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4. COMMERCIAL, INDUSTRIAL, AND INSTITUTIONAL (formerly BMP 9)

Commercial, industrial, and institutional (CII) water demands make up a large percentage of total demand for California. CII water use varies dramatically between business sectors as well as within a given water agency’s territory. The goal of this BMP is to implement comprehensive yet flexible best management practices, allowing each water agency to tailor the implementation of each practice to fit local needs and opportunities. The end result is a practice that is successful and will produce the greatest amount of cost-effective water savings.

A.  Implementation

Implement measures to achieve the water savings goal for CII accounts of 10% of the baseline water use over a 10-year period. Baseline water use is defined as the water consumed by CII accounts in the agency's service area in 2008. Credit for prior activities, as reported through the BMP database, will be given for up to 50% of the goal; in this case, coverage will consist of reducing annual water use by CII accounts by an amount equal to the adjusted percentage goal within 10 years. Implementation shall consist of item 1) or 2) or both in order to reach the agency’s water savings goals.

1) Implement measures on the CII list with well-documented savings that have been demonstrated for the purpose of documentation and reporting. The full list and their associated savings are included in the “Demonstrated Savings Measure List” in Section E below.

2) Implement unique conservation measures to achieve the agency’s water savings goals. Sample measures include, but are not limited to: industrial process water use reduction, industrial laundry retrofits, car wash recycling systems, water-efficient commercial dishwashers, and wet cleaning. Water use reduction shall be calculated on a case-by-case basis. Agencies will be required to document how savings were realized and the method and calculations for estimating savings. See the CII Flex Track Menu list in the attachment to Exhibit 1, as updated in the MOU Compliance Policy and BMP Guidebook.

B.  Implementation Schedule

Implementation shall commence not later than July 1 of the first year following the latter of either: 1) the year the agency signed or became subject to the MOU, or 2) the year this Exhibit is amended.

C.  Coverage Requirements

Coverage shall consist of meeting the annual water savings goal in Section A. Although it is not one of the criteria in meeting implementation, agencies will be considered on track if estimated savings as a percent of baseline water use equals or exceeds the following:

0.5% by the end of first reporting period (year two), 2.4% by the end of year four, 4.3% by the end of year six, 6.4% by the end of year eight, and 9% by the end of year ten. Percentages will be adjusted proportionally for up to 50% past credit referred to in the Implementation section.

D.   Requirements for Documenting BMP Implementation

Each reporting period agencies are required to report the estimated reduction in annual water use for all CII accounts.

1) CII List

For measures on the CII list with demonstrated savings, agencies shall report the measure type and quantity installed, as well as savings attributed to water shortage measures, intervention and actions.

2) Flex Track Menu

For measures on the Flex Track Menu, agencies shall use one of three methods of measurement listed below to track savings. Agencies shall report the type of measure implemented, the industry in which the measure was implemented, and estimated savings as well as the measure life. Agencies shall keep detailed usage data on file and report the annual and lifetime savings.

a) Point of Retrofit Metering
Usage data collected from meters installed at the point of retrofit.

b) Customer Bill Analysis
Pre- and post-program usage from utility bills from the appropriate meters related to the measures implemented. For mixed-use meters, a minimum of 12 months pre-retrofit and 12 months post-retrofit usage data shall be used to calculate savings. The data shall be normalized for weather. For dedicated meters, a minimum of 6 months pre-retrofit and 6 months post-retrofit data shall be used to calculate savings

c) Agency-Provided Calculation
If an agency is unable to provide point of retrofit metering or customer bill analysis, the agency must document how savings were realized and the method and calculations for estimated savings. The calculation and assumptions are subject to approval by the Council on a case-by-case basis.

E.   Water Savings Assumptions

 The Demonstrated Savings Measure List is found in the MOU Compliance Policy. For assistance in calculating savings from unique measures used in the Flex Track Menu approach, see the  BMP Guidebook.

F.   Flex Track Menu

In addition to the measures above, the Flex Track Menu options may be implemented in part or any combination for CII customers to meet the water savings goal of this BMP. Agencies may choose to implement any alternative with measurable water savings. Agencies choosing the Flex Track Menu option are responsible for achieving water savings greater than or equal to that which they would have achieved using only the BMP list items. Water savings estimates for the Flex Track Menu items will be maintained and regularly updated in the MOU Compliance Policies and BMP Guidebook.

Custom measures shall be calculated on a case-by-case basis. Agencies will be required to provide documentation on how savings were realized and the method and calculations for estimating savings.

Flex Track Menus