City Council
Report
City Council Meeting: June 13, 2023
Agenda Item: 12.A
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To: Mayor and City Council
From: Rick Valte, Public Works Director, Public Works, Water Resources Subject: Public Hearing and Adoption of Resolution for the 2023 Annual Water Shortage Assessment Report
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of Categorical Exemption pursuant to Section 15307 and Section 15308 of the California Environmental Quality Act (CEQA) Guidelines.
2. Hold a public hearing and receive public comment for the 2023 Annual Water Shortage Assessment Report for the Public Works Department, Water Resources Division.
3. Approve the attached resolution adopting the 2023 Annual Water Shortage Assessment Report.
Summary
To ensure the availability of water during extreme climate events, such as severe drought, the California Water Code (CWC) requires all urban water suppliers to conduct an annual water supply and demand assessment. The City’s Public Works Department - Water Resources Division completed the assessment for the projected 2023 fiscal year (July 1, 2023 through June 30, 2024), as defined by the California Department of Water Resources. Details of the annual assessment are included in the attached 2023 Annual Water Shortage Assessment Report. The annual assessment analyzes current water supply and demand conditions to project water supply reliability over the next year (July 1, 2023 through June 30, 2024), identify potential water supply shortages and, if necessary, implement water shortage response actions to mitigate potential water supply shortage conditions. In order to adapt to environmental impacts induced by climate change on the City’s water supply, the City continues to invest in diversifying its 2 of 7
water supply, enhancing drought resiliency, and investing in water conservation measures to permanently reduce water demand. Based on the findings from the annual assessment, staff recommends continuing to require 20% reduction in water use compared to each customer’s 2013 baseline (Stage 2 Water Shortage Level), per the City’s 2020 Water Shortage Contingency Plan adopted by City Council in June 2021.
Although recent historic rainfall has alleviated drought conditions across the state, the City needs to use water efficiently and continue to conserve water where possible to adapt to climate change impacts on our water supply. Maintaining a Stage 2 Water Shortage is critical to meet the City’s goal to reduce its reliance on imported water supplies, comply with state regulations to reduce per capita water use, and help preserve this precious resource. The City has remained in the Stage 2 Water Shortage Level since the 2014 drought and continues to maintain a 20% reduction in water demand from the baseline year of 2013.
Discussion
In 2018, the California Legislature enacted into law new requirements for urban water suppliers to increase drought resilience and to improve communication of water shortage response actions. Each urban water supplier is required to prepare an Annual Water Supply and Demand Assessment (Annual Assessment) and submit an Annual Water Shortage Assessment Report (Annual Shortage Report) to the California Department of Water Resources (DWR) on or before July 1, 2022, and every year thereafter. The annual assessment must be conducted according to a written decisionmaking process determined by individual water suppliers. The City’s written decisionmaking process is outlined in the City’s 2020 Water Shortage Contingency Plan, which was adopted by City Council on June 8, 2021, as part of the City’s 2020 Urban Water Management Plan.
The assessment required the analysis of current year and projected year water supply and demand. The City currently obtains its potable water supply from a combination of treated local groundwater and imported water from the Metropolitan Water District of Southern California (MWD), which is purchased to supplement local water supplies. The CWC requires water utilities to assess available water supplies under a representative 3 of 7
single dry year. Per the 2020 Urban Water Management Plan, local groundwater supply available during a single, worst-case dry year is approximately 6,755 acre-feet per year (AFY). Relative to previous years, the local groundwater supply in 2022 (4,082 AFY) was significantly lower than the past due to: 1) Santa Monica Well 4, the highest producing groundwater well in the Olympic Well Field, was taken offline due to operational issues; and, 2) the Arcadia Water Treatment Plant (WTP) was offline for extended periods for construction of the Arcadia WTP production efficiency enhancement and expansion. Construction is occurring at the City’s Arcadia WTP through the end of 2023, and local groundwater supply is expected to decrease by approximately 552 AFY for the projected year due to construction activities. The projected year local groundwater supply of 6,203 AFY is calculated by subtracting 552 AFY from the single, dry year supply of 6,755 AFY identified in the 2020 Urban Water Management Plan. For imported water supplies, the assessment assumes only MWD’s Tier 1 water supply allotment of 7,406 AFY is available. The total available supply for the projected 2023 year is therefore 13,609 AF (6,203 AFY local supply + 7,406 AFY MWD Tier 1 allotment).
To project water demand, staff tabulated unconstrained water demand (or estimated water demand without any water conservation efforts) for 2022 across the City’s primary customer categories and projected unconstrained demand for a conservative (dry year) 2023-year scenario per CWC requirements. Basis for water demand projection for each customer category are listed below.
• Single family, multi-family, and landscape customer’s water demand is projected to increase slightly as a conservative estimate for a potential dry year. The average of 2021 and 2022 water usage - both hot, dry years - was used to project the water demand for these three categories.
• The projected water demand for industrial/commercial and institutional customers also indicates an increase from 2022 water usage, due to economic recovery effort from the COVID-19 pandemic.
• Fire demand and water loss are projected to be the same as the historical average. Fire demand is projected at 3 AF, which is less than the current year 4 of 7
unconstrained fire service use of 33 AF, which was higher than historical average due to flushing and testing efforts to update the City’s hydraulic model.
Unconstrained water demand for the current and projected year is summarized in Table
1. Unconstrained demand is defined by the CWC as water demand absent any water supply and demand restrictions (e.g., water conservation programs).
Table 1: Current Year and Projected Year Unconstrained Water Demands Current Year
Unconstrained January -
December 2022 (AF)
Projected Year
Unconstrained July 2023
- June 2024 (AF)
Single Family Residential 3,221 3,389
Multi-Family Residential 5,766 5,854
Industrial/ Commercial 3,073 3,358
Institutional 361 404
Landscape Irrigation 586 654
Fire Service 33 3
Water Loss - -
Demand 13,040 13,662
The results of the annual water supply and demand assessment show that without water shortage response actions (e.g., 20% water conservation target), a 0.4% water supply shortage is projected for the next year. A 0.4% shortage equates to the State’s Standard Shortage Level 1 (≤10% shortage). The shortage is due to the difference in projected unconstrained demand and water supply is summarized in Table 2.
Table 2: Assessment Results without Water Shortage Response Actions for Projected 2023 Year
Total (AF)
Anticipated Unconstrained Demand (without Stage 2 Water Shortage conservation efforts)
13,662
Anticipated Total Water Supply 13,609
Surplus/Shortage without Water Shortage Response Actions1-53 % Surplus/Shortage without Water Shortage Response Actions1- 0.4% State Standard Shortage Level 1
1 Shortage is indicated by a negative number/percentage; surplus is indicated by a 5 of 7
positive number/percentage.
Although the assessment results indicate a State Standard Shortage Level 1, the City recommends staying in Stage 2 (e.g., 20% water conservation target) for the following reasons:
• Staying in Stage 2 helps the City achieve its long-term water goals to reduce its reliance on imported water supplies and increase local control of water production costs.
• On the state level, the Water Conservation Act of 2009 (Senate Bill X7-7) requires water suppliers in California to increase their water use efficiency, and CA Executive Order B-37-16: Making Water Conservation a California Way of Life focuses on water conservation to permanently reduce per capita water use. • If the Stage 2 Shortage was lifted, water demand would increase and result in increased purchase of imported water, which could impact water rates and potentially lead to a heavier burden on the City’s rate payers.
The City has remained in a Stage 2 Water Shortage Level since 2014 and has consistently maintained 20% reductions in water demand from 2013 water usage levels.
The City’s Water Shortage Contingency Plan utilizes the same shortage levels as the State and includes water shortage response actions for a Stage 2 shortage. These actions include water use allowance on bills, restriction/enforcement on irrigation runoff or water waste, water use efficiency public outreach through social media and other media outlets, water conservation rebates such as turf replacement, and water use efficiency consultations. The goal of these actions is to reduce water demand by 20% from the 2013 baseline year. Revised results of the assessment with the water shortage response actions incorporated for an estimated 20% reduction in water demand (i.e., “constrained” demand) are tabulated in Table 3.
Table 3: Assessment Results with Stage 2 Water Shortage Response Actions for Projected 2023 Year
Total (AF)
Anticipated Constrained Demand 10,928
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(or projected actual water consumption)
Anticipated Total Water Supply Available 13,609
Revised Surplus with Water Shortage Response Actions 2,681 Revised % Surplus with Water Shortage Response Actions 20% Environmental Review
The City’s annual water shortage assessment and maintenance of Stage 2 water shortage restrictions are categorically exempt from CEQA pursuant to Section 15307 (Class 7) and 15308 (Class 8) of the CEQA Guidelines. Section 15307 and 15308 exempts a class of projects consisting of actions taken by regulatory agencies as authorized by state law or local ordinance to assure the maintenance, restoration, or enhancement of a natural resource and the environment where the regulatory process involves procedures for protection of the environment. The intent of the Annual Water Shortage Assessment is to assess available water supplies against demands in an effort to protect the environment. Additionally, the recommended water shortage response actions are intended to protect water resources and prevent harm to the natural environment. Therefore, these actions are exempt from CEQA pursuant to Section 15307 and Section 15308.
Commission Action and Public Outreach
The annual water supply and demand assessment written decision-making procedures include a presentation of the annual assessment to the Commission on Sustainability, Environmental Justice, and the Environment. On March 20, 2023, and April 17, 2023, Staff presented the annual water supply and demand assessment findings to the Commission on Sustainability, Environmental Justice, and the Environment, and the Commission approved a motion in support of adopting the annual water supply and demand assessment findings and for the City to remain in a Stage 2 Water Shortage.
Public participation is required as part of the annual water supply and demand assessment procedures which include a public hearing and comment period. Public notification regarding a public hearing was posted in the Santa Monica Daily Press the week of May 30th and June 6th.
Past Council Actions
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Meeting Date
6/8/2021 (Attachment A) Public Hearing and Adoption of the City of Santa Monica’s 2020 Urban Water Management Plan and
Water Shortage Contingency Plan
Financial Impacts and Budget Actions
There is no immediate financial impact or budget action necessary as a result of the recommended action.
Prepared By: Sunny Wang, Water Resources Manager
Approved Forwarded to Council
Attachments:
A. June 8, 2021 Staff Report (Web Link)
B. Draft 2023 Annual Water Shortage Assessment Report_053023 C. Resolution
D. Written Comments