Agenda packet — La Palma City Council, June 2, 2026 (part 3 of 4)

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operational. By 2025, OCWD had restored 49 wells to service with operational treatment systems, with an additional 57 wells in planning, design, or construction stages (ACWA, 2025). These systems continue to rely primarily on granular activated carbon (GAC) and ion‑exchange (IX) media operated in lead–lag configuration to achieve non‑detect PFAS levels consistent with evolving state and federal regulatory standards (Santa Ana Regional Water Quality Control Board & Orange County Water District, 2023.) Groundwater production in FY 2023–24 totaled 280,420 acre-feet, with slight increases projected over the next two years as additional treatment systems come online, showing continued reductions associated with PFAS‑impacted wells that remain offline across several agencies. Salinity is a significant water quality problem in many parts of southern California, including Orange County. Salinity is a measure of the dissolved minerals in water, including both TDS and nitrates. OCWD continuously monitors the levels of TDS in wells throughout the OC Basin. TDS currently has a California Secondary MCL of 500 milligrams per liter (mg/L). The portions of the OC Basin with the highest levels are generally located in the cities of Irvine, Tustin, Yorba Linda, Anaheim, and Fullerton. There is also a broad area in the central portion of the OC Basin where TDS ranges from 500 to 700 mg/L. Sources of TDS include the water supplies used to recharge the OC Basin and from onsite wastewater treatment systems, also known as septic systems. The TDS concentration in the OC Basin increased on average from 415 mg/L in 2022-23 to 432 mg/L in 2023-24 (OCWD, 2025).

Nitrates are one of the most common and widespread contaminants in groundwater supplies, originating from fertilizer use, animal feedlots, wastewater disposal systems, and other sources. The MCL for nitrate in drinking water is set at 10 mg/L. OCWD regularly monitors nitrate levels in groundwater and works with producers to treat wells that have exceeded safe levels of nitrate concentrations. OCWD manages the nitrate concentration of water recharged by its facilities to reduce nitrate concentrations in groundwater.

This includes the operation of the Prado Wetlands, which was designed to remove nitrogen and other pollutants from the Santa Ana River before the water is diverted to be percolated into OCWD's surface water recharge system. Although water from the deep aquifer system is of very high quality, it is amber-colored and contains a sulfuric odor due to buried natural organic material, requiring treatment before use as drinking water. The principal aquifer, which supplies most basin pumping, occurs at depths of roughly 300–1,200 feet below ground surface (OCWD, 2025). The total volume of amber-colored groundwater in the deep system is estimated at approximately 1 MAF.

7.2.4 Locally Applicable Criteria
Within Orange County, there are no significant local applicable criteria that directly affect reliability. Over the years, the water agencies in Orange County have made tremendous efforts to integrate their systems to provide flexibility for interchanging with different sources of supply. There are emergency agreements in place to provide an adequate supply of water in all parts of the County. In the northern part of the County, agencies can meet most of their demands from groundwater with very little limitation, except for the OCWD BPP. For the agencies in South Orange County, most of their demands are met with imported water, and their limitations are based on the capacity of their systems, which are very robust. However, if a major earthquake on the San Andreas Fault occurs, it can potentially be damaging to key water aqueducts and disrupt imported supplies to the entire Southern California for up to six months. The MET region would likely require a water-use reduction of 10 to 25 percent until the system is repaired. However, MET has taken proactive steps to handle such disruption, such as constructing DVL, which mitigates potential

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impacts. DVL, along with other local reservoirs, can store a six to twelve-month supply of emergency water (MET, 2025).

7.3 Water Service Reliability Assessment
This section assesses the reliability of La Palma's water service to its customers. This is completed by comparing the projected long-term water demand (Chapter 4) to the projected water supply sources available to La Palma (Chapter 6), in five-year increments, for a normal water year, a single dry water year, and a drought lasting five consecutive water years.

7.3.1 Normal Year Reliability
In 2025, MWDOC and OCWD in collaboration with Orange County retail agencies, developed water demand forecast models for individual retail water agencies in Orange County, as described in detail in Chapter 4. This 25-year demand forecast uses statistical models to account for demographic, socioeconomic, conservation, and weather variables (MWDOC, 2025). For normal year reliability, the demand forecast represents average weather conditions.

La Palma is 100 percent reliable for normal year demands from 2025 through 2050. La Palma receives imported water from MWDOC via connection to MET's regional distribution system. Although pipeline and connection capacity rights do not guarantee the availability of water, they do guarantee the ability to convey water into the local system when it is available to the MET distribution system.

A comparison between the supply and demand for projected years between 2025 and 2050 is shown in Table 7.2. The table demonstrates that projected supplies and demands are equal in every planning year, with no anticipated surpluses or shortfalls. As stated above, the available supply will meet projected demands due to a diversified supply and conservation measures limiting and reducing imported demands in the later years. La Palma's supplies are provided by MWDOC and the OC Basin. In MWDOC's 2025 Urban Water Management Plan, they identify their wholesale supplies as 100 percent reliable under normal-year conditions (Submittal Table 7‑2; MWDOC, 2025).

Table 7.2 Submittal Table 7-2 Retail: Normal Year Supply and Use Comparison Submittal Table 7-2 Retail: Normal Year Supply and Use Comparison Water Code Section 10635 (a)
2030 2035 2040 2045 2050 (Opt)
(AF) (AF) (AF) (AF) (AF)
Supply totals
(autofill from Submittal Table 6-9 R)
1,705 1,711 1,722 1,721 1,721
Use totals
(autofill from Submittal Table 4-2 R)
1,705 1,711 1,722 1,721 1,721
Surplus/(shortfall) 0 0 0 0 0

7.3.2 Single Dry Year Reliability
A single dry year is defined as a single year of minimal to no rainfall within a period where average precipitation is expected to occur. Orange County's water demand projection model (described in Chapter 4), isolated the impacts that weather and future climate can have on water demand through the

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use of a statistical model. The impacts of hot/dry weather conditions are reflected as a percentage increase in water demands from the normal year condition . For a single dry year condition (FY 2013-14), the model projects a seven percent increase in demand for La Palma's service area (MWDOC, 2025).

Detailed information of the model is included in Appendix E.

La Palma's has documented that it is 100 percent reliable for single dry year demands from 2025 through 2050. As shown in Table 7.3, projected single dry year supplies and demands are equal from 2030 to 2050, resulting in no anticipated shortages. This assessment incorporates a 7 percent increase in demand above normal-year levels and shows the significant reserves and conservation measures available within MET.

Table 7.3 Submittal Table 7-3 Retail: Single Dry Year Supply and Demand Comparison Submittal Table 7-3 Retail: Single Dry Year Supply and Use Comparison Water Code Section 10635(a)
2030 2035 2040 2045 2050 (Opt)
(AF) (AF) (AF) (AF) (AF)
Supply totals 1,816 1,823 1,834 1,833 1,833
Use totals 1,816 1,823 1,834 1,833 1,833
Surplus/(shortfall) 0 0 0 0 0
NOTES: The single dry year projections estimate a 7% increase on imported M&I demand. Imported water is available to close any local water supply gap (Section 7.5.1).

7.3.3 Multiple Dry Years Reliability
Multiple dry years are defined as five or more consecutive dry years with minimal rainfall within a period of average precipitation. Orange County's water demand projection model (described in Chapter 4) isolated the impacts that weather and future climate can have on water demand through the use of a statistical model. The impacts of hot/dry weather conditions are reflected as a percentage increase in water demands from the normal year condition (average of FY 2017-18 and FY 2018-19). During multiple dry years, the UWMP applies dry-year adjustment factors to reflect future climate conditions and retail level water demand. These increase seven percent in single-dry and first multiple-dry year, going up to 12, 13, 15, and 17 percent in subsequent drought years, relative to average-year demand (see Table 7.1) (MWDOC, 2025). Rather than repeating the single-dry-year factor for all five years, the five-year multi-dry-year scenario applies the year-specific dry-year adjustment factors for each consecutive year, reflecting the increasing impacts of extended drought. La Palma has demonstrated that its water supplies remain fully reliable throughout a five‑consecutive‑year dry period from 2025 through 2050. Even assuming a conservative demand increase of seven 7 to 17 percent each year for over five consecutive years, La Palma is capable of meeting all customers' demands from 2025 through 2050 (Table 7.4), with significant reserves held by MET and conservation. The water supply totals listed in Table 7.4 include both treated and untreated water from MET for M&I and non-M&I demands. The multiple dry-year projections estimate a seven percent increase in imported M&I demand. The 2030 column assesses supply and demand for FY 2025-26 through FY 2029-30; the 2035 column assesses FY 2030-31 through FY 2034-35, and so forth, to end the water service reliability assessment in FY 2045-50.

The table includes treated water from MET for M&I and non-M&I demands. The multiple dry-year projections estimate a seven to 17 percent increase in imported M&I demand. The 2030 column assesses

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supply and demand for FY 2025-26 through FY 2029-30; the 2035 column assesses FY 2030-31 through FY 2034-35, and so forth, to end the water service reliability assessment in FY 2045-50.

Table 7.4 Submittal Table 7-4 Retail: Multiple Dry Years Supply and Demand Comparison Submittal Table 7-4 Retail: Multiple Dry Years Supply and Use Comparison Water Code Section 10635(a)
2030 (AF) 2035 (AF) 2040 (AF) 2045 (AF) 2050 (AF)
First year
Supply totals 1,816 1,823 1,834 1,833 1,833
Use totals 1,816 1,823 1,834 1,833 1,833
Surplus/(shortfall) 0 0 0 0 0
Second year
Supply totals 1,909 1,916 1,928 1,927 1,926
Use totals 1,909 1,916 1,928 1,927 1,926
Surplus/(shortfall) 0 0 0 0 0
Third year
Supply totals 1,921 1,928 1,940 1,939 1,938
Use totals 1,921 1,928 1,940 1,939 1,938
Surplus/(shortfall) 0 0 0 0 0
Fourth year
Supply totals 1,957 1,964 1,976 1,975 1,975
Use totals 1,957 1,964 1,976 1,975 1,975
Surplus/(shortfall) 0 0 0 0 0
Fifth year
Supply totals 1,990 1,998 2,010 2,009 2,008
Use totals 1,990 1,998 2,010 2,009 2,008
Surplus/(shortfall) 0 0 0 0 0
NOTES: The 2030 column assesses supply and demand for FY 2025-26 through FY 2029-30; the 2035 column assesses FY 2030-31 through FY 2034-35 and so forth, in order to end the water service reliability assessment in FY 2049-50.

7.4 Management Tools and Options
Existing and planned water management tools and options that seek to maximize local resources and minimize the need to import water are described below.
 Reduced Delta Reliance: Both MWDOC and MET have demonstrated consistency with Reduced Reliance on the Delta Through Improved Regional Water Self-Reliance (Delta Plan policy WR P1) by reporting the expected outcomes for measurable reductions in supplies from the Delta. MET has improved its self-reliance through methods including water use efficiency, water recycling, stormwater capture and reuse, advanced water technologies, conjunctive use projects, local and regional water supply and storage programs, and other programs and projects. Similarly, Orange County water agencies have further invested in water use efficiency, local water supply projects, and advanced water technologies to increase regional self-reliance. In the near term (2030), regional self-reliance during a normal water year for the entire MET service area is projected to increase by approximately 601 TAF compared to the 2010 baseline, an improvement equal to nearly 20 percent of projected 2030 retail demands. Looking ahead to 2050, normal year regional self-reliance is expected to grow by more than 1.0 MAF above the 2010 baseline, representing an increase of roughly 20 percent of projected 2050 retail demands (MET, 2025).

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 The continued and planned use of groundwater: The water supply resources within La Palma's service area are enhanced by the existence of groundwater basins that account for the majority of local supplies available. As described in Chapter 4, the OC Basin is also used as a reservoir to store water during wet years and draw from storage during dry years, subsequently minimizing the MWDOC service area's reliance on imported water. Groundwater basins are managed within a safe basin operating range so that groundwater wells are only pumped as needed to meet water use.

Although La Palma does not manage any of the service area's groundwater basins, as a groundwater producer, La Palma supports the efforts to maintain the health of the local basins through local groundwater recharge efforts such as OCWD's GWRS program.  Groundwater storage and transfer programs: OCWD's involvement in the Santa Ana River Conservation and Conjunctive Use Program (SARCCUP) includes participation in a conjunctive use program that improves water supply resiliency and increases available dry-year yield from local groundwater basins. The groundwater bank has 137,000 AF of storage (Inland Empire Utilities Agency, 2021). MET has numerous groundwater storage and transfer programs in which MET endeavors to increase the reliability of water supplies, including the Antelope Valley-East Kern Water Agency (AVEK) Waste Agency Exchange and Storage Program and the High Desert Water Bank Program. In addition, MET has encouraged storage through its cyclic and conjunctive use programs that allow MET to deliver water into a groundwater basin in advance of agency demands, such as the Cyclic Storage Agreements under the Main San Gabriel Basin Judgment.
 MWDOC Water Loss Program: The water loss audit program reduces La Palma's dependency on imported water from the Delta by implementing water loss control technologies after assessing audit data and leak detection.
 Increased use of recycled water: OCWD's Groundwater Replenishment System (GWRS) and Green Acres Project (GAP) help southern California reduce its reliance on imported water by providing a local, reliable water supply that meets or exceeds all federal and state drinking water standards.

OCWD is currently expanding the GWRS to increase production to 130 MGD, further strengthening regional water self-sufficiency.
 Implementation of demand management measures during dry periods: During dry periods, water reduction methods to be applied to the public through the retail agencies, will in turn reduce La Palma's overall demands on imported water. La Palma met its conservation target of 20 percent by 2020 as part of the Orange County Regional Alliance as well as individually. Drought Risk Assessment California Water Code (CWC) Section 10635(b) requires every urban water supplier to include a DRA for its water service as part of the information considered in developing its demand management measures and water supply projects and programs. The DRA is a specific planning action that assumes La Palma is experiencing a drought over the next five years and addresses water supply reliability in the context of presumed drought conditions. Together, the water service reliability assessment, DRA, and water shortage contingency planning (WSCP) allow La Palma to have a comprehensive picture of its short-term and long-term water service reliability and to identify the tools to address any perceived or actual shortage conditions.

CWC Section 10612 requires the DRA to be based on the driest five-year historical sequence for La Palma's water supply. However, CWC Section 10635 also requires that the analysis consider plausible changes on projected supplies and demands due to climate change, anticipated regulatory changes, and other locally applicable criteria.

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The following sections describe the methodology and results from La Palma's DRA.

7.4.1 Methodology
As described in more detail in Chapter 4, the water demand forecasting model prepared for MWDOC and OCWD isolated the impacts that weather and future climate can have on water demand through the use of an econometric model. In addition to weather related factors, the model incorporates explanatory variables that influence both historical and projected water use, including water price, gross domestic product (GDP), median household income, housing density, persons per household, households per account, sectoral employment mix (for CII demand), seasonal patterns, historical conservation trends, drought restrictions, and COVID-19 behavioral effects. These variables allow the model to separately quantify how economic conditions, demographic shifts, land use characteristics, and institutional constraints affect demand across residential, commercial, industrial, institutional, and irrigation sectors (MWDOC, 2025).

The impacts of hot/dry weather conditions are reflected as a percentage increase in water demands from the average condition. For a single dry year condition (FY 13-14), the model projects a seven percent increase in demand for La Palma's service area (MWDOC, 2025). The model used a 33-year dataset (1991-2024) to estimate demand under average (normal), single-dry year, and five consecutive dry years hydrologic conditions. Correlation coefficients between demand, temperature, and precipitation were applied to the hottest and driest historical sequences to calculate high-demand scenarios, which were expressed as scaling factors relative to the 33-year average demand.

For La Palma, the five consecutive dry year demand scenario is based on the demand model's multiple dry year methodology. In accordance with the econometric demand model approach used to develop UWMP demand projections, a single hot/dry year was first identified based on weather conditions that produced the greatest demand response. Consecutive dry years were then represented by applying incremental scaling factors to this single hot/dry year demand to account for the compounding effects of persistent warm and dry conditions over time. These scaling factors show long‑term relationships between regional water use and multi‑year temperature and precipitation deficits and are applied sequentially to simulate second through fifth consecutive dry years. This approach is consistent with the demand modeling framework summarized in Tables 7.1 and 7.5.

7.4.1.1 Water Demand Characterization
La Palma's water supplies consist of groundwater from the OC Basin and purchased water from MWDOC, regardless of hydrologic conditions. As described in Chapter 6, MET's supplies are from the Colorado River, SWP, and in-region storage. In MET's 2025 UWMP, the Drought Risk Assessment (DRA) concluded that even without activating WSCP actions. Beyond this, MET's DRA indicated a surplus of supplies that would be available to all of its member agencies, including MWDOC, should the need arise. Therefore, any increase in demand that is experienced in MWDOC's service area is assumed to be met by MET's water supplies.

Based on the water demand projection model discussed in more detail in Chapter 4, in a single dry year, demand is expected to increase by 7 percent above a normal year (see Table 7.1). Buena Park's DRA conservatively assumes that a drought from FY 2025-26 through FY 2029-30 is based on the FY 2025 normal year supply with the five-year consecutive dry year hydrology (from Table 7.1) (MWDOC, 2025).

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7.4.1.2 Water Supply Characterization
La Palma's assumptions for its supply capabilities are discussed and presented in 5-year increments under its water reliability assessment in Section 7.3. For La Palma's DRA, these supply capabilities are further refined and presented annually for the years 2026 to 2030, which the Orange County Demand Model (2025) applied a historical dry-year sequence from within the 1991-2024 dataset as an analog for five consecutive dry years. Groundwater is sustainably managed through the BPP and robust management measures (Section 6.3.4 and Appendix G), direct and indirect recycled water uses provide additional local supply (Section 6.6), and based on MET's and MWDOC's UWMP, imported water is available to close any local water supply gap (Section 7.5.1). For its DRA, the model assessed the reliability of supplies available to Orange County through MET using historical supply availability under dry-year conditions.

MET's supply sources under the CR, SWP, and in-region supply categories are individually listed and discussed in detail in MET's UWMP. Future supply capabilities for each of these supply sources are also individually tabulated in Appendix 3 of MET's UWMP, with consideration for plausible changes on projected supplies under climate change conditions, anticipated regulatory changes, and other factors.

Total Water Supply and Use Comparison
La Palma's anticipated total water use and supply under a five-year drought from FY 2025-26 through FY 2029-30 are compared in Table 7.5. La Palma's assessment reveals that its supply capabilities are expected to balance with its projected water use for the next five years, from 2026 to 2030.

Table 7.5 Submittal Table 7-5 Retail: Five-Year Drought Risk Assessment Submittal Table 7-5 Retail: Five-Year Drought Risk Assessment Water Code Section 10635(b)(3)
2026 Total
Total Water Use (AF) 1,779
Total Supplies (AF) 1,779
Surplus/Shortfall w/o WSCP Action 0
2027 Total
Total Water Use (AF) 1,870
Total Supplies (AF) 1,870
Surplus/Shortfall w/o WSCP Action 0
2028 Total
Total Water Use (AF) 1,881
Total Supplies (AF) 1,881
Surplus/Shortfall w/o WSCP Action 0
2029 Total
Total Water Use (AF) 1,917
Total Supplies (AF) 1,917
Surplus/Shortfall w/o WSCP Action 0
2030 Total
Total Water Use (AF) 1,949
Total Supplies (AF) 1,949
Surplus/Shortfall w/o WSCP Action 0

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7.4.2 Water Source Reliability
La Palma's water supply portfolio is predominantly supported by the OC Basin, which provides roughly 85 percent of La Palma's water under the FY 2025–26 BPP and is expected to remain a reliable source through FY 2029–30. OCWD's active basin management, such as adjusting the BPP and securing supplemental recharge supplies, helps maintain long-term groundwater reliability. Local supply is further strengthened by La Palma's use of indirect potable reuse water from OCWD's Groundwater Replenishment System, which enhances drought resilience. While emergency interconnections with neighboring agencies are not part of the normal supply mix, they offer additional backup capacity if ever needed. La Palma's DRA concludes that available supplies meet projected demands during a modeled five-year drought, with the ability to increase MET purchases if necessary.

As detailed in Chapter 8, La Palma has in place a robust WSCP and comprehensive shortage response planning efforts that include demand reduction measures and supply augmentation actions. However, since La Palma's DRA shows a balance, no water service reliability concern is anticipated, and no shortfall mitigation measures are expected to be exercised over the next five years. La Palma and its wholesale, MWDOC, will periodically revisit its representation of the supply sources and of the gross water use estimated for each year, and will revise the DRA if needed.

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CHAPTER 8 WATER SHORTAGE CONTINGENCY

PLANNING

8.1 Background
Water shortage contingency planning is a strategic planning process that the City of La Palma (City) engages to prepare for and respond to water shortages. A water shortage is defined when water supply available is insufficient to meet the customer demand at a given point in time. This may occur due to water supply availability changes, water quality changes, and/or catastrophic events (e.g., earthquake). The Water Shortage Contingency Plan (WSCP), included in Appendix F and summarized in this chapter, provides a water supply availability assessment and structured steps designed to respond to actual conditions. This level of detailed planning and preparation is intended to help maintain reliable supplies and reduce the impacts of supply interruptions.

The Water Code Section 10632 requires that every urban water supplier that serves more than 3,000 acre-feet per year (AFY) or has more than 3,000 connections prepared adopt a standalone WSCP as part of its Urban Water Management Plan (UWMP). The WSCP is required to plan for a greater than 50 percent supply shortage. The WSCP may require updating based on new DWR requirements every five years and will be adopted as a current update for submission to DWR by July 1, 2026.

8.2 Overview of the Water Shortage Contingency Plan
The WSCP serves as the operating manual that the City will use to prevent catastrophic service disruptions through proactive, rather than reactive, mitigation of water shortages. The WSCP defines the processes and procedures that would be deployed when shortage conditions arise so that the City’s governing body, its staff, and the public can easily identify and efficiently implement pre-determined steps to mitigate a water shortage to the level appropriate for the degree of water shortfall anticipated. The relationship between the three procedural documents related to planning for and responding to water shortages is graphically depicted in Figure 8.1.

Figure 8.1 Purpose and Relationships of the UWMP, WSCP, and Water Shortage Response Ordinance

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A complete version of the City’s WSCP is provided in Appendix F and includes the steps to assess if a water shortage is occurring, and what level of demand reduction actions to trigger the most appropriate response to the water shortage conditions. The WSCP has prescriptive elements, including an analysis of water supply reliability; the drought shortage actions that align with water shortage levels that correspond to water shortage percentages ranging from 10 percent to greater than 50 percent; an estimate of potential to close supply gap for each measure; protocols and procedures to communicate identified actions for any current or predicted water shortage conditions; procedures for an annual water supply and demand assessment; monitoring and reporting requirements to determine customer compliance; and reevaluation and improvement procedures for evaluating the WSCP.

8.3 Summary of Water Shortage Response Strategy and Required DWR Tables
The WSCP is organized into the following three main sections, with Section 3 aligned with the California Water Code Section 16032 requirements.
 Section 1 Introduction and WSCP Overview gives an overview of the WSCP fundamentals.  Section 2 Background Information provides a background on the City’s water service area.  Section 3 Water Shortage Contingency Preparedness and Response Planning. » Section 3.1 Water Supply Reliability Analysis provides a summary of the water supply analysis and water reliability findings from the 2025 UWMP.
» Section 3.2 Annual Water Supply and Demand Assessment Procedures provides a description of procedures to conduct and approve the Annual Assessment. » Section 3.3 Six Standard Water Shortage Stages explains the WSCP’s six standard water shortage levels corresponding to progressive ranges of up to 10, 20, 30, 40, 50, and more than 50 percent shortages.
» Section 3.4 Shortage Response Actions describes the WSCP’s shortage response actions that align with the defined shortage levels.
» Section 3.5 Communication Protocols addresses communication protocols and procedures to inform customers, the public, interested parties, and local, regional, and state governments regarding any current or predicted shortages and any resulting shortage response actions. » Section 3.6 Compliance and Enforcement describes customer compliance, enforcement, appeal, and exemption procedures for triggered shortage response actions. » Section 3.7 Legal Authorities describes the legal authorities that enable the City to implement and enforce its shortage response actions.
» Section 3.8 Financial Consequences of the WSCP provides a description of the financial consequences of and responses for drought conditions.
» Section 3.9 Monitoring and Reporting describes monitoring and reporting requirements and procedures that ensure appropriate data is collected, tracked, and analyzed for purposes of monitoring customer compliance and to meet state reporting requirements. » Section 3.10 WSCP Refinement Procedures addresses reevaluation and improvement procedures for monitoring and evaluating the functionality of the WSCP.

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» Section 3.11 Special Water Feature Distinction provides a required definition for inclusion in a WSCP per the Water Code.
» Section 3.12 Plan Adoption, Submittal, and Availability describes the process the City followed to adopt its WSCP.

The WSCP is based on adequate details of demand reduction and supply augmentation measures that are structured to match varying degrees of shortage, and will aim to make the relevant stakeholders understand what to expect during a water shortage situation. The City adopted water shortage levels consistent with the requirements identified in Water Code Section 10632 (a)(3)(A) (Table 8.1).

The four shortage levels La Palma uses in their water shortage planning and documented in their WSCP are compared to DWR’s six standard shortage levels in Table 8.1. The water supply augmentation measures that align with each shortage level are described in Table 8.2. This table also estimates the extent to which that action will augment supplies to reduce the gap between supplies and demand. The demand reduction action measures that align with each shortage level and how each measure will reduce the shortage gap between expected supplies and the shortage level is summarized in Table 8.3. The purpose of Table 8.2 and Table 8.3 is to demonstrate the results the City can expect once shortage level actions are implemented to deliver the expected outcomes necessary to meet the requirements of a given shortage level.

Table 8.1 Submittal Table 8-1: Cross-Reference for Standard vs Supplier Shortage Levels Submittal Table 8-1: Cross-reference for Standard vs Supplier Shortage Levels Water Code Section 10632(a)(3)(B)
Check the box if the Supplier uses the Standard six levels of water shortage.

Proceed to the next table.

Standard Shortage
Levels
Percent Shortage
Range
Suppliers Shortage
Levels
Percent Shortage
Range
1 Up to 10% 1 Up to 20%
2 Up to 20% 1 Up to 20%
3 Up to 30% 2 20% to 30%
4 Up to 40% 3 30% to 40%
5 Up to 50% 4 >40%
6 >50% 4 >40%
NOTES:

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Table 8.2 Submittal Table 8-2 Retail: Supply Augmentation and Other Actions Submittal Table 8-2 Retail: Supply Augmentation and Other Actions Water Code Section 10632(a)(4)(A),(C) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Supply Augmentation Methods and
Other Actions by Water Supplier
Drop down list
These are the only categories that will be
accepted by the WUEdata online submittal tool
How much is this going to
reduce the shortage gap?
Additional Explanation or Reference
(OPTIONAL) Volume or
Percentage
Drop down
Shortage Gap
Reduction Value
(May be a range)
(AF)
Add additional rows as needed
1 through 6 Other Purchases Percentage 0 - 100% Additional imported water purchases through MWDOC
1 through 6 Other Purchases Percentage 0 - 100% Additional groundwater pumping in the Orange County Groundwater Basin
DWR NOTES: Units of measure (AF, CCF, MG) must remain consistent throughout the UWMP as reported in Submittal Table 2-3.

NOTES: Additional imported water purchases and groundwater pumping may be subject to rate penalties from MWDOC and OCWD, respectively.

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Table 8.3 Submittal Table 8-3 Retail: Demand Reduction Actions Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will
be accepted by the WUEdata online
submittal tool. Select those that apply.

Watering or irrigating of any lawn, landscape, or other vegetated area with potable water is prohibited between the hours of 10:00 a.m. and 4:00 p.m. Pacific Standard Time, except by use of a hand-held bucket or similar container, or a hand-held hose equipped with an automatic closing water shut-off nozzle or device, or if watering or irrigating for very short periods of time for the express purpose of adjusting or repairing a landscape irrigation system.

Yes
Year Round Landscape - Other landscape
restriction or prohibition
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Watering or irrigating of any lawn, landscape, or other vegetated area with potable water using a landscape irrigation system or a watering device that is not continuously attended is limited to no more than 15 minutes of watering per day, per station. This subsection does not apply to low flow drip type irrigation systems and weather based controllers or stream rotor and other high efficiency sprinklers as identified by the regional water supplier.

Yes
Year Round Landscape - Restrict or prohibit
runoff from landscape irrigation
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
Year Round Other - Prohibit use of potable
water for washing hard surfaces
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Washing down hard or paved surfaces is prohibited except when necessary to alleviate safety or sanitary hazards, and then only by use of a hand-held bucket or similar container, a hand-held hose equipped with a positive self-closing water shut-off nozzle or device or a low-volume, high-pressure cleaning machine equipped to recycle any water used.

Yes
Year Round Other - Customers must repair
leaks, breaks, and malfunctions
in a timely manner
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Must be fixed within ten days upon notice otherwise water service will be discontinued pending such repairs. Yes Year Round Water Features - Restrict water
use for decorative water
features, such as fountains
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Decorative features that require the use of water are required to re-circulate water. Yes Year Round Other - Prohibit vehicle washing
except at facilities using recycled
or recirculating water
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Using potable water to wash or clean a vehicle is prohibited, except by use of a hand-held bucket or similar container or a handheld hose equipped with an automatic closing water shut-off nozzle or device. This restriction does not apply to any commercial car washing facility.

Yes
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Year Round CII - Restaurants may only serve
water upon request
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
Year Round CII - Lodging establishment must
offer opt out of linen service
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes

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Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will
be accepted by the WUEdata online
submittal tool. Select those that apply.

No installation of single pass cooling systems. Yes
Year Round Other On-going Long-Term Conservation Savings Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Re-circulating water systems are required in commercial car wash and laundry systems. Yes Year Round CII - Commercial kitchens
required to use pre-rinse spray
valves
On-going Long-Term Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
1 Landscape - Limit landscape
irrigation to specific days
Percentage 10% Lawn watering and landscape irrigation, including construction meter irrigation, shall be limited to three days per week on a schedule to be established and posted by the City except by use of a hand-held bucket or similar container, or a hand-held hose equipped with an automatic closing water shut-off nozzle or device, or if watering or irrigating for very short periods of time for the express purpose of adjusting or repairing a landscape irrigation system.

Yes
1 Expand Public Information
Campaign
Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 1 Other - Customers must repair
leaks, breaks, and malfunctions
in a timely manner
Percentage 2% All malfunctions must be repaired within 3 days of notification by the City unless other arrangements are made with the City. Yes 1 Other Percentage 5% The City may implement other reasonable water use prohibitions. Yes 2 Landscape - Limit landscape
irrigation to specific days
Percentage 10% Lawn watering and landscape irrigation, including construction meter irrigation, shall be limited to two days per week on a schedule to be established and posted by the City except by use of a hand-held bucket or similar container, or a hand-held hose equipped with an automatic closing water shut-off nozzle or device, or if watering or irrigating for very short periods of time for the express purpose of adjusting or repairing a landscape irrigation system. All sprinkler irrigation is prohibited between the hours of 9:00 a.m. and 6:00 p.m.

Yes
2 Landscape - Prohibit certain
types of landscape irrigation
Percentage 2% Commercial nurseries' irrigation shall be prohibited between the hours of 9:00 a.m. and 6:00 p.m. and shall be required to curtail all nonessential water use.

Yes

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Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will
be accepted by the WUEdata online
submittal tool. Select those that apply.

How much is this going to reduce the shortage gap?
Additional Explanation or Reference
(OPTIONAL)
Penalty, Charge, or
Other Enforcement?
For Retail
Suppliers Only
Drop Down List
Volume or Percentage
Drop down
Shortage Gap Reduction Value
(May be a range)
(AF)
Add additional rows as needed
2 Other - Customers must repair
leaks, breaks, and malfunctions
in a timely manner
Percentage 2% All malfunctions must be repaired within 2 days of notification by the City unless other arrangements are made with the City. Yes 2 Expand Public Information
Campaign
Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 3 Landscape - Prohibit all
landscape irrigation
Percentage 10% All irrigation is prohibited except as approved by the City. Yes 3 Other - Prohibit vehicle washing
except at facilities using recycled
or recirculating water
Percentage 1% Washing of autos, trucks, trailers, boats, and other types of mobile equipment is prohibited. Washing is permitted at any time on the immediate premises of a commercial car wash that uses partially reclaimed or recycled water. Further, the City Manager or his or her designated representative may exempt from this subsection any vehicle washing upon determining that the health, safety, and welfare of the public is contingent upon frequent vehicle cleaning of vehicles such as garbage trucks and vehicles used to transport food and perishables. The use of water by all types of commercial car washes shall be reduced in volume by 25 percent.

Yes
3 Other water feature or swimming
pool restriction
Percentage 1% Initial filling and refilling of over two feet of water in swimming pools and outdoor spaces is prohibited. Yes 3 Other water feature or swimming
pool restriction
Percentage 1% Initial filling or refilling of any outdoor water feature or pond is prohibited. Yes 3 Other Percentage 1% New construction meters or permits for unmetered service will not be issued. Yes 3 Other - Prohibit use of potable
water for construction and dust
control
Percentage 1% - Yes
3 Other - Customers must repair
leaks, breaks, and malfunctions
in a timely manner
Percentage 2% All malfunctions must be repaired within 1 day of notification by the City unless other arrangements are made with the City. Yes 3 Other Percentage 2% No new potable water service shall be provided, no new temporary or permanent water meters shall be provided, and no statements of immediate ability to serve or provide potable water service shall be issued, except under the following circumstances:
a valid, unexpired building permit has been issued for the project, the project is necessary to protect the public health, safety or welfare of the public, or the applicant provides substantial evidence of an enforceable commitment that water demands for the project will be offset prior to the provision of a new water meters to the satisfaction of the City.

Yes
3 Expand Public Information
Campaign
Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 4 Other - Prohibit vehicle washing
except at facilities using recycled
or recirculating water
Percentage 2% Washing of autos, trucks, trailers, boats, and other types of mobile equipment is prohibited. Washing is permitted at any time on the immediate premises of a commercial car wash which uses partially reclaimed or recycled water. Further, the City Manager or his or her designated representative may exempt from this subsection any vehicle washing upon determining that the health, safety, and welfare of the public is contingent upon frequent vehicle cleaning of the vehicles such as garbage trucks and vehicles used to transport food and perishables. The use of water by all types of commercial car washes shall be reduced in volume by 50 percent.

Yes
4 Other Percentage 15% The use of water for commercial, manufacturing, or processing purposes shall be reduced in volume by 50 percent. Yes

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Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will
be accepted by the WUEdata online
submittal tool. Select those that apply.

NOTES: Note 1: NFT irrigation requirements begin January 1, 2027 for State and local government properties, January 1, 2028 for commercial, industrial, and institutional owned landscapes, January 1, 2029 for homeowners' associations common area landscapes, and January 1, 2031 for local government properties in disadvantaged communities (DAC).

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CHAPTER 9 DEMAND MANAGEMENT MEASURES
Over the past several decades, water use efficiency and conservation have evolved from voluntary best practices into core regulatory requirements shaping urban water management throughout California and Orange County. In response to recurring droughts, growing urban demand, and increasing competition for limited water supplies, the California Urban Water Conservation Council (CUWCC) was formed in 1991 to promote statewide cooperation on urban water conservation. Through the development and implementation of the CUWCC Best Management Practices, water agencies established a consistent, voluntary framework for improving efficiency through locally tailored programs. This early foundation was later strengthened by legislative actions, most notably Senate Bill (SB) X7-7, the Water Conservation Act of 2009, which set enforceable urban water use reduction targets to cut per capita use by 20 percent by 2020 and required retail water suppliers to actively manage demand as part of long-term water planning. All Orange County water agencies came together to create the Orange County 20x2020 Regional Alliance and met compliance as a region. The City of La Palma (City) also met compliance individually. These efforts reflected a growing recognition that efficient water use is essential to ensuring reliability amid population growth, limited supplies, and increasing climate variability.

Recurring drought conditions have further accelerated the pace and scale of conservation efforts in the last decade. The 2013–2014 drought prompted a statewide emergency response, culminating in an executive order mandating a 25 percent reduction in urban water use across California. All Orange County Water Agencies, including the City, met this reduction target as reported in Chapter 5 of this 2025 Urban Water Management Plan (UWMP). More recently, the 2021–2022 drought reinforced the need for sustained efficiency gains and durable demand management strategies beyond temporary emergency actions. These regulatory and hydrologic drivers ultimately led to the passing and adoption of SB 606 and Assembly Bill (AB) 1668, the "Making Conservation a California Way of Life" legislation (passed in 2018 and adopted in 2024). The legislation establishes long-term water use objectives for individual water suppliers and reinforces conservation as a permanent element of water management. Together, these milestones underscore the necessity for the Municipal Water District of Orange County (MWDOC) and the City to implement comprehensive demand management measures and meet established urban water use reduction targets to ensure regional water supply resilience.

The goal of the Demand Management Measures (DMM) chapter is to provide a comprehensive description of the water use efficiency programs that the City has implemented in the most recent five years, is currently implementing, and plans to implement to meet its urban water use reduction targets.

Per the "Making California a Conservation Way of Life" Framework (Conservation Framework), each Urban Water Supplier is required to calculate and report their Urban Water Use Objective (UWUO) and to stay within their calculated annual water budget. The UWUO is an aggregate efficient water use of:
 Indoor Residential Use (population x gallons per capita per day (gpcd) standard).  Outdoor Residential Use (measurements of irrigated/irrigable area, local weather data, and a landscape efficiency factor).
 Outdoor Use with Dedicated Irrigation Meters (measurements of irrigated area, local weather data, and a landscape efficiency factor).
 Distribution System Water Losses.

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 Approved Variances.
 Potable Reuse Bonus.

Additionally, the Conservation Framework includes commercial, industrial, and institutional (CII) non-volumetric Performance Measures, including CII customer account classifications, thresholds for converting CII mixed-use meters (MUMs) irrigating over half an acre of landscape to dedicated irrigation meters (DIMs) or in lieu technologies, CII best management practices (BMPs), and identification of and information sharing with disclosable buildings.

One of the City's top priorities since the adoption of the "Making California a Conservation Way of Life" Framework has been to make progress toward compliance with the Conservation Framework. This chapter will describe the City's DMM activities, including those administered by its wholesaler and supplemental programs administered locally at the retail-level.

9.1 City of La Palma Demand Management Measures
This section describes the specific Demand Management Measures (DMMs) performed by the City, including DMMs offered in partnership with MWDOC, its wholesale supplier, to encourage water conservation within their service area. Table 9.1 summarizes DMM implementation by the City as well as the responsibilities of MWDOC.

Table 9.1 DMM Implementation Responsibility and Regional Programs in Orange County Efficiency Measure
Responsibility of: MWDOC Regional
Program and
Activities Retailer MWDOC as a
Wholesaler
Operations Practices
Wholesale Agency Assistance Programs -  
Conservation Pricing   
Conservation Coordinator   
Water Waste Prevention  - 
Water Loss Control
(System Water Audits, Leak Detection and Repair)
 (1) 
Metering with Commodity Rates  (1) (1)
Education and Outreach
Public Outreach Programs   
K-20 Water Education Initiatives and K-12 School Programs    OC Scouts Boy Scouts of America (BSA) and OC Girl Scouts Programs    Water Awareness Poster Contest   
Water Energy Education Alliance   
Qualified Water Efficient Landscaper (QWEL) Training Program    Residential Indoor Implementation
Residential Indoor Rebates  - 
Flow Monitor Device Rebates  - 

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Efficiency Measure
Responsibility of: MWDOC Regional
Program and
Activities Retailer MWDOC as a
Wholesaler
Commercial, Industrial, and Institutional Implementation Water Savings Incentive Program  - 
On-site Retrofit Program  - 
CII Indoor Rebates
(High Efficiency Toilets and Urinals, Plumbing Flow Control Valves, Connectionless Food Steamers, Air-cooled Ice Machines, Food Defrosters, Cooling Tower Conductivity Controllers and pH Controllers, Dry Vacuum Pumps, Laminar Flow Restrictors)
 - 
Landscape Programs
Turf Replacement Program (including Tree Rebate)  - 
Spray-to-Drip Irrigation Rebate Program  - 
Landscape Rebates
(Smart Timers, High Efficiency Sprinkler Nozzles, Large Rotary Nozzles, In-stem Flow Regulators)
 - 
Residential Landscape Design Assistance Program  - 
Notes:
(1) MWDOC does not own or operate a distribution system; water wholesaled by MWDOC is delivered through the Metropolitan Water District of Southern California (MET) distribution system and meters.

9.1.1 Operations Practices

9.1.1.1 Wholesale Agency Assistance Programs
MWDOC's Assistance Programs are described in Section 9.3.

9.1.1.2 Conservation Pricing
The entirety of the City is metered, and this method is used to determine consumption per connection.

Consumption is measured in terms of volume (cubic feet), and the City bills residential and commercial water customers on a bi-monthly basis. As of 2026, the City employs a rate structure that includes a bimonthly water service charge of $62.10 and a $3.99 charge per hundred cubic feet. The City periodically adjusts the water rates in order to reflect increases in operating cost, groundwater production cost, and purchased water cost. By transferring the increases in the cost of water production and operations to the customer, the rate increases inherently result in water conservation measures being implemented practiced more aggressively by the water customer to avoid higher billing.

9.1.1.3 Conservation Coordinator
The City's Public Works Manager and Water Supervisor is responsible for overseeing water conservation efforts. Through its staff, operators, and inspectors, the City maintains its water conservation program and implements the DMMs. The City's water conservation program is currently being funded from the existing operations fund, and no special funding is currently planned.

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9.1.1.4 Water Waste Prevention Ordinances
The City Council approved an Ordinance Amending Chapter 42, Article VII of the Municipal Code to address the ongoing drought in California on September 2, 2014, and held a public hearing to amend it on August 18, 2015 in response to the City's declaration of a Stage 2 Water Alert on May 5, 2015.

Permanent water conservation requirements and prohibition against waste, effective at all times and not dependent upon a water shortage for implementation, include the following:
 Watering hours.
 Watering duration.
 No excessive water flow or runoff.
 No washing down hard or paved surfaces.
 Obligation to fix leaks, breaks, or malfunctions.
 Recirculating water required for water fountains and decorative water features.  Washing vehicles.
 Drinking water served upon request only.
 Laundering in commercial lodging establishments.
 No installation of single pass cooling systems.
 Re-circulating water systems required in commercial car wash and laundry systems.  Restaurants are required to use water conserving dish wash spray valves.

In the event of a water supply shortage, the ordinance further establishes three levels of water supply shortage response actions to be implemented during times of declared water shortage or declared water shortage emergency, with increasing restrictions on water use in response to worsening drought or emergency conditions and decreasing supplies. The provisions and water conservation measures to be implemented in response to each shortage level are described in the City's Water Shortage Contingency Plan (WSCP).

The City's Water Conservation Ordinance was updated in 2012 to include recommended water waste prohibitions, and a Stage One Water Watch was declared to encourage conservation. Letters were mailed out to all water customers and water bill inserts were created to advertise the new restrictions.

Additionally, handouts were made available to front counter and field personnel to give to customers. In 2013 the City completed an Advanced Metering Infrastructure (AMI) project that included replacement of all residential meters. The new AMI system would allow for more accurate tracking of water usage for the City's customers and aid in identifying customer leaks.

In 2014, the City modified the Water Conservation Ordinance to include the new water restrictions as established by the State Water Boards in response to the Governor's Drought Emergency Declaration. In 2015, the City declared a Stage Two Water Alert and enacted mandatory restrictions on outdoor watering.

Notification to the public was made via posted notices in public areas, letters mailed to water customers, water bill inserts, and notifications posted on the City website and social media accounts. Water Division staff began an education program for residents and businesses. Several different flyers and handouts were created to target outdoor watering, excessive runoff, pool covers, landscaping and rebates. Water Division staff conducted site visits to businesses and multi-family residential buildings to educate and advise property managers of the new regulations.

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In July of 2015, in response to the mandatory water conservation regulations enacted by the Water Board, the Water Division began transitioning from education to enforcement. Water Division staff began conducting neighborhood surveys to enforce watering restrictions and using the City's AMI system to locate excessive water users and customers that violated the watering schedules. Notices of Violation were issued to customers that were unresponsive with penalties applied at the second Notice of Violation.

Initially, water waste complaints increased but have declined as compliance with the new restrictions increased.

9.1.1.5 Water Loss Control
SB 555 signed into law in 2015 requires urban water suppliers to submit annual, validated water loss audit reports to the California Department of Water Resources (DWR). Water auditing is the basis for effective water loss control. DWR's UWMP Guidebook includes a water audit manual intended to help water utilities complete the AWWA Water Audit on an annual basis. Audits must be validated by a certified water auditor to ensure accuracy.

Leak detection is done on an informal basis based on visual reports from meter readers, field crew personnel, and the public. The City will immediately repair any leak in the distribution system after the leak is made known to or is discovered by the City water staff.

Valve Exercise Program - In FY 2009/2010, the City also started implementing a valve-exercising program which will ensure that every valve is exercised once every two years. This will serve to maintain proactive control of the system and will identify broken or malfunctioning valves. City crews will then schedule valves for replacement. This practice is still in effect as of 2026.

Leak Detection and Repair Program - The City has a program which advises customers whenever it appears that leaks exist on the customer's side of the meter. All meters 2 inches or smaller are repaired or replaced upon the first report of malfunction. Meters that are 3 inches or larger are tested and repaired (if necessary) every two years. Production meters located at each well site will be inspected, tested, and repaired annually as needed. The City is working with MWDOC to conduct a leak detection survey.

9.1.1.6 Metering
In 1955, the recently incorporated City required that all new subdivisions dedicate their water facilities to the City. The City since then has made numerous improvements and modifications to the water system, requiring a meter for all water connections to the City water supply.

The City is now fully metered for all customer sectors, including separate meters for single-family residential, commercial, large landscapes, and all institutional/governmental facilities. The City also requires dedicated irrigation meters for all multi residential, commercial, and industrial properties. During water shortages, this will help develop equitable rationing allocations for non-residential customers with both interior and landscape uses.

All residential meters were replaced in 2013 as a part of the City's AMI project with an expected 20-year service life. The City plans on doing periodic testing of random residential meters to ensure accuracy.

Commercial and multi-family residential meters are tested every one to three years depending on location and are repaired or replaced as needed. In 2021, the City started a program to systematically replace commercial meters over the next four years at a rate of approximately 20-25 meters per year. In addition, the City has replaced 40 meters for large multifamily units since 2016.

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9.1.2 Public Education and Outreach
The City implements several public education and outreach measures, including the programs administered by MWDOC, its wholesale supplier. The City develops, coordinates, and delivers a substantial amount of public information, education, and outreach programs aimed at elevating water agency and consumer awareness and understanding of current water issues as well as efficient water use and water-saving practices, sound policy, and water reliability investments that are in the best interest of the region. These efforts encourage good water stewardship that benefits all of the City's residents, businesses, and industries across all demographics. An outline of the City's public education initiatives is below.

9.1.2.1 K-20 Water Education Initiatives and K-12 School Programs Over the past several years, MWDOC's investment in K-20 water education has significantly grown, evolving to include programs and activities that support environmental literacy for all Orange County students. The effort has expanded beyond K-12 water education programs to include career and workforce development initiatives in higher education through the Water Energy Education Alliance (WEEA) described in more detail in Section 9.1.2.4.

MWDOC's K-12 Water Education School Programs bring standards-aligned, engaging water lessons directly into classrooms and connect water to every part of students' lives. All elementary, middle, and high school programs meet California State Standards and Next Generation Science Standards, providing students with high-quality, relevant learning experiences that build both academic and real-world understanding. This includes a Grab-and-Go Water Activities program, developed in partnership with the Orange County Department of Education, that provides free, self-guided water activities for K-12 teachers, parents, and students.

9.1.2.2 OC Scouts Boy Scouts of America and OC Girl Scouts Programs The City, in partnership with MWDOC, hosts multiple water education workshops each year to help OC Scouts Boy Scouts of America (BSA) earn the Soil & Water Conservation Merit Badge and Girl Scouts earn the MWDOC Water Resources & Conservation Patch. These hands-on science, technology, engineering, and mathematics (STEM) clinics teach children of all ages where their water comes from, how to use water more efficiently, and how all life depends on the health and security of our natural resources, fostering water awareness and responsibility through fun, activity-based learning.

9.1.2.3 Water Awareness Poster Contest
The City participates in MWDOC's annual Water Awareness Poster Contest, offered for students in grades K-12. The Poster Contest presents children with an opportunity to use their artistic talents to express the importance and value of water through artwork. Each year, hundreds of entries are collected from students and classrooms across the county, and from these entries, 40 winners are selected.

9.1.2.4 Water Energy Education Alliance
The Water Energy Education Alliance (WEEA) unites over 260 water, energy, and education leaders across the state to build and strengthen career pathways for all California students. Administered and led by the MWDOC, WEEA is comprised of a powerful statewide coalition of education leaders, workforce advocates,

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and industry experts to raise student awareness, forge strong partnerships, and cultivate a diverse, highly skilled talent pipeline. By connecting students with high-impact opportunities, WEEA is shaping a workforce that fuels industry success, enhances worker well-being, and ensures a resilient, thriving California.

9.1.2.5 Qualified Water Efficient Landscaper Training Program Since 2018, MWDOC along with the City, has offered free Qualified Water Efficient Landscaper (QWEL) certification classes designed for landscape professionals. Classes are open to any city staff, professional landscaper, water district employee, or maintenance personnel that would like to become a Qualified Water Efficient Landscaper. The QWEL certification program provides 20 hours of instruction on water efficient areas of expertise such as local water supply, sustainable landscaping, soil types, irrigation systems, and maintenance, as well as irrigation controller scheduling and programing. QWEL has received recognition from US Environmental Protection Agency (EPA) WaterSense for continued promotion of water use efficiency. To earn the QWEL certification, class participants must demonstrate their ability to perform an irrigation audit as well as pass the QWEL exam. Successful graduates will be listed as a Certified Professional on the WaterSense website as well as on MWDOC's landscape resources page, to encourage Turf Removal participants or those making any landscape improvements to hire a QWEL certified professional.

Started in December 2020, a hybrid version of QWEL is available in conjunction with the California Landscape Contractors Association's Water Management Certification Program. This joint effort allows landscape industry an opportunity to obtain two nationally recognized EPA WaterSense Professional Certifications with one course and one written test. This option is offered through MET.

9.1.3 Residential Indoor Rebate Programs
The City partners with MWDOC to implement residential measures that target indoor water use efficiency for single family and multifamily residential customers.

9.1.3.1 High Efficiency Clothes Washer and Toilet Rebate Programs The High Efficiency Clothes Washer (HECW) Rebate Program provides residential customers with rebates starting at $85 for purchasing and installing HECWs that use 35 to 50 percent less water than standard washer models. Devices must meet or exceed the Consortium for Energy Efficiency (CEE) Tier 1 Standard, and a listing of qualified products can be found at ocwatersmart.com. There is a maximum of one rebate per home.

The Premium High Efficiency Toilet (HET) Rebate Program offers residential customers rebates starting at $40 for replacing their toilets using 1.6 gallons per flush (gpf) with Premium HETs. Premium HETs use just

1.1 gallons of water or less per flush, which is 20 percent less water than WaterSense standard toilets.

9.1.3.2 Flow Monitor Device Pilot
This pilot program provides rebates starting at $100, or more in select areas, per flow monitor device installed. These devices monitor a home's water use and can help detect leaks, making them a proactive tool for preventing expensive water bills and water damage due to unforeseen leaks. A list of residential rebate-eligible flow monitoring devices is provided.

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9.1.4 CII Programs
The City provides a variety of financial incentives, in partnership with MWDOC, to help businesses, restaurants, institutions, hotels, hospitals, industrial facilities, and public sector sites achieve their efficiency goals. Water users in these sectors have options to choose from a standardized list of water efficient equipment/devices or may complete customized projects through a pay-for-performance where the incentive is proportional to the amount of water saved. Such projects include high efficiency commercial equipment installation and manufacturing process improvements.

9.1.4.1 Water Savings Incentive Program
The Water Savings Incentive Program (WSIP) is designed for non-residential customers to improve their water efficiency through upgraded equipment or services that do not qualify for standard rebates. WSIP is unique because it provides an incentive based on the actual amount of water saved by the customers.

This "pay-for-performance" design lets customers implement custom projects for their sites. The City partners with MWDOC and MET to offer this program.

Projects must save at least 10 million gallons (MG) of water to qualify for the Program and incentives are paid by MET based on the amount of water saved. Payment amount is up to $0.60 per 1,000 gallons saved per year over the project life, up to a maximum of 10 years. Payments are limited to 50 percent of the eligible project costs while funding is available. Additional funding may be available through MWDOC, but it is limited. Examples of successful projects include but are not limited to changing industrial process system water to capture and reuse process wastewater; capturing condensation, and using it to supplement cooling tower water supply; and replacing water-using equipment with more efficient products.

9.1.4.2 Recycled Water On-site Retrofit Program
Through the Recycled Water On-site Retrofit Program, the City in partnership with MWDOC and MET, offers incentives for CII properties to convert potable water irrigation or industrial systems to recycled water. Financial incentives of up to $1,950 per acre-foot (AF) of potable water saved are available for the customer-side on the meter retrofits. Projects may also be eligible for up to an additional $325 per AF of annual water savings from MWDOC. Recycled water conversion projects can help to ensure a more reliable water future for Orange County.

9.1.4.3 CII Rebates
The City offers additional financial incentives under the SoCal Water$mart Rebate Program which offers rebates for various water efficient devices to CII customers. Core funding is provided by MET and supplemental funding is sourced from MWDOC via grant funds and/or retail water agencies. Devices include High Efficiency Toilets and Urinals, Plumbing Flow Control Valves, Connectionless Food Steamers, Air-cooled Ice Machines, Food Defrosters, Cooling Tower Conductivity Controllers and pH Controllers, Dry Vacuum Pumps, and Laminar Flow Restrictors.

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9.1.5 Landscape Programs
Some of the most active and effective water use efficiency programs the City provides are those that target the reduction of outdoor water use. With a large proportion of water consumed outdoors via landscape demands, this sector has been and will continue to be a focus for MWDOC and the City.

9.1.5.1 Turf Replacement Program
The Orange County Turf Replacement Program offers incentives to replace existing turf grass with California-native, drought-tolerant plants and landscaping. Residential, commercial, and public properties in the City's service area are all eligible for this program. The goals of this program are to increase water use efficiency through sustainable landscaping practices that result in multi-benefit projects across Orange County. Participants are encouraged to utilize smart irrigation timers and furthermore, projects are required to include a stormwater capture feature, such as a rain garden or dry stream bed, and have a minimum of three plants per 100 square feet to increase plant density and promote healthy soils. These projects save water and reduce dry and wet weather runoff, increase urban biomass, and sequester more carbon than turf landscapes.

Additionally, MWDOC is piloting a tree program that allows eligible trees to qualify as a sustainability feature in Turf Replacement projects. Beginning March 4, 2024, Turf Replacement Program participants became eligible for an additional incentive for planting trees as part of their Turf Replacement project.

Participants can receive up to $100 per tree, for up to 5 trees ($500), in addition to the Turf Replacement rebate. The pilot goals include increasing the presence of trees in Turf Replacement projects and breaking down barriers to participation. It is anticipated that the pilot will be evaluated in 2026.

9.1.5.2 Spray-to-Drip Rebate Program
The Spray to Drip Rebate Program offers residential, commercial, and public agency customers rebates for converting areas irrigated by traditional high-precipitation rate spray heads to low-precipitation rate drip irrigation. Drip irrigation systems are extremely water efficient. Rather than spraying wide areas subject to wind drift, overspray and runoff, drip systems use point emitters to deliver water to specific locations at or near plant root zones. Water drips slowly from the emitters either onto the soil surface or below ground.

As a result, less water is lost to wind, evaporation, and overspray, saving water, and reducing irrigation runoff and non-point source pollution. The City partners with MWDOC to provide $1 per square foot of conversion area when replaced with eligible drip irrigation products.

9.1.5.3 SoCal Water$mart Rebate Program for Landscape
The City also offers financial incentives under the SoCal Water$mart Rebate Program for a variety of water efficient landscape devices, such as Smart Irrigation Timers and Central Computer Irrigation Controllers, large rotary nozzles and rotating sprinkler nozzles, soil moisture sensors, irrigation master valves, and in-stem flow regulators.

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9.1.5.4 Landscape Design Assistance Rebate
This program is offered for residential customers who are participating in the turf replacement program and are seeking professional design services. Participants must hire a landscape design professional to provide a design that meets the rebate eligible design requirements. Participants will receive up to $1,000 upon completion of their turf replacement project if they have used a professional designer.

9.2 City of La Palma DMM Implementation (2020-2025)
During the past five years, FY 2020-21 to 2024-25, the City, with the assistance of MWDOC, has continued water use efficiency programs for its residential, CII, and landscape customers with the participation shown in Table 9.2. The City will continue to implement all applicable programs in the next five years.

Table 9.2 City of La Palma Water Use Efficiency Program Participation Program FY 20/21 FY 21/22 FY 22/23 FY 23/24 FY 24/25
High Efficiency Clothes Washer (HECW) 7 10 3 11 6
High Efficiency Toilets (HETs) 0 0 0 3 1
Flow Monitoring Devices (FMD) -- 0 0 0 0
Commercial Plumbing Fixtures (CII) 0 0 0 0 113
Water Savings Incentives Projects (WSIP) 0 0 0 0 0
Turf Replacement (Residential) 0 0 0 0 0
Turf Replacement (Commercial) 0 0 0 0 0
Landscape Design Rebate Program (LDAP) 0 0 0 0 0
Landscape Design Rebate Program (LMAP) 0 0 0 0 0
Spray-to-Drip (Residential) 0 0 0 0 0
Spray-to-Drip (Commercial) 0 0 0 0 0
Rotating Nozzles (Small Residential) 0 0 15 18 0
Rotating Nozzles (Small Commercial) 0 0 0 0 0
Rotating Nozzles (Large Commercial) 0 0 0 0 0
Smart Timers (Residential) 14 6 5 8 3
Smart Timers (Commercial) 0 0 0 0 0
Rain Barrels 0 2 0 2 0
Recycled Water Onsite Retrofits 0 0 0 0 0

9.3 MWDOC Demand Management Implementation Assistance
Programs
To help facilitate implementation of DMMs throughout Orange County, MWDOC's wholesale efforts focus on the following three areas: (1) State Water Conservation Compliance Assistance (e.g., Conservation Framework and Non-Functional Turf); (2) Regional Rebate Programs and Local Program Assistance; and (3) Research and Evaluation. This both complies with and goes beyond the Foundational BMPs of Utility Operations Programs requirements.

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9.3.1 State Water Conservation Compliance Assistance
To support Orange County retailers with compliance of SB 606 and AB 1668, MWDOC is providing multi-level support to assist agencies in meeting the primary goals of the legislation, including to use water more wisely and to eliminate water waste. Beginning in 2023, urban water suppliers were required to calculate and report their annual UWUO, submit validated water audits annually, and implement and report BMP CII performance measures.

MWDOC offers Orange County water suppliers a "Conservation Framework Technical Assistance Program (TAP)" and "Meter Area Measurements Program" to assist them with compliance with the Conservation Framework.

9.3.1.1 Conservation Framework Technical Assistance Program This program provides Orange County water suppliers with support on tasks that are required as part of the Conservation Framework. An agency may opt in to receive support with any of the following:
 Readiness Assessment - perform a retailer-specific readiness assessment, including task recommendations and pricing to help retail agencies understand what areas need to be addressed.  Conservation Framework Compliance Plan - create a customized Framework Compliance Plan that outlines (1) what the retailer needs to do to prepare for compliance and (2) what needs to be implemented to achieve the water savings necessary to comply with the Urban Water Use Objective.  Annual Report Compilation and Data Management - support the retailer with Annual Report preparation and assistance; and organize and manage data needed to comply with the reporting requirements of the Regulation.
 CII Account Classification - classify CII customer accounts according to the Regulation requirements and create a guidance plan to keep classifications at 95 percent (or higher).  CII Best Management Practices (BMPs) and In-Lieu Technologies Implementation Plan - create a customized implementation plan mapping compliance with the Conservation Framework regulation, including the CII BMP requirements of §974, the in-lieu technologies and accompanying BMP requirements in §973, and disclosable buildings requirements in §974a.  Miscellaneous Framework Technical Assistance – various activities such as:
» Development of metrics and annual targets to demonstrate progress. » Additional training or technical support.
» Workshop or webinar facilitation to spur cross-team collaborations. » Develop outreach and engagement plans and implement meetings to support engagement of internal and external collaborators.

9.3.1.2 Meter Area Measurements Program
The Program assists Orange County water supplier in providing: (1) landscape area measurements (LAM) associated with dedicated irrigation meters (DIMs), which may include the creation of water efficiency budgets for dedicated landscape meter customers; (2) identification of mixed-use CII meters (MUMs) irrigating landscapes greater than half acre and subject to the regulation; and (3) reconciliation of DIM and residential LAMs where areas may overlap.

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9.3.2 Regional Rebate Programs and Local Program Assistance MWDOC develops, obtains funding for, and implements regional water savings rebate programs on behalf of all retail water agencies in Orange County, such as the Turf Replacement Program. This approach minimizes confusion for consumers by providing the same programs with the same participation guidelines, maintains a consistent message to the public to use water efficiently, and provides support to retail water agencies by acting as program administrators for the region. As a leader of water efficiency in Orange County, MWDOC provides a holistic suite of programs that are accessible to all consumer groups in the region. When requested, MWDOC also assists retail agencies in developing and implementing local programs within their service areas. This assistance includes collaboration with each retail agency to design a program that fits that agency's local needs, including providing staffing, targeting customer classes, acquiring grant funding from a variety of sources, and implementing, marketing, reporting, and evaluating the program.

On behalf of its member agencies, MWDOC also organizes and provides the following:
 Monthly coordinator meetings.
 Marketing materials.
 Public speaking.
 Community events.

9.3.3 Research and Evaluation
An essential part of MWDOC's regional water use efficiency program is the ongoing research and evaluation of both existing and potential initiatives. Research allows an agency to measure the water savings benefits of a specific program and compare those benefits to the costs of implementing the program. This allows the agency to evaluate the economic feasibility of the program when compared to other efficiency projects or existing or potential sources of supply, before investing in new initiatives or continuing to implement existing programs. MWDOC routinely conducts statistical water savings (impact) evaluations and process evaluations to guide strategic investment and ensure the effective management of its regional water use efficiency programs.

From 2021 to 2025, MWDOC conducted several research initiatives to support informed decision-making.

In partnership with Flume Data Labs, MWDOC completed its Residential End Use Study in 2021, with subsequent updates in 2022 and 2024. This study provided detailed insights into disaggregated residential indoor and outdoor water use, significantly enhancing the understanding of water use patterns across Orange County. In 2023, MWDOC released its Potential and Opportunities study, which quantified the remaining water savings potential in the Orange County residential market, identified the most promising and cost-effective methods for reducing residential demand, and made recommendations on how best to direct financial and technical assistance to Retail Agencies and consumers for implementing residential water efficiency upgrades.

To assess the economic impact of the Conservation Framework, MWDOC worked with M.Cubed and in 2023 published the Draft Water Use Efficiency Standards Economic Analysis: Impact Assessment of State-Mandated Urban Water Use Objectives. MWDOC continues to evaluate the impact of the regulation and Orange County retailer compliance.

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Additionally, MWDOC is piloting a tree program that allows eligible trees to qualify as a sustainability feature in Turf Replacement projects. Pilot goals include increasing the presence of trees in Turf Replacement projects and breaking down barriers to participation. It is anticipated that the pilot will be evaluated in 2026. A pilot research program investigating water savings associated with the replacement of broken pressure regulating valves at residential homes wrapped up in 2025. The results of this study are expected in 2027.

9.4 Urban Water Use Objective and CII Performance Measure Compliance
A large focus for the City is to implement DMMs that will help them to meet the requirements of the Conservation Framework. DMMs described in this chapter may help to support member agencies with meeting their required UWUO and achieving CII Performance Measure Compliance. In addition, MWDOC provides support to agencies to assist with the calculation of UWUOs and compliance with CII Performance measures via the Meter Area Measurement and TAP Programs, as described in Section 9.3.

9.4.1 UWUO Components
Table 9.3 describes MWDOC's programs that will assist agencies in meeting their UWUO, through both direct measures (programs/activities that result in directly quantifiable water savings) and indirect measures (programs that provide resources promoting water efficiencies to the public that are impactful but not directly measurable). Additionally, MWDOC provides technical assistance to support water suppliers with compliance.

Table 9.3 MWDOC Programs to Help OC Retail Agencies Meet their Urban Water Use Objectives UWUO
Component
Calculation Program Impact
Indoor
Residential
Population and GPCD
standard
Direct Impact:
 High efficiency indoor fixtures
and appliance rebates.

Direct Impact:
 Increased indoor residential
efficiencies and reductions of
GPCD use.

Outdoor
Residential
Irrigated/irrigable area
measurement and a
landscape efficiency
factor of local ETo and
effective precipitation
Direct Impact:
 Turf Replacement.
 High efficiency irrigation rebates.

Indirect Impact:
 Online resources such as OC
Friendly Gardens Webpage.
 Educational classes.

Direct Impact:
 Increase outdoor residential
efficiencies and reductions of
gallons per square foot of
irrigated/ irrigable area used.

Indirect Impact:
 Provide information, resources,
and education to promote
efficiencies in the landscape.

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UWUO
Component
Calculation Program Impact
Outdoor
Dedicated
Irrigation
Meters
Irrigated area
measurement and a
landscape efficiency
factor of local ETo and
effective precipitation
Technical Assistance:
 DIM landscape classification and
measurement.

Direct Impact:
 Turf Replacement.
 High efficiency irrigation
rebates.

Indirect Impact:
 OC Friendly Gardens
Webpage.
 Educational training and
resources.

Technical Assistance:
 Classification and measurement
of landscapes associated with
DIMs are required to complete
the calculation.

Direct Impact:
 Increase outdoor residential
efficiencies and reductions of
gallons per square foot of
irrigated/ irrigable area used.

Indirect Impact:
 Provide information, resources,
and education to promote
landscape efficiencies.

Water Loss Agency-specific loss
factor and number of
connections
Technical Assistance:
 Water Balance Validation.
 Customer Meter Accuracy
Testing.
 Distribution System Pressure
Surveys.

Direct Impact:
 Distribution System Leak
Detection.

Technical Assistance:
 The accuracy of the water loss
audit is validated for submission
to the State.

Direct Impact:
 Identify areas of the distribution
system that need repair,
replacement, or other actions to
limit water loss.

Bonus
Incentives
Volume of indirect
potable reuse water
applied to residential
and DIM irrigation uses;
not to exceed 15% of
UWUO
Direct Impact:
 Groundwater replenishment
system (GWRS).

Direct Impact:
 The GWRS (run by OCWD)
recharges the groundwater basin
with purified, highly treated
wastewater, allowing
OCWD-member agencies to
access indirect potable reuse.

9.4.2 CII Performance Measures
Urban water supplies are required to report BMPs for CII customers. The City, in partnership with MWDOC, offers a broad variety of programs and incentives to help CII customers implement BMPs and increase their water efficiencies (Table 9.4).

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Table 9.4 City of La Palma CII BMP and Water Efficiency Programs and Incentives Component Requirement Program Offered Impact
CII Customer
Account
Classifications
Classify each CII water user,
based on the end-use of water for
the water user, in accordance with
Energy Star Portfolio Manager's 18
broad categories, in addition to 4
other categories.

Technical Assistance:
 CII Customer Account
Classification.

Technical Assistance:
 Classify customer accounts
according to the specified
categories to comply with the
regulation.

Large Landscape
Identification
Identify all CII water users
associated with large landscapes –
landscapes irrigated with a mixeduse meter greater than half an acre
Technical Assistance:
 Large Landscape
identification.

Technical Assistance:
 Identify and map landscapes
associated with MUM
landscapes that are greater
than half an acre to comply
with the regulation.

Best Management
Practices (BMPs)
Offer CII BMPs for customers that
exceed the recommended size,
volume of water use, or another
threshold
Technical Assistance:
 BMP Implementation
Plan.

Technical Assistance:
 Provide a BMP
Implementation Plan to guide
water suppliers with a
roadmap to compliance with
the regulation.

Disclosable
Buildings
Identify disclosable buildings in
service area according to the list
provided by the California Energy
Commission
Technical Assistance:
 Disclosable buildings
list.

Technical Assistance:
 Provide the California Energy
Commission list of
disclosable buildings by water
supplier to comply with the
regulation.

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CHAPTER 10 PLAN ADOPTION, SUBMITTAL, AND

IMPLEMENTATION
The Water Code requires the Urban Water Management Plan (UWMP) to be adopted by the City of La Palma's (City) governing body. Before the adoption, the City must hold a public hearing allowing members of the public to provide input on the UWMP. Prior to the public hearing, the City must notify the public and surrounding cities, counties, and water agencies within its service area of the scheduled public hearing. Upon completion of the public hearing, the City's governing body shall vote to adopt the UWMP.

Post adoption, the City submits the UWMP to the Department of Water Resources (DWR) while also making it available for public access.

This section provides a record of the process the City followed to adopt and implement its UWMP.

10.1 Overview
Recognizing that close coordination among other relevant public agencies is key to the success of its UWMP, the City worked closely with many other entities to develop and update this planning document.

The City also encouraged public involvement through its public review and hearing process, which provided residents with an opportunity to learn and ask questions about their water supply management and reliability. Through the public hearing, the public has an opportunity to comment and put forward any suggestions for revisions of the Plan.

Table 10.1 summarizes external coordination and outreach activities carried out by the City and their corresponding dates. The UWMP checklist to confirm compliance with the Water Code is provided in Appendix A.

Table 10.1 External Coordination and Outreach
External Coordination and Outreach Date Reference
Notified city or county within supplier's service area that water supplier is preparing an updated UWMP (at least 60 days prior to public hearing) 2/19/2026 Appendix I
Public Hearing Notice 5/14/2026 &
5/21/2026
Appendix I
Held Public Hearing 6/2/2026
Adopted UWMP and WSCP 6/2/2026 Appendix J
Submitted UWMP to DWR (no later than 30 days after adoption) 7/1/2026 Submitted UWMP to the California State Library (no later than 30 days after adoption) 7/1/2026 Submitted UWMP to the cities and county within the supplier's service area (no later than 30 days after adoption)
7/1/2026
Notes:

UWMP – Urban Water Management Plan; WSCP – Water Shortage Contingency Plan This UWMP was adopted by the City Council on June 2, 2026. A copy of the adopted resolution is provided in Appendix J.

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10.2 Agency Coordination
The Water Code requires the Suppliers preparing UWMPs to notify any city or county within their service area at least 60 days prior to the public hearing. As shown in Table 10.2, the City sent a Letter of Notification to the County of Orange and the cities within its service area on February 19, 2026 to state that it was in the process of preparing an updated UWMP. This notice of preparation is included in Appendix I.

Table 10.2 Submittal Table 10-1 Retail: Notification to Cities and Counties Submittal Table 10-1 Retail: Notification to Cities and Counties Water Code Section 10621(b) and 10642
City Name 60 Day Notice
Drop Down (yes/no)
Notice of Public Hearing
Drop Down (yes/no)
Add additional rows as needed
Cerritos Yes Yes
GSWC Yes Yes
County Name
Drop Down List
60 Day Notice
Drop Down (yes/no)
Notice of Public Hearing
Drop Down (yes/no)
Add additional rows as needed
Orange County Yes Yes
NOTES:

The City's water supply planning relates to the policies, rules, and regulations of its regional and local water providers. The City is dependent on imported water from Metropolitan Water District of Southern California (MET) through Municipal Water District of Orange County (MWDOC), its regional wholesaler.

The City is also dependent on groundwater from Orange County Water District (OCWD), the agency that manages the Orange County Basin. As such, the City involved the relevant agencies in this 2025 UWMP at various levels of contribution as described below.

The City's 2025 UWMP leveraged data and regionally consistent analyses supplied by MWDOC, such as population projections from the California State University, Fullerton Center for Demographic Research, and the information quantifying water availability to meet the City's projected demands for the next 25 years, in 5-year increments. This 2025 UWMP was developed in collaboration with MWDOC's 2025 UWMP to ensure consistency between the two documents.

As a groundwater producer who relies on supplies from the OCWD-managed Orange County Basin, the City coordinated the preparation of this 2025 UWMP with OCWD. Several OCWD documents, such as the Groundwater Reliability Plan, Engineer's Report, and Basin 8-1 Alternative were used to retrieve the required relevant information, including the projections of the amount of groundwater the City is allowed to extract in the 25-year planning horizon.

The various planning documents of the key agencies that were used to develop this UWMP are listed in Chapter 2.2.1.

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10.3 Public Participation
The City encouraged community and public interest involvement in the Plan update through a public hearing and inspection of the draft document on June 2, 2026. As part of the public hearing, the City discussed adoption of the UWMP, key components of the UWMP and the conclusions that served as the basis of the UWMP. Copies of the draft 2025 UWMP were placed for public review at the City Clerk's and Utilities Department offices.

Notices of the public meeting were posted inside City Hall. Legal public notices for the meeting were published in the local newspaper and posted at City facilities. A copy of the Notice of Public Hearing is included in Appendix I.

The hearing was conducted during a regularly scheduled meeting of the City Council.

10.4 UWMP Submittal
The City Council reviewed and approved the 2025 UWMP at its June 2, 2026 meeting after the public hearing. See Appendix J for the resolution approving the Plan.

By July 1, 2026, the City's adopted 2025 UWMP was filed with DWR and sent directly to the California State Library, the cities within its service area. The submission to DWR was done electronically through the online submittal tool – WUE Data Portal. The City will make the Plan available for public review on its website no later than 30 days after filing with DWR.

10.5 Amending the Adopted UWMP or WSCP
Based on DWR's review of the UWMP, the City will make any amendments in its adopted UWMP, as required and directed by DWR and will follow each of the steps for notification, public hearing, adoption, and submittal for the amending the adopted UWMP.

If the City revises its Water Shortage Contingency Plan (WSCP) after UWMP is approved by DWR, then an electronic copy of the revised WSCP will be submitted to DWR within 30 days of its adoption.

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CHAPTER 11 REFERENCES
California Department of Water Resources (DWR). (2026, January). Final Urban Water Management Plan Guidebook 2025. https://cwc.ca.gov/-/media/DWR-Website/Web-Pages/Programs/Water-UseAnd-Efficiency/Urban-Water-Use-Efficiency/Urban-Water-Management-Plans/Final-2025-UWMPGuidebook/Final-2025-UWMP-Guidebook-Accessible.pdf Center for Demographic Research (CDR). (2025, July). Orange County Progress Report 2025 Volume 54.

City of La Palma (2021, June). 2020 Urban Water Management Plan. https://www.lapalmaca.gov/DocumentCenter/View/11000/La-Palma-2020-UWMP-FINAL-DRAFT-- 20210513?bidId=
City of La Palma. (2014, June). La Palma General Plan.
https://www.lapalmaca.gov/DocumentCenter/View/4845/Final-La-Palma-GP_Adopted-June2014?bidId= Metropolitan Water District of Southern California (MET). (2025, December). 2025 Urban Water Management Plan Draft. https://www-admin.mwdh2o.com/media/5ralzxit/public-review-draftfebruary-2026-uwmp.pdf.

Metropolitan Water District of Southern California (MET). (2020, April). 2020 Integrated Water Resources Plan – Regional Needs Assessment.
https://d1q0afiq12ywwq.cloudfront.net/media/sgvlkith/2020_irp_needs_assessment.pdf Metropolitan Water District of Southern California (MET). (2025, April). CAMP4W Climate Adaptation Master Plan for Water. https://cawaterlibrary.net/wp-content/uploads/2025/03/CAMP4W-ClimateAdaptation-Management-Plan-for-Water.pdf Municipal Water District of Orange County (MWDOC). (2023, July). Orange County Water Reliability Study. https://www.mwdoc.com/wp-content/uploads/2025/06/MWDOC_2023-OC-Water-ReliabilityStudy-Final.pdf Municipal Water District of Orange County (MWDOC), Orange County Water District (OCWD), Hazen & Sawer. (2025, December). 2025 Orange County Water Demand Projection Model Technical Memorandum. https://www.mwdoc.com/your-water/water-reliability-planning/ Orange County Water District (OCWD). (2025, February). OCWD Resilience Plan – Adaptive Strategies for Securing Abundant and Reliable Water Supplies. https://www.ocwd.com/wpcontent/uploads/OCWD-Resilience-Plan.pdf Orange County Water District (OCWD). (2025, February). Engineer’s Report on Groundwater Conditions, Water Supply and Basin Utilization in The Orange County Water District. https://www.ocwd.com/wp-content/uploads/2023-24-Engineers-Report_Final.pdf

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Orange County Water District (OCWD), City of La Habra, Irvine Ranch Water District. (2022, February).

Basin 8-1 Alternative 2022 Update. https://www.ocwd.com/wp-content/uploads/05cbasin-8-1- alternative-2022-update.pdf
Southern California Association of Governments (SCAG). (2024, April). Connect SoCal 2024. https://scag.ca.gov/sites/default/files/2024-05/23-2987-connect-socal-2024-final-complete040424.pdf

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in collaboration with and
2025 Water Shortage
Contingency Plan
FINAL DRAFT / May 2026

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2025 Water Shortage Contingency Plan
May 2026 / FINAL DRAFT
Prepared By: Prepared For:

Carollo Engineers, Inc. City of La Palma
707 Wilshire Boulevard, Suite 3920 7281 Walker Street
Los Angeles, California 90017 La Palma, California 90623 Phone: 213.489.1587 Phone: 714.690.3310
https://www.carollo.com https://www.cityoflapalma.org
In collaboration with:

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO
CITY OF LA PALMA i
pw://Carollo/CA/MWDOC/204447-000000/03 Reports and Studies/02 Deliverables/Grp1_La Palma UWMP/LaPalma_2025 WSCP.docx Contents
SECTION 1 INTRODUCTION AND WSCP OVERVIEW 1

1.1 Water Shortage Contingency Plan Requirements and Organization 1

1.2 Integration with Other Planning Efforts 2
SECTION 2 BACKGROUND INFORMATION 3

2.1 City Service Area 3

2.2 Relationship to Wholesalers 5

2.3 Relationship with Wholesaler Water Shortage Planning 6

2.3.1 MET Water Surplus and Drought Management Plan 6

2.3.2 MET Water Supply Allocation Plan 8

2.3.3 MWDOC Water Supply Allocation Plan 9
SECTION 3 WATER SHORTAGE CONTINGENCY PREPAREDNESS AND
RESPONSE PLANNING 10

3.1 Water Supply Reliability Analysis 11

3.2 Annual Water Supply and Demand Assessment Procedures 11

3.2.1 Decision-Making Process 12

3.2.2 Data and Methodologies 13

3.3 Six Standard Water Shortage Levels 17

3.4 Shortage Response Actions 17

3.4.1 Supply Augmentation 18

3.4.2 Demand Reduction 18

3.4.3 Operational Changes 18

3.4.4 Additional Mandatory Restrictions 18

3.4.5 Emergency Response Plan (Hazard Mitigation Plan) 19

3.4.6 Seismic Risk Assessment and Mitigation Plan 20

3.4.7 Shortage Response Action Effectiveness 21

3.5 Communication Protocols 21

3.6 Compliance and Enforcement 21

3.7 Legal Authorities 21

3.8 Financial Consequences of WSCP 22

3.9 Monitoring and Reporting 23

3.10 WSCP Refinement Procedures 23

3.11 Special Water Feature Distinction 24

3.12 Plan Adoption, Submittal, and Availability 24
SECTION 4 REFERENCES 24

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Appendices

APPENDIX A DWR SUBMITTAL TABLES
APPENDIX B WATER CONSERVATION AND MANAGEMENT ORDINANCE NO. 2015-03

APPENDIX C NOTICE OF PUBLIC HEARING (PENDING)

APPENDIX D ADOPTED WSCP RESOLUTION (PENDING)
Tables
Table 1 Cross Reference for Standard versus Supplier Shortage Levels 17 Table 2 Agency Contacts and Coordination Protocols 22
Figures
Figure 1 City of La Palma Service Area 4
Figure 2 Regional Location of City of La Palma and Other MWDOC Member Agencies 6 Figure 3 Resource Stages, Anticipated Actions, and Supply Declarations 7 Figure 4 AWSDA Reporting Timeline 12
Figure 5 Water Shortage Contingency Plan AWSDA Framework 13

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Abbreviations
AWSDA Annual Water Supply and Demand Assessment
BPP basin production percentage
City City of La Palma
DDW Division of Drinking Water
DRA Drought Risk Assessment
DVL Diamond Valley Lake
DWR California Department of Water Resources
EOC Emergency Operations Center
EOP Emergency Operations Plan
EPA Environmental Protection Agency
FY fiscal year
GRP Groundwater Resilience Plan
GSP Groundwater Sustainability Plan
IAWP Interim Agricultural Water Program
LHMP Local Hazard Mitigation Plan
MCL maximum contaminant level
MET Metropolitan Water District of Southern California
MWDOC Municipal Water District of Orange County
ND non-detect
NIMS National Incident Management System
OC Basin Orange County Groundwater Basin
OCWD Orange County Water District
PFAS per- and polyfluoroalkyl substances
PFOA perfluorooctanoic acid
PFOS perfluorooctane sulfonate
ppt parts per trillion
Producers Groundwater Producers
SEMS Standardized Emergency Management System
Supplier Urban Water Supplier
SWP State Water Project
UWMP Urban Water Management Plan
Water Code California Water Code
WEROC Water Emergency Response Organization of Orange County WSAP Water Supply Allocation Plan
WSCP Water Shortage Contingency Plan
WSDM Water Surplus and Drought Management

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SECTION 1 INTRODUCTION AND WSCP OVERVIEW
The Water Shortage Contingency Plan (WSCP) is a strategic planning document designed to prepare for and respond to water shortages. This WSCP complies with California Water Code (Water Code) Section 10632, which requires that every Urban Water Supplier (Supplier) prepare and adopt a WSCP as part of its Urban Water Management Plan (UWMP). This level of detailed planning and preparation is intended to help maintain reliable supplies and reduce the impacts of supply interruptions.

The WSCP is the City of La Palma (City)’s operating manual that is used to prevent catastrophic service disruptions through proactive, rather than reactive, management. A water shortage, when the water supply available is insufficient to meet the normally expected customer water use at a given point in time, may occur due to a number of reasons, such as drought, climate change, and catastrophic events. This plan provides a structured guide for the City to deal with water shortages, incorporating prescriptive information and standardized action levels, along with implementation actions in the event of a catastrophic supply interruption. This way, if and when shortage conditions arise, the City’s governing body, its staff, and the public can easily identify and efficiently implement pre-determined steps to manage a water shortage. A well-structured WSCP allows real-time water supply availability assessment and structured steps designed to respond to actual conditions, enabling efficient management of any shortage with predictability and accountability.

The WSCP also describes the City’s procedures for conducting an Annual Water Supply and Demand Assessment (AWSDA) that is required by Water Code Section 10632.1 and is to be submitted to the California Department of Water Resources (DWR) on or before July 1 of each year, or within 14 days of receiving final allocations from the State Water Project (SWP), whichever is later. The City’s 2025 WSCP is included as an appendix to its 2025 UWMP, which will be submitted to DWR by July 1, 2026. However, while developed in conjunction with the UWMP, this WSCP is a standalone document and can be amended, as needed, without amending the UWMP. Furthermore, the Water Code does not prohibit a Supplier from taking actions not specified in its WSCP, if needed, without having to formally amend its UWMP or WSCP.

1.1 Water Shortage Contingency Plan Requirements and
Organization
The WSCP provides the steps and water shortage response actions to be taken in times of water shortage conditions. The WSCP has prescriptive elements, such as an analysis of water supply reliability, the water shortage response actions for each of the six standard water shortage levels that correspond to water shortage percentages ranging from 10 percent to greater than 50 percent, an estimate of potential to close supply gaps for each measure, protocols and procedures to communicate identified actions for any current or predicted water shortage conditions, procedures for an AWSDA, monitoring and reporting requirements to determine customer compliance, and reevaluation and improvement procedures for evaluating the WSCP.

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This WSCP is organized into three main sections, with Section 3 aligned with Water Code Section 16032 requirements:
 Section 1, Introduction and WSCP Overview, gives an overview of the WSCP fundamentals.  Section 2 Background Information provides a background on the City’s water service area.  Section 3 Water Shortage Contingency Preparedness and Response Planning. » Section 3.1 Water Supply Reliability Analysis provides a summary of the water supply analysis and water reliability findings from the 2025 UWMP.
» Section 3.2 Annual Water Supply and Demand Assessment Procedures provides a description of procedures to conduct and approve the AWSDA.
» Section 3.3 Six Standard Water Shortage Levels explains the WSCP’s six standard water shortage levels corresponding to progressive ranges of up to 10, 20, 30, 40, 50, and more than 50 percent shortages.
» Section 3.4 Shortage Response Actions describes the WSCP’s shortage response actions that align with the defined shortage levels.
» Section 3.5 Communication Protocols addresses communication protocols and procedures to inform customers, the public, interested parties, and local, regional, and state governments regarding any current or predicted shortages and any resulting shortage response actions. » Section 3.6 Compliance and Enforcement describes customer compliance, enforcement, appeal, and exemption procedures for triggered shortage response actions. » Section 3.7 Legal Authorities describes the legal authorities that enable the City to implement and enforce its shortage response actions.
» Section 3.8 Financial Consequences of the WSCP provides a description of the financial consequences of and responses for drought conditions.
» Section 3.9 Monitoring and Reporting describes monitoring and reporting requirements and procedures that ensure appropriate data is collected, tracked, and analyzed for purposes of monitoring customer compliance and to meet state reporting requirements. » Section 3.10 WSCP Refinement Procedures addresses reevaluation and improvement procedures for monitoring and evaluating the functionality of the WSCP. » Section 3.11 Special Water Feature Distinction provides a required definition for inclusion in a WSCP per the Water Code.
» Section 3.12 Plan Adoption, Submittal, and Availability describes the process the City followed to adopt its WSCP.

1.2 Integration with Other Planning Efforts
As a retail water supplier in Orange County, the City considered other key entities in the development of this WSCP, including the Municipal Water District of Orange County (MWDOC), regional wholesale supplier; the Metropolitan Water District of Southern California (MET), regional wholesaler for Southern California and the direct supplier of imported water to MWDOC; and Orange County Water District (OCWD), Orange County Groundwater Basin (OC Basin) manager and provider of recycled water in

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North Orange County. As a MWDOC member agency, the City also developed this WSCP with input from several coordination efforts led by MWDOC.

Some of the key planning and reporting documents that were used to develop this WSCP are:
 MWDOC’s 2025 UWMP provides the basis for the projections of the imported supply availability over the next 25 years for the City’s service area.
 MWDOC’s 2025 WSCP provides a water supply availability assessment and structured steps designed to respond to actual conditions that will help maintain reliable supplies and reduce the impacts of supply interruptions.
 MWDOC’s 2023 Orange County Water Reliability Study is a planning document to help guide planning for future water supply reliability for water providers in Orange County and provide input on regional water supply issues for MET.
 2025 Orange County Water Demand Projection Model Technical Memorandum is a collaborative effort amongst MWDOC, OCWD, and all retail water suppliers in Orange County that developed water demand projections to produce regionally consistent forecasts across all Orange County water agencies.
 OCWD’s 2025 Groundwater Resilience Plan (GRP) is an adaptive strategies management plan outlining strategic projects to secure reliable future water supplies in the OC Basin.  MET’s 2025 UWMP uses assumptions that fall within the plausible futures contemplated in MET’s IRP to evaluate MET’s future imported water supply reliability.  MET’s 2025 WSCP provides a water supply availability assessment and guide for MET’s intended actions during water shortage conditions.
 OCWD’s 2023-24 Engineer’s Report provides information on the groundwater conditions, water supply, and basin utilization of the OC Basin.
 OCWD’s 2022 Basin 8-1 Alternative is an alternative to the Groundwater Sustainability Plan (GSP) for the OC Basin, which provides significant information related to sustainable management of the basin in the past and hydrogeology of the basin, including groundwater quality and basin characteristics, and addresses DWR’s recommendations to ensure long-term basin sustainability.  City of La Palma’s 2020 Local Hazard Mitigation Plan (LHMP) provides the basis for the seismic and other natural disaster risk analysis of the water system facilities.

SECTION 2 BACKGROUND INFORMATION
The City was incorporated in October 1955 and is governed by a five-member City Council. The City lies in North Orange County at the border of Los Angeles County and is bounded by the City of Cerritos on the north and west, the City of Buena Park on the east, and the City of Cypress on the south.

2.1 City Service Area
The City is located approximately 18 miles southeast of downtown Los Angeles and serves water within its city limits and to a portion of the City of Cerritos. A small portion of the City’s potable demand is served by Golden State Water Company, including residential and school properties. The City operates two wells

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and two reservoirs with a total capacity of 4.5 million gallons and manages a 39.7-mile water mains system with approximately 4,382 service connections. A map of the City’s water service area is shown in Figure 1.

Figure 1 City of La Palma Service Area

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2.2 Relationship to Wholesalers
The Metropolitan Water District of Southern California: MET is the largest water wholesaler for domestic and municipal uses in California, serving approximately 19 million customers. MET wholesales imported water supplies to 26 member cities and water districts in 6 Southern California counties. Its service area covers the Southern California coastal plain, extending approximately 200 miles along the Pacific Ocean from the City of Oxnard in the north to the international boundary with Mexico in the south.

This encompasses 5,200 square miles and includes portions of Los Angeles, Orange, Riverside, San Bernardino, San Diego, and Ventura counties. Approximately 85 percent of the population from the aforementioned counties reside within MET's boundaries.

MET is governed by a Board of Directors comprised of 38 appointed individuals with a minimum of one representative from each of MET’s 26 member agencies. The allocation of directors and voting rights is determined by each agency’s assessed valuation. Each member of the Board shall be entitled to cast one vote for each 10 million dollars of assessed valuation of property taxable for district purposes, in accordance with Section 55 of the Metropolitan Water District Act. Directors can be appointed through the chief executive officer of the member agency or by a majority vote from the governing board of the agency. Directors are not compensated by MET for their service.

MET is responsible for importing water into the region through its operation of the Colorado River Aqueduct and its contract with the State of California for SWP supplies. Member agencies receive water from MET through various delivery points and pay for service through a rate structure made up of volumetric rates, capacity charges, and readiness to serve charges. Member agencies provide estimates of imported water demand to MET annually in April regarding the amount of water they anticipate they will need to meet their demands for the next five years.

The Municipal Water District of Orange County: In Orange County, MWDOC and the cities of Anaheim, Fullerton, and Santa Ana are MET member agencies that purchase imported water directly from MET.

Furthermore, MWDOC purchases both treated potable and untreated water from MET to supplement its retail agencies’ local supplies.

The City is one of MWDOC’s 27 member agencies purchasing imported water from MWDOC. The City’s location within MWDOC’s service area is shown in Figure 2.

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Figure 2 Regional Location of City of La Palma and Other MWDOC Member Agencies

2.3 Relationship with Wholesaler Water Shortage Planning The WSCP is designed to be consistent with MET’s Water Surplus and Drought Management (WSDM) Plan, MWDOC’s Water Supply Allocation Plan (WSAP), and other emergency planning efforts as described below. MWDOC’s WSAP is integral to the WSCP’s shortage response strategy in the event that MET or MWDOC determines that supply augmentation (including storage) and lesser demand reduction measures would not be sufficient to meet a projected shortage levels needed to meet demands.

2.3.1 MET Water Surplus and Drought Management Plan
MET evaluates the level of supplies available and existing levels of water in storage to determine the appropriate management stage annually. Each stage is associated with specific resource management actions to avoid extreme shortages to the extent possible and minimize adverse impacts to retail customers should an extreme shortage occur. The sequencing outlined in the WSDM Plan reflects anticipated responses towards MET’s existing and expected resource mix.

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Surplus stages occur when net annual deliveries can be made to water storage programs. Under the WSDM Plan, there are four surplus management stages that provides a framework for actions to take for surplus supplies. Deliveries in Diamond Valley Lake (DVL) and in SWP terminal reservoirs continue through each surplus stage provided there is available storage capacity. Withdrawals from DVL for regulatory purposes or to meet seasonal demands may occur in any stage.

The WSDM Plan distinguishes between shortages, severe shortages, and extreme shortages. The differences between each term are listed below:
 Shortage: MET can meet full-service demands and partially meet or fully meet interruptible demands using stored water or water transfers as necessary (Stages 1-3).  Severe Shortage: MET can meet full-service demands only by making withdrawals from storage, calling on its water transfers, and possibly calling for extraordinary conservation and reducing deliveries under the Interim Agricultural Water Program (IAWP) (Stages 4-5).  Extreme Shortage: MET must allocate available imported supplies to full-service customers (Stage 6).

There are six shortage management stages to guide resource management activities. These stages are defined by shortfalls in imported supply and water balances in MET’s storage programs. When MET must make net withdrawals from storage to meet demands, it is considered to be in a shortage condition.

Figure 3 gives a summary of actions under each surplus and shortage stages when an allocation plan is necessary to enforce mandatory cutbacks. The goal of the WSDM plan is to avoid Stage 6, an extreme shortage (MET, 2026b).

Source: MET, 2026b.

Figure 3 Resource Stages, Anticipated Actions, and Supply Declarations

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MET’s Board of Directors adopted a Water Supply Condition Framework in June 2008 to communicate the urgency of the region’s water supply situation and the need for further water conservation practices. The framework has four conditions, each calling increasing levels of conservation. Descriptions for each of the four conditions are listed below:
 Baseline Water Use Efficiency: Ongoing conservation, outreach, and recycling programs to achieve permanent reductions in water use and build storage reserves.  Condition 1 Water Supply Watch: Local agency voluntary dry-year conservation measures and use of regional storage reserves.
 Condition 2 Water Supply Alert: Regional call for cities, counties, member agencies, and retail water agencies to implement extraordinary conservation through drought ordinances and other measures to mitigate use of storage reserves.
 Condition 3 Water Supply Allocation: Implement MET’s WSAP.

As noted in Condition 3, should supplies become limited to the point where imported water demands cannot be met, MET will allocate water through the WSAP (MET, 2026a).

2.3.2 MET Water Supply Allocation Plan
MET’s imported supplies have been impacted by a number of water supply challenges as noted earlier. In case of extreme water shortage within the MET service area is the implementation of its WSAP.

MET’s Board of Directors adopted the WSAP in February 2008 to fairly distribute a limited amount of water supply and applies it through a detailed methodology to reflect a range of local conditions and needs of the region’s retail water consumers (MET, 2026a).

The WSAP includes the specific formula for calculating member agency supply allocations and the key implementation elements needed for administering an allocation. MET’s WSAP is the foundation for the urban water shortage contingency analysis required under Water Code Section 10632 and is part of MET’s 2025 UWMP.

MET’s WSAP was developed in consideration of the principles and guidelines in MET’s 1999 WSDM Plan with the core objective of creating an equitable “needs-based allocation.” The WSAP’s formula seeks to balance the impacts of a shortage at the retail level while maintaining equity on the wholesale level for shortages of MET supplies of greater than 50 percent cutbacks. The formula takes into account a number of factors, such as the impact on retail customers, growth in population, changes in supply conditions, investments in local resources, demand hardening aspects of water conservation savings, recycled water, extraordinary storage and transfer actions, and groundwater imported water needs.

The formula is calculated in three steps: (1) base period calculations; (2) allocation year calculations; and (3) supply allocation calculations. The first two steps involve standard computations, while the third step contains specific methodology developed for the WSAP.

Step 1: Base Period Calculations - The first step in calculating a member agency’s water supply allocation is to estimate their water supply and demand using a historical based period with established water supply and delivery data. The base period for each of the different categories of supply and demand is calculated using data from the two most recent non-shortage years.

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Step 2: Allocation Year Calculations - The next step in calculating the member agency’s water supply allocation is estimating water needs in the allocation year. This is done by adjusting the base period estimates of retail demand for population growth and changes in local supplies.

Step 3: Supply Allocation Calculations - The final step is calculating the water supply allocation for each member agency based on the allocation year water needs identified in Step 2.

In order to implement the WSAP, MET’s Board of Directors makes a determination on the level of the regional shortage, based on specific criteria, typically in April. The criteria used by MET include current levels of storage, estimated water supplies conditions, and projected imported water demands. The allocations, if deemed necessary, go into effect in July of the same year and remain in effect for a 12-month period. The schedule is made at the discretion of the Board of Directors (MET, 2026b).

As demonstrated by the findings in MET’s 2025 UWMP, both the Water Reliability Assessment and the Drought Risk Assessment (DRA) demonstrate that MET is projecting to be able to mitigate the challenges posed by hydrologic variability, potential climate change, and regulatory risk on its imported supply sources through the significant storage capabilities it has developed over the last two decades, both dry-year and emergency storage (MET, 2026).

Although MET’s 2025 UWMP forecasts that MET will be able to meet projected imported demands throughout the projected period from 2026 to 2050, uncertainty in supply conditions can result in MET needing to implement its WSAP to preserve dry-year storage and curtail demands (MET, 2026b).

2.3.3 MWDOC Water Supply Allocation Plan
To prepare for the potential allocation of imported water supplies from MET, MWDOC worked collaboratively with its 27 retail agencies to develop its own WSAP that was adopted in January 2009 and amended in 2016. The MWDOC WSAP outlines how MWDOC will determine and implement each of its retail agency’s allocation during a time of shortage.

The MWDOC WSAP uses a similar method and approach, when reasonable, as that of the MET’s WSAP.

However, MWDOC’s plan remains flexible to use an alternative approach when MET’s method produces a significant unintended result for the member agencies. The MWDOC WSAP model follows five basic steps to determine a retail agency’s imported supply allocation:

Step 1: Determine Baseline Information - The first step in calculating a water supply allocation is to estimate water supply and demand using a historical base period with established water supply and delivery data. The base period for each of the different categories of demand and supply is calculated using data from the last two non-shortage years.

Step 2: Establish Allocation Year Information - In this step, the model adjusts for each retail agency’s water need in the allocation year. This is done by adjusting the base period estimates for increased retail water demand based on population growth and changes in local supplies.

Step 3: Calculate Initial Minimum Allocation Based on MET’s Declared Shortage Level - This step sets the initial water supply allocation for each retail agency. After a regional shortage level is established, MWDOC will calculate the initial allocation as a percentage of adjusted base period Imported water needs within the model for each retail agency.

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Step 4: Apply Allocation Adjustments and Credits in the Areas of Retail Impacts and Conservation - In this step, the model assigns additional water to address disparate impacts at the retail level caused by an across-the-board cut of imported supplies. It also applies a conservation credit given to those agencies that have achieved additional water savings at the retail level as a result of successful implementation of water conservation devices, programs, and rate structures.

Step 5: Sum Total Allocations and Determine Retail Reliability - This is the final step in calculating a retail agency’s total allocation for imported supplies. The model sums an agency’s total imported allocation with all of the adjustments and credits and then calculates each agency’s retail reliability compared to its Allocation Year Retail Demand.

The MWDOC WSAP includes additional measures for plan implementation, including the following (MWDOC, 2016):
 Appeal Process - An appeals process to provide retail agencies the opportunity to request a change to their allocation based on new or corrected information. MWDOC anticipates that under most circumstances, a retail agency’s appeal will be the basis for an appeal to MET by MWDOC.  Melded Allocation Surcharge Structure - At the end of the allocation year, MWDOC would only charge an allocation surcharge to each retail agency that exceeded their allocation if MWDOC exceeds its total allocation and is required to pay a surcharge to MET. MET enforces allocations to retail agencies through an allocation surcharge to a retail agency that exceeds its total annual allocation at the end of the 12-month allocation period. MWDOC’s surcharge would be assessed according to the retail agency’s prorated share (acre-feet over usage) of MWDOC amount with MET.

Surcharge funds collected by MET will be invested in its Water Management Fund, which is used in part to fund expenditures in dry-year conservation and local resource development.  Tracking and Reporting Water Usage - MWDOC will provide each retail agency with water use monthly reports that will compare each retail agency’s current cumulative retail usage to their allocation baseline. MWDOC will also provide quarterly reports on its cumulative retail usage versus its allocation baseline.
 Timeline and Option to Revisit the Plan - The allocation period will cover 12 consecutive months, and the Regional Shortage Level will be set for the entire allocation period. MWDOC only anticipates calling for allocation when MET declares a shortage; and no later than 30 days from MET’s declaration will MWDOC announce allocation to its retail agencies.

SECTION 3 WATER SHORTAGE CONTINGENCY PREPAREDNESS AND

RESPONSE PLANNING
The City’s WSCP is a detailed guide of how the City intends to act in the case of an actual water shortage condition. The WSCP anticipates a water supply shortage and provides pre-planned guidance for managing and mitigating a shortage. Regardless of the reason for the shortage, the WSCP is based on adequate details of demand reduction and supply augmentation measures that are structured to match varying degrees of shortage to ensure the relevant stakeholders understand what to expect during a water shortage situation.

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3.1 Water Supply Reliability Analysis
Per Water Code Section 10632 (a)(1), the WSCP shall provide an analysis of water supply reliability conducted pursuant to Water Code Section 10635, and the key issues that may create a shortage condition when looking at the City’s water asset portfolio.

Understanding water supply reliability, factors that could contribute to water supply constraints, availability of alternative supplies, and what effect these have on meeting customer demands provides the City with a solid basis on which to develop appropriate and feasible response actions in the event of a water shortage. For the 2025 UWMP, the City worked collaboratively with MWDOC, OCWD, and MWDOC’s other retail water agencies to produce long-term projected water use over the next 25 years, in five-year increments, for each agency (MWDOC, 2025).

The City also conducted a DRA to evaluate a drought period that lasts five consecutive water years starting from the year following when the assessment is conducted (2026-2030). An analysis of both assessments determined that the City is capable of meeting all customers’ demands from 2025 through 2050 for a normal year, a single dry year, and a drought lasting five consecutive years with significant imported water supplemental dedicated drought supplies from MWDOC/MET and ongoing conversation program efforts. The City also has added reliability through receiving the majority of its water supply from groundwater from the OC Basin and supplemental supplies from MET/MWDOC. As a result, there is no projected shortage condition due to drought that will trigger customer demand reduction actions until MWDOC notifies the City of insufficient imported supplies. More information is available in the City’s 2025 UWMP Section 6 and 7 (La Palma, 2026).

3.2 Annual Water Supply and Demand Assessment Procedures Per Water Code Section 10632.1, the City will conduct an AWSDA pursuant to subdivision (a) of Section 10632 and by July 1 of each year, beginning in 2022, submit an AWSDA with information for anticipated shortage, triggered shortage response actions, compliance and enforcement actions, and communication actions consistent with the Supplier’s WSCP.

The City must include in its WSCP the procedures used for conducting an AWSDA. The AWSDA is a determination of the near-term outlook for supplies and demands and how a perceived shortage may relate to WSCP shortage stage response actions in the current calendar year. This determination is based on information available to the City at the time of the analysis. Starting in 2022, the AWSDA is due July 1 of every year.

This section documents the decision-making process required for formal approval of the City’s AWSDA determination of water supply reliability each year and the key data inputs and the methodologies used to evaluate the water system reliability for the coming year, while considering that the year to follow would be considered dry.

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3.2.1 Decision-Making Process
The following decision-making process describes the functional steps that the City will take to formally approve the AWSDA determination of water supply reliability each year.

3.2.1.1 City Steps to Approve the AWSDA Determination
The AWSDA will be predicated on the OCWD basin production percentage (BPP) and on MWDOC’s AWSDA outcomes. Figure 4 shows the AWSDA reporting timeline for the City La Palma.

Figure 4 AWSDA Reporting Timeline
The City produces local groundwater from the OC Basin managed by OCWD. The OC Basin is not adjudicated, and as such, pumping from the OC Basin is managed through a process that uses financial incentives to encourage Groundwater Producers (Producers) to pump a sustainable amount of water. The framework for the financial incentives is based on establishing the BPP, the percentage of each Producer’s total water supply that comes from groundwater pumped from the OC Basin. The BPP is set uniformly for all Producers by the OCWD Board of Directors on an annual basis. Based on the projected water demand and modeled water supply, over the long-term, OCWD anticipates sustainably supporting a BPP of 85 percent; however, volumes of groundwater and imported water may vary depending on OCWD's actual BPP projections. A supply reduction that may result from the annual BPP projection will be included in the AWSDA.

While the City’s primary source of water is OCWD groundwater, any remaining source to meet retail demands comes from the purchase of imported water from MWDOC. MWDOC surveys its member agencies annually for anticipated water demands and supplies for the upcoming year. MWDOC utilizes this information to plan for the anticipated imported water supplies for the MWDOC service area. This information is then shared and coordinated with MET and is incorporated into their analysis of their

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service area’s annual imported water needs. Based on the year’s supply conditions and WSDM actions, MET will present a completed AWSDA for its member agencies’ review from which they will then seek Board approval in April of each year. Additionally, MET expects that any triggers or specific shortage response actions that result from the AWSDA will be approved by their Board at that time. Based upon MET’s Assessment and taking into consideration information provided to MWDOC through the annual survey, MWDOC will provide an anticipated estimate of imported supplies for the City to incorporate into the AWSDA.

The City Water Department designee will be responsible for approving the AWSDA in years when no shortage is identified and submitting it to DWR by July 1. In years where a water shortage is identified, the AWSDA will be presented to City Council and submitted to DWR prior to the July 1 deadline.

3.2.2 Data and Methodologies
The following paragraphs document the key data inputs and methodologies that are used to evaluate the water system reliability for the coming year, while considering that the year to follow would be considered dry.

3.2.2.1 Assessment Methodology
The City will evaluate water supply reliability for the current year and one dry year for the purpose of the AWSDA. The AWSDA determination will be based on considerations of unconstrained water demand, local water supplies, MWDOC/MET imported water supplies, planned water use, and infrastructure considerations. The balance between projected local supplies coupled with MET imported supplies and anticipated unconstrained demand will be used to determine what, if any, shortage level is expected under the WSCP framework as presented in Figure 5. The WSCP’s standard shortage levels are defined in terms of shortage percentages. Shortage percentages will be calculated by dividing the difference between water supplies and unconstrained demand by total unconstrained demand. This calculation will be performed separately for anticipated current year conditions and for assumed dry year conditions.

Figure 5 Water Shortage Contingency Plan AWSDA Framework

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3.2.2.2 Locally Applicable Evaluation Criteria
Within Orange County, there are no significant local applicable criteria that directly affect reliability.

Through the years, the water agencies in Orange County have made tremendous efforts to integrate their systems to provide flexibility to interchange with different sources of supplies. There are emergency agreements in place to ensure all parts of the County have an adequate supply of water. In the northern part of the County, agencies have the ability to meet a majority of their demands through groundwater with very little limitation, except for the OCWD BPP.

The City will also continue to monitor emerging supply and demand conditions related to supplemental imported water from MWDOC/MET and take appropriate actions consistent with the flexibility and adaptiveness inherent to the WSCP. The City’s AWSDA was based on the City’s service area, water sources, water supply reliability, and water use as described in Water Code Section 10631, including available data from state, regional, or local agency population, land use development, and climate change projections within the service area of the City. Some conditions that affect MWDOC’s wholesale supply and demand, such as groundwater replenishment, surface water and local supply production, can differ significantly from earlier projections throughout the year.

If a major earthquake on the San Andreas Fault occurs, it has the potential to damage all three key regional water aqueducts and disrupt imported supplies for up to six months. The region would likely impose a water use reduction ranging from 25 to 35 percent until the system is repaired. However, MET has taken proactive steps to handle such disruption, such as constructing DVL, and prepositioning necessary reconstruction resources to quickly recover from such a seismic event, which mitigates potential impacts. DVL, along with other local reservoirs, can store a six to twelve-month supply of emergency water (MET, 2026a).

3.2.2.3 Water Supply
As detailed in the City’s 2025 UWMP, the City meets its customers’ demands with a combination of local groundwater from the OC Basin and imported water from MWDOC/MET. The City’s main source of water supply is groundwater, with imported water making up the rest of the City’s water supply portfolio. In fiscal year (FY) 2024-25, the City relied on approximately 97 percent groundwater and 3 percent imported water. It is projected that by 2050, the water supply portfolio will change to approximately 85 percent groundwater (consistent with OCWD’s long-term 85 percent BPP projection) and 15 percent imported water, and the City can purchase more MET imported water through MWDOC should the need arise (La Palma, 2026).

3.2.2.4 Unconstrained Customer Demand
The WSCP and AWSDA define unconstrained demand as expected water use prior to any projected shortage response actions that may be taken under the WSCP. Unconstrained demand is distinguished from observed demand, which may be constrained by preceding, ongoing, or future actions, such as emergency supply allocations during a multi-year drought. WSCP shortage response actions to constrain demand are inherently extraordinary; routine activities such as ongoing conservation programs and regular operational adjustments are not considered as constraints on demands.

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The City’s DRA reveals that its supply capabilities are expected to balance anticipated total water use and supply, assuming a five-year consecutive drought from FY 2025-26 through FY 2029-30 (La Palma, 2026).

This is based on the water demand projection model in which, in a single dry year, demand is expected to increase by 7 percent above a normal year (MWDOC, 2025).

For the City, the five consecutive dry-year demand scenario is based on the demand model’s multiple dry year methodology. In accordance with the econometric demand model approach used to develop UWMP demand projections, a single hot/dry year was first identified based on weather conditions that produced the greatest demand response. Consecutive dry years were then represented by applying incremental scaling factors to this single hot/dry year demand to account for the compounding effects of persistent warm and dry conditions over time. These scaling factors show long‑term relationships between regional water use and multi‑year temperature and precipitation deficits and are applied sequentially to simulate second through fifth consecutive dry years. This approach is consistent with the demand modeling framework (MWDOC, 2025).

3.2.2.5 Planned Water Use for Current Year Considering Dry Subsequent Year Water Code Section 10632(a)(2)(B)(ii) requires the AWSDA to determine “current year available supply, considering hydrological and regulatory conditions in the current year and one dry year.” The AWSDA will include two separate estimates of City’s annual water supply and unconstrained demand using: (1) current year conditions; and (2) assumed dry year conditions. Accordingly, the AWSDA’s shortage analysis will present separate sets of findings for the current year and dry-year scenarios. The Water Code does not specify the characteristics of a dry year, allowing discretion to the Supplier. The City will use its discretion to refine and update its assumptions for a dry-year scenario in each AWSDA as information becomes available and in accordance with best management practices.

Supply and demand analyses for the single dry-year case was based on conditions affecting the SWP as this supply availability fluctuates the most among MET’s, and therefore MWDOC and the City’s, sources of supply. Severe drought conditions in 2021-2022 affected most of the Western United States, including the Colorado River system, which caused its water supply decrease. As conditions worsened, Lake Mead and Lake Powell (the largest storage units in the system), had a combined total storage capacity of 25 percent in 2022, a significant decrease from 39 percent in 2021 (MWDOC, 2025).

The Orange County Water Demand Projection Model isolated the impacts that weather and future climate can have on water demand through the use of a statistical model. The impacts of hot/dry weather conditions are reflected as a percentage increase in water demands from the normal year condition. For a single dry-year condition (FY 2013-14), the model projects a 7 percent increase in demand for the OC Basin area where the City’s service area is located (MWDOC, 2025). Detailed information about the model is included in the City’s 2025 UWMP.

The City has documented that it is 100 percent reliable for single dry year demands from 2025 through 2050 with a demand increase of 7 percent from normal demand with significant reserves held by MET, local groundwater supplies, and conservation (La Palma, 2026).

3.2.2.6 Infrastructure Considerations
The AWSDA will include consideration of any infrastructure issues that may pertain to near-term water supply reliability, including repairs, construction, and environmental mitigation measures that may

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temporarily constrain capabilities, as well as any new projects that may add to system capacity. MWDOC closely coordinates with MET and its member agencies, including the City, on any planned infrastructure work that may impact water supply availability. Throughout each year, MET regularly carries out preventive and corrective maintenance of its facilities within the MWDOC service area that may require shutdowns to inspect and repair pipelines and facilities and support capital improvement projects. These shutdowns involve a high level of planning and coordination between MWDOC, MWDOC’s member agencies, and MET to ensure that major portions of the distribution system are not out of service at the same time. Operational flexibility within MET’s system and the cooperation of member agencies allow shutdowns to be successfully completed while continuing to meet all system demands.

The City water supply infrastructure includes two wells, one imported water connection, and three emergency interconnects with the neighboring water agencies. If any of the City’s key water system elements, including pressure zones, distribution lines, service connections, reservoirs, pump stations, pressure-reducing stations, and purchased water connections are affected during a catastrophic event or emergency, the City’s water supply would consequently be affected.

Specifically for the City, as of March 2026 there are no foreseen near-term infrastructure issues that would impact supply.

3.2.2.7 Other Factors
For the AWSDA, any known issues related to water quality would be considered for their potential effects on water supply reliability.

Per- and polyfluoroalkyl substances (PFAS) are a group of thousands of manmade chemicals that includes perfluorooctanoic acid (PFOA) and perfluorooctane sulfonate (PFOS). PFAS compounds were once commonly used in many products including, among many others, stain- and water-repellent fabrics, nonstick products (e.g., Teflon), polishes, waxes, paints, cleaning products, and fire-fighting foams.

Beginning in the summer of 2019, the California State Division of Drinking Water (DDW) began requiring testing for PFAS compounds in some groundwater production wells in the OCWD area.

MET has voluntarily monitored PFAS in its source and treated waters since 2017. Most samples have shown non-detect (ND) for all tested PFAS, including PFOA and PFOS. A limited number of other PFAS— such as PFHxA, PFBA, PFPeA, PFDoA, PFTA, and PFBS, have been detected only at trace levels below their method detection limits. PFOA and PFOS have not been detected in MET’s imported or treated water supplies. Some member agencies, however, have detected these compounds in local groundwater wells, which may require treatment or source management to comply with emerging DDW regulations. As DDW and the United States Environmental Protection Agency (EPA) establish enforceable maximum contaminant levels (MCL) for PFOA and PFOS, some agencies may supplement their local supplies with increased purchases of MET water (MET, 2025).

The EPA finalized the first national drinking water standards for six PFAS compounds in April 2024. These standards include enforceable MCLs for PFOA and PFOS set at 4 parts per trillion (ppt). In May 2025 the EPA announced that it would extend the compliance deadline for PFOA and PFOS from 2029 to 2031 to provide additional time for testing, planning, and installation of treatment technologies. While MET and its member agencies continue to monitor and test PFAS in imported and local sources, the delay in the federal compliance date allows additional time to evaluate treatment options, coordinate funding, and plan system upgrades necessary to meet forthcoming federal PFAS standards.

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PFAS have been detected in the OC Basin in very small amounts (ppt), entering primarily via the Santa Ana River, whose flows infiltrate into the basin. Despite playing no role in releasing PFAS into the environment, OCWD is working with its cities and retail water districts to remove it from local water supplies in order to comply with new state and federal regulations. More than 100 wells have been impacted due to various state and federal regulations. Fifteen impacted agencies will have to temporarily purchase more costly imported water to replace PFAS contaminated supplies. As of 2025, 53 impacted wells are back online due to close to a billion dollars being spent on state-of-the-art testing, research and piloting of different treatment systems, and design and construction of treatment plants that are now operational.

3.3 Six Standard Water Shortage Levels
Per Water Code Section 10632 (a)(3)(A), Suppliers must define the water shortage levels that represent shortages from the normal reliability as determined in the AWSDA or cross-reference their shortage levels to the standard levels. The shortage levels have been standardized to provide a consistent regional and statewide approach to conveying the relative severity of water supply shortage conditions. This is an outgrowth of the severe statewide drought of 2012-2016, and the widely recognized public communication and state policy uncertainty associated with the many different local definitions of water shortage levels.

The six DWR standard water shortage levels correspond to progressively increasing estimated shortage conditions (up to 10, 20, 30, 40, 50, and greater than 50 percent shortage compared to the normal reliability condition) and align with the response actions the Supplier would implement to meet the severity of the impending shortages. The four shortage levels the City uses in their water shortage planning and documented in the WSCP are compared to DWR’s six standard shortage levels in Table 1.

Table 1 Cross Reference for Standard versus Supplier Shortage Levels Submittal Table 8-1: Cross-reference for Standard vs Supplier Shortage Levels Water Code Section 10632(a)(3)(B)
Check the box if the Supplier uses the Standard six levels of water shortage.

Proceed to the next table.

3.4 Shortage Response Actions
Water Code Section 10632 (a)(4) requires the WSCP to specify shortage response actions that align with the defined shortage levels. The City has defined specific shortage response actions that align with the defined shortage levels in DWR Tables 8-2 and 8-3 (Appendix A). These shortage response actions were

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developed with consideration to the system infrastructure and operations changes, supply augmentation responses, customer-class or water use-specific demand reduction initiatives, and increasingly stringent water use prohibitions.

3.4.1 Supply Augmentation
The supply augmentation actions are described in DWR Table 8-2 (Appendix A). These augmentations represent short-term management objectives triggered by the MET’s WSDM Plan and do not overlap with the long-term new water supply development or supply reliability enhancement projects. Supply augmentation is made available to the City through MWDOC and MET. The City relies on MET’s reliability portfolio of water supply programs including existing water transfers, storage, and exchange agreements to supplement gaps in the City’s supply/demand balance. MET has developed significant storage capacity (over 5 million acre-feet) in reservoirs and groundwater banking programs both within and outside of the Southern California region. Additionally, MET can pursue additional water transfer and exchange programs with other water agencies to help mitigate supply/demand imbalances and provide additional dry-year supply sources.

MWDOC, and in turn its retail agencies, including the City, have access to supply augmentation actions through MET. MET may exercise these actions based on regional need, and in accordance with their WSCP, and may include the use of supplies and storage programs within the Colorado River, SWP, and in-region storage. The City has the ability to augment its supply to reduce the shortage gap by up to 100 percent by purchasing additional imported water through MWDOC or pumping additional groundwater in the OC Basin; however, both are subject to rate penalties from MWDOC and OCWD, respectively.

3.4.2 Demand Reduction
The demand reduction measures that would be implemented to address shortage levels are described in DWR Table 8-3 (Appendix A). This table indicates which actions align with specific defined shortage levels and estimates the extent to which the actions will reduce the gap between supplies and demands to deliver the outcomes necessary to meet the requirements of a given shortage level. This table also identifies the enforcement action, if any, associated with each demand reduction measure.

3.4.3 Operational Changes
During shortage conditions, operations may be affected by supply augmentation or demand reduction responses. The City will consider their operational procedures when it completes its AWSDA or as needed to identify changes that can be implemented to address water shortage on a short-term basis, such as temporarily altering maintenance cycles, deferring planned system outages, adjusting system pressure, purchase from interconnect, and adjusting the flow and routing of water through its system to more effectively distribute available supply across the service area.

3.4.4 Additional Mandatory Restrictions
Water Code Section 10632(a)(4)(D) calls for “additional, mandatory prohibitions against specific water use practices that are in addition to state-mandated prohibitions and appropriate to the local conditions” to be included among the WSCP’s shortage response actions. The City has identified additional mandatory

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restrictions in the Water Conservation and Management Ordinance (Appendix B). The City intends to update any mandatory restrictions in a subsequently adopted ordinance, which will supersede the existing ordinance.

3.4.5 Emergency Response Plan (Hazard Mitigation Plan)
A catastrophic water shortage would be addressed according to the appropriate water shortage level and response actions. It is likely that a catastrophic shortage would immediately trigger Shortage Level 6 and response actions have been put in place to mitigate a catastrophic shortage. In addition, there are several plans that address catastrophic failures and align with the WSCP, including MET’s WSDM and WSAP, the City’s Local Hazard Mitigation Plan (LHMP), and the Water Emergency Response Organization of Orange County (WEROC)’s Emergency Operations Plan (EOP).

3.4.5.1 MET’s WSDM and WSAP
MET has comprehensive plans for stages of actions it would undertake to address a catastrophic interruption in water supplies through its WSDM and WSAP. MET also developed an Emergency Storage Requirement to mitigate against potential interruption in water supplies resulting from catastrophic occurrences within the Southern California region, including seismic events along the San Andreas Fault.

In addition, MET is working with the state to implement a comprehensive improvement plan to address catastrophic occurrences outside of the Southern California region, such as a maximum probable seismic event in the Sacramento-San Joaquin River Delta that would cause levee failure and disruption of SWP deliveries.

3.4.5.2 Water Emergency Response Organization of Orange County Emergency Operations Plan
In 1983, the Orange County water community identified a need to develop a plan on how agencies would respond effectively to disasters impacting the regional water distribution system. The collective efforts of these agencies resulted in the formation of WEROC to coordinate emergency response on behalf of all Orange County water and wastewater agencies, develop an emergency plan to respond to disasters, and conduct disaster training exercises for the Orange County water community. WEROC, administered by MWDOC, was established through the creation of an indemnification agreement among its member agencies to protect each other against civil liabilities and to facilitate the exchange of resources. WEROC is unique in its ability to provide a single point of contact for the representation of all water and wastewater utilities in Orange County during a disaster. This representation is to the county, state, and federal disaster coordination agencies. Within the Orange County Operational Area, WEROC is the recognized contact for emergency response for the water community, including the City.

As a member of WEROC, the City will follow WEROC’s EOP in the event of an emergency and coordinate with WEROC to assess damage, initiate repairs, and request and coordinate mutual aid resources in the event that the City is unable to provide the level of emergency response support required by the situation.

The EOP defines the actions to be taken by WEROC Emergency Operations Center (EOC) staff to reduce the loss of water and wastewater infrastructure; to respond effectively to a disaster; and to coordinate recovery operations in the aftermath of any emergency involving extensive damage to Orange County water and wastewater utilities. The EOP includes activation notification protocol that will be used to

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contact partner agencies to inform them of the situation, activation status of the EOC, known damage or impacts, or resource needs. The EOP is a standalone document that is reviewed annually and approved by the MWDOC Board every three years.

WEROC is organized on the basis that each member agency is responsible for developing its own EOP in accordance with the California Standardized Emergency Management System (SEMS), National Incident Management System (NIMS), and Public Health Security and Bioterrorism Preparedness and Response Act of 2002 to meet specific emergency needs within its service area.

The WEROC EOC is responsible for assessing the overall condition and status of the Orange County regional water distribution and wastewater collection systems including MET facilities that serve Orange County. The EOC can be activated during an emergency situation resulting from both natural and manmade causes, and can be activated through automatic, manual, or standby for activation.

WEROC recognizes four primary phases of emergency management, which include:
 Preparedness: Planning, training, and exercises that are conducted prior to an emergency to support and enhance response to an emergency or disaster.
 Response: Activities and programs designed to address the immediate and short-term effects of the onset of an emergency or disaster that helps to reduce effects on water infrastructure and speed recovery. This includes alert and notification, EOC activation, direction and control, and mutual aid.  Recovery: This phase involved restoring systems to normal, in which short-term recovery actions are taken to assess the damage and return vital life-support systems to minimum operating standards, while long-term recovery actions have the potential to continue for many years.  Mitigation/Prevention: These actions prevent the occurrence of an emergency or reduce the area’s vulnerability in ways that minimize the adverse impacts of a disaster or emergency.

The EOC Action Plans provide frameworks for EOC staff to respond to different situations with the objectives and steps required to complete them, which will in turn serve the WEROC member agencies. In the event of an emergency that results in a catastrophic water shortage, the City will declare a water shortage condition of up to Level 3 for the impacted area depending on the severity of the event, and coordination with WEROC is anticipated to begin at Level 4 or greater (WEROC, 2021).

3.4.5.3 City of La Palma Emergency Response Plan
The City will refer to its current American Water Infrastructure Act Risk and Resilience Assessment and Emergency Response Plan in the event of a catastrophic supply interruption.

3.4.6 Seismic Risk Assessment and Mitigation Plan
Per the Water Code Section 10632.5, Suppliers are required to assess seismic risk to water supplies as part of their WSCP. The plan also must include the mitigation plan for the seismic risk(s). Given the great distances that imported supplies travel to reach Orange County, the region is vulnerable to interruptions along hundreds of miles of aqueducts, pipelines and other facilities associated with delivering the supplies to the region. Additionally, the infrastructure in place to deliver supplies is susceptible to damage from earthquakes and other disasters.

In lieu of conducting a seismic risk assessment specific to the City’s 2025 UWMP, the City has included their LHMP, as required under the federal Disaster Mitigation Act of 2000 (Public Law 106-390). The LHMP

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describes the City’s approach to proactively decreasing threats before disaster occurs, including water supply specific mitigation actions such as improving security and alert systems, upgrading back-up power systems, and retrofitting existing flood control infrastructure. (La Palma, 2020).

3.4.7 Shortage Response Action Effectiveness
For each specific Shortage Response Action identified in the plan, the WSCP also estimates the extent to which that action will reduce the gap between supplies and demands identified in DWR Table 8-2 and Table 8-3 (Appendix A). To the extent feasible, the City has estimated percentage savings for the chosen suite of shortage response actions, which can be anticipated to deliver the expected outcomes necessary to meet the requirements of a given shortage level.

3.5 Communication Protocols
Timely and effective communication is a key element of the WSCP implementation. Per the Water Code Section 10632 (a)(5), the City has established communication protocols and procedures to inform customers, the public, interested parties, and local, regional, and state governments regarding any current or predicted shortages as determined by the AWSDA described pursuant to Section 10632.1; any shortage response actions triggered or anticipated to be triggered by the annual water supply and demand assessment described pursuant to Section 10632.1; and any other relevant communications.

3.6 Compliance and Enforcement
Per the Water Code Section 10632 (a)(6), the City has defined customer compliance, enforcement, appeal, and exemption procedures for triggered shortage response actions. Communication procedures to ensure customer compliance are described in Section 3.5 and customer enforcement, appeal, and exemption procedures are defined in the Water Conservation and Management Ordinance (Appendix B).

3.7 Legal Authorities
Per Water Code Section 10632 (a)(7)(A), the City has provided a description of the legal authorities that empower the City to implement and enforce its shortage response in Water Conservation and Management Ordinance (Appendix B).

Per Water Code Section 10632 (a)(7) (B), the City shall declare a water shortage emergency condition to prevail within the area served by such wholesaler whenever it finds and determines that the ordinary demands and requirements of water consumers cannot be satisfied without depleting the water supply of the distributor to the extent that there would be insufficient water for human consumption, sanitation, and fire protection.

Per Water Code Section 10632 (a)(7)(C), the City shall coordinate with any city or county within which it provides water supply services for the possible proclamation of a local emergency under California Government Code, California Emergency Services Act (Article 2, Section 8558). Table 2 identifies the contacts for all cities or counties for which the Supplier provides service in the WSCP, along with developed coordination protocols, can facilitate compliance with this section of the Water Code in the event of a local emergency as defined in subpart (c) of Government Code Section 8558.

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Table 2 Agency Contacts and Coordination Protocols
Contact Agency Coordination Protocols
Water Manager MWDOC Call/email
City Manager City of La Palma In person/call/email
City Council City of La Palma Memo/meeting
Director of Public Works Orange County Public Works Department Call/email City Manager City of Cerritos Call/email

3.8 Financial Consequences of WSCP
Per Water Code Section 10632(a)(8), Suppliers must include a description of the overall anticipated financial consequences to the Supplier of implementing the WSCP. This description must include potential reductions in revenue and increased expenses associated with implementation of the shortage response actions. This should be coupled with an identification of the anticipated mitigation actions needed to address these financial impacts.

During a catastrophic interruption of water supplies, prolonged drought, or water shortage of any kind, the City will experience a reduction in revenue due to reduced water sales. Throughout this period of time, expenditures may increase or decrease with varying circumstances. Expenditures may increase in the event of significant damage to the water system, resulting in emergency repairs. Expenditures may also decrease as less water is pumped through the system, resulting in lower power costs. Water shortage mitigation actions will also impact revenues and require additional costs for drought response activities such as increased staff costs for tracking, reporting, and communications.

The City receives water revenue from a service charge and a commodity charge based on consumption.

The service charge recovers costs associated with providing water to the serviced property. The service charge does not vary with consumption, and the commodity charge is based on water usage. Rates have been designed to recover the full cost of water service in the charges. Therefore, the total cost of purchasing water would decrease as the usage or sale of water decreases. In the event of a drought emergency, the City will impose excessive water use penalties on its customers, which may include additional costs associated with reduced water revenue, staff time taken for penalty enforcement, and advertising the excessive use penalties. The excessive water use penalties are further described in the City’s Water Conservation and Management Ordinance (Appendix B).

However, there are significant fixed costs associated with maintaining a minimal level of service. The City will monitor projected revenues and expenditures should an extreme shortage and a large reduction in water sales occur for an extended period of time. To overcome these potential revenue losses and/or expenditure impacts, the City may use reserves. If necessary, the City may reduce expenditures by delaying implementation of its Capital Improvement Program and equipment purchases to reallocate funds to cover the cost of operations and critical maintenance, adjust the work force, implement a drought surcharge, and/or make adjustments to its water rate structure.

Based on current water rates, a volumetric cutback of 50 percent and above of water sales may lead to a range of reductions in revenues. The impacts to revenues will depend on a proportionate reduction in variable costs related to supply, pumping, and treatment for the specific shortage event. The City has set aside reserve funding as a Drought Reserve Fund to mitigate a short-term water shortage situation.

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3.9 Monitoring and Reporting
Per Water Code Section 10632(a)(9), the City is required to provide a description of the monitoring and reporting requirements and procedures that have been implemented to ensure appropriate data is collected, tracked, and analyzed for purposes of monitoring customer compliance and to meet state reporting requirements.

Monitoring and reporting key water use metrics is fundamental to water supply planning and management. Monitoring is also essential in times of water shortage to ensure that the response actions are achieving their intended water use reduction purposes, or if improvements or new actions need to be considered (see Section 3.10). Monitoring for customer compliance tracking is also useful in enforcement actions.

Under normal water supply conditions, potable water production figures are recorded daily. Weekly and monthly reports are prepared and monitored. This data will be used to measure the effectiveness of any water shortage contingency level that may be implemented. As levels of water shortage are declared by MET and MWDOC, the City will follow implementation of those levels as appropriate based on the City’s risk profile provided in UWMP Chapter 6 and continue to monitor water demand levels. When MET calls for extraordinary conservation, MET’s Drought Program Officer will coordinate public information activities with MWDOC and monitor the effectiveness of ongoing conservation programs.

The City will participate in monthly member agency manager meetings with both MWDOC and OCWD to monitor and discuss monthly water allocation charts. This will enable the City to be aware of import and groundwater use on a timely basis as a result of specific actions taken responding to the City’s WSCP.

3.10 WSCP Refinement Procedures
Per Water Code Section 10632 (a)(10), the City must provide reevaluation and improvement procedures for systematically monitoring and evaluating the functionality of the water shortage contingency plan in order to ensure shortage risk tolerance is adequate and appropriate water shortage mitigation strategies are implemented as needed.

The City’s WSCP is prepared and implemented as an adaptive management plan. The City will use the monitoring and reporting process defined in Section 3.9 to refine the WSCP. In addition, if certain procedural refinements or new actions are identified by City staff, or suggested by customers or other interested parties, the City will evaluate their effectiveness, incorporate them into the WSCP, and implement them quickly at the appropriate water shortage level.

It is envisioned that the WSCP will be periodically re-evaluated to ensure that its shortage risk tolerance is adequate and the shortage response actions are effective and up to date based on lessons learned from implementing the WSCP. The WSCP will be revised and updated during the UWMP update cycle to incorporate updated and new information. For example, new supply augmentation actions will be added, and actions that are no longer applicable for reasons such as program expiration will be removed.

However, if revisions to the WSCP are warranted before the UWMP is updated, the WSCP will be updated outside of the UWMP update cycle. In the course of preparing the AWSDA each year, City staff will routinely consider the functionality the overall WSCP and will prepare recommendations for City Council if changes are found to be needed.

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3.11 Special Water Feature Distinction
Per Water Code Section 10632 (b), the City has defined water features in that are artificially supplied with water, including ponds, lakes, waterfalls, and fountains, separately from swimming pools and spas, as defined in Water Conservation and Management Ordinance (Appendix B).

3.12 Plan Adoption, Submittal, and Availability
Per Water Code Section 10632 (a)(c), the City provided notice of the availability of the draft 2025 UWMP and draft 2025 WSCP and notice of the public hearing to consider adoption of the WSCP. The public review drafts of the 2025 UWMP and the 2025 WSCP were posted prominently on the City’s website in advance of the public hearing on June 2, 2026. Copies of the draft WSCP were also made available for public inspection at the City Clerk’s and Utilities Department offices and public hearing notifications were published in local newspapers. A copy of the published Notice of Public Hearing is included in Appendix C.

The City held the public hearing for the draft 2025 UWMP and draft WSCP on June 2, 2026, at the City Council meeting. The City Council reviewed and approved the 2025 UWMP and the WSCP at its June 2, 2026, meeting after the public hearing. See Appendix D for the resolution approving the WSCP.

By July 1, 2026, the City’s adopted 2025 UWMP and WSCP was filed with DWR, California State Library, and the County of Orange. The City will make the WSCP available for public review on its website no later than 30 days after filing with DWR.

Based on DWR’s review of the WSCP, the City will make any amendments to its adopted WSCP, as required and directed by DWR.

If the City revises its WSCP after the UWMP is approved by DWR, then an electronic copy of the revised WSCP will be submitted to DWR within 30 days of its adoption.

SECTION 4 REFERENCES
City of La Palma. (2026). 2025 Urban Water Management Plan.

City of La Palma. (2020). Local Hazard Mitigation Plan.

Metropolitan Water District of Southern California (MET). (2026a, March). 2025 Water Shortage Contingency Plan.
http://www.mwdh2o.com/PDF_About_Your_Water/Draft_Metropolitan_WSCP_March_2021.pdf Metropolitan Water District of Southern California (MET). (2026b, June). 2025 Urban Water Management Plan.

Municipal Water District of Orange County. (2025, December 30). Orange County Water Demand Projection Model Technical Memorandum.

Water Emergency Response Organization of Orange County (WEROC). (2025). WEROC 2025 Annual Report.

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APPENDIX A DWR SUBMITTAL TABLES

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Submittal Table 8-1: Cross Reference for Standard vs Supplier Shortage Level Submittal Table 8-1: Cross-reference for Standard vs Supplier Shortage Levels Water Code Section 10632(a)(3)(B)
Check the box if the Supplier uses the Standard six levels of water shortage.

Proceed to the next table.

Standard Shortage Levels Percent Shortage Range Suppliers Shortage Levels Percent Shortage Range 1 Up to 10% 1 Up to 20%
2 Up to 20% 1 Up to 20%
3 Up to 30% 2 20% to 30%
4 Up to 40% 3 30% to 40%
5 Up to 50% 4 >40%
6 >50% 4 >40%
NOTES:

Submittal Table 8-2: Supply Augmentation and Other Actions Submittal Table 8-2 Retail: Supply Augmentation and Other Actions Water Code Section 10632(a)(4)(A),(C) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Supply Augmentation Methods and
Other Actions by Water Supplier
Drop down list
These are the only categories that
will be accepted by the WUEdata
online submittal tool
How much is this going to reduce
the shortage gap?
Additional Explanation or
Reference
(OPTIONAL)
Volume or
Percentage
Drop down
Shortage Gap
Reduction Value
(May be a
range)
(AF)
Add additional rows as needed
1 through 6 Other Purchases Percentage 0 - 100% Additional imported water purchases through MWDOC
1 through 6 Other Purchases Percentage 0 - 100%
Additional groundwater pumping
in the Orange County
Groundwater Basin
DWR NOTES: Units of measure (AF, CCF, MG) must remain consistent throughout the UWMP as reported in Submittal Table 2-3.

NOTES: Additional imported water purchases and groundwater pumping may be subject to rate penalties from MWDOC and OCWD, respectively.

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO
CITY OF LA PALMA A-2
Submittal Table 8-3: Demand Reduction Actions
Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will be
accepted by the WUEdata online submittal
tool. Select those that apply.

Yes
Year
Round
Landscape - Other landscape
restriction or prohibition
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Yes
Year
Round
Landscape - Restrict or prohibit runoff
from landscape irrigation
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
Year
Round
Other - Prohibit use of potable water for
washing hard surfaces
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Washing down hard or paved surfaces is prohibited except when necessary to alleviate safety or sanitary hazards, and then only by use of a hand-held bucket or similar container, a hand-held hose equipped with a positive self-closing water shut-off nozzle or device or a lowvolume, high-pressure cleaning machine equipped to recycle any water used.

Yes
Year
Round
Other - Customers must repair leaks,
breaks, and malfunctions in a timely
manner
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Must be fixed within ten days upon notice otherwise water service will be discontinued pending such repairs. Yes Year
Round
Water Features - Restrict water use for
decorative water features, such as
fountains
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Decorative features that require the use of water are required to re-circulate water. Yes Year
Round
Other - Prohibit vehicle washing except
at facilities using recycled or
recirculating water
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Using potable water to wash or clean a vehicle is prohibited, except by use of a hand-held bucket or similar container or a hand-held hose equipped with an automatic closing water shut-off nozzle or device. This restriction does not apply to any commercial car washing facility. Yes On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Year
Round
CII - Restaurants may only serve water
upon request
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
Year
Round
CII - Lodging establishment must offer
opt out of linen service
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO
CITY OF LA PALMA A-3
Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will be
accepted by the WUEdata online submittal
tool. Select those that apply.

No installation of single pass cooling systems. Yes
Year
Round Other
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.

Re-circulating water systems are required in commercial car wash and laundry systems. Yes Year
Round
CII - Commercial kitchens required to
use pre-rinse spray valves
On-going Long Term-Conservation Savings
Measure. Not applicable to Water Shortage
Contingency Plan quantifiable savings.
- Yes
1 Landscape - Limit landscape irrigation
to specific days Percentage 10%
Lawn watering and landscape irrigation, including construction meter irrigation, shall be limited to three days per week on a schedule to be established and posted by the City except by use of a hand-held bucket or similar container, or a hand-held hose equipped with an automatic closing water shut-off nozzle or device, or if watering or irrigating for very short periods of time for the express purpose of adjusting or repairing a landscape irrigation system.

Yes
Landscape - Limit landscape irrigation
to specific times Percentage 3% All sprinkler irrigation is prohibited between the hours of 9:00 a.m. and 6:00 p.m. Yes 1 Landscape - Prohibit certain types of
landscape irrigation Percentage 2% Commercial nurseries shall be required to curtail all nonessential water use. Yes 1 Pools and Spas - Require covers for
pools and spas Percentage 1% - Yes
1 Landscape - Limit landscape irrigation
to specific times Percentage 2% Watering of parks, school grounds, and recreational fields is prohibited between the hours of 9:00 a.m. and 6:00 p.m. Yes 1 Other Percentage 1% The use of water from fire hydrants shall be limited to firefighting and related activities, for construction activities, or other activities necessary to maintain the health, safety, and welfare of the public. Yes 1 Expand Public Information Campaign Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 1 Other - Customers must repair leaks,
breaks, and malfunctions in a timely
manner
Percentage 2% All malfunctions must be repaired within three (3) days of notification by the City, unless other arrangements are made with the City. Yes 1 Other Percentage 5% The City may implement other reasonable water use prohibitions. Yes 2 Landscape - Limit landscape irrigation
to specific days Percentage 10%
Lawn watering and landscape irrigation, including construction meter irrigation, shall be limited to two days per week on a schedule to be established and posted by the City except by use of a hand-held bucket or similar container, or a hand-held hose equipped with an automatic closing water shut-off nozzle or device, or if watering or irrigating for very short periods of time for the express purpose of adjusting or repairing a landscape irrigation system. All sprinkler irrigation is prohibited between the hours of 9:00 a.m. and 6:00 p.m.

Yes
2 Landscape - Prohibit certain types of
landscape irrigation Percentage 2% Commercial nurseries irrigation shall be prohibited between the hours of 9:00 a.m. and 6:00 p.m. and shall be required to curtail all nonessential water use. Yes 2 Other - Customers must repair leaks,
breaks, and malfunctions in a timely
manner
Percentage 2% All malfunctions must be repaired within two (2) days of notification by the City, unless other arrangements are made with the City. Yes 2 Expand Public Information Campaign Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign)

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO
CITY OF LA PALMA A-4
Submittal Table 8-3 Retail: Demand Reduction Actions
Water Code Section 10632(a)(4)(B) and (E)
No Is the Supplier completing this table using the standard six levels? (yes/no) Shortage
Level
Demand Reduction Actions
Drop down list
These are the only categories that will be
accepted by the WUEdata online submittal
tool. Select those that apply.

How much is this going to reduce the shortage gap?
Additional Explanation or Reference
(OPTIONAL)
Penalty, Charge, or
Other Enforcement?
For Retail Suppliers
Only
Drop Down List
Volume or
Percentage
Drop down
Shortage Gap Reduction Value
(May be a range)
(AF)
3 Landscape - Prohibit all landscape
irrigation Percentage 10% All irrigation is prohibited except as approved by the City. Yes 3 Other - Prohibit vehicle washing except
at facilities using recycled or
recirculating water
Percentage 1%
Washing of autos, trucks, trailers, boats, and other types of mobile equipment is prohibited. Washing is permitted at any time on the immediate premises of a commercial car wash which uses partially reclaimed or recycled water. Further, the City Manager or his or her designated representative may exempt from this subsection any vehicle washing upon determining that the health, safety, and welfare of the public is contingent upon frequent vehicle cleaning of the vehicles such as garbage trucks and vehicles used to transport food and perishables. The use of water by all types of commercial car washes shall be reduced in volume by 25 percent.

Yes
3 Other water feature or swimming pool
restriction Percentage 1% Initial filling and refilling of over two feet of water in swimming pools and outdoor space is prohibited. Yes 3 Other water feature or swimming pool
restriction Percentage 1% Initial filling or refilling of any outdoor water feature or pond is prohibited. Yes 3 Other Percentage 1% New construction meters or permits for unmetered service will not be issued. Yes 3 Other - Prohibit use of potable water for
construction and dust control Percentage 1% - Yes
3 Other - Customers must repair leaks,
breaks, and malfunctions in a timely
manner
Percentage 2% All malfunctions must be repaired within one (1) day of notification by the City, unless other arrangements are made with the City. Yes 3 Other Percentage 2%
No new potable water service shall be provided, no new temporary or permanent water meters shall be provided, and no statements of immediate ability to serve or provide potable water service shall be issued, except under the following circumstances: a valid, unexpired building permit has been issued for the project, the project is necessary to protect the public health, safety or welfare of the public, or the applicant provides substantial evidence of an enforceable commitment that water demands for the project will be offset prior to the provision of a new water meter(s) to the satisfaction of the City.

Yes
3 Expand Public Information Campaign Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 4 Other - Prohibit vehicle washing except
at facilities using recycled or
recirculating water
Percentage 2%
Washing of autos, trucks, trailers, boats, and other types of mobile equipment is prohibited. Washing is permitted at any time on the immediate premises of a commercial car wash which uses partially reclaimed or recycled water. Further, the City Manager or his or her designated representative may exempt from this subsection any vehicle washing upon determining that the health, safety, and welfare of the public is contingent upon frequent vehicle cleaning of the vehicles such as garbage trucks and vehicles used to transport food and perishables. The use of water by all types of commercial car washes shall be reduced in volume by 50 percent.

Yes
4 Other water feature or swimming pool
restriction Percentage 5% Watering of parks, school grounds, and recreational fields is prohibited with the exception of plant materials classified to be rare, exceptionally valuable, or essential to the well-being of rare animals. Yes 4 Other Percentage 15% The use of water for commercial, manufacturing, or processing purposes shall be reduced in volume by 50 percent. Yes 4 Expand Public Information Campaign Percentage 3% Community Outreach and Messaging (Expand Public Information Campaign) 4 Other Percentage >50% The City may shut off all non-essential water uses. Yes DWR NOTES: Units of measure (AF, CCF, MG) must remain consistent throughout the UWMP as reported in Submittal Table 2-3.

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO

CITY OF LA PALMA

APPENDIX B WATER CONSERVATION AND

MANAGEMENT ORDINANCE
Below is the weblink to the current ordinance (last accessed on May 11,2026):
https://library.municode.com/ca/la_palma/codes/code_of_ordinances?nodeId=COOR_CH42WA_ARTVIICO WAMA_S42-273WACOST

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO

CITY OF LA PALMA

APPENDIX C NOTICE OF PUBLIC HEARING (PENDING)

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2025 WATER SHORTAGE CONTINGENCY PLAN
MAY 2026 / FINAL DRAFT / CAROLLO

CITY OF LA PALMA

APPENDIX D ADOPTED WSCP RESOLUTION (PENDING)

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Agenda Item No. 13 June 2, 2026 | 1
City of La Palma
Agenda Item No. 13
MEETING DATE: June 2, 2026
TO: City Council
FROM: City Manager
SUBMITTED BY: Joseph Cisneros, Deputy City Manager
AGENDA TITLE: Report on City of La Palma’s Staff Vacancies, and Recruitment and Retention Efforts in Compliance with Assembly Bill (AB) 2561 (Gov.

Code § 3502.3)
RECOMMENDED ACTION:

It is recommended that the City Council take the following actions:

1. Open Public Hearing;

2. Receive Staff Report;

3. Receive Public Input;

4. City Council Comments and Questions;

5. Close the Public Hearing;

6. Receive and file the report on City of La Palma’s Staff Vacancies, and Recruitment and Retention Efforts in Compliance with Assembly Bill (AB) 2561 (Gov. Code § 3502.3).

BACKGROUND:

The Meyers-Milias-Brown Act (MMBA) grants local public employees the right to organize and be represented in labor matters, requiring public agencies to meet and confer in good faith with recognized employee organizations on wages, hours, and other terms of employment. The City of La Palma has three recognized bargaining units—the La Palma General Employees Association (LPGEA), the La Palma Professional Employees Association (LPPEA), and the La Palma Police Association (LPPA)—each governed by a Memorandum of Understanding (MOU).

Assembly Bill (AB) 2561 amended the Meyers-Milias-Brown Act, creating new obligations for public agencies to publicly address the status of their vacancies. This staff report is intended to serve as the City’s reporting of position vacancies as of May 28, 2026, before the adoption of the annual budget, in compliance with the bill.

DISCUSSION:

AB 2561 was introduced to address the issue of job vacancies in local government, which can adversely affect the delivery of public services and employees' workload. AB 2561 requires public agencies to hold at least one public hearing per fiscal year to discuss vacancies and recruitment and

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Agenda Item No. 13 June 2, 2026 | 2
retention efforts.

In compliance with the new legal obligations, the City of La Palma is required to do the following:

1. Conduct a Public Hearing: At least once each fiscal year, at a public hearing before the La Palma City Council, the City of La Palma shall present information regarding the status of vacancies and recruitment and retention efforts (Gov. Code § 3502.3(a)(1)) and identify any necessary changes to policies, procedures, and recruitment activities that may lead to obstacles in the hiring process (Gov. Code § 3502.3(a)(3)). Per AB 2561, this Public Hearing and Presentation must be held in advance of the annual budget adoption each fiscal year. (Gov. Code § 3502.3(a)(2).)

2. Employee Organization Participation: Allow the La Palma recognized employee organizations to make presentations during the public hearing concerning vacancies and recruitment and retention efforts. (Gov. Code § 3502.3(b).) The La Palma recognized employee organizations may make their presentations during regular public comment.

3. Additional Reporting for High Vacancy Rates: Per AB 2561, if vacancies within a single bargaining unit meet or exceed 20% of authorized full-time positions in that bargaining unit, upon request of the recognized employee organization for that bargaining unit, the City of La Palma must provide additional information during the public hearing, including the following:
(1) the total number of vacancies; (2) the number of applicants; (3) the average time to fill positions; and (4) opportunities to improve compensation and working conditions for employees in the bargaining unit. (Gov. Code § 3502.3(c).) The following City position(s) are currently vacant as of the time this staff report was prepared:
• Police Chief, La Palma Management Employees (At-will and Unrepresented) • Community Development Manager, La Palma Management Employees (At-will and Unrepresented)
• Police Officers (2), La Palma Police Association (LPPA) The City is currently recruiting for the Police Officer vacancies and plans to recruit for the Community Development Manager later this year. The City Manager has appointed an Interim Police Chief during the recruitment process for the permanent position. At this time, no bargaining units have vacancy rates of 20% or higher, and staff has not identified any policy-related obstacles impacting the hiring process.

FISCAL IMPACT:

There is no fiscal impact as a result of receiving this report.

ATTACHMENTS:

None

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Agenda Item No. 14 June 2, 2026 | 1
City of La Palma
Agenda Item No. 14
MEETING DATE: June 2, 2026
TO: City Council
FROM: City Manager
SUBMITTED BY: Joseph Cisneros, Deputy City Manager
Michael Matsumoto, Financial Consultant
AGENDA TITLE: Adoption of the Fiscal Year 2026-27 Operating and Capital Improvement Program Budgets and Appropriations Limit
RECOMMENDED ACTION:

It is recommended that the City Council take the following actions:

1. Open Public Hearing;

2. Receive Staff Report;

3. Receive Public Input;

4. City Council Comments and Questions;

5. Close the Public Hearing;

6. Adopt a Resolution approving the Fiscal Year 2026-27 Budget; and

7. Adopt a Resolution approving the Annual Appropriations Limit for Fiscal Year 2026-27.

SUMMARY:

As discussed at the City Council meeting on May 5, 2026, the Fiscal Year 2026-27 Budget (FY 26- 27) has been prepared and incorporates any changes directed by the City Council. The public can view the budget on the City's website or at the City Clerk's Office.

The Economy and La Palma’s Economic Outlook
As of May 2026, the economy presents a complex and evolving landscape shaped by recent policy changes and global uncertainties. The labor market remains relatively stable with fairly low unemployment, signaling continued resilience in employment. However, inflation has increased to

3.8% in April 2026, which is the highest since May 2024. The Federal Reserve has been lowering interest rates, but they have been holding interest rates at 3.5%-3.75%. Consumer spending has been stagnating.

On a local level, the City maintains a prudent philosophy regarding its spending. Lessons from prior years indicate that the economy can fluctuate from growth to recession and back again. Fortunately, the City has very healthy reserves that have grown year after year. As of March 31, 2026, the current spendable reserves were approximately $24.8M, or 157% of FY 2026-27 General Fund proposed expenditures, in the following funds:

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Agenda Item No. 14 June 2, 2026 | 2
General Fund $ 3,576,000
Emergency Reserve 10,068,000
General Fund Budget Reserve 4,892,000
Capital Outlay Reserve 3,218,000
Civic Center Replacement 3,095,000
TOTAL $ 24,849,000
The Capital Outlay Reserve (COR) fund is currently awaiting a $2 million reimbursement from the federal government. This reimbursement is tied to the City’s recently completed median improvement project, which qualified for federal funding support. The General Fund Budget Reserve, Capital Outlay Reserve, and Civic Center Replacement funds hold General Fund money set aside by the City Council for various reasons, so they are not restricted by an outside agency.

Transfers Changes
At the May 5, 2026, Regular Meeting, the City Council approved the transfer of $2.1 million from the General Fund Unreserved Fund Balance (in excess of the $1,500,000 required for cash flow) as of June 30, 2025, allocating:
• $525,000 to the Emergency Reserve in compliance with the Fund Balance Policy (25% requirement),
• $538,000 to the Vehicle Fund for the purchase of two police patrol vehicles, one Public Works vehicle, and one Community Services vehicle; and
• $1 million to increase the Cash Flow Reserve from $1,500,000 to $2,500,000. The updated Fund Balance Reserve Policy is included as a part of the Proposed Fiscal Year 2026-27 Budget Book.

The proposed FY 2026–27 Budget includes $494,500 in General Fund transfers, to support 50% of the cost of a School Resource Officer ($94,500), a position previously fully funded through a nowexpired grant, as well as transfers to the Capital Outlay Reserve Fund ($400,000) and the Civic Center Replacement Fund ($50,000), consistent with the prior fiscal year.

FY 2026-27 Proposed Budget
The proposed FY 2026-27 Budget for all funds combined is approximately $35,515,634 allocated as follows: $12,133,964 (34%) for Personnel, $13,901,915 (39%) for Capital Outlay/Improvements, and $9,479,755 (27%) for Maintenance and Operations. The Capital Improvement Plan (CIP) Budget, part of the total budget, is $8,151,850, including $2,283,850 from the Capital Outlay Reserve (COR) Fund.

Non-project expenses, covering Special Revenue, Internal Service, and Enterprise funds, total $13,018,161. The total revenue for all funds combined is $28,220,760. Although the total budget for all funds exceeds revenues, this is typically due to the use of accumulated special revenue funds, which are used exclusively for capital projects. The City typically does not complete all the capital projects planned within the fiscal year, resulting in lower actual expenditures. By carrying forward uncompleted projects and using special revenue funds from previous years, the City creates a financial buffer. Consequently, the city anticipates ending the fiscal year with a surplus, providing a solid foundation for future planning and unforeseen expenses.

Projected General Fund Revenues
Estimated FY 2026-27 General Fund revenues are $15,869,064, a 2.9% increase over projected FY 2025-26 revenues. The City’s five largest revenue categories are Property Tax, Transactions and Use

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Agenda Item No. 14 June 2, 2026 | 3
Tax (Measure JJ), Sales Tax, Utility Users Tax, and Transient Occupancy Tax (hotel tax), not including interfund transfers.

The following is a summary of the five largest revenue categories:
• Property Tax – Property tax revenues have continued to perform strongly, with staff projecting a modest increase of 3.5% compounded growth from the Fiscal Year 2024-25 actual property tax revenues. Property taxes are based on the taxable assessed values of property, which, due to Proposition 13, are frequently much lower than market values. Moreover, the city participates in the Teeter plan, which ensures that the County of Orange compensates the City for property taxes regardless of any delinquent payments. • Transactions and Use Tax – The revised estimate from the City’s tax consultant reflects an increase of $16,500 over the FY 2025 actuals (and a 2.2% increase over the FY 2026 estimate). It remains a critical part of the City’s revenue sources, consistently outperforming the Bradley-Burns 1% sales tax revenue.
• Sales Tax – Sales tax revenues have remained flat over the past two and a half years, both statewide and locally. For FY 2027, estimates include an additional $50,000 in bulk fuel revenues to account for inflation, as the longstanding $200,000 annual estimate has consistently been exceeded.
• Utility Users Tax (UUT) – Staff anticipates a 5.2% increase in UUT revenues over the FY 2026 budget amount. UUT revenue tends to fluctuate year to year, and the FY 2027 estimate is slightly below the FY 2025 actual amount received.
• Transient Occupancy Tax (TOT or Hotel Tax) – Staff initially projected $640,000 in revenue for Fiscal Year 2025-26, but it appears the actual amounts are going to exceed the $640,000 estimate. Based on actual trends, the City has budgeted $668,000 for the upcoming fiscal year.

Other significant revenue changes include:
• Licenses and Permits are projected to increase by 3.4%, with an additional $17,000 added to the prior year budget of $300,000 for business licenses. Although FY 2024–25 actual receipts

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Agenda Item No. 14 June 2, 2026 | 4
were $345,000, staff is recommending a conservative estimate of $317,000 for FY 2026–27 due to revenue fluctuations.
• Delays in the billboard and other Community Development projects anticipated in FY 2026 have resulted in lower-than-projected revenues compared to assumptions made during the May 2025 budget process. However, the City remains optimistic that these revenues will be realized with the opening of new businesses and the expected completion of the billboard project later this year.

Projected General Fund Expenditures
Staff has drafted a budget using a status quo approach, with programs and activities similar to those planned in the previous budget. Therefore, estimated FY 2026-27 General Fund expenditures and transfers are $15,800,623, a 2.5% increase over projected FY 2025-26 expenditures and transfers.

Consequently, a surplus of $68,441 is estimated for FY 2026-27. This is slightly higher than the FY 2025-26 budget surplus of $13,086.

Personnel Changes
Personnel costs make up 63.5% of the draft FY 2026–27 General Fund budget. The draft reflects a

3.2% increase in personnel expenses compared to the prior year, driven primarily by second-year adjustments under the three-year labor agreement. This agreement includes a 4% cost-of-living adjustment, effective July 2026 (FY 2026–27), approved by the City Council on May 6, 2025. Other than routine merit-based salary increases and minor staffing allocation adjustments, the draft budget does not include any significant changes to overall staffing levels. The Custodian position was removed from personnel costs, and the contract amount was added to maintenance and operations.

Maintenance and Operations
The Draft FY 2026-27 General Fund Budget allocates 25% to Maintenance and Operations costs, marking a 1.2% decrease from the previous year while maintaining the same level of service and

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Agenda Item No. 14 June 2, 2026 | 5
service quality. Despite this being a status quo budget, it is important to highlight several key changes and new expenses outlined in the draft FY 2026-27 Budget:
• Reduction of $40,000 in the Management Services budget, reflecting the completion of the Citywide Fee Study (October 2025) and City Manager recruitment completed in summer 2025. • Addition of $15,000 for Orange County Registrar of Voters' elections costs associated with the November 2026 La Palma City Council election.
• Reallocated meetings and training budgets to funds outside the General Fund, reducing the General Fund impact by approximately $42,000, across multiple departments. • Additional $12,000 in the Information Technology budget for ongoing software support and contracts.
• Increased costs of approximately $12,000 for Police Department body-worn and in-car camera system video redaction services.
• Added $25,000 in upfront costs for emergency 911 communications services and software, to be offset by a California Office of Emergency Services (Cal OES) grant. • Transitioned back to contracted custodial services, increasing the Public Works M&O budget by $70,000.
• Additional $13,000 allocated across multiple department budgets to cover increased vehicle operating expenses (e.g. fuel and maintenance).
• Allocated an additional $9,000 for the Veterans Day event to be held in November of each year.

Capital Improvement Program (CIP)
As part of the annual budget process, staff prepares a current-year and five-year CIP identifying major infrastructure projects planned for the upcoming fiscal year and four future years for inclusion in the proposed and adopted budget. In addition to listing the specific projects and their estimated cost, funding sources are identified. Generally, the City focuses its CIP on arterial and residential roadway rehabilitation (i.e., paving projects). However, the CIP also lists major projects such as water and sewer system upgrades, intersection improvements, or major repairs or rehabilitations to City facilities (e.g., roof replacement, Americans with Disability Act required improvements, seismic improvements, etc.).

Highlights of the proposed FY 2026-27 Capital Improvement Plan include:
• Continued progress on the City Yard renovation, including storage upgrades, roof repairs, storm drains, painting, pavement, and EV charging stations. • Ongoing collaboration with neighboring cities on the design, engineering, and environmental costs associated with the expansion of the Del Amo Avenue Bridge. • Interior refurbishment of the Police Department will include upgrades to office spaces, common areas, and facility finishes to improve functionality, appearance, and overall working conditions. The City has received Federal grant funding to pay $850,000 of the construction costs. The funding allocated in this year’s budget (FY 26-27) is for the design phase of the project, which is not grant-funded.
• Community Center refurbishments, including public restrooms and other recreational areas of the facility that are in need of rehabilitation.
• Ongoing maintenance and repairs for various water and sewer system projects to ensure reliable service delivery and maintain infrastructure integrity. • Street rehabilitation on Valley View (grant pending), and Moody & Walker Streets. • Parks improvements and renovations at Central Park playgrounds (grant pending).

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Agenda Item No. 14 June 2, 2026 | 6
• Utility upgrades for the Walker Well and City Yard booster stations include water pump motor controller upgrades, a pump replacement for the Walker Well, the City Yard reservoir rehabilitation, and large meter replacements throughout the City. • Street banner replacements for arterial street banner poles.

Appropriations Limit
Voters approved Proposition 4 in November 1979, adding Article XIIIB to the State of California's Constitution, establishing annual Appropriations Limits on state and local governmental entities. In June 1990, the voters approved Proposition 111, which modified the Appropriations Limit. The annual adjustment is derived using population and per-capita personal income inflation factors provided by the State of California's Department of Finance. The prior year's Appropriations Limit is multiplied by this component to arrive at the current year's Appropriations Limit. For FY 2026-27, the Appropriations Limit has been calculated to be $25,439,923.

FISCAL IMPACT:

The entire Proposed FY 2026-27 Budget includes total expenditures and transfers-out of $35,665,634.

The Proposed FY 2026-27 General Fund revenues and transfers-in are estimated to be $15,869,064, and expenditures and transfers-out are estimated to be $15,800,623.

ATTACHMENTS:

1. Resolution Adopting 2026-27 Budget

2. Resolution Adopting 2026-27 Appropriation Limits

3. Proposed Fiscal Year 2026-27 Budget Book (Link)

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City of La Palma: Resolution No. 2026-XX Page 1 of 4
RESOLUTION NO. 2026-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

LA PALMA, CALIFORNIA, APPROVING AND ADOPTING
A BUDGET FOR FISCAL YEAR 2026-27
WHEREAS, on May 5, 2026, and June 3, 2026, the City Manager of the City of La Palma presented to the City Council, of said City, a Proposed Budget for the Fiscal Year 2026-27; and
WHEREAS, the City Council held a duly noticed public hearing in the Council Chambers of City Hall of said City on June 2, 2026; and WHEREAS, the City Council did review said Proposed Budget for Fiscal Year 2026-27; and
WHEREAS, pursuant to Article VIII, Section 14-239 of the La Palma Municipal Code, the utility users tax shall be reviewed by the City Council on an annual basis, in conjunction with the City Council's consideration of the City's General Fund budget for the immediately succeeding fiscal year. Upon review, the City Council has determined that the rate of the tax should not be altered for Fiscal Year 2026-27; and WHEREAS, the original of said Proposed Budget will be revised so as to reflect each and all of the amendments, changes, and modifications that the City Council, up to the time of adoption of this resolution, believes should be made in said Proposed Budget as so submitted and to correct any non-substantive errors discovered.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LA PALMA DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The said Proposed Budget, including the five-year Capital Improvement Plan and five-year One-Time Project Plan, of the City of La Palma, California, for the Fiscal Year 2026-27, as so amended, modified, revised, and corrected, including those changes directed by the City Council meeting on June 2, 2026, is hereby approved and adopted. In adopting said budget, the City Council hereby instructs the City Manager to change the columns headed “Proposed” to “Adopted” for each of the several items of Personnel Services, Maintenance and Operations, and Capital Outlay and Improvements for each of the various funds, departments, programs, and accounts as set forth in said Adopted Budget and, as so amended, modified, and corrected, and hereby approves the distribution of the salary detail, maintenance and operations detail, capital outlay and improvements detail, policy revisions, and contractual arrangements

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City of La Palma: Resolution No. 2026-XX Page 2 of 4
noted in the program description and program explanation sections of the “Program Summary” pages, and interfund transactions and transfers shown under each of the respective funds, departments, programs, and accounts, and each of the respective “Item Description” accounts and explanatory data in its entirety, each provision of which should be construed to give effect to the entire document. The City Manager is also directed to adjust beginning balances to reflect actual amounts, to the extent they are known, and, in accordance with standard budgeting and appropriating practice, is authorized to transfer appropriations within and between departmental budgets as required to accommodate unforeseen operating requirements. The City Manager is further directed to round the various budget amounts to the nearest $100 for each line item.

SECTION 2. The City Council authorizes the City Manager to make changes in internal service fund allocations to departments to reflect any modifications made after the Adopted Budget was presented.

SECTION 3. The City Manager, for the purpose of administrative necessity in implementing the budget, shall have the authority to transfer monies to the appropriate item, account, program, department, or fund to cover expenditures, which have been approved by the City Council, except where such transfer is expressly prohibited in a resolution or ordinance approved by the City Council, such as transfers involving utility replacement funds. The City Manager shall also have the authority to transfer monies between and within funds to meet the operational needs of the City within established spending limits. The City Manager shall also have the authority to modify funding to use restricted sources first, like special revenue funds, before using non-restricted funds, like Capital Outlay Reserve fund, within established spending limits.

SECTION 5. The City Council finds that the Utility Users’ Tax rate shall be five percent (5%) for Fiscal Year 2026-27.

SECTION 6. The City Manager is hereby authorized and instructed to take all steps necessary to implement this Resolution.

SECTION 7. The original of said budget for the City of La Palma, California, for the Fiscal Year 2026-27 as now before this City Council, and as amended, modified, revised, and corrected by City Council and staff, in open session, shall be placed on file in the office of the City Clerk of the City of La Palma, California, open to public inspection, and that said Adopted Budget is expressly incorporated in this resolution and made a part thereof. The City Clerk is hereby instructed to have copies of the Adopted Budget duplicated and available for public review and inspection and a copy provided to the Orange County Public Library, La Palma Branch, as soon as practicable.

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City of La Palma: Resolution No. 2026-XX Page 3 of 4
APPROVED AND ADOPTED by the City Council of the City of La Palma at a regular meeting held on the 2nd day of June, 2026.
________________________________
Nitesh P. Patel
Mayor
ATTEST:

__________________________________
Norma I. Alley, MMC
City Clerk

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City of La Palma: Resolution No. 2026-XX Page 4 of 4

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS.

CITY OF LA PALMA )
I, NORMA I. ALLEY, MMC, City Clerk of the City of La Palma, California, DO HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of said City at a regular meeting of said City Council held on the 2nd day of June 2026, and that it was so adopted by called vote as follows:

AYES:

NOES:

_______________________________
Norma I. Alley, MMC
City Clerk

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City of La Palma: Resolution No. 2026-XX Page 1 of 3
RESOLUTION NO. 2026-XX

A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF LA PALMA APPROVING AND

ADOPTING THE ANNUAL APPROPRIATIONS
LIMIT FOR FISCAL YEAR 2026-27
WHEREAS, the voters of California, on November 6, 1979, added Article XIIIB to the State Constitution, placing various limitations on the appropriations of state and local governments; and
WHEREAS, Proposition 111 established Fiscal Year 1986-87 as the base year for establishing the appropriations limit; and
WHEREAS, the City of La Palma has complied with the provisions of Article XIIIB in determining the appropriations limit for Fiscal Year 2026-27.

NOW, THEREFORE, the City Council of the City of La Palma does find, determine, and declare as follows:

SECTION 1. The appropriations limit for Fiscal Year 2026-27 is $25,439,923, as calculated on Exhibit A, attached hereto.

SECTION 2. In calculating the appropriations limit, the City has utilized the California per capita personal income growth factor for Fiscal Year 2026-27, as shown on Exhibit A, attached hereto.

SECTION 3. In calculating the appropriations limit, the City has utilized the population growth factor for the County of Orange for Fiscal Year 2026-27, as shown on Exhibit A, attached hereto.

SECTION 4. The City reserves the right to change or revise the growth factors associated with the calculation of the appropriations limit if such changes or revisions would result in a more advantageous appropriations limit in the present or future.

SECTION 5. The City Clerk shall certify to the adoption of this Resolution.

APPROVED AND ADOPTED by the City Council of the City of La Palma at a regular meeting held on the 2
nd day of June 2026.
________________________________
Nitesh Patel
Mayor

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City of La Palma: Resolution No. 2026-XX Page 2 of 3
ATTEST:
__________________________________
Norma I. Alley, MMC
City Clerk

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City of La Palma: Resolution No. 2026-XX Page 3 of 3

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS.

CITY OF LA PALMA )
I, NORMA I. ALLEY, MMC, City Clerk of the City of La Palma, California, DO HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of said City at a regular meeting of said City Council held on the 2
nd day of June 2026, and that it was so adopted by
called vote as follows:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________________
Norma I. Alley, MMC
City Clerk

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EXHIBIT A

CITY OF LA PALMA

APPROPRIATIONS LIMIT
FISCAL YEAR 2026-27
Appropriations Limit Calculation
Appropriations Limit Fiscal Year 2025-26 $ 24,330,062
Adjustment Factor for Fiscal Year 2026-27 x 1.04561685
Appropriations Limit Fiscal Year 2026-27 $ 25,439,923
FY 2025-26 Appropriations Subject to Limit and Appropriation Margin:

Proceeds of Taxes $ 12,431,100
Less Exclusions, Qualified Capital Outlay -
FY 2026-27 Appropriations Subject to Limit 12,431,100
FY 2026-27 Appropriations Limit 25,439,923
FY 2026-27 Appropriations Under Limit $ 13,008,823
Calculation of Adjustment Factor for Fiscal Year 2026-27 Per Capita Personal Income Change = 4.95%* 1.04950000
Population Change (County) = (0.37%)* x 0.99630000
Adjustment Factor for Fiscal Year 2026-27 1.04561685
*Data from the State DOF (see letter May 2026). Per capita personal income change % is the "price factor." The law then allows either the population change percent of the City or the County to be used, whichever is higher. For FY 2026-27, the County of Orange population change was used.

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Due to the large size of the attachment, a separate link has been created. You can open the file by clicking on the link provided below:

PROPOSED FISCAL YEAR 2026-27 BUDGET

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Agenda Item No. 15 June 2, 2026 | 1
City of La Palma
Agenda Item No. 15
MEETING DATE: June 2, 2026
TO: City Council
FROM: City Manager
SUBMITTED BY: Norma I. Alley, MMC, City Clerk
AGENDA TITLE:

Placement of a Paver for Former Mayor Edward J. Byrne in the Community Commemorative Area
RECOMMENDED ACTION:

Approve the Placement of a Paver for Former Mayor Edward J. Byrne in the Community Commemorative Area.

BACKGROUND:

Mayor Nitesh P. Patel submitted an application for former Mayor Edward J. Byrne to be memorialized in the City’s Community Commemorative Area. Former Mayor Byrne, a respected civic leader, accomplished engineer, and longtime public servant and resident, passed away on April 24, 2026, at the age of 92. He is survived by his wife, Mrs. Marilyn Byrne; his three children, Margaret, Edward, and Jean Marie; his six grandchildren; and one great-grandson.

Mr. Byrne was a veteran, having served in the United States Air Force for four years. He earned a degree in mechanical engineering from the Indiana Institute of Technology and was an engineer at Rockwell. He also served on the City Council for 13 years, from 1971 to 1984. He served as Mayor from 1972 to 1976 and from 1983 to 1984. His leadership came during a formative period in the City's growth, and he is widely recognized for his thoughtful and impactful role in guiding La Palma's development.

Former Mayor Byrne played a pivotal role in shaping the City's economic and recreational landscape.

In 1972, he helped advance the development of the 35-acre industrial park on Fresca Drive, which remains a central hub of business and economic activity in La Palma. In 1984, he was instrumental in the groundbreaking of Centerpointe La Palma, then Orange County's most innovative multi-use business park. His contributions extended beyond economic development as he was a strong advocate for community spaces and quality of life initiatives. He helped lead the development of Central Park, overseeing its groundbreaking and dedication in 1975. Mr. Byrne also led the dedication of the softball field expansion at Walker Junior High in 1984.

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Agenda Item No. 15 June 2, 2026 | 2
Throughout his public service, Mr. Byrne was known for his forward-thinking approach, steady leadership, and dedication to building a thriving, family-oriented community. His legacy is visible in the City's infrastructure, parks, and economic vitality.

Council Policy No. 4: Recognition provides guidelines for Memorial Plaques in the Community Commemorative Area in honor of residents and employees who have made tangible contributions to La Palma that transcend time and benefit the community as a whole. The criteria for selection are as follows:

1. Nominee must be deceased.

2. Nominee shall be an individual who resided in or was employed by the City of La Palma.

3. Nominee shall have devoted their time and effort to the betterment of the community and its residents.

4. Nominee’s contributions may have been in cultural arts, humanitarian or social concerns, economic well being, leisure and recreation, improving quality of life, or the history and development of La Palma.

5. Nominee’s contributions should be well known throughout the community.

Former Mayor Edward J. Byrne's service and dedication to the betterment of the city for its residents, as well as his well-known community contributions, meet the criteria for placement of a paver in the Community Commemorative Area.

FISCAL IMPACT:

The paver is estimated to cost approximately $160. Sufficient funding has been included in the proposed FY 2026-27 Budget (001-340-7400-00000).

ATTACHMENTS:

1. Nomination Form

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Agenda Item No. 16 June 2, 2026 | 1
City of La Palma
Agenda Item No. 16
MEETING DATE: June 2, 2026
TO: City Council
FROM: City Manager
SUBMITTED BY: Jesse Amend, Captain
AGENDA TITLE: Annual Military Equipment Report, Per Assembly Bill (AB) 481 RECOMMENDED ACTION:

Approve the Annual Military Equipment Report and adopt a Resolution renewing Ordinance 2022-03 in compliance with Assembly Bill (AB) 481.

SUMMARY:

On July 5, 2022, the City Council adopted Ordinance No. 2022-03 in compliance with Assembly Bill (AB) 481, thereby approving the La Palma Police Department’s Military Equipment Use Policy 709.

Pursuant to AB 481 and La Palma Police Department Policy No. 709, an annual military equipment report must be submitted to the City Council for each category of military equipment approved under the ordinance, beginning within one year of initial approval and continuing annually for as long as the equipment remains in use.

Additionally, AB 481 requires the governing body to review the ordinance at least once per year and to vote on whether to renew. The renewal of the ordinance is necessary to allow the Police Department to continue utilizing the military equipment currently maintained in its inventory. Staff is recommending the adoption of a Resolution that approves the renewal of Ordinance No. 2022-03.

The Police Department’s 2025 Annual Military Equipment Report is attached for the City Council’s review and consideration.

BACKGROUND:

Assembly Bill 481, codified in Government Code Sections 7070–7075, became effective on January 1, 2022. Under this law, law enforcement agencies must obtain approval from their governing body, via ordinance, prior to acquiring, deploying, using, or seeking funding for certain categories of military equipment. Additionally, law enforcement agencies are required to submit an annual report to the governing body detailing the use and status of military equipment and to make the report publicly available on the department’s website for as long as the equipment remains operational.

Within 30 days of submitting and publicly releasing the annual report, the Police Department must host at least one well-publicized community engagement meeting. The purpose of this meeting is to

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Agenda Item No. 16 June 2, 2026 | 2
discuss the report, answer questions, and receive feedback regarding the funding, acquisition, or use of military equipment.

It is important to clarify that the term “military equipment,” as defined by AB 481, does not necessarily refer to items procured directly from the military. The La Palma Police Department (LPPD) has not obtained any surplus military equipment through the federal 1033 Program. The items classified as “military equipment” under AB 481 includes tools and resources commonly used by law enforcement agencies across the country while engaging in best practices to enhance both public and officer safety.

The equipment identified in the attached report plays a vital role in LPPD’s ability to fulfill its mission of safeguarding the La Palma community. All equipment use is governed by strict internal policies and oversight. The adopted military equipment policy safeguards the public’s welfare, civil rights, and civil liberties. LPPD has not discovered reasonable alternatives to items listed in policy 709 that can achieve the same objectives of civilian and officer safety.

The policy emphasizes transparency, accountability, and oversight. All incidents involving use of force with such equipment are investigated in accordance with existing departmental procedures.

FISCAL IMPACT:

None.

ATTACHMENTS:

1. 2025 Annual Military Equipment Report

2. La Palma Police Department Policy 709

3. Resolution

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1 LA PALMA POLICE DEPARTMENT
2025 Annual Military Equipment Usage Report
The La Palma Police Department utilizes a variety of tools and equipment to ensure the safety of our community, especially during serious emergencies. Under California AB-481, which is codified in Government Code sections 7070 through 7075, some of this equipment is classified as “military equipment.”
The use of such equipment supports the Department’s mission of making La Palma one of the safest cities in America. These tools help officers respond more effectively and safely to highrisk situations while prioritizing the well-being of the public. This equipment is used only when necessary, and in some cases, only by specially trained personnel.

Members of the La Palma Police Department are committed to strengthening the partnership with our community by providing the best possible police service to everyone who lives, learns, works, or does business in La Palma. We are dedicated to protecting lives, property, and the quality of life of the people we serve through integrity, honor, ethics, and courage.

Emergencies are often unpredictable and fast-moving. In rare instances, supervisors must make rapid decisions regarding equipment use. These decisions are always guided by applicable laws, public safety needs, and respect for civil rights.

During the Calendar year 2025, there were no reported complaints or concerns relating to La Palma’s military equipment. There were no violations of department policy related to the deployment of military equipment by department members.

Certain military equipment, particularly ammunition and less lethal munitions, are used throughout the year on a regular basis for training purposes to maintain proficiency. Other than the purchase of ammunition and less lethal munitions as necessary, the La Palma Police Department intends to purchase up to two updated AR-15 rifles for Department SWAT Team members utilizing the Police Department’s budget. If it is determined throughout the year that additional military equipment must be purchased, it will only be done so in accordance with, department policy, city policy, and legislative requirements.

For the calendar year 2025, the only military equipment utilized for operational purposes was the Unmanned Aircraft Systems (UAS). The UAS was deployed on eight occasions to support various public safety efforts. These deployments included incidents involving suspects who fled from officers in which the UAS was used to help search for suspects; assisted with searching for possible discarded contraband from an apprehended suspect; assisted with searching for commercial burglary suspects; assisted another jurisdiction with monitoring a protest for potential civil unrest; provided aerial observation of a dwelling for a barricaded suspect; assisted another jurisdiction with aerial observation for a subject possibly shooting a pellet gun a neighbors; and assisted with the search of armed robbery suspects that occurred in another jurisdiction.

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2 CURRENT MILITARY EQUIPMENT INVENTORY
In accordance with AB-481 and as defined by Policy 709.1.1, the following represents the current inventory of what is deemed to be military equipment.

Category 1: Unmanned Aircraft Systems (UAS)
• Description & Capabilities:

UAS are battery-powered unmanned aircraft operated via remote controls. They provide live video feeds, enable image capture, and are used for aerial observation. The La Palma Police Department currently employs the DJI Mavic Mini, DJI Mavic Mini 4 Pro, DJI Mavic 2, and DJI Mavic 3T.
• Quantity: 4
• Expected Lifespan: 5 years
• Purpose:

To enhance public safety and support police operations while respecting individual privacy. Authorized uses include but not limited to:

1. Crime scene and traffic collision investigations

2. Critical incident management

3. Search and rescue for lost or missing persons

4. Evidence searches

5. Natural disaster response and evaluation

6. Searches for suspects who are believed to be hiding within a defined perimeter • Authorized Use:

Operation is limited to personnel with FAA Part 107 certification and department approved training, in compliance with department policy. • Initial Cost: $11,000
• Fiscal Impact: Approximately $1,000 annually for maintenance Category 10: Firearm – Rifle
• Description & Capabilities:

Shoulder-fired firearms that use the energy from a fixed metallic cartridge to fire a single projectile through a rifled bore with each trigger pull. o Inventory includes:
 27 Colt, Bushmaster, and Daniel Defense AR-15 patrol rifles (.223 or 5.56 caliber; 11,800 rounds on hand)
 1 DPMS Panther Arms rifle (.308 caliber; 0 rounds on hand) – assigned to SWAT
 1 select-fire Heckler & Koch MP-5 rifle (9mm; no designated rounds) • Quantity: 29
• Expected Lifespan: 20 years

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3 • Purpose:

To provide officers with a higher-capability firearm in situations where advanced firepower is anticipated. Deployment scenarios may include but not limited to:

1. Situations where an officer reasonably anticipates an armed encounter.

2. Situations where an officer reasonably expects the need to meet or exceed a suspect’s firepower

3. Encounters where an officer believes a suspect may be wearing body armor • Authorized Use:

Only officers who have completed a POST-approved 16-hour rifle training course and department approved training are authorized to deploy rifles per policy guidelines. • Initial Cost: Approximately $35,000
• Fiscal Impact:
o Maintenance: $25. per rifle annually
o Ammunition Costs:
 .223/5.56 caliber: $0–$5,000 annually
 .308 caliber: $0–$500 annually
 9mm: $0–$300 annually
Category 14: Less Lethal Shotgun
• Description & Capabilities:

The less lethal shotgun is used to deploy 12-gauge bean bag rounds at distances up to 75 feet. This allows officers to maintain space and reduce the immediacy of threats, aligning with de-escalation principles. The La Palma Police Department currently uses the Remington 870 less lethal shotgun with CTS Super-Sock brand bean bag round (current munition inventory: 44 rounds).
• Quantity: 8
• Expected Lifespan: 25 years
• Purpose:

To limit the escalation of conflict where employment of lethal force is prohibited or undesirable. Situations for the use of the less lethal weapon system my include but not limited to:

1. Suspects armed with weapons under controllable tactical conditions that allow for the safe application of the less lethal shotgun

2. Individuals making credible threats to harm themselves or others

3. Individuals throwing dangerous objects at people and/or officers

4. There is probable cause to believe that the suspect has already committed a crime of violence and is refusing to comply with lawful orders. • Authorized Use:

Only officers trained and certified by the department are permitted to deploy these weapons.
• Initial Cost: $400 per shotgun
• Fiscal Impact:
o Maintenance: $25. per shotgun annually
o Ammunition: $0–$2,000 annually

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Policy
709
La Palma Police Department
La Palma PD Policy Manual
Military Equipment
709.1 PURPOSE AND SCOPE
The purpose of this policy is to provide guidelines for the approval, acquisition, and reporting requirements of military equipment (Government Code § 7070; Government Code § 7071; Government Code § 7072).
709.1.1 DEFINITIONS
Definitions related to this policy include (Government Code § 7070):

Governing body – The elected or appointed body that oversees the Department.

Military equipment – Includes but is not limited to the following:
• Unmanned, remotely piloted, powered aerial or ground vehicles. • Mine-resistant ambush-protected (MRAP) vehicles or armored personnel carriers. • High mobility multipurpose wheeled vehicles (HMMWV), two-and-one-half-ton trucks, five-ton trucks, or wheeled vehicles that have a breaching or entry apparatus attached. • Tracked armored vehicles that provide ballistic protection to their occupants. • Command and control vehicles that are either built or modified to facilitate the operational control and direction of public safety units. • Weaponized aircraft, vessels, or vehicles of any kind. • Battering rams, slugs, and breaching apparatuses that are explosive in nature. This does not include a handheld, one-person ram.
• Firearms and ammunition of_.50 caliber or greater, excluding standard-issue shotguns and standard-issue shotgun ammunition.
• Specialized firearms and ammunition of less than_.50 caliber, including firearms and accessories identified as assault weapons in Penal Code § 30510 and Penal Code § 30515, with the exception of standard-issue firearms.
• Any firearm or firearm accessory that is designed to launch explosive projectiles. • Noise-flash diversionary devices and explosive breaching tools. • Munitions containing tear gas or OC, excluding standard, service-issued handheld pepper spray.
• Area denial electroshock devices, microwave weapons, water cannons, long-range acoustic devices (LRADs), acoustic hailing devices, and sound cannons. • Kinetic energy weapons and munitions.
• Any other equipment as determined by a governing body or a state agency to require additional oversight.

Published with permission by La Palma Police Department Military Equipment - 536

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La Palma Police Department
La Palma PD Policy Manual
Military Equipment
709.2 POLICY
It is the policy of the La Palma Police Department that members of this department comply with the provisions of Government Code § 7071 with respect to military equipment. 709.3 MILITARY EQUIPMENT COORDINATOR
The Chief of Police should designate a member of this department to act as the military equipment coordinator. The responsibilities of the military equipment coordinator include but are not limited to:
(a) Acting as liaison to the governing body for matters related to the requirements of this policy.
(b) Identifying department equipment that qualifies as military equipment in the current possession of the Department, or the equipment the Department intends to acquire that requires approval by the governing body.
(c) Conducting an inventory of all military equipment at least annually. (d) Collaborating with any allied agency that may use military equipment within the jurisdiction of La Palma Police Department (Government Code § 7071). (e) Preparing for, scheduling, and coordinating the annual community engagement meeting to include:

1. Publicizing the details of the meeting.

2. Preparing for public questions regarding the department’s funding, acquisition, and use of equipment.
(f) Preparing the annual military equipment report for submission to the Chief of Police and ensuring that the report is made available on the department website (Government Code § 7072).
(g) Establishing the procedure for a person to register a complaint or concern, or how that person may submit a question about the use of a type of military equipment, and how the Department will respond in a timely manner.
709.4 MILITARY EQUIPMENT INVENTORY
The following constitutes a list of qualifying equipment for the Department:
(See attachment "A")
709.5 APPROVAL
The Chief of Police or the authorized designee shall obtain approval from the governing body by way of an ordinance adopting the military equipment policy. As part of the approval process, the Chief of Police or the authorized designee shall ensure the proposed military equipment policy is submitted to the governing body and is available on the department website at least 30 days prior to any public hearing concerning the military equipment at issue (Government Code § 7071). The military equipment policy must be approved by the governing body prior to engaging in any of the following (Government Code § 7071):
(a) Requesting military equipment made available pursuant to 10 USC § 2576a.

Published with permission by La Palma Police Department Military Equipment - 537

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La Palma Police Department
La Palma PD Policy Manual
Military Equipment
(b) Seeking funds for military equipment, including but not limited to applying for a grant, soliciting or accepting private, local, state, or federal funds, in-kind donations, or other donations or transfers.
(c) Acquiring military equipment either permanently or temporarily, including by borrowing or leasing.
(d) Collaborating with another law enforcement agency in the deployment or other use of military equipment within the jurisdiction of this department. (e) Using any new or existing military equipment for a purpose, in a manner, or by a person not previously approved by the governing body.
(f) Soliciting or responding to a proposal for, or entering into an agreement with, any other person or entity to seek funds for, apply to receive, acquire, use, or collaborate in the use of military equipment.
(g) Acquiring military equipment through any means not provided above. 709.6 COORDINATION WITH OTHER JURISDICTIONS
Military equipment should not be used by any other law enforcement agency or member in this jurisdiction unless the military equipment is approved for use in accordance with this policy. Military equipment used by other jurisdictions that are providing mutual aid to this jurisdiction shall comply with their respective military equipment use policies in rendering mutual aid. 709.7 ANNUAL REPORT
Upon approval of a military equipment policy, the Chief of Police or the authorized designee should submit a military equipment report to the governing body for each type of military equipment approved within one year of approval, and annually thereafter for as long as the military equipment is available for use (Government Code § 7072).

The Chief of Police or the authorized designee should also make each annual military equipment report publicly available on the department website for as long as the military equipment is available for use. The report shall include all information required by Government Code § 7072 for the preceding calendar year for each type of military equipment in department inventory. 709.8 COMMUNITY ENGAGEMENT
Within 30 days of submitting and publicly releasing the annual report, the Department shall hold at least one well-publicized and conveniently located community engagement meeting, at which the Department should discuss the report and respond to public questions regarding the funding, acquisition, or use of military equipment.

Published with permission by La Palma Police Department Military Equipment - 538

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City of La Palma: Resolution No. 2026-XX Page 1 of 3
RESOLUTION NO. 2026-_____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA
PALMA, STATE OF CALIFORNIA RENEWING ORDINANCE NO.
2022-03 APPROVING THE CITY’S MILITARY EQUIPMENT
POLICY
WHEREAS, on September 30, 2021, Governor Gavin Newsom signed into law Assembly Bill 481 ("AB 481"), adding Chapter 12.8, "Funding, Acquisition and Use of Military Equipment", to Division 7 of Title 1 of the Government Code (sections 7070 - 7075), relating to the use of military equipment by California law enforcement agencies; and WHEREAS, AB 481 seeks to provide transparency, oversight, and an opportunity for meaningful public input on decisions regarding whether and how military equipment is funded, acquired, or used; and
WHEREAS, AB 481 requires, inter alia, the La Palma Police Department to submit to the City Council an annual military equipment report for each type of military equipment approved by the City Council; and
WHEREAS, on July 5, 2022, the City Council adopted Ordinance No. 2022-03, approving its Military Equipment Use Policy; and
WHEREAS, the City Council shall review its Ordinance approving the funding, acquisition, or use of military equipment at least annually and vote on whether to renew the Ordinance at a regular meeting; and
WHEREAS, the City Council shall determine, based on the annual military equipment report submitted, whether each type of military equipment identified in the annual report has complied with the standards for approval set forth in its Ordinance; and WHEREAS, the City Council has reviewed the annual military equipment report submitted by the La Palma Police Department and determined the military equipment has complied with the standards for approval set forth in its Ordinance; and WHEREAS, the City Council previously reviewed its annual military equipment report and Ordinance No. 2022-03 on June 3, 2025 and voted to renew Ordinance No. 2022-03 by Resolution No. 2025-33; and
WHEREAS, the City Council now desires to review and renew Ordinance No. 2022-03 once again.

NOW, THEREFORE, BE IT RESOLVED, the City Council of the City of La Palma does hereby resolves as follows:

SECTION 1. The above recitals are true and correct and are a substantial part of this resolution.

SECTION 2. City of La Palma Ordinance No. 2022-03 is hereby renewed.

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City of La Palma: Resolution No. 2026-XX Page 2 of 3
SECTION 3. Severability Clause. Should any section, clause, or provision of this Resolution be declared by the Courts to be invalid, the same shall not affect the validity of the Resolution as a whole, or parts thereof, other than the part so declared to be invalid.

SECTION 4. The City Council finds that this Resolution is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly.

SECTION 5. The City Clerk shall certify to the passage and adoption of this resolution and shall affix their signature and City Seal and that same shall be entered into the Book of Resolutions.

APPROVED AND ADOPTED by the City Council of La Palma at a Regular Meeting on the 2 nd day of June 2026.
__________________________
Nitesh P. Patel
Mayor
ATTEST:
_____________________
Norma I. Alley, MMC
City Clerk

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City of La Palma: Resolution No. 2026-XX Page 3 of 3

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS.

CITY OF LA PALMA )
I, NORMA I. ALLEY, MMC, City Clerk of the City of La Palma, California, DO HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of said City at a regular meeting of said City Council held on the 2nd day of June, 2026, and that it was so adopted by called vote as follows:

AYES:

NOES:

_______________________________
Norma I. Alley, MMC
City Clerk

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Agenda Item No. 17 June 2, 2026 | 1
City of La Palma
Agenda Item No. 17
MEETING DATE: June 2, 2026
TO: City Council
FROM: City Manager
SUBMITTED BY: Alisha Farnell, Assistant to the City Manager AGENDA TITLE: Council Chambers Video Streaming System
RECOMMENDED ACTION:

It is recommended the following actions be taken:

1. Provide direction on the configuration of the integrated audio-visual system; and

2. Authorize the City Manager to negotiate a final Scope of Work and execute an Agreement, in conjunction with the City Attorney, between the City of La Palma and Western Audio Visual in an amount not to exceed $79,457.90, in substantial form as contained in Attachment 1.

SUMMARY:

At the April 7 meeting, the City Council directed the City Manager to return to a future Council Meeting with options for implementation of video conferencing in the Council Chambers prior to the August 4, 2026 meeting.

Staff subsequently issued a Request for Proposal (RFP) to solicit proposals from qualified firms for the purchase and installation of a professional-grade integrated system capable of live-streaming, recording, and providing enhanced remote public participation for City Council meetings. The City received proposals from three firms. Each proposal included three tiered configuration options, ranging from a base-scope single camera system to a top-tier multi-camera system.

Based on a thorough review of these proposals, staff recommends engaging Western Audio Visual (WAV) based on their strong qualifications, proposed project schedule, and extensive regional experience. WAV is well known within the civic and government markets, with over 30 years of experience integrating similar systems into Council Chambers and boardrooms. Their recent relevant projects include the cities of Cerritos and Carson, alongside completed work for Brea, Buena Park, Cypress, and Los Alamitos.

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Agenda Item No. 17 June 2, 2026 | 2
The following table represents a summary of the tiered options included in WAV's proposal:

At this time, staff is seeking Council direction on the final system configuration. Staff recommends the City Council select WAV's Top-Tier Chamber Upgrade, with modifications based on system operator requirements and to accommodate any specific direction received tonight. Furthermore, staff recommends the Council authorize the City Manager to negotiate a final Scope of Work and execute an Agreement with WAV in an amount not to exceed $79,457.90, subject to approval as to form by the City Attorney. The City's sample Agreement for Consultant Services (Attachment 1) was included in the RFP, and WAV identified no exceptions to the standard and conditions.

FISCAL IMPACT:

Contingent upon Council direction, approval of this item authorizes the City Manager to execute an Agreement with Western Audio Visual in the amount not to exceed $79,457.90 for the purchase, installation, and maintenance of the integrated audio-visual system. Sufficient funding is available in the Public, Educational, and Government (PEG) fund to cover the total cost of this project.

Tier Description Cost
Low-Tier One camera, control system, and signal
distribution system. Integrates existing
audio equipment.
$44,709.15
Mid-Tier Two cameras, control system, signal
distribution system, and audio system
(speakers). Integrates existing
microphones.
$60,275.29
Top-Tier Three cameras, control system, signal
distribution system, audio system (speakers
and microphones), and display system.
$79,457.90
ATTACHMENTS:

1. Attachment 1 - Standard Agreement Form

2. Attachment 2 - Western Audio Visual Proposal

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AGREEMENT FOR CONSULTANT SERVICES [COMPANY NAME]
THIS AGREEMENT FOR CONSULTANT SERVICES (hereinafter, the “Agreement”), is entered into as of [DATE], by and between the CITY OF LA PALMA, a municipal corporation (hereinafter, the “City”), and [COMPANY NAME], a corporation (hereinafter, the “Consultant”). The Consultant and the City are hereafter together referred to as the “Parties” and each individually as a “Party.”

RECITALS
A. The City requires the services of, and desires to retain, a consultant to perform the services set forth and described in the Scope of Work attached hereto as Exhibit “A” and incorporated herein by this reference (hereinafter, the “Consultant Services”).

B. By virtue of the Consultant’s expertise, experience, and background, the Consultant is qualified to perform the Consultant Services for and on behalf of the City.

C. The City and the Consultant mutually desire to enter into this Agreement for the provision of the Consultant Services by the Consultant for and on behalf of the City, in accordance with the terms and conditions set forth herein.

EXECUTORY AGREEMENTS
NOW, THEREFORE, in consideration of the facts recited above and the covenants, conditions, and promises contained herein, the City and the Consultant mutually agree as follows:

1. RETENTION AND DUTIES OF CONSULTANT

1.1 Retention of Consultant. The City hereby retains the Consultant, and the Consultant accepts this retention from the City, to perform the Consultant Services as set forth in the Scope of Work attached hereto as Exhibit “A”.

1.2 Term. This Agreement shall commence on ______ __, 20__, and shall be in full force and effect through ________ __, 20__, unless sooner terminated pursuant to the provision of this Agreement.

1.3 Standard of Performance. The Parties mutually acknowledge that the City has retained the Consultant to perform the Consultant Services based upon the special skills, expertise, and experience of the Consultant. Accordingly, in performing the Consultant Services, the Consultant shall use the skill and care that a highly specialized professional with significant expertise in the field, would use under similar circumstances. To the extent that the Consultant retains sub-consultants or subcontractors to perform any portion of any of the Consultant Services, to the extent permitted hereunder, the Consultant has a duty to the City to ensure that the tasks and services performed by such sub-consultants and subcontractors meet the same highly specialized professional level, skill, and expertise expected of the Consultant.

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1.4 Licenses, Permits, Fees, and Approvals. The Consultant shall obtain at its sole cost and expense such licenses, permits, and approvals as may be required by law for the performance of the Consultant Services prior to commencing work. The Consultant and its employees, agents, and sub-consultants or subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required for the performance of the Consultant Services. The Consultant shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Consultant’s performance of the Consultant Services, and shall indemnify, defend and hold harmless the City and City Personnel against any such fees, assessments, taxes, penalties or interest levied, assessed, or imposed against the City hereunder.

1.5 Personnel. The Consultant shall at all times allocate sufficient qualified personnel as required to perform the Consultant Services. The Consultant represents that the Consultant Services will be performed by the Consultant or under its direct supervision, and that all personnel engaged in such work shall be fully qualified and shall be authorized and permitted under applicable Federal, State and local law to perform such tasks and services. The Consultant shall pay all wages, salaries, and other amounts due to such personnel in connection with their performance of the Consultant Services and as required by law.

1.6 Materials. The Consultant shall equip itself with all necessary goods, materials, equipment and personal property to perform the services specified in this Agreement. The Consultant shall at all times ensure that all goods, materials, equipment and personal property included within the Consultant Services shall be of good quality, fit for the purpose intended.

1.7 Warranty. By executing this Agreement, the Consultant warrants that the Consultant (i) has thoroughly investigated and considered the Consultant Services to be performed, (ii) has carefully considered how the Consultant Services should be performed, and (iii) fully understands the facilities, difficulties, and restrictions attending performance of the Consultant Services.

1.8 Coordination With City. In the performance of the Consultant Services, the Consultant shall report to and receive instructions from the [DEPT HEAD TITLE] of the City or his or her designee (“Contract Administrator”). Tasks or services other than those specifically described in the Scope of Work shall not be performed by the Consultant or any sub-consultant or subcontractor without the prior written approval of the Contract Administrator pursuant to Section 1.11 herein.

1.9 Subcontracting Prohibited. The Consultant shall not subcontract the performance of any of the Consultant Services without the prior written approval of the Contract Administrator.

1.10 Project Manager. The Consultant agrees that the following person shall be the project manager on behalf of the Consultant under this Agreement, and shall be principally responsible for performing the Consultant Services:
[PROJECT MANAGER]
Notwithstanding the foregoing, the Parties acknowledge that persons other than the abovedesignated project manager of the Consultant may perform tasks or services under this Agreement if the performance of such tasks or services is under the supervision and control of the Consultant’s project manager. The Consultant shall not alter the assignment of the above-designated project manager without the prior written approval of the Contract Administrator.

1.11 Additional Services. If the City changes the scope of the Consultant Services to be performed by the Consultant, or if the Consultant is requested to perform services not specifically described in the Scope of Work (“Additional Services”), the Consultant shall perform such services as are necessary to complete the work, and compensation for the work performed shall be paid by the City in accordance with the Budget and Fee Schedule attached hereto as Exhibit “B” and incorporated herein by this reference, or as otherwise may be agreed in writing by the City and the Consultant. It is expressly understood by the Consultant that the provisions of this Section 1.11 shall not apply to services specifically set forth in the Scope of Work or reasonably contemplated therein. The Consultant hereby

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acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Services may be more costly or time consuming than the Consultant anticipates and that the Consultant shall not be entitled to additional compensation therefor. Unless contradictory of this Section 1.11, all provisions in this Agreement applicable to the Consultant’s performance of the Consultant Services shall also apply to the Additional Services.

2. COMPENSATION TO CONSULTANT

2.1 Payment by the City. The City shall pay to the Consultant for the performance of the Consultant Services compensation in accordance with the Budget and Fee Schedule attached hereto as Exhibit “B”.

2.2 Invoices. The Consultant shall invoice the City on a monthly basis for all work performed by the Consultant under this Agreement. Invoices shall include billings for all charges, including authorized direct costs incurred by the Consultant during the month covered by the invoice. All charges for labor or professional services shall describe with specificity the services rendered and shall set forth the number of hours worked and hourly rates in accordance with the Budget and Fee Schedule.

Within thirty (30) days of receipt of an invoice, and upon determination by the City that the invoice is in order and that the Consultant has performed all requested or required services in a timely and competent manner, the City shall pay such invoice.

2.3 Record of Payment. The Consultant shall maintain records on all services for and charges to the City under this Agreement for a period of not less than twenty-four (24) months, or for any longer period required by law, after the termination of this Agreement, and make such records available for review and audit if requested by the City at any time during the term, or within twenty-four (24) months, or for any longer period required by law, after the termination of this Agreement. All such records shall be maintained in accordance with generally accepted accounting principles and shall be clearly identified and readily accessible.

3. LEGAL RESPONSIBILITIES

3.1 Compliance with Law. The Consultant shall keep fully informed of all Federal and State laws and regional, county, and municipal ordinances and regulations which may in any manner affect those employed by the Consultant or the performance by the Consultant of any tasks or services for or on behalf of the City. The Consultant shall at all times observe and comply with all such laws, ordinances, and regulations, and shall be responsible for the compliance therewith of all work and services performed by the Consultant by or on behalf of the City.

3.2 Independent Contractor. The Consultant is retained as an independent contractor only, for the sole purpose of rendering the Consultant Services, and is not an employee of the City. The City shall have the right to control the Consultant only as to results of the Consultant’s services rendered pursuant to this Agreement, and the City shall not have the right to control the means by which the Consultant accomplishes the services performed under this Agreement.

3.3 Non-Discrimination. The Consultant shall not discriminate against any employee or applicant for employment because of any impermissible classification pursuant to Federal or State law, including, but not limited to, race, color, religion, national origin, gender, physical or mental disability, age, military status, sexual orientation, gender identity, gender expression, or marital or familial status. The Consultant shall incorporate the foregoing provisions in all subcontracts.

3.4 Proprietary Information. All proprietary information developed by the Consultant in connection with, or resulting from, this Agreement, including but not limited to inventions, discoveries, improvements, copyrights, patents, maps, reports, textual material, or software programs, shall be the sole and exclusive property of the City, without restriction or limitation upon their use. The Consultant agrees that the compensation to be paid pursuant to this Agreement includes adequate and sufficient compensation for any proprietary information developed in connection with or resulting from the performance of the Consultant Services under this Agreement. The Consultant further understands and agrees that full disclosure of all proprietary information developed in connection with, or resulting from,

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the performance of services by the Consultant under this Agreement shall be made to the City, and that the Consultant shall do all things necessary and proper to perfect and maintain ownership of such proprietary information by the City. The Consultant hereby agrees to deliver such proprietary information to the City upon the expiration or termination of this Agreement. It is understood and agreed that the proprietary information prepared pursuant to this Agreement is prepared specifically for the City and is not necessarily suitable for any future or other use. The Parties agree that, until final approval by the City, all data, plans, specifications, reports, and other documents are confidential and will not be released to third parties without prior written consent of both Parties unless required by law.

3.5 Patented and Copyright Materials. The Consultant shall assume all costs arising from the use of patented or copyrighted materials, including but not limited to equipment, devices, processes, and software programs, used or incorporated in the services or work performed by the Consultant under this Agreement. Pursuant to Section 3.7 herein, the Consultant shall indemnify, defend (with legal counsel acceptable to the City), and hold the City and its elected and appointed boards, members, officials, officers, agents, representatives, employees, and volunteers (“City Personnel”) harmless from any and all suits, actions, or proceedings of every nature for or on account of the use of any patented or copyrighted materials.

3.6 Prevailing Wages. The Parties have determined that prevailing wage laws do not apply to this Agreement because the Consultant Services do not include construction, alteration, demolition, installation, or repair work or other otherwise exempt under California’s prevailing wage laws (Lab. Code, § 1720 et seq.). Notwithstanding the foregoing, it is agreed by the Parties that, in connection with performance of the Consultant Services, including, without limitation, any and all public works (as defined by applicable law), the Consultant shall bear all risks of payment or non-payment of prevailing wages under California law and/or the implementation of Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar law. Pursuant to Section 3.7 herein, the Consultant shall indemnify, defend (with legal counsel acceptable to the City), and hold the City and City Personnel harmless from and against any liability, loss, damage, cost or expenses (including but not limited to reasonable attorneys’ fees, expert witness fees, court costs, and costs incurred related to any inquiries or proceedings) arising from or related to (i) the noncompliance by the Consultant or any party performing the Consultant Services of any applicable local, state, and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, the requirement to pay state prevailing wages and hire apprentices); (ii) the implementation of Section 1781 of the Labor Code, as the same may be amended from time to time, or any other similar law; and/or (iii) failure by the Consultant or any party performing the Consultant Services on the Consultant’s behalf to provide any required disclosure or identification as required by Labor Code Section 1781, as the same may be amended from time to time, or any other similar law.

3.7 Indemnification.

3.7.1 Indemnification of the City. Except as set forth in subdivision 3.7.2, the Consultant shall indemnify, defend (with legal counsel acceptable to the City), and hold harmless the City and City Personnel from and against any and all actions, suits, claims, demands, judgments, attorneys fees, costs, damages to persons or property, losses penalties, obligations, expenses, or liabilities (“Claims”) that may be asserted or claimed by any person or entity arising out of the Consultant’s performance of any tasks or services for or on behalf of the City, whether or not there is concurrent active or passive negligence on the part of the City and/or any City Personnel, but excluding any Claims arising from the sole negligence or willful misconduct of the City or any City Personnel. The Consultant shall defend any action or actions filed in connection with any such claims or liabilities, and shall pay all costs and expenses, including attorney’s fees incurred in connection therewith. The Consultant shall promptly pay any judgment rendered against the City or any City Personnel for any such claims or liabilities.

In the event the City and/or any City Personnel is made a party to any action or proceeding filed or prosecuted for any such Claims arising out of or in connection with the work being performed

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or services being provided under this Agreement, the Consultant shall pay to the City any and all costs and expenses incurred by the City or City Personnel in such action or proceeding, together with reasonable attorney’s fees and expert witness fees.

3.7.2 Design Professionals. The provisions of this subdivision 3.7.2 apply only in the event that the Consultant is a “design professional” within the meaning of the California Civil Code Section 2782.8(c). If the Consultant is a “design professional” within the meaning of Section 2782.8(c), then notwithstanding subdivision 3.7.1 above, to the fullest extent permitted by law (including, without limitation, Civil Code Sections 2782 and 2782.6), the Consultant shall defend (with legal counsel reasonably acceptable to the City), indemnify, and hold harmless the City and City Personnel from and against any Claim that arises out of, pertains to, or relates to, directly or indirectly, in whole or in part, the negligence, recklessness, or willful misconduct of the Consultant, any sub-consultant, subcontractor, or any other person directly or indirectly employed by them, or any person that any of them control, arising out of the Consultant’s performance of any task or service for or on behalf of the City under this Agreement. Such obligations to defend, hold harmless, and indemnify the City or any City Personnel, shall not apply to the extent that such Claims are caused in part by the sole negligence or willful misconduct of the City or such City Personnel. The Consultant’s cost to defend the City and/or City Personnel against any such Claim shall not exceed the Consultant’s proportionate percentage of fault with respect to that Claim; however, pursuant to Civil Code section 2782.8(a), in the event that one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the Consultant shall meet and confer with the City (and, if applicable, other parties) regarding any unpaid defense costs. To the extent the Consultant has a duty to indemnify the City or any City Personnel under this subdivision (b), the Consultant shall be responsible for all incidental and consequential damages resulting directly or indirectly, in whole or in part, from the Consultant’s negligence, recklessness, or willful misconduct.

3.8 Retention of Funds. The Consultant hereby authorizes the City to deduct from any amount payable to the Consultant (whether arising out of this Agreement or otherwise) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate the City for any losses, costs, liabilities, or damages suffered by the City, and all amounts for which the City may be liable to third parties, by reason of the Consultant's negligent acts, errors, or omissions, or willful misconduct, in performing or failing to perform the Consultant's obligations under this Agreement. The City in its sole and absolute discretion, may withhold from any payment due to the Consultant, without liability for interest, an amount sufficient to cover such claim. The failure of the City to exercise such right to deduct or withhold shall not act as a waiver of the Consultant's obligation to pay the City any sums the Consultant owes the City.

3.9 Insurance. The Consultant shall not commence the performance of any work or services under this Agreement until the Consultant has obtained all insurance required hereunder, nor shall the Consultant allow any sub-consultant or subcontractor to commence services until all such insurance has been obtained by the sub-consultant or subcontractor. Current certification of insurance shall be kept on file with the City at all times during the term of this Agreement. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. All insurance policies shall be issued by an insurance company currently authorized by the California Department of Insurance to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VI (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager. The Consultant shall take out and maintain at all times during the performance of this Agreement the following policies of insurance:

3.9.1 Workers Compensation Insurance to cover the Consultant’s

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employees as required by law; and the Consultant shall require all subcontractors to provide such compensation insurance for all of the latter’s employees. Each such policy of worker compensation insurance shall carry the following endorsements:
(a) “The insurer waives all rights of subrogation against THE CITY OF LA PALMA, its officers, officials, agents, employees, and representatives.”
(b) “This insurance policy shall not be canceled, limited or nonrenewed by the insurer until thirty (30) days after receipt by THE CITY OF LA PALMA of a written notice of such cancellation, limitation, or reduction of coverage.”

3.9.2 Comprehensive General Liability Insurance for bodily injury, death, and property damage which may arise from the negligent performance of the Consultant, its employees, agents representatives, successors, and assigns while performing work or services under this Agreement, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate. Each such policy of insurance shall be in a form satisfactory to the City and shall contain the following endorsements:
(a) “THE CITY OF LA PALMA, its officers, officials,
employees, and representatives, are hereby declared to be additional insureds under the terms of this policy with respect to the operations and activities of the named insured at or from the premises of THE CITY OF LA PALMA described above.” (b) “This insurance policy shall not be canceled, limited, or not renewed until thirty (30) days after receipt by THE CITY OF LA PALMA of a written notice of such cancellation, limitation, or reduction of coverage.” (c) “This insurance policy is primary insurance and no insurance held or owned by the designated additional insureds shall be called upon or looked to cover a loss under said policy; THE CITY OF LA PALMA shall not be liable for the payment of premiums or assessments on this policy.”

3.9.3 Comprehensive Automobile Liability Insurance, including owned, non-owned, and hired automobiles, in a minimum Combined Single Limit of $1,000,000 per occurrence for bodily injury, death, and property damage. Each such policy of insurance shall be in a form satisfactory to the City and shall contain the following endorsements:
(a) “THE CITY OF LA PALMA, its officers, officials,
employees, and representatives, are hereby declared to be additional insureds under the terms of this policy with respect to the operations and activities of the named insured at or from the premises of THE CITY OF LA PALMA described above.” (b) “This insurance policy shall not be canceled, limited, or not renewed until thirty (30) days after receipt by THE CITY OF LA PALMA of a written notice of such cancellation, limitation, or reduction of coverage.” (c) “This insurance policy is primary insurance and no insurance held or owned by the designated additional insureds shall be called upon or looked to cover a loss under said policy; THE CITY OF LA PALMA shall not be liable for the payment of premiums or assessments on this policy.”

3.9.4 Professional Liability Insurance to protect the City from the Consultant’s negligent acts, errors, and omissions of a professional nature, with coverage in a minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and the Consultant agrees to maintain continuous coverage through a period no less than three (3) years after completion of the services required by this Agreement.

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3.9.5 Renewal of Insurance. At least thirty (30) days prior to the expiration of any policy of insurance required under Paragraph 3.9.1, 3.9.2, 3.9.3 or 3.9.4, a signed complete certificate of insurance, with all endorsements provided herein, showing that such insurance coverage has been renewed or extended, shall be filed with the City.

3.9.6 Prohibited Insurance Provisions. Insurance policies required under Paragraph 3.9.1, 3.9.2, 3.9.3 or 3.9.4, shall not include any limiting provision or endorsement that has not been submitted to the City for approval. By way of example, additional insured endorsements shall not be limited to “ongoing operations,” exclude contractual liability, restrict coverage to the “sole” liability of the Consultant, or contain any other limitation contrary to this Agreement.

3.9.7 Variations to Insurance Requirements. The City may, but is not required to, approve in writing a variation in the foregoing insurance requirements, upon a determination that the coverage, scope, limits, and forms of such insurance are either not commercially available, or that the City’s interests are otherwise fully protected.

3.10 Conflicts of Interest.

3.10.1 City Personnel. No City Personnel shall have any financial interest, direct or indirect, in this Agreement, or participate in any decision relating to this Agreement that affects his or her financial interest or the financial interest of any corporation, partnership, association or other entity in which he or she is interested, in violation of any federal, state or city statute, ordinance or regulation. The Consultant shall not employ any such person while this Agreement is in effect.

3.10.2 Consultant. The Consultant represents, warrants and covenants that he, she or it presently has no interest, direct or indirect, which would interfere with or impair in any manner or degree the performance of the Consultant’s obligations and responsibilities under this Agreement. The Consultant further agrees that while this Agreement is in effect, the Consultant shall not acquire or otherwise obtain any interest, direct or indirect, that would interfere with or impair in any manner or degree the performance of the Consultant’s obligations and responsibilities under this Agreement. The Consultant acknowledges that pursuant to the provisions of the Political Reform Act (Government Code section 87100 et seq.), the City may determine the Consultant to be a “consultant” as that term is defined by the Act. In the event the City makes such a determination, the Consultant agrees to complete and file a “Statement of Economic Interest” with the City Clerk to disclose such financial interests as required by the City.

In such event, the Consultant further agrees to require any other person doing work under this Agreement to complete and file a “Statement of Economic Interest” to disclose such other person’s financial interests as required by the City.

3.11 No Undue Influence. The Consultant declares and warrants that no undue influence or pressure is used against or in concert with any officer or employee of the City in connection with the award, terms or implementation of this Agreement, including any method of coercion, confidential financial arrangement, or financial inducement. No officer or employee of the City shall receive compensation, directly or indirectly, from the Consultant, or from any officer, employee, or agent of the Consultant, in connection with the award of this Agreement or any work to be conducted as a result of this Agreement. The Consultant further warrants that it has not employed or retained any company or person other than a bona fide employee working for the Consultant, to solicit or secure this Agreement and that it has not paid or agreed to pay any company or person any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty, the City shall have the right to annul this Agreement without liability or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift or contingent fee.

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3.12 No Benefit to Arise to City Employees. No member, officer, or employee of the City, or their designees or agents, and no public official who exercises authority over or has responsibilities with respect to this Agreement during his/her tenure or for one (1) year thereafter, shall have any interest, direct or indirect, in any agreement or sub-agreement, or the proceeds thereof, for the Consultant Services to be performed under this Agreement.

4. RIGHTS AND REMEDIES

4.1 Termination By the City. The City reserves and has the right and privileges, at its sole discretion and with or without cause at any time during the term of this Agreement, of suspending, canceling or terminating this Agreement or any work in connection with this Agreement with or without any breach or failure to perform of the Consultant. Upon receipt of any notice of termination from the City, the Consultant shall immediately cease all services hereunder except such as may be specifically approved in writing by the Contract Administrator. In the event of termination under this Section 4.1, all finished or unfinished data, studies, maps, reports, and other items prepared by the Consultant shall become the property of the City, and the Consultant shall promptly deliver such items to the City. In the event of termination under this Section 4.1, the City shall pay the Consultant for all authorized services performed and for all authorized and invoiced expenses incurred up to the date of termination of this Agreement, on a time and materials basis in accordance with the Budget and Fee Schedule attached hereto as Exhibit “B”.

4.2 Performance to the City’s Satisfaction. The Consultant agrees to perform all work to the reasonable satisfaction of the City. If the services performed under this Agreement are not satisfactory, the City has the right to take appropriate action, including but not limited to: (i) meeting with the Consultant, its agents or subcontractors to review the quality of the work and resolve matters of concern; (ii) requiring the Consultant to have the work repeated at no additional fee until it is satisfactory; (iii) withholding payment of the City’s compensation to the Consultant for any unsatisfactory work performed; (iv) suspending delivery of work to the Consultant for an indefinite time; and/or (v) terminating this Agreement.

4.3 Default, Remedies.

4.3.1 Default of Insurance Requirements. In addition to any other remedies at law or equity the City may have if the Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time required by Section

3.9 herein, the City may, at its sole option, exercise any of the following remedies, which are alternatives to other remedies the City may have and are not the exclusive remedy for the Consultant’s breach:
(a) Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under this Agreement; (b) Order the Consultant to stop work under this Agreement or withhold any payment that becomes due to the Consultant hereunder, or both, until the Consultant demonstrates compliance with the insurance requirements herein; and/or (c) Immediately terminate this Agreement.

4.3.2 Other Defaults. In addition to any other remedies at law or equity the City may have, if the Consultant materially breaches any of the terms of this Agreement, the City's remedies shall include, but not be limited to, any or all of the following:
(a) Immediately terminate this Agreement; and/or
(b) Take over the work and prosecute the same to completion by contract with another consultant or otherwise, and the Consultant shall be liable to the extent that the total cost for completion of the services required hereunder, including

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costs incurred by the City in retaining a replacement consultant and similar expenses, exceeds the Budget contained in Exhibit “B”.

4.4 Force Majeure. Any time period specified in this Agreement for performance of services shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the City or the Consultant, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, if the delaying Party shall within ten (10) days of the commencement of such delay notify the other Party in writing of the causes of the delay (“Force Majeure Event”). If the Consultant is the delaying Party, the City shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of the City such delay is justified. The City’s determination shall be final and conclusive upon the parties to this Agreement. In no event shall the Consultant be entitled to recover damages against the City for any delay in the performance of this Agreement, however caused. The Consultant’s sole remedy shall be extension of this Agreement pursuant to this section. For the avoidance of doubt, Force Majeure shall not include (a) financial distress nor the inability of either party to make a profit or avoid a financial loss, (b) changes in the market prices or conditions, or (c) a party’s financial inability to perform its obligations hereunder.

The current events related to the COVID-19 pandemic are known and shall not constitute Force Majeure Event, future impacts of the COVID-19 pandemic may be considered a Force Majeure Event to the extent that they prevent the performance of a Party's obligations under this Agreement.

5. MISCELLANEOUS

5.1 Notices. All notices, invoices or other instruments required or permitted to be given under this Agreement shall be served by personal delivery or deposited in a United States mail depository, postage prepaid, and addressed as follows:

If to the City: CITY OF LA PALMA
7822 Walker Street
La Palma, CA 90623
Attn: [DEPT HEAD TITLE]
If to the Consultant: [NAME OF COMPANY]
[ADDRESS OF COMPANY]
or such other address or person as either Party may indicate to the other in writing. Service of any instrument by mail shall be deemed effective forty-eight (48) hours after deposit in a United States mail depository, postage prepaid, and addressed as set forth above.

5.2 Integration. This Agreement represents the entire understanding of the City and the Consultant as to those matters contained herein, and no prior oral or written understanding shall be of any force or effect with regard to those matters covered by this Agreement. This Agreement may not be modified, altered, or amended except in writing signed by both the City and the Consultant. The Contract Administrator is hereby authorized to approve and effectuate amendments to this Agreement to the extent permitted by applicable law.

5.3 Construction, Venue. This Agreement shall be construed in accordance with the laws of the State of California and as if drafted by both parties hereto. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. Legal actions concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted and maintained in the Superior Courts of the State of California in the County of Orange, or in any other appropriate court with jurisdiction in such County, and the Consultant agrees to submit to the personal jurisdiction of such court.

5.4 Rights and Remedies are Cumulative. Except as may be expressly set forth

Page 513 of 579 ends

La Palma City CouncilJune 2, 2026

La Palma City Council
June 2, 2026