WATER CONSERVATION PROGRAM STATUS & GOAL DISCUSSION - PART 1 Erin Young, R.G.Robin Harrington Water Resources ManagerUtilities Program Manager Special Thanks To: Tim Harrington, Utilities GIS Specialist Sandy Corder, Interim Revenue Director Brad Hill, Utilities Director FLAGSTAFF WATER COMMISSION NOVEMBER 19, 2015

Tonight’s Agenda: How low can we go & how low should we go? Part 1 Part 1 1. Conservation History a. Ordinances b. Rates c. Expenses & Staffing d. Rebates e. Past Goals 2. Program Analysis a. Impact to customer classes b. Financial Incentives c. Customer Outreach d. Education Outreach e. Device Giveaways f. Water Loss Program Direction from Commission on this question: How low can we go, but how low should we go? Is 1% annual decline good enough? Work with Commission to define goal Where do we want to go with the program? 3. Policy Questions a. Community comparisons b. Options for Flagstaff c. How do we get there

Tonight’s Agenda: How low can we go & how low should we go? Part 1 1. Conservation History a. Ordinances b. Rates c. Expenses & Staffing d. Rebates e. Past Goals Part 2 2. Program Analysis a. Impact to customer classes b. Financial Incentives c. Customer Outreach d. Education Outreach e. Device Giveaways f. Water Loss Program Direction from Commission on this question: How low can we go, but how low should we go? Is 1% annual decline good enough? Work with Commission to define goal Where do we want to go with the program? 3. Policy Questions a. Community comparisons b. Options for Flagstaff c. How do we get there

Tonight’s Agenda: How low can we go & how low should we go? Part 1 1. Conservation History a. Ordinances b. Rates c. Expenses & Staffing d. Rebates e. Past Goals 2. Program Analysis a. Impact to customer classes b. Financial Incentives c. Customer Outreach d. Education Outreach e. Device Giveaways f. Water Loss Program Direction from Commission on this question: How low can we go, but how low should we go? Is 1% annual decline good enough? Work with Commission to define goal Where do we want to go with the program? Part 3 3. Policy Questions a. Community comparisons b. Options for Flagstaff c. How do we get there

First: Where have we been? =95,800 AF of saved water in about 25 years Maintaining about GPCD Population Water Consumption

First: Where have we been? =95,800 AF of saved water? 1988 Conservation Ordinance 4 levels called “resource status” Acted in level 1: encouraged to conserve Population Gallons Per Capita Per Day 42% reduction

First: Where have we been? 1990 Rate Structure w Customer Classes 0-20K SF 0-12K $ K-100KSF 12K+ $3.50 >100KMF,Comm,Schools $2.55 NAU $2.55 Manufacturing $2.55 Lawn Meters$2.65-$3.50 *Outside city limits double the rates inside city

First: Where have we been? 1990 Rate Structure w Customer Classes 1991 Low Flow Toilet Rebate Program Population Gallons Per Capita Per Day

First: Where have we been? 1990 Rate Structure w Customer Classes 1991 Low Flow Toilet Rebate Program 1993 Rates Change SF 0-12K $2.65$3.05 SF >12K $3.50$3.75 MF,Comm,Schools $2.55$2.98 NAU $2.55$2.74 Manufacturing $2.55$2.78 Lawn Meters$2.65-$3.50$3.05-$3.75

First: Where have we been? 1990 Rate Structure w Customer Classes 1991 Low Flow Toilet Rebate Program 1993 Rate Structure Change ~1994 Rio Reclamation Plant & Reclaimed Waterline Extension Population Gallons Per Capita Per Day

First: Where have we been? ???? Rates & Structure & Customer Classes Change (in place in 2003) SF 0-5K $2.83 5K-15K$3.32 >15K$4.71 MF,Comm,Schools $2.97 NAU $2.62 Manufacturing $2.70 Lawn Meterssame as SF Standpipes$5.25 Hydrant Meter$5.75 First & Only Time Conservation Ordinance Enforced at Level II

First: Where have we been? ???? Rate Structure & Customer Class Change 2003 Water Conservation Program - Established Manager & Enforcement Staff First & Only Time Conservation Ordinance Enforced at Level II Population Gallons Per Capita Per Day

First: Where have we been? 2005 New Rebate Programs Turf, Washer, Hot Water Re-circulators Population Gallons Per Capita Per Day

First: Where have we been? 2006 Rate Structure Change SF 0-5K $2.83$3.02 5K-15K$3.32$ K-25K$4.71$5.03 >25K$8.77 MF,Comm,Schools $2.97$3.17 NAU $2.62$2.80 Manufacturing $2.70$2.88 Lawn Meters same as SF $3.05-$3.75 Population Gallons Per Capita Per Day

First: Where have we been? 2009 & 2010 Program Cut Budgeted $191,474 to $21,047 Population Gallons Per Capita Per Day

First: Where have we been? 2011 Rate & Structure Change SF 0-3.7K$ K-6.4K$ K-11.7K $6.49 >11.7K$12.02 MF/Comm&Schools$3.17$4.52/$4.97 NAU $2.80$3.47 Manufacturing $2.88$3.73 Lawn Meters$3.05-$3.75$3.78 Standpipe & Hydrant Meter$5.78 Population Gallons Per Capita Per Day

Conservation History – Expense & Staffing 2 temp staff Program cut & retirement pay Spent advertising money to pay for rebates Utilities Program Manager ½ time conservation budget

Low Flow Toilet Rebates (1991) Expanded toilet rebate program (2003) Other rebates – turf, washer, re-circulator, pre-rinse spray nozzle installations, 230 waterless urinal installations (2005) 2009 & 2010 Program Funding Cut 2011 Rebates reinstated for toilet, turf, & rain water barrels to rain water tanks in 2013 Conservation History - Rebates

Robin has a stack of 132 HET rebates and 7 turf rebates on the wait list = ~$17,000 Total

No Previous Goals Adopted 2008 – Staff proposed goals Short term: Develop broad base of projects and programs securing water conservation as a necessary element in the community and maintaining or bettering the 2006 baseline of116 total GPCD Medium term: To succeed in instilling an understanding of limited water resources throughout the community and realizing a 10% reduction in the 2006 baseline GPCD by 2020 (81 total GPCD) No path was identified on how to achieve this GPCD or what the community would look like? This is another 30% in 12 years while we did 42% in 25 years Conservation History – Past Goals

Next Agenda: How low can we go & how low should we go? Part 2 1. Conservation History a. Ordinances b. Rates c. Expenses & Staffing d. Rebates e. Past Goals Part 2 2. Program Analysis a. Impact to customer classes b. Financial Incentives c. Customer Outreach d. Education Outreach e. Device Giveaways f. Water Loss Program Direction from Commission on this question: How low can we go, but how low should we go? Is 1% annual decline good enough? Work with Commission to define goal Where do we want to go with the program? 3. Policy Questions a. Community comparisons b. Options for Flagstaff c. How do we get there

Getting to the policy questions… Come back next time with program analysis A look at customer class trends, winter and summer A discussion on the impact components of the program have made to the overall reduction, and the cost to the city/customer Final presentation on the policy questions How low we can go or where we should go? Is GPCD the only metric of a successful program? How do we get there? Income Prices (rates) Preferences/Attitudes (social norming, customer awareness) Technologies (Rebates, Codes, GIS Tracking) Ordinances/Enforcement Tool Box

Thank you Questions and Discussion (928) Erin Young, R.G.Robin Harrington Water Resources ManagerUtilities Program Manager Support Team: Tim Harrington, Utilities GIS Specialist Sandy Corder Interim Revenue Director Brad Hill, Utilities Director