CC 2024-05-14 Water Supply Update_PPWater Supply Evaluation and Central Coast Blue Member Agency Status
5/14/2024
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Background
March 18, 2024 – CCBRRWA Board Meeting
April 9, 2024 – City Council Presentation
April 18, 2024 – SLO County Letter
April 22, 2024 - Grover Beach Council Presentation
5/14/2024
Updated project costs $134-$159 million.
CCB project on pause.
Project participants to reevaluate water supply needs.
Staff received direction from City Council.
No recycled wastewater project = no desalination project.
Initiate withdrawal from CCB and JPA.
Modify rate structure while maintaining funds for water resiliency.
Secure additional supplies for water resiliency.
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Council Direction
Initiate the process to withdraw from the CCB CSA while intending to maintain the City’s partnership in the JPA.
Undertake a new water supply alternative study.
Investigate updating the City’s utility rate study.
Consider proceeding with a ballot initiative to allow the future purchase of water from the State Water Project outside of local water emergencies declared by the City Council.
5/14/2024
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Initiate Withdrawal from CCB
Withdraw from CSA while intending to maintain the City’s membership in the JPA
Letter drafted to do so
Staff recommends withdrawing from JPA
CSA & JPA closely intertwined
JPA amounts to CCB project
5/14/2024
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Restudy Water Supply Alternatives
City’s water supply portfolio appears adequate to meet current and build-out demands through a minimum five-year drought scenario
Verify by a third-party consultant as part of a water supply analysis in the City’s Water Master Plan
$100,000 recommended in FY 2024-25 budget for Water Master Plan (WMP)
WMP identifies CIP for supply, treatment, storage, and distribution
5/14/2024
Community conservation efforts.
October 2022 Lopez Lake water storage rule changes.
Last updated 2012
Issue RFP once funding is secured
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Update the City’s Utility Rate Study
Current Water and Wastewater Rate Study covers FY 2021-22 through FY 2025-26.
Update utility rate study after WMP
$50,000 recommended in FY 2024-25 budget for utility rate study
5/14/2024
Issue RFP once WMP is complete.
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State Water Ballot Initiative
Measure E-16 passed in 2016 – allows State Water purchases during local water emergencies declared by the City Council.
2024 General Municipal Election measure to purchase State Water outside of local water emergencies.
Not adequate time to educate voters on need.
Adequate water supplies for the City to defer ballot measure to 2026.
5/14/2024
Measure E-16 passed in 2016 – allows State Water purchases during local water emergencies declared by the City Council.
2024 General Municipal Election measure to purchase State Water outside of local water emergencies.
Not adequate time to properly educate voters on the need for additional water supplies for 2024, which could lead to measure failure.
Adequate water supplies for the City to defer ballot measure to 2026.
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Recommendation
Provide direction to staff regarding implementation of City Council direction regarding City water supply and Central Coast Blue Member Agency Status.
5/14/2024
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