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HomeMy WebLinkAboutComplete April 2013 WRAB Packet WATER RESOURCES ADVISORY BOARD MEETING Monday, 15April2013 7:00 p.m. 1777 West Conference Room 1777 Broadway Agenda Highlights : I.Call to order. (7:00p.m.) II.Approval of minutes from the 18Marchmeeting(7:01p.m.) III.*Public Comment Period. (7:05 p.m.) IV.Swear in new board members(7:10 p.m.) V.Election of Officers (7:15p.m.) VI.Information Item -2014 Budget Process Overview (7:30p.m.) VII.Information Item –Drought Response Overview and Water SupplyUpdate (8:10p.m.) VIII.Matters:(8:40p.m.) From the Board FromStaff IX.Discussion about Future Schedule (8:50p.m.) X.Adjournment. (9:00p.m.) * Public Comment Item Information : Contact the WRAB Secretary,AngelaD. Reese at (303) 441-3266or reesea@bouldercolorado.gov. Packets are available in the reference section of the Main Library and on-line at http://www.bouldercolorado.gov, Departments, Public Works, Agenda item times are approximate. Utilities, Water Resources Advisory Board. WATER RESOURCES ADVISORY BOARD Upcoming Agenda Items–All Items Tentative Revised 3-19-2013 April 15, 2013 New WRAB members/Election of Officers WRAB Retreat Scoping Information Item -2014 Budget Process Overview(Baird) Information Item –Drought Response Triggers May 20, 2013 WRAB Retreat Follow Up Information Item -Water Conservation Futures Study (Sands) Information Item -E. coli TMDL (Taylor/Linenfelser) Information Item -South Boulder Creek Flood Mitigation Study (Bauer) Information Item–2014 Capital Improvements Program June 17,2013 Action Item –Recommendation on 2014 Capital Improvements Program Information Item -Hydroelectric Program Operations/Opportunities (Taddeucci) Action Item -South Boulder Creek Flood Mitigation Study (Bauer) Information Item –Twomile Canyon Creek and Upper Goose Creek Flood Mapping Study (Bauer) July15,2013 Action Item -Water Conservation Futures Study Action Item –Twomile Canyon Creek and Upper Goose Creek Flood Mapping Study (Bauer) Information Item –Skunk Creek, Bluebell reek and King’s Gulch Flood Mapping Study (Coleman) August 19, 2013 Action Item –Skunk Creek, Bluebell reek and King’s Gulch Flood Mapping Study (Coleman) Upcoming Items/Not Scheduled Fluoride in drinking water (Linenfelser/Crittenden) Public Works Design and Construction Standards(Schum) Update on Partnership for Clean Water (Emarine) Boulder Slough Flood Mapping Update (Coleman) Backflow Prevention Program (Leoni) Utility Revenue Stabilization (Baird/Sands) Technology and Benchmarks (Crittenden/Douville/Crean/Harberg/Gallo) Water Supply/Climate Change(Taddeucci) WWTF Activated Sludge Upgrade/Removal of Emerging Contaminants (Linenfelser/Douville) Update on Civic Area Planning Process WWTF –Tour of facility upgrades–April 2013(Douville) CITY OF BOULDER, COLORADO BOARDS AND COMMISSIONS MEETING MINUTES Name of Board / Commission: Water Resources Advisory Board Date of Meeting: 18March 2013 Contact Information of Person Preparing Minutes: Laurel Olsen-Horen; 303-441-3203 Board Members Present:Susan Iott, Chuck Howe(departed at 10:16 p.m.],Dan Johnson,Vicki Scharnhorst Board Members Absent: None Staff Present:Jeff Arthur, Director of Public Works for Utilities Bob Harberg, Engineering Project Management Coordinator Bret Linenfelser, Water Quality and Environmental Services Coordinator Joe Taddeucci, Water Resources Coordinator Christie Coleman, Engineering Project Manager Annie Noble, Greenways Coordinator Craig Skeie,Water Resources Facilities Manager Russ Sands, Water Conservation Manager Ken Baird, Financial Manager Kaaren Davis, Board Secretary Meeting Type: Regular Agenda Item 1 –Call to Order [7:03p.m.] This meeting was called to order at 7:03p.m. Agenda Item 2–Approval of the 25February2013Meeting Minutes: [7:03p.m.] Motion to approvethe 28Decemberminutes as presentedby:Howe;Seconded by: Scharnhorst Motion Passes;4:0 Agenda Item 3–Public Participation and Comment [7:09p.m.] Public Comment: None Agenda Item 4–Continuation-Public hearing and consideration of a recommendation for thresholds for a recreational boating Program on Barker Reservoir. [7:17p.m.] Jeff Arthurpresented item to the board. Item was deferred until after Agenda item5 but before agenda item 6.There was a pause at the beginning of the item while the board reviewed a written summary of the February 25, 2013 discussion provided by staff. Executive Summary from Packet Materials: No memo was produced as this item was a continuation from the prior meeting.Staff provided a draft “WRAB Thresholds Summary” and proposed motion based on the February 25, 2013 WRAB discussion. The original flip chart notes from the February meeting were posted to allow for review and comparison with the summary. Public Comment: [7:29p.m.] There was no public comment on this item. The WRAB was provided with a hardcopy of an email from Arden Buck. Mr. Buck was unable to attend the meeting and asked that his comments be providedtothe WRAB. WRAB DiscussionIncluded: [7:34p.m.] The WRAB reviewed and discussed the draft WRAB Threshold Summary and made several edits.. Edits were documented in a redline/strikeout version(attached)of the draft produced and reviewed by WRAB during the meeting. Motion by Johnson, seconded by Howe: See full text of motion and thresholds below “vote”. Vote: 4:0Motion Passes Motion to recommend that the following “WRAB Thresholds Summary” be addressed in the WRAB Minutes 18 March 2013 Page No.1 evaluation of a Town of Nederland proposal for a recreational non-motorized boating program on Barker Reservoir. WRAB Thresholds Summary: The Water Resources Advisory Board, at the request of City Council, has considered “thresholds” for a potential recreational non-motorized boating program on Barker Reservoir. The WRAB recognizes the recreational benefits that a boating program would provide. The WRAB also recognizes that development and management of such a program in a manner generally consistent with comparable city programs will entail significant costs. The WRAB further recognizes that if a proposal is to be prepared by the Town of Nederland, it is important to fairly and adequately assess the risks and benefits to the City of Boulder, to communicate the city’s general requirements, concerns, and expectations at the outset, so that the Town of Nederland can make informed decisions on the development and submittal of a proposal. The WRAB does not support dedicating resources from the Water Utility Enterprise fund for development or management of a recreational boating program and recommends that only minimal staff resources be dedicated to review of a proposal. The WRAB does not consider review of a boating proposal to be a higher priority than existing work program items. Should City Council decide to prioritize review of a boating proposal, WRAB recommends that such a proposal address the following general thresholds: Safety 1. –The boating proposal should provide a thorough analysis of safety and security relative to recreational non-motorized boating at Barker Reservoir. The reservoir is currently under Federal Energy Regulatory Commission jurisdiction. Prior to finalization of a license exemption, any proposal would, at a minimum, be subject to FERC requirements. Should an exemption be approved, any proposal should still address FERC recreation, public safety and security requirements. With or without an exemption, the proposal should address emergency response and should provide a comparative safety analysis, including evaluation of acceptable accident and death frequency, toother reservoirs (city-owned and non-city-owned such as Denver Water) that provide recreational boating. Because Barker Dam vulnerability assessments and security plans are confidential in nature, staff would need to evaluate the proposal to determine the adequacy of the existing security plan with regard to any concerns attributable to a boating program. Additional security measures, if needed, could result in increased program costs. Water Quality 2. –The boating proposal will need to present a detailed plan to monitor and address potential water quality impacts including risks associated with aquatic nuisance species. At a minimum, the proposal will need to present a plan for both short-term and long-term inspection, monitoring and reporting to the city for aquatic nuisance species, and monitoring and reporting other pertinent water quality parameters, including identification of roles and responsibilities. The city’s Boulder Reservoir aquatic nuisance species program and monitoring program should be used as a general guide for minimum standards. The short-term water quality monitoring program should present steps for establishing baseline water quality information so that effects can be considered with and without boating. The proposal should presentplans for meeting city and state water quality requirements and should address consistency with other city facilities where recreational boating is allowed. Program Development and Management 3. –The boating proposal should present a comprehensive plan for program management. In terms of program development, strong consideration should be given to involving third-party consultants with relevant experience and expertise. The proposal should provide a comparative analysis to other reservoirs (city-owned and non-city-owned such as Denver Water) that provide recreational boating. WRAB’s expectation would be that the management plan would present an approach consistent with a city-managed program and should include provisions for items such as training and certification. The plan should identify the organizational structure and should clarify roles and responsibilities. Liability 4. –The boating proposal should present a careful and complete analysis of liability prepared by an individual or firm with appropriate professional qualifications. WRAB’s expectation is that the proposal would address liability and insurance at the Town of Nederland’s sole expense and that the Town of Nederland would indemnify the city from any damages, losses, claims or expenses that result from the boating program. The plan should provide a comparative analysis to other boating programs in the state with respect to liability, risk management and insurance issues. The proposed plan to address liability will be subject to review and comment from the City Attorney’s Office at which time additional legal considerations may be identified. Cost/Sustainability 5. –The boating proposal should be prepared by the Town of Nederland and should present a detailed plan and budget. The plan should present an analysis of usage and projected costs, fees, and revenue in a way that can support the program at the Town of WRAB Minutes 18 March 2013 Page No.2 Nederland’s sole expense. The proposal should identify any associated resource impacts above current city expenditures, including staff time, and present a plan for compensation to the city. The proposal should include a detailed budget that describes the long term financial viability of the program. Should the boating program be terminated for any reason, the proposal should address plans to end the program inclusive of measures to prevent further boating use. Other 6. –The proposal should include a discussion of any potential benefits to the City of Boulder (e.g., number of projected boaters from Boulder, regional collaboration, recreation, environmental benefits, water quality education, etc.). The proposal should also present a plan for development of an intergovernmental agreement. Agenda Item 5–Public hearing and consideration of recommendation to City Council regarding the adoption of a Critical facilities Ordinance. [7:12p.m.] Jeff Arthur and Christie Coleman presented item to the board.The item was presented and discussed before Agenda Item 4 (Boating on Barker). Executive Summary from Packet Materials: The City of Boulder is proposing an ordinance to increase flood protection for facilities that offer lodging, and for critical facilities that provide essential services, serve at-risk populations, or contain hazardous materials. This ordinance requires lodging facilities to develop an emergency management plan and critical facilities to both develop an emergency management plan and implement flood protection measures. The proposed requirements would help reduce the risk to life and safety, ensure continuous service, minimize infrastructure damage and reduce environmental contamination following a major flood event. In 2011, WRAB and Planning Board recommended approval of a draft critical facilities flood ordinance. City Council subsequently raised concerns about the ordinance’s potential impact on the business community. At a May 29, 2012 flood study session, City Council expressed support for continuing development of the ordinance and provided the following feedback: Minimize impacts to nonprofits and small businesses Avoid conflicts between height restrictions and elevation requirements Structure ordinance to clearly reflect the impacted uses At the June 2012 WRAB meeting, staff gave an update on the outcome of the flood study session, and in September 2012, staff presented a summary of City Council’s feedback and staff’s anticipated next steps. On December 17, 2012, staff presented an update on the ordinance and asked WRAB to assess proposed modifications to address City Council’s feedback. No significant concerns were identified and WRAB was generally supportive of scheduling an agenda item to make a formal recommendation to City Council. Staff has continued to refine the ordinance to improve its organization and incorporate public feedback. Portions of the ordinance have been relocated from the floodplain management section of the Boulder Revised Code, 1981, to a section focused on development standards. Another change, based on feedback from a facility manager, provides a two year time frame for completing levee modifications. Outside of these changes, the substance of the regulations remains substantially the same as discussed in December. Public Comment: [7:17p.m.] None WRAB Discussion Included: [7:16p.m.] WRAB had no questions for staff. Motionby Scharnhorst, Seconded by Howe:Motion to recommend adoption of an ordinance amending Chapter 9-3, “Overlay Districts,” Chapter 9-9 “Development Standards,” and Section 9- 16-1 “Definitions,” B.R.C 1981, in substantially the same form as what is included in the WRAB packet as Attachment A. Vote: 4:0 Motion Passes WRAB Minutes 18 March 2013 Page No.3 Agenda Item 6 –Information Item –Update on Commercial, Industrial, and Institutional Water Budgets. [8:48p.m.] The item was presented by Russ Sands , Jeff Arthur and Seth Jansen with Brendle Group. There was a Powerpoint presentation. Executive Summary from Packet Materials: When water budgets were implemented in 2007 they were intended to equitably link monthly water allotments with water efficiency. While single family, multifamily and outdoor water budgets were set using informed efficiency levels, the Commercial, Industrial and Institutional (CII) sector was less straightforward. Given the complexities of the CII sector, historic water use was used to determine CII water budgets regardless of whether the historic use had been efficient or inefficient. Upon implementation of water budgets in 2007, and amidst subsequent CII budget changes in 2008, City Council directedstaff to continue evaluating if an efficiency-based, equitable CII water budget could be developed. With WRAB guidance, staff initiated a CII water budget pilot study in 2009 to identify what, if any, water efficiency-based alternatives could be developed and implemented. In 2011, staff developed a CII water budget approach that combined statistical benchmarks and water audits into a single “Combined Approach.” With WRAB’s support, staff has moved forward with a deeper analysis of how and if this methodology could be used to establish new CII water budgets. Through 2012 staff continued to analyze the Combined Approach, focusing most heavily on the benchmarking methodology-the more data intensive component. Now, with sub-sector benchmarks identified, initial revenue impacts analyzed and water audits ready to test, staff is providing WRAB with an update on progress to date. Staff plans to continue testing and refining the Combined Approach through 2013 in order to bring a final recommendation back to WRAB in early 2014. WRAB Discussion Included: Consideration of the following questions from staff. [10:04p.m.] Does WRAB have any questions or concerns with the benchmarking analysis? Revenueneutral approach is preferable. o Does WRAB have any questions, concerns or specific direction for water audits? Should perhaps look at implementing the audit system for residential users as well as CII o users. Audits should be free. They are a good tool towards doing the right thing, but cost could o be considered punitive. Is there specific financial analysis WRAB would like to see in future presentations? th percentile as levels for analysis going forward. Discussed the 75th and 85 o Make sure whatever method we use is not so punitive towards business thatit causes o business exodus.Current system can be punitive. Is WRAB supportive of having staff continue exploring the Combined Approach? Combined approach seems like a good approach to a thorough and equitable system. o Methodology combining benchmarking and audits seems efficient. o WRAB CommentsIncluded: Current usages for CII water and what/whether there are goals for where it should be. This should be published as it is an invaluable contribution to the field. Boulder is leading the way. Motion:No official action was requested of the board at this time. Agenda Item 7 –Matters [8:39p.m.] This item was considered prior to agenda item 6. From Staff:(8:39 p.m.) Staff-Update Snow-Pack: Snow pack is running about 70% of average. Have been getting good dense snows in the watershed. Expecting a good storm this weekend or next week. We are still too early to make good projections. We will bring a comprehensive update to the WRAB in April. WRAB Minutes 18 March 2013 Page No.4 Overall reservoir storage is about 110% of what it would normally be for this time of year. Council has appointed new WRAB members; Mark Squillace(5-year term) and Ed Clancy (2year term). If any current members have ideas about useful orientation materials for new members, please let staff know. 2 press releases and fix a leak week related to water budgets and water conservation efforts. Rebates targeting high water usage users-Get a free toilet. New meter updates-(1:46 track 4) Leak checks New “Water Wise” flyer. From the Board: [10:18 p.m.] Scharnhorst: AWWA article regarding sensitivity around rate increases was interesting. Recommended reading for staff. Iott: Requested Windy gap/Gross stream reservoir in-stream flow update. WRAB memberHowe departed at 10:16 p.m. Agenda Item 8–Discussion on Future Schedule [10:28p.m.] Officer Election Budget Office E. Coli TMDL Update (information item)-Move to May or June Function for Kate and Susan Thanks to Susan for her excellent service to the WRAB. Agenda Item 9–Adjournment [10:32p.m.] There being no furtherbusiness to come before the Board at this time, by motion regularly adopted, the meeting was adjourned at 10:32p.m. Motion to adjourn by: Scharnhorst; Seconded by: Johnson Motion Passes 3:0 Date, Time, and Location of Next Meeting: The next WRAB meeting will beMarch 18,2013at 7:00 p.m., inthe 1777 West ConferenceRoomof the city Municipal Building located at 1777 Broadway, unless otherwise decided by staff and the Board. APPROVED BY:ATTESTED BY: ____________________________________________________________________ Board ChairBoard Secretary ____________________________________________________________________ DateDate An audio recording of the full meeting for which these minutes are a summary,is available on the Water Resources Advisory Board web page. WRAB Minutes 18 March 2013 Page No.5 CITY OF BOULDER WATER RESOURCES ADVISORY BOARD AGENDA ITEM MEETING DATE: April 15, 2013 AGENDA TITLE: Update on 2014 Utilities Budget Process including updated six-year Utility Fund Financials and current CIP PRESENTERS: Jeff Arthur, Director of Public Works for Utilities Bob Harberg, Utilities Planning & Project Management Coordinator Ken Baird, Financial Manager EXECUTIVE SUMMARY: a six-year planning budget, this year for the time period of 2014 through 2019.Within this process, funds are appropriated for the first year, 2014. The Water Resources Advisory Board (WRAB) role in this process is al improvements conducted or proposed by the utilities divisionThis agenda item is intended to initiate this process by providing: Background information Fund updates Budget Outlook Update on Bonds Schedule of key milestones This packet contains information concerning the updated 2013 Utilities Budget and the 2013- 2018Utilities Capital Improvement Program (CIP). The attached fund financials and CIP Attachment A Attachment B spreadsheets (Water Utility, Wastewater Utility and Attachment C -Stormwater / Flood Management Utility) reflect actual revenues and expenditures for 2012. Staff will return to the May 20, 2013 meeting with the updated 2014 proposed budget incorporating personnel and other costs based on the budget guidelines. The CIP for each fund will also be updated to reflect recommended changes, and recommended revenue increases may be adjusted to assure fund sustainability. No formal action by the WRAB is requested at this time. WRAB action will be scheduled for the June 18 meeting. A public hearing will be scheduled for both the May 20 and June 17 budget discussions.  Page 1 Agenda Item # _6_ BACKGROUND: primary focus is to provide quality water services, as desired by the community, in a manner which emphasizes efficient management of fiscal and natural resources, wastewater and stormwater/flood management) is a separate enterprise fund established to finance and account for the acquisiti services while maintaining designated reserves and meeting debt service requirements. As enterprise funds, each utility is self-supporting and receives no subsidies from other city funds and all utility revenues remain within their respective funds. Revenues generated from monthly utility bills are the largest source of revenue for each utility. Other significant sources of funds include development fees (plant investment fees) related to new construction, hydroelectric revenues, funding from the Urban Drainage and Flood Control District (UDFCD) and interest earnings. Approximately forty percent of expenditures are utilized to rehabilitate and improve the capital infrastructure either through the capital improvements program (cash financed) or through annual debt payments for revenue bonds that have been issued to fund capital improvements. Capital investment in infrastructure is core in carrying out mission of delivering safe and reliable water to our customers and ensuring that water is available for fire protection. Other significant uses of funds include water treatment operations, wastewater treatment operations, system maintenance and water quality operations. FUND UPDATES: The Water Fund ended the 2012 fiscal year with revenues collected at approximately $2.9 million (10%)greater than revised budget. This increase is primarily due to higher than expected water sales. As mentioned in the 2012 Year in Review at the January WRAB meeting, the unusually hot and dry summer brought more outdoor watering which resulted in overall consumption increasing 8% from the previous year. Single family consumption was the highest Also, greater than expected Plant Investment Fee (PIF) revenue was received in 2012. Since PIF revenues are dependent on development activity, it is difficult to project these revenues in any given year so a conservative approach is taken. Completion of some large projects accounts for much of the PIF increase, which include the Peloton development and a research facility at the University of Colorado. Hydroelectric Revenue was down 35% from 2011 due to construction projects affecting various plants and choosing to treat relatively more water at the Boulder Reservoir Water Treatment Plant. This strategy helped preserve water for which the City owns storage rights. When greater overall revenues are received than anticipated, the additional revenues will fall to end of year Water Fund balance. The new fund balance will then be factored in for preparing the 2014 budget and may help offset rate increases. The Wastewater Fund ended 2012 with revenue collected approximately $700,000 (5%) greater than revised budget, not including the bond refunding. Most of the increase is due to increase in  Page 2 Agenda Item # _6_ PIF revenue and higher billed revenue than anticipated. The Stormwater Fund ended 2012 with revenue collected within less than one percent of revised budget. 2014REVENUES: The preliminary 2014 budget reflects billed revenue increases of 4% Water, 5% Wastewater, and 4% Stormwater/Flood Management. Revenue increases were projected for 2014 during the 2013 budget process. These may be revised as the budgets are developed. It is estimated that the 2014 revenue increases (4%-5%-3%) would increase a typical residential ity bill by approximately $2.67 per month, or an increase of approximately $32.00 per month. 2014BUDGET OUTLOOK There are some key items that will impact the 2014 budget. In the Water Fund, as staff continues to evaluate how to optimize treatment between the two plants, treatment costs and hydroelectric revenue will be considered. Increased use of the Boulder Reservoir Water Treatment Plant to preserve mountain storage results in increased energy costs through pumping from lower elevation and reduced electric generation revenue since the hydroelectric plants are a part of the system that supplies the Betasso Water Treatment Plant. The Wastewater Fund has been impacted by new nutrient regulations for ammonia and nitrate limits. A Nutrient Compliance Study was conducted, with an update provided to WRAB last November. The proposed CIP will be updated to reflect additional costs in 2019 and reduced costs for the project anticipated in 2029. Escalation of costs is also something that staff monitors closely. Along with CPI, the division monitors the Engineering News-Record (ENR) index and the Colorado Construction Cost index. At the end of 2012, these indexes have increased 1.4% and 15.9%, respectively. Since these indexes vary from year to year, averages over multiple years will be considered. ANTICIPATED BONDS: The 2013-2018 utility fund financials reflect several bond issuances (and associated debt payments) to fund the following capital projects: Water: 1.Betasso Water Treatment Plant Improvements ($12 million in 2016) to fund improvements to the Betasso WTP to assure compliance with federal Safe Drinking Water Act regulations. 2.Barker Dam Improvements ($11.3 million in 2018) to fund repairs to the outlet works and construct a new hydroelectric facility 3.Carter Lake Pipeline ($27.4 million in 2018)  Page 3 Agenda Item # _6_ Wastewater: 1.No bonds are anticipated in the 2012-2018 planning period. There will likely be bonds issued for Treatment Plant improvements in 2020 related to the Nutrient Compliance Study previously mentioned. : Stormwater and Flood Management 1.South Boulder Creek Improvements ($4.5 million in 2015) to fund improvements designed to mitigate flood hazards in the South Boulder Creek West Valley area. The following table summarizes the debt obligations of the utilities, the year the debt is retired and the average annual debt payment. Items shown in italics are projects that are anticipated to be funded by issuing bonds. Year Debt Approximate Annual UtilityProjectsis RetiredDebt Payment WaterBoulder Reservoir WTP 2016$858,000 Improvements Multiple Projects including Silver 2019$2,522,000 Lake Pipeline, Barker Purchase Lakewood Pipeline2021$2,066,000 Betasso WTP Imp. (2016)2035$1,125,000 Barker Dam Improvements2037$1,046,000 (2018) Carter Lake Pipeline (2018)2037$2,508,000 WastewaterWWTP Improvements2025$3,500,000 WWTP Improvements 2030$674,000 Storm/Flood Multiple projects including Goose 2018$385,000 Creek Improvements South Boulder Creek Imp. (2015)2035$437,000 related to the Windy Gap project. payment is approximately $1,650,000. originally issued in 2005. This will result in savings to the fund of around $80,000 per year through 2015, then over $300,000 per year through 2025. The utility continues to maintain a financial practices, one of the most important of which is maintaining sufficient reserves.  Page 4 Agenda Item # _6_ BUDGET SCHEDULE: The current schedule of major budget milestones is provided below. Elements involving the WRAB are highlighted in bold italics. Milestone Date Preliminary WRAB Budget Discussion April 15, 2013 Budget Guidelines to Departments April 29, 2012 WRAB meeting review updated CIP May 20, 2013 Proposed Budget Submittal to City Manager May 31, 2013 WRAB Recommendation on CIP/Budget June 17, 2013 Departmental Budget Review by City Manager May 30-June 28, 2013 Planning Board CIP Hearing Aug 1, 2013 City Council Study Session on Budget (CIP) Aug. 13, 2013 City Council Study Session on Budget Sept. 10, 2013 City Council Study Session on Budget (if needed) Sept. 24, 2013 City Council Consideration/Adoption of Budget Oct. 1 and Oct. 15, 2013 NEXT STEPS: May 20,2013meeting for CIP review and discussion. Staff will also provide updated fina4Budget Guidelines and updated revenue projections. At the June 17 WRAB meeting, staff will request that the WRAB provide a final recommendation concerning the proposed 2014-2019 CIP to Planning Board and City Council. Attachments: A: Water - Fund Financial and Capital Improvement Program B: Wastewater - Fund Financial and Capital Improvement Program C: Stormwater/ Flood Management - Fund Financial and Capital Improvement Program  Page 5 Agenda Item # _6_ Attachment A %&'*+,-./0 CITY OF BOULDER04-Apr-13  2013-2018 CAPITAL IMPROVEMENT PROGRAM  WATER UTILITY FUND    Assumed Inflation Rate4.00%ESTIMATED2012201320142015201620172018  PROJECT NAME2013 COSTACTUALREVISEDPROJECTEDPROJECTEDPROJECTEDPROJECTEDPROJECTED   Treated Water Pressure Reducing and Hydroelectric Facilities  Kohler Hydro/PRV Facility411376$0$50,000$0$0$0$0$0  Maxwell Hydro/PRV Facility411342$0$50,000$0$0$0$0$0  Orodell Hydro/PRV Facility411331$0$0$0$0$0$0$0  Sunshine Hydro/PRV Facility411347$232,400$0$0$0$0$0$271,875$0  Pearl Street Hydro/PRV Facility$200,000$0$0$0$0$0$0$24,333  Subtotal - Treated Water PRV and Hydro$0$100,000$0$0$0$271,875$24,333   Water Treatment Facilities  Betasso WTF411947$163,213$370,869$100,000$1,549,628$3,500,030$0$0  Betasso WTF - Bond Proceeds$0$0$0$0$11,996,245$0$0  Bond Issuance Costs$0$0$0$0$125,000$0$350,000  Boulder Reservoir WTF411652$30,393$159,933$82,000$0$164,000$0$0  Boulder Res WTF - Bond Proceeds$0$0$0$0$0$0$0  Subtotal - Water Treatment Facilities$193,606$530,802$182,000$1,549,628$15,785,275$0$350,000   Treated Water Pump Stations  Cherryvale Pump Station411010$0$0$0$0$0$0$0  Boulder Reservoir WTF High Service Pump Station411011$0$162,800$0$0$0$0$0  Iris Pump Stations411012$0$0$0$0$0$0$0  Subtotal - Treated Water Pump Stations$0$162,800$0$0$0$0$0   Treated Water Storage Tanks  Gunbarrel Storage Tank411670$0$265,798$0$0$0$0$0  Maxwell Storage Tank411673$0$0$0$0$0$0$0  Booten Storage Tank$0$0$0$0$0$0$0  Devil's Thumb Storage Tank411674$0$0$0$0$0$0$0  Kohler Storage Tank411671$920,000$0$0$0$103,487$1,034,875$0$0  Chautauqua Storage Tank411672$785,000$103,970$278,692$0$0$0$0$0  Betasso Storage Tank$250,000$0$0$0$0$0$292,465$0  Boulder Reservoir Storage Tank $0$0$0$0$0$0$0  Subtotal - Treated Water Storage Tanks$103,970$544,490$0$103,487$1,034,875$292,465$0   Treated Water Distribution System  Zone Isolation Valves411390$0$0$0$0$0$0$0  Cathodic Protection411387$109,384$0$0$0$0$0$0  Waterline Replacement411389$2,211,857$3,043,936$2,184,000$2,271,360$2,362,214$2,456,703$2,554,971  Subtotal - Treated Water Distribution System$2,321,241$3,043,936$2,184,000$2,271,360$2,362,214$2,456,703$2,554,971   Treated Water Transmission System  Sunshine Transmission Pipe411006$0$800,000$0$0$0$0$0  Boulder Canyon - Orodell to Fourmile Pipe411007$382,543$59,387$0$0$0$0$0  Mountain Transmission Pipes411007$0$0$0$0$0$0$0  Zone 1 Transmission Pipes411002$0$0$0$0$0$0$0  Zone 2 Transmission Pipes411004$0$0$0$0$0$0$0  Zone 3 Transmission Pipes411005$0$0$0$0$0$0$0  Subtotal - Treated Water Transmission System$382,543$859,387$0$0$0$0$0   Source Water Transmission System  Lakewood Pipeline411780$0$0$260,000$0$0$0$0  Silver Lake Pipeline 411640$0$0$0$0$0$0$0  Source Water Transmission Pipe Inspections411775$0$80,000$0$0$0$0$0  Subtotal - Source Water Transmission System$0$80,000$260,000$0$0$0$0   Barker Water System  Barker Gravity Pipeline Repair411106$20,000,000$326,573$611,376$364,000$378,560$667,416$612,436$636,933  Barker-Kossler Penstock Repair411107$100,000$0$0$0$0$0$116,986$0  Barker Dam Outlet411109$0$0$0$0$75,000$772,514$0  Barker Dam Outlet - Bond Proceeds$7,055,000$0$0$0$0$0$0$7,725,138  Barker Dam and Reservoir411110$350,000$0$119,040$0$378,560$0$0$0  Barker Hydro System Integration411111$0$0$0$0$0$0$0  Barker Relicensing411112$140,245$149,234$0$0$0$0$0  Barker Instream Flow Release411114$37,133$96,287$0$0$0$0$0  Betasso Penstock411940$2,357$0$0$0$0$0$0  Kossler Dam411119$275,643$227,985$0$0$0$0$0  Subtotal - Barker Water System$781,951$1,203,922$364,000$757,120$742,416$1,501,935$8,362,071   Raw Water Storage Reservoirs  Albion Dam$3,075,000$0$0$0$81,120$0$0$0  Silver Lake Dam$0$0$0$0$0$0$0  Island Lake Dam411626$35,490$0$0$0$0$0$0  Green Lake 1 Dam$0$0$0$0$0$0$0  Green Lake 2 Dam411627$3,875,000$0$75,000$0$0$0$0$432,739  Green Lake 3 Dam$0$0$0$0$0$0$0  Goose Lake Dam411612$0$0$0$0$0$0$0  Boulder Reservoir$90,000$0$0$0$0$0$0$0  Lakewood Dam411981$102,500$0$0$0$0$0$0$124,707  Skyscraper Dam125,000$0$0$0$0$0$0$0  Wittemyer Ponds4,000,000$0$0$0$0$0$100,000$455,515  Subtotal - Raw Water Storage Reservoirs$35,490$75,000$0$81,120$0$100,000$1,012,961   Other Raw Water Facilities  Farmer's Ditch411550$0$0$0$0$0$0$0  Anderson Ditch411883$0$0$0$0$0$0$0  Watershed Improvements411770$440,500$2,705$128,081$0$81,120$0$0$0  Nederland WWTP411565$0$370,000$0$0$0$0$0  Instream Flow Structures and Gaging411549$532$49,468$0$0$0$0$0  NCWCD Conveyance - Boulder Feeder Canal411546$0$92,355$0$0$0$0$0  NCWCD Conveyance - Carter Lake Pipeline411547$615,150$336,024$0$0$100,000$2,737,469$0  NCWCD Conveyance - Bond Proceeds$25,000,000$0$0$0$0$0$0$27,374,690  Subtotal - Other Raw Water Facilities$618,387$975,928$0$81,120$100,000$2,737,469$27,374,690   Source Water Pressure Reducing, Pumping and Hydroelectric  Lakewood Hydroelectric/PRV411801$0$0$100,000$0$0$0$0  Attachment A %&'*+,-./0 CITY OF BOULDER04-Apr-13  2013-2018 CAPITAL IMPROVEMENT PROGRAM  WATER UTILITY FUND    Assumed Inflation Rate4.00%ESTIMATED2012201320142015201620172018  PROJECT NAME2013 COSTACTUALREVISEDPROJECTEDPROJECTEDPROJECTEDPROJECTEDPROJECTED   Silver Lake Hydroelectric/PRV411970$92,304$5,339$0$0$0$0$0  Boulder Reservoir Intake and Pumping411655$41,586$19,681$0$0$0$0$0  Betasso Hydroelectric / Pressure Reducing Facility411974$0$0$0$0$100,000$0$0  Barker Dam Hydroelectric$0$0$0$0$50,000$361,346$0  Barker Dam Hydro - Bond Proceeds$3,300,000$0$0$0$0$0$0$3,613,459  Boulder Canyon Hydroelectric411975$3,247,525$103,363$0$0$0$0$0  Boulder Canyon Hydro - Grant411976$153,320$3,778$0$0$0$0$0  Boulder Canyon Hydro - Grant411977$234,151$4,237$0$0$0$0$0  Carter Lake Hydroelectric$0$0$0$0$0$50,000$250,000  Carter Lake Hydro - Bond Proceeds$0$0$0$0$0$0$0  Source Water Pressure Reducing, Pumping and Hydroelectric Facility Rehabilitation$0$0$0$0$0$0$0  Subtotal - Source Water PRV, Pumping and Hydro$3,768,886$136,398$100,000$0$150,000$411,346$3,863,459   Water Distribution System Expansion  Annexation Related Water System Expansion411433$0$0$0$0$0$0$0  Subtotal - Water Distribution System Expansion$0$0$0$0$0$0$0   Water System Monitoring and Metering  Automated Meter Reading411454$562,754$450,000$0$0$0$0$0  Water System Security Upgrades411440$54,306$45,694$0$0$0$0$0  Distribution System Water Quality411425$24,768$45,056$0$0$0$0$0  Data Communications System411435$0$0$0$0$0$0$0  Yards Master Plan Implementation411039$126$99,875$0$0$0$0$0  Utility Billing Computer System Replacement411453$0$15,390$0$0$0$500,000$0  Subtotal - Water System Monitoring and Metering$641,954$656,015$0$0$0$500,000$0   TOTAL CAPITAL USES OF FUNDS$8,848,028$8,368,678$3,090,000$4,843,835$20,174,781$8,271,793$43,542,485   Asset Value Replacement Percentage75%  Attachment B %&'*+,-./0 CITY OF BOULDER04-Apr-13  2013 - 2018 CAPITAL IMPROVEMENT PROGRAM  WASTEWATER UTILITY FUND    Assumed Inflation Rate4.00%ESTIMATED2012201320142015201620172018  PROJECT NAME2013 COSTACTUALREVISEDPROJECTEDPROJECTEDPROJECTEDPROJECTEDPROJECTED   Wastewater Treatment  WWTF Pumps421339$142,996$5,417$150,000$0$150,000$0$0  WWTF Permit Improvements421617$154,579$307,615$150,000$1,500,000$112,486$253,064$1,265,319  WWTF Permit Improvements - Proj. Bond425xxx$10,000,000$0$0$0$0$0$0$0  WWTF Laboratory421010$19,042$30,958$0$50,000$0$0$0  Lower Boulder Creek Enhancement421661$0$0$0$0$0$0$0  WWTF Headworks421003$0$132,474$0$0$0$0$0  WWTF Headworks - Proj. Bond$0$0$0$0$0$0$0  WWTF Instrumentation/Control421437$14,823$160,177$0$0$0$0$0  WWTF Electrical421439$0$0$100,000$0$120,000$1,200,000$0  WWTF Activated Sludge$0$0$0$0$0$182,498$0  WWTF Primary Clarifiers421005$0$300,000$0$0$0$0$0  WWTF Secondary Clarifiers421006$0$0$0$0$0$0$0  WWTF UV Disinfection421110$78,396$53,676$0$0$0$0$0  WWTF UV Disinfection - Proj. Bond$0$0$0$0$0$0$0  WWTF Permit Improvements - 2010 Bond424901$6,720,076$506,845$0$0$0$0$0  WWTF Rehabilitation$0$0$0$0$0$0$0  Valmont Butte421675$348,734$0$0$0$0$0$0  Biosolids Processing & Dewatering421670$0$0$150,000$1,000,000$0$0$0  WWTF Biosolids Digester421671$0$0$0$0$0$0$0  WWTF Biosolids Digester - Proj. Bond424xxx$0$0$0$0$0$0$0  WWTF Cogeneration421329$0$150,000$0$0$0$0$0  WWTF Digester Complex421007$0$0$0$0$0$0$0  WWTF Digester Cleaning421360$0$0$0$0$0$0$0  Bond Issuance Costs423998$0$0$0$0$0$0$0  Subtotal - Wastewater Treatment Plant$7,478,646$1,647,162$550,000$2,550,000$382,486$1,635,562$1,265,319   Marshall Landfill  Marshall Landfill421078$0$0$0$0$100,000$0$0  Subtotal - Marshall Landfill$0$0$0$0$100,000$0$0   Wastewater System Monitoring and Metering  Yards Master Plan Implementation421039$0$50,000$0$0$0$0$0  Automated Meter Reading421548$0$0$0$0$0$0$0  Utility Billing Computer System Replacement421453$0$17,596$0$0$0$250,000$0  Subtotal - Monitoring and Metering$0$67,596$0$0$0$250,000$0   Collection and Conveyance System Rehabilitation$47,052  Collection System Monitoring421450$0$50,000$0$0$0$58,493$0  Sanitary Sewer Rehabilitation421002$470,520$524,307$520,000$540,800$562,432$584,929$608,326  Sanitary Sewer Manhole Rehabilitation421454$79,068$120,932$104,000$108,160$112,486$116,986$121,665  IBM Pump Station421521$500,000$86,972$938,848$0$0$0$0$0  Tier 1 Boulder Creek 2 Master Plan Project$733,000$0$0$0$0$0$0$0  Tier 1 Goose Creek 1/1A Master Plan Project$1,203,000$0$0$0$0$0$0$0  Tier 1 Goose Creek 3 Master Plan Project$482,000$0$0$0$0$0$0$0  Tier 1 Goose Creek 5 Master Plan Project$2,559,000$0$0$0$0$0$25,000$622,683  Tier 2 Boulder Creek 1 Master Plan Project$1,653,000$0$0$0$0$0$0$0  Tier 2 Boulder Creek 3 Master Plan Project$1,939,000$0$0$0$0$0$0$0  Tier 2 Boulder Creek 4 Master Plan Project$12,356,000$0$0$0$0$0$0$0  Tier 2 Goose Creek 4 Master Plan Project$3,928,000$0$0$0$0$0$0$0  Tier 2 Gunbarrel 1 Master Plan Project$1,116,000$0$0$0$0$0$0$0  Tier 2 Gunbarrel 2 Master Plan Project$939,000$0$0$0$0$0$0$0  Tier 2 South Boulder Creek 1 Master Plan Project$733,000$0$0$0$0$0$0$0  Subtotal - Sewer System Rehabilitation$636,560$1,634,087$624,000$648,960$674,918$785,408$1,352,675   Wastewater System Expansion  Annexation Related WW System Expansion421436$0$0$0$0$0$0$0  Subtotal - Wastewater System Expansion$0$0$0$0$0$0$0   TOTAL CAPITAL USES OF FUNDS$8,115,206$3,348,845$1,174,000$3,198,960$1,157,405$2,670,970$2,617,994   Asset Value Replacement Percentage75%  Attachment C %&')*+,-./ 4-Apr-13 CITY OF BOULDER  2013-2018 CAPITAL IMPROVEMENT PROGRAM - Draft -  STORMWATER AND FLOOD MANAGEMENT UTILITY FUND    Assumed Inflation Rate4.00%ESTIMATED2012201320142015201620172018  PROJECT NAME2013 COSTACTUALREVISEDPROJECTEDPROJECTEDPROJECTEDPROJECTEDPROJECTED  Major Drainageways  Elmer's Twomile Creek 431332 $0$0$0$0$0$0$0  Goose Creek 431710 $0$0$0$0$0$0$0  South Boulder Creek431202 $18,917$305,486$0$1,000,000$0$0$0  South Boulder Creek - Bond Proceeds$0$0$0$4,500,000$0$0$0  Bond Issuance Costs$0$0$0$75,000$0$0$0  Skunk Canyon Creek$0$0$0$0$0$0$0  Sunshine Creek$0$0$0$0$0$0$0  Twomile Canyon Creek$0$0$0$0$0$0$0  Bluebell Canyon Creek - King's Gulch$0$0$0$0$0$0$0  Viele Channel$0$0$0$0$0$0$0  Four Mile Canyon Creek431729 $3,500,000$101,333$0$0$0$0$0$0  Four Mile Canyon Creek - Upland to Violet431729 $0$0$0$0$1,000,000$1,000,000$500,000  Four Mile Canyon Creek - 19th to 22nd431730 $63,167$769,987$0$0$0$0$0  Bear Canyon Creek431010 $0$0$0$0$0$0$0  Gregory Canyon Creek431702 $14,965$0$0$0$0$0$0  Boulder Creek431015 $22,329$100,000$0$0$0$0$0  Boulder Slough431016 $0$500,000$0$0$0$0$0  Wonderland Creek431003 $7,500,000$28$0$0$0$0$0$0  Wonderland Creek - Foothills to 30th431011 $227,486$3,515,760$1,200,000$0$0$0$0  Wonderland Creek at 28th St.431012 $0$1,350,000$2,050,000$1,500,000$0$0$0  Preflood Acquisition431622 $346,273$2,658,886$500,000$500,000$500,000$550,000$600,000  Greenways Program Transfer431630 $81,735$540,887$97,500$97,500$97,500$97,500$97,500  Subtotal - Major Drainageway Improvements$876,233$9,741,006$3,847,500$7,672,500$1,597,500$1,647,500$1,197,500   Miscellaneous  Yards Master Plan Implementation431039 $0$50,000$0$0$0$0$0  CU Bike/Ped Bridge Replacement I431054 $0$200,000$0$0$0$0$0  Utility Billing Computer System Replacement431453 $0$9,707$0$0$0$250,000$0  Subtotal - Miscellaneous Drainage Improvements$0$259,707$0$0$0$250,000$0   Stormwater Management  Upper Goose Creek431459 $10,700,000$0$0$0$175,000$750,000$750,000$750,000  Stormwater Quality Improvements431775 $0$150,000$52,000$54,080$56,243$58,493$60,833  Storm Sewer Rehabilitation431760 $58,930$141,070$260,000$270,400$281,216$292,465$304,163  Transportation Coordination431780 $18,454$765,684$260,000$270,400$281,216$292,465$304,163  Subtotal - Localized Drainage Improvements$77,384$1,056,754$572,000$769,880$1,368,675$1,393,422$1,419,159   TOTAL CAPITAL USES OF FUNDS$953,617$11,057,467$4,419,500$8,442,380$2,966,175$3,290,922$2,616,659  C I T Y OF B O U L D E R WATER RESOURCES ADVISORY BOARD INFORMATION ITEM MEETING DATE: April 15, 2013 AGENDA TITLE: Information Item –Drought Response Overview and Water Supply Update PRESENTERS: Jeff Arthur, Director of Public Works for Utilities Bret Linenfelser, Water Quality Coordinator Joe Taddeucci, Water Resources Coordinator Craig Skeie, Water Resources Facilities Manager Russ Sands, Water Conservation Program Manager EXECUTIVE SUMMARY: During the January 28, 2013 Water Resources Advisory Board meeting, staff provided a summary of the 2012 water year (Attachment 1) with emphasis on how the city managed water supply during dry conditions. During the associated discussion, WRAB expressed interest in discussing the drought plan in more detail at a subsequent meeting. This memo provides an update on 2013 water supply conditions and the city’s drought stage determination procedures as set forth in the Drought Plan (Attachment 2). BACKGROUND: The Drought Plan consists of two separate volumes and is intended to provide guidance for recognizing and responding to droughts that will affect water supply availability. Volume I categorizes drought alert levels according to severity and also includes actions that might be taken to respond to each drought alert level. Volume II contains detailed technical supporting information. During development of the Drought Plan, the city established a formula called the “storage index”. The storage index was derived from statistical analysis and modeling of Boulder’s water system using hundreds of years of tree-ring based historical hydrology.The storage index is basically a ratio of key storage parameters divided by projected demand. Staff applies the formula each year in early May when key water supply information becomes known. The drought alert levels corresponding to various storage index values are shown in Table 1. Agenda Item 7 Page 1 Table 1: Suggested drought response triggers for May 1 Projected Drought Alert Storage Index (1) Stage Greater than 0.85 None Between 0.85 and 0.7 I Between 0.7 and 0.55 II Between 0.55 and 0.4 III Less than 0.4 IV (1)Projected storage index = (projected usable Boulder mountain storage + 40% of Boulder’s portion of projected CBT storage) / Boulder’s unrestrained water demand in non-drought years. The Drought Plan identifies water use reduction goals and response options for each stage of drought. The storage index calculation is one component of staff’s evaluation of water supply conditions and is reviewed in conjunction with other appropriate data and operating experience. While early May is a decision point in Boulder’s drought response analysis, staff is continuously monitoring trends in snowpack, precipitation, runoff, reservoir filling and water system administration throughout the year. ANALYSIS: As of early April this year, water supply conditions were as follows: Mountain reservoir storage levels are average for this time of year. Snowpack is at about 75% of average for this time of year. Preliminary indications from the Northern Colorado Water Conservancy District are that the Colorado Big Thompson (CBT) allocation will be between 50-60%. The CBT allocation is typically about 70%, but the city can make up the difference by carrying over approximately 4,000 acre feet of unused 2012 CBT water. The May 1 storage index calculation is still several weeks away, but it does not appear that drought response stages I through IV will be triggered. However, the lower snowpack and projected lower CBT allotment warrant continuation of conservative water supply measures that began in 2012. The city has conducted public outreach and is encouraging water customers not to turn on irrigation systems until May. NEXT STEPS: Staff will continue to monitor the water supply conditions and will perform the storage index calculation in early May. Regardless of whether a drought trigger point is reached and/or measures to reduce water use are implemented, staff will continue to inform the public of the status of the water supply throughout the spring and summer and will increase outreach efforts to encourage wise water use if hot, dry conditions persist. ATTACHMENTS: 1 – January 28, 2013 WRAB Information Item– Year in Review: 2012Water Supply & Demand Management 2 – City of Boulder - Drought Plan (electronic links) Agenda Item 7 Page 2 Attachment 1 January 28, 2013 WRAB Information Item Year in Review: 2012Water Supply & Demand Management Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) C I T Y O F B O U L D E R WATER RESOURCES ADVISORY BOARD INFORMATIONITEM MEETING DATE: January 28, 2013 AGENDA TITLE: Information Item–Year in Review: 2012Water Supply & Demand Management PRESENTER/S: Jeff Arthur, Director of Public Works for Utilities Bob Harberg, Utilities Project Management Coordinator Joe Taddeucci, Water Resources Coordinator Bret Linenfelser, Water Quality Environmental Services Coordinator Randy Crittenden, Water Treatment Coordinator Ken Baird, Utilities Financial Manager Craig Skeie, Water Resources Facilities Manager Russ Sands, Water Conservation Program Manager Steve Folle, Betasso Water Treatment Supervisor Mike Emarine, Boulder Reservoir Water Treatment Supervisor Kim Hutton, Water Resources Specialist Joanna Crean, Public Works Project Coordinator I. PURPOSE: The year 2012 was the hottest and the third driest year on record in Colorado. Precipitation was significantly below average with conditions much drier than normal in March and April. By the end of the winter, the statewide snowpack accumulation was the lowest since 2002. Despite the dry conditions of 2012, the city was able to preserve its mountain water storage levels and maintain its instream flow commitments while avoiding a drought stage declaration. Managing the city’s water supply and preparing for droughts is an ongoing process. The purpose of this memorandum is to provide information as a “year in review” on the management of the 2012 water supply and demand. Given that 2013 may be another dry year, the city will continue to implement projects and evaluate programs to better plan and prepare for drought conditions such as proactively alerting customers to leaks and developing a new “Drought Buster” program. While the city continuously monitors the snowpack levels, meaningful data is not available until 1 late April to early May to make a final identification and classification of adrought stage. During this timeframe, knowledge of expected maximum spring snowpack accumulations, 1 The City of Boulder categorizesdroughts into four stages depending on the level of severity. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) amount of anticipated runoff that will occur and availability of water from the western slope is known. Staff will continue to monitor snowpack, precipitation, storage levels and streamflows throughout the winter to refine its water supply projections for 2013. II. QUESTIONS FOR WRAB: The WRAB is regularly asked to provide recommendations on capital projects and operating programs that contribute to the city’s overall water supply approach. This informational agenda item is an opportunity for WRAB to consider how those diverse components interrelate. A review of 2012 provides a specific opportunity to discuss how the city responds during hot and dry conditions without a drought stage declaration. Questions for WRAB include the following: 1.What questions does WRAB have about the details of what happened in 2012 related to water operations and drought response? 2.What questions does WRAB have on anticipated next steps in 2013 and beyond related to water operations and drought response? 3.Would WRAB like any additional information on topics that have not been identified in the meeting calendar for 2013? III.OVERALL GOALS OF WATER OPERATIONS There are many detailed goals and objectives for water operations but in general, below are the overall goals. As in previous years, the city operated 2012 in a manner to achieve the overall goals. Treat and distribute water to the community in areliable,cost efficient, financially sustainable manner. Provide high-quality water in amanner that protects human and environmental health. Keep instream flow at sufficient levels to protect ecosystem and natural resources. Encourage efficient use of water. IV.SUMMARY OF THE YEAR IN REVIEW: The year 2012 was unusually warm and relatively dry, such that it was the hottest and the third driest year on record for Colorado. In comparison, the year 2011 was one of the wettest and snowiest years in recent memory with one of the historically largest snowpacks occurring in March 2011. Due to the abundant snowfall and runoff in 2011, reservoir water storage levels started 2012 higher than usual. Precipitation was significantly below average for the first six months of the year, particularly in March through June. Midwinter snowpack readings were in line with historical averages but conditions became much drier than normal in March and April. By the end of the winter, the statewide snowpack accumulation was the lowest since 2002. During the spring, the entire state experienced persistent warm and dry weather patterns contributing to dry soils and the early melt of an already low snowpack. Peak snowmelt runoff occurred approximately three weeks earlier than averageand streamflows were lower than average.The dry weather led to unusually high irrigation water demand in the spring, with Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) abnormally high water use in March when customers turned on their irrigation systems much earlier than expected. While March was the driest on record, July was the third wettest July on record, which provided some temporary relief. Overall, increased outdoor water use was 2 generally consistent with turf needs based on the evapotranspiration (ET) rateand indoor water use was low, as has been the trend over the last several years. Boulder’s overall 2012 treated water use increased by 6 percent compared to 2011 but the increase isclose to recent average levels observed over the last 10 years. Despite the dry conditions of 2012, the city was able to preserve its mountain water storage levels and maintain its instream flow commitments while avoiding a drought stage declaration primarily due to the following factors: Senior Water Rights and Capacity to Carry-Over – The proportion of water from each of the various sources (mountain storage, direct flows, and western slope supplies) varies quite a bit from year to year. Due to past planning efforts, such as pursuing water rights and managing growth, the city has flexibility in responding to natural weather pattern fluctuations. Boulder’s water rights portfolio is robust and includes very senior water rights intended to provide reliable yields even during dry years. In addition, the city has mountain water storage reservoirs with the capability to carry-over water from wet years (2011) to dry years (2012). In dry years, the city maximizesuse of existing water rights exchange provisions using the Colorado Big Thompson (CBT) water (from the western slope) to meet senior downstream water rights in order to maximize the ability to fill and maintain the upper Boulder Creek reservoirs (water from the eastern slope). High Reservoir Levels – In 2011, exceptionally high runoff from spring kept the upper Boulder Creek reservoirs full longer than normal. As a result, the city’s reservoirs water levels started 2012 higher than usual. In 2012, outages due to construction projects at Boulder Canyon Hydroelectric (Hyrdo) Plant and Kossler Reservoir resulted in reduced winter usage of Barker Reservoir water. Additionally, significant rains during July 2012 reduced municipal water demand and added to upper Boulder Creek reservoir storage. Colorado Big Thompson (CBT) Allotment – The CBT project brings water from the western slope to northeastern Colorado to serve as a supplemental water supply to native basin supplies. Northern Colorado Water Conservancy District (NCWCD), which operates the CBT project, provided a 100 percent allocation of CBT water in 2012. As a result, the city was able to use more CBT water and less water from Boulder's mountain storage. Increased Capacity of Boulder Reservoir Water Treatment Plant (WTP) – The increased Boulder Reservoir WTP capacity of 16 million gallons per day (MGD) allowed the city to meet a greater proportion of municipal water needs from western slope supplies (CBT), with a corresponding reduction in the city’s use of water stored in its upper Boulder Creek basin reservoirs. The constructions projects at Boulder Reservoir WTP that increased capacity included improvements in operational flexibility, pretreatment and monitoring in 2010 and the addition of another raw water pump in 2012. 2 Evapotranspiration (ET) rate means the amount of water that vegetation will use through the natural processes of surface evaporation and plant transpiration (loss of water through the leaves)in an average year. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Other highlights of 2012 include the following: No Drought Stage Declaration – Based on the City of Boulder’s Drought Planning and Response Plan, a drought stage was not triggered in 2012. When deciding to declare a drought stage, the city considers, at a minimum, the following factors: Boulder’s projected mountain storage, Boulder’s portion of water projected to be available in CBT system, and data unique to the particular drought conditions. No Interruptions to Instream Flow and Leasing WaterPrograms – The city was able to lease water without reductions and no interruptions of instream flows occurred. The city leases CBT water on an annual basisto mostly agricultural users. The amount of water available for lease is generally determined each year by the end of June and is based on projections of each year’s source water supply to meet the city’s municipal water needs.The city also uses its source water supplies to maintain instream flows in North Boulder and main Boulder Creeks. Identifying Irrigation Leaks – One unanticipated benefit of a dry March was the higher water bills earlier in the year which may have lead customers to discover irrigation leaks that aretypically hidden in their summer water use.Due to recent meter upgrades, the city now has the ability to flag continuous use on water meters. As a result, the city will mail letters alerting customers to potential indoor and irrigation leaks beginning in March of 2013 and continuing throughout the year. Shifting to Water Conservation Installation Program – Despite efforts to promote water conservation rebates in 2012, customer participation appears to be one of the lowest in the last twelve years. As a result, the city piloted an installation program using the Center for ReSource Conservation (CRC) to make irrigation repairs, install more efficient irrigation spray heads, and install ultra-low-flow toilets. Due to the success of the pilot projects, 2013 funding will be shifted from rebates to installation programs (toilets and sprinkler heads) through CRC. Unique Year for Water Budgets – During the months April through September, on average over 17 percent of bills were ‘over budget’ or had usage in block 3 or above. This is a significant increase over previous years. Even though a larger amount of customers were going into the upper blocks in the early watering months, the price signal sent by these relatively higher bills appeared to have less effect on water use then the lack of precipitation and dry conditions. Higher than Expected Revenues – Higher overall consumption and relatively high use in the upper blocks have resulted in higher than expected revenues to the water fund in 2012. Revenue from utility bills has increased by approximately 12 percent compared to last year. A portion of this revenue will help offset a reduction in hydroelectric revenues, which are lower due to hydroelectric plants being taken offline for various projects and also treating more water through the Boulder Reservoir WTPto help preserve storage in the city watershed. The increased use of Boulder Reservoir WTP means higher chemical costs Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) because of water quality issues along with additional electrical pumping costs. In any given year, revenues fluctuate significantly, and keeping adequate fund balance helps mitigate years where low water use results in revenues not covering expenditures. Excess revenues in 2012 will go to fund balance and will be used in planning the 2014 budget, which may help reduce rate increases or offset future one-time expenses. V. WATER CONSUMPTION & PRODUCTION: Given the dry conditions, water use based on billed consumption increased by over eight percent compared to 2011. Boulder’s 2012 treated water production increased six percent compared to 2011 but remained close to recent average levels observed over the last 10 years. The difference between billed water consumption and overall production may be due to offsets in municipal irrigation efficiency, decreases in total system water loss,and accuracy of treated water calculations. The details related to water consumption and production are explained in the subsections below. Water Use Based on Billed Consumption In 2012, the overall consumption compared to 2011 increased by over eight percent, and single- family use was the highest it has been in 10 years. Consumption within the Commercial/Industrial/Institutional accounts was the highest since 2008. Water use from Irrigation-Only accounts was at the highest in over 20 years, although some of this is due to a greater number of these account types. Comparing outdoor and indoor water use for all customers, outdoor use was in proportion to irrigation demands and indoor use was lower than previous years which is part of a downward trend. Understanding the reasons for water use trends over time can be a challengegiven multiple factors such as weather, water rate structure, the economy, demographic changes, and more efficient water fixtures and practices. As part of the analysis, the water use during the period from December through March, which is considered the Average Winter Consumption (AWC), was evaluated. While this is a measure used to determine indoor consumption, it should be noted that some customers water trees or other plants in dry winter months. In the early 1990’s, AWC was around 6,000 to 6,500 gallons. Over the last 20 years, this has decreased to a little over 4,000 gallons for the AWC period ending March 2012. An analysis published in the February 2011 Journal AWWA looked at the trends towards reduced residential consumption in North America. The researchers found the two main factors behind the decline were decreasing household size and more efficient fixtures. Since 1990, Boulder’s average household size has remained relatively flat, so that does not appear to be a cause. Besides efficient fixtures, another possible cause of the decline since the early 2000s is the effect that significant drought conditions had on long-term behavior. Boulder is participating in a 3 national studywhich will help evaluate the long-term effect of the 2002-2003 Drought. While the causes of the average indoor use declining are important, it appears weather is the most significant variable in overall year-to-year water use in the city.The chart below shows 3 Alliance for Water Efficiencyis conductinga Demand Hardening Study, anticipated to becomplete in summer 2013. It will attempt to analyze water use and drought from 1970-to current and will focus on the 2002 drought, changes customers made, response to utility actions, etc. Boulder is one of seven participants in this national study. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) monthly consumption amounts with a different line for each year since 2007. The city uses a water budget rate structure which was implemented Jan. 1, 2007. Water budgets are the amount of water a customer is expected to need for a specific month. Each customer’s water budget is different based on their unique water needs, as well as their past usage levels.As the chart illustrates, 2012 April through July billed consumption amounts were the highest they’ve been in this time period. In August there was a decrease in consumption, which can be explained by July being an exceptionally wet month and on average, August bills include half of July and half of August (which is similar to other months). Overall, 2012 was a unique year for water budgets. During the months April through September, on average over 17 percent of bills were ‘over budget’ or had usage in block 3 or above. As seen in the chart below, this is a significantincrease over prior years. As noted previously, there was extremely hot weather and a lack of precipitation which resulted in an increase in water use despite the increase in the cost of water (i.e., more expensive water in blocks 3, 4 and 5). Outdoor water budgets will be further evaluated as part of the Water Conservation Futures Study (WCFS) Update. For example, the WCFS Study will analyze the effects that projected increases in temperature may have on additional outdoor watering if the same level of “green” is to be achieved. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Average(April -Sept.) Percentage of Bills Over Budget 20% 18% 1.3% 16% 2.9% 14% % of block 5 12% 0.9% 1.0% 0.8% 2.1%% of block 4 10% 1.8% 1.7% 0.6% % of block 3 8%0.6% 1.3% 1.2% 13.2% 6% 9.6% 9.1% 8.7% 4% 7.2% 6.7% 2% 0% 200720082009201020112012 Water Use Based on Water Treatment Boulder’s 2012 treated water production increased by 6 percent compared to 2011 but remained close torecent average levels in all but April through June, when treated water use significantly exceeded average levels. The peak day demand was greater than any year since 2001, but did not approach levels seen in the 1990s. For more detailed analysis of the treated water production and Attachment A the relationship to weather, please see .The difference between water consumption and overall production may be due to offsets in municipal irrigation efficiency, decreases in total system waterloss, and improved accuracy of treated water calculations.The difference is relatively small, with a greater increase in consumption relative to a smaller increase in production, which is indicative of progress made over the last several years.While the current metering of water production can be off by as much as 5percent in a given year, staff continues to move forward with improvements to reduce system leaks, increasethe accuracy of treated water delivery calculations, and monitor water loss using the Water Auditing information presented to WRAB on February 27, 2012 as a guide. Boulder has two water treatment plants: Betasso Water Treatment Plant (Betasso) with a nominal capacity of 40 million gallons per day (MGD) for the Boulder Creek water, and Boulder Reservoir Water Treatment Plant (Boulder Reservoir WTP) with a nominal capacity of 16 MGD for the CBT system water. WATER TREATMENT PLANT20112012 Betasso4,736 MGD4,111 MGD Boulder Reservoir1,343 MGD2,348 MGD TOTAL PRODUCTION6,079 MGD6,459 MGD While Betasso should theoretically be able to treat 40 MGD, the actual capacity may be limited to 32-35 MGD during the spring and early summer, when highly colored water associated with Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) snowmelt runoff is being delivered. This situation is being investigated and a study was initiated in the spring of 2012. However, due to the lack of snowmelt runoff last year, adequate information was not collected and additional tests are now planned for the spring of 2013. Due to construction projects at Boulder Reservoir WTP such as improvements in operational flexibility, pretreatment and monitoring in 2004 and the addition of another raw water pump in 2010, the capacity has increased from 8 MGD to 16 MGD, which is double the capacity in 2002. These construction projects were prompted after reviewing the Acre Foot city’s water delivery system subsequent to the 2002 Drought. The One acre foot = 325,851 added capacity allowed the city to meet more of its treated water gallons or about the amount of water that two typical needs using CBT (western slope) water during 2012 after its upper four-member households use Boulder Creek basin direct flow rights were out of priority. in a year. Boulder Reservoir WTP was originally built to manage the “peak” demand when summer water use exceeded the capacity at Betasso. As western slope water plays an increasingly important role in the city’s future overall water system, Boulder Reservoir WTP will continue to shift to strategically being used to manage the city’s water delivery, as was done in 2012. Together the two water treatment plants have the capacity to now treat approximately 50 million Attachment B gallons (about 150 acre-feet) per day. (See for a detailed map of Boulder’s water facilities.) In most years, the majority of water is treated at Betasso and a smaller amount (30 percent) is treated at Boulder Reservoir WTP. During 2012, 64 percent was treated at Betasso and 36 percent at Boulder Reservoir WTP. Early in 2012, Boulder Reservoir WTP increased production to supplement water demand due to construction at the hydro facilities and Kossler Reservoir inFebruary and March. As the year progressed, concerns about possible drought conditions increased; therefore, the Boulder Reservoir WTP continued processing water. As the irrigation season progressed without rainfall, NCWCD, which operates and allocates the CBT water, started delivering additional amounts of CBT water that can only be processed through the Boulder Reservoir WTP. Currently, during drought yearslike 2002-2003, nearly half of the water supply for the City of Boulder may be delivered through the Boulder Reservoir WTP. As Boulder grows, the percentage of water delivered directly through the Boulder Reservoir WTP will increase to about one-third of the total supply on average. Colorado-Big Thompson (CBT) Water Supply & Boulder Reservoir Water Treatment Plant CBTwater originates in the Colorado River basin on Colorado’s western slope and is managed by the NCWCD as a supplemental supply to the eastern slope supplies of its members. The city owns 21,015 units of CBT water. A unit of CBT is a water supply contract issued by NCWCD that provides delivery of an amount of water based on an annual allotment set by the NCWCD board. A 100 percent quota provides one acre-foot of water for each unit for that year. High quotas are typically set when east slope runoff is projected to be lower than normal and west slope reservoirs are at orabove average storage levels. Low quotas are set when east slope runoff is expected to be above normal or west slope reservoirs are significantly below normal storage levels. The historical average for the annual quota is about 70 percent or 0.7 acre-foot per unit. The 2012 CBT quota was 100 percent, supplying the city with 21,015 acre-feet of water Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) available for treatment at Boulder Reservoir WTF or use in exchange to the upper Boulder Creek basin. By comparison, the 2002 CBT allotment was 70 percent. Hydropower The primary objective of Boulder’s water supply operation is to treat and distribute high quality water to the community in a reliable and cost-effective manner. A secondary objective is to generate hydropower from the excess water pressure in the system. The city’s upper Boulder Creek basin source waters generate hydroelectricity which provides clean, renewable energy as a byproduct of municipal water supply operations. Reducing use of upper Boulder Creek basin water, while necessaryin managing water supplies during a dry year, also reduces hydroelectric power generation and revenue from the sale of hydroelectricity. During 2011, the city’s hydroelectric power plants generated 50,266,657 kilowatt hours of electricity or enough to meet the average annual needs of approximately 8,500 households. It is estimated that total generation for 2012 will be 36,450,000 kilowatt hours, equivalent to the average annual need of approximately 6,100 households. The more than 25 percent reduction from 2011 generation reflects not only reduced use of upper Boulder Creek basin water supplies, but also the fact that Boulder Canyon Hydro was off line for almost the entire year due to construction. The combined effect and resultant decreased hydroelectric production in 2012 led to a $250,000 to $300,000 reduction in hydroelectric revenue as the city receives $100 for every acre-foot of upper Boulder Creek basin water delivered through its hydroelectric facilities. Financial Analysis Higher overall water consumption and relatively high use in the upper rate blocks have resulted in higher than expected revenues to the water fund in 2012. Revenue from utility bills is up around 12 percent compared to last year. A portion of this revenue will help offset the 2012 reduction in hydroelectric revenues, which was due to hydroelectric plants being taken offline for various projects and also treating more water through the Boulder Reservoir WTP to help preserve storage in the city watershed. The increased use of Boulder Reservoir WTP means higher chemical costs because of water quality issues along with additional electrical pumping costs. Excess revenues in 2012 will go to fund balance and will be used in planning the 2014 budget, which may help reduce rate increases or offset future one-time expenses. In any given year, revenues fluctuate significantly, and keeping adequate fund balance helps mitigate years where low water use results in revenues not covering expenditures. VI.MANAGING BOULDER’S WATER SUPPLY SYSTEM: Boulder’s water supply system provides the community with water for municipal purposes as well as “non-municipal” uses including maintaining instream flows and leasing for agriculture uses. Operating Boulder’s water supply system involves the interplay of water rights, water supply availability, infrastructure capacity, and planning for future use. In order to summarize the water supply operation, there are four basic “seasons” related to the management of the system including the following: Direct Flow – April through October Reservoir Fill – April through June Exchange – April through June Reservoir Release – July through April Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) The timeframe associated with each season varies depending on the precipitation and weather conditions. Details associated with each season are included below along with more information related to the 2012 snowpack, streamflow, reservoir storage levels, instream flow, and agriculture leases. Despite the dry conditions of 2012, the city was able to preserve its mountain water storage levels and maintain its instream flow commitments. Direct Flow Season The city makes water source decisions on a daily basis based on the “call on the river” (simply put, which of all the water rights in the basin are in priority and can be used on any given day) and anticipated municipal water needs.Municipal demand is first met by using the city’s in- 4 priority direct flow water rights. All of the city’s water needs can often be met this way during spring snowmelt and the early summer. The city’s “direct flow season” usually runs from about April to late October, although it varies greatly from year to year depending on the amount of winter snowpack accumulation and how quickly runoff occurs. Reservoir Fill Season Some water is stored in the city’s upper Boulder Creek basin reservoirs during the spring runoff period when streamflows are usually high. This “reservoir fill season” may be only four to eight weeks in length between the time when snowmelt begins and when senior water rights lower on the river have priority over the city’s storage rights. The city was able to fill its upper Boulder Creek basin reservoirs in 2012 in spite of reduced runoff and streamflow, largely because they were more full than usual at the beginning of the fill season due to the abundant snowfall and runoff from the 2011 winter. By comparison, neither Silver Lake nor Barker Reservoir filled in 2002. Storage levels were already very low at the beginning of 2002 because drought conditions had existed since 2000. Calls on the river were so senior that very little water could be diverted under even the most senior Silver Lake right. During 2012, maintenance of storage levels at Barker Reservoir was also aided by capital construction projects in that portion of the system. The Barker Reservoir/Middle Boulder Creek water source was off-line for a few months (during the reservoir release season) for the installation of new generating equipment at the Boulder Canyon Hydroelectric Plant. Exchange Season If the city’s storage rights are called out before its Boulder Creek reservoirs are filled, the city canexchange western slope water. The city uses its exchange right to release water from Boulder and Baseline Reservoirs to fulfill downstream calling rights while it takes additional water into the city’s upper reservoir and/or diverts water into its pipelines. The “exchange season” may be limited to just a few weeks during the reservoir fill season. In dry years (such as 2012) or years when the snowpack is so low that streamflows don’t reach their normal peaks during the runoff season, the river call will remain senior.In these years, the exchange right may be the only right available to store water in Boulder’s upper Boulder Creek reservoirs. Reservoir Release Season As streamflows at the city’s upper diversion points drop in the summer, there is insufficient physical water supply to meet all of the city’s water needs using direct flow rights. Therefore, usually starting sometime in July or August, the city supplements direct flow diversions with 4 Direct flow water rights are those that must be used immediately for their decreed beneficial uses without storage. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) reservoir releases. By wintertime, streamflow levels are so low the city’s water needs are met by treating water at the Boulder Reservoir WTP and releasing water from upper Boulder Creek storage reservoirs.This “reservoir release season” lasts until the following spring. The city manages its reservoirs so that they are not completely drained in a single year in order to assure sufficient water supply during dry years. Snowpack Snowpack is an important factor in the city’s annual water supply monitoring. The city relies upon snowmelt runoff to fill and store water in its upper Boulder Creek basin reservoirs each year. This reservoir storage becomes an important component of the city’s water supply later in the year when direct streamflows are insufficient to meet demands. Midwinter snowpack readings were in line with historical averages during the 2011-2012 winter season, but conditions became much drier than normal starting in early March(see Table 1). Table 1: 2012 Snowpack Readings LocationDatePercent of Average March 1, 2012100% University Camp Snotel SiteMay 1, 201254% March 1, 201298% Boulder FallsMay 1, 201212% Streamflows In addition to reduced snowpack, peak snowmelt runoff occurred approximately 3 weeks earlier than average, and streamflows were lower than average. Figure 1 shows 2012 Middle Boulder Creek streamflow at Nederland compared to the historical average flows for March through July at this location.This figure shows that in the city’s upper Boulder Creek basin source water area, some snowmelt occurred somewhat earlier than average, and the high streamflows usually associated with snowmeltwere much lower than average. It also shows the beneficial precipitation events that occurred in July. The upper Boulder Creek basin received ten inches of precipitation during July and August 2012. The large spike in streamflow in early July corresponded to 3.3 inches of precipitation in the city’s Silver Lake Watershed from a single storm event. Figure 1: 2012 March –July Middle Boulder Creek Streamflows at Nederland Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Reservoir Storage Levels Due in part to abundant snowfall and runoff from the 2011 winter, the city’s Boulder Creek reservoir storage levels were significantly higher in both May and October of 2012 compared to 2002 (see Table 2). Despite very dry 2012 conditions, the city was also able to fill its reservoir and maintainreservoir storage levels in part by having greater treatment capacity at Boulder Reservoir WTP than in 2002, which allowed the city to use a larger proportion of CBT supplies. Table 2: 2012 Water Supply Conditions inComparison to 2002 DATEBOULDER MOUNTAIN RESERVOIR STORAGE (ACRE-FEET) 05/29/201215,814 05/29/20029,238 Difference in 20126,576 + BOULDER MOUNTAIN RESERVOIR STORAGE (ACRE-FEET) 10/25/201213,160 10/25/20029,130 Difference in 2012+4,030 COLORADO-BIG THOMPSON SYSTEM STORAGE (ACRE-FEET) 05/29/2012646,480 05/29/2002369,137 Difference in 2012+277,343 COLORADO-BIG THOMPSON ANNUAL ALLOTMENT (ACRE-FEET) April 201221,015 (100%) April 200214,736 (70%) Difference in 2012+6,315 SNOW WATER EQUIVALENT 5 AT UNIVERSITY CAMP SNOTEL SITE 05/29/20125.4 05/29/20023.0 Difference in 2012+2.4 Instream Flows & Agricultural Leases The city also uses its source water supplies for “non-municipal” uses including maintenance of instream flows and leases for agricultural uses. The city entered into agreements with the Colorado Water Conservation Board in 1990 and 1992 to convey certain senior water rights and to maintain streamflow levels in North Boulder and main Boulder Creeks. In addition, since 2001 the city has voluntarily maintained instream flows in Middle Boulder Creek below Barker Dam. The agreements allow the city to use the conveyed water rights for municipal purposes when they are not needed to maintain the specified instream flow levels. The city may also interrupt deliveries for instream flow purposes in the event of an extraordinary drought stage or emergency conditions. The city exercised its right of interruption in 2002 and used the conveyed water rights to meet municipal water needs. As a result, streamflows did drop below established levels throughout 2002. No such interruptions of instream flows occurred in 2012. The city leases CBT water on an annual basisto mostly agricultural users. The amount of water available for lease is generally determined each year by the end of June and is based on projections of each year’s source water supply to meet the city’s municipal water needs. During 5 Snow Water Equivalent (SWE) is the amount of water contained within the snowpack. It can be thought of as the depth of water that would theoretically result if you melted the entire snowpack instantaneously. Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) 2002, the water leasing program was suspended for all types of water that could be used within the municipal water system. In 2012, no reductions were required in the city’s leasing program. VII. DROUGHT RESPONSE: Despite the dry conditions of 2012, the city did not reach the established threshold for a drought stage declaration. However, no municipal water supply system is drought-proof. The cost of providing facilities and water rights that might be used only once in many decades would be high and would not be an effective use of available funds. In 1989, the city began planning to reduce the amount of water provided by the municipal water system during significant drought stages rather than planning to provide water for all uses under all drought conditions. At that time, council established reliability criteria for the acceptable frequency of drought stage water use restrictions. Reductions in water use will be required during drought stageswhen the available supply of water is expected to be less than anticipated water demand over an extended period of time, usually until the next spring snowmelt in the mountains. The need for water use limitations due to adrought stage is not expected to happen often to Boulder’s municipal water system because the city purposefully owns a diversified water rights portfolio that has a high degree of reliability. In the event that the city declares a drought stage, the Boulder Revised Code provides the general context and legal authority for the city manager, in consultation with City Council, to declare a drought stage and determine the specific response measures (e.g., reduce water budgets). The city’s rules and regulations provide the specific details on the drought stage response measures (e.g., how much to reduce water budgets). The city’s Drought Planning and Response Plan, which is based on the established drought stage reliability criteria, provides the basic framework and guidance for recognizing adrought stage and for responding appropriately to these drought stages. When deciding to declare a drought stage, at a minimum, the city considers the following three main quantitative factors that have a large effect on the city’s ability to provide a reliable water supply: Boulder’s projected mountain storage. Boulder’s portion of water projected to be available from CBT system. Boulder’s unrestrained water demand. Based on these factors, the city did not declare a drought stage in 2012. Although a drought stage was not declared, the city continued to monitor trends in snowpack, runoff conditions, reservoir filling and customer usage in order to determine if conditions changed. VIII. WATER CONSERVATIONRESPONSE: Since no municipal water supply system is drought-proof, it is important to plan for droughts before they actually occur. Drought preparation includes establishing appropriate rate structures, water system planning, and managing an on-going water conservation program and public education efforts. As such, the city implemented a Water Conservation Program in 1992 to address the ongoing needs for water use reduction efforts. The Water Conservation Program strategy for 2012 aimed to support and build-on existing program efforts. By the end of 2012 the Water Conservation Program moved well beyond initial goals, implementing several innovative initiatives through enhanced partnerships which stand to Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) improve future water conservation efforts in drought and non-drought years.Below is more information on key efforts related to water conservation in 2012. Irrigation Water Use & Leak Identification Increased outdoor water use in 2012 was, for the most part, consistent with turf needs based on Attachment A the ET rate (see ). That being said, March water use was abnormally high as the unseasonably warm, dry weather prompted customers to turn on their irrigation systems much earlier than expected. The city received an increase in complaint calls related to high water bills which, when investigated by city staff, almost always resulted in finding an irrigation or toilet leak. In fact, higher bills earlier in the year may have lead customers to discover irrigation leaks which are typically hidden in their summer water use. Due to recent meter upgrades, the city now has the ability to flag continuous use on water meters. As a result, the city will mail letters alerting customers to potential leaks beginning in March of 2013 which will also coincide with the EPA’s Fix-A-leak Week. This effort will continue throughout the year. Pilot Studies and Rebate Changes Despite efforts to promote water conservation rebates in 2012, customer participation appears to be one of the lowest in the last twelve years. Ironically, the lowest year (by dollar amount) was 2002. This suggests that rebates may not be an effective response tool for the driest years. As a result, the city piloted an installation program using the Center for ReSource Conservation (CRC) to make irrigation repairs, install more efficient irrigation spray heads, and install ultra- low-flow toilets. Due to the success of the pilot projects, 2013 funding will be shifted from rebates to installation programs (toilets and sprinkler heads) through CRC. This shift will support changes and repairs being made towards greater drought mitigation efforts. City Department Accounts, Parks and Recreation and the Water Conservation Fair In 2012, there was an increase in outreach efforts to city departments, alerting all to the possibility of matched funding for water efficiency improvements through the Water Efficiency Fund. Water efficiency projects are ranked by water use and saving potential. The Parks and Recreation Department (Parks) isthe largest water user among city departments, and in 2012, all $50,000 was allocated to Parks water efficiency improvements. Parks and the Water Conservation Program staff were already partnering to promote water efficiency in Parks by installing new low-water turf plots and xersicape gardens at East Boulder Community Park. These improvements resulted in the city’s first Water Conservation Fair which was held in July 2012. The Water Conservation Fair offered the public a way to learn about more efficient outdoor irrigation methods. The 2013 event will be held on May 18 to better coincide with CRC’s normal “Garden-in-a-Box”plant sale, National Parks Clean-up Day, city-wide Community Cleanup Day (including creek clean-up), National Kid’s to Parks Day, and the timeframe for any city drought stage declaration (May 1). Additional Outreach Planning The Water Conservation Fair fit in well with larger planning efforts to support the “2012: Year of Water” initiative. In May, city staff also worked to have July declared as the “Month of Water” in the City of Boulder to help highlight what is nationally recognized as the month with the highest outdoor water use. In June, the potential for reservoir releases due to the lack of rain Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) lead to the development of the “Less Is More Campaign;” watering less makes grass more drought tolerant. Multiple ads ran weekly from July through September in the Daily Camera (weekend paper and online) and in the Colorado Daily newspaper. This campaign is now ready to use as needed for 2013. In a severe drought stage, it is understood that messaging needs to be accompanied by more direct assistance. In 2013 the CRC will create a “Drought Buster” program which can, if needed, be used to aid the city with a hotline, neighborhood canvassing and educating customers who are over their water budgets. Coordination with Other Communities –Drought Response & Watering Guidelines From 2011 -2012 the city participated in various Colorado Water Conservation Board (CWCB) Water Availability Task Force (WATF) meetings. The WATF meetings provide state drought conditions, weather forecasts and updates from other cities on their drought stage status. In May, Denver Water moved to Drought Stage 1 (Voluntary Restrictions) but this was not the case with the majority of front-range cities. In September, the CWCB held a Drought Conference and Denver Water was still one of the few cities that had declared a droughtstage. Other cities such as Greeley and Thornton did issue drought related restrictions fairly late in the season but those cities did not benefit as significantly from the July rainstorms which supplied Boulder reservoirs with the equivalent of approximately 15 percent of annual snowpack in terms of snow water equivalency. While 2012 was the third driest year in Colorado and likely the hottest on record, the city’s response to these conditions was similar to most front-range cities with one key difference, a majority of cities tend to have some standard summer watering guidelines. These guidelines may be enforced or simply exist as recommendations and they are typically present in all years, regardless of drought conditions. While the city does generally promote suggested watering recommendations, the development of formal summer watering guidelines may be something the city wants to consider. Apart from formal guidelines, the city’s water conservation efforts continue to be in-line with, if not advancing, other cities water conservation efforts. This is particularly true when considering outdoor water budgets, allotted gallons per square foot, and the city’s mapping of each accounts irrigable area which is something that many other cities are trying to achieve. The city presented water conservation information to the Boulder County Consortium of Cities (Consortium) in August of 2011 in hopes of promoting a possible county-wide initiative. Through 2012, the elected officials from each city in Boulder County (including Broomfield) who make-up the Consortium, directed county staff and, through their membership, city staff to participate in two Scoping Committee meetings. From these efforts a Water Stewardship Initiative Task Force (Task Force) was created in August and given six months to report back to the Consortium on what water related multi-jurisdictional collaboration might be possible. The Task Force is chaired by County Commissioner Deb Gardner with Vice Chairs Russ Sands (City of Boulder) and Doug Short (Lafayette). Coordinated drought response has been a core focus of this group. This focus has been supported by many members of the Task Force, Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) including the City of Boulder’s council member Ken Wilson. The Task Force is currently working on identifying, among other things, whether a central drought message could be used across the county and may also consider promoting county-wide summer watering guidelines. IX.PREPARING FOR 2013 AND BEYOND: Managing the city’s water supply and preparing for droughts is an ongoing process. While the operation of Boulder’s water supply system involves many details and much complexity, it is Attachment C governed by several guidelines, as outlined in .The city will continue to implement projects and evaluate programs to better plan and prepare for drought conditions such as sending out meter leak letters, monitoring water loss more closely, and developing the “Drought Buster” program. If 2013 is another dry year, then thesespecific programmatic developments in addition to the strategic operation of the water treatment plants, running the Boulder Reservoir WTP more as was done in 2012, will better help address drought conditions. When using comparisons to 2002 to characterize the water supply conditions of 2012, it is important to remember that 2002 was actually the third year of a drought conditions that began in 2000.If dry conditions persist through 2013, then 2012 would be the first year and subsequent dry years would be expected to diminish water supplies available at the beginning of each subsequent year.The city conservatively estimates based on its normal November through March water use that its upper Boulder Creek basin reservoirs will have approximately 11,000 acre-feet of stored water on April 1, 2013. By comparison, actual reservoir storage on April 1, 2002 was 7,186 acre-feet. Looking ahead to 2013, the following is the status of the key water supply factors: Boulder’s mountain reservoirs filled in 2012 and current storage levels are good. Anticipated CBT allotment is 50 to 70 percent, which equates to 10,500 to 14,700 acre- feet. It is too early to tell what the snowpack will be at the end of the winter season. Currently, snowpack is 60 percent of average. However, on average, at the University Camp SNOTEL site, 33 percent of the total annual snowpack falls between October and December and 67 percent falls between January and May. The average maximum snowpack occurs around the first of May. Therefore, it is too early in the season to predict what the contributions from snowpack will be to Boulder’s 2013 water supply and whether Boulder will need to declare a drought stage. Staff will continue to monitor snowpack, precipitation, storage levels and streamflows throughout the winter to refine its water supply projections for 2013. X. NEXT STEPS: Below are some of the WRAB items related to water supply and drought response that are currently on the 2013 calendar: Water Conservation Futures Study (WCFS) Update –This update will identify additional water conservation measures that may be needed and propose uses for the “saved” water. It will also, among other things, evaluate the fairness of outdoor water budgets for customers (and parks) especially when considering the effects that projected increases in temperature may have on requiring additional outdoor watering if the same level of Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) “green” is to be achievedin future years. This item is anticipated to go to WRAB and City Council in 2013. Commercial, Industrial and Institutional (CII) Study – While water budgets for single- family and multifamily accounts are tied to water efficiency, CII water budgets are based on historic use. By revising CII water budgets to include efficiency benchmarks, the city has an opportunity to better identify water waste and furtherassist CII customers with saving water. This item is anticipated to go to WRAB and City Council in 2013. Rebate Changes –Changes to the Water Conservation Rebate Program (which WRAB approved in December 2012) have allowed the city greater flexibility to apply water conservation funding to specific drought efforts, and provide increased savings to customers –particularly with regards to outdoor water use. These programmatic changes will be evaluated and refined in 2013 to optimize their effectiveness. Water Conservation Fair – In July, 2012 the city held its first Water Conservation Fair. Many WRAB members as well as other attendees suggested this event continue. In order to better educate the public in responding to drought conditions and conserving water, this event has been moved to May 18 in 2013 to better correspond with any drought stage announcement in May. This event will also serve to streamline multiple events by combining xeriscape plant sales through CRC, and coordination with Community Clean- Up day (which includes stream clean-up) into a single day. The specific timing of these and other items will be discussed at the WRAB meeting on Jan. 28, 2013. ATTACHMENTS: A – Review of 2012: Weather and Treated Water Use in Boulder, CO Memorandum from AMEC Environment and Infrastructure (Dec. 7, 2012) B – Map of City of Boulder Source Water Facilities C – General Guidelines for Operating Boulder’s Water Supply System Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) %XXEGLQIRX% Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) Agenda Item 7 ATTACHMENT 1 - Drought Response Overview and Water Supply Update (April 15, 2013) ATTACHMENT C General Guidelinesfor Operating Boulder’s Water Supply System While the operation of Boulder’s water supply system involves many details and much complexity, it is governedby the following general guidelines: The system is operated to maximize its water supply yield, subject to the ability of its water treatment plants to reliably produce high quality finished water. Hydropower generation from the excess water pressure in the system is a secondary objective. As a first priority in meeting its water demands, Boulder maximizes its diversions under its direct flow rights. As a second priority, Boulder uses its Colorado Big Thompson (CBT) and Windy Gap supplies (western slope) as an exchangesource for transferring water into its upper Boulder Creek basin reservoirs and pipelines. As a third priority, during the irrigation season when the Boulder Feeder Canal is running, Boulder delivers its CBT and Windy Gap supplies directly into the Boulder Reservoir Water Treatment Plant to supplement native basin direct flow yields. Boulder takes water from its mountain reservoirs or water stored in Boulder Reservoir into the treatment plants to meet any remaining demand. Boulder attempts to minimize spring and summer releases from its reservoirs in order to preserve this storage waterfor meeting fall and winter demands and for multi-year drought protection. Boulder supplies water to satisfy the commitments made by the city to the Colorado Water Conservation Board for provision of instream flows on North Boulder and main Boulder Creeks. Boulder leases any excess CBT and Windy Gap supplies to agricultural users in Boulder Creek on an annual basis. Agenda Item 7 Attachment 2 City of Boulder Drought Plan (electronic links) DROUGHT PLAN - Volume I Drought Planning and Response Plan DROUGHT PLAN - Volume II Technical Information and Analysis Agenda Item 7