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2015 URBAN WATER MANAGEMENT PLAN <br />2.3.3 Sales to Other Agencies <br />The City does not sell water to other agencies although it does maintain emergency interconnections with <br />neighboring cities and water districts. <br />2.3.4 Non- Revenue Water <br />Non - revenue water is defined by the International Water Association (IWA) as the difference between <br />distribution systems input volume (i.e. production) and billed authorized consumption. Non - revenue water <br />consists of three components: unbilled authorized consumption (e.g. hydrant flushing, firefighting, and <br />blow -off water from well start -ups), real losses (e.g. leakage in mains and service lines, and storage tank <br />overflows), and apparent losses (unauthorized consumption, customer metering inaccuracies and <br />systematic data handling errors). <br />A water loss audit was conducted per AWWA methodology for the City to understand the relationship <br />between water loss, operating costs and revenue losses. This audit was developed by the IWA Water <br />Loss Task Force as a universal methodology that could be applied to any water distribution system. This <br />audit meets the requirements of SB 1420 that was signed into law in September 2014. Understanding <br />and controlling water loss from a distribution system is an effective way for the City to achieve regulatory <br />standards and manage their existing resources. <br />2.3.4.1 AWWA Water Audit Methodology <br />There are five data categories that are part of the AWWA Water Audit: 1) Water Supplied 2) Authorized <br />Consumption 3) Water Losses 4) System Data and 5) Cost Data. Data was compiled from questionnaires, <br />invoices, meter test results, and discussion with the City. Each data value has a corresponding validation <br />score that evaluates the City's internal processes associated with that data entry. The scoring scale is 1- <br />10 with 10 representing best practice. <br />The Water Supplied section represents the volume of water the City delivered from its own sources, <br />purchased imported water, or water that was either exported or sold to another agency. Validation scores <br />for each supply source correspond to meter accuracy and how often the meters are calibrated. If the <br />calibration results of supply meters were provided, a weighted average of errors was calculated for <br />master meter adjustment. This adjustment factor was applied to reported supply volumes for meters that <br />were found to register either over or under the true volume. Validity scores for meter adjustment are <br />based on how often the meter is read and what method is used. <br />The Authorized Consumption section breaks down consumption of the volume of Water Supplied. Billed <br />metered water is billed and delivered to customers and makes up the majority of an agency's <br />consumption. Billed unmetered water is water that is delivered to a customer for a set fee but the actual <br />quantity of water is not metered. Customer accounts for this type of use are typically determined by utility <br />policy. Unbilled metered water is the volume used and recorded, but the customer is not charged. This <br />volume is typically used for City facilities per City policy. Unbilled unmetered water is authorized use that <br />is neither billed nor metered which typically includes activities such as firefighting, flushing of water mains <br />and sewers, street cleaning, and fire flow testing. The AWWA Water Audit recommends using the default <br />value of 1.25 percent to represent this use, as calculating an accurate volume is often tedious due to the <br />many different components involved and it represents a small portion of the City's overall use. For each <br />amadis.com EXHIB �4 2 -4 <br />