ITEM:

PUBLIC HEARINGS

 

20.

CONSIDER FIRST READING OF ORDINANCE NO. 140, AMENDING THE REBATE PROGRAM AMOUNTS, DELETING 1.6 GALLON PER FLUSH TOILETS FROM THE REBATE PROGRAM, AND ADDING REBATES FOR LAWN REMOVAL, SYNTHETIC TURF INSTALLATION, AND OTHER COMMERCIAL/INDUSTRIAL/INSTITUTIONAL RETROFITS

 

Meeting Date:
September 21, 2009

Budgeted: 

Yes

 

From:

Darby Fuerst,

Program/

4-2-4

 

General Manager

Line Item No.:

 

 

 

 

Prepared By:

Stephanie Pintar

Cost Estimate:

FY 2010 budget for $325,000

 

General Counsel Review:  Yes

Committee Recommendation:  By a vote of 2-0 on September 14, 2009, the Water Demand Committee supported the proposed Rebate Program amendments.   The Technical Advisory Committee (TAC) and the Policy Advisory Committee (PAC) reviewed and supported the ordinance at the September 3, 2009 PAC/TAC meeting.

CEQA Compliance:  Categorical exemption under Class I, §15301

 

SUMMARY:  Attached as Exhibit 20-A is draft Ordinance No. 140, an ordinance expanding the Rebate Program to include lawn removal, synthetic turf, high efficiency urinals, pint urinals,  rotating sprinkler nozzles, water brooms, high efficiency commercial clothes washers, cooling tower conductivity controllers, air-cooled ice machines, and X-ray film processor recirculation systems.    Other changes to the Rebate Program include the deletion of rebates for ultra-low flush (ULF) 1.6 gallon-per-flush toilets, increases in current rebate amounts for High Efficiency Toilets, high efficiency washing machines and Zero Water Consumption Urinals, and amendments and additions to Rule 11, Definitions.  Draft Ordinance No. 140 includes rebates discussed during hearings in 2008 before the California Public Utilities Commission (CPUC) during the consideration of the California America Water (CAW) conservation budget. 

 

In recommending the proposed rebates, staff researched other water efficiency Rebate Programs.  All proposed rebate amounts and water savings are supported through extensive research and documentation, particularly the Rebates that are proposed for Non-Residential appliances.  Rebates proposed in Ordinance No. 140 are comparable with Rebates offered by other agencies throughout the state and were reviewed by the TAC, the PAC, and provided to CAW.  The addition of Non-Residential technology to the Rebate Program is necessary to further reduce water consumption within the District.

 

The draft ordinance contains a provision to make the new rebates retroactive to September 22, 2009.  This provision was included to encourage retrofits between first reading and the effective date of the ordinance (December 1, 2009).  Providing a retroactive date may encourage lawn removal during the fall months, when drought-tolerant replacement plantings can take advantage of the rainy season to become established.  Lawn removal rebates are conditioned on a pre- and post-removal inspection to verify the water savings and require a deed restriction.

The draft ordinance removes the rebate for ULF toilets, leaving only a rebate for High Efficiency Toilets (HET) that use an average of 1.3 gallons per flush.  The removal of the ULF toilet was made at the recommendation of California American Water’s conservation manager.  The State of California has mandated the more efficient HET as of 2014.  These toilets have proven performance records, and as the new HET mandate will take effect shortly, the District’s Rebate Program will reflect the most current technology.

 

The Rebate Program is jointly funded through several mechanisms:  The CPUC approved a $900,000 3-year budget (2009-2011) in the CAW conservation filing that is to fund rebates for CAW customers, the District budgeted $10,000 for Fiscal Year 2009-2010 for non-CAW rebates, and the District was approved $15,000 annually for a “Cash For Grass” program by the CPUC in CAW’s conservation filing.  The District administers the Rebate Program and tracks the retrofits and water savings that occur, utilizing the District’s extensive property database to verify eligibility.  California American Water supports the expansion of the Rebate Program as it contributes to both entities’ conservation goals.  Since the inception of the program in 1997, more than 224 acre-feet of water have been saved.

 

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 ordinance.

 

RECOMMENDATION:  It is recommended that the Board approve the first reading of Ordinance No. 140.  If approved, second reading and adoption will be scheduled for the October 19, 2009 meeting. 

 

IMPACT ON STAFF/RESOURCES:  Increased participation in the rebate program has impacts on staff as the District administers the rebate programs for the District.  However, the District has been able to accommodate the existing program and the new database will enhance staff’s ability to process and issue rebates.  The cost of administering the Rebate Program is contemplated in the adopted Water Demand Division 2009/10 budget.

 

EXHIBITS

20-A    Draft Ordinance No. 140

 

 

 

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