CC 2021-09-28_09a Supplemental No 1MEMORANDUM
TO: CITY COUNCIL
FROM: WHITNEY McDONALD, CITY MANAGER
TIMOTHY CARMEL, CITY ATTORNEY
BILL ROBESON, ASSISTANT CITY MANAGER/PUBLIC WORKS
DIRECTOR
NICOLE VALENTINE, ADMINISTRATIVE SERVICES DIRECTOR
SUBJECT: SUPPLEMENTAL INFORMATION
AGENDA ITEM 9.a. – SEPTEMBER 28, 2021 CITY COUNCIL MEETING
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A
STAGE 1 WATER SHORTAGE EMERGENCY
DATE: SEPTEMBER 28, 2021
The original staff report published for this item includes the following table providing the
calculations used to determine the reductions proposed for Single Family Residential
Water Customers as follows:
This table does not identify the calculations used to determine the proposed reductions
for other customer types, including Multi-Family Residential and Irrigation Meter
Customers. Upon further review, staff determined that, when factoring in the proposed
reductions for all customer types, the current proposal would actually result in a total water
use reduction of 14%, as shown in Table A below:
mge am1 1y es1 en a a er us ome rs s· I F ·1 R . d t I W t C t
2020 Custo mers by Tier Tota l Customers Pe rce nta ge Tot al Unit s % Red uct ion usage afte r Red uct ion
0-9 un its 1,998 33 % 65,005 0% 65,00 5
10-18 un its 1,998 33 % 163 ,649 10% 14 7,284
19 + un its 2,120 34% 41 2,567 20 % 330 ,054
Tota l 6,11 5 100 % 641 ,22 1 10% 542 ,343
SUPPLEMENTAL INFORMATION
AGENDA ITEM 9.a. – CITY COUNCIL MEETING
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
WATER SHORTAGE EMERGENCY
SEPTEMBER 28, 2021
PAGE 2
TABLE A
However, as identified in the original staff report, staff is recommending that the City seek
a 10% overall reduction in water use, consistent with the 10% reduction in Lopez
Reservoir deliveries required under the Low Reservoir Response Plan. With this
additional information, staff recommends modifying the reduction amounts included in the
Stage 1 Water Shortage Emergency Declaration Resolution to obtain a total water use
reduction that is closer to 10%. Staff’s revised recommendation is to require a 7%
reduction for Single-Family Residential Customer using between 10-18 units of water, a
14% reduction for Single-Family Residential Customers using more than 19 units, and a
20% reduction for Irrigation Meter Customers.
The calculations used to arrive at this revised recommendation is shown in Table B below:
TABLE B
The modified recommendations are identified in highlighted grey above.
2020 Customers by Tier Total Customers Percentage Total Units % Reduction Usage after Reduction
0-9 units 1,998 33% 65,005 0%65,005
10-18 units 1,998 33% 163,649 10%147,284
19 + units 2,120 34% 412,567 20%330,054
Total 6,115 100% 641,221 15%542,343
Customer Type 2020 Usage % Reduction Usage after Reduction
SFR 641,221 15%542,343
MFR 99,494 10%89,545
Commercial 110,000 0%110,000
Irrigation meter 79,289 25%59,467
Total 930,004 14%801,354
Target Overall Total 930,004 10%837,004
Single Family Residential Water Customers
2020 Customers by Tier Total Customers Percentage Total Units % Reduction Usage after Reduction
0-9 units 1,998 33% 65,005 0%65,005
10-18 units 1,998 33% 163,649 7%152,194
19 + units 2,120 34% 412,567 14%354,808
Total 6,115 100% 641,221 11%572,006
Customer Type 2020 Usage % Reduction Usage after Reduction
SFR 641,221 11%572,006
MFR 99,494 10%89,545
Commercial 110,000 0%110,000
Irrigation meter 79,289 20%63,431
Total 930,004 10%834,982
Target Overall Total 930,004 10%837,004
Single Family Residential Water Customers
SUPPLEMENTAL INFORMATION
AGENDA ITEM 9.a. – CITY COUNCIL MEETING
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
WATER SHORTAGE EMERGENCY
SEPTEMBER 28, 2021
PAGE 3
A revised exhibit to the proposed Resolution setting forth the new recommended
reductions is included as Attachment 1 to this supplemental report. A red-lined version is
provided as well (Attachment 2) to show the changes made in the exhibit that was
included with the original staff report.
Attachments:
1.Revised Exhibit A to the proposed Resolution (clean)
2.Revised Exhibit A to the proposed Resolution (redline)
cc: City Attorney
City Clerk
City Website (or public review binder)
EXHIBIT “A”
CITY OF ARROYO GRANDE RESOLUTION ______
DECLARATION OF A STAGE 1 WATER SHORTAGE EMERGENCY
A.ASSIGNMENT OF BASELINE WATER AMOUNT BASED UPON HISTORICAL USE
All residential customers and commercial customers with irrigation meters will be
assigned a Baseline Water Amount based upon their Historical Use, as further set forth
herein. Except when adjusted in accordance with the provisions contained in Arroyo
Grande Municipal Code Section 13.07.070 A or B, the Baseline Water Amount shall be
based upon the amount of water used during the same billing period of the year prior to
the adoption of this Resolution.
B. COMMERCIAL CUSTOMERS
All commercial customers with irrigation meter accounts shall reduce water use by 20%
from the amount of usage of the assigned Baseline Water Amount. Failure to reduce
water use by this required percentage shall result in the imposition of the mandatory
financial penalties contained in Subsection D, herein.
C. REQUIRED RESIDENTIAL CUSTOMER WATER REDUCTIONS
1.Except for customers whose bi-monthly Baseline Water Amount is 9 units or less,
residential customers with bi-monthly usage of 10 to 18 units shall be required to reduce
consumption by 7% from the amount of usage of the assigned Baseline Water Amount.
Customers whose bi-monthly usage is 9 units or less shall not increase their usage above
the amount of their assigned Baseline Water Amount.
2. All residential customers with bi-monthly usage of 19 units or more shall be required to
reduce consumption by 14% from the amount of usage of the assigned Baseline Water
Amount.
Failure to reduce water use by the required percentage shall result in the imposition of
the mandatory financial penalties contained in Subsection D, herein.
In accordance with Arroyo Grande Municipal Code Section 13.07.030(A), the City Council
may, by resolution, increase the required percentage of reduction if it deems it necessary
in order to achieve the projected amount of water savings established as necessary.
D. MANDATORY FINANCIAL PENALTIES
The purpose of the mandatory penalties assessed pursuant to this Resolution is to assure
compliance by the customer through the imposition of increasing penalties so as to create
a meaningful incentive to reduce water use. In acknowledgment of the fact that the City’s
water is scarce and irreplaceable commodity, the intent is to equitably distribute that
commodity among Water Department customers and to assure that, to the extent
feasible, City water is conserved and used only for purposes deemed necessary for public
ATTACHMENT 1
health and safety. Accordingly, the mandatory penalties contained herein are not to be
construed as creating a “water pricing” structure pursuant to which customers may elect
to pay for additional water at significantly higher rates.
The following mandatory financial penalties will be levied on all water users who fail to
reduce consumption in the percentages required in Subsections B and C herein, and
customers whose bi-monthly use is 9 units or less and whose use increases above the
amount of their assigned Baseline Water Amount:
First Violation: Written notice of violation and opportunity to correct
violation.
Second Violation: The City shall impose a penalty of $50. Written notice shall
be given to the owner by certified mail. The penalty will be
billed to the customer on the regular water bill.
Third Violation: A penalty of $100. Written notice shall be given to the
owner by certified mail. The fine will be billed to the
customer on the regular water bill.
Subsequent
Violations:
In addition to a penalty of $200, continued violations may
be subject to referral to the City Attorney for appropriate
action, including but not limited to prosecution under the
Arroyo Grande Municipal Code, as well as possible
discontinuance of service.
Failure to pay: The City may discontinue water service to any customer
who fails to pay penalties billed on the regular water bill.
Service will be restored upon full payment of all
outstanding balances and reconnection charges. A
delinquent bill shall also be increased by penalty of ten (10)
percent of the amount of delinquency.
The foregoing penalties may also be modified or amended by the City Council as deemed
necessary and appropriate based upon a determination of the severity of the Water
Shortage Emergency.
EXHIBIT “A”
CITY OF ARROYO GRANDE RESOLUTION ______
DECLARATION OF A STAGE 1 WATER SHORTAGE EMERGENCY
A.ASSIGNMENT OF BASELINE WATER AMOUNT BASED UPON HISTORICAL USE
All residential customers and commercial customers with irrigation meters will be
assigned a Baseline Water Amount based upon their Historical Use, as further set forth
herein. Except when adjusted in accordance with the provisions contained in Arroyo
Grande Municipal Code Section 13.07.070 A or B, the Baseline Water Amount shall be
based upon the amount of water used during the same billing period of the year prior to
the adoption of this Resolution.
B. COMMERCIAL CUSTOMERS
All commercial customers with irrigation meter accounts shall reduce water use by 2520%
from the amount of usage of the assigned Baseline Water Amount. Failure to reduce
water use by this required percentage shall result in the imposition of the mandatory
financial penalties contained in Subsection D, herein.
C. REQUIRED RESIDENTIAL CUSTOMER WATER REDUCTIONS
1.Except for customers whose bi-monthly Baseline Water Amount is 9 units or less,
residential customers with bi-monthly usage of 10 to 18 units shall be required to reduce
consumption by 107% from the amount of usage of the assigned Baseline Water Amount.
Customers whose bi-monthly usage is 9 units or less shall not increase their usage above
the amount of their assigned Baseline Water Amount.
2. All residential customers with bi-monthly usage of 19 units or more shall be required to
reduce consumption by 2014% from the amount of usage of the assigned Baseline Water
Amount.
Failure to reduce water use by the required percentage shall result in the imposition of
the mandatory financial penalties contained in Subsection D, herein.
In accordance with Arroyo Grande Municipal Code Section 13.07.030(A), the City Council
may, by resolution, increase the required percentage of reduction if it deems it necessary
in order to achieve the projected amount of water savings established as necessary.
D. MANDATORY FINANCIAL PENALTIES
The purpose of the mandatory penalties assessed pursuant to this Resolution is to assure
compliance by the customer through the imposition of increasing penalties so as to create
a meaningful incentive to reduce water use. In acknowledgment of the fact that the City’s
water is scarce and irreplaceable commodity, the intent is to equitably distribute that
commodity among Water Department customers and to assure that, to the extent
feasible, City water is conserved and used only for purposes deemed necessary for public
ATTACHMENT 2
health and safety. Accordingly, the mandatory penalties contained herein are not to be
construed as creating a “water pricing” structure pursuant to which customers may elect
to pay for additional water at significantly higher rates.
The following mandatory financial penalties will be levied on all water users who fail to
reduce consumption in the percentages required in Subsections B and C herein, and
customers whose bi-monthly use is 9 units or less and whose use increases above the
amount of their assigned Baseline Water Amount:
First Violation: Written notice of violation and opportunity to correct
violation.
Second Violation: The City shall impose a penalty of $50. Written notice shall
be given to the owner by certified mail. The penalty will be
billed to the customer on the regular water bill.
Third Violation: A penalty of $100. Written notice shall be given to the
owner by certified mail. The fine will be billed to the
customer on the regular water bill.
Subsequent
Violations:
In addition to a penalty of $200, continued violations may
be subject to referral to the City Attorney for appropriate
action, including but not limited to prosecution under the
Arroyo Grande Municipal Code, as well as possible
discontinuance of service.
Failure to pay: The City may discontinue water service to any customer
who fails to pay penalties billed on the regular water bill.
Service will be restored upon full payment of all
outstanding balances and reconnection charges. A
delinquent bill shall also be increased by penalty of ten (10)
percent of the amount of delinquency.
The foregoing penalties may also be modified or amended by the City Council as deemed
necessary and appropriate based upon a determination of the severity of the Water
Shortage Emergency.