ITEM:		PUBLIC HEARING
11.	CONSIDER ADOPTION OF RESOLUTION NO. 2023-14 MODIFYING RULE 160 – REGULATORY WATER PRODUCTION TARGETS FOR CALIFORNIA AMERICAN WATER SYSTEMS
Meeting Date:			September 18, 2023	Budgeted:	N/A
From:			David J. Stoldt,	Program/	N/A
			General Manager	Line Item No.:
Prepared By:			Jonathan Lear	Cost Estimate:	N/A
General Counsel Review: N/A
Committee Recommendation: N/A
CEQA Compliance: Exempt from environmental review per SWRCB Order Nos. 95-10 and 2016-0016, and the Seaside Basin Groundwater Basin adjudication decision, as amended and Section 15268 of the California Environmental Quality Act (CEQA) Guidelines, as a ministerial project; Exempt from Section 15307, Actions by Regulatory Agencies for Protection of Natural Resources.

SUMMARY: District Rule 160 specifies the regulatory water production targets that are used in the District’s Expanded Water Conservation and Standby Rationing Plan to trigger higher stages of water conservation to facilitate California American Water (Cal-Am) compliance with the production limits set by State Water Resources Control Board (SWRCB) Orders 95-10 and 2016-0016 and the Seaside Groundwater Basin adjudication decision, as amended. Specifically, Table XV-1 in Exhibit 11-A shows monthly and year-to-date at month-end targets for all Cal-Am systems that derive their source of supply or rely on production offsets from the Monterey Peninsula Water Resource System (MPWRS). Similarly, Table XV-2 in Exhibit 11-A breaks out monthly and year-to-date at month-end targets for Cal-Am satellite systems that derive their source of supply from the Laguna Seca Subarea of the Seaside Groundwater Basin, which is part of the MPWRS. It should be noted that in WY 2022, the Seaside Adjudication decision lowers the limit in the satellite systems to 0 Acre Feet, however the compliance of Cal-Am with the Adjudication decision limits are calculated using production limits set for the entire Basin. In addition, Table XV-3 in Exhibit 11-A breaks out monthly and year-to-date at month-end targets for Cal-Am Carmel River system sources and is included to provide additional clarification as to the production target maximums for this component of the MPWRS.

It is understood that water allocated by Rule 160 constitutes the legal sources of water from the MPWRS and does not represent all of the water that will be needed to meet system demand in WY 2024. The remainder of system demand will be met through augmentation of water projects. Pure Water Monterey recovery, recovery of banked Carmel River water, and Sand City Desalination will be allocated at the Quarterly Water Budget Meetings to meet forecasted demands. The tables adopted for the production our of the MPWRS are to be used to track the production of legal sources of water so that they are not overproduced in WY 2024.

Rule 160 authorizes modifications to Tables XV-1, XV-2 and XV-3 to account for changes in the amount of water that Cal-Am is allowed to divert from the Carmel River System under the pertinent SWRCB Orders and the amount of water that Cal-Am is allowed to produce from the Seaside Groundwater Basin under the Seaside Basin Decision, as administered by the Seaside Basin Watermaster. Any modifications to these tables must be made by Board resolution.

Resolution 2023-14 (Exhibit 11-A) modifies Tables XV-1, XV-2 and XV-3 of Rule 160 to account for the projected change in allowable diversions by Cal-Am from the Carmel River and Seaside Groundwater Basins for Water Year 2024.

RECOMMENDATION: District staff recommends adoption of Resolution 2023-14 (Exhibit 11-A) modifying Rule 160.

EXHIBIT

11-A Resolution 2023-14 Modifying Rule 160 – Regulatory Water Production Targets for California American Water Systems

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