Bid Facility. Bids for the project were
Estimate received on March 25, 2003 and
WRF Improvements $5,640,000 $5,440,528 were below the engineer's
Water Distribution System $7,630,000 $5,024,528 estimates for both projects as
shown in Table 7.
2004 Water Resources Status Report
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Both projects are well into construction with completion of the offsite pipelines estimated to be
completed by August of 2004. The WRF improvements are estimated to be completed by the end
of 2004 with initial water deliveries beginning in the spring of 2005.
In addition to the construction of the first phase of the water reuse system, a draft Water Reuse
Master Plan has been completed which identifies 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 plan will be presented to the Council for approval in early fall Of 2004.
Nacimiento Pipeline Proiect
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.
The Final Environmental Impact Report for the project was certified by San Luis Obispo County
Board of Supervisors on January 6, 2004. On January 13, 2004, the City Council considered
information regarding the current project status, the draft participation agreement as prepared by the
County, cost allocation methodologies and the proposed process for further consideration of the
City's participation in the project. Following Council direction, staff returned to the Council on
February 10, 2004 to discuss participation in the project. Council directed staff to return to Council
on March 9, 2004 with recommended amendments to the General Plan Water and Wastewater
Management Element (Water Element) to address policies related to service and reliability to
support Council direction for participation in the Nacimiento Water Supply Project. At the March
90s meeting, Council supported participation in the project for a total City allocation of 3,380 acre
feet per year and directed staff to initiate the process to amend the Water Element.
Staff developed draft language for amendments to the Water Element and presented the
recommendations to the Planning Commission on April 28, 2004 for their consideration. With
minor wording changes, the Planning Commission unanimously approved the draft policy changes
for consideration by the City Council.
The Nacimiento Project is scheduled to be before the City Council again at a special meeting on
June 29, 2004. The Council will consider the recommended amendments to the General Plan Water
and Wastewater Element, the Final Environmental Impact report for the Nacimiento Project, and
execution of the agreement with the County for participation in the Project.
Additional Water Conservation Strategies
As part of the 2003-2005 Financial Plan, Council approved funding necessary to expand the
water conservation program to include a more aggressive water conservation program, which
would have an irrigation efficiency component, and a broadened commercial conservation
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2004 Water Resources Status Report
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program. Table 8 summarizes the estimated water savings that the expanded programs are
anticipated to yield.
In the first year of the program, Table 8: Savings from Expanded Conservation
we estimate that a little over 100n
Program Total Savings 1 Year
acre feet in water savings would (acre feet) Savin (af)
be achieved, with about 80% of Landscape/Irrigation 270 90
the savings coming from the _-
Non-residential 70 to 75 20 to 25
landscape component. Utilities Total 340 to 345 110 to 115
Conservation staff have Iff
developed a landscape program which will focus primarily on residential irrigation efficiency.
Using a combination of technology and field work, staff initiated the program in the spring of
2004. A monitoring system has been developed to track the program's effectiveness. Since the
typical irrigation season is from April through October, it will probably be late 2004 before staff
can analyze the effectiveness of the program.
About half of the estimated water savings of the non-residential program is going to involve a
pending cooperative grant proposal submitted to the California Public Utilities Commission
(CPUC) by the California Urban Water Conservation Council (CUWCC). The requested funds
would offset the cost of replacing restaurant spray rinse valves with low water using models.
The new low flow valves save about 200 gallons of water per day per valve. If approved by the
CPUC, the program should kick-off sometime this summer.
Additional Groundwater Resources
The City's Safe Annual Yield (SAY) Model identifies 500 afy of our water resources as being
contributed from groundwater. However, actual groundwater pumped over the past few years
has been around 150 afy. This is due to several of the City's wells being taken off-line as a
result of rising levels of certain contaminants. Expansion of the City's groundwater production
is considered to be a cost effective water supply option.
San Luis Obispo's groundwater basin is relatively small with limited yield. In addition to issues
with nitrate and PCE contamination, pumping additional groundwater may impact the underflow
to San Luis Obispo Creek,resulting in environmental concerns. The best groundwater producing
area of town is within and near the Dalidio family faun and the proposed Marketplace
development. It is believed that additional groundwater pumping could be accomplished with no
net impact to the creek if completed in concert,with the development of the Marketplace project.
The development would take the place of a portion of the existing farming operation on the.
property and any continuing agriculture could utilize reclaimed water in exchange for the
groundwater that is currently being used for irrigation.
The City is currently evaluating expansion of the groundwater program through a contract with
Stetson Engineers.. The first phase of the contract will provide a preliminary evaluation of the
various treatment processes available to remove the contaminants, an evaluation of potential well
sites, a preliminary environmental evaluation, evaluation of the alternatives including costs
analysis and an evaluation of possible sites for locating treatment facilities. Staff anticipates
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2004 Water Resources Status Report
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completion of the preliminary evaluation by summer 2004 with presentation of the results to
Council in early fall. With the Council's decision on Nacimiento participation, a modified
strategy and project implementation schedule will be developed for Council consideration along
with the preliminary report.
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 (at that time) and would only be used
for five years.
The City also discussed the possibility of a joint agency use of the City of Morro Bay's existing
desalination facility. The existing facility could be utilized by both agencies and the capacity
could be more than doubled from 645 acre feet per year to approximately 1,550 acre feet per
year. Following numerous meetings and discussions, the City of Monro Bay decided that the
joint use of their existing desalination facility was not in their best interest. As such, the
discussions relative to the cooperative use of the facility were curtailed.
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 significantstudy 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
one of the last options.
Salinas Reservoir.Expansion Proiect
The City has been considering 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.
� 1
2004 Water Resources Status Report
Page 9
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.
With the City Council's recent decision on the Nacimiento Project and the fact that the Salinas
Reservoir Expansion Project is a Tier 3 project (as discussed later in the report), staff would
recommend that no additional work associated with the actual reservoir expansion project be
undertaken at this time.
One area which may involve additional work relative to the Salinas Reservoir involves the
ownership of the dam. The U.S. Army Corps of Engineers (Corps) owns the dam and related
facilities, pipelines and pump stations and the property surrounding the reservoir. In the past,
there have been three separate agreements with the Corps relative to operations and activities at
Santa Margarita Lake (Salinas Reservoir).. The County of San Luis Obispo currently has a lease
with the Corps which authorizes the use of the area around the lake for recreation proposes. The
County Flood Control and Water Conservation District has had an agreement with the Corps for
the ongoing operation and maintenance of the dam and related delivery facilities. And finally,
the City of San Luis Obispo has had an agreement with the Corps for use of the water from the
lake which includes the responsibility for paying all costs associated with the operations and
maintenance of the dam and water delivery facilities by the County. These last two agreements
expired last year and the Corps has developed a preliminary draft agreement which would be a
joint agreement between the City, County Flood Control District and the U.S. Army Corps of
Engineers. Initial review of the proposed agreement by City and County staff raised a number of
issues and concerns which were conveyed back to the Corps in April of this year. A response
from the Corps to the correspondence has not been received as of mid-May.
As the Council is likely aware, the Corps has been interested in transferring ownership of the
dam and surrounding property to a local agency since the early 1970's. The facilities serve no
federal purpose and as such the Corps wants to initiate the transfer in a timely manner. This
issue has come up a number of times over the years and has never been successfully resolved.
One of the conditions of the proposed new agreement would require initiation of the studies
required for the property transfer. The following studies or actions would likely be required to
allow the transfer of the property to occur:
■ Cultural Resources Evaluation
• Hazardous Materials Evaluation
■ Property boundary line suivey
■ NEPA/CEQA documentation
s Special Legislation to allow transfer
The costs associated with these studies and actions would likely be several hundred thousand
dollars. While the Corps will likely ask the local agencies to pay for these studies, additional
discussions with the Corps and the City and County will.be necessary to determine appropriate
responsibilities for this funding. Also, development of the appropriate agreements between the
City and County will be required to identify which entity will actually own the facilities and
3 _( LD
2004 Water Resources Status Report
Page 10
define the ongoing contractual relationship between all of the parties involved in activities at
Santa Margarita Lake.
III. 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
The following is a summary of these water conservation program components:
2004 Water Resources Status Report
Page 11
Water Hardware Retrofuting Summary
With the adoption of the UWMP in Table 9: Summary of Toilet.Retrofitting
1994, toilet retrofitting had been
identified as a significant water Year Rebate Offset Total Estimated
demand management strategy and Savings
integral part of the City's overall 1999 160 2,145 2,305 130 of
management plan.. As of May 2004, 2000 76 3,194 3,270 155 of
approximately 30,600 toilets out of 2001 53 2,590 2,643 185 of
an estimated 39,000 toilets have 2002 54 860 914 44 of
been retrofitted either through the 2003 93 274 367 17afy
Retrofit Rebate, Retrofit Upon Sale 2004 (as of 12 60 72 3afy
and/or the Water Offset Programs. )
This equates to approximately 79% Total 448 9,123 9,571 534 of
of all toilets within the City of San
Luis Obispo. This represents an Totals Since 9,079 219569 309648 19447 afy
annual estimated water savings of 1990
over 1,400 acre feet.
Table 9 summarizes the toilet retrofit activity since 1999 and the program totals since 1990. A
vast majority of the toilets replaced through the years have been through the Water-Offset
Program (Retrofit to Build). The mandatory Water Offset Program was terminated in January
2002. As can be seen in Table 9, 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 dollar rebate was offered for qualifying machines. The budgeted amount
was for 100 machines for each fiscal year.
Table 10: Washing Machine Rebates Funding,for the 2001-02 and 2002-03 fiscal
years as fully utilized by January 2003.
Year Rebate Estimated The Council . continued funding the
Savings program as part of the 2003-05 Financial
-- Plan but participation in the program has
2001 45 .75 afy dramatically decreased as indicated in
2002 131 2.2 afy Table 10. Staff continues to market the
2003 31 .52 afy program to the local appliance dealers and
2004(as of5io4> 6 .10 afy is hopeful that participation will increase
Total 213 3.57 afy With the stepped up efforts. It is estimated
that a little over 3.5 acre feet of water will
2004 Water Resources Status Report
Page 12
be saved annually by these water efficient 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 Table 11: Water Audits
evaluation, landscape plant material information and other -
information on how to use water efficiently. The requests for Description Number
audits are typically received from people experiencing high Toilet Leak 233
water bills, residents participating in the low income Excessive Irrigation 296
assistance program, or customers requesting a utility bill Irrigation Leak 124
adjustment through the Utility' Billing Adjustment
Committee. Service Line Leak 36
Leak @ Meter 79
The Water Audit Program has been very active the last four Total 768
years due mainly to the staff 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 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. For the calendar year 2003, UCO staff performed 768 water audits with the most
common problems listed in Table 11. These water audits often reveal problems which are then
corrected by the property owner, which results in lower water use and reduced water bills.
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, storm water 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,
3 , 19
2004 Water Resources Status Report
Page 13 `
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 Prozrams
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.
As previously discussed in the report, 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. The landscape irrigation efficiency component of the
expanded program has been developed and is currently being implemented. The strategy
includes directly contacting high residential water users and offering assistance, creating water
budgets for individually metered landscape accounts and analyzing commercial mixed water use
accounts which include landscape irrigation. The commercial portion of the program will
initially be focusing on restaurant dishwashing hardware and will be implemented in conjunction
with the statewide CUWCC program. More information will be provided as the details of the
program are solidified. Implementation of these programs will take place during the 2004-05
fiscal year with progress reported in the 2005 Water Resources Status Report.
Future Water Conservation Projerams
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.
2004 Water Resources Status Report
Page 14 -
As previously stated, numerous studies statewide are currently underway which are evaluating
new water conservation technology. One of the most promising studies which was reported in
last year's report is evaluating several brands of irrigation controllers that use real time weather
data to determine when and how much to irrigate. Because of the time needed to evaluate the
data and results of the studies, definitive information is still not available. The strategy at this
point is to continue 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 community needs based on the policies contained in the General Plan and related
Elements. The City Council has recently endorsed participation in the Nacimiento Project for a
total of 3,380 acre feet per year. Council has considered modifications to the policies in the
Water Management Element to identify the appropriate uses for water in excess of the amount
needed to support General Plan build-out
Table 12: Previous Priority for Water (shown in Table 6). To meet the primary and
Supply Projects secondary water supply goals (policies to be
Tier Project considered for adoption by City Council on
Water Reuse June 29, 2004), the City should develop the
1 Additional Grouutdwater_Resources additional supplies from multiple sources
thereby diversifying our resources and
Additional Water Conservation
2
Nacimiento Pi line strengthening our overall reliability.
L3Desalination During last year's Council discussion of the
Salinas Reservoir Expansion 2003 Water Resources Status Report, the
Council prioritized the potential water supply projects into three "tiers", as shown in Table 12.
Based on Council's direction relative to the Nacimiento Project, staff would recommend the
revised priority as shown in Table 13 for the projects.
The rationale for the Table 13: Revised Priority for Water Supply Projects
recommended prioritization takes Tier Project Potential Yield
1000 oOO
into account many factors such as Water Reused of
project implementation obstacles 1 Nacimiento Pipeline 3,380 of
and impacts, reliability, City Additional Water Conservation 340 of
control, costs, water rate Additional Groundwater 500 of
implications and likelihood of PT
Desalination na
success. The Council's Salinas Reservoir Expansion 1,650 afy�j
concurrence with the
prioritization of the projects will *Current requested allocation
allow staff to focus their efforts on the top projects and defer additional work on the projects at
the bottom of the list.
�� A
J lel
2004 Water Resources Status Report
Page 15
The Water Reuse Project construction is underway and recycled water deliveries should begin in
spring of 2005. 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 will be presented to the Council in fall of 2004 which will
identify opportunities to systematically expand the use of recycled water.
As the Nacimiento Project moves forward, significant staff resources and involvement will be
required. The primary areas of focus for staff will be: consultant selection, commission
formation and governance, design review, financing, and environmental mitigation design. The
City should continue to dedicate the staff resources necessary to move this project through the
design phase and continue involvement in discussions relative to future governance of the
Nacimiento system following completion of construction.
The third area of focus will be to continue to improve 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, the City needs to continue to evaluate the potential for conservation
strategies to reduce our demand for water.
Additional groundwater production is currently being evaluated by Stetson Engineers. The
preliminary evaluation will be completed shortly and will be presented to Council for direction in
the fall of 2004. 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.
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.).
The Salinas Reservoir Expansion Project has numerous hurdles to overcome prior to
construction. Pursuit of the Salinas Reservoir Expansion Project will require significant
financial and staff resources. Based on the Council's direction for participation in the
Nacimiento Pipeline Project; staff would recommend deferring work on this project at this point
in time.
Based on the above analysis: if our Tier 1 projects are successful, it appears we will be able to
achieve adequate water resources through a combination of water reuse, Nacimiento, and
additional conservation.
2004 Water Resources Status Report
Page 16
V. PROJECTED WATER SUPPLY SITUATION
Reserpoir 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 December 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 below normal rainfall this year, very 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.
Attachments: 1.Definitions
2.Figures 1-5
3,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
COUNCIL MEMORANDUM
June 10, 2004 RECEIVED
JUN 0 QV 2004
TO: Mayor Romero and City Council $LO CITY CLERIC
VIA: Ken Hampian, City AdminPsion
've Officer
John Moss, Utilities Direct
FROM: Gary Henderson,Water Di Manager
SUBJECT: Red File—June 15, 2004 Council Meeting: Item B3
The attached Figures 1 through 5 were inadvertently left out of the 2004 Water Resources Status
Report which is Business Item 3 on the June 15, 2004 City Council meeting agenda. If you have
any questions, please give me a call at extension 237.
COUNCIL 'CDD DIR
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