HomeMy WebLinkAboutItem 4 - General Plan Amendment GENP-0188-2020Meeting Date: May 13, 2020
Item Number: 4
PLANNING COMMISSION AGENDA REPORT
SUBJECT: Amendment to the General Plan Land Use Element and Water and
Wastewater Management Element (GENP-0188-2020) and Proposed
Addendum to Land Use and Circulation Element Update Environmental
Impact Report (SCH# 2013121019) and Negative Declaration of
Environmental Effect (EID 1455-2018)
PROJECT ADDRESS: Citywide BY: Jennifer Metz, Utilities Project Manager
Phone Number: 805-781-7239
e-mail: jmetz@slocity.org
FROM: Aaron Floyd, Utilities Director
RECOMMENDATION: Adopt a resolution recommending the City Council amend the
City’s Land Use Element and Water and Wastewater Management Element of the General
Plan and accept the proposed addendum to the Land Use and Circulation Element (LUCE)
Update EIR and Water and Wastewater Management Element Negative Declaration (See
Attachment 1: Draft Resolution, Attachment 2: Addendum to LUCE Update EIR (SCH#
2013121019) and Water and Wastewater Management Element Negative Declaration (EID
1455-2018).
DISCUSSION
1.0 COMMISSION'S PURVIEW
The Planning Commission's role is to make recommendations to the City Council on the
proposed amendment and Addendum (Attachment 2) to the LUCE Update EIR (SCH#
2013121019) and Water and Wastewater Management Element Negative Declaration (EID
1455-2018).
2.0 BACKGROUND
In 2014, the City added Policy 1.13.2 to the Land Use Element as part of the update to the
General Plan. The existing policy states:
Provision of recycled water outside of City limits may only be considered in compliance
with Water and Wastewater Element Policy A 7.3.4 and the following findings:
A. Non-potable/recycled water is necessary to support continued
agricultural operations.
B. Provision of non-potable/recycled water will not be used to increase
development potential of property being served.
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C. Non-potable/recycled water will not be further treated to make it
potable.
D. Prior to provision of non-potable/recycled water, the property to be
served will record a conservation, open space, Williamson Act, or other
easement instrument to maintain the area being served in agriculture
and open space while recycled water is being provided.
The findings included in the policy are consistent with Government Code §56000, the
Cortese-Knox-Hertzberg Local Government Reorganization Act1 which exempts the
provision of non-potable water, including recycled water.
Land Use Element Policy 1.13.2 references Water and Wastewater Management Element,
Program A 7.3.4 which states:
Consider the potential to deliver available recycled water supplies to
customers outside the city limits, including analysis of policy issues,
technical concerns, and cost recovery, provided it is found to be consistent
with the General Plan.
In Policy 1.13.2 both non-potable water and recycled water are mentioned, however
Program 7.3.4 references only recycled water.
Non-potable water, also referred to as raw water, is water supplied from one of the City’s
surface water reservoirs (Whale Rock, Salinas, or Nacimiento) or groundwater, that has
not been treated to drinking water standards. Recycled water is highly-treated wastewater
supplied from the City’s Water Resource Recovery Facility delivered through a non-
potable water distribution system for landscape irrigation and other limited use.
At a Study Session on March 5, 2019 (Attachment 3), the City Council supported
broadening the existing language in Policy 1.13.2 in the Land Use Element and Program
A7.3.4 in the Water and Wastewater Management Element to consider delivery of both
non-potable and recycled water supplies outside the City limits through short-term water
supply contracts.
3.0 PROPOSED AMENDMENT
In line with City Council direction from March 5, 2019, staff is proposing amendments to
the Land Use Element and Water and Wastewater Management Element are as follows
(bold and underlined text highlight proposed text):
1 The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 is the section of the State
Government Code (Government Code §§ 56000 et seq) that provides LAFCO with its authority, procedures
and functions. It establishes procedures for local government changes of organization, including city
incorporations, annexations to a city or special district, and city and special district consolidations.
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Proposed General Plan, Land Use Element, Policy 1.13.2:
Provision of non-potable or recycled water outside of City limits may only be considered
in compliance with Water and Wastewater Element Policy A 7.3.4 and the following
findings:
A. Non-potable/recycled water is necessary to support continued
agricultural operations.
B. Provision of non-potable/recycled water will not be used to increase
development potential of property being served.
C. Non-potable/recycled water will not be further treated to make it
potable.
D. Prior to provision of non-potable/recycled water, the property to be
served will record a conservation, open space, Williamson Act, or other
easement instrument to maintain the area being served in agriculture
and open space while non-potable/recycled water is being provided.
Proposed General Plan, Water and Wastewater Management Element, Program A 7.3.4:
Consider the potential to deliver available non-potable or recycled water
supplies to customers outside the city limits, including analysis of policy
issues, technical concerns, and cost recovery, provided it is found to be
consistent with the General Plan.
As described in Attachment 3, Cal Poly has expressed interest to the City for a short-term
non-potable water supply contract for use as agriculture irrigation. Cal Poly’s agricultural
lands are located proximate to the City’s Water Treatment Plant where existing pipelines
convey non-potable water from the City’s three surface water reservoirs. Approval of a
short-term non-potable water contract would require City Council approval.
Tribal Consultation
Native American tribal groups that have a cultural and traditional affiliation with the City
have been formally noticed that amendments are proposed to the City’s Land Use Element
and Water and Wastewater Management Element to broaden existing Land Use Element,
Policy 1.13.2 and Water and Wastewater Management Element, Program A 7.3.4 to
include both the City's non-potable water and recycled water supplies.
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4.0 ENVIRONMENTAL REVIEW
In compliance with the California Environmental Quality Act (CEQA), staff prepared an
Addendum to the LUCE Update EIR and 2018 Negative Declaration for the Water and
Wastewater Management Element update (EID 1455-2018) to analyze the potential
environmental impacts of the proposed amendment. That analysis is provided here as
Attachment 2. Staff is recommending that the Planning Commission adopt a resolution
recommending the City Council accept the Addendum (Attachment 1).
5.0 ALTERNATIVES
Do not recommend approval of the General Plan Amendments. The Planning
Commission could elect to not recommend approval of the amendments to the Land Use
Element and Water and Wastewater Management Element to broaden the existing policy
and program language to include non-potable water. Staff does not recommend this
alternative because the proposed amendments provide necessary clarity related to non-
potable water deliveries outside the City limits.
Continue the item. An action to continue the item should include a detailed list of
additional information or analysis required to make a decision.
6.0 ATTACHMENTS
1. Resolution Recommending the City Council Adopt an Amendment to the Land Use
Element and Water and Wastewater Management Element of the General Plan
2. Addendum to the LUCE EIR and WWME Negative Declaration
3. Council Agenda Report, March 5, 2019 Study Session
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ATTACHMENT 1
R ______
RESOLUTION NO. PC-XXXX-20
A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF
SAN LUIS OBISPO RECOMMENDING THE CITY COUNCIL ADOPT
AMENDMENTS TO THE LAND USE ELEMENT AND WATER AND
WASTEWATER MANAGEMENT ELEMENT OF THE GENERAL PLAN
(GENP-0188-2020) AND ACCEPT AN ADDENDUM TO THE LAND USE
AND CIRCULATION ELEMENT (LUCE) UPDATE EIR AND WATER
AND WASTEWATER MANAGEMENT ELEMENT NEGATIVE
DECLARATION (CITYWIDE, GENP-0188-2020)
WHEREAS, State law requires cities and counties to adopt a general plan; and
WHEREAS, the Land Use Element of the San Luis Obispo City General Plan was last
updated in 2014 in compliance with State law; and
WHEREAS, Water and Wastewater Management Element of the San Luis Obispo City
General Plan was last updated in 2018 in compliance with State law; and
WHEREAS, the City of San Luis Obispo has prepared amendments to the General Plan
Land Use Element and Water and Wastewater Management Element to broadening existing policy
and program language to include both non-potable and recycled water supplies, and
WHEREAS, the potential environmental impacts of the amendments to Land Use Element
and Water and Wastewater Management Element have been evaluated in accordance with the
California Environmental Quality Act pursuant to an Addendum to the Land Use and Circulation
Element (LUCE) Update EIR and Water and Wastewater Management Element Negative
Declaration; and
WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public
hearing on May 13, 2020, pursuant to a proceeding instituted under GENP-0188-2020, City of San
Luis Obispo, applicant; and
WHEREAS, the Planning Commission of the City of San Luis Obispo has duly considered
all evidence, including the testimony of the applicant, interested parties, and evaluation and
recommendations by staff, presented at said hearing; and
WHEREAS, notices of said public hearings were made at the time and in the manner
required by law; and
NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of
San Luis Obispo as follows:
SECTION 1.Finding. The Planning Commission hereby recommends approval to the
project (GENP-1088-2020), based on the following finding:
1. The proposed amendments to the Land Use Element and Water and Wastewater
Management Element are consistent with the General Plan.
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Resolution No. PC-XXXX-20 ATTACHMENT 1
Citywide, GENP-0188-2020
Page 2
SECTION 2. Environmental Review. The Planning Commission recommends the City
Council determine that the proposed General Plan Land Use and Water and Wastewater
Management Element amendments will not create a substantial environmental effect as defined by
the California Environmental Quality Act and supports the Addendum to the Land Use and
Circulation Element (LUCE) Update EIR and Water and Wastewater Management Element
Negative Declaration.
SECTION 3. Action. The Planning Commission hereby recommends the City Council
approve the project (GENP-1088-2020).
On motion of by Commissioner _______________________, seconded by Commissioner
_______________________, and on the following roll call vote:
AYES:
NOES:
REFRAIN:
ABSENT:
The foregoing resolution was adopted this 13th day of May, 2020.
_____________________________
Tyler Corey, Secretary
Planning Commission
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ATTACHMENT 2
Addendum to the Land Use and Circulation Element Final Environmental
Impact Report (SCH# 2013121019) and to the Water and Wastewater
Management Element Negative Declaration (EID 1455-2018)
City File No: GENP-0188-2020
1. Project Title: Non-Potable Water Deliveries Outside the City
2. Lead Agency Name and Address:
City of San Luis Obispo, Utilities Department
879 Morro Street
San Luis Obispo, CA 93401
3. Contact Person and Phone Number:
Jennifer Metz, Utilities Project Manager, 805-781-7239
4. Project Location: Citywide
5. Project Representative Name and Address:
Jennifer Metz
City of San Luis Obispo, Utilities Department
879 Morro Street
San Luis Obispo, CA 93401
6. General Plan Designation: N/A
7. Zoning: N/A
8. Description of the Project:
The proposed General Plan amendments consists of broadening language of Land Use Element
Policy 1.13.2 and Water and Wastewater Management Element (WWME) Program A 7.3.4. to
include the potential for non-potable water deliveries. Bold and underlined text is used to highlight
proposed language.
Land Use Element Policy 1.13.2:
Provision of non-potable or recycled water outside of City limits may only be considered in
compliance with Water and Wastewater Element Policy A 7.3.4 and the following findings:
A. Non-potable/recycled water is necessary to support continued agricultural
operations.
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ATTACHMENT 2
B. Provision of non-potable/recycled water will not be used to increase
development potential of property being served.
C. Non-potable/recycled water will not be further treated to make it potable.
D. Prior to provision of non-potable/recycled water, the property to be served will
record a conservation, open space, Williamson Act, or other easement
instrument to maintain the area being served in agriculture and open space
while non-potable/recycled water is being provided.
Water and Wastewater Management Element, Program A 7.3.4:
Consider the potential to deliver available non-potable or recycled water supplies
to customers outside the city limits, including analysis of policy issues, technical
concerns, and cost recovery, provided it is found to be consistent with the General
Plan.
9. Project Entitlements Requested: N/A
10. Setting and Surrounding Land Uses: N/A
11. Other public agencies whose approval is required (e.g., permits, financing approval, or
participation agreement.): None
12. Previous Environmental Review
On December 9, 2014, the City Council certified the Land Use and Circulation Element (LUCE)
Update EIR. Council Resolution No. 10586 includes the findings and mitigation measures that
apply to the LUCE Update. Land Use Element Policy 1.12.1 regarding the City’s practice of not
providing water service outside of the city, was modified as part of the 2014 LUCE update. The
policy language changed specifies that potable water shall not be provided beyond the city limits,
allowing recycled/non‐potable water to be provided outside the city limits where specific findings
can be made. Land Use Element Policy 1.12.1 states:
1.12.1 Water and Sewer Service. The City shall not provide nor permit delivery
of City potable water or sewer services to the following areas. However, the City
will serve those parties having valid previous connections or contracts with the
City.
A. Outside the City limits;
B. Outside the urban reserve line;
C. Above elevations reliably served by gravity‐flow in the City water system;
D. Below elevations reliably served by gravity‐flow or pumps in the City sewer
system.
Findings and mitigation measures from the LUCE EIR are still in effect and will apply to this
project.
On May 18, 2018, the City Council approved a Negative Declaration (EID 1455-2018) for the
2018 Amendment to General Plan, Chapter 8, Water and Wastewater Management Element
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ATTACHMENT 2
(Council Resolution No. 10893). The proposed modification to Program A 7.3.4. to include the
potential for non-potable water deliveries for agriculture would utilize existing infrastructure and
would not result in any impacts to the environment. As stated in the 2018 Negative Declaration,
the City continues to have an adequate water supply to meet projected water demand of 57,200
residents at 117 gpcd, a 20 percent reliability reserve, and over 1,000 acre feet as a secondary water
supply.
Section 15164 of the State CEQA Guidelines allows a lead agency to prepare an addendum to a
EIR or Negative Declaration when "minor technical changes or additions" have occurred in the
project description since the EIR was certified. In addition, the lead agency is required to explain
its decision not to prepare a subsequent EIR pursuant to State CEQA Guidelines Section 15162,
which requires subsequent EIRs when proposed changes would require major revisions to the
previous EIR "due to the involvement of new significant environmental effects or a substantial
increase in the severity of previously identified significant effects."
No new environmental effects are created by the proposed project and there is no increase in the
severity of previously identified significant effects.
DETERMINATION
In accordance with Section 15164 of the State CEQA Guidelines, the City of San Luis Obispo has
determined that this addendum to the LUCE Update EIR and WWME Negative Declaration is
necessary to document changes or additions that have occurred in the project description since the
EIR was certified in 2014 and the Negative Declaration was approved in 2018. No issue areas are
affected by the proposed project. The preparation of a subsequent EIR is not necessary because:
None of the following circumstances included in Section 15162 of the CEQA Guidelines have
occurred which require a subsequent EIR:
a. The project changes do not result in new or more severe environmental impacts.
b. The circumstances under which the project is undertaken will not require major
changes to the EIR or Negative Declaration.
c. The modified project does not require any substantive changes to previously
approved mitigation measures.
Referenced Documents Available Electronically:
1. Council Resolution No. 10586, 2014 Series, certifying the LUCE Update EIR
https://opengov.slocity.org/WebLink/DocView.aspx?id=26685&dbid=0&repo=CityClerk
2. Land Use and Circulation Element Update Environmental Impact Report (Final Program
EIR, September 2014):
https://www.slocity.org/home/showdocument?id=6719
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ATTACHMENT 2
3. Council Resolution No. 10893, 2018 Series, approving a Negative Declaration for the 2018
Amendments to the Water and Wastewater Management Element:
https://opengov.slocity.org/WebLink/DocView.aspx?id=77736&dbid=0&repo=CityClerk
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•Council Agenda Report
Department Name:
Cost Center:
For Agenda of:
Placement:
Estimated Time:
FROM: Aaron Floyd, Interim Utilities Director
Prepared By: Jennifer Metz, Utilities Projects Manager
Utilities
6001
ATTACHMENT 3
March 5, 2019
Study Session
90 minutes
SUBJECT: CAL POLY REGIONAL WATER SUPPLY ALTERNATIVES AND
SHORT-TERM WATER AGREEMENTS
RECOMMENDATION
1.Receive an update on Cal Poly regional water supply alternatives; and
2.Discuss policy direction on short-term water supply agreements for outside City deliveries
and provide direction on whether existing policy should be broadened to include both
non-potable and recycled water supplies.
REPORT-IN-BRIEF
In this study session, City staff will provide an update on its work with Cal Poly staff to
understand the projected water demand associated with the 2035 Cal Poly Master Plan and
potential regional water supply alternatives potentially available on a temporary basis to meet
demands until such time as long-term supplies can be secured by the University. The City is
uniquely positioned to assist Cal Poly in meeting its Master Plan goals as both a regional water
partner and in support of City goals, particularly as it relates to additional on campus housing.
The purpose of this study session is for the Council to provide policy direction for non-potable
and recycled short-term water supply agreements. This agreement could enable the University to
accelerate the much-needed housing and related infrastructure replacement until such time as
long-term water supplies are secured and the infrastructure to support it is constructed.
DISCUSSION
The City has successfully partnered with State and regional agencies on water supply projects for
many years, such as the construction of Whale Rock Reservoir and the Nacimiento Water
Project.
2035 Cal Poly Master Plan
In October 2018, staff from the City's Community Development and Utilities Departments
began working with Cal Poly staff to identify regional water supply alternatives with the
potential to meet future University water demand and improve water supply resiliency. The City
and Cal Poly entered into a Working Agreement in November (Attachment A) for the purpose of
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identifying mutually beneficial water supply alternatives that would "do no harm" to either
entity. As the Council may recall, when Cal Poly released a Draft EIR for the 2035 Master Plan,
the City provided a substantial list of comments in response. One of the broadest concerns
identified at the time was water supply, both in terms of amount of water and resiliency. Cal Poly
currently only has one source of potable water, which is raw water from Whale Rock Reservoir
that is treated and delivered by the City under contract.
Through the process described in the Working Agreement, City staff gained an understanding of
Cal Poly's current water use and future water demand, discussed a broad range ofregional water
supply alternatives, and identified opportunities to increase the resiliency and redundancy of both
City and Cal Poly water supplies. Thirty alternatives were discussed (Attachment B) as part of
this brainstorming exercise. The prioritization criteria used for this effort included
A vailability/Timeframe, Potential Partners, Energy and Sustainability, Engineering and
Technical Considerations, Construction and Operational Costs, Environmental Impact/Permits,
and an estimate of Water Quantity. Each alternative was also characterized as to whether it
provided resiliency, redundancy, or any potable water offset. Cal Poly identified the following as
its top water supply alternatives:
1.University to construct and operate a water reclamation facility and on-site water storage
to produce a recycled water supply for agriculture and landscape irrigation use.
2.University to obtain water from the City of San Luis Obispo.
3.University to obtain water rights to the Nacimiento Water Project.
4.University to obtain water from the State Water Project.
Cal Poly plans to include further analysis of water supply alternatives in the Draft Environmental
Impact Report for the 2035 Cal Poly Master Plan. At this time, Cal Poly has not requested water
service from the City to support development proposed under the Master Plan.
Water Service from the City
One of the top alternatives identified through this process involves the City supplying water to
Cal Poly. As Cal Poly is located outside of the City's jurisdictional boundaries, City staff met
with the Executive Director from the San Luis Obispo Local Agency Formation Commission
(LAFCO) to discuss the legal framework for providing water service to the University. The
City's existing agreement with Cal Poly for water treatment and distribution services predates
the Cortese-Knox Hertzberg Local Government Reorganization Act of 2000 (California
Government Code §56000 et seq.). The provision of potable water supply resources outside of
the City can be allowed under an Outside User Agreement approved by LAFCO if the agreement
is a step on the path towards annexation, as the City has done with the Fiero Lane area. However,
Cal Poly is not requesting annexation into the City. During this conversation with LAFCO it was
confirmed that contracts for non-potable water are exempt from the Outsi de User Agreement
requirement per Government Code §56133(e). Under this scenario, to comply with the Cortese
Knox Hertzberg Act, the City could only deliver new non-potable water supplies to the
University.
City staff discussed the potential for a non-potable water delivery agreement with Cal Poly to
support ongoing agricultural operations on its land. Water demand for Cal Poly's agricultural
lands is estimated at up to 320 acre-feet annually. Staff would recommend that any water supply
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agreement be for a "short-term," such as five years or less. The City currently provides
non-potable water to Cal Poly for agricultural use from Cal Poly's Whale Rock water supply, so
no additional infrastructure would be required to increase this service.
The City has a stated policy interest in pursuing a short-term agreement with the University to
provide either non-potable or recycled water that in turn is used to offset potable water demand.
This policy interest is found in the City's General Plan, Land Use Element:
1.12.2. Cal Poly
The City shall encourage Cal Poly not to change its 2001 Master Plan enrollment targets
in a way that would exceed campus and community resources. The City shall encourage
Cal Poly to provide additional on-campus housing, enhanced transit service, and other
measures to minimize impacts of campus commuting and enrollment. Cal Poly should
actively engage the community during updates or amendments to the Campus Master
Plan and fully mitigate impacts to the City, including environmental and quality of life
impacts to nearby neighborhoods.
2.6.1. Cal Poly
The City shall encourage Cal Poly to build housing on campus for all of its students, to
the extent feasible. On-campus housing should be expanded at least as fast as enrollment
increases. Consideration shall be given for housing for faculty and staff as student
enrollment increases.
2. 6.4. Location
The City shall encourage the development of housing likely to attract faculty, staff, and
students to locate close to Cal Poly. The City shall work with Cal Poly to facilitate
faculty and staff owning or renting housing in adjacent neighborhoods.
away from
automobiles and
towards
bike/pedestrian
paths wlll have
major Impacts on
emergency
vehicles and
publlc transit.
The Purple line
represents. the
future quickest
route across
The City is uniquely positioned to assist Cal Poly in meeting its Master Plan goals as both a
regional water partner and in support of City goals, particularly as it relates to additional on
campus housing. Additional on-campus housing is a critical factor to addressing housing issues
and will supply housing that will alleviate both the current and future housing issues. The above
graphic shows that if Cal Poly achieves its goal of increasing the percentage of students living on
campus from 35 percent to 65 percent, with an enrollment of 25,000 students, it would mean
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ATTACHMENT 3
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6,500 fewer students living off campus. To give that some perspective, it is equivalent to
approximately 1,500 to 2,500 units in the City. Staff recommends that should Council be
inclined to support short-term non-potable or recycled water service to Cal Poly while the
University secures a permanent water supply, that it be specifically related to housing
production.
Short-term Water Supply Agreements
The City and other local agencies recognize there is a continued
need for regional water supply solutions. As part of the adoption
of the City's Recycled Water Master Plan in 2017, the City
Council authorized staff to negotiate an agreement for delivery
of recycled water outside the city limits consistent with policies
and findings identified in the General Plan. At that time, the City
was looking at supplying recycled water to the Edna Valley or to
Cal Poly. Supplying recycled water delivery to Cal Poly from
the City's Water Resource Recovery Facility was explored and
was found to be costly due to the pumping and pipeline
infrastructure that would be needed. Supplying additional non
potable water (raw water) through a short-term agreement was
not anticipated at that time. Therefore, staff is seeking direction
on whether to broaden existing General Plan Policy 1.13.2 and
Program A7.3.4 to include both non-potable and recycled water
supplies.
General Plan, Land Use Element, Policy 1.13 .2 states:
Non-potable water, or raw water,
is water supplied from one of the
City's surface water reservoirs
(Whale Rock, Salinas, or
Nacimiento) or groundwater, that
has not been treated to drinking
water standards at the City's Water
Treatment Plant.
Recycled water is highly-treated
wastewater supplied from the
City's Water Resource Recovery
Facility delivered through a purple
pipe system for landscape
irrigation. Any surplus recycled
water is currently discharged to
San Luis Obispo Creek.
Provision of recycled water outside of City limits may only be considered in compliance
with Water and Wastewater Element Policy A 7.3.4 and the followingfindings:
A.Non-potable/recycled water is necessary to support continued agricultural
operations.
B.Provision of non-potable/recycled water will not be used to increase development
potential of property being served.
C.Non-potable/recycled water will not be further treated to make it potable.
D.Prior to provision of non-potable/recycled water, the property to be served will
record a conservation, open space, Williamson Act, or other easement instrument to
maintain the area being served in agriculture and open space while recycled water is
being provided.
General Plan, Water and Wastewater Management Element, Program A 7.3.4 states:
Consider the potential to deliver available recycled water supplies to customers outside
the city limits, including analysis of policy issues, technical concerns, and cost recovery,
provided it is found to be consistent with the General Plan.
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If broadening the existing policy and program supported by the City Council, staff would prepare
a General Plan amendment and the City could provide non-potable or recycled water for
agricultural purposes, consistent with existing findings to Cal Poly or other users, as well.
Staff is also seeking policy direction related to short-term water supply agreements. Staff
recommends that any short-term agreements be crafted to include provisions for service
interruption or reduction, due to operational issues or climatic events, reservoir levels, water
demand forecasting, or water quality. Meaning, during a water shortage emergency, municipal
water deliveries would be prioritized. Per the 2018 Water Resources Status Report, the City's
total water demand for Water Year 2018 was 5,225 acre-feet and annual availability was 10,130
acre-feet. The City's projected "primary" water supply for 2035 is 7,496 acre feet annually with
a future "reliability reserve" of 1,499 acre feet.1
Previous Council or Advisory Body Actions
In 2015, the City Council approved Resolution No. 10676 providing Guiding Principles based on
General Plan Policies to provide recommendations on the Cal Poly Master Plan for their
consideration (Attachment C). These Guiding Principles included coordinating future
development plans with the City's Utilities and Community Development Department.
In January of 2018, the City submitted a comment letter to the CSU Board of Trustees on the Cal
Poly 2035 Master Plan Draft Environmental Impact Report, dated November 2017 (State
Clearinghouse No. 2016101003) related to water supply and other potential impact areas. The
City's comment letter articulated concerns with the water supply analysis including
underestimating potential water needs and improperly relying on development of unknown
future water sources needed for the 2035 Master Plan.
Policy Context
Although the City has an agreement with Cal Poly to provide water treatment and water
distribution services, the City's water policies identified in the General Plan, Water and
Wastewater Management Element (WWME), including utilizing multiple water resources to meet
water supply needs and establishing primary water supply, reliability reserve, and secondary
water supplies, do not apply to Cal Poly because it is located outside of the city limits. Similarly,
the City's Urban Water Management Plan, including the City's Water Shortage Contingency
Plan, does not apply to Cal Poly.
1 "Primary" water supply is the amount of water needed to serve the estimated 2035 population (57,200 persons)
identified in the General Plan, Land Use Element. Primary water supply is calculated using population and 117
gallons per capita per day (gpcd) in the General Plan, Water and Wastewater Management Element (WWME),
Policy A5.2.2. The quantity of water for the "reliability reserve" is defined in WWME Policy A 5.2.3, at 20 percent
of the annual "primary" water supply. The City's "reliability reserve" will increase with population over time to
1,499 acre feet annually with the projected 2035 population of 57 ,200 persons.
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ATTACHMENT 3
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WWME Program A2.3.1 does address the collaborative nature of staffs work with Cal Poly. It
states that the City will "Work cooperatively on regional water issues and water resource
planning (Water Resource Advisory Committee, Whale Rock Commission, Groundwater
Sustainability Commission, etc.). " The City has worked with Cal Poly on the Whale Rock
Commission since the 1950s when Whale Rock Reservoir was constructed. Like the City, Cal
Poly's safe annual yield from Whale Rock Reservoir was reduced based on updated modeling
conducted following the end of the drought in 2017. Cal Poly's safe annual yield from Whale
Rock Reservoir is 959 acre-feet. Whale Rock Reservoir is currently Cal Poly's only potable
water supply source.
Public Outreach
The status of the City's water supplies is highlighted annually in the publication of the Water
Resources Status Report in accordance with the General Plan, Water and Wastewater
Management Element, Policy A5.3.1. The 2018 Report was provided to the City Council at its
January 15, 2019 meeting.
CONCURRENCES
The Community Development Department concurs with the recommendations in this report.
ENVIRONMENTAL REVIEW
No environmental review is required for this Study Session. Cal Poly is the lead agency for its
2035 Master Plan EIR and is conducting further analysis on water supply alternatives described
in this report. The ultimate decision maker for Cal Poly's 2035 Master Plan is the Board of
Trustees of California State University (Board of Trustees). Cal Poly staff anticipates
recirculation of the DEIR and presentation the 2035 Master Plan and DEIR to the Board of
Trustees in the Fall of2019 for their consideration.
Should the City Council provide policy direction on short-term water supply agreements, staff
would return to the City Council as required by the California Environmental Quality Act
(CEQA).
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ATTACHMENT 3
Item 4
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FISCAL IMPACT
Budgeted: NIA Budget Year: NI A
Funding Identified: NI A
Fiscal Analysis:
Funding Sources Current FY Cost Annualized Total Project Cost On-going Cost
General Fund
State
Federal
Fees
Other: Water Fund NIA NIA NIA
Total NIA NIA NIA
There is no fiscal impact associated with Council receiving an update on Cal Poly regional water
supply alternatives.
The City is committed to good fiscal health and the delivery of quality services to the
community. The City adopted a Fiscal Health Response Plan (FHRP) in 2018, committing to
doing business differently. Consistent with the FHRP and General Plan, Utilities Department has
been exploring opportunities to leverage its water supply resources through short-term water
supply agreements. These agreements could provide revenue to accelerate the City's much
needed infrastructure replacement that would otherwise be funded through water rate increases.
Should the City Council provide policy clarification on short-term water agreements, staff would
return to Council with the fiscal analysis specific to any future agreement.
ALTERNATIVES
1.The Council could elect not to provide policy clarification at this time. Staff does not
recommend this alternative, as the City has opportunities to leverage its water supply
resources through short-term agreements consistent with the FHRP and General Plan.
2.The City Council could request additional information related to short-term water agreements
in order to provide policy clarification and feedback. If the City Council feels significant
additional information is required to proceed, it can direct staff to gather that information and
return at a later date.
Attachments:
a -City Poly Working Agreement signed
b -Cal Poly Water Supply Alternatives
c -Resolution 10676 Providing City input to Cal Poly
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ATTACHMENT 3
Item 4
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WORKING AGREEMENT
BETWEEN
BOARD OF TRUSTEES OF THE CALIFORNIA STATE UNIVERSITY
AND
CITY OF SAN LUIS OBISPO
This WORKING AGREEMENT (AGREEMENT) is hereby made and entered into by and
between the City of San Luis Obispo, hereinafter referred to as CITY, and Board of Trustees of
the California State University on behalf of California Polytechnic State University, San Luis
Obispo, hereinafter referred to as UNIVERSITY.
A.PURPOSE:
The purpose of this AGREEMENT is to develop a clear framework between the CITY and the
UNIVERSITY that will guide the exploration of mutually-beneficial water resiliency and
redundancy alternatives that have potential to meet future UNIVERSITY water demand and
improve the UNIVERSITY's water supply resiliency.
B.UNIVERSITY SHALL:
Work in partnership with the CITY by providing adequate staffing resources, authority, and all
requested data and information in a timely manner to ensure an efficient process and creative
alternatives are explored to satisfy the stated AGREEMENT purpose.
C.CITY SHALL:
Work in partnership with the UNIVERSITY by providing adequate staffing resources, authority,
and all requested data and information in a timely manner to ensure an efficient process and
creative alternatives are explored to satisfy the stated AGREEMENT purpose.
D.IT IS MUTUALLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES
THAT:
1.MUTUAL BENEFIT. UNIVERSITY and CITY will collaborate to identify water supply
alternatives to improve current conditions, add resilience and redundancy, and be respectful of
needs of both sides.. The process will identify water supply alternatives that benefit at least
one of the participants and cause no harm to either.
2.COMMUNICATION AND COLLABORATION. In the course of this endeavor both the
UNIVERSITY and CITY will share information and engage in dialogue that should remain
with the PRINCIPAL CONTACTS and his/her designees. The City and University shall
comply with all public records act requests and shall notify each party of any requests.
3.PROCESS. The development of mutually-beneficial water supply alternatives will be
completed through the following milestones. A process summary is provided in Exhibit A.
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ATTACHMENT 3
Item 4
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Working Agreement Between California Polytechnic State
University, San Luis Obispo and City of San Luis Obispo
Page2
MILESTONE COMPLETION DATE
1.Execute Working Agreement
2.Agree on Rules of Engagement and Outcomes
3.Review existing City water supplies, policies, and growth projections
4.Review current University water use and customers (ag., enrollment, other)
5.Review proposed University growth and develop demand projections
6.Identify timeline associated with future City and University water demand
7.Identify mutually beneficial water supply alternatives
8.Define water supply alternative evaluation protocol
9.Evaluate policy, technical, and financial considerations for each alternative
10.Prepare alternatives recommendation for University and City consideration
11.Present alternatives recommendation to City Council, if needed
10/15/2018
10/15/2018
10/22/2018
10/22/2018
10/22/2018
10/22/2018
11/02/2018
11/06/2018
11/16/2018
12/21/2018
2/19/2019
This process is not intended to be a negotiation but may provide information for future
negotiations between the CITY and UNIVERSITY.
4.PRINCIPAL CONTACTS. The principal contacts for this AGREEMENT are:
CITY:
Name: Role:
Michael Codron, City Lead
UNIVERSITY:
Name: Role:
Cody VanDorn, University Lead
5.PARTICIPATION IN SIMILAR ACTIVITIES. This AGREEMENT in no way restricts
UNIVERSITY or CITY from participating in similar activities with other public or private
agencies, organizations, and individuals.
6.TERMINATION. Either party, upon thirty (30) days written notice, may terminate the
AGREEMENT, or in part, at any time before the date of expiration.
7.NON-OBLIGATING DOCUMENT. This agreement is neither a fiscal nor a funds obligation
document, or an obligation to provide an additional water supply. Any final option will be
outlined in separate agreements that shall be made in writing by representatives of the parties
and shall be independently authorized by appropriate statutory authority and with applicable
laws and regulations. This agreement does not provide such authority. Each party shall be
fiscally responsible for their own portion work performed under the AGREEMENT.
8.COMMENCEMENT/EXPIRATION DATE. This AGREEMENT is executed as of the date of
last signature and is effective through February 28, 2019 at which time it will expire unless
extended by mutual written consent of both parties.
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ATTACHMENT 3Item 4
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Working Agreement Between California Polytechnic State
University, San Luis Obispo and City of San Luis Obispo
Page3
9.LIABILITIES. It is understood that neither party to this AGREEMENT is the agent of the
other and neither is liable for the wrongful acts or negligence of the othet. Each party shall be
responsible for its negligent acts or omissions and those of its officers, employees, agents,
howsoever caused, to the extent allowed by law.
IN WITNESS WHEREOF, the parties hereto have executed this AGREEMENT as of the last
written date below.
FOR CITY:
FOR TRUSTEES
Date: l//z1 /; BI / �fl k;_
Ntune and Title
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ATTACHMENT 3Item 4
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EXHIBIT A: WATER SUPPLY ALTERNATIVES -TECHNICAL PROCESS SUMMARY
Confirm
B,rainstorm
Analyze
Prioritize
Recommend
/ Decide
Confirm Baseline Conditions, Data Sources &
Projection Assumptions
•How was the baseline condition determined?
•What assumptions are used? Are these assumptions
"strong" or do they have some level of risk or bias?
•How much water is needed and for what uses?
•How is water demand calculated?
•When is additional water needed?
•What could change over time?
•Does the projection method align with best practices?
•How is future climate change addressed? Is an adequate
water supply buffer included?
•Are there knowledge gaps needing to be filled?
•Are the City's and University's projection methods
consistent? Or how do they differ? Is the University's
projection method consistent with other CSU campuses?
Or how do they differ?
•DELIVERABLE: University to summarize "Confirm" stage
in a technical memorandum.
Brainstorm Short-& Long-Term Alternatives
•Identify where additional water supplies might come
from using uncensored and creative thinking or "green
light" thinking
•How could the additional water supply be used?
•When could additional water supplies be available?
•DELIVERABLE: Short-and Long-Term Alternatives matrix.
Analyze Alternatives
•What does the alternative provide (new water
supply/resiliency /redundancy I other)
•What are the risks/benefits?
•What is the cost?
•Is the alternative mutually beneficial?
•What are the political ramifications of the alternative?
•What is the political approval process of the alternative?
•DELIVERABLE: Short and Long-Term Alternatives matrix
with comparative analysis.
Prioritize Alternatives
•Agree upon a methodology for alternative evaluation
(such as triple bottom line)
•Assign weighting factors to agreed-upon variables
•Verify prioritization
•DELIVERABLE: Short and Long-Term Alternatives matrix
with prioritization.
Recommend Alternatives/Decide
•What alternatives does staff recommend to the decision
makers?
•DELIVERABLE: City Council Staff Report, University to
Prepare a Letter Requesting Water Supply and
Identification of Preferred Alternative.
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ATTACHMENT 3
Item 4
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RESOLUTION NO. 10676 (2015 Series)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, PROVIDING CITY INPUT TO CAL POLY FOR
CONSIDERATION IN THEIR MASTER PLAN UPDATE PROCESS
(GENP-2088-2015)
WHEREAS, the City Council of the City of San Luis Obispo has established Guiding
Principles based on General Plan Policies which the Planning Commission has used as a basis to
provide recommendations on the Cal Poly Master Plan; and,
WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a
public meeting in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo,
California, on October 28, 2015, for the purpose of reviewing draft land use concepts under
consideration by Cal Poly for the Campus Master Plan Update and provide recommendations to
the Council based on Guiding Principles supported by General Plan policy; and
WHEREAS, the City Council of the City of San Luis Obispo conducted a public
meeting in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on
November 17, 2015, for the purpose of considering Planning Commission recommended input
on land use concepts being considered for final inclusion in the Cal Poly Master Plan Update;
and
WHEREAS, the City Council has duly considered all evidence, including the testimony
of the public and interested parties, recommendations of the Planning Commission, the
evaluation and recommendations by staff, and refined land use concepts provided by Cal Poly,
and presented at said hearing.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Based upon all the evidence, the Council makes the following findings:
1.City comments to Cal Poly are based on City Land Use Element Policy for
Neighborhood Wellness goals to preserve and enhance the quality of life within
each neighborhood (LUE 2.1 Neighborhood Focus, LUE 2.3.11 Residential
Project Objectives) and provide high quality public services ensuring that
demands do not exceed resources (LUE Goal #17).
2.City comments to Cal Poly are consistent with Land Use and Housing Element
policies to facilitate faculty and staff housing in neighborhoods adjacent to Cal
Poly and to locate fraternities and sororities on the Cal Poly campus (LUE 2.6.4 &
HE 8.4 through 8.7).
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ATTACHMENT 3Item 4
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Resolution No. 10676 (2015 Series) Page 2
3.City comments to Cal Poly are consistent with Circulation Element Policy to
coordinate planning of Transportation with other affected agencies such as Cal
Poly and support the development of a circulation system that balances the needs
of all circulation modes (CE 1.6.1).
4.City comments to Cal Poly are consistent with Land Use Element Goals and
Conservation and Open Space Element Policy to preserve protect scenic vistas,
preserve agricultural land, and enhance wildlife habitat on land surrounding the
City. (LUE Goals 4 & 6 and COSE 8.1 ).
5.City comments to Cal Poly consistent with Safety Element policy to ensure
adequate fire services are available concurrent with development (SE 3.0) and
Wastewater Element policy and new development pay its proportionate "fair
share" of expanded collection system capacity and upgrades.
SECTION 2. Euviromnental. City of San Luis Obispo input on land use concepts under
consideration by Cal Poly (agency with jurisdiction) for further development in the Master Plan
update process is not an action which is subject to CEQA.
SECTION 3. Recommendation. The City Council of San Luis Obispo does hereby
approve the following input to Cal Poly for consideration in their Master Plan update process:
1)Explore implementation of programs and incentives for faculty and staff to live
within existing neighborhoods (not on campus) to stabilize neighborhoods close
to campus.
2)Master Plan policies/principles should address neighborhood compatibility in
terms of scale, density, character of development and residential neighborhoods
should be limited and only be designated for staff, faculty and family housing.
Neighborhood Sensitivity zones should also be added to the residential
neighborhood area west of Highway 1 that is adjacent to existing City
neighborhoods.
3)The Master Plan update should include recommendations of the Neighborhood
Wellness/Community Civility Report where applicable.
4)Proposed Residential Neighborhood Development should be sited and developed
in order to avoid or minimize impacts to scenic view sheds and environmental
resource impacts (riparian, creek, agriculture).
5)New development in the Poly Canyon area and on land adjacent to City Open
Space should consider regional trail connections and coordinated with City and
US Forest Service Sta.ff.
R 10676
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ATTACHMENT 3Item 4
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Resolution No. 10676 (2015 Series) Page 3
6)Large events resulting from new facilities and expansion of existing facilities (e.g.
Arena, Agriculture Events Center, Mott Gym, Spanos Stadium, etc.) that have the
potential to affect the City transportation system should include advance
notification and coordination with City staff to minimize impacts; and any
potential cumulative impacts on the City's infrastructure, including but not
limited to the transportation, streets, and bikes systems associated with large
events at those facilities should be fully evaluated and mitigated in the Campus
Master Plan Update EIR.
7)Impacts to City emergency services and Police mutual aid response should be
evaluated and mitigated since the expansion of these facilities have the potential
to result in increased calls for fire, rescue, and medical service during large
events.
8)Further evaluation of the wastewater facility west of California Boulevard should
assess potential impacts on existing uses in the vicinity and consider relocation of
the facility to a location with greater separation from existing residential
neighborhoods and City boundaries.
9)Master Plan and EIR should explore the impact of growth on City services,
including but not limited to recycled water, wastewater, police, fire, and
neighborhood wellness.
10)Coordinate future development plans for review and cooperation in planning with
City Departments (Transportation, Police, Fire, Utilities, Natural Resources,
Planning).
11)Fiscal Impact Analysis. In order to accurately evaluate potential service impacts
the University should prepare a Fiscal Impact Analysis.
12)The final Refined Master Plan Update should consider the City's Guiding
Principles for the Master Plan Update and relevant City General Plan policies
for which they are based.
Upon motion of Council Member Carpenter, seconded by Council Member Christianson,
and on the following roll call vote:
AYES:
NOES:
ABSENT:
Council Members Carpenter, Christianson, and Rivoire, and Mayor Marx
Vice Mayor Ashbaugh
R 10676
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ATTACHMENT 3Item 4
Packet Page 76
Resolution No. 10676 (2015 Series)
The foregoing resolution was adopted this 1 ih day of November 2015.
ATTEST:
Page4
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City
of San Luis Obispo, California, this 1/ day of Ft b.JVhfvJ , :z_c) I kl .
R 10676
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ATTACHMENT 3Item 4
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Amendments to the City’s General Plan
Land Use Element and Water and
Wastewater Management Element
May 13, 2020
Background
The City Council provided direction at its
March 5, 2019 Study Session to broaden
existing General Plan Policy 1.13.2 and
Program A7.3.4 to include both non-potable
and recycled water supplies
The proposed General Plan Amendments to
the Land Use Element and Water and
Wastewater Management Element were
prepared consistent with Council Direction
General Plan –Existing Policy
Land Use Element
Policy 1.13.2. Provision of recycled water outside of City limits may
only be considered in compliance with Water and Wastewater
Element Policy A 7.3.4 and the following findings:
A. Non-potable/recycled water is necessary to support continued
agricultural operations.
B. Provision of non-potable/recycled water will not be used to increase
development potential of property being served.
C. Non-potable/recycled water will not be further treated to make it
potable.
D. Prior to provision of non-potable/recycled water, the property to be
served will record a conservation, open space, Williamson Act, or
other easement instrument to maintain the area being served in
agriculture and open space while recycled water is being provided.
General Plan –Existing Program
Water and Wastewater Management
Element
Program A 7.3.4. Consider the potential to
deliver available recycled water supplies to
customers outside the city limits, including
analysis of policy issues, technical concerns,
and cost recovery, provided it is found to be
consistent with the General Plan.
▪Non-potable water, or raw water, is water
supplied from one of the City’s surface water
reservoirs (Whale Rock, Salinas, or
Nacimiento) or groundwater, that has not
been treated to drinking water standards.
▪Recycled water is highly-treated
wastewater supplied from the City’s Water
Resource Recovery Facility delivered for
landscape irrigation. Surplus recycled water
is currently discharged to San Luis Obispo
Creek.
General Plan –Proposed Policy
Land Use Element
Policy 1.13.2. Provision of non-potable or recycled water outside of
City limits may only be considered in compliance with Water and
Wastewater Element Policy A 7.3.4 and the following findings:
A. Non-potable/recycled water is necessary to support continued
agricultural operations.
B. Provision of non-potable/recycled water will not be used to increase
development potential of property being served.
C. Non-potable/recycled water will not be further treated to make it
potable.
D. Prior to provision of non-potable/recycled water, the property to be
served will record a conservation, open space, Williamson Act, or
other easement instrument to maintain the area being served in
agriculture and open space while non-potable or recycled water is
being provided.
General Plan –Existing Program
Water and Wastewater Management
Element
Program A 7.3.4. Consider the potential to
deliver available non-potable or recycled
water supplies to customers outside the city
limits, including analysis of policy issues,
technical concerns, and cost recovery,
provided it is found to be consistent with the
General Plan.
California Environmental Quality Act
(CEQA) Review
Staff prepared an Addendum to the Land
Use and Circulation Element (LUCE) Update
EIR (SCH# 2013121019) and Water and
Wastewater Management Element Negative
Declaration (EID 1455-2018)
Questions?
Whale Rock oil pastel used with permission.
Copyright 2018 Sally Landis www.sallylandis.com
Recommendation
Adopt resolution entitled:
A Resolution of the Planning Commission of
the City of San Luis Obispo Recommending
the City Council Adopt Amendments to the
Land Use Element and Water and Wastewater
Management Element of the General Plan
(GENP-0188-2020) and Accept an Addendum
to the Land Use and Circulation Element
(LUCE) Update EIR and Water and
Wastewater Management Element Negative
Declaration (Citywide, GENP-0188-2020)