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HomeMy WebLinkAbout15 AMENDMENT OF THE MUNICIPAL WATER DIST. OF OC'S TURF REMOVAL PROGRAM AGREEMENT TO PROVIDE SUPPLEMENTAL FUNDING GitY 0 Agenda Item 15 AGENDA REPORT Reviewed a City Manager GS'S1N/A Finance Director MEETING DATE: JUNE 2, 2015 TO: JEFFREY C. PARKER, CITY MANAGER FROM: DOUGLAS S. STACK, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER SUBJECT: AMENDMENT OF THE MUNICIPAL WATER DISTRICT OF ORANGE COUNTY'S (MWDOC) TURF REMOVAL PROGRAM AGREEMENT TO PROVIDE SUPPLEMENTAL FUNDING SUMMARY The Municipal Water District of Orange County (MWDOC) has developed and arranged funding for a turf removal program through the Metropolitan Water District of Southern California (MWD). The program provides financial incentives on a first come, first serve basis while funding lasts for the removal of turf and the replacement of drought tolerant vegetation or artificial turf. Currently, MWDOC offers an incentive of two dollars per square foot ($2/sq. ft.) for turf that is removed and replaced. Water agencies have the option to provide supplemental funding to customers in their service areas to further incentivize participation. RECOMMENDATION It is recommended that the City Council authorize the City Manager to amend the agreement with MWDOC and to provide a one dollar supplemental incentive per square foot for the turf removal program within the Tustin Water Services area. FISCAL IMPACT The City has budgeted $100,000 for fiscal year 2015/2016 in the Water Operating budget to provide supplemental incentives. Staff will be preparing monthly reports to the City Council regarding water conservation. Expenses to date and total square feet of turf replaced by Tustin Water Services customers will be provided as a part of the monthly update. CORRELATION TO STRATEGIC PLAN The participation in the turf removal program contributes to the fulfillment of the City's Strategic Plan Goal G: Strong Community and Regional Relationships. Specifically, this project implements Strategy #2, which encourages working collaboratively with agencies outside Tustin on issues of mutual interest and concern to the parties. BACKGROUND The City of Tustin signed an agreement with MWDOC to participate in the turf removal program on May 14, 2014. The program has received significant interest from the Authorize Amending the Turf Removal Agreement June 2, 2015 Page 2 customers of Tustin Water Services, with ninety residents removing 85,000 square feet of turf in the last year. On April 1, 2015 Governor Brown issued Executive Order B-29-15, which called for a statewide initiative for local agencies to remove 50 million square feet of lawns and ornamental turf with drought tolerant landscapes. In response to the Governor's order, on May 26, 2015, MWD approved a funding increase of $350 million dollars to the program. Given the substantial interest in this program since the Governor's Executive Order, Metropolitan anticipates this budget will be expended by the fall of 2015. It is anticipated that MWDOC, acting as the regional member agency to MWD, will modify the existing turf removal program. Residential properties will now be limited to only 3,000 square feet of eligible area while commercial properties will only receive one dollar per square foot. Public Agencies can receive two dollars per square foot for the first 3,000 square feet then one dollar after that. In an effort to continue strong participation from Tustin Water Service customers, the City is proposing to provide a one dollar supplement for its customers. This will also assist in the City's requirement by the State to cut water usage by 28%. It is therefore recommended that City Council authorize the City Manager to amend the agreement with MWDOC to provide supplemental funding in the amount of one dollar. // sou. - .. Stack, P.E. Dire= •f Public Works/City Engineer