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R 4764 RESOLUTION NO. 4764 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AMENDING EXHIBIT A OF RESOLUTION 4659 RELATING TO REQUIRED REDUCTIONS FOR DEDICATED IRRIGATION METERS DURING THE DECLARED STAGE 1 WATER SHORTAGE EMERGENCY WHEREAS, on February 24, 2015 the City Council of the City of Arroyo Grande adopted Ordinance 669, adding Chapter 13.07 to the Arroyo Grande Municipal Code relating to Emergency Water Shortage Restrictions and Regulations; and WHEREAS, in accordance with the provisions in AGMC Section 13.07.030 and after holding a noticed public hearing in accordance with the requirements of Water Code Section 350, et seq., on May 26, 2015 the City Council adopted Resolution 4659 declaring a Stage 1 Water Shortage Emergency and implementing reductions in water usage based upon Historical Use, and mandatory penalties for failing to meet water use requirements as set forth in Exhibit A of that Resolution; and WHEREAS, on April 1, 2015, the Governor issued an Executive Order directing the imposition of restrictions on water suppliers to achieve a statewide 25 percent reduction in potable urban water usage through February 2016, and the implementing regulations adopted by the State Water Board mandated that the City of Arroyo Grande reduce its total potable water production by 28 percent for each month as compared to the amount of water used in the same month in 2013; and WHEREAS, the City of Arroyo Grande has a limited water supply that consists of two primary sources: Lake Lopez and groundwater. The reservoir level at Lake Lopez was not significantly replenished during the 2015-16 rainy season and continues to decline, and there continue to be significant concerns regarding groundwater pumping and the potential for seawater intrusion; and WHEREAS, given the continuing concerns regarding the City's limited water supply, the City Council has determined that requiring further reductions in water use by commercial customers with irrigation meters is necessary and appropriate. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande does resolve, declare, determine, and order as follows SECTION 1. The foregoing Recitals are true and correct and are incorporated herein. SECTION 2. The City Council hereby adopts the attached amended Exhibit A, which amends Exhibit A of Resolution 4659, and is attached hereto and incorporated herein by reference. The amended Exhibit A sets forth required reductions by commercial RESOLUTION NO. 4764 PAGE 2 customers with irrigations meters, increasing the required reduction from 25% to 50%. Commercial customers shall be subject to mandatory penalties for failing to meet required water use reductions, as provided in Exhibit A. SECTION 3. All other water conservation rules, regulations, restrictions, definitions, enforcement procedures, violation provisions and appeal procedures, including but not limited to those contained in Arroyo Grande Municipal Code Section 13.05.030, shall remain in full force and effect. SECTION 4. The adoption of this Resolution amending Exhibit A to Resolution 4659 is categorically exempt from the California Environmental Quality Act ("CEQA") pursuant to 15307 of the State CEQA Guidelines (Actions by Regulatory Agencies for Protection of Natural Resources.) SECTION 5. If any section, subsection, sentence, clause, or phrase of this Resolution is for any reason held to be invalid, such determination shall not affect the validity of the remaining portions of this Resolution. The City Council hereby declares that it would have passed this Resolution and each and every section, subsection, sentence, clause, or phrase not declared invalid without regard to whether any portion of the Resolution would be subsequently declared invalid or unconstitutional. SECTION 6. The restrictions and regulations adopted by Resolution 4659, and as amended herein, shall remain in effect for the duration of the Stage 1 Water Shortage Emergency, and until rescinded or modified by the City Council. This Resolution shall be effective immediately upon its adoption. On motion of Council Member Guthrie, seconded by Council Member Barneich, and by the following roll call vote, to wit: AYES: Council Members Guthrie, Barneich, Harmon, and Mayor Hill NOES: None ABSENT: Council Member Brown the foregoing Resolution was passed and adopted this 25th day of October 2016. RESOLUTION NO. g7(011 PAGE 3 JIM ILL, MAYOR TEST: t'(4'i!IWez _,4a-er-02- KELLY lET /'RE, CITY CLERK APP1OVED AS TO-CONTENT: (,i( .(a/k / ROBERT MCFALL,`INTE-RIj( MANAGER APPROVED AS TO FORM: HEATHER K. WHITHAM, CITY ATTORNEY EXHIBIT "A" CITY OF ARROYO GRANDE RESOLUTION 4764 RESOLUTION 4764 AMENDING EXHIBIT A OF RESOLUTION 4659, WHICH DECLARED A STAGE 1 WATER SHORTAGE EMERGENCY, RELATING TO DEDICATED IRRIGATION METERS 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 previous year prior to the adoption of Resolution 4659. B. COMMERCIAL CUSTOMERS All commercial customers with irrigation meter accounts shall reduce water use by 50% 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 10 units or less, residential customers in Tier 1 (bi-monthly usage of 0 to 18 units) shall be required to reduce consumption by 10% from the amount of usage of the assigned Baseline Water Amount. Customers whose bi-monthly use is 10 units or less shall not increase their usage above the amount of their assigned Baseline Water Amount. 2. All residential customers in Tier 2 (bi-monthly usage of 19 to 36 units) shall be required to reduce consumption by 20% from the amount of usage of the assigned Baseline Water Amount. 3. All residential Customers in Tier 3 (bi-monthly usage of 37 units or more) shall be required to reduce consumption 30% 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. No penalties shall be imposed on customers whose bi-monthly Baseline Water Amount is 10 units or less. In accordance with Arroyo Grande Municipal Code Section 13.07.030, 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 increasingly significant 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 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. For purposes of determining the number of violations (i.e. First Violation, Second Violation, etc.) that result in escalating monetary penalties, violations occurring prior to the effective date of Resolution 4756, amending the penalty provisions contained herein, shall not be considered. 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, provided that no penalties shall be levied on customers whose bi-monthly Baseline Water Amount is 10 units or less: 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 In addition to a penalty of$200, continued Violations: 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. Customers who incur penalties may have them waived by attending a minimum two hour session of Water Conservation School, which will be conducted by the City of Arroyo Grande. The option to have penalties waived by attending Water School shall be available only one time for any customer who has incurred their first monetary penalty under the provisions contained herein. 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. OFFICIAL CERTIFICATION • I, KELLY WETMORE, City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that the attached Resolution No. 4764 was passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 25th day of October, 2016. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 26th day of October, 2016. KELLY WET/ ORE, CITY CLERK