ITEM:		CONSENT CALENDAR
3.	Consider Adoption of Resolution No. 2007-05 MODIFYING RULE 162 – rEGULATORY WATER PRODUCTION TARGETS FOR cALIFORNIA aMERICAN WATER (CAW) MAIN SYSTEM
Meeting Date:			May 21, 2007	Budgeted:	N/A
From:			David A. Berger,	Program/	N/A
			General Manager	Line Item No.:
Prepared By:			Darby Fuerst	Cost Estimate:	N/A
General Counsel Approval: N/A
Committee Recommendation: N/A
CEQA Compliance: N/A

SUMMARY: District Rule 162 describes Stage 2 Water Conservation of the District’s Expanded Water Conservation and Standby Rationing Plan and specifies the conditions under which Stage 2 is enforced. More specifically, Table 1 of Rule 162 shows the monthly and year-to-date at month-end water production targets for the California American Water (CAW) main system that are used to trigger enforcement of Stage 2 Water Conservation. As shown in Exhibit 3-A, the current targets in Table 1, which include CAW production from Carmel River sources and from the coastal subareas of the Seaside Groundwater Basin (SGB), are based on the limit specified in State Water Resources Control Board (SWRCB) Order No. WR 95-10 for CAW’s diversions from Carmel River sources (11,185 acre-feet per year [AFY]) and the District’s earlier assumption of CAW’s share of the safe yield of the coastal subareas of the SGB (4,000 AFY), respectively. This assumption is no longer valid as a result of the March 27, 2006 SGB adjudication decision. In this decision, CAW’s production from the coastal subareas was limited to 3,504 AFY for Water Years 2006 through 2008. Accordingly, Table 1 should be modified to reflect this reduction in CAW’s allowed production. This type of modification is provided for in Paragraph B of Rule 162 and must be made by Board resolution. The proposed modifications are described in Resolution No. 2007-05, including a modified Table 1 (Exhibit 3-B).

RECOMMENDATION: Staff recommends that the Board adopt Resolution No. 2007-05, A Resolution of the Board of Directors of the Monterey Peninsula Water Management District Modifying Rule 162 – Regulatory Water Production Targets for California American Water Main System, and direct staff to make the recommended changes to Rule 162, effective immediately.

BACKGROUND: The current monthly targets in Table 1 of Rule 162, Stage 2 Water Conservation, were calculated by totaling CAW’s production from Carmel River sources allowed by SWRCB Order No. WR 95-10 (11,285 AFY) and CAW’s production from the coastal subareas of the SGB assumed by the District prior to the SGB adjudication decision (4,000 AFY) and distributing this annual system total (15,285 AFY) each month according to historical average production during Water Years 1986 – 2006 period. These monthly percentages were used to distribute the revised system total (14,789 AFY) in the modified table.

EXHIBITS

3-A Current Table 1 of Rule 162, Regulatory Water Production Targets for California American Water Main System From Sources Within the Monterey Peninsula Water Resources System

3-B Draft Resolution No. 2007-05

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