Water: New City Resolution & Allocations

City Council
Agenda Item Summary
Meeting Date: 7 March 2006
Prepared by Sean Conroy, Associate Planner

Name: Consideration of a Resolution establishing land-use categories for water allocation and assigning water amounts to each category.

Description: This Resolution amends and replaces Resolution 2000-132 to establish 1) a list of defined land use or project categories for which water will be available 2) a discrete quantity of water, expressed in acre-feet per year, to allot to each defined land use category, and 3) a discrete quantity of water for unallocated reserves.

Overall Cost:
City Funds: N/A
Grant Funds: N/A
Staff time: N/A

Staff Recommendation: Adopt the Resolution.

Important Considerations: CMC 17.50 establishes the City’s water management program.
Following a public hearing the City Council may adopt a resolution allocating water resources for increased use. The total amount of water available for allocation is extremely limited compared to the demand. Based on General Plan/Coastal Land Use Policies, the four high priority uses are affordable housing, vacant lots of record, essential public services and coastal recreation. The Planning Commission determined that, of these, there is only enough water to meaningfully serve affordable housing. Policy P3-42 of the Housing Element of the General Plan encourages the establishment of a water allocation category for new affordable housing units.

Decision Record: On 7 December 2005, the Planning Commission adopted a Resolution forwarding recommendations to the City Council on a new water allocation, including specific land-use categories with a specific amount of water for each category.
Reviewed by:
__________________________ _____________________
Rich Guillen, City Administrator Date


TO: MAYOR McCLOUD AND COUNCIL MEMBERS
THROUGH: RICH GUILLEN, CITY ADMINISTRATOR
FROM: SEAN CONROY, ASSOCIATE PLANNER
DATE: 7 MARCH 2006
SUBJECT: CONSIDERATION OF A RESOLUTION NO. AMENDING AND
REPLACING RESOLUTION NO. 2000-132, ESTABLISHING
CATEGORIES FOR WATER ALLOCATION AND SPECIFIC
WATER AMOUNTS TO BE ASSIGNED TO EACH CATEGORY.

RECOMMENDED MOTION
Adopt the Resolution.

BACKGROUND
The City last received water to allocate to new projects in 1993 from the Paralta Well in Seaside, and in 1995 from the distribution of a regional reserve. Water allocations, except for the City’s unallocated reserve and municipal reserve, have been exhausted for several years. Recently, .897 acre-feet of water previously pre-committed to a residential care facility, returned to the City.

According to CMC 17.50.040.C, if a water pre-commitment or allocation is abandoned, it returns to its allocation category. The water for the residential care facility originated from the City’s commercial water allocation. The City Council can decide to leave the .897 acre-feet of water in the Commercial Allocation or adopt a new water allocation distributing the water elsewhere.

EVALUATION
CMC 17.50 establishes the City’s water management program. Following a public hearing the City Council may adopt a resolution allocating water resources for increased use. The Council’s decision should include consideration of recommendations from the Planning Commission on 1) a list of defined land use or project categories, 2) a discrete quantity of water, expressed in acre-feet per year, for each defined land use category, and 3) a discrete quantity of water for unallocated reserves.

Policy P3-42 of the Housing Element of the General Plan encourages the allocation of water for new affordable housing units. In past allocations, there was no specific category for low-income housing. The Multi-Family Residential category included new market-rate apartments and condominiums plus low income and senior housing. Staff recommends the creation of a new allocation category for low-income and very-low income housing. The amount of water that is returning to the City (.897 acre-feet) is not a substantial amount, but could provide sufficient water for approximately 10 to 15 affordable units. The Planning Commission recommended that all of the .897 acre-feet of water be reserved for low-income, or very low-income housing.

In addition to creating a new water allocation, the Planning Commission included a precommitment of .109 acre-feet of water for two low-income housing units proposed as part of the Forest Cottages Specific Plan. This item is scheduled separately on the Council’s agenda at this meeting.

The Housing Element of the General Plan notes that approximately 69 sites in the R-1 District are either vacant, or underutilized. While there is a clear need for water on vacant sites, staff does not recommend that water be placed in the residential allocation until there is a more substantial water supply to distribute. Staff estimates the amount of water available for allocation would serve only three or four new single-family residences.

The City currently has approximately 1.701 acre-feet of water in unallocated reserves. Staff recommends that this water remain in unallocated reserves. The purpose of this allocation is to supply water to municipal projects or other uses that serve the broader interests of the entire community.

The recommended water allocation from the Planning Commission indicated a total availability of 3.271 acre-feet of water. Staff has conferred with the Water Management District and concluded that the actual water availability is 3.26 acre-feet. To preserve the Planning Commission’s recommended allocation for housing development, the difference of .011 acre-feet was subtracted from the City’s Unallocated Reserve category.



TOTAL AVAILABLE WATER RESOURCE 3.26 af

Category #1: Low & Very Low Income Housing .788 af
This category includes residential housing units that meet the affordable housing standards for low-income and/or very low-income households as estimated by the Municipal Code.


Category #2: Single Family Residential 0.0 af

Category #3: Multi-Family Residential 0.0 af
This category includes permanent and non-transient multi-family housing in all commercial and R-4 Districts, including new apartments and condominiums, conversions of commercial space to residential dwellings, and the housing component of mixed-use projects.

Category #4: Commercial 0.0 af
This category includes construction of new commercial floor space and conversion of existing space to uses with a greater demand for water. This category also includes the commercial component of mixed-use projects.

Category #5: Municipal .224 af
This category includes all forms of municipal projects including expansion or renovation of existing facilities, construction of new facilities and changes in use.

Category #6: Unallocated Reserve 1.69 af
This category is unallocated and is to be held as uncommitted until assigned to a defined category through adoption of a new Allocation Resolution by the City Council.

Category #7: Mallery/Pescadero Water Transfer Reserve .115 af
This category includes the remaining balance from .960 acre-feet of water originally set aside through a transfer of development rights for four vacant lots in Pescadero Canyon owned in 1998 by Tim Mallery but dedicated as permanent open-space. This water may be used for residential, multi-family residential, commercial or public use development as determined by Mallery, provided that the project complies with all zoning and provided that the project is located with the City limits.

Category #8: Spinning Wheel .334 af
This category is for water remaining from .56 acre feet of water that came from the Spinning Wheel Restaurant.

Category #9: Forest Cottages Pre-commitment .109 af
This category is for water pre-committed to the Forest Cottages Specific Plan for the creation of two low-income housing units. If this denied by the City Council or Coastal Commission or the project is not built by 1 March 2008 or is otherwise abandoned, the water shall return to Category #1.