JOINT MEETING OF THE POLICY ADVISORY (PAC) AND TECHNICAL ADVISORY (TAC) COMMITTEES
2.	DEVELOP RECOMMENDATION TO THE BOARD REGARDING FIRST READING OF AN ORDINANCE – AMENDMENTS TO REGULATION XIV, WATER CONSERVATION
Meeting Date:		September 3, 2009	Budgeted:	N/A
From:		Darby Fuerst,	Program/	N/A
		General Manager	Line Item No.:
Prepared By:		Stephanie Pintar	Cost Estimate:	N/A
General Counsel Approval: Reviewed and approved current draft
CEQA Compliance: This ordinance is exempt from CEQA as a categorical exemption under Class I, §15301 of the California Environmental Quality Act (CEQA). Class I exemptions are available for replacement of existing facilities. A Notice of Exemption will be filed in compliance with CEQA following adoption of the proposed ordinance.

SUMMARY: In September, the Board will be considering an ordinance to amend and revise the Conservation Regulation of the District (Regulation XIV). The proposal to update the standards is forward-thinking and in keeping with the District’s goal to be a leader in water conservation. Many of the proposed amendments will be required through state legislation or are considered Best Management Practices by the California Urban Water Conservation Council. Some requirements, such as High Efficiency Toilet (HET) retrofits (i.e. toilets that use an average of 1.28 gallons per flush) upon change of title and in new construction are currently being implemented by other water agencies in the state. Water saved through mandatory conservation requirements contributes to community compliance with regulatory restrictions and reduces the amount of water needed to serve the community. An outline of the proposed amendments is included as Exhibit 2-A. A preliminary draft ordinance is attached as Exhibit 2-B.

The proposed revisions have been reviewed on several occasions by the District’s Water Demand Committee and have been provided for comment to representatives of the commercial and hospitality industries, Realtors, architects, and builders.

DISCUSSION: The Board discussed the proposed amendments to the District’s conservation regulation at its July 20, 2009 meeting and referred the item to the Technical and Policy Advisory Committees (TAC/PAC) for discussion. The TAC/PAC should review the outline and provide feedback to staff on the conservation requirements being proposed.

As the proposed amendments increase the amount of conservation savings achieved by the District, there is a corresponding decrease in the amount of water credits that can be used to offset added water fixtures on a property. Specifically, District Rule 25.5-B disallows Water Use Credits for water savings resulting from mandatory District programs, including water savings resulting from the fixtures required by the District’s New Construction, Remodel/Addition, Change of Ownership, and Change of Use retrofit requirements. The revisions to Regulation XIV, Conservation, will reduce the availability of Water Use Credits in the situations shown on the following table:

Availability of Water Credit (Rule 25.5. Table 4) for Identified Fixtures Under Proposed Reg. XIV Amendments
Type of Fixture	Residential New Construction	Non-Residential New Construction	Remodel/Addition
High Efficiency Toilet (HET) (0.004 AF Credit)	No credit	No credit	No credit
Ultra Low Consumption Dishwasher	No credit	No credit	Credit available
Ultra Low Consumption Washer (0.005 - 0.01 AF Credit)	No credit	No credit	Credit available
Instant-Access Hot Water System (0.005 AF Credit)	No credit currently available	No credit currently available	Credit available under some circumstances

Table 4: Ultra-Low Consumption Appliance Credits found in Rule 25.5, lists the Residential water fixtures currently available to offset water demand associated with remodels/additions and new construction. As an example of how these credits presently work: To offset a new half bathroom (i.e., a single High Efficiency Toilet and wash basin), a homeowner would have to replace two existing toilets with High Efficiency Toilets, install an Ultra Low Consumption Washing Machine and an Ultra-Low Consumption Dishwasher. The credit process theoretically cancels out both the potential increase in demand and the water savings resulting from the retrofit.

The proposed amendments to Regulation XIV similarly affect Non-Residential projects. Although Non-Residential Water Permits are not based on the number or type of water fixtures being installed, applicants may qualify for a Water Use Credit when they (1) install non-conventional water saving appliances and fixtures, (2) are able to document the water savings from the retrofit, and (3) have an independent third party verify the water savings (Rule 25.5d). In the past ten years, there have been twelve applications for Non-Residential water use credit under this provision of Rule 25.5.

RECOMMENDATION: Staff recommends that the TAC/PAC review the ordinance outline and then provide specific comments/recommendations.

BACKGROUND: The District Board has directed staff to develop two conservation ordinances to expand the District’s baseline conservation requirements. One conservation ordinance was to establish additional baseline conservation measures for indoor water use, and the other would establish landscape regulations that embody baseline measures for outdoor water use. The draft landscape ordinance will be considered as a separate ordinance later in 2009 or early in 2010.

Reducing demand and conserving water through high water efficiency technology is a long-term goal of the District, and the District’s success at conservation has been widely recognized. In 1984, the District adopted a goal to save 15 percent by the year 2020. The conservation goal contemplated achievement of the 15 percent reduction in per-capita water use through its Ultra-Low Flush Toilet rules and other conservation programs such as wastewater reclamation. Through the years, the District has promoted and expanded its conservation program and currently experiences water production levels far below the anticipated 2020 water use expected in 1984.

Since 1984, a number of unanticipated actions have impacted local water conservation goals. The 1987-1991 drought, the State Water Resources Control Board Order No. 95-10, and the Seaside Adjudication all resulted in the need for increased voluntary and regulatory conservation measures. The regulatory restrictions in this area are ongoing and are becoming more stringent. New requirements for water savings, such as the 20x2020 mandate currently under consideration in the State Legislature, will require further efficiency. As a result, the District’s 1984 conservation goal has essentially been replaced with current restrictions and ongoing need for efficient use of water and energy.

EXHIBITS

2-A Outline of Proposed Regulation XIV Revisions

2-B Preliminary Draft Ordinance Amending Regulation XIV

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