AgdaPkt 2016-06-13 Interview and Joint SA PFA

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7.C. - Page 3 Population and employment growth projections in the 2015 UWMP were prepared consistent with DWR requirements, based on the most recent federal, state, and local reports and projections and are consistent with the City's 2010 General Plan. The General Plan contains a substantial section on Water Resources, and includes several goals, policies and programs related to water supply and integration with land use planning, all of which have been adhered to in the 2015 UWMP. The UWMP requires water suppliers to prepare a Water Shortage Contingency Plan (WSCP) which serves as a framework to prepare for and respond to water shortages. The WSCP in the 2015 UWMP builds on two guiding principles which focus first on cutbacks to discretionary uses, and second on allocating water cutbacks based on water needs and not on historic use. The Plan establishes five stages for increased level of water shortage that detail specific actions for water customers and the City to take, and are designed to meet a targeted water use reduction goal. In November 2009, the Water Conservation Act was signed into California law as part of a comprehensive water legislation package designed to reduce urban per capita water use statewide by twenty percent by the year 2020. Urban water suppliers like Redwood City are required by law to reduce water use and report on their progress in the UWMP. Redwood City's 2020 reduction goal is 124 gallons per capita per day (GPCD). The law also requires the City to meet an interim target of 131 GPCD in 2015. Because of Redwood City's extensive water conservation and recycling programs, the City has already achieved the water demand reduction targets required under the Water Conservation Act of 2009. In fact, Redwood City's water use in 2010 was 114 GPCD, and in 2015 it was 91 GPCD. Additionally it is projected that Redwood City water use will still be meeting the target value through 2040. ALTERNATIVES The Council could decide not to adopt the 2015 UWMP, which would delay submittal to the State of California and in turn cause Redwood City to miss the statutory deadline for adoption. The consequences of missing the statutory deadline include potential disqualification for pending and future grant opportunities. FISCAL IMPACT No fiscal impacts to the Water Enterprise Fund will result directly from adoption of this UWMP. The fiscal impacts of implementing and financing water conservation and recycling programs described in the UWMP are outlined in the 2016 Redwood City Water and Sewer Financial Plans and Rate Studies Update, prepared by Bartle Wells Associates, Independent Public Finance Advisors.