CC 2021-09-28_09a Resolution Declaring Stage 1 Water Shortage Emergency‘ `
MEMORANDUM
TO: CITY COUNCIL
FROM: WHITNEY MCDONALD, CITY MANAGER
TIMOTHY CARMEL, CITY ATTORNEY
BY: DROUGHT TEAM:
BILL ROBESON, ASSISTANT CITY MANAGER/PUBLIC WORKS
DIRECTOR
NICOLE VALENTINE, ADMINISTRATIVE SERVICES DIRECTOR
JESSICA MATSON, LEGISLATIVE & INFORMATION SERVICES
DIRECTOR/CITY CLERK
DAVID HIRSCH, ASSISTANT CITY ATTORNEY
SHANE TAYLOR, UTILITIES MANAGER
PATRICK HOLUB, ASSISTANT PLANNER
TIM SCHMIDT, PUBLIC WORKS LEADPERSON
TUCKER SCHMIDT, WATER SERVICES WORKER III
CAMELA SCHAAF, SENIOR ACCOUNTING CLERK
SUBJECT: CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A
STAGE 1 WATER SHORTAGE EMERGENCY
DATE: SEPTEMBER 28, 2021
SUMMARY OF ACTION:
Conduct a public hearing in accordance with Water Code Section 350, et seq., adopt a
Resolution declaring a Stage 1 Water Shortage Emergency, and implement reductions in
water usage as provided in Arroyo Grande Municipal Code Section 13.07.030(A).
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
The exact costs of implementing Stage 1 Emergency Shortage Restrictions are
dependent upon several variables, including the length of time that the City experiences
a water shortage. Impacts to City staff resources include the need to analyze and to
determine water use baselines based on historical use. In addition, the following impacts
are anticipated:
• Responding to inquiries from residents to answer customer/property
specific questions.
• Conducting site visits with property owners about water conservation
options and to conduct water audits.
• Responding to requests for water meter “re-reads.”
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CITY COUNCIL
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
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SEPTEMBER 28, 2021
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‘ ` • Responding to requests for modifications to the established water use
baselines.
• Increase in the time necessary for the Utility Billing Adjustment Committee
(UBAC) acting as the Water Shortage Appeal Board (WSAB) to review
appeals.
Continued water use reductions will decrease revenues to the Water Fund and may
require consideration of a future water rate adjustment.
The cost to mail out baseline letters will be approximately $4,000 which includes $2,800
to be allocated from the Water Fund unallocated fund balance and $1,200 from the Sewer
Fund unallocated fund balance.
For FY 2021-22, it is anticipated that utility billing revenue loss from implementing a Stage
1 Water Emergency will be approximately $413,800 to the Water Fund and approximately
$56,000 to the Sewer Fund. A drought rate will be included for consideration in the Water
and Sewer Rate Study coming before Council this fall.
RECOMMENDATION:
It is recommended the City Council: 1) Conduct a Public Hearing in accordance with
Water Code Section 350, et seq.; 2) Adopt a Resolution declaring a Stage 1 Water
Shortage Emergency and implementing Emergency Water Shortage Restrictions and
Regulations in accordance with California Water Code Section 350, et seq., and Arroyo
Grande Municipal Code Section 13.07.030(A); and 3) Appropriate $2,800 from water fund
balance and $1,200 from sewer fund balance for the cost to mail out baseline letters.
BACKGROUND:
The City of Arroyo Grande, along with much of the State of California, is experiencing
historic drought conditions. The drought conditions have negatively impacted the City’s
water supply and have necessitated conservation requirements and precipitated the City’s
need to implement the Water Shortage Contingency Plan and to establish mechanisms
for the application of mandatory water use reductions. During the previous drought that
occurred in 2015, the State of California mandated a 28% reduction of water usage.
AGMC and Declaration of Stage 1 Water Shortage Emergency
Chapter 13.07 of the Arroyo Grande Municipal Code (AGMC), Emergency Water
Shortage Restrictions and Regulations, provides for stages of action that will be
undertaken in response to water supply shortages and related triggering conditions.
Chapter 13.07 was added to the AGMC in February 2015. On May 26, 2015, the City
Council declared a Stage 1 Water Shortage Emergency in accordance with Water Code
Section 350, et seq., and AGMC Section 13.07.030, implementing reductions in water
usage based upon historical use, and mandatory penalties for failing to meet water use
requirements. On April 25, 2017, the City Council, by Resolution, rescinded the Stage 1
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CITY COUNCIL
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
WATER SHORTAGE EMERGENCY
SEPTEMBER 28, 2021
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Water Shortage Emergency and related emergency water conservation measures and
restrictions.
In February 2017, AGMC Chapter 13.07 was amended to provide for stages of action
consistent with the City’s revised Urban Water Management Plan. The stages of action
were created in recognition of the fact that the City's water supply consists of a
combination of water from the Lopez Reservoir and groundwater sources, and that a
variety of specific factors can result in the need to implement a stage of action, such as
unanticipated interruptions of local water deliveries or the imposition of additional State
mandated reductions in water use.
AGMC Section 13.07.030(A) provides that after holding a noticed public hearing in
accordance with the requirements of Water Code Section 350, et seq., the City Council
may declare a Stage 1 Water Shortage Emergency and institute reductions in water
usage based upon historical use. Water Code Section 350, et seq., authorizes the
governing body of a public water supply distributor to declare that water shortage
emergency conditions prevail within the area served by such distributor whenever it finds
and determines that the ordinary demands and requirements of water consumers cannot
be satisfied without depleting the water supply of the distributor to the extent that there
would be insufficient water for human consumption, sanitation, and fire protection. Water
Code Section 353 provides that when such a water shortage emergency is declared, the
governing body shall adopt necessary regulations and restrictions on the delivery and
consumption of water.
Under AGMC Section 13.07.030(A), triggering conditions for a Stage 1 Water Shortage
Emergency may include, but are not limited to, a determination that the water level at the
Lopez Reservoir is at or below fifteen thousand (15,000) acre feet. As discussed below,
Lopez Reservoir is anticipated to fall below the triggering threshold of 15,000 acre-feet by
approximately October 14, 2021.
Reductions in Use, Review Procedures and Appeals when a Stage 1 Water Shortage
Emergency is Declared
As noted, AGMC Chapter 13.07 provides procedures for the City Council to declare a
Stage 1 Water Shortage Emergency. When that occurs, reductions in water usage are
then imposed based upon historical use. AGMC Section 13.07.010 defines “historical
use” as “a baseline amount of water that is equal to the amount of water used in the same
billing period for a specifically identified previous year.” AGMC Section 13.07.030(A)(2)
explains the procedures for establishing water use reductions for customers as follows:
Assign each customer a baseline amount of water, based upon the
amount of water used during 2020.
All residential customers will be required to reduce water usage by a
percentage amount set forth in the Resolution, and percentages may
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CITY COUNCIL
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
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SEPTEMBER 28, 2021
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be modified or amended by the City Council as deemed necessary
and appropriate.
The percentage of required conservation will increase depending on
the billing tier of the residential customer's water use as provided in
the City's tiered water rate structure.
The Resolution will include provisions for imposing mandatory
financial penalties if the amount of water in each tier is exceeded,
and penalties may 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.
Pursuant to AGMC Section 13.07.050, commercial customers are not subject to
mandatory penalties during a Stage 1 Water Shortage Emergency, except for commercial
customers with irrigation meter accounts, which are required to reduce water use by a
percentage set forth in the resolution declaring the water shortage emergency.
AGMC Section 13.07.070 contains procedures for adjustments to the water allocation or
water reduction requirements if a customer can provide evidence of unique
circumstances. If the criteria are met, the Public Works Director has the authority to grant
the adjustment. In addition, AGMC Section 13.07.080 provides that the City’s Utility Billing
Adjustment Committee (UBAC) is empowered to act as the Water Shortage Appeals
Board (WSAB), and can consider appeals of actions taken by the Public Works Director,
including adjustments to water consumption reduction amounts, decisions on applications
for exceptions, and decisions to assess administrative penalties. Appeals of the WSAB
decision can also be made to the City Manager and City Council.
ANALYSIS OF ISSUES:
Current Water Supply and Demand Conditions
The City of Arroyo Grande has a limited water supply that consists of two primary sources:
Lake Lopez and groundwater. The San Luis Obispo County Flood Control and Water
Conservation District Zone 3 has developed the Lake Lopez Low Reservoir Response
Plan (LRRP), which provides for a series of management procedures that are to be
followed when the reservoir level drops below 20,000 acre feet. The LRRP includes
reduced municipal water deliveries as one such management procedure.
The United States Drought Monitor, as of September 15, 2021, shows San Luis Obispo
County in an extreme drought. Rainfall to date for the period July 1, 2021, through
September 15, 2021, is 0.0 inches at the City’s Corporation Yard rain gauge. The new
water year began on April 1, 2021, and the City’s annual Lopez contract supply was 2,290
acre-feet at that time. On July 8, 2021, Governor Gavin Newsom issued a Proclamation
of a State of Emergency, pursuant to the California Emergency Services Act, due to
drought in several counties in the State, including San Luis Obispo County. On July 13,
2021, the San Luis Obispo County Board of Supervisors (Board) declared a local drought
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emergency; and, on August 24, 2021, the Board enacted the LRRP for Lopez Lake. On
September 8, 2021, the Zone 3 Technical Advisory Committee endorsed the action of
reducing contract deliveries by 10% even though, as of September 22, 2021, Lopez Lake
is at 15,426 acre-feet of storage. Water levels at Lopez Lake have been dropping at the
rate of approximately 150 acre-feet per week and is, therefore, expected to fall below the
triggering threshold of 15,000 acre-feet by approximately October 14, 2021. The City
began reducing the flow of its deliveries from Lopez on September 15, 2021, to 1.9 million
gallons per day, compared to the normal flow of 2.2 million gallons per day.
In addition to deliveries from Lopez Lake, the City has 1,323 acre-feet of ground water
entitlement from the Santa Maria Basin, and 160 acre-feet from the Pismo Formation.
The third quarter monitoring for the sentry wells was completed in July. The deep well
index was 7.25 feet above sea level, which is 0.25 feet lower than the deep well index
threshold value of 7.5 feet and 1.75 feet lower than the index value one year ago (9.0
feet). One trigger for a Stage 1 Water Emergency occurs when the deep well index falls
below 7.5 feet for 6 consecutive quarters. While the 6 consecutive quarters have not yet
occurred, the well level trends are concerning and the Technical Advisory Committee for
the Northern Cities Management Area (NCMA) may recommend pumping reductions to
protect against the potential for seawater intrusion.
When the City Council rescinded the previously declared Stage 1 Water Shortage
Emergency on April 25, 2017, Council requested that staff continue preparing monthly
water supply and demand updates. As noted in the September 28, 2021 Monthly Water
Supply Report and Demand Update, in August 2021, the City’s water use was 217.5 acre-
feet with a per capita use of 130 gallons per day/per person. No rainfall occurred in August
2021. The water use for the current “rolling” water year from September 2020 to August
2021 was 2,392.9 acre-feet, which equates to a per capita use of 121 gallons per day per
person. The projected water use for the City of Arroyo Grande for water year 2021/22 is
2,450 acre-feet based on current rainfall.
Based upon the foregoing, staff recommends that the City Council adopt the attached
Resolution declaring a Stage 1 Water Shortage Emergency.
Recommendation regarding Water Usage Reductions and Penalties
The proposed Resolution uses a historical methodology of reducing customer water
accounts based on 2020 usage. This concept requires every household to conserve a
specified percentage of their historical water use. Those not meeting their conservation
target would be subject to a financial penalty on their next bill.
Each account will be assigned a baseline amount of water, which will be equal to the
water used in the same billing period in 2020. Customers will then be requested to reduce
consumption by a certain percentage below their baseline amount. The percentage
reduction applicable to each customer will depend on the customer’s water usage tier.
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CITY COUNCIL
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
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SEPTEMBER 28, 2021
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Usage in the higher tiers will require a higher amount of reduction. This approach is
consistent with AGMC Section 13.07.030(A)(2), which states that “[t]he percentage of
required conservation shall increase depending on the billing tier of the residential
customer's water use as provided in the City's tiered water rate structure.” In addition, this
approach helps to address concerns that reduction requirements may penalize customers
that have already instituted conservation measures.
Staff has analyzed the overall customer usage for 2020 and evaluated the total amount
of reductions that would be necessary to achieve a 10% reduction for all customers,
correlating to the 10% cutback in Lopez deliveries required under the LRRP.
Approximately one third or 33% of the water customers fall into usage of 0-9 units of
water, one third or 33% of the water customers fall into usage of 10-18 units of water, and
the remaining 34% of water customers use more than 19 units of water. These
percentages were used to calculate a reduction allocation for each group of water users
so that a water use reduction of 10% overall can be achieved. For users of 0-9 units, the
reduction allocation is 0%; for users of 10-18 units, the reduction allocation is 10%; and
for users of 19 or more units, the reduction allocation is 20%. This information is also
shown in the table below.
Multi-family residential customers would be required to reduce consumption by 10%.
Commercial customers with irrigation meters would be required to reduce irrigation use
by 25%. Staff met with local landscaping firms that manage commercial customers within
the City to review what would be acceptable cut backs and a 25% reduction will add stress
to these areas but would be a manageable reduction. This is the same percentage
reduction required to commercial customers during the previous drought. Partial units will
be rounded down.
As noted, under the provisions in AGMC Chapter 13.07, commercial customers will be
exempt from the overall water restrictions unless they have an irrigation meter. The
reasons for this exemption include recognition that many commercial businesses are
unable to institute conservation measures without impacting public health and safety and
the economic vitality of the City. In addition, commercial customers account for a relatively
small percentage of the City’s water use, 10% of total consumption.
AGMC Section 13.07.090 provides for penalties and enforcement, which are to be set
forth in the Resolution declaring the Water Shortage Emergency. During the previous
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 10%542,343
Single Family Residental Water Customers
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CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
WATER SHORTAGE EMERGENCY
SEPTEMBER 28, 2021
PAGE 7
Stage 1 Water Shortage Emergency, the following penalties were imposed, and staff
recommends the same penalties be used for water users who fail to reduce consumption
in the percentages required:
• First Violation: Written notice of violation
• Second Violation: $50
• Third Violation: $100
• Subsequent $200
Repeated violations may also be subject to criminal prosecution as a misdemeanor
pursuant to AGMC Section 13.07.090(B), as well as possible discontinuance of service
or installation of a flow restriction device.
Next Steps
If the proposed Resolution is adopted, letters identifying each customer’s baseline water
amount will be mailed out on or before December 1, 2021, and warning letters will begin
being sent in February 2022. The February 2022 billing would include the estimated
service dates of November 20th - January 20th, which would provide customers time to
make adjustments to their water usage.
Drought rates will be evaluated and included as an option in the Water & Sewer Rate
Study. Any such drought rates would only be used during Stage 1 or higher Water
Shortage Emergency. Once the Water Shortage Emergency is rescinded the water rates
will return to regular rates.
ALTERNATIVES:
The following alternatives are provided for Council’s consideration:
1. Adopt the Resolution declaring a Stage 1 Water Shortage Emergency and
implement Emergency Water Shortage Restrictions and Regulations in
accordance with California Water Code Section 350, et seq., and Arroyo
Grande Municipal Code Section 13.07.030;
2. Modify and adopt the Resolution;
3. Do not adopt the Resolution; or
4. Provide other direction to staff.
ADVANTAGES:
Declaration of a Stage 1 Water Shortage Emergency and the required reductions in water
use will help preserve the limited water supply resources available to the City. Because
the rainy season is yet to come, it is unclear how long the current severe drought will
continue and how long the available water supplies will last. Also, adoption of the
Resolution will provide enforcement tools to provide for compliance with the Stage 1
restrictions.
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CITY COUNCIL
CONSIDERATION OF APPROVAL OF A RESOLUTION DECLARING A STAGE 1
WATER SHORTAGE EMERGENCY
SEPTEMBER 28, 2021
PAGE 8
DISADVANTAGES:
Water customers will be required to reduce water usage, which may create hardships on
members of the community and have negative impacts on available staff resources.
Declaration of the recommended Stage 1 Water Shortage Emergency will have a
significant impact on staff resource and time, including but not limited to:
• Responding to inquiries from residents to answer customer/ property specific
questions.
• Conducting site visits with property owners about water conservation options
and to conduct water audits.
• Responding to requests for water meter “re-reads.”
• Preparation of historical water use baseline amounts for each customer.
• Responding to requests for modifications to the established water use targets.
• Increase in time necessary for the UBAC acting as the WSAB to review
appeals.
In addition, continued water use reductions will decrease revenues to the Water and
Sewer Funds and may require consideration of a future water rate adjustment.
ENVIRONMENTAL REVIEW:
The adoption of this Resolution declaring a Stage 1 Water Shortage Emergency 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.)
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
Attachment:
1. Proposed Resolution
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ARROYO GRANDE DECLARING A STAGE 1 WATER
SHORTAGE EMERGENCY IN ACCORDANCE WITH
CALIFORNIA WATER CODE SECTION 350 AND ARROYO
GRANDE MUNICIPAL CODE SECTION 13.07.030
WHEREAS, Chapter 13.07 of the Arroyo Grande Municipal Code (AGMC), Emergency
Water Shortage Restrictions and Regulations, provides for stages of action that will be
undertaken in response to water supply shortages and related triggering conditions, consistent
with the City of Arroyo Grande's Urban Water Management Plan and for the imposition of
regulations and restrictions, including, but not limited to, requirements to reduce consumption of
water, that are necessary in order to protect the health, safety and welfare of the community;
and
WHEREAS, the stages of action have been created in recognition of the fact that the
City's water supply consists of a combination of water from Lake Lopez and groundwater
sources, and that a variety of specific factors can result in the need to implement a stage of
action, as well as the potential for unanticipated interruptions of local water deliveries or the
imposition of additional State mandated reductions in water use; and
WHEREAS, AGMC Section 13.07.030(A) provides that after holding a noticed public
hearing in accordance with the requirements of Water Code Section 350 et seq., the City Council
may declare a Stage 1 Water Shortage Emergency and institute reductions in water usage,
based upon a determination that triggering conditions exist or there have been impacts to the
City's water supply, and/or it has been determined that it is imminent that the City's water supply
has or will become so limited that an emergency water shortage condition exists regarding the
available water supply being less than projected demand, necessitating the institution of
reductions in water usage; and
WHEREAS, triggering conditions for a Stage 1 Water Shortage Emergency under AGMC
Section 13.07.030(A) may include, but are not limited to, a determination that the water level at
Lake Lopez is at or below fifteen thousand (15,000) acre feet; there have been six quarterly
continuous events of sentry well level readings below the deep well index trigger level of seven
and one-half feet; and/or the imposition of mandatory reductions in water use by the City by the
state water resources control board. ; and
WHEREAS, The City of Arroyo Grande has a limited water supply that consists of two
sources: Lake Lopez and groundwater. The San Luis Obispo County Flood Control and Water
Conservation District has developed the Lake Lopez Low Reservoir Response Plan (LRRP),
which provides for a series of management procedures that are to be followed when the reservoir
level drops below 20,000 acre feet, which includes reduced municipal water deliveries. In
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Attachment 1
Item 9.a. - Page 9
addition, significant concerns exist regarding groundwater pumping and the potential for
seawater intrusion; and
WHEREAS, on July 8, 2021, Governor Gavin Newsom issued a Proclamation of a State
of Emergency, pursuant to the California Emergency Services Act, due to extreme drought in
additional counties in the State, including San Luis Obispo County; on July 13, 2021, the San
Luis Obispo County Board of Supervisors declared a local drought emergency; and on August
24, 2021, the Board of Supervisors initiated the LRRP for Lake Lopez. Under the LRRP, the City
will now be subject to a 10% reduction in Lopez deliveries, which equates to 216,000 gallons
per day; and
WHEREAS, as of July 14, 2021, the United States Drought Monitor shows San Luis
Obispo County in an extreme drought and rainfall to date for the period from July 1, 2020 through
June 30, 2021 was 9.11 inches at the City’s Corporation Yard rain gauge and based on the
severity of the drought, the upcoming rainy season may not be sufficient to replenish the City’s
normal available water supply; and
WHEREAS, as of September 22, 2021, Lopez Lake is at 15,426 acre-feet of storage, and
has been dropping at the rate of approximately 150 acre-feet per week and is therefore expected
to fall below the triggering threshold of 15,000 acre-feet by approximately October 14, 2021; and
WHEREAS, California Water Code Section 350 et seq. authorize the governing body of
a public water supply distributor to declare that water shortage emergency conditions prevail
within the area served by such distributor whenever it finds and determines that the ordinary
demands and requirements of water consumers cannot be satisfied without depleting the water
supply of the distributor to the extent that there would be insufficient water for human
consumption, sanitation, and fire protection, and Water Code Section 353 provides that when
such a water shortage emergency is declared the governing body shall adopt necessary
regulations and restrictions on the delivery and consumption of water; and
WHEREAS, the City of Arroyo Grande is granted authority by Water Code Section 350
et seq. and AGMC Chapter 13.07 to declare a Stage 1 Water Shortage Emergency and adopt
by resolution regulations and restrictions on the delivery and consumption of water; and
WHEREAS, pursuant to AGMC Chapter 13.07, based upon the foregoing determinations,
City staff has recommended that the City Council declare a Stage 1 Water Shortage Emergency
and implement reductions in water usage based upon Historical Use, as defined in Section
13.07.010 and as further set forth in Exhibit A to this Resolution; and
WHEREAS, in accordance with the requirements of AGMC Section 13.07.030 and Water
Code Sections 351 and 352, a public hearing regarding this declaration was duly noticed and
held on September 28, 2021.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande does
Item 9.a. - Page 10Item 9.a. - Page 10
hereby declare, determine, and order as follows:
SECTION 1. The foregoing Recitals are true, correct and are incorporated herein.
SECTION 2. Pursuant to AGMC Section 13.07.030 and Water Code Section 350, et seq., and
for the reasons set forth herein, the City Council of the City of Arroyo Grande hereby declares
that a Stage 1 Water Shortage Emergency now exists throughout the area served by the City of
Arroyo Grande and that as a result of the historic severe drought, the implementation of the
LRRP and the 10 % reduction in water deliveries from Lopez Reservoir, and the imminent falling
of Lopez Reservoir to below 15,000 acre-feet of storage, that there has or will be impacts on
the City’s water supply such that the available water supply is less than projected demand and
that the demands and requirements of the City’s water consumers cannot be satisfied without
depleting the water supply of the City to the extent that there would be insufficient water for
human consumption, sanitation and fire protection. Based on this condition and on concerns
regarding the anticipated prolonged drought conditions, and pursuant to the Arroyo Grande
Municipal Code and the authority in Water Code Section 353, the City Council hereby
implements reductions in water usage based upon Historical Use, as further set forth in Exhibit
“A,” which exhibit is attached hereto and incorporated herein by this reference, which the City
Council finds are necessary and appropriate to protect the health, safety and welfare of the
public.
SECTION 3. In accordance with the provisions of AGMC Section 13.07.030(A), and as further
set forth in Exhibit A, all residential water customers shall be assigned a baseline amount of
water based upon the amount of water used during the same billing period of the year prior to
the adoption of this Resolution. All residential customers shall reduce water usage by the
percentage amount set forth in Exhibit A. Such percentages may be modified or amended by
the City Council as deemed necessary and appropriate. Commercial customers with irrigation
meter accounts shall also reduce water use as set forth in Exhibit A. Residential and Commercial
customers shall be subject to mandatory penalties for failing to meet required water use
reductions, as provided in Exhibit A.
SECTION 4. All other water conservation rules, regulations, restrictions, definitions,
enforcement procedures, violation provisions and appeal procedures, including, but not limited
to, those contained in AGMC Section 13.05.030, shall remain in full force and effect.
SECTION 5. The adoption of this Resolution declaring a Stage 1 Water Shortage Emergency 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 6. 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.
Item 9.a. - Page 11Item 9.a. - Page 11
SECTION 7. The restrictions and regulations adopted herein shall remain in effect for the
duration of the Stage 1 Water Shortage Emergency declared through this Resolution, and until
it is rescinded or modified by the City Council. This Resolution shall be effective immediately
upon its adoption.
On motion of Council Member , seconded by Council Member , and by
the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this 28th day of September, 2021.
___________________________________
CAREN RAY RUSSOM, MAYOR
ATTEST:
___
JESSICA MATSON, CITY CLERK
APPROVED AS TO CONTENT:
__________________________________
WHITNEY MCDONALD, CITY MANAGER
APPROVED AS TO FORM:
___________________________________
TIMOTHY J. CARMEL, CITY ATTORNEY
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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 25%
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 10% 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 20% 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
Item 9.a. - Page 13
Exhibit A
Item 9.a. - Page 13
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.
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