PISMO BEACH COUNCIL AGENDA REPORT
Agenda Item #12.C
SUBJECT/TITLE:
WATER CONSERVATION PROGRAMS AND FUNDING
RECOMMENDATION:
1. Adopt a Resolution appropriating $50,000 from the Water Enterprise Fund to fund the City’s current water conservation incentive programs; and
2. Adopt a Resolution amending the limit for the Cash for Grass rebate program to be $2.00 per square foot of lawn removed, with a maximum rebate of the lesser amount between $10,000 or 50% of the total project cost.
BACKGROUND:
On January 17, 2023 staff provided an update to the City Council on the City’s water supply and information on the current water conservation incentive programs budget. The staff report for that meeting can be found in Access Pismo online public records portal1 or by scanning the QR Code at the right.
At this meeting, the City Council directed staff to assess the remaining budget of the water conservation incentive program and return with a request for additional funding should staff see a shortfall. The remaining budget for the incentive programs as of January 20, 2023, is $6,470, accounting for applications that have been approved and are under conversion. At the October 4, 2022 meeting, the City Council adopted Resolution R-2022- 086 increasing the rebate for the Cash for Grass water conservation rebate incentive program from $0.50 per square foot to $2.00 per square foot of grass replaced with drought-tolerant landscaping. This increase of the rebate amount per applicant has exhausted the budget at a faster rate.
Staff recently approved a Cash for Grass application in the amount of $10,000, under the new $2.00-per-square-foot reimbursement, which is the program’s maximum rebate limit.
In this particular case, the applicant did not install turf, but rather installed drought-tolerant landscaping. At this point the total cost of the project is unknown; however, the rebate is a substantial portion of the total cost. Staff’s understanding is that the intent of the increase to the dollar-per-square-foot for this program was to help offset the cost of turf and landscaping, but not to fund a majority of the conversion. Staff therefore recommends that the City Council amend the Cash for Grass Rebate program to provide a rebate of $2.00-per-square-foot of lawn removed, with a maximum rebate of the lesser amount between $10,000 or 50% of the total project cost.
1 Full URL:
https://accesspismo.pismobeach.org/WebLink/DocView.aspx?id=459500&dbid=0&repo=Laserfiche Council Agenda 2-7-2023 12.C-1
Conclusion and Recommendation
Staff recommends the City Council adopt a Resolution (Attachment 1) appropriating an additional $50,000 for the water conservation incentive programs. These additional funds will not only support the increased dollar amount for the cash for grass rebate program, but the high-efficiency toilet, washing machine, hot water recirculation pump, smart irrigation controller, and rain barrel rebate programs that the City currently offers. Staff also recommends that the City Council adopt a Resolution (Attachment 2) amending the limit for the Cash for Grass rebate program to be $2.00 per square foot of lawn removed, with a maximum rebate of the lesser amount between $10,000 or 50% of the total project cost for applications submitted beginning on February 8, 2023.
FISCAL IMPACT:
The fiscal impact of the proposed Resolutions is an additional $50,000 from the Water Enterprise Fund. The current water conservation rebate budget is show below.
Water Conservation Rebate Incentive Programs $6,470
Proposed Water Enterprise Fund additional budget $50,000 Total Water Conservation Rebate Incentive Program $56,470 ALTERNATIVES:
1. Do not approve all or a portion of the recommended items; provide staff with direction.
ATTACHMENTS:
1. Resolution to appropriate additional funds
2. Resolution amending limit for Cash for Grass rebate program Prepared by: Meeting Date: February 7, 2023
Madeline Kacsinta, Engineering Technician
Submitted by: Benjamin A. Fine, P.E., Director of Public Works/City Engineer City Manager Approval:
Council Agenda 2-7-2023 12.C-2
RESOLUTION NO. R-2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH, CALIFORNIA APPROPRIATING $50,000 FROM THE WATER ENTERPRISE FUND
TO FUND THE WATER CONSERVATION INCENTIVE PROGRAMS IN FISCAL YEAR 2023
WHEREAS, the City currently has six water conservation rebate incentive programs to help encourage residents save water; and
WHEREAS, those rebate programs include the Cash for Grass, High Efficiency Toilet, Washing Machine, Hot Water Recirculation, Smart Irrigation Controller and Rain Barrel rebates; and
WHEREAS, on October 4, 2022, the City Council adopted Resolution R-2022-086 increasing the rebate for the Cash for Grass water conservation rebate incentive program to from $0.50 per square foot to $2.00 per square foot of grass replaced with drought- tolerant landscaping; and
WHEREAS, increasing the Cash for Grass rebate amount per applicant has exhausted the budget at a faster rate.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby appropriates $50,000 from the Water Enterprise Fund net position to fund the City’s current water conservation incentive programs in Fiscal Year 2023.
UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 7th day of February 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RECUSED:
Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
Council Agenda 2-7-2023 12.C-3
Attachment 1
RESOLUTION NO. R-2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,
CALIFORNIA AMENDING THE LIMIT FOR THE CASH FOR GRASS REBATE PROGRAM TO BE $2.00 PER SQUARE FOOT OF LAWN REMOVED, WITH A MAXIMUM REBATE OF THE LESSER AMOUNT BETWEEN $10,000 OR 50% OF
THE TOTAL PROJECT COST
WHEREAS, the City currently has six water conservation rebate incentive programs to help encourage residents save water; and
WHEREAS, on October 4, 2022, the City Council adopted Resolution R-2022-086 increasing the rebate for the Cash for Grass water conservation rebate incentive program to from $0.50 per square foot to $2.00 per square foot of grass replaced with drought tolerant landscaping; and
WHEREAS, the increase to the dollar-per-square-foot rebate amount for this program was intended to help offset the cost of turf and landscaping, but not to fund a majority of the conversion; and
WHEREAS, staff therefore recommends that the City Council amend the Cash for Grass Rebate program to identify a maximum rebate amount for any applications received beginning on February 8, 2023.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby amends the limit for the Cash for Grass rebate program to be $2.00 per square foot of lawn removed, with a maximum rebate of the lesser amount between $10,000 or 50% of the total project cost.
UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 7th day of February 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RECUSED:
Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
Council Agenda 2-7-2023 12.C-4
Attachment 2