• Option 2 – Sliding scale incentive up to $475/AF for a 15-year agreement term • Option 3 – Fixed incentive up to $305/AF for a 25-year agreement term
H. On-site Retrofit Programs
In 2014, Metropolitan’s Board also approved the On-site Retrofit Pilot Program which provided financial incentives to public or private entities toward the cost of small-scale improvements to their existing irrigation and industrial systems to allow connection to existing recycled water pipelines. The On-site Retrofit Pilot Program helped reduce recycled water retrofit costs to the end-use consumer which is a key constraint that limited recycled water LRP projects from reaching full production capacity. The program incentive was equal to the actual eligible costs of the on-site retrofit, or $975 per acre-foot of up-front cost, which equates to $195 per acre-foot for an estimated five years of water savings ($195/AF x 5 years) multiplied by the average annual water use in previous three years, whichever is less. The Pilot Program lasted two years and was successful in meeting its goal of accelerating the use of recycled water. In 2016, Metropolitan’s Board authorized the On-site Retrofit Program (ORP), with an additional budget of $10 million. This program encompassed lessons learned from the Pilot Program and feedback from member agencies to make the program more streamlined and improve its efficiency.
I. Stormwater Pilot Programs
In 2019, Metropolitan’s Board authorized both the Stormwater for Direct Use Pilot Program and a Stormwater for Recharge Pilot Program to study the feasibility of reusing stormwater to help meet regional demands in Southern California. These pilot programs are intended to encourage the development, monitoring, and study of new and existing stormwater projects by providing financial incentives for their construction/retrofit and monitoring/reporting costs. The Stormwater for Direct-use Pilot stopped accepting applications in 2021 and in total three agreement were authorized by Metropolitan’s Board. Two projects have completed construction are currently in the monitoring phase. Under the stormwater recharge pilot program, agreements were entered into in 2021 for two monitoring projects and in 2022 for one construction project.
J. Current Status and Results of Metropolitan’s Local Resource Programs
Metropolitan has continued to develop and refine its programs to encourage development of local supplies by its member agencies. Since 1982, Metropolitan has executed contracts for 90 recycled water projects and 28 recovered groundwater projects. Since 1982, Metropolitan has invested $549 million in recycling programs and $213 million for groundwater recovery projects that have produced over 4.5 million AF.
Conservation Programs
Metropolitan’s regional conservation programs and approaches have a long history. Decades ago, Metropolitan recognized that demand management at the consumer level would be an
Appendix B - 20
IRWD – 2025 Urban Water Management Plan – Reduced Delta Reliance
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