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1 RiversideCA.gov
1 RiversideCA.gov
PUBLIC BENEFIT PROGRAM - WATER
CONSERVATION SURCHARGE
City Council
April 16, 2024
Public Utilities Department
RiversideCA.gov
2 The Water Conservation Surcharge was approved by City Council on May 25, 2004, as a proactive approach for water conservation and research programs to maintain Riverside’s high quality, low- cost water supplies. The Water program was designed after the Electric program, established in 1998, with 2.85% min surcharge.
1. Per resolution, the 10-year wate r surcharge amount, calculated on the total water rates and charges, were:
a. June 1, 2004, .05%
b. June 1, 2005, 1.0%
c. June 1, 2006, 1.5%
2. Program effective through May 31, 2014
WATER CONSERVATION SURCHARGE 2004-2014
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2 RiversideCA.gov
3 3. By resolution, the program funds were restricted to:
a. Water conservation and reclamation education programs; b. Water conservation and reclamation programs;
c. Science and technology advancement of water
conservation and reclamation research, development and
demonstration programs;
d. Water conservation and reclamation assistance for low- income customers in the City; and
e. Other programs consistent with the Board’s water
conservation and reclamations goals and objectives.
WATER CONSERVATION SURCHARGE 2004-2014
RiversideCA.gov
4 In March 2014 and April 2014, the Board and City Council respectively renewed the Water Conservation Surcharge.
1. 1.5% of total water rates and charges
2. Effective through April 22, 2024
3. Program funds restricted to:
a. Conservation, education, and water use efficiency programs; and
b. Research, development, and demonstration programs to advance science and technology with respect to water
conservation.
WATER CONSERVATION SURCHARGE 2014-2024
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5 Saving Water is a Way of Life
In 2009, SB x7-7 mandated urban water
suppliers to lower per capita water usage
20% by the year 2020.
In 2018, Senate Bill 606 and Assembly Bill
1688 created the framework for
‘Conservation is a California Way of Life’
requires that retail water agencies
calculate, and annually report water use
metrics.
WHY DO WE NEED WATER CONSERVATION
RiversideCA.gov
6 Method of funding Water Conservation
Programs
# of Metered
CustomersWater Agency
Budget Based Water Rates - highest use
rate tier funds programs
739,354Los Angeles Department of Water and
Power
25,000Western Municipal Water District
45,586Rancho California Water District
155,561Eastern Municipal Water District
42,000Elsinore Valley Municipal Water District
Funding source is dependent on MWD
and WMWD
6,335Rubidoux Community Services District
Funding for conservation though annual
revenue
33,146Jurupa Community Services District
COMPARISON WATER PROVIDER PROGRAMS
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7 The water conservation programs and efforts are funded solely through the Water Conservation Surcharge.
RPU has expended over $13 million dollars and leveraged an additional $5.2 million dollars in conservation program funding from Western Municipal Water District and the
Metropolitan Water District.
The Water Conservation Surcharge has funded programs
that have resulted in 61,318 customer rebates for water efficiency measures with a lifetime water savings
of 13.4 billion gallons of water.
CONSERVATION SURCHARGE 20-YEAR SUCCESS
RiversideCA.gov
8 ALL CURRENT WATER EFFICIENCY PROGRAMS
Turf Replacement High Efficiency
Clothes Washers
Rotating Sprinkler
Nozzles
Premium High
Efficiency Toilets
Weather Based
Irrigation Controllers
Additional Information on Programs & Rebates available at:
RiversidePublicUtilities.com/Rebates
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9 Customer Rebates
paid by WCSParticipantsYears OfferedResidential Rebates $349,388 192*2006 - 2009Ultra Low Flush Toilets
$325,868 269,4462008 - 2016Artificial Turf
$170,348 213,8082010 - 2018Free Sprinkler Nozzles
$1,392 772014 - 2017Online Water Audit Tool
EXPIRED CONSERVATION SURCHARGE PROGRAMS
Residential Water Conservation Programs no longer offered *Program participant numbers are unavailable, participant numbers from 2007 - current RPU Program
Expenditures
Customer
Assistance ParticipantsYears
OfferedLow Income Program
$207,500$207,500 2,5462007-2009Low Income Water
Assistance
RiversideCA.gov
10 EXPIRED CONSERVATION SURCHARGE PROGRAMS
Commercial Water Conservation Programs no longer offered Total
Customer
Rebate
MWD FundsRPU WCS
FundsParticipantsYears
OfferedCommercial Rebates
$13,956$0$13,9561,1632013 – 2015Water Audits (Small Business Direct Installation)*
$367,684$0$367,6841,0302012 – 2015Toilet Direct Install (Small Business Direct Installation)
$159,917$159,917$012009 - 2010City of Riverside Turf Project $299,897$299,897$012016 - 2017Comm Landscape Demo Project 9 10
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11 Total Customer
Rebate
MWD
Funds
RPU WCS
FundsParticipantsYears OfferedResidential Rebates
$867,661 $71,145 $796,516 6,5582007 - CurrentHigh Efficiency Clothes Washer $368,821 $2,720 $366,101 4,054*2006 - PresentHigh Efficiency Toilets $159,162 $94,882 $64,280 1,072*2005 - PresentWeather Based Irrigation Controller $49,666 $31,378 $18,288 6,2302007 - PresentHigh Efficiency Sprinkler Nozzles $3,125,452 $652,567 $2,472,884 10802008 - PresentWaterwise Landscaping/Residential Turf Removal
$150 $105 $45 32022 – PresentHose Bib Controller
$525 $300 $225 32022 - PresentFlow Monitoring
CURRENT CONSERVATION SURCHARGE PROGRAMS
Residential Water Conservation Programs offered with a supplemental rebate from RPU’s Water Conservation Program
*Program participant numbers from 2007 – current only
RiversideCA.gov
12 CURRENT CONSERVATION SURCHARGE PROGRAMS
Commercial Water Conservation Programs offered with funding from RPU’s Water Conservation Program
Total Customer
Rebate
MWD
Funds
RPU WCS
FundsParticipantsYears
OfferedCommercial Rebates
$4,293,643$100,040$4,193,6031352012 -
Current
Waterwise Landscaping/
Commercial Turf Removal
$50,000$0$50,00022017 -
CurrentWater Innovations Grant
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13 CURRENT CONSERVATION SURCHARGE OUTREACH
RPU Program
ExpendituresParticipantsYears OfferedOutreach Programs
$104,12216,2322009 - currentCommunity
Outreach/Education
$58,80118,0722011 - currentEducation Campaign Schools
$66,66682021 – currentSAWPA Turf Removal
RiversideCA.gov
14 WATER EFFICIENCY PROGRAMS - EQUITY
1. All Riverside Public Utilities Water Customers are eligible – Residential and Commercial- to receive water conservation program benefits.
2. Water Programs are designed to reduce water consumption which lowers the amount of water billed, saving RPU’s water customers $ on their monthly bill.
3. Educational materials for water conservation and water wise landscaping are available to all residents – water program information is shared at community events and provided at special event engagements at various City of Riverside locations.
4. Educational classes on water conservation are pr ovided for Riverside’s youth and included in the criteria for summer STEM programs.
5. The Water Conservation fund is contributing $100,000 (from 2021- 2024) for the Santa Ana Watershed Project Authority & Water Energy Community Action Networks Turf Removal Program, as part of the Transformative Climate Communities, to improve the public space. Program parameters were established to focus turf replacement in disadvantaged areas . 13 14
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8 RiversideCA.gov
15 Since 2014, over 38,800 water rebates provided for a water savings of over 4.2 billion gallons of water
WATER CONSERVATION RESULTS
Water Savings
(Gallons)
Number
Provided
Measure/device
33,837,9973,166High Efficiency Clothes Washers
8,752,0442,558High Efficiency Toilets
116,468,8361,741Smart Irrigation Program (Direct
Installation)
15,653,92918,197High Efficiency Sprinkler Nozzles
9,367,3811,606Weather based irrigation controller
74,419,04257Commercial waterwise landscape
60,471,108131Waterwise landscape incentive
RiversideCA.gov
16 Since 2014, residential and commercial turf replacement programs have seen nearly 3.5 million square feet of turf being removed
WATER CONSERVATION RESULTS - TURF
Turf Removed Sq FtDescription
1,427,529Residential
1,756,795Commercial
3,481,888Total
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17 Since 2014, RPU has had taught over 549 water classes with over 16,000 young people participating, with 51
specific water education community events with 16,000
participants
WATER CONSERVATION RESULTS - OUTREACH
Community
Event
Participants
Water
Conservation
Community
Events
Class
Participants
Water
Classes
15,8925116,020549
RiversideCA.gov
18 Kathleen Gonzales Memorial Waterwise
Garden
Location: connected to the SSgt. Salvador J.
Lara Casa Blanca Library; 3025 Madison St
Date: October 2005
Funded by the Water Conservation
Surcharge, the garden provides an example
and inspiration of what’s possible from a
drought-tolerant landscape.
COMMUNITY PROJECTS
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19 Janet Goeske Center WaterWise Garden
COMMUNITY PROJECTS
Location: 5257 Sierra St.
Date: Completed Fall 2018
Description: The 45,000 sq. ft. turf
removal project showcases:
1. Conservation education
2. California-native and drought-
tolerant plants
3. Various methods of climate
appropriate landscaping
RiversideCA.gov
20 State Water Resources Control Board, Media Release May 31, 2023 Effective until June 2024 (expected to be renewed) - Watering decorative grass on business and government properties.
“The regulation bans watering non-functional turf, which generally is mowed grass that is not used for recreational or other community activities, at commercial, industrial and institutional properties. This applies to areas like grass in front of or next to large commercial buildings, and some co mmon areas managed by homeowners’ associations.
In addition to not applying to grass used for recreational or other community activities, the ban does not affect or prohibit watering residential lawns or trees. In fact, the state encourages people to keep watering trees because of their many environmental benefits. The ban also does not prohibit using recycled water for irrigating non-functional turf .”
WATER USE RESTRICTION - NON-FUNCTIONAL TURF
https://www.waterboards.ca.gov/press_room/press_releases/2023/pr20230601-decorative-watering.pdf 19 20
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21 WATER CONSERVATION FUND ACTIVITY
Fund BalanceAdministrative CostsProgram CostsOther Credits from WMWD, Interest earned
Surcharge
CollectedFiscal Year
$22,098$2,029$2,576$152,913FY 04-05
$131,362$40,875$187,013$56,249$377,485FY 05-06
$33,208$55,205$165,953$75,452$661,411FY 06-07
$852,913$143,821$140,197$122,216$703,051FY 07-08
$1,394,162$138,935$302,096$175,501$758,930FY 08-09
$1,887,562$293,673$265,024$55,955$781,026FY 09-10
$2,165,846$371,389$376,519$57,666$839,978FY 10-11
$2,315,582$397,089$527,696$20,182$907,722FY 11-12
$2,318,701$441,470$637,147$105,138$942,273FY 12-13
$2,287,495$364,236$471,428$92,368$954,477FY 13-14
$2,498,676$365,838$5,068,628$4,550,843$869,087FY 14-15
$2,163,479$396,340$1,580,118$1,283,677$754,834FY 15-16
$2,225,532$423,196$911,528$299,074$820,655FY 16-17
$2,009,655$431,095$483,697$11,066$875,328FY 17-18
$2,046,945$489,510$260,744$76,067$866,493FY 18-19
$2,239,251$391,632$228,467$91,485$931,938FY 19-20
$2,902,499$510,276$295,117$3,232$1,063,420FY 20-21
$3,163,758$518,135$214,711$(91,003)$1,091,280FY 21-22
$3,431,189$491,645$485,165$42,895$1,047,271FY 22-23
$6,286,458$12,603,277$15,399,572
RiversideCA.gov
22 WATER CONSERVATION FUNDING
At the March 19, 2024, City Council meeting, budgeted water conservation program details were requested:
Projected
Fund Balance
Administrative
Costs
Water
Programs
Surcharge &
Interest
Earned
Starting Fund
BalanceFiscal Year
$3,158,829$505,866$1,140,494$1,374,000$3,431,189
Projected
Year End for
FY 23/24
$3,075,041$401,488$1,163,300$1,481,000$3,158,829Budgeted for FY 24/25
$3,084,330$417,161$1,186,550$1,613,000$3,075,041Budgeted for FY 25/26
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23 WATER CONSERVATION PROGRAM BUDGET DETAIL
Budgeted for FY 25/26*Budgeted for FY 24/25*Projected for FY 23/24Fiscal Year $388,890$397,070$562,494Unprogrammed Funds
$13,010$12,750$12,500Education Campaign School
$32,800$32,650$7,500Community Support/Outreach Education $15,610$15,300$15,000High Efficiency Clothes Washer
$31,210$30,600$30,000Weather Based Irrigation Controllers $25,000$25,000$5,000Water Mgmt Syst - Technical
$104,040$102,000$100,000Water Wise Landscape Incentive
$26,010$25,500$25,000Landscape Rotating Nozzle Incentive $5,200$5,100$5,000High Efficiency/Dual Flush Toilet
$220,000$220,000$200,000Smart Irrigation Direct Installation $156,060$153,000$150,000Commercial Water Wise Landscape $110,400$110,200$10,000Community Education
$50,000$50,000$10,000Water Innovations Grant
$0$33,333.33$33,333.33SAWPA-Turf Removal Program
* FY24/25 and 25/26 are expected to change as the State regulations impact residents and businesses. Water Conservation Programs and associated funding will return to the Board of Public Utilities and City Council for approval.
RiversideCA.gov
24 WATER CONSERVATION FUNDING SCENARIOS
If reduced to
0.5% Surcharge
If reduced to
1% Surcharge
Projected
Surcharge 1.5%
Budgeted Program
and Staff costs
Projected Water
SalesFiscal Year
$407,935$815,870$1,223,805$1,565,000$81,587,000FY 24-25 $436,650$873,300$1,309,950$1,604,000$87,330,000FY 25-26 At the March 19, 2024, City Council meeting, an alternative surcharge to the 1.5% surcharge that has been in place was discussed. The below is an estimate of the projected program costs and surcharge collection.
0.5%1%1.5%Rate Effective Date
$.30$.61$.9110/1/2023
$.33$.65$.987/1/2024
$.35$.70$1.0471/2025
Scenarios for an average monthly Residential Customer, 21 CCFs per month, surcharge based on currently adopted Water Rates.
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25 Strategic Priority 4 – Environmental Stewardship
Goal 4.2 - to sustainably manage local water resources to maximize reliability and advance water reuse to ensure safe, reliable, and affordable water to our community
Cross – Cutting Threads
STRATEGIC PLAN ALIGNMENT
RiversideCA.gov
26 That the City Council:
1. Receive the additional material related to the renewal of the Water Conservation Surcharge applicable to all RPU water customers;
2. Approve the renewal of the Water Conservation Surcharge applicable to all RPU water customers, effective through the ten years thereafter; and
3. Adopt a resolution establishing the revised Schedules WA-1A, WA-1B, WA-2, WA-3, WA-4, WA-5, WA-6, WA-7, WA-8, WA-9 and WA-10, effective upon Council approval through ten years thereafter, and repealing Resolution No. 22675.
RECOMMENDATIONS
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