September 14, 2004

Call to Order

The meeting was called to order at 3:05 PM in the District Conference room.

Committee members present: Larry Foy, Chair

Michelle Knight (alternate)

David Pendergrass

District staff members present: David Berger, General Manager

Stephanie Pinter, Water Demand Manager

Darby Fuerst, Senior Hydrologist

Arlene Tavani, Executive Assistant

District Counsel present: David C. Laredo

Comments from Public

No comment.

Action Items

1. Consider Recommendation to Board on Potential Modifications to Rule 162 (Stage 2 Water Conservation) and Rule 163 (Stage 3 Water Conservation)

The committee directed District staff to investigate options for modifying the water production targets in Table 1 of Rule 162 that trigger implementation of Stage 2 and 3 conservation rules. A summary of the discussion is presented below.

(1) Mr. Berger reported that Steve Leonard of California American Water (Cal-Am) suggested that the rules should be modified to trigger a water permit moratorium when the monthly water production targets have been exceeded a specific number of times. (2) Staff would need to make a strong case for modifying Ordinance No. 92, because bringing it forward for public review again could trigger a lawsuit. (3) Changes to the ordinance could be accomplished by categoric exemption under CEQA. (4) The District should draft a letter to Cal Am asking them to petition the State Water Resources Control Board to relax the 20 percent conservation requirement of Order 95-10. (5) Cal-Am is required to keep production below the monthly targets listed in Table 1. Cal Am is also required to comply with monthly production limits from the Carmel River Basin and Seaside Groundwater Basin that are developed quarterly by Cal-Am, California Department of Fish and Game, and the District. The quarterly production numbers more accurately reflect water availability in the system, so that more production occurs in the Seaside Basin in the summer months when flow in the Carmel River is low. District staff suggests that Table 1 should more accurately reflect how Cal Am operates based on regulatory requirements. (6) In order to modify Table 1, Ordinance No. 92 would need to be amended by ordinance. The new rules could specify the monthly and year-end targets, but would not identify monthly production targets for the Carmel River and Seaside Groundwater basins. They could be adopted by the Board when they are periodically updated, such as when the Quarterly Water Supply Budget is developed Alternatively, monthly production targets for the Carmel River and Seaside Groundwater basins could be listed in Table 1, but they would be considered guidelines, so the Board could regularly adopt updated figures. (7) The District and Cal Am should advise the SWRCB that a specific amount of water must be taken from the Carmel River each year for the aquifer storage and recovery project. (8) Steve Leonard, General Manager of Cal Am, made the following suggestions. (a) Instead of a violation occurring if water use exceeds the limit in any one month, perhaps the violation could be based on a 60-day average, and one percent in excess of demand. Or the violation could be based on the number of days that production exceeded demand. (b) A parallel set of rules could be developed to state that if water consumption is 2 percent above normal for 60 consecutive days, that could be an event that would trigger a move to another stage of the program. (c) Rule curves could be developed which illustrate that exceeding a production target in January is not as critical as exceeding a target in August. (d) Suggest that a “sliding scale” be established so that if water production exceeds targets by 4 percent in the fourth month no action is taken, but if production exceeds targets by 4 percent in the sixth month, the situation is serious and action must be taken. (e) Cal-Am will ask the PUC to establish triggers that signal rate increases earlier in the process.

The Directors expressed support for the following potential water conservation actions: expand baseline exterior conservation; local Cal Am presence including 24 hour hotline; increase water waste penalties; promote dual-flush technology and waterless urinals; and expand rebate program to commercial washers and weather-based irrigation controllers. However, there was a concern that schools would need financial assistance to retrofit to dual-flush technology or waterless urinals. Steve Leonard suggested that Cal Am’s next application to the PUC for a rate increase could include a request that money in the RAM account be allocated for a school rebate program. Stephanie Pintar noted that there may be grant funds available for development of CIMIS projects. The Directors expressed support for any grant-eligible conservation measures that could be developed. Steve Leonard requested that the District send a letter to Cal Am listing items that should be incorporated into the next application for a rate increase, including the proposal that funds in the RAM account be applied to specific projects.

Set Future Meeting Date -- No action was taken on this item.

Director Comments -- None.

Adjournment -- The meeting was adjourned at approximately 4:15 PM.

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