HomeMy WebLinkAbout1994-09-06; Municipal Water District; 254; Interim Agricultural Water Program & Water RateCARLSBAD - UNICIPAL WATER DISTRICT- AGENDA BILL dv, ./ti-f
AB # $.?j (-/ TITLE: Approval of Interim Agricultural Water DEPT. HD. ’ --
MTG. 916194 Program and Establishment of
DEPT. = MWD Agricultural Water Rate & CITY ATTY
CITY MGR. k
RECOMMENDED ACTION:
Hold a public hearing and approve Resolution No. a$?& establishing the Interim
Agricultural Water Program and agricultural water rate.
ITEM EXPLANATION:
Program Description
In May 1994, the Metropolitan Water District Board of Directors adopted the Interim
Agricultural Water Program (Program). The program provides a discount for
agricultural water users that replaces the interruptible water discount, which was
eliminated on April 1, 1991.
The program provides a discount of $137 per acre foot for treated agricultural water
supplies. In exchange for this discount, agricultural customers participating in the
program could have their water deliveries reduced by up to 30 percent prior to the
imposition of mandatory restrictions on all other customers. Additionally, if water
shortages increase and mandatory restrictions become necessary, customers in the
program will experience greater reductions than all other customers, depending on the
severity of the shortage.
Metropolitan is using a four-year average to determine each member agency’s
allocation of agricultural water, beginning with fiscal year 1989-90. Carlsbad’s
maximum annual allotment is 1,830 acre feet of water. Metropolitan has not yet
decided what action will be taken if an agency exceeds its limit. As such, the San
Diego County Water Authority is waiting to announce potential penalties that it will
assess its member agencies who exceed allocations, although a penalty rate or
surcharge is currently being considered.
The program will be in effect for a period of three years with a detailed evaluation after
two years to determine whether to reaffirm, discontinue or modify the program.
Agricultural customers wishing to participate in this program must quality under
Metropolitan’s Administrative Code definition of agricultural. This means that a
customer must have a minimum parcel size of one acre, and it must be utilized
exclusively for agricultural purposes.
Funding for the Interim Agricultural Water Program will come from Metropolitan’s rate
stabilization fund for fiscal year 1994-95. For the following two years, it is expected that
Metropolitan will raise its rates on firm delivery water to subsidize the agricultural
discount.
Program Implementation
Carlsbad has approximately 80 agricultural customers who are eligible to participate in
the program. Staff has compiled a mailing list of these customers and will mail a letter
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Page 2 of Agenda Bill # 1
to each, explaining the discount and the terms and conditions of the program. Included
with this letter will be an application form, asking the customer to provide some basic
account information. The letter and application will be written in Spanish as well as
English.
The discount of $137 per acre foot equates to 31 c per unit, so program customers will
be billed at a rate of $1.39 per unit. Since the program is retroactive to May 1, 1994,
staff has consulted with the Information Systems Department which can provide us with
a listing of the customers and their consumption for the billing periods since May of
1994. Staff will credit customers for 31$ per unit for these periods. The actual discount
rate will not go into effect until the July/August billing period. The credits will appear on
that billing as well. The approximately eighty customers who are eligible consume
about 65,000 units per month during the hot summer months. This equates to just over
$20,000 in rebates.
Customers participating in the program must continue to do so throughout the duration
of the program and may not change their classification status if a drought should occur.
During a drought, agricultural customers in the program will be expected to reduce their
water consumption by the percentage deemed necessary by Metropolitan and the San
Diego County Water Authority. Due to the fact that neither agency has determined yet
what the consequences of not meeting the reduction targets will be, staff is
recommending that we wait to determine what action the District will take if an
agricultural customer exceeds his individual limit until after those two agencies have
arrived at a decision. A mechanism is currently in place for an inclining block rate that
can be implemented if necessary.
ENVIRONMENTAL REVIEW:
Section 15273 of the State CEQA Guidelines statutorily exempts the setting of rates,
tolls, fares, and charges from environmental review if the increases are not for
expansion of the system, which this is not.
FISCAL IMPACT:
The Interim Agricultural Water Program is a rebate-style program that will not affect
District revenues. We will receive the rebate from the San Diego County Water
Authority that will then be passed on to the participating agricultural customers. After
fiscal year 1994-95, however, the water rate from Metropolitan is expected to increase
in order to support this program. This increase will result in a pass-through to Carlsbad
customers.
EXHIBITS:
1. Resolution No. 882 establishing the Interim Agricultural Water Program and the
agricultural water rate.
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ECEIBIT 1
RESOLUTION NO. 362
A RESOLUTION OF THE BOARD OF DIRECTORS OF
THE CARLSBAD MUNICIPAL WATER DISTRICT OF
CARLSBAD, CALIFORNIA, ESTABLISHING THE INTERIM
AGRICULTURAL WATER PROGRAM AND THE
AGRICULTURAL WATER RATE
WHEREAS, the Metropolitan Water District of Southern California has adopted
an Interim Agricultural Water Program; and
WHEREAS, the San Diego County Water Authority Board of Directors has
established an Interim Agricultural Water Rate; and
WHEREAS, this program allows Metropolitan’s member agencies to certify
certain agricultural water deliveries for a discounted water rate, subject to specified
conditions; and
WHEREAS, the program provides that deliveries of agricultural water certified for
the discounted rate are subject to reduced deliveries of up to 30 percent prior to
imposing mandatory reduction targets for firm deliveries, and subject to greater
reductions to agricultural water deliveries once mandatory reduction targets are
imposed for firm deliveries; and
WHEREAS, the San Oiego County Water Authority has determined to adopt
procedures to provide the opportunity for Authority’s member agencies to participate in
the program by certifying certain agricultural deliveries to Metropolitan through the
Authority and to establish the terms, conditions and rates to govern the delivery of
water under the Program; and
WHEREAS, the Carlsbad Municipal Water District has determined to adopt
procedures to provide the opportunity for its agrfcultural customers to participate in the
program according to the terms and conditions established by the Authority; and
NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS:
1. That the above recitations are true and correct.
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2? That the agricultural water rate for Program participants will be at a
discount-of 31 cents per unit less than the potable water rate.
3. That the discount will be effective retroactive to the May 15 - June 15,
1994, billing period.
4. That agricultural customers who choose to participate in the Program
must do so for the duration of the Program.
5. That agricultural customers who do not meet their target reductions during
water cutbacks, should mandatory reductions be established by Metropolitan and the
Authority, will be subject to penalties passed through from the Authority to the Carlsbad
Municipal Water District.
PASSED, APPROVED AN0 ADOPTED at a special meeting of the Carlsbad
Municipal Water District held on the 6th day of SEPTEMBER J 1994,
by the following vote to it:
AYES: Board Members Lewis, Stanton, Kulchin, Nygaard, Fknila
NOES; None
ABSENT: None
ATTEST:
CLAUOE‘A. LEWIS, President
(SEW
PROOF OF PUBLICATION
(2015.5 C.C.P.)
STATE OF CALlFORNlA
County of San Oiego
I am a citizen of the United States and a resident of the County aforesaid: I am over the age of eighteen years, and not a party to or interested in the above-entitled matter. t am the principal clerk of the printer of
Blade-Citizen
a newspaper of general circulation, printed and
published daily in the City of Oceanside and qualified for the City of Oceanside and the North County Judicial district with substantial circulation in Bonsall, Fallbrook, Leucadia, Encinitas, Cardiff, Vista and Car&bad, County of San Oiego, and which newspaper has been adjudged a newspaper of general circulation by the Superior Court of the County of San Diego, State of California, under the date of June 30,1989, case number 171349;
that the notice, of which the annexed is a printed copy (set in type not smaller than nonpareil), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit:
August 26, 1994
I certify (or declare) under penalty of perjury that the foregoing is true and correct.
Dated at Oceanside,Califomia, this 2 6
of August, 1994 day
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Signat
BLADE-CITIZEN
Legal Advertising 1722 South Hill Street P.0. Box 90
Oceanside, CA 92054
(619) 433-7333
This space is for the County Clerk’s Filing Stamp
Proof of Publication of
Notice of Public Hearing
---------a
NOTICE OF PUBLIC HEARING
APPROVAL OF INTERIM AGRICULTURAL PROGRAM AND ESTABLISHMENT OF AGRICULTURAL WATER RATE
NOTICE IS HEREBY GIVEN that the Board of Directors of the Carlsbad Municipal Water District will hold a public hearing at the City Council Chambers, 1200 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m., on Tuesday, September 6, 1994, to consider establishing the Interim Agricultural Water Program and Agricultural Water Rate. The discount is part of the Interim Agricultural Water Program adopted by the Metropolitan Water District and is retroactive to May 1, 1994. If you have any questions regarding this matter, please call the Water District office at 438-2722. If you challenge the establishment of the Interim Agricultural Water Program and/or Agricultural Water Rate in court, you may be limited to raising only those issues raised by your or someone else at the public hearing described in this notice, or in written correspondence delivered to the City of Carlsbad City Clerk’s Office at, or prior to, the public hearing.
APPLICANT: Carlsbad Municipal Water District Carlsbad Municipal Water District Board of Directors Legal: 40276 August 26,1994
PROOF OF PUBLICATION
(2015.5 C.C.P.)
STATE OF CALIFORNIA
County of San Oiego
I am a citizen of the United States and a resident of the County aforesaid: I am over the age of eighteen years,
and not a party to or interested in the above-entitled
matter. I am the principal clerk of the printer of
Blade-Citizen
a newspaper of general circulation, printed and pubiished daily in the City of Oceanside and qualified for the City of Oceanside and the North County Judicial
district with substantial circulation in Bonsall, Fallbrook, Leucadia. Encinitas, Cardiff, Vista and Carlsbad, County of San Diego, and which newspaper has been adjudged a newspaper of general circulation by the Superior Court of the County of San Diego, State of California. under the date of June 30.1989, case number 171349;
that the notice, of which the annexed is a printed copy (set in type not smaller than nonpareil), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit:
August 26, I.994
I certify (or declare) under penalty of perjury that the
foregoing is true and correct.
ifated at O$@@&~aI&~@, this 2 6 day
BLADE-CITIZEN
Legal Advertising 1722 South Hill Street P.O. Box 90
Oceanside, CA 92054 (619) 433-7333
This space is for the County Clerk's Fifing Stamp
Proof of Publication of
Notice of .Public Hearing
--------.
iOWE OF PUBLIC HEARING APPROVAL OF INTERIM AGRICULTURAL PROGRAM AN0 ESTABlISHWENT OF AGRICULTURAL WATER RATE
NOTICE IS HEREBY GIVEN that the Board of Directors of the Carlsbad Municipal Water District will hold a public hearing at the City Council Chambers, 1200 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m., on Tuesday, September 6, 1994, to consider establishing the Interim Agricultural Water Program and Agricultural Water Rate. The discount is part of the Interim Agricultural Water Program adopted by the Metropolitan Water District and is retroactive to May 1,1994. If you have any questions regarding this matter, please call the Water District office at 436-2722. If you challenge the establishment of the Interim Agricultural Water Program and/or Agricultural Water Rate in court, you may be limited to raising only those issues raised by your or someone else at the public hearing described in this notice, or in written correspondence delivered to the City of Carlsbad City Clerk’s Office at, or prior to, the public hearing.
APPLICANT: Carlsbad Municipal Water District Carlsbad Municipal Water District Board of Directors Legal: 40276 August 26,1994
NOTICE OF PUBLIC HEARING
APPROVAL OF INTERIM AGRICULTURAL PROGRAM AND
ESTABLISHMENT OF AGRICULTURAL WATER RATE
NOTICE IS HEREBY GIVEN that the Board of Directors of the Carlsbad Municipal Water District will hold a public hearing at the City Council Chambers, 1200 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m., on Tuesday, September 6, 1994, to consider establishing the Interim Agricultural Water Program and Agricultural Water Rate. The discount is part of the Interim Agricultural Water Program adopted by the Metropolitan Water District and is retroactive to May 1, 1994.
If you have any questions regarding this matter, please call the Water District office at 438-2722.
If you challenge the establishment of the Interim Agricultural Water Program and/or Agricultural Water Rate in court, you may be limited to raising only those issues raised by you or someone else at the public hearing described in this notice, or in written correspondence delivered to the City of Carlsbad City Clerk's Office at, or prior to, the public hearing.
APPLICANT: Carlsbad Municipal Water District PUBLISH: August 26, 1994
CARLSBAD MUNICIPAL WATER DISTRICT BOARD OF DIRECTORS
(FOR AGRICULTURAL WATER RATE)
NOTICE OF PUBLIC HEARING ESTABLISHING AGRICULTURAL WATER RATE
NOTICE IS HEREBY GIVEN that the Board of Directors of the Cansbad Municipal
Water District (District) will be holding a public hearing at the Carlsbad City Council
,, , Chambers+290 Carlsbad Village Drive, Carlsbad, California, at 6:00 p.m. on Tuesday,
Ii August 16, 199qto consider establishing an agricultural water rate. The discount is
-part of the Interim Agricultural Water Program adopted by the Metropolitan Water
District and is retroactive to May 1, 1994.
If you have questions regarding this matter, please call the District office at 438-2722.
If you challenge the proposed action mentioned above in court, you may be limited to
raising only those issues raised by you or someone else at the public hearing described
in this notice, or delivered to the City of Carlsbad’s City Clerk office at or prior to the
public hearing.
APPLICANT: Carlsbad Municipal Water District
BOARD OF DIRECTORS, CARLSBAD MUNICIPAL WATER DISTRICT
August 4,1994
TO: CITY CLERK’S OFFICE
FROM: Administrative Manager, CMWD
PUBLIC HEARING REQUEST
Attached are the materials necessary for you to notice the establishment of an
agricultural water rate for a public hearing before the Board of Directors. Please notice
the item for the Board meeting of v. , sqe. c 1 w3q
Thank you.
Assistant City Manager Date