PISMO BEACH COUNCIL AGENDA REPORT
Agenda Item #12.B
SUBJECT/TITLE:
RESIDENTIAL WATER CONSERVATION INCENTIVE PROGRAMS
RECOMMENDATION:
Provide staff with direction on how to proceed with residential water conservation incentive programs.
BACKGROUND:
On September 20, 2022 staff provided an update to the City Council on the City’s water supply and information on current water conservation incentive programs that the City offers Pismo Beach water customers.
The staff report for that meeting can be found in the Access Pismo online public records portal1 or by scanning the QR Code at the right.
At this meeting, the City Council requested City staff explore additional water conservation incentive programs (rebates) in response to the worsening drought. These rebates would be in addition to the Cash for Grass and High-Efficiency Toilet Rebates that are currently offered. If Council wishes to enact any of the proposed rebate programs, staff will produce terms and conditions for these programs and return with a Resolution to the next City Council meeting. Several potential programs the Council could initiate, along with an estimate of the cost to the City per acre-foot (AF) of water saved, are detailed below. Some of these programs have been offered by the City in the past, including the washing machine rebate, the rain barrel rebate, the smart irrigation controller rebate, and the free mulch program. Below is a table of the rebates offered during the 2014 program and the number of customers who took advantage of those programs.
Table 1. 2014 Rebate Program Totals
Rebate Program # of
Conversions
Cash 4 Grass 52
Toilet 99
Rain Barrel 6
Washing Machine 16
Smart Controller 5
Total 178
1 Full URL:
https://accesspismo.pismobeach.org/WebLink/DocView.aspx?id=447579&dbid=0&repo=Laserfiche&cr=1 Council Agenda 10-18-2022 12.B-1
Hot Water Recirculation Pump Rebate
This program would reimburse residents for the purchase and installation of a hot water recirculation pump. Hot water recirculation pumps reduce wait times for hot water to arrive at showerheads and taps, saving water and money. It is estimated that the average household could save up to 12,000 gallons of water per year by installing a hot water recirculation pump. This program could provide $100/per household for a hot water recirculation pump, for a cost of $2,715.43/AF of water conserved.
Washing Machine Rebate
This program would reimburse residents for the purchase and installation of Consortium for Energy Efficiency (CEE) Tier 3 washing machines that have a water factor of 4.0 or less. Typical rebates are between $150 to $200. City staff would perform inspections before and after the purchase to verify both units before a rebate would be issued. The average household could save 5,000 gallons of water per year by switching to a Tier 3 washing machine, for a cost of $9,775.54/AF of water conserved based on a rebate of $150/washing machine.
Rain Barrel Rebate
This program would reimburse residents for the purchase and direct connection of a rain barrel(s) to their down spout. Typical rebates are between $50-$100 per rain barrel. Even through non-drought times, rain barrels save water by cutting back on potable water used for irrigation. 312 gallons of water can be captured for every half-inch that falls on a 1,000- square-foot roof. The average annual rainfall in Pismo Beach is 17.79 inches of rain. The City received 12.09 inches in 2020 and 19.25 inches in 2021. This would mean that a house with a 1,000-square-foot roof could have a savings of approximately 1,300 gallons of water, even in a very dry year. With a $50/barrel rebate (two-barrel minimum), the cost would be $25,065/AF of water conserved.
Smart Irrigation Controller Program
This program would pay for all or part of the cost of a new irrigation controller. The program would only cover specific brands and models of irrigation controllers that have features such as automatic irrigation adjustments for rain or wet weather. It is estimated that a household could save up to 6,000 gallons of water annually with a smart irrigation controller. If a rebate of $100 was offered, the cost to the City would be $5,430/AF of water conserved.
Mulch Program
This program would provide free mulch to residents. Organic mulch on the surface of a planted area can not only minimize weeds but reduce evaporation and save water. The City has already taken steps to implement a mulch program in order to comply with the State’s SB 1383 requirements to reduce the disposal of organic waste. The City’s Franchise Agreement with South County Sanitary Service, Inc. (South County Sanitary) includes a provision for two public compost give-away events. The date of these events will be determined by the City and South County Sanitary will provide the mulch. Once a date has been set for an event, the City would notify all residents of the date, time, and location the mulch will be available for pick up.
Council Agenda 10-18-2022 12.B-2
Below is a table summarizing the water savings for each program.
Table 2. Projected Water Savings and Costs for Each Program Amount
Potential
Water
Savings
(Gal/Year)
Potential
Water
Savings
(AFY)
$ amount
offered to
Customer $/AF
Hot Water
Recirculation
Pump 1 Unit 12,000 0.0368 $100.00 $2,715.43
Washing
Machine 1 Unit 5,000 0.0153 $150.00 $9,775.54
Rain Barrel 2 Unit 1,300 0.0040 $100.00 $25,065.49
Smart
Controller 1 Unit 6,000 0.0184 $100.00 $5,430.86
Mulch NA sf NA NA NA NA
Conclusion and Recommendation
Staff recommends that the City Council discuss the current residential water conservation incentive programs and provide staff with direction on how to proceed.
FISCAL IMPACT:
The fiscal year 2023 Water Enterprise Fund water conservation program budget is currently $42,125, not including rebates in progress to support these efforts. The fiscal impact of providing staff with direction to add more water conservation rebate programs could result in using these funds at a faster rate and a corresponding reduction in water consumption could result in less revenue to the Water Enterprise Fund, the extent of which is unknown at this time.
ALTERNATIVES:
1. Direct staff to explore alternate water conservation incentive programs.
ATTACHMENTS:
None
Prepared by: Meeting Date: October 18, 2022
Madeline Kacsinta, Engineering Technician
Submitted by: Benjamin A. Fine, P.E., Director of Public Works/City Engineer City Manager Approval:
Council Agenda 10-18-2022 12.B-3