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Orange County Utilities Department Commercial Irrigation Water Rates. November 17, 2009. Commercial Irrigation Water Rates. Water Conservation Proposed Rate Structure Customer Outreach Implementation Plan Requested Action. Commercial Irrigation Water Rates. Water Conservation

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Orange County Utilities Department Commercial Irrigation Water Rates


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    1. Orange County Utilities DepartmentCommercial Irrigation Water Rates November 17, 2009

    2. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    3. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    4. Water Conservation • Water conservation program since late 1980s • Water Management District requirements • Rate Structure promoting conservation • Conservation ordinance is in revision based upon new requirements

    5. Education & Research Incentive & Economic Regulatory & Compliance Water Conservation • Three components • Education programs • Incentive programs • Regulatory programs • Modify behaviors and practices to lead to more efficient water use • Take advantage of new technologies to reduce water consumption

    6. Water Conservation • Mobile Irrigation System Audits • Water Watch Program • Smart Irrigation Technology Study • Landscape Ordinance • Conservation water rates provide price signal to use water wisely

    7. Water Conservation • Primary focus has been on residential and small commercial water rates • Increasing block rate structure promotes conservation • Commercial water rates for larger meters • Uniform rate for all water used does not promote conservation

    8. Water Conservation • Commercial • Indoor usage • Varies widely by business type • Assumes little discretion to conserve • Outdoor usage • Irrigation is discretionary • Opportunities to conserve

    9. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    10. Proposed Rate Structure • Proposed Commercial Irrigation Rate Structure • Introduces conservation rates to large commercial customers • Targets discretionary use of water for irrigation • Does not impact inside non-discretionary water use

    11. Proposed Rate Structure • Irrigation Meters less than 1 inch • 400 accounts • Already subject to increasing block rate structure • Irrigation Meters greater than 1 inch • 830 accounts • Uniform rate for all usage

    12. Proposed Rate Structure • Inclining block rate structure • Three price tiers • Nine blocks - ranges of irrigable acreage • Each customer is assigned an acreage block • Water is allocated based on SJRWMD Standards

    13. Proposed Rate Structure Irrigable AcreageBlocks

    14. Proposed Rate Structure Irrigable AcreageBlocks (9)

    15. Proposed Rate Structure Irrigable AcreageBlocks

    16. Proposed Rate Structure Irrigable AcreageBlocks

    17. Proposed Rate Structure Irrigable AcreageBlocks 2.5 Acres

    18. Proposed Rate Structure • Potential Customer Impacts • Evaluated cross-section of commercial irrigation customers • Usage for 12 month time frame • Estimated irrigable acreage • Compared current bill to estimated bill under conservation rate structure

    19. Proposed Rate Structure • Potential Customer Impacts • Evaluation Results - Average Monthly Basis 35% - No change in bill 20% - Bill increase below 10% 45% - Bill increase between 10% and 112%

    20. Proposed Rate Structure • Potential Customer Impacts • Evaluation Results – Average Monthly Bill Current Proposed Difference • Hotels $ 138 $ 170 $ 32 • HOA / Apt $ 61 $ 61 $ 0 • Office $ 165 $ 305 $ 142 • Grocery/Retail $ 68 $ 84 $ 16 • Misc $ 105 $ 150 $ 45

    21. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    22. Use Price Customer Outreach • Objective is to reduce irrigation usage to WMD standards • Not to increase revenue or create undue hardship in difficult economic times • Work with customers to evaluate usage and assist in the reduction of water use

    23. Customer Outreach • Presentation to CFHLA • Scheduled meetings with top users • Met with OCPS

    24. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    25. Implementation Plan • BCC Action • Worksession today • Adopt resolution approving preliminary Commercial Irrigation Water Rate Schedule • Commence twelve month implementation timetable

    26. Implementation Plan • Objectives • Outreach to all affected customers • Assist customers to reduce usage • Establish irrigable acreage for each account • Provide feedback to customers on usage and financial impact

    27. Implementation Plan • BCC Action • Conduct Public Hearing • Adopt resolution approving final Commercial Irrigation Water Rate Schedule

    28. Commercial Irrigation Water Rates • Water Conservation • Proposed Rate Structure • Customer Outreach • Implementation Plan • Requested Action

    29. Requested Action • Approval of the Resolution and Fee Schedule to adopt the Preliminary Commercial Irrigation Water Rate Schedule

    30. Orange County Utilities DepartmentCommercial Irrigation Water Rates November 17, 2009