REPORT TO THE CITY COUNCIL
FROM: BROCK D. BUCHE, PE, PLS, Director
Department of Public Utilities
BY: ANTHONY WHITE, MBA, Assistant Director
Department of Public Utilities - Water Division
WENDY CORNELIUS, Water Conservation Supervisor
Department of Public Utilities - Water Division
SUBJECT
Title
Actions pertaining to modifications to the Lawn to Garden Rebate Program (Citywide):
1. Adopt a finding that the proposed modifications to the City’s Lawn to Garden Rebate Program are exempt from the California Environmental Quality Act pursuant to the commonsense exemption in that it can be seen with certainty that there is no possibility the proposed changes will have a significant effect on the environment pursuant to Section 15061(b)(3) of the California Environmental Quality Act (CEQA) Guidelines;
2. ***RESOLUTION - Adopting Modifications to the Lawn to Garden Rebate Program. (Subject to Mayor’s Veto)
Body
RECOMMENDATION
Staff recommends that City Council (1) adopt a finding that the proposed modifications to the City’s Lawn to Garden Rebate Program are exempt from California Environmental Quality Act (CEQA) pursuant to the common sense exemption in that it can be seen with certainty that there is no possibility the proposed changes will have a significant effect on the environment pursuant to Section 15061(b)(3) of the CEQA Guidelines and (2) approve the resolution adopting modifications to the Lawn to Garden Rebate Program.
EXECUTIVE SUMMARY
In June 2022, the California Legislature allocated $545 million to the Department of Water Resources (DWR) to fund drought relief grants for urban communities. On February 16, 2023, the Fresno City Council approved the submission of the City’s grant application, and on September 11, 2023, an agreement was finalized with the Department of Water Resources (DWR) to secure $5,142,780.00 in funding.
This funding will enhance the City of Fresno’s Lawn to Garden Rebate Program, increasing the rebate amount from $1.05 to $2.00 per square foot and expanding eligible square footage for Commercial, Industrial, and Institutional (CII) properties from 1,500 to 4,000 square feet. Operating on a first-come, first-served basis, the program will provide additional incentives for residential and commercial customers to transition to water-efficient landscapes. The Expanded Lawn to Garden Rebate Program aligns with the City of Fresno’s commitment to water conservation and drought resilience by reducing water use, promoting sustainable practices, and contributing to long-term environmental and economic benefits for the community.
BACKGROUND
The Department of Public Utilities - Water Division (Water Division) provides potable water service to approximately 143,000 residential and CII service accounts across a geographic area of approximately 114 square miles. As drought conditions in California continue to worsen, the Water Division has actively engaged in efforts to maintain water supplies and ensure the reliability of its potable water system. The Water Division offers a variety of rebates to qualified customers to offset some of the costs of installing water-efficient appliances, fixtures, and landscaping materials.
The current Lawn to Garden Rebate Program allows qualified customers to apply for a rebate of $1.05 per square foot of converted lawn. In 2023 the Water Division received a $5,142,780.00 grant from DWR which will allow expansion of the current rebate program.
The Expanded Lawn to Garden Rebate Program will be built upon the current Lawn to Garden Rebate Program to provide additional rebates and incentives for residential and CII water customers. This program will increase the current rebate amount from $1.05 to $2.00 per square foot. Moreover, the qualifying square footage for CII properties shall be increased from 1,500 to 4,000 square feet. The goal is to incentivize the replacement of existing lawns with water-efficient landscapes on a first-come, first-served basis. During the two-year Program, the Water Division anticipates issuing approximately 820 rebates, replacing approximately 2,044,375 square feet of turf with water-efficient landscapes, and converting approximately 820 spray irrigation systems to drip irrigation. This will result in the conservation of an estimated 118 acre-feet per year (AFY) of potable water.
To maximize the effectiveness of rebates and incentives, the Water Division retained a consultant to review and evaluate the current Lawn to Garden Rebate Program and examine other water agencies’ landscape rebate programs. The consultant made several recommendations, including:
1. Revisions to Rebate Structure: Establishing a distinction between residential and CII properties, and adjusting the maximum rebate amounts accordingly.
2. Added Residential and CII Eligibility Checklists and updated the rebate Terms and Conditions to clarify eligibility, requirements, and conditions.
3. Streamlining Rebate Application: Simplifying the application process and documentation requirements.
a. The Fresno.gov rebate page will feature a drop-down menu for the Residential Eligibility Checklist, CII Eligibility Checklist, as well as for the Terms and Conditions that applicants can access before beginning their application for a residential or commercial lawn conversion.
b. The rebate application in the WaterWeb Customer Portal will now require customers to acknowledge both the Eligibility Checklist and the Terms and Conditions before proceeding with the Consultation Questionnaire.
c. The application materials will be adapted into two formats, tailored to meet the requirements for residential and commercial accounts.
d. The Consultation Questionnaire will require applicants to upload the following prior to submission.
i. Three photos of the existing lawn: right side view, left side view, and a street view showing the house and all areas to be converted.
ii. A lawn basemap sketch for the potential converted area.
e. Post-Project Checklist must be completed and will require applicants to provide three photos of the completed project from the same three locations as the before photos.
4. Enhanced Outreach Efforts: Improving marketing and outreach strategies to increase customer participation.
With the funds that were awarded, the Water Division will be able to offer residential and CII water customers a beneficial incentive to convert lawns to water-efficient sustainable landscaping, increasing the City’s overall water conservation and drought resilience.
ENVIRONMENTAL FINDINGS
CEQA Guidelines Section 15061(b)(3) states that a project is exempt from CEQA if it is “covered by the commonsense exemption that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.”
CEQA Guidelines Section 15382 defines a “significant effect on the environment” as “a substantial, or potentially substantial, adverse change in any of the physical conditions within the area affected by the project including land, air, water, minerals, flora, fauna, ambient noise, and objects of historic or aesthetic significance.”
The proposed modifications to the Lawn to Garden Rebate Program will expand the rebate, clarify the application materials, streamline the application process, and enhance outreach efforts. Specifically, DPU is proposing an increase in the rebate amount from $1.05 per square foot to $2.00 per square foot. Further, the Department is proposing establishing a distinction between residential and CII properties. Under the proposed Expanded Lawn to Garden Rebate Program, the minimum allowable area eligible for rebate will be 200 square feet of lawn. The maximum allowable area eligible for the rebate for a residential account will be 1,500 square feet of viable lawn removed, and 4,000 square feet of viable lawn removed for CII accounts.
The overall goal of the Expanded Lawn to Garden Rebate Program is to utilize grant funding awarded by the State to offer residential and CII water customers a beneficial incentive to convert lawns to water-efficient sustainable landscaping, thereby increasing the City’s overall water conservation and drought resilience. DPU estimates that during the two-year implementation of the Expanded Lawn to Garden Rebate Program, the City of Fresno will issue approximately 820 rebates, replacing approximately 2,044,375 square feet of turf with water-efficient landscapes, and converting approximately 820 spray irrigation systems to drip irrigation. This will result in the conservation of an estimated 118 acre-feet per year (AFY) of potable water. Thus, it can be said that the Expanded Lawn to Garden Rebate Program would not result in a substantial or potentially substantial adverse change in the environment, as it would increase water conservation within the City of Fresno.
Therefore, it can be seen with certainty that there is no possibility that adoption of the proposed modifications to the Lawn to Garden Rebate Program may have a significant effect on the environment and as a result, this action is exempt from CEQA pursuant to CEQA Guidelines Section 15061 (b)(3).
LOCAL PREFERENCE
Local preference was not implemented because this action does not include a bid or an award of a construction or services contract.
FISCAL IMPACT
This resolution will have no impact on the General Fund. The funds awarded through the Urban Community Drought Relief Grant Program will be accounted for in a separate fund, specifically designated for the Expanded Lawn to Garden Water Conservation Rebate Program. This will be available citywide.
Attachments:
Resolution
Residential Eligibility Checklist
Commercial, Industrial, and Institutional Eligibility Checklist