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HomeMy WebLinkAboutAgenda - 11-21-2002-1JOINT MEETING ORANGE COUNTY BOARD OF COMMISSIONERS/ HILLSBOROUGH BOARD OF COMMISSIONERS WORK SESSION ITEM ABSTRACT Meeting Date: November 21, 2002 Action Agenda Item No. _ SUBJECT: Coordination of Water Issues DEPARTMENT: County Manager ATTACHMENT(S): County Engineer Water Rate Report County Water Conservation Resolution Capacity Use Agreement County Water Conservation/Drought Ord Town Water Conservation/Drought Ord. OWASA Water Conservation/Drought Ord. Hillsborough Water Rate Letter Lake Orange, Inc. Letter PUBLIC HEARING: (Y/N) No INFORMATION CONTACT: Paul Thames, County Engineer, ext. 2303 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To provide material for the BOCC and Hillsborough Board of Commissioners to review and discuss in their joint deliberations related to better coordinating the operation of the Eno River Capacity Use Agreement and their respective drought ordinances (that impose water use limitations on the citizens of the Town and County and to discuss the impact of double water rates on Town water/sewer utility customers who live in the unincorporated sections of the Town utility service area. BACKGROUND: Orange County and the Town of Hillsborough have a partnership relationship in the effort to provide and protect the water supply for a sizable percent of the population in the central portion of the County. The County and Town both operate reservoirs in the northern part of the County, release water from the reservoirs into the Eno River and manage the resources therein to promote the most effective use of water for both consumers and the environment. However, the prolonged and severe drought of recent years has caused 2002 to be a very difficult year for almost all of the water resource providers in the area, including the Town and County. The hardships have highlighted both the strengths and weaknesses of the guidelines, agreements, ordinances and practices that govern how the Town and County manage and coordinate the use of the water resources. Furthermore, the addition of the water supply from the Town's West Fork reservoir has drastically changed the conditions that were existance when those guidelines, agreements, ordinances and practices were developed and implemented. In particular, differences in requirements and terminology in the drought ordinances applicable to in- and out-of-town Hillsborough customers as well as those applicable to OWASA, Mebane, Orange-Alamance and Durham customers has caused a great deal of confusion for the 2 customers and a great deal of trouble for governmental and utility policy makers and staff trying to explain those differences to the customers and the media. And while the availability of the new Hillsborough water supply has been integrated into the operating requirements of the Eno Capacity Use Agreement, it has not been taken into consideration insofar as the Town and County drought ordinances are concerned. Furthermore, the availability of the new west fork water supply has motivated citizens living around Lake Orange to question why the water level in Lake Orange should be dropped so drastically (and impairing the visual and recreational amenity they enjoy) while the water level in the West Fork Reservoir (which does not provide visual or recreational amenity) remains at the full mark. And finally, fairly recently developed agricultural operations (turf farms) located near both Lake Orange and the West Fork reservoir use large quantities of water without limit or regulation and perhaps even cause the curtailing of all flow of water from the upstream areas into the reservoirs. Out-of-town customers of the Hillsborough utility systems have approached the BOCC about utility rates that they consider to be onerous and unfair. ~ While the BOCC recognizes that it has no role in reviewing or setting Hillsborough utility rates, it is obligated to raise the concerns of its citizens to other governing bodies whose decisions affect those citizens but who have no voice or elective power with those who make the decisions. The resolution of these problems, where they can be resolved, requires a coordinated effort from all the local governments and utilities in Orange County and perhaps beyond (Durham and Mebane, for example). The State of North Carolina, by virtue of its oversight role in the Eno River Capacity Use Agreement, also has a pivotal role. There are and will be a number of challenges in developing a system that is workable and satisfactory, because the demands of each system and their respective supply capacities vary so greatly. RECOMMENDATION(S): The Manager recommends that the Boards review the attached documentation as background to an ongoing discussion. MEMORANDUM TO: County Commissioners COPIES: John Link, County Manager Greg Wilder, Assistant to the County Manager FROM: Paul Thames, PE, County Engineer DATE: October 10, 2002 SUBJECT: W. Atherton complaints relative to Town of Hillsborough water/sewer utility rates Asper the request of the BOCC, County staff have evaluated the information/material provided to the Board by Mr. William Atherton of 1621 Cavell Court in Churton Grove in support of: a) his contention that the Town of Hillsborough's utility rates for out-of--town customers are too high; and b) his request that the BOCC advocate lower utility rates for out-of--town customers by refusing to expedite approval of upcoming phases of the Churton Grove development and by any other means that are appropriate. The material submitted by Mr. Atherton included the following: • Mr. Atherton's calculation of daily/monthly water use (and cost based on Hillsborough utility rates) by a typical family, broken down into water consumption by task (brushing teeth, flushing toilets, bathing, cooking, dishwashing, hand washing, etc.), and • A representation of the monthly water/sewer utility costs for houses that are not yet occupied (lawn watering, etc.), and • A representation/calculation of the difference in water/sewer utility costs fox a typical in-town customer versus the typical out-of--town customer with the Town's projected total monthly and yearly revenue from in-town versus out-of--town customers, and • A comparison between various monthly mortgage payments (for differing loan amounts and interest rates) and utility costs (for varying family sizes), and • A copy of portions of the "Town of Hillsborough Citizens' Advisory Water and Sewer Task Force Water and Sewer Report" with the following specific findings and recommendations emphasized: 1. The Town's present flat utility rate structure may not be the most favorable, and the Town and its customers might better be served by a graduated (increasing) rate structure, and 2. The Town probably cannot technically cost justify the application of double utility rates to out-of--town customers, and 3. The Town should merge or equalize in-town and out-of--town rates to the extent determined by an analysis performed by a qualified technical consultant. A portion of the Town of Hillsborough budget workbook for FY 2002-03 dealing with the utility fund and revenues, and • Two newspaper articles outlining issues related to annexation of Churton Grove by the Town of Hillsborough and reduction of utility rates for out-of--town customers. The material submitted by Mr. Atherton does demonstrate that Town of Hillsborough utility rates are high for both in- and out-of--town customers. Of course, this is not information that was or is previously unknown. The Town's utility rates have increased dramatically over the past several years to cover the high costs associated with improving utility infrastructure and developing the west fork Eno River reservoir and to compensate for the revenues lost when the Town's largest utility customer (Flint Fabrics) closed its plant. Mr. Atherton's information does support an inference that the Town's existing utility rates make it very difficult to provide housing at "affordable" cost for lower and moderate income families when high out- of-town utility costs essentially consume a significant portion of the savings that maybe achieved with lower mortgage costs. Furthermore, the Town's citizens advisory task force report supports Mr. Atheron's contention that it is difficult -perhaps even impossible -for the Town of Hillsborough to fully justify the use of double utility rates for out-of--town customers. However, the material submitted by Mr. Atherton does not present the analysis/conclusion that, given basically equal numbers of in- and out-of--town customers, equalizing in- and out-of--town rates would entail essentially a fifty percent rate hike for in-town customers while providing atwenty-five rate reduction for out-of--town customers. Nor does it include or acknowledge anecdotal information that indicates that charging double or nearly double in-town utility rates for out-of-customers is the norm for nearly every municipally-owned and operated utility in North Carolina. However, data collected by Orange County engineering staff (utility rate data from Durham, Oxford, Mebane, Graham, Pittsboro, Oxford, and Burlington) does show that the standard utility rate practice for this area is a utility rate structure where the out-of--town rate approaches or even exceeds double the in-town rate. The usual financial model for North Carolina municipal water/sewer utilities is that of an enterprise operation or one in which all utility costs (capital reserve, equipment replacement, debt service, personnel, maintenance, power, chemicals, billing, etc.) are recovered entirely through a utility's rate and fee structure. It is not uncommon, however, for shortfalls in utility revenues or a municipal utility fund to be addressed by transferring funds from a municipality's general fund or fund balance reserves. Furthermore, some portion of most utilities' capital and operating costs have historically been subsidized by sales tax revenues legislatively earmarked for that purpose or from other municipal funding sources such as bonds or grants. The historical precedents of utility funding and rate-setting procedure are undoubtedly a primary cause for continuing the practice of charging out-of--town customers a much higher rate than in-town customers. Aside from the fact that any municipality's general fund is the ultimate guarantor of the solvency of its utility operation, there is unlikely to be significant present-day evidence that would demonstrate that the cost of providing utility service to out-of--town customers is more than marginally greater than providing service to in-town customers for most municipal utilities. In general, capital costs incurred in the extension of utility service to new out-of--town development are paid in full by that development (and recovered in sale/rental prices of new homes and building space). Capital costs incurred in the extension of utility service to new out-of--town development are paid for by assessments on individual property owners in existing neighborhoods. Actual operating costs of a collection sub- system would depend on the type of collection system, the topography and geology of the service area(s) and its physical proximity to a utility's motor pooUmaintenance facility (out-of--town service areas could actually be closer than across-town but still in-town areas). While many municipalities do offer various types of financial incentives or assistance to encourage affordable or subsidized housing, the enterprise based financial operation of their utilities does not allow the application of an affordable housing justification to utility billing practices. Thus the use of a rate structure that conforms to affordable housing goals is precluded. Capital facilities fees which generally reflect the relative impact of a utility customer on the size (and expense) of treatment plants, pumping stations and other infrastructure generally do tend to reflect affordable housing goals. That is, capital facilities fees are always greater for large non-residential utility users and, occasionally, fees for large homes are greater than those for small homes. Utilities that do use some type of rate reduction schedule generally offer reduced rates to large utility users, the theory being that a single service, meter reading, bill, etc., is required to provide service to a large user while many services, meter readings, bills, etc., are required to provide service to some greater number of residential and small utility customers whose aggregate use would equal that of the large single user. The economy of scale evaluation showing that it is more economical to provide utility service to large volume users then provides the economic justification for lower rates on a unit cost basis. While Mr. Atherton makes a number of accurate assertions about the expense of utility service to out-of- town customers of the Hillsborough utility system, he cannot show that Hillsborough's practice of charging double rates is outside of the recognized norm for municipally owned water and sewer utilities. To be sure, Hillsborough's utility in- and out-of--town rates are very high, but this is a problem that has been openly and publicly acknowledged by Town elected officials and staff. In the final analysis, it is totally within the purview of the Town of Hillsborough to set its own utility rates and to apportion the percentage of operating cost to be borne by its in-town and out-of--town customers. At least for the time being, and with detailed knowledge of the dissatisfaction of many of the Town's in- and out-of--town utility customers with its high utility rates, the elected officials of the Town of Hillsborough have formally declined to act on recommendations (for a rate study) that might apportion utility operational costs more equitably between in- and out-of--town customers. If Mr. Atherton is sufficiently aggrieved by the Town's decision not to pursue an effort to equalize utility rates or if he feels that he and those in a similar position are victims of discrimination or some sort of "taxation without representation" circumstance, he -and they -can certainly challenge the Town's rate practices through the judicial system. If I may provide additional information, please advise. Summary of Area Combined Water and Sewer Rates C~ Rates Inside Citv Limits Rates Outside City Limits Durham $4.53 per 1000 gallons $9.07 per 1000 gallons Oxford $14.90 customer charge $20.15 customer charge plus plus $6.56 per 1000 gallons $8.01 per 1000 gallons Mebane $6.55 per 1000 gallons $13.76 per 1000 gallons Pittsboro Minimum $7.78 for first Minimum $16.08 for first 2000 gallons 2000 gallons $2.75 per 1000 gallons $7.84 per 1000 gallons thereafter thereafter Hillsborough Minimum $38.39 for first Minimum $72.78 for first 3000 gallons 3000 gallons $12:13 per 1000 gallons $24.26 per 1000 gallons thereafter thereafter Graham Minimum $13.00 for first Minimum $34.70 for first 2000 gallons 2000 gallons $5.95 per 1000 gallons $8.75 per 1000 gallons thereafter thereafter Burlington Minimum $12.19 for first Minimum $24.38 for first 2750 gallons 2750 gallons $4.35 per 1000 gallons $8.70 per 1000 gallons thereafter thereafter Samale Bill for a Customer Using 3000 Gallons of Water and Sewer aer Month C~ Inside City Limits Outside City Limits Durham $13.59 $27.21 Oxford $34.58 $44.18 Mebane $19.65 $41.28 Pittsboro $10.53 $23.92 Hillsborough $36.39 $72.78 Graham $18.95 $43.45 Burlington $13.28 $26.56 ORANGE COUNTY BOARD OF COMMISSIONERS A Resolution Advocating the Continuation of Interlocal Efforts Fostering Conservation of Potable Water WHEREAS, Orange County and central North Carolina have of late been severely impacted by prolonged and severe drought and ensuing shortages of potable water affecting citizens depending on individual ground water and municipal-type surface water supplies; and WHEREAS, the experiences of Orange County, its water providers and citizens have demonstrated that the uncertainties of weather and rainfall patterns, when combined with inefficient or wasteful water use practices can create severe shortages in potable water supplies to the extent that the public health and welfare is seriously jeopardized; and WHEREAS, the language, terms, requirements and conditions of the various drought and emergency water use regulations and ordinances applicable to the customers of the various water providers operating within Orange County often appear to be unclear, vague, uneven, contradictory and otherwise poorly coordinated between the various water providers and their respective service areas; and WHEREAS, Orange County, in discharging its statutory responsibilities to protect and enhance the public health, safety and welfare of all the citizens of Orange County, does have a strong interest in assuring the availability of a high quality supply of potable water; and WHEREAS, Orange County owns and operates Lake Orange, a water supply reservoir that serves as a primary water supply for the Town of Hillsborough and the Orange- Alamance Water System; and WHEREAS, Orange County coordinates the use of water supplies drawn from the Eno River under the provision of the Eno River Capacity Use Agreement; and WHEREAS, Orange County has sponsored, in cooperation with the US Geological Survey, two studies of the ground water resources in Orange County; and WHEREAS, Orange County has no pecuniary interest in the sale or transfer of treated or raw water supplies within the County or elsewhere; and 8 WHEREAS, Orange County seeks to ensure that the demand for potable water supplies generated by the County's existing population as well as population growth and development can be reconciled with availability of those supplies; and WHEREAS, Orange County seeks to ensure the responsible. and farsighted use of effective but relatively simple strategies and technology exist to reduce demand and enhance availability of potable water supplies for the County's existing population as well as population growth; and WHEREAS, The citizens of Orange County are provided municipal water utility services by the Town of Hillsborough, Orange Water and Sewer Authority, the City of Durham, the City of Mebane and the Orange-Alamance Water System; and WHEREAS, the water distribution systems of the Town of Hillsborough, Orange Water and Sewer Authority, the City of Durham, the City of Mebane and the Orange- Alamance Water System are interconnected; and WHEREAS, in time of need, treated water has been and is still transferred to, between and through the water distribution systems of the Town of Hillsborough, Orange Water and Sewer Authority, the City of Durham, the City of Mebane and the Orange- Alamance Water System; and WHEREAS, Orange County participates in an ongoing dialogue with the Town of Hillsborough, Orange Water and Sewer Authority, the City of Durham, the City of Mebane and the Orange-Alamance Water System about watershed protection, water conservation and extension of utilities; and NOW, THEREFORE, do we, the Orange County Board of Commissioners, hereby resolve to request and recommend that all of the major water utility providers to the citizens of Orange County (the Town of Hillsborough, Orange Water and Sewer Authority, the City of Durham, the City of Mebane and the Orange-Alamance Water System) and all individual citizens whose homes and businesses are provided potable water supplies by ground water wells continue to be mindful of the need to conserve potable water supplies and seek out, implement and use those readily available and simple strategies and technology that will reduce our demand for potable water supplies to the extent practicable. This is the 6th day of November, 2002 Barry Jacobs, Chair Orange County Board of Commissioners NORTH CAROLINA ORANGE COUNTY ENO RIVER WATER MANAGEMENT PLAN IMPLEMENTATION AGREEMENT THIS MANAGEMENT AGREEMENT entered into this the day of 1988 among Orange County, North Carolina (hereinafter "County), the Town of Hillsborough, North Carolina (hereinafter "Hillsborough"), Orange-Alamance Water System, Inc. (hereinafter "Orange-Alamance"), and Piedmont Minerals, Inc. (hereinafter "Piedmont Minerals") for the purpose of implementing the Eno River Water Management Plan: W I T N E S S E T H: WHEREAS, the North Carolina Department of Natural Resources and Community Development, after a capacity use investigation, recommended to the North Carolina Environmental Management Commission (hereinafter the EMC) that the Eno River watershed area upstream from the confluence of the Eno River with the Little River be designated a capacity use area pursuant to the North Carolina Water Use Act of 1967 (G.S. 143-215 et seq.); and WHEREAS, the North Carolina Department of Natural Resources and Community Development conducted. a public hearing regarding the proposed designation of a capacity use area and consulted with affected water users and reservoir owners; and that after these consultations, the Department recommended to the EMC that Eno River water users and reservoir owners be given the 1 i® opportunity to achieve the same goals that would be accomplished under a capacity use designation by voluntary compliance with a water management plan; and WHEREAS, the EMC, in its Resolution No. 88-13, dated September 8, 1988, accepted the Eno River Capacity Use Investigation Hearing Officer's Report, made upon consideration of the recommendation of the North Carolina Department of Natural Resources and Community Development; and WHEREAS, the Eno River reservoir owners and water users expressed willingness to follow the proposed Water Management Plan for the Eno River; and WHEREAS, the EMC endorsed the Water Management Plan recommended by the Department and by the Hearing Officer and directed the Division of Water Resources to monitor compliance and make periodic reports to the EMC; and WHEREAS, the parties to this agreement are either major water users or otherwise have an important role in the Water Management Plan; and WHEREAS, a failure on the part of the water users and reservoir owners to comply with the Water Management Plan will likely result in the designation by the EMC of the upper Eno River watershed as a capacity use area and subsequent loss of local control. NOW, THEREFORE, the parties agree to the following specific -- obligations and responsibilities: 1• Water withdrawals and reservoir releases are subject to controls and limitations as outlined in Table 1, which table is 2 attached to this agreement and made a part of it. Water users affected by controls and limitations under the water management operations plan are as follows: a) County - release from Lake Orange, Corporation Lake, and Lake Ben Johnston to meet downstream withdrawals and in-stream flow requirements. b) Hillsborough - Lake Ben Johnston withdrawal and reservoir release (as instructed by the County), and the Hillsborough wastewater treatment plant discharge. c) Orange-Alamance - Corporation Lake withdrawal and reservoir release (as instructed by the County). d) Piedmont Minerals - Eno River withdrawal and discharge. 2. Table 1 establishes the maximum allowable surface water withdrawals and minimum flow requirements at the Eno River Hillsborough gauge, based on the level of Lake Orange. Table 1 was approved by the EMC as a part of the Eno River Water Management Plan. The parties agree (1) to comply with the water withdrawal restrictions shown in Table 1, (2) to keep in-stream flow levels at or above the. minimum required in Table 1, and ( 3 ) to work together to improve water retention in Lake Orange and to maintain operational drawdowns at Corporation Lake and Lake Ben Johnston to improve the total water supply yield of the reservoir system. 3 ~a 3. At no time will users withdraw more than the amount allocated in Table 1 at the 100 percent level of Lake Orange unless the user has a water purchase contract with a source outside the basin. Any such contract shall be valid only after it is fully executed and filed with the Division of Water Resources. If such a contract exists, withdrawals in excess of the amount allocated (up to the contracted purchase amount) may be made when the streamflow gauge at Hillsborough registers greater than 10 cfs. As stated in one of the notes to Table 1, withdrawals in excess of the amount indicated by Table 1 may be made when the USGS streamflow gauge at Hillsborough registers greater than 3 cfs. In no event, however, may the total daily withdrawal exceed that allocated at the 100 percent level of Lake Orange. All withdrawals will be averaged over a 7 day period (Sunday through Saturday) and compliance with the Table 1 permitted withdrawals will be based on this weekly average. The in-stream flow target at the Eno River Hillsborough streamflow gauge, however, must be maintained at all times. No averaging of streamflow targets are permitted. Schedules of water being purchased, and how such purchases will affect withdrawals, must be provided to County at least one week before the purchase. The purchase amounts for each day will be sent with monthly reports of daily withdrawals to the Division of Water Resources. Emergency withdrawals which would cause the withdrawer to be out of compliance with the requirements of Table 4 i~ 1 must be documented and justified in writing and submitted with the monthly report to the Division of Water Resources. Subsequent conservation and reduced Eno River withdrawal may be required to mitigate lost water reserves. 4. County shall have the following specific responsibilities in addition to those stated or implied in Table 1: a) Coordinating the withdrawal, release and retention of water at Lake Orange, Corporation Lake, Lake Ben Johnston, and Piedmont Minerals to achieve the water management plan requirements and to insure the in-stream flow required by Table 1; b) Informing the water withdrawers of the Lake Orange level and the Hillsborough gauge reading when Lake Orange is less than full; c) Informing the Division of Water Resources when any problems are occurring in achieving in-stream flow or meeting withrawal limitations; d) Accurately reading the USGS gauge at Hillsborough; e) Maintaining and operating the retention and release of water at Lake Orange. Maintenance and operation shall include, but is not limited to: i) legible scales -- ii) clear functioning gates iii) effective operation of valves and gates 5 I~ iv) a flow gauge at Lake Orange (to be obtained and installed); f) Initiating regular meetings of all parties to review the management plan's operations. Any party or the State can call a special meeting of all parties based on need, and; g) Developing a chart of water use and a summary of operations as a report for water users and the Division of Water Resources on a monthly basis. 5. Hillsborough, Orange-Alamance, and Piedmont tdinerals shall have the following specific responsibilities in addition to those stated or implied on Table 1: a) Maintaining and operating their respective equipment, including, but not limited to: i) legible scales ii) clear functioning gates iii) effective operation of valves and gates iv) flow gauges downstream from their withdrawal points; b) Providing withdrawal schedules to the County at least one week in advance and notifying the County immediately regarding emergencies and other necessary changes in the withdrawal schedule; c) Providing, -on a monthly basis, withdrawals for each day in million gallons per day to the 6 -5 Division of Water Resources and to the County, and; d) Adjusting gates, valves, and other appropriate equipment in response to County instructions to assure in-stream flow. 6. As directed by the EMC in its Resolution No. 88-13, the Division of Water Resources shall provide technical assistance to County and water users to assure that the management plan is being conducted in a technically correct way. 7. This Implementation Agreement shall remain in effect for so long as the Eno River Water Management Plan approved by the EMC is in effect. The Implementation Agreement may be amended consistent with the Eno River Water Management Plan upon agreement of the parties. Executed on behalf of the parties to this agreement by the officers and officials below upon the authority of duly adopted resolutions of the governing boards or boards of directors of the parties, as appropriate. 7 i~ Table 1 Maximum Allowable Surface Water Withdrawals _ Eased on Lake Orange Level Drawdown Allowable Surface Watex Withdrawal Percent of in feet --------gallons per day----------- Storage from top Remaining at of 1-ft. Town of Orange- Piedmont Instrearn Flc Lake Orange flashboard Hillsborough Alamance Minerals Reouirement > 100 spilling * * ** 1,100,000 I00 - 80 0.0 1,640,000 690,000 430,000 1,100,000 80 - 60 2.0 1,480,000 620,000 380,000 650,G0t~ 60 - 50 4.3 1,390,000 590,000 360,000 450,000 50 - 40 5.8 1,390,000 590,000 320,000 450,00: 40 - 30 7.4 1,230,000 520,000 190,000 0 <= 30 9.3 740,000 310,000 0 0 notes: * - Adjusted to reflect outside source agreement for Hillsborough and Orange-Alamance. - Excess withdrawals from Eno River based on outside source agreement can be made ~anen flows at Hillsborough Gage are 10 cfs and above, regardless~of water level in Lake Orange. Maximum withdrawals will be limited .to the total of the contract amount and the allocated amount. - When flows are between 10 cfs and 3 cfs at the Hills- borough Gage, withdrawals from the Eno P,iver will be limited to the 100-80 percent of storage remaining amount shown above, regardless of water level in Lake Orange. - When flows are less than 3 cfs at the Hillsborough Gage, withdrawals will be limited to amounts shown above for percent of storage remaining. ** - For Piedmont 2~~inerals Inc: when flows at the Hillsborough gage are 14 cfs and above, withdrawals from the ono River will be limited to 900,000 gallons per day (gpd). Between 14 cfs and and 4 cfs, withdrawals will be limited to 430,000 gpd, regardless of water level in Lake Orange.. Below 4 cfs, withdrawals will be limited to amounts shown above for percent of storage remaining. !. .. .+r ~• . r Table 1 Revised March 1.989 riaximum Allowable Surface Water Withdrawals Based on Lake Orange Level Drawdown Allowable Surface Water Withdrawal Percent of in feet --------gallons per day----------- Storage from top Remaining at of 1-ft. Town of Orange- Piedmont Instream Flow Lake Orange flashboard Hillsborough Alamance riinerals Requirement > 100 spilling * * ** 1,100,000 100 - 80 0.0 1,510,000 820,000 430,000 1,100,000 80 - 60 2.0 1,360,000 740,000 380,000 650,000 60 - 50 4.3 1,280,000 700,000 360,000 450,000 50 - 40 5.8 1,280,000 700,000 320,000 450,000 40 - 30 7.4 1,130,000 620,000 190,000 0 <= 30 9.3 680,000 370,000 0 0 notes: * - Adjusted to reflect outside source agreement for Hillsborough and Orange-Alamance. - Excess withdrawals from Eno River based on outside source agreement can be made when flows at Hillsborough Gage are 10 cfs and above, regardless of water level in Lake Orange. riaximum withdrawals will be limited to the total of the contract amount and the allocated amount. - When flows are between 10 cfs and 3 cfs at the Hills- borough Gage, withdrawals from the Eno River will be limited to the 100-80 percent of storage remaining amount shown above, regardless of water level. in Lake Orange. - When flows are less than 3. -cfs at the Hillsborough Gage, withdrawals will be limited to amounts shown above for percent of storage remaining. ** - For Piedmont Minerals Inc: ~~7hen flows at the Hillsborough gage are 14 cfs and above, withdrawals from the Eno River will be limited to 900,000 gallons per day (gpd). Between 14 cfs and and 4 cfs, withdrawals will be limited to 430,000 gpd, regardless of water level in Lake Orange. Below 4 cfs, withdrawals will be limited to amounts shown above for percent of storage remaining. I .. d~'~~o '"°~ ,. ~ ~, ~ ~~. •~~..~• State of North Carolina Department of Environment, Health, and Natural Resources Division of Water Resources 512 North Salisbury Street • Raleigh, North Carolina 27611 James G. Martin, Governor John N. Morris William W. Cobey, Jr., $ecr+etary Director July 3, 1990 Mr. Paul Thames, P.E. Orange County Engineer 106 E. Margaret Lane Hillsborough, NC 27278 Dear Mr. Thames: Attached is a copy of the revised table which accompanies the Eno River Voluntary Water Management Agreement. This table reflects the implementation procedures discussed and agreed upon at our meeting of June 22, 1990. The changes reflect the method by which a low flow period, indicated by average daily flows less than 10 cfs, will be initiated and terminated. Also attached is a form which you may fill out and send to Ms. Jeanne Robbins at the following address. Jeanne C. Robbins, P.E. Division of Water Resources P.O. Box 27687 Raleigh, NC 27611 Your completion and return of the attached form will indicate that you understand and accept the amended agreement. Sincerely, .'rf ~~• (` l// . -, , f ~ ` F j ~+ ems' •~ . 'John D. Wray Deputy Director .. C: P.Q Box 27687, Raleigh, North Carolina 27611-7687 Telephone 919-733-406 An Equal Opportunity Affirmative Action Employer Revised July 1990 ~~ Table 1 riarslmi;u'T'i Allowable Si.itface i~iater witiidrawais Based on Lake Orange Level Drawdown Allowable Surface Water Withdrawal Percent of Storage Remaining at Lake Orange in feet from top of 1-ft. flashboard --------gallons er da P Y----------- Town of Orange- Piedmont Hillsborough Alamance Minerals nstream Flow Requirement > 100 spilling * * ** 1 100 000 100 - 80 0.0 1,510,000 820,000 430,000 1,100,000 80 - 60 2.0 1,360,000 740,000 380,000 650,000 60 - 50 4.3 1,280,000 700,000 360,000 450,000 50 - 40 5.8 1,280,000 700,000 320,000 450,OOG 40 - 30 7.4 1,130,000 620,000 190,000 0 <= 30 9.3 680,000 370,000 0 0 Notes: * - Adjusted to reflect outside source agreement for Hillsborough and Orange-Alamance - Excess withdrawals from Eno River based on outside source agreement may be made when flows at the Eno River at Hillsborough Gage are 10 cubic feet per second (cfs) and above, regardless of the water level in Lake Orange. Maximum withdrawals shall be limited to the total of the contract amount and the allocated amount. - A low flow period will begin on the 7th consecutive day of the average daily flow at the Hillsborough Gage dropping below 10 cfs. On the 4th day, the Orange County Engineer will request that affected parties prepare for a low flow period. - When flows are between 10 cfs and 3 cfs at the Hillsborough Gage during a low flow period, withdrawals from the Eno River shall be limited to the 100-80 percent of storage remaining amount shown above, regardless of water level in Lake O.r_ange. - When flows are below 3 cfs at the Hillsborough Gage during a low flow period, withdrawals shall be limited to amounts shown above for percent of storage remaining at La]:e 0~ :rge . - A low flow period will be terminated when average daily flocs at the Hillsborough Gage registers 10 cfs or greater for a period of•7 consecutive days. The Orange County Engineer will notify affected parties when the low flow period is terminated. ** - For Piedmont Minerals Inc.: When flows at the Hillsborough gage are 14 cfs and above, withdrawals from the Eno River will be limited to 900,000 gallons per day (gpd). Between 14 cfs and 4 cfs, withdrawals will be limited to 430,000 gpd, regardless of water level in Lake Oranae. Below 4 cfs, withdrawals will be limited to a.*ro~:nts shown above for percent of storage remaining. ~d~~' ~ .~...-.~- r~ ,,.w~~~~ ~~~~~~ ~= ;~ ;~: '~~ . , t, JAMES B. NUNTJR '.: GOVERNOR <s'_ r ~; ;,, ~- '~ wAVnIC1"vlcDEVI~; ~~ SECRETARY {~- 1 sR+". ~ ~ 4Ar4 Y . ^ ~' ~ , ..~ i.: r - z ,` ~~-.` t; `^ , " r .! fit:: =~.. ~~ e `~ 7 j.?~`~.JOHN~N:QVIDR3{I~. ~- .: C :DIR ECTOIt f'T: ~~~ Xs v; .~~ ~; ~ : ~ ~r - A,y. A ~3~ I3~ n - ~,;~ ~. ~ n ~~ ~ ~ .~, - r F i`.' ~,-.~ ~; ,5 ' ~ :~ ` ;~ ~, ~~- f' 6 Y I "~ r ~. c I rt ~ ~ is ~' Ar ~- 1,, -v, t _~ ~ s `s `~ ~~ ~ f ~ _ ~: S ,.~ ~f^^" 'mil i~. `~ ~ aY ` , rv + ~ S C~a 1.~: _.. ~~ ~~~~~~~ ;.~ NORTH CAROLINA DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES DIVISION OF WATER RESOURCES Mr. Paul Thames Orange County Engineer 109 Court Street Hillsborough, NC 27278-0566 March 29, 2000 RE: Amendment of Eno River Water Management Plan Dear Mr. Thames: The pending operation of Hillsborough's West Fork Eno Reservoir has required changes to Table 1 in the Eno River Water Management Plan, which is the table that specifies the maximum allowable surface water withdrawals based on water levels in Lake Orange. Specifically, Table 1 has been revised to reflect (1) Hillsborough's additional withdrawals of water supply releases from their West Fork Eno Reservoir and (2) the additional 1.0 cfs (650,000 gpd) of instream flow at the Hillsborough gage being released from the reservoir. All other provisions of Table 1 are unchanged. Commelrts on these revisions were requested at our September 1999 users meeting. In addition, afollow-up request for comments was made in December 1999 by letter. No comments were received, so no further revisions were made. Please acknowledge receipt oi; and agreement with, the attached revised Table 1, dated March 2000, by signing and returning this transmittal letter in the envelope provided by April 15, 2000. This March 2000 version will supersede any previous version of Table 1 _in the Eno River Water Management Plan. Also, please keep a copy of this signed transmittal for your records. Thank you for your assistance with this matter. If you have any questions, please cornact meat 919-715-0390 or torryyoung@ncmail.net. Sincerely, 8~~~1 To y Young, P.E. Chief, Water Supply Planning Section Enclosure ~~ Signature of R 'lent Date P.O. BOX 27687, RALEIGH, NORTH CAROLINA 2761 1-7687 PHONE 810-733-4064 FAX 81 9-733-3558 AN EQUAL OPPORTUNITY /AFFIRMATIVE ACTION EMPLOYER - 80% RECYCLED/1 O% POST-eontsuMea o~aEw a~ ~i 0 0 N rU ~r 'C U h .~ a bA a 0 W a 0 a~ GQ 3 ~• CC3 0 ~~ ..y ~' ~ " ~ ~ T e~ O O O O O O O O 0 U O O O O O L7, ~~ O O O O O O ' O ' ~ t ~ l M ~--~ .r V 1 V l ~ E,.,, - i - . . x a o c W ;d ~ ~ p, ~. ~ ~ ~o °o °o °o 0 0 °o °o ~ 0 0 0 0 " 0 0 0 o ~~ ~ 0 0 o von ~o o ~o °; 3 ~ 0 w w o n ~ o ° 0 ° ° ° 0 ~ ~ ° ~ o ° o ° o 0 0 0 a i w o o 0 0 0 ~ .~ ~ v ~ a ~ ° ° ° ° `~ ~ ~i ~ a ~ * * c 0 o 0 o 0 o 0 o 0 o ~ M ~ ~ N t~ a ~ ,d. 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'~~ °~ ~°' ww a°-o ~~~ . c ~ c 'b ~3 ~ ~ ~ ° 04 ~3 U ~ ~ _ ~. ~ ~ y ~ •~ v a~ o a~ •~ •~ ° ao 3 °~' 'd i o ~ a~ a ~ , ~ ~ ~ a~i c. p ~ ~ 3 0 '`'' X 3 . 0 3,~ 3 °' 3 °' °-0 3 o 0 o a~ o o ~, ca y ~ ~ 3 w c w X 0 3 a~ y o U- b~ ¢ x~ o w U ~~ ¢- 'a ° 3~ '~ w 3 ~~ ¢ a o 3 o ~ ~ U 0 0 b ° ~ w + it ~ ~ ~ ~ ~ ,~ bA U .~ iF ,~iM1J ~~hC 4~4i:4` a~ NORTH CAROLINA DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES DIVISION OF WATER RESOURCES Mr. Paul Thames Orange County Engineer 109 Court Street Hillsborough, NC 27278-0566 March 29, 2000 RE: Amendment of Eno River Water Management Plan Dear Mr. Thames: The pending operation of Hillsborough's West Fork Eno Reservoir has required changes to Table 1 in the Eno River Water Management Plan, which is the table that specifies the maximum allowable surface water withdrawals based on water levels in bake Orange. Specifically, Table 1 has been revised to reflect (1) Hillsborough's additional withdrawals of water supply releases from their West Fork Eno Reservoir and (2) the additional 1.0 cfs (650,000 gpd) of instream flow at the Hillsborough gage being released from the reservoir. All other provisions of Table 1 are unchanged Comments on these revisions were requested at our September 1999 users meeting. In addition, a follow up request for comments was made in December 1999 by letter. No continents were received, so no further revisions were made. Please acknowledge receipt of, and agreement with, the attached revised Table 1, dated March 2000, by signing and returning this transnuttal letter in the envelope provided by April 15, 2000. This March 2000 version will supersede airy previous version of Table l .in the Eno River Water Management Plan. Also, please keep a copy of this signed transmittal for your records. Thank you for your assistance with this matter. If you have any questions, please contact me at 919-715-0390 or torryyoung a~ic»wilnet. Sincerely, ~~~ T y Young, P.E. Chief; Water Supply Planning Section ~~~~~ _..''.n~ ,.. ~fi ,,, } ~- tilt 3~ 't t~4 a y i. ~ t Enclosure ~~ Signature of R 'lent Date P.O. BOX 27667, RALEI6H~ NORTH CAROLINA 276) 1-7687 PHONE 819.733-4064 FAX 91 9.733-3558 AN EQUAL OPPORTUNITY /AFFIRMATIVE ACTION EMPLOYER - SO~}'e RECYCLED/1 O% POST-CONSUMER PAPER a~ 0 O N rU l-~ N h .; p .-, a~ GC3 H i a W N . ~ N O 0 b a~ C~ ~. 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A ~ ~ ~ ~ ~~ N Q ~ ~ ~ ~ N .~ ~ .L7 p „~„~ N C V "' ~M ..r ~ •.~r C~ ~ C ~ 3 U ~ ~ o ~ w TJ y ~ ~ Cd ~ p 0 ~ ~C~ ~ ~ ~ ~ O ~ b 3 'U ~ y e~N., ao '~ U ~ ~ O o x o °' ~,. o~ a~ u o~ ,a ~ o o y ~ ~ ~ ~ .~ ~ ~ ~ .3 ~ a~ ? a ~+ U U r+ U bA ° ~ '° ado ~-' o a• ~ °" o a0i ~ x ~ `~ y ~ U U O U p m 0 '~ ~ .c ~ ~ :~ ~,,, oo ~ ~ ,0 3 ~ as o p ai ~ ~ ~ U 3. b ... -~i bA ,~ 4, y ~ O O w (liy of ~, Q O O '~ i„~ . ~ , p O el' y O O b e~ O ~ 4y p ,F., Q ~ pq ~i ^' +O+ x ~ W .. ~ 'cu .a o ~ ~ °' :~ w "" O w .b 'b .. p U ~ O bQ ~ ~ O H ~ .fl ~ y a 3 ~ 3U ~ a+ O ++ O r1 ,_, 3 U [~ U ~ "t7 V ,~ O ~ .,..~ b O ~ •C ,.,~ iw ~ G~ p ~ ~ y ~ ~ ~ ~ i. ~ ~ L~ 3 ~ ... a~ cO o a~ o " oO ~~° ~ .c ~ y w ~ ~ ~ ~ ~ ~ ~ ~ Fes"' -o A, '~ -° ¢ W v v¢ -v 3~ 3 0¢ v o° ~; ~¢ ~ ~ ~ ~ ~ ~ * a~~ ~ ~ a~ AN ORDINANCE PROVIDING FOR THE CONSERVATION OF WATER DURING A WATER SHORTAGE, RESTRICTING THE USE OF WATER AND WATER WITHDRAWALS, AND ALLOCATING AUGMENTED STREAMFLOW FROM RESERVOIRS. WHEREAS, University Lake is a significant source of raw water from which the orange Water and Sewer Authority supplies water to Orange county; and WHEREAS, a critical water supply condition exists on the upper Eno River with only Lake Orange to rely upon in times of drought as a significant reserve water source for (a) supplying Hillsborough, Orange Water and Sewer Authority, and Orange Alamance, and for (b) augmenting streamflow in the Eno River to assimilate waste discharge from the Town of Hillsborough Wastewater Treatment Plant; and WHEREAS, the level of both University Lake and Lake Orange must be managed to insure that orange County citizens have essential supplies of water in these reservoirs can extend the time and availability of suplies for all users during critical periods; and WHEREAS, some degree of demand reduction and cooperation by the users of the water in these reservoirs can extend the time and availability of supplies for all users during critical periods; and WHEREAS, no user has the right to withdraw a disproportionate share of the augmented flow nor reduce natural streamflow such that other downstream riparian needs and instream needs cannot be satisfied; and WHEREAS, General Statutes section 153A-121 authorizes owners of stored water to set rules to govern water allocation during drought periods; and WHEREAS, Orange County has developed conservation rules and an allocation plan based upon monthly raw water withdrawal records, modeling of streamflow conditions as have existed over a 40 year period by the North Carolina Division of Water Resources, and calculation of the 7-day 10 year low flow at Lake Ben Johnson. NOW, THEREFORE, the Board of County Commissioners of Orange County, pursuant to North Carolina General Statutes Section 153A- 121, ORDAINS: ARTICLE 1. Water Shortaqe and Withdrawal/Conservation Restrictions. A. While water is flowing over the Lake Orange spillway normal conditions will be deemed to exist with no withdrawal or conservation restrictions to be enforced. A water shortage shall be declared to exist with respect to Lake Orange, whenever the level of Lake Orange reaches the second of seven stages shown on Table 1 or whenever emergencies develop such that citizens cannot be supplied with water to protect their health, safety and welfare without curtailing the water demand. Conservation measures and a limit on withdrawals shall be instituted upon reaching the alert stage and made more restrictive through successive stages of drought in an effort to prolong the availability of water. Each public water user must make allowance to pass below its intake facilities the prescribed minimum flow as established for its service area plus the proportionate share of other water users' share plus instream flow need cal- culated for the Eno River below Lake Ben Johnson. Water withdrawal rates for public water users and in stream flow releases shall be instituted in the amounts and per the conditions shown in Table II. B. A water shortage shall be deemed to exist, with respect to University Lake, whenever the level of University Lake reaches the second of the six stages shown on Table 1, or whenever emergencies develop such that citizens cannot be supplied with water to protect their health, safety and welfare without curtailing the water demand. C. In the event of a water shortage in either University Lake or Lake Orange or both, the Chairman of the Board of County Commissioners is authorized, empowered, and directed to issue a public proclamation declaring to all persons the existence of such state and the severity thereof, and place in effect the restrictive provisions authorized in Article 3 of this ordinance. ARTICLE 2. Unlawful to Use Water Contrar to Provisions of this Or finance. The streamflow requirements of the Eno River set forth in Table II shall be in effect at all times from the effective date of this ordinance. From the effective date of this ordinance it shall be unlawful and a violation of this ordinance for any water user to cause the streamflow to be reduced below five written substantiation of the need for the exception with its request. In the event the Chairman of the Board of County Commissioners issues any proclamation authorized by Article 1, then it shall be unlawful for any person, firm, or corporation to use or permit the use of water from the Eno River through the facilities of the Orange-Alamance Water System, Inc., the Town of Hillsborough, or the Orange Water and Sewer Authority (when supplied by the Town of Hillsborough) and water from any raw water supply within Orange county used by the Orange Water and Sewer Authority, in violation of any of the mandatory restrictions contained in the proclamation until the Chairman, by public proclamation, has declared a particular stage of the water shortage to be over and the restrictions applicable to it no longer in effect. In light of the many benefits that can be derived by conserving water, all persons, firms, or corporations in Orange County using any of the water supplies which are the subject of this ordinance should follow water conservation practices regardless of the time of year or whether or not a water shortage exists. Water conservation should be followed during all phases of construction-related activities. Water needed should be obtained from supplemental sources other than the Eno River portion lying above the Hillsborough Waste Treatment Plant. Where water for construction is needed from the Eno River written permission shall be obtained from a water providing utility. All such water shall be considered as a portion of the utility's water allocation. A copy of the written approval shall be delivered to the Orange County Manager immediately. ~J ARTICLE 3. Restrictive Measures in Effect at Each Sta e of a Water S orta e The severity of the water shortage shall be determined by the emergency or the level of University .Lake and Lake Orange as shown on Table 1. A. In the event the water level of University Lake declines to a stage II level above mean sea level, in feet, a stage II water shortage ALERT shall be deemed in effect. In the event the water level of Lake Orange declines to a stage II elevation of water below Lake Orange spillway, in feet, a stage II water shortage ALERT shall be deemed in effect. When a water shortage ALERT is in effect the following voluntary water restrictions are imposed: 1. Use shower for bathing rather than bathtub and limit shower to no more than four (4) minutes. 2. Limit flushing of toilets by multiple usage. 3. Do not leave faucets running while shaving or rinsing dishes. 4. Limit use of clothes washers and dishwashers and when used, operate fully loaded. 5. Limit lawn watering to that which is necessary for plants to survive. 6. Water shrubbery the minimum required, reusing household water when possible. 7. Limit car washing to the minimum. 8. Do not wash down outside areas such as sidewalks; patios etc. 9. Install water flow restrictive devices in shower heads. lO.Use disposable and biodegradable dishes. 11.Install water saving devices such as bricks, plastic bottles or commercial units in toilet tanks. 12.Limit hours of operation of water-cooled air conditioners. B. In the event the water level of University Lake declines to a stage III level above mean sea level, in feet, a stage III water shortage WARNING shall be deemed in effect. In the event the water level of Lake Orange declines to a stage III elevation of water below Lake Orange spillway, in feet, a stage III water shortage WARNING shall be deemed in effect, and in addition to the restrictions heretofore imposed, the following moderate mandatory water restrictions shall be in effect. It shall be unlawful to use water from the public water system supplied by the Town of Hillsborough, Orange Alamance Water System or the Orange Water and Sewer Authority for the following purposes: 1. To water lawns, grass, shrubbery, trees, flower and vegetable gardens except as follows: a. Customers located outside the OWASA Service Area may water lawns, grass, shrubbery, trees, flowers and vegetable gardens during Saturday or Sunday ~~ evenings between the hours of 6:00 p.m. and 9:00 p.m. b. Customers within the OWASA Service Area located to the south of the centerline of NC 54 West, Main Street in Carrboro, Franklin street, and us 15/501 Boulevard may. water lawns, grass, shrubbery, trees, flower and vegetable gardens on Saturday evening between the hours of 6:00 p. m. and 9: 00 p. m . Customers located to the north of the centerline of NC 54 West, Main street in Carrboro, Franklin Street, and us 15/501 Boulevard may water lawns, grass, shrubbery, trees, flower and vegetable gardens on Sunday evening between the hours of 6:00 p.m. and 9:00 p.m. c. All such watering is to be done by hand-held hose or container or drip irrigation system. 2. To fill newly constructed swimming and/or wading pools or refill swimming and/or wading pools which have been drained. A minimal amount of water may be added to maintain continued operation of pools which are in operation at the time the provisions of a stage III WARNING are placed into effect. 3. To operate water-cooled air conditioners or other equipment that does not recycle cooling water, except when health and safety are adversely affected. 4. To wash automobiles, trucks, trailers, boats, airplanes, or any other type of mobile equipment, including commercial washing. 5. To wash-down outside areas such as streets, driveways, service station aprons, parking lots, office buildings, exteriors of existing or newly constructed homes or apartments, sidewalks, or patios, or to use water for other similar purposes. 6. To operate or introduce water into any ornamental fountain, pool or pond or other structure making similar use of water. 7. To serve drinking water in restaurants, cafeterias, or other food establishment, except upon request. 8. To use water from public or private fire hydrants for any purpose other than fire suppression or other public emergency. 9. To use water for dust control or compaction. 10. To intentionally waste water. The owner or occupant of any land or building which receives water from Orange Water and Sewer Authority and that also utilizes .water from a well or supply other than that of Orange Water and Sewer Authority shall post and maintain in a prominent place thereon a sign furnished by Orange Water and Sewer Authority giving public notice to the use of the well or other source of supply. It shall be unlawful to use water from the Eno River through the facilities of the Town of Hillsborough, the Orange-Alamance Water System, Inc., and the Orange Alamance Water Corporation for the following purposes: v 1. To water lawns, grass, shrubbery, trees, flower and vegetable gardens except between the hours of 6:00 p.m. and 9:00 p.m. on Saturdays and Sundays. 2. To fill newly constructed swimming and/or wading pools or refill swimming and/or wading pools which have been drained. A minimal amount of water may be added to maintain continued operation of pools which are in operation at the time the provisions of a stage III WARNING are placed into effect.. 3. To operate water-cooled air conditioners or other equipment that does not recycle cooling water, except when health and safety are adversely affected. 4. To wash automobiles, trucks, trailers, boats, airplanes, or any other type of mobile equipment, including commercial washing. 5. To wash down outside areas such as streets, driveways, service station aprons, parking lots, office buildings, exteriors of existing or newly constructed homes or apartments, sidewalks, or patios, or to use water for other similar purposes. 6. To operate or introduce water into any ornamental fountain,~pool or pond or other structure making similar use of water. 7. To serve drinking water in restaurants, cafeterias, or other food establishment, except upon request. 8. To use water from public or private fire hydrants for any purpose other than fire suppression or other public emergency. 9. To use water for dust control or compaction. 10. To intentionally waste water. The owner or occupant of any land or building which receives water from. the Orange-Alamance Water System, Inc. or the Town of Hillsborough and that also utilizes water from a well or supply other than that of Orange-Alamance Water system, Inc. or the Town of Hillsborough shall po~t.and mai~tain ~n a prominent place thereon a sign furnished by Orange County g~v~ng publ~c not~ce to the use of the well or other source of supply. C. In the event the water level of University Lake declines to a stage IV level above mean sea level, in feet, a stage IV water shortage DANGER shall be deemed in effect. In the event the water level of Lake Orange declines to a stage IV elevation of water below Lake Orange spillway, in feet, a stage IV water shortage DANGER shall be deemed in effect, and in addition to the restrictions heretofore imposed, the following severe mandatory water restrictions shall be in effect. It shall be unlawful: 1. To water or sprinkle any lawn. 2. To water any vegetable garden or ornamental shrubs except during the hours of 6:00 p.m. to 9:00 p.m. on ~~ Saturday. 3. To make any non-essential use of water for commercial or public use, and the use of single service plates and utensils is encouraged and recommended in restaurants. D. In the event the water level of University Lake declines to a stage V level above mean sea level, in feet, a stage V water shortage EMERGENCY shall be deemed in effect. In the event the water level of Lake Orange declines to a stage V elevation of water below Lake Orange spillway, in feet, a stage V water shortage EMERGENCY shall be deemed in effect, and in addition to the restrictions heretofore imposed, the following stringent mandatory water restrictions shall be in effect, and in addition to the restrictions heretofore imposed, the following severe mandatory water restrictions shall be in effect. It shall be unlawful: 1. To use water outside a structure for any use other than an emergency use involving fire. 2. To operate an evaporative air conditioning unit which recycles water except during the operating hours of the business. 3. To introduce water into any swimming pool. E. In the event the water level of University Lake- declines to a stage VI level above mean sea level, in feet, a stage VI water shortage CRISIS shall be deemed in effect. In the event the water level of Lake Orange declines to a stage VI elevation of water below Lake Orange spillway, in feet, a stage VI water shortage CRISIS shall be deemed in effect, and a system of water rationing shall be put in effect in addition to all previously imposed restrictions. In the event of water rationing in which water will be supplied in the minimal quantities required for the health, welfare, and safety of the citizens in accordance with a program determined by Orange County: 1. It shall be unlawful to fail to act in accordance therewith or use water in any manner or attempt to evade or avoid such water rationing restrictions. 2. Fire protection will be maintained, but where possible tank trucks shall use raw water. ~~ ARTICLE 4. Penalties. A. Any violation of the provisions of this ordiance shall constitute a misdemeanor, punishable upon conviction by a fine not to exceed $50.00 or imprisonment not to exceed thirty days, as provided by N. C. General statute section 14-4. Any such violation may be enjoined, restrained, or abated as provided by N. C. General Statute section 153A-123 (d) and 153A-123(e). B. If any section, subdivision, clause or provision of this ordinance shall be adjudged invalid, such adjudication shall apply .only to such section, subdivision, clause, or provision so adjudged, and the remainder of this ordinance shall be deemed valid and effective. C. All Ordinances and clauses of Ordinances in conflict herewith are repealed on the effective date of this Ordinance. The Ordinance entitled "AN ORDINANCE PROVIDING FOR THE CONSERVATION OF WATER DURING A WATER SHORTAGE, AND RESTRICTING THE USE OF WATER DURING MORE SEVERE SHORTAGES" and as amended, is repealed on the effective date of this Ordinance. The adoption of this Ordinance,however, shall not affect nor prevent any pending or future prosecution of, or action to abate or enjoin, an existing violation of said Ordinance. D. This Ordinance shall become effective when adopted. Adopted this the 10th day of JULY, 1986. ~i WATER CONSERVATION ORDINANCE AMENDMENT ADOPTED JULY 29, 1986 During ACTION STAGES II-VI of the Lake Orange Conservation Stages, OWASA shall be allocated up to .50 MGD, which may be withdrawn as prescribed in this Ordinance and as prescribed in any contract between OWASA and other water users named in this TABLE II. Any such allocation shall only occur when the number of usable days of water remaining from all other water supply sources available to OWASA is less than the number of usable days of water remaining in the water supply reservoirs of Lake Ben Johnston, Corporation Lake and Lake Orange including augmentation from other sources. The number of usable days of water remaining in the water supply reservoirs of Lake Ben Johnston, Corporation Lake and Lake Orange including augmentation from other sources shall be determined using the water usage allocation limit, including instream flow, established in this TABLE II. ~a ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No. G10 ACTION AGENDA ITEM ABSTRACT Meeting Date: September 8, 1987 SUBJECT: WATER CONSERVATION ORDINANCE AMENDMENT DEPARTMENT: COUNTY MANAGER ATTACHMENT (S) TABLES I AND II PUBLIC HEARING: YES X NO INFORMATION CONTACT:MANAGER'S OFFICE,X501 TELEPHONE NUMBER: Hillsborough - 732-8181 Chapel Hill - 968-4501 Mebane - 227-2031 Durham - 688-7331 PURPOSE: Consideration of amending Tables I and II of the Water Conservation Ordinance. BACKGROUND:The Division of Water Resources has recomputed elevation of water below Lake Orange spillway. The existing ordinance computed elevation of water below Lake Orange Spillway which did not include the "dead pool" (water that can not be drained from lake). The new computations from the State include the dead pool and account for the flashboard, which raises Lake Orange one foot. RECOMMENDATION(S): Amend Water Conservation Ordinance to reflect changes in Tables I and II which include dead pool and based on spillway at 614 feet (Attachment II). Amend ordinance to reflect increased water capacity based on spillway at 615 feet (Attachment III) effective January 1, 1988. ~~ ~~ a o _o ~~cd ~UQ ~i O Z ~~ N Z . p CC3 ~ I- U . O W N N z~ ~Q ~¢ O ~ W ~ ~ ~] .g ~: w ~~'~ fli •~/ ~ ~ ~{ ~. ~~ ~~ .~ Sri `~'' .'~ *.t .+~t ..{ .aQ is ..~.. k.fi £. 'A..iJ x~ ~~ vt .... ~~ w ,~~,..~ Rio °~c+w ~ ~ jjj~~~ t~'S .L~i ` ' .: ,~ ~* o c> ~~ ~ ~ ~, .. ,., M i.; ~"S M ~~ ~~ ~~, ~ .. ~` ^ ? 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L ` Q O ~ Y ~ ~ ~ maE~ L ~ N ~ .~... ~ L V- ~ +-~ O ~ ~ C In C t -cv3 W 'd U '~ Q ~ ~ ~ H N a~ ~ ~ ~ O Z.~ ~ N ~~sE V;nN~ ~ C ~ Q ~ •O N ~ ~ ~ ~ •~ a ~ ~ 0 ~ N (0 Q ~~ ~7 ~~ c 0 c~ U O C N f6 m N Y ~ (0 ~ J O ~ .o 3 Zs a~ m m ~ N _ ~ Q .p Q ~ N .~ ~ ~ 3 ~ a~ ~ ~ a~ ~~ _c- ~ N C N C ~ 3 ~ N ~ ~ N N ~ ~ ~ O O Q >, `~~.. f0 C "O O N ~ .a 'r (6 O O O ~ ~ N ~ ~W ~ ~ m c ~ Q U ~-- L •~ N ~ O L ~ "-' ~j ~ C N ` O L N Y .~ (~ .C 'a ~ N O ~ N Ea~3 O Y O ~ J ~ C ~ W ~ O ~ ~~ Z c~v~ Q N O c Z= ~ °"rn rno c ~ Z m U ~° OW ~~ ~ ~ ~ c o ~ = v ~ •- Z U ~ ~ ~~ ~~•~ W Q 3~ W U Z Q z_ LL Q Z Q W U W U Z_ U W J LL W H Z Q H a U H Z W 2 U Q W J m N rn cv Y ~ ~ C ~ J O ~ ~ c +), ~ U ~ _~ ~ ~ 0 ~ U~ C ~ ~ O ~ ~ ~ c_ O ~ E N ~ J ~ Q w ~ ~ A w ro ~ ~ ro ~ b ro r . o ~ ~ ~ ~ ~ ~ .n ro •~ i w i w "~ ~ ~ ~ ro v N ~ o ~- w io w io w ~ v u N v o M v o "' ~ p~ `" 3 ~ -- 3 D a ro ~ v a a r ~ ~ ° ~ ~ ~ d ~ `r .~ a . ,~ .-i , a ~ .- i w w n i ,p r i ,q M p r°i ~ r°i A m o o v , ~ ro •.~ A s-i r1 ro o q ~ ~ w •~ -.~ ~ m -- ~ 0 w a~ M 0 0 ,a ~- ,~ o ,w ~n ° o ,-i o ... ~ ~- .~ l0 .-. ,-. 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G dP H f~ dP ~ 0 v _~ 7 dP ro H N U .7.. O D N H ~ S-1 H ~ C N N 1d ~n u a 0 w i~ ~ ~, ?~ o ro ~ x N N u C u ~ +~ + + a v ~ ° w ° rn ,°~ .~ C O •' q N •C3 O •r i ~ y~ ~ q N ro H N ~ G N S-I G' J-~ ' V/ ro W U 7-. N O ,~ N ~", N U] ~ N ~ ~ a ', o s~ >, +~u 3 o ~ ~ ~ w ~ C~ iv in m i~ in W O A N O N M p~ ~p pp o H ~o H v A ro w N ro v ~-+ ~ O .u o o dP 0 ow 0 w 0 w 0 ~, 0 d, d, P. O a h .~ ao r ~o ~ u~ a 0 M 0 ti ~ ~ ~ U N N ~ ~ N q y ~ ~ b~ b~ •m G~ ~~ ~ w ,~ 3 b H •'~ ro~ o o m o ro ~ ~ ~ ~ o c+'n , +. ro z ~- a s H w U J~ FC W H H H H ~ H H H ~ ~ ~ .~ f- C R C: C Q a; u: '"I W +~ 3 ~' ~ N ~ U ~ 7 L ~ •N 3 C ~ _~ ~ W ~ ,J O m U Q j ~ ~ > Vl (6 0 .r N •C N ~ N U L O C fn ~ ` ~ n °' a ~ ~ ~ ~ ~ ~ ~~ U ~ f6 0 3 3 ~ °~ a~ .n o _~ o m c- N ~ c6 ~ ~ o Q~ rn C O ~ •C N ~ ~ ~ ~ ~~ N ~ ~ ~ ~ ~ ~ ~ ., m p U N ~ .~ C O ~ O ~ ~ U ~ ~~~ O ~p ~ U _~ ~ rn~ ~ ~a~~ w ~ •~ o O ~ ~ Y ~ "~ cu fl- E J ~ ~ ~ C -a N ~ ~ ~ O C j C ~ - ~ 3 ~ .~ ~ W ~ U Q ~ O F- .N >' ~+ O Z.E- Oa ~ ~°~~ U •~ ~ ~ ~ O co •L ~ Q Q 3~ ~~ c ~ o rn c cu (0 U ~ ~ N Y m N J Y ~ C J 7 ~ v-. N O .,_, Y ~ ~ J O C ~ rL-.. (0 ~ ,~ O >, ~ fl. a O ~' N U ~ .c o .~? N to ~., ~ 3a ~~~ c c - m ~ N _C N Y ,~ N J (0 ~ O ~ ~ N ~ ~ ~ N N .~30 m ° o ~, Q- v o ~ ~ ~ N .Q +-' C N "~ ~ 3 0 ~ L (~ ~-+ ~ ~ MMw ~~ ~ ~ W ~ C ~ Q .C L C t~/1 ~ ~~ N vi ~,~ ` O L -O ~ ~ O ~ 3 c°nY•`n c~ O O J (~0 N ~ ~ ~ ~ O ~ N ~ ~ N 3 W ~.., ~wJ O V ~ C Z W ~ ~ p co Q ~ ~ ~ ~ ~ Z ~ O C ~ ~ p ~ ~ N O C_ ~ V ~ . ~ ~ ~ m OZZ ~ rno ~ OU1-w rnc- ZWQgL,c o ~ ~I-UQ ~~ m 4~ J W I- L~ Q Z O cn NW I.L Z H U H (n Z O U F- Z W 2 Q H Q N rn cv .., N (n Y ~ ~ J •O ,+~+ ~ C LN.. ~ N BUD W J m I- C ~ 7 ~ ~ ~ U~ ~ ~ o ~ 0 j:.I C "'' (0 ~ ~ cC_ ~ •C ~ ~ ~ U ~ W ro ~ ro ro o b a~ ~ 1 . D ,~ ,~ :-~ ~ .= i w w "~ ro m ~ io w io w io w N v ~ ~ ~ + o o v' ~ q ~ a o o o D ro D o a r ~ io .i v~ ,-~ ,~ ,~ ,-+ .-i a ~ ~ w W r~i A m A M A r~i O4 r`"i A , a~ rn o ~ ro -.~ A u ~ ro o a ~ ro ~ -~ •~ ~ ro -- ~ 0 oW aW M O O pp v pp O oW ~ O .^-1 O v a ~+ N .•- .-. io .-. ~ U .-. o v i z ~ a , a rn w rn m o, ` ° a i~ ° w ro c~ ro H ro s ° ° ~ z o w o H o o + .~ a + ~ ~ ~ o " z ro ~ N a ro m w r n v m H , H H ~ H H H H H H ~ ~ ~ W ~ ~ ~ ro ro ~ v N b~ O ~ ro -.a ro s~ H a~ o o ~ <r rn .-i c r rn o a~ •.i ~ r r rl m ri m ~ H V] d' C7 M N N .1 r-1 C F' X •rl o s~ ro -- •.~ v a ~ ~ ~ ~ ~ 3 o G ,~ a a~ ~ ro v a ' r•-I W W O N A f-I ~ O .~ 'J W C N r r~ N u~ O r O~ r-1 r ao ~ ,~ m N b+ O H A .1 ro o q rl r ~ m ~o cn o ao U1 ~ J~ ~ •.i •.i N ' d' Q~ ~ rl r ~ ~, C7 M N N N r-1 H m rt ro ro ow as c ro ro ~ o N N o N N ow N -- u ow H O 0 o w o r o ~ 0 0 0 0 0 ,~ ~-+ ~ o t~ t~ A u~ +~ ?~ .u ri +~ v -- w o~ m ro ro ._ -- ro ~ ~, --- ~ w o v z 7 b w a w w O v ~ tZ v v cn o a q 7 C v .-i F ~ H ~ ro w er c~ ~ H .•~ a ~ A ro w m a ro o o z m w ro H ro ~ o ro z ~ ~ ~ 3 ~ `~ ~ o w ~ ~ ~ ~ ~ vi ro H H '~ H H H H H m 2 J LL W Q ~"• QUW O ~ Q Z COQ W GA z 0 H H x z W H FC rz 3 D oa ~ ~ ~ H z ~ o o x a x Hw a ~ ~ ~ H L~ W z x w z H W H v~ FC H~xzr~ woo w w ~ z v ~ ~ ~ 2 O a xOxrz ~ U H GW., O W m v] Q z o H H H O ~ O Q z W a m w 3 ~ x H H ro l~ tf1 M •-i OD 01 N r r l0 O~ N O O N F+ C M N N N N .--I ro O u +-~ 3 0 ~n ,n rn m ~ O rl ~ l0 M M a ~ H W H O O O O O O C •-i ro ~, ~ N v C N ~ ,-i ~ N .1 l0 •~ ~ ~ ,~ o a~ o 0 0 0 0 0 O U N {", ~ ro C ~ ro ro O N W l0 O l0 s~ ~ m r ~o ~o io M O r.C o 0 0 0 0 0 a o ~ ~ O O ~ ~ ~ ~ ~ ~ tr~ m m C O O o u O .,~ >, -a A U O U m -~ ~ -~ H o o M o u w r ro ~ u y rl W l0 N to m M 4' f /1 W •~ ~ i w ro v x , .- ~ .~ u ~ ~ u o x rn o a~ N w .~ C y N C u ~ ~ ~ ~ ~ a i C >, - >, • u a c u o, a o ro o u ,~ o ~+ ,~ a~ u ~.~ v C -~ ~ u ro U u o U ~ o u ~, •,~ +~ ~ u .c +~ •~ .c ~ •~ v ~ ~ ro C m U v +~ C u +~ ro u m ro m 3 0 b+ ~ C q ~ m ~ N ow w w ~ ao w~ H ~ U z ~ D N ~ ~ ro °' ~ ro ~ s i ~ ~, N ~ N a 0 w .N v >, ~ >. .u >. to o ro x u u w a u C ~ a + O ° ° +~ v + i a, . N b, + .~ ~ m ~ G a ~ u i a m o o o i a b o -~ ~ ~ C C N ro rl N C N D C N N C +~ x o o u o ro ~ ro +~ ro ro W U ,7, N O ',~ N ~", N Ul ,$., N Ul ,'F, 0.'. o u >, ~ ~ 3 0 D 3 ~ a ro ~ •.~ a N . rl w Ol C1 a C' r N O 01 ' -I ~ W O A m W N M - ~n r m ,~ ~ +~ ~ C N b+ ~ H ro U A N da N ro O o da ow ,w ,w ow ow ,w v w y w o 0 0 0 0 0 0 0 W O C W rl W r to N ~ M .~ C U ~ '~ S-i C tq r -I tT ~ a '~ -~ u u rn a, -w ro ~ C m o ~~ ro ~ u O ~ 3 m v -~ p ~ o ro • ~ u ai ° o ro ~ ° w U m , .. ro z C ~ H H U 1-~ H H H a' W H H H ~ ~ ~ C L .~ C R t C r Q 4 t R U Q R 3 ~ N 3 ~ ~ ~ ~ U p~ 7 ~_ ~ 'N f0 L •y c~0 mQ~Y ~ ~ mwp'~ E-jOc .c Q a~ ~ U ~ ~ ~ 3 •tn .~ N ~ fQ J ~ r--• ~ ~ •~ N •~ N U ~ ~ N O a. occno O cn ~+ U ... ~ - °- N Q o ~ ~ ~ ~ ~ c a~ ~ 3 m ~ O L ~ ~ a~~sm ~ ~ ~ Y .C ~ tQ J Q ~ O ~ Q~ rn~ c p~•c a~ ~ '~ ~ vi ~ ~ ~ rn~~Q ~ ~ ~ d ~ ~ C "•' 3 !n O ~ ~ :~ ~ ~ ,~ .-~ ~ C ~ ZoT3 ~ T ~ ,~ C Cam..-. U ~ o ~ C -Q ~ ~ N .~ c N ~ c ~~ a•c9 0~~~ ~ ~ c N .0 3 ~ m w ~ w .~- C +-+ O 0 ~ C fA U L f0 (0 ~ ~ (n ,C j W 'n U ~ Q ~ O N C ~ .~•.• ~ O Z.~. N O~L~ .~v>~ U'C C C ~ ~ O N C ~.. ~ '~ Q U C O ~ ~ N Q ~-i 0 U O N (B m N O ~ ~ f0 t0 ~ J O ~ ~ O 4? 3 'o Z r m }- N c >, ~' a~ a~ ~ ~ ~ ._ °? 3 ~ a~ ~ ~~ c- ~ N ~ N C_ O fB ~ N N ~ ~ N N N rL... 3 ~ 0 0 >, m c 'v O ~ ~ N ~ E O ~ ~ f0 .a ~ W yam O U ~ = F- .~ •- fA F- N t ~ ~..' uj ~ C ~ ~ . 7 O L N N Y 'N ` ~ ~ O J ~ t ~ N ~ O ~ N Q m O J ~ C = O C O_ ~ (6 u- N O C a •- WZ- rn0 ~ F-~Z ~U~ Q U W rn c~ c o ~ Z~~ ._ ~2~cn•- ~F-U ~.~ ~ ~ Q ~ ~ ~ w0~ ~UQ ~~ ro w ro C7 ~ o ~' H ~ ~ ro W ~ a ~ ~ ~ ~ ~ ~ O ~ ~ +~ .~ 3 N u) l0 rl Ol ~ ~ ~ ~ d' M N r-i ro 0 H C O N O ~ N .yJ Ol rl O ~ U] '-I O h a~ k ro a u~ o~ ~ ~ ~n N O O O O ~ +~ ro O O U ~ I~ ~--1 N oW N C [~ O ~ C' M N W ro 0 0 .-k ro a ~ ~ ro ~ ~ N W ~ \ O ~ ~ O ~ rl \ r-I ~ o ~ ~ ~ ~ ~ ~ N C rl r-I N OD ro .4 ~ m ,-i +~ ro r-I O O to ~ Sa +~ H aw ard a c c •r r H a 0 C7 z H z H a 0° ~ ~ a a o a ~ M ~ wa o ° h ~ ~ '" O o ~ Gu W a w M W rl N O to r-i •rl ~ ~ ~ N N O ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ M M d' M M ~ C O .,~ ro D S-i G O U G .~ 5 ro ow 0 4--I H r w N .~ 5 ro m ono u~ W H M r N ~ ~ ~ M 3 3 O O O O N ~ r-I • 3 3 O 3 O ~ O •-I w ,--i w W ro ~ ro O ro N ~ O ~ ~ ~i a-! G ~ ~ H ~ •rl •ri ~ ~ ~ ~ ~ U1 . U] ~ m ,-~ ro ~ ro ~ ro ~ N 1-I N •r-I ~ -ri ~ ~ ~ ~ ~ o ~ o ~~° •rl O •ri a •~ a a M M r-I M .-~ • ,--i ~ a~ U N U G U G ro G ro ro ~ ro ~ ro ~ ~ ~ ~ N I N ~ ~ ~ ro ro ro ~ ~ ~ 0 0 0 N N N ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ 0 0 0 ~ ~ ~, 0 0 0 .~ ~ ~ ~ rl r-I .-i r-I .-I rl •r-I •r-I -•-I x x x ~ ~ ~ ~ ~ ~ ~ ~ ~ M ~ M ~-3 AN INTERIM ORDINAi~iCE PROVIDING FOR THE YEAR-ROUND CONSERVATION OF WATER AND FOR TElYIPORARY RESTRICTIONS DURPt TG WATER SHORTAGES AND EMERGENCIES RELATED TO ALL ORANGE WATER AND SEWER AUTHORITY CUSTOMERS. LOCATED IN THE UNINCORPORATED PART OF ORANGE COUNTY Section I. Purpose This ordinance is enacted to support the following primary water conservation and demand management goals: 1. To reduce the rate of growth in overall water use so as to maximize the community's existing and planned water supply sources; and 2. To reduce the upward trend of seasonal peak day demands that drive the costly expansion of water treatment, storage, and transmission facilities; and 3. To provide an orderly process for reducing community-wide water demands during periods of water shortage or emergencies. Section II. Year-Round Practices 1. All Orange Water and Sewer Authority (OWASA) customers aze encouraged to exercise voluntary water conservation practices at all times during the year; regardless of water shortage or emergency conditions. OWASA shall periodically provide informational guidelines and conservation tips to its customers. 2. All newly installed or substantially improved irrigation systems that aze equipped with automatic timers and which use OWASA-supplied potable water shall be equipped with automatic rain or soil moisture sensors that are activated to prevent the operation of those irrigation systems while rain is falling and/or when soil moisture is adequate. Section III. Determination of Water Shortage or Emer encv A water shortage or water emergency shall be deemed to exist when OWASA cannot supply its customers with sufficient water to protect the public health and safety without substantial reductions in water demand. 1. Any of the following conditions, as determined by OWASA's Executive Director, shall constitute a Stage I Water Shortage: a) The total volume of water stored in OWASA's Cane Creek/University Lake/Stone Quarry reservoir system is equal to or less than 125 summer days of OWASA " 1 I customer demand, as determined on the basis of average raw water usage during the months of May through September of the previous calendar year; [E.rample: If the average raw water demand during the previous summer was 10.8 million gallons per day (ILIGD), and the OWASA reservoir system currently contained 2.8 billion gallons of water in storage, the total volume of stored water woa~ld be equal to 2.8 billion/10.81~IGD = 2.i9 days of demand. This example would not constitute a Stage 1 Water ShortageJ; or b) It is otherwise determined that the Cane Creek/University Lake/Stone Quarry system is unable or unlikely to continue meeting the demands of OWASA's customers without a substantial reduction in consumption; or c) The customer demand for water averaged over three successive days, as measured by OWASA production records, exceeds 90 percent of the target three-day peak limit established for that year. Target limits may be established each April by multiplying average fuushed water demands for the previous 12 months by a peaking factor of 1.65, or may be established by other production constraints - such as water treatment capacity -determined by OWASA's Executive Director. [Example: If average finished water demand for the previous 12 months was 9.5 MGD, then the target limit for the coming summer would be 9.5 MGD x 1.6.5 = 1 S. 7 MGD. A water shortage would be declared if the demand, when averaged over three successive days, exceeded 90 percent of that target level; e.g., 0.90 x 1 S. 7 MGD =1 ~.1 MGD.J 2. Any of the following conditions, as determined by OWASA's~ Executive Director, shall constitute a Stage II Water Shortage: a) The total volume of water stored in OWASA's Cane Creek/University Lake/Stone Quarry reservoir system is equal to or less than 75 summer days of OWASA customer demand, as determined on the basis of average raw water usage during the months of May through September of the previous calendar year; or b) It is otherwise determined that the Cane Creek/University Lake/Stone Quarry system is unable or unlikely to continue meeting the demands of OWASA's customers without a substantial reduction in consumption; or 2 ~S c) If the customer demand for water averaged over three successive days, as measured by OWASA production records, exceeds 97 percent of the target three- daypeak limit established for that year. Target limits may be established each April by multiplying average finished water demands for the previous 12 months by a peaking factor of 1.6~, or may be established by other production constraints -such as water treatment capacity -determined by OWASA's Executive Director. [Example: If average finished water demand for the previous 12 months was 9. S A~lGD, then the target limit for the coming summer would be 9.S tLIGD x 1.65 = 1 S. 71LIGD. A water shortage would be declared the demand, when averaged over three successive days, exceeded 97 percent of that target level; e.g., 0.97 x 1 S. 71t%IGD =1 S. 2 NIGD.J 3. Any other circumstances, including service losses caused by equipment failure, human error, weather, or other natural disaster, which constrain OWASA's water production capacity to less than the current level of customer demand, may constitute a Water Supply Emergency, as determined by OWASA's Executive Duector. Section IV. Proclamation of Water Shortage or Water Suanly Emer~encv In the event of a water shortage or water supply emergency as determined in Section III, the Chair of the Board of Commissioners of Orange County (hereafter "the Chair") is authorized to issue a public proclamation declaring to all persons the existence of such state and the severity thereof, and in order to more effectively protect the health and safety of the people within the unincorporated part of Orange County (hereafter "within Orange County") to place in effect the restrictive provisions hereinafter authorized. Section V. Mandatory Conservation During Stale I Water Shortage In the event the Chair issues any such proclamation of Stage I Water Shortage described in Section III.1, then and in that event, it shall be unlawful for any person, firm, or corporation to use or permit the use of potable water from the water system within Orange County supplied through the facilities of OWASA for any of the purposes hereinafter set forth until such time as this Ordinance is amended or repealed, or until the Chair, by public proclamation, has declared certain provisions no longer in effect. 1. Irrigation of lawns, gardens, trees, or shrubs with OWASA-supplied potable water applied through any system or device other than ahand-held hose or watering can shall be allowed only three days out of each week. Properties with odd-numbered street addresses shall be allowed to irrigate only on Mondays, Wednesdays, and/or Fridays; properties with even-numbered addresses shall be allowed to. irrigate only on Tuesdays, Thursday, and/or Saturdays. A total of no more than one inch of water (as measured in a shallow container, such as an empty tuna fish can) should be applied during any given week. The restrictions of this section shall not apply to any persons regularly engaged in the sale of plants, who shall be allowed to irrigate their commercial stock in trade. 3 . - I~ 2. Irrigation of lawns, gardens, trees, or shrubs with OWASA-supplied potable water that is sprayed through the air via any system or device other than ahand-held hose or watering can shall occur only after dusk or during pre-dawn hours. 3. No OWASA-supplied potable water shall be used on sidewalks, driveways, patios, cars, buildings, or other impervious surfaces of a similar nature. 4. No OWASA-supplied potable water shall be servecrin public restaurants except on request. 5. Institutional customers, including the University of North Carolina at Chapel Hill (LTNC), shall: a) Cease the use of OWASA-supplied potable water for outdoor purposes, except as provided in items 1 and 2 above. UNC shall develop athree-day irrigation schedule for campus facilities in consultation with OWASA. b) Curtail the use of OWASA-supplied potable water for the cleaning of facilities such as window air conditioning units, chilled water coils, closed loop heating systems, and government-owned vehicles. c) Reduce the heating/cooling load demand from lower priority facilities to the extent allowable with regard to indoor air quality standards and employee health and safety requirements. Section VI. Ntandatorv Conservation During Stase II Water Shortage In the event that the Chair issues any such proclamation of Stage II Water Shortage described in Section III.2, then and in that event, it shall be unlawful for any person, firm, or corporation to use or permit the use of potable water from the water system within Orange County supplied through the facilities of OWASA for any of the purposes hereinafter set forth until such time as this Ordinance is amended or repealed, or until the Chair, by public proclamation, has declared certain provisions no longer in effect. 1. All the mandatory provisions of a Stage I Water Shortage, as described in Section V, shall remain in effect, except that the irrigation of lawns, gardens, trees, or shrubs with OWASA-supplied potable water applied through any system or device other than ahand-held hose or watering can shall be allowed only one day out of each week. Unless otherwise recommended by the OWASA Executive Director, properties with odd-numbered street addresses shall be allowed to irrigate only on Mondays; and properties with even-numbered addresses shall be allowed to irrigate only on Thursdays. No more than one-half inch of water (as measured in a shallow container, such as an empty tuna fish can) should be applied during any given week. UNC shall develop a one day a week irrigation schedule for campus facilities in consultation with OWASA. The restrictions of this section shall not apply to any 4 4~ persons regularly engaged in the sale ofplants, who shall be allowed to irrigate their commercial stock in trade. 2. No OWASA-supplied potable water shall be introduced into any decorative fountain, pool, or pond; or to fill any swimming pool; or to replenish any filled swimming pool, except to the minimum essential for operation Section VII. IyIandatorv Conservation During Water Supply EmerQency In the event the Chair issues any such proclamation of Water Supply Emergency described in Section III.3, then and in that event, it shall be unlawful for any person, firm, or corporation to use or permit the use of potable water from the water system within Orange County supplied through the facilities of OWASA for any of the purposes hereinafter set forth until such time as this Ordinance is amended or repealed, or until the Chair, by public proclamation, has declared certain provisions no longer in effect: 1. No OWASA-supplied potable water shall be used for any outdoor purposes other than emergency fire suppression. 2. Water service may be discontinued or reduced, as determined by OWASA's Executive Director, in designated portions of the OWASA service area through the manipulation of valves, pumps, and other appurtenances in order to preserve the availability of water for public health and safety facilities; such as hospitals, medical clinics, etc., fire protection, and other critical community needs. 3. UNC and any other customers that use OWASA-supplied potable drinking water for heating/cooling systems shall reduce the heating/cooling demand in all but the most essential facilities to the extent allowable with regard to indoor air quality standards and employee health and safety requirements. Section VIII. Penalties and Remedies 1. A violation of any of the provisions of this Ordinance shall constitute a misdemeanor, punishable as provided in G.S. 14-4. 2. A violation of any of the provisions of this Ordinance shall subject the offender to a civil penalty of twenty-five dollars for the first offense, fifty dollars for the second offense within athirty-day period, and one hundred dollars for the third or any additional offense that occurs within any thirty-day period. If a person fails to pay this penalty within ten days after being cited for a violation, the County may seek to recover the penalty by filing a civil action in the nature of debt. 3. The County may seek to enforce this Ordinance through any appropriate equitable action. 4. Each day that a violation continues after the offender has been notified of the . violation shall constitute a separate offense. ~~ ~. The County may seek to enforce this Ordinance by using any one or a combination of the foregoing remedies. Section IY. Severability If any section, subdivision, clause, or provision of this Article shall be adjudged invalid, such adjudication shall apply only to such section, subdivision, clause, or provision so adjudged, and the remainder of this Article shall remain fully valid and effective. Section X. Effect on Other Laws: Effective Date 1. AN ORDINANCE PROVIDING FOR THE CONSERVATION OF WATER DURING A WATER SHORTAGE RESTRICTING THE USE OF WATER AND WATER WITHDRAWALS, AND ALLOCATING AUGMENTED STREAMFLOW FROM RESERVOIRS is, on the effective date of this Ordinance, suspended insofar as it relates to water usage by OWASA customers, the water level of University Lake and any raw water supply within Orange County used by OWASA other than the Upper Eno River. 2. This Ordinance shall become effective upon adoption. Upon motion of Commissioner ~ ,seconded by Commissioner the foregoing Ordinance was adopted this the day of , 2002. I, Beverly A. Blythe, Clerk to the Board of Commissioners for the County of Orange, North Cazolina, DO HEREBY CERTIFY that the foregoing is a true copy of so much of the proceedings of said Board at a meeting held on , 2002 as relates in any way to the adoption of the foregoing and that said proceedings are recorded in the minutes of said Boazd. WITNESS my hand and the seal of said County, this day of , 2002. Clerk to the Board of Commissioners Isg:oran,ecounty\OWASA Water Conservation Ordinance 6 °"~'~' ~ UwIV I"IHLL ~~ E~ERPT FROM CHAPTER 14 OF THE HILLSBOROUGH TOWN CODE Section 140.1 Water Shortgs-e and WithdrawaUConeervation Restrictiots-s (a) While water is flowing over the Lake Orange spillway and the Eno is flowing at greater than 10 cfs, normal conditions will be deemed to exist with no withdrawal. or conservation restrictions to be enforced. A water shortage shall be declared to exist with respect to Lake Orange, whenever the level of Lake Orange reaches the second of six stages shown on Table 1, when the flow in the Eno River has been less than 10 cfs for 7 consecutive days, or whenever emergencies develop such that citizens carmot be supplied with water to protect their health, safety and welfare without curtailing the water demand. Conservation measures shall be instituted upon reaching the alert stage and made more restrictive through successive stages of drought in an effort to prolong the .availability of water. (b) In the event of a water shortage is Lake Orange yr diminished streamflows in the Eno River, the Mayor is authorized, empowered, and directed to issue a public proclamation declaring to all persons the existence of such state and the severity thereof, and place in effect the restrictive provisions authorized in Section 14-44.3 of this ordinance. (c) A,ny car wash business (i.e., a business involved primarily in the washing of cars, trucks or other vehicles) whose operations are suspended through the operation of the mandatory water restrictions set forth in this Ordinance shall be entitled to credits on its subsequent monthly bills in accordance with the following formula: For each week which such businesses' operations are suspended, that business shall receive a 50% discount on a subsequent monttily water and sewer bill after the restrictions are lifted. For periods of restriction which an less than a week, the amount of the discount shall be determined by multiplying 50'/o by the number of days of such restriction and dividing the product obtained by seven. Section 14-40.2 Unlawful to U e Water COOtr'Lr~l to Provisions of this Ordinance In the event that the Mayor of Hillsborough issues any proclamation authorized by Section 14-40.1 of this Ordinance, then it shall be unlawful for any person, 5rm, or corporation to use or permit the use of water supplied through the facilities of the Town of Hillsborough, in violation of any of the mandatory restrictions contained in the proclamation until the Mayor, by public proclamation, has declared a particular stage of the water shortage to be over and the restrictions applicable to it no longer are in effect. In light of the many benefits that can be derived by conserving water, all persons, fines, or corporations served by the Town's water system should follow water conservation practices regardless of the time of year or whether or not a water shortage exists. Water conservation should be followed during all phases of construction-related activities. Where appropriate, water needed should be obtained from supplemental sources. Non-essential construction-related activities which require water should not be undertaken during a declared water shortage. .sir +.+/ ~uuc tu.:1.7 717044L.37YJ TOWN HALL -^ Sb S~ 14d0.3~ R_ Moa~res in Rffect at Each St~_of Water orti e The seventy of the water shortage shall be determined by the in stream flow of the Eno, emergency, or the level of Lake Orange as shown on Table I. (a) In the event that the flow in the Eno River is less than 10 cfs for seven (~ consecutive days or the water level of Lake Orange declines to a Stage II elevation of water below Lake Orange spillway, in feet, a Stage II water shortage ALERT shall be deemed in efFect. When a water shortage ALERT is in effect the following VOLUNTARY water restrictions are imposed: 1. Use shower for bathing lather than bathtub and limit shower to no more than four (4) minutes. 2. Limit flushing of toilets by multiple usage. 3. Do not leave faucets running while shaving or rinsing dishes. 4. Limit ~ use of clothes washers and dishwashers and when used, operate fully loaded. S. Limit lawn watering to that which is necessary for plants to survive. 6. Water shrubbery the minimuut required, reusing household water when possible. ~. Limit cur washing to tbe minimum. 8. Do not wash down outside areas such as sidewalks, patios, etc. 9. Install water #low restrictive devices in shower heads. 10. Minimize use of water used for washing and rinsing dishes. 11. Install water saving devices such as bricks, plastic bottles or commercial units in toilet tanks. 12. Limit hours of operation ofwater-cooled air conditioners. (b) In the event the water level of Lake Orange declines to a Stage III elevation of water below bake Orange spillway, in feet, a Stage III water shortage WARNING shall be deemed in effect, and the same restrictions will be in effect as during the Stage II water shortage. (AMENDED 02- 11-02) (c) In the event the water level of Lake Orange declines to a Stage IV elevation of water below Lake Orange spillway, in feet, a Stage IV water shortage DANGER shall be deemed in effect, and in addition to the restrictions heretofore imposed, the following severe mandatory. water restrictions shall be in effect. It shall be unlawful: 1. To water or sprinkle any lawn. 2. To wash cars. (AMENDED 10-11-99) 3. To water any vegetable garden or ornamental shrubs except during the hours of 6:00 pm to 9:00 pm on Saturday. 4. To make any non-essential use of water for commercial or public use, and the use of single service plates and utensils is encouraged and recommended in restaurants. 5. To f U newly constructed swimming and/or wading pool or refill swimming and/or wading pools which have been drained. A ~~ ~ ~ • ~+~+ J1 JUY4LJ 7'U I UWN HALL ~1 minimum amount of water may be added to maintain continued operation of pools which are in operation at the time the provisions of a Stage N WARNING are placed into effect. 6. To operate water-cooled air conditioners or other equipment that does not recycle cooling water, except when health and safety are adversely affected. 7. To wash down outside areas such as streets, driveways, service station aprons, parking lots, office buildings, exteriors of existing or newly constructed homes or apartments, sidewalks, or patios, or to use water for other similar purposes. 8. To operate or introduce water into any ornamental fouatain, pool or pond or other structure making similar use of water. 9. To serve drinking water in restaurants, cafeterias, or other food establishment, except upon request. 10. To use water from public or private fire hydrants for any purpose other rhea fire suppression or other public emergency. 11. To use water for dust control or compaction. 12. To use water for any unnecessary purpose or to intentionally waste water. 13. The owner or occupant of any land or building which receives water from the. Town of Hillsborough and that also utilizes water from a well or supply other than thai of the Town of Hillsborough shall post and maintain in a prominent place thereon a sign furnished by the Town giving public notice to the use of the well or other source of supply. (AMENDED 02-1,1.-OZ) (d) In the event the water level of Lake Orange declines to a Stage V elevation of water below Lake Orange spillway, in feet, a Stage V water shortage EMERGENCY .shall be deemed in effect, and in addition to the restrictions heretofore imposed, the following stringent mandatory water restrictions shall be in effect, and in addition to the restrictions heretofore imposed, the following sever mandatory water restrictions shall be in effect. It shall be unlawful: 1. To use water outside a structure for any use other than an emergency use involving fire, 2. To operate an evaporative air conditioning wait which recycles water except during the operating hours of the business. 3. To introduce water into any swimming pool. (e) ,Itl the event the water level of lake Orange declines to a Stage VI elevation of water below Lake Orange spillway, in feet, a Stage VI water shortage CRISIS shall be deemed in effect, and a system of water rationing shall be put in effect in addition to all previously imposed restrictions. In the event of water rafioning, water will be supplied in tlae minimal quantifies required for the health, welfare, and safety of the citizens in accordance with a pmgram determined by the Town of Hillsborough. (AMENDED 08-Z7-OZ) '" i uwN riALL Y~~ ~~ 1. The use of single service plates, utensils, and cups is rncommended in restaurants and cafeterias (industrial & institutional), and recommended for residential users. 2. Hotels and motels are required to offer guests staying multiple nights the option to not have their bed sheets changed daily. 3. Bottled water is recommended to use for drinking and cooking. 4. All customers are recommended to NOT use garbage disposals or automatic dishwashers, and recommended to operate clothes washing machines with full loads only. 5. Fire protection systems that expend water during testing are required to only be tested the mialmum amount required by governing regulations. 6. Installation of water saving fixtures (shower heads, faucet aerators/restrictors, toilet tank insert., elc.) is recommended. 7. Use of "waterless hand sanitizer" (instead of soap 8c water) for cleaning hands is recommended for gll water customers. Where soap and water is required to be available by State law (restaurant rest rooms, ebc.), it is recommended that waterless hand sanitizer be made available in addition to soap. 8. Limiting of toilet flushing is recommended, within reason, 9. Use of portable toilets is recommended for businesses, industry, etc. 10, Large conunercial and institutional water users shall be contacted to determine specific ways their individual water use can be curtailed. 11. No water use is allowed outside at any time, 12. The Town website www.ci.hillsbomuQh nc us has further water saving tips for water users. 13. It shall be unlawful to fail to act in accordance therewith or use weber in any manner or attempt to evade or avoid such water rationing restrictions. 14. Fire protection will be maintained, but where possible tank trucks shall use raw water. 15. The Town will further curtail usage or enhance water availability with the following practices: (i) Water pressure in the Town distribution system shall be lowered by decreasing tank holding levels, to the extent possible. (ii) If flushing of water lines is required for water quality concerns, the water will be captured in a tanker and transported upstream of the raw water intake for reintr+nduction into the river. (iii) Other potential water sources will be evaluated and utilized, if feasible (investigate rock quarries, ponds, sprirtgs, other water utilities, etc.). (iv) Inform local daily newspaper of the daily water usage, reservoir level, and goal for water usage .for daily publication, to enhance public awareness. This information will also be posted periodically on the Town website." "' ~'-' I UwIV tif~LL j Section 14-41 Vio ' (a) The Town shall enforce the limits established by this Article by reading interruptible subscribers' meters as often as the Town deems necessary and, if necessary, terminating service to interruptible subscribers. (b) An interruptible subscriber shall be in violation of this Article if any meter reading indicates cumulative consumption in excess of the average .daily consumption limits which have been applicable to the subscriber since the effectiveness of such limits. Example: An intenvptible subscriber has an average daily consumption of 100,000 gallons per day, If the stage four, fifty percent Limit was in effect for five days and the stage five, ten percent limit was in effect for five days, and if the meter was read after ten days of effectiveness, the subscriber would be in violation if the meter showed consumption of more than 300,000 gallons. 5 days x 50,000 gallon limit = 250,000 gallons 5 days x 10,000 gallon limit = 50.OQO gallons 300,000 gallons (c) Upon any violation of the prescribed limits, the Town may suspend water service to the subscriber as long as the stage four water shortage DANGER, or any more serious water shortage condition, continues. ~~n 14-41.1 Pensltis~ (AMENDED 0&27-02) a) A violation of any of the provisions of this ordinance shall constitute a misdemeanor, punishable by a fine not ,to exceed $50.00 or imprisonment not to exceed thirty days, as provided by N.C. General Statutes Section 14-4. b) A violation of aay of the provisions of this ordinance shall also subject the offender to a civil penalty of $10.00 for violations duri~ttg stage III, $25.00 during stage IV, and $50.40 during stage V, and $150.00 during stage YI. If a person fails to pay this penalty within ten days after being cited for a violation, the Town may seek to recover the penalty by filing a civil action in the nature of debt. c) The Towa may seek to enforce this .ordinance through any appropriate equitable action. d) Each day that a violation continues after the offender has been notified of the violation shall constitute a separate offense. e) With respect to customers of the Town's water system that are located outside the Town's Corporate Limits, and who are thezefore not subject to the penalties set forth in Subsection a) and b) above, the Town may discontinue service to such customers upon a determination by the Board of Commissioners that any such customer has violated the provisions of this Ordinance. fl The Town may seek to enforce this ordinance by using any one or any combination of the foregoing remedies. s~- Town of Hillsborough -Water 8c Sewer Operations New Customer Information -Regarding High Rates Dear New Water/Sewer Customer: Wfiy Are the Water & Sewer Rates So High ~ The purpose of this pamphlet is to make you aware of the Town's very high water/sewer rates, explaining the reasons why the rates have to be so high, and sharing what actions the Town has taken to address this situation. Hillsborough's rates are some of the highest in North Carolina and thus likely much higher from what you've paid in other places you have lived. The Town is trying to make new customers aware of this unfortunate fact, so you will not be surprised upon receiving your first bill. Hopefully, sharing information about the crisis facing our water and sewer operations will help new customers understand this difficult situation. One of the more difficult issues surrounding the high rates is that, as is the policy in many other municipalities, out-of--town customers are charged "double" or 100% greater than the in- town rate. For years, this policy had not been an issue because rates were not high. Now, due to the tremendous rate increases over the past five yeazs, a minimum monthly bill for an out-of--town customer with water and sewer service (3,000 gallons or less) has grown to $72.78. So, it is quite common for out-of--town customers to have monthly bills much higher than this, even double or triple the amount if they are very high water users. The issue of the "double rates" has been debated fervently since September 2000. The Town Board has discussed the possibility of setting along-term goal of reducing the rate disparity between in-town and out-of--town customers from being 100% greater to a lesser percentage. The Town Board plans to review this issue during its annual budget deliberations in April-June. In addition to alerting you to the Town's high rates, the other purpose of this pamphlet is to share information on the financial and operational condition of the utility system, as well as explaining why the high rates are essential. While it is impossible to fully explain a situation of this magnitude in a pamphlet, we hope you fmd this information helpful in evaluating some of the issues and problems facing Hillsborough's utility operations. Newly elected Mayor Phelps, the Town Board, the Citizens' Water & Sewer Advisory Committee, and Town staff aze truly concerned about the burden these high rates are placing on our customers, especially those on fixed incomes. The Town is committed to keeping the rates as low as possible, yet still doing what is necessary to run an efficient and environmentally responsible operation, avoiding bankruptcy and preparing for the future. Thank you for your patience and understanding! Sincerely, Eric Peterson Town Manager Hillsborough has had the extreme misfortune of having to deal with a variety of fmancial and operational problems all at the same time. The following list highlights some of the major reasons for the current rate problem. In 1993 the voters of Hillsborough approved $S.8 million in General Obligation Bonds to pay for a reservoir to address long-time water shortages and allow for future growth. Construction on the reservoir project started in 1998. Waiting five years to start the project created inflationary increases in the construction and land costs. This delay, combined with additional requirements from the State and lawsuits from property owners whose land was condemned to build the project, resulted in the reservoir costing over $10.1 million, more than $4.3 million over budget. Annual debt service payments on the reservoir alone are $723,000 per year for the next 18 years -this is approximately 15% of the Water/Sewer Fund budget. In addition, the Town recently had to take approximately $800,000 from its savings to pay off the remaining costs and final lawsuits associated with the reservoir. This completely depleted the Capital Reserve Fund and drained the Water/Sewer fund balance (savings) down to its lowest "safe" level. While the cost and location of the reservoir has been frequently debated in the past, nonetheless, it is now completed, Hillsborough needs the water supply, and thus is now legally obligated to pay the debt incurred to provide water to the citizens of Hillsborough. The Wastewater Treatment Plant is 26 years old and has never received a major rehabilitation or upgrade. Partially due to the outdated design and other limitations of this "older" plant, the Town has been fined by the State of N.C. numerous times for violations. The Town is borrowing $750,000 in January 2002 to make improvements to the plant that will hopefully delay the need for a major overhaul for another five years. This adds another $130,000 per year of annual debt for the next seven years. The Water Plant is 28 years old and has never received a major upgrade. The Town is in the process of starting an estimated $3.3 million upgrade to the plant. Fortunately, the Town received a $2.0 million grant and a low interest loan from the State (at half the market rate) for the remaining $1.3 million. Still, this will add another $100,000 in annual debt payments for 15-20 years. The plant will likely run out of capacity in S-7 years, necessitating an expansion at that time. Due to the age of the Town's system, many lines in town aze over 70 years old, serious problems exist with leaking from water lines and inflow into sewer lines, and line breaks aze quite common. While the Town has made quite a bit of progress in recent years on this matter, it still poses a variety of problems and increases operations and maintenance costs. As if the aforementioned problems were not enough for the system to deal with, the Town's largest water customer (Flynt Fabrics) closed its operations on September 26, 2000 -this cost the Town approximately $700,000 per year in revenue. The loss of Flynt forced the Town to take dramatic action to keep the Water/Sewer Fund financially solvent. To prevent bankruptcy by mid- 2001, the Town cut over $450,000 in projects and operating expenditures and had to raise rates an additional 18.75%, this was on top of a 15% increase that occurred just several months earlier. Currently, 27% of the Town's budget is earmarked for debt service payments. By the start of FY03 (beginning in July of 2002), the Town's annual debt service is projected to increase to over $1.4 million or 28% of the estimated Water/Sewer Fund budget for that year. Small towns need larger savings levels, since they deal with smaller amounts of gross funds, in order to be fiscally sound and satisfy criteria established by bond rating agencies. A reasonable "fund balance" or savings is critical to ensure the Town does not have cash flow problems, can handle unexpected revenue shortfalls, expenditure overruns, can react effectively to emergencies, and earn interest income. The Town feels that Hillsborough's minimum fund balance level for the Water/Sewer Fund should never drop below the equivalent of 2%2 months of the annual budget or 21%. It is extremely dangerous for the Town to risk allowing the fund balance to drop below this 2'/s month threshold. The current fund balance level is approximately 25% or barely above the bare minimum set by the Town. This means the Town does not have the luxury of using its savings to defer future rate increases. What Does This Mean? While there are always many different ways to interpret information, the following is one brief analysis. Unlike other systems that may face a few problems at once, Hillsborough is facing just about every serious challenge that a system can endure and it's happening all at one time. The many "fixed costs" associated with running utility operations limit the opportunities for large-scale expenditure cuts. (i.e., it costs almost as much money to operate Hillsborough's system whether it treats 1.0 million gallons of water per day or its maximum capacity of 3.0 million gpd). After one reviews the many expenditures that reasonably cannot be "cut" (like debt payments, many operating and personnel costs), the task of fording ways to stabilize or even reduce rates becomes more daunting. These statements were reinforced by the findings of the independent Citizens' Advisory Water & Sewer Task Force that reviewed the Town's utility operations. While they identified problems and reasons for the financial dilemma, they felt the operations were currently being managed in a fiscally responsible manner. Ultimately, the loss of Flynt Fabrics, the combination of extremely high debt, low savings, old plants & lines, and high rates means there aze no simple, short-term or painless solutions to cure all these problems. What is the Town Doing to Improve the Situation' ~ S The Town has taken several steps in an effort to stabilize and improve the situation. As was mentioned earlier, there are no "quick-fixes" to the aforementioned problems, as such, the Town is trying to address this situation in a businesslike manner by making decisions that make the most sense over the long haul. A few examples of actions the Town has and is taking are found in the following list: The Town upgraded its financial planning process in FY1999 to include a multi-year budget format that combines the elements of a financial forecast, capital improvements plan, and budget into one document. This improved "fiscal radar" is helping the Town to make better choices by understanding the impact of today's decisions on tomorrow and future fiscal years. The Town's Board of Commissioners appointed a Citizens' Water & Sewer Advisory Task Force to study the situation, after the closing of Flynt Fabrics, in October 2000. The Task Force was composed of 12 Hillsborough water customers, equally split between in-town and out- of-town customers. The Task Force reviewed and made recommendations regarding the Water and Sewer Fund's operations, financial condition, billing practices, and other areas. A copy of the Task Force's report can be found at the Town's website: www.ci.hillsborouQh.nc.us. In September of 2001, the Town's Board of Commissioners made the Water & Sewer Task Force a permanent advisory committee. The Task Force is now called the Water & Sewer Advisory Committee. The Committee meets quarterly and their charge is to review the operations and finances, make recommendations to the Town Board and Town staff on policies as well as mechanisms to improve the overall efficiency of the Water and Sewer operations. If you are interested in attending one of the Water & Sewer Advisory Committee's quarterly meetings, please contact the Town's Utilities Analyst, Julie Fogleman, at 732-1270 extension 72. Julie serves as the Secretary to the Committee and will be happy to share information on their meeting dates, times, and location. The Town Board has recently approved several new developments. The additional water and sewer customers will help the Town to take advantage of some "economies of scale." Having more customers sharing in many of the "fixed" system costs (i.e., the reservoir and improvements to the plants) should help ease the burden on all customers over the long term. While this is positive news, it will likely take years before the full effect of these new developments is felt. The Town is in the process of developing a Strategic Growth Plan to help Hillsborough and its utility system grow in a financially and operationally wise manner. Most importantly, the Town Board and employees do their best to make sure that all expenditures are reasonable, justified, and needed before the budget is adopted and actual dollazs are spent. The Town has been successful in regularly bringing its operational expenditures in under budget. The Mayor, Board, and staff are committed to continuing this recent trend. . __ 5~ ~~ ~- 5 ~~~ November 5, 2002 To: Paul K. Thames, PE, Orange County Engineer John Link, Orange County Manager Barry Jacobs, Chairman, Orange County Commissioners Joe Phelps, Mayor, Town of Hillsborough Eric Peterson, Manager, Town of Hillsborough Kenneth P. Keel, PE, Engineer, Town of Hillsborough From: John W. Tolar, President, Lake Orange, Inc. Subject: Water Capacity Usage -Eno River Area Due to the recent construction and filling of the Hillsborough Reservoir there should be a change to the old Water Capacity Usage Agreements. While under the old agreements during the severe drought conditions this year, Lake Orange was severely impacted. With the dedicated efforts of all parties involved a new Water Capacity Usage Agreement could result in benefits to all and Lake Orange Inc. would appreciate being allowed to participate in the discussions and negotiations to establish a new and more equitable Agreement. Respectfully Submitted John W. Tolar, President Lake Orange, Inc.