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!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
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LASaves
An online platform to address southern California water
conservation strategies through citizen awareness and
cross-sectoral support
Yixue Chen MPP’15
Brandon de Bruhl, MPP’15
Heidi Greenhalgh, MPP’14
Adrienne Lindgrin, MPL’14
Rhett-Alexander Paranay, MPP/MPL’15
Table of Contents
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Section 1: Executive Summery …………………………………………………Pg. 3
Section 2: The Problem …………………………………………………………Pg. 5
Section 3: Policy Proposal ………………………………………………………Pg. 7
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Section 4: The Campaign ……………………………………………………….Pg.12
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Section 5: Funding and Budget ………………………………………………..Pg. 14
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Section 6: Conclusion ……………………………………………………………Pg. 15
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!2
Executive Summary
!
LASaves is an online platform designed to facilitate an immediate, consumer-based response to
the drought crisis impacting Los Angeles. This program enables the citizens of Los Angeles to be
partners and resources in reducing water consumption and the effects of the drought. In
collaboration with the San Gabriel Municipal Water District (SGVMWD) and community
partners, we seek to create a web-based platform that facilitates easy access to information on
water consumption trends – a cost-effective and straightforward solution to a costly problem. By
engaging consumers as partners and creating better access to information and individualized
cost-saving strategies, LASaves has the potential to educate residents on the importance of water
conservation. This platform can save the County of Los Angeles and the State of California
millions of dollars by reducing the effects of the drought, as well as preserving a scarce natural
resource that impacts the greater southwest United States. Serving as a pilot program for
eventual expansion to Los Angeles Department of Water and Power, the benefits associated with
the program's pilot will initiate innovation and knowledge transfer to nearby districts.
!
Outcomes
!
LASaves will be a policy intervention that has positive
effects over several timeframes:
!
Short-term: Provide citizens with water consumption
information that illustrates their usage compared to
average use and targeted use after reductions, as well as
provide individualized strategies on how to achieve
targeted water consumption levels. Incentivize
immediate changes to consumption behavior through
improved awareness of alternative cost-saving strategies.
!
Intermediate-term: Engage other citizen and
community partners to develop innovative water
conservation measures, including procedural information
and point-based incentivization programs. Expand
community involvement in water conservation by setting
collective, neighborhood-based goals for reduction.
!
Long-term: Provide positive, long-term economic and environmental benefits to the local and
western region through changes in behavior and attitudes toward consumption. Improve
transparency and create public goodwill for SGVMWD in recognizing concerns and needs of
consumers.
!!
!3
The Problem (What’s Wrong?)

!
For the past fifteen years, severe droughts have been
affecting the southwest United States. In California alone,
the estimated costs to the economy are in the billions.
Costs to the state are evident in the $687 million drought
relief package that was authorized on March 1st, 2014 in
response to what Governor Brown declared the “worst
[drought] in the state’s modern history.” 
With water1
reservoir levels reaching all-time lows, state snow pack is
at a mere 29% of its annual average. 
In accordance with2
Governor Brown’s state of emergency declaration on the
drought, voluntary water consumption must be reduced by
20% before more drastic measures are imposed, including
mandatory limits and a 50% price hike in the next ten
years.
!
What’s Missing?
!
In times of drought, citizens need to be cognizant and conscientious of their water usage, both
in their domiciles and in their community. An online environment that makes sense of large
datasets regarding water usage can be a positive
way for citizens to track and record their
consumption. It can also provide them with a
tangible way of understanding how their
consumption fits into the broader issues
surrounding water resource conservation. A
cross-sectoral community platform that
leverages both extant contributions to water
conservation (e.g., apps, websites, information
campaigns) with strategies for implementation is thus a timely intervention. In doing so,
LASaves supports direct action from providers and consumers.
!
!
Filling the Gap: Education through E-Governance
!
Los Angeles Department of Water and Power (LADWP) lacks such an e-government
space regarding water monitoring and usage. LASaves will impact consumer demand
through suggesting strategic changes to behavior and patterns in residential
consumption. We aim to provide a financial solution for individuals to reduce their
consumption while also providing the City of Los Angeles with a positive
environmental externality.
!4
Previous experience
indicates that a
positive relationship
between behavior
and consumption can
be achieved by
leveraging web-based
technology to
motivate citizen
participation in
conservation efforts.
This is a way of linking drought to
individual action, while using “Big
Data” to support the City of Los
Angeles in identifying more macro-
level trends of water consumption.
Adoption
!
Phase I: Education. Reforming how billing
information is presented on SGVMWD's
website is a critical first step toward improved
communication about how water savings equals
cost savings. To reach automatic bill payers,
LASaves will have a text message system to
provide feedback on usage and targeted
benchmarks. The bill would feature usage items
and a visual representation of the consumer’s
water usage relative to the community, the
change in water consumption from the last bill,
the cost savings at different percentages of
water consumption reduction, and other
educational methods and tools.
!
Phase II: Communication. When the consumer fills out the LASaves online survey,
they can opt into an alert system that will text them when their water consumption
passes pre-set benchmarks throughout the month. A point-based system can be
implemented to demonstrate numerical impact of cost-savings measures. Benchmarks
are established by water consumption precedents and target water reduction ratio as
defined by the local water management policy.
THE PROBLEM
!
The southwest region of the United States
is currently confronted with a 5 year drought that
is already wreaking havoc on some smaller cities.
Reservoirs that service the southern California
basin have hit historic lows, forcing into question
what the region will do once these sources are
exhausted. Los Angeles County is at the center of
the crisis, with its 10 million people, and needs to
be at the forefront of the response. While the
problem of the drought requires immediate
response, eliciting progress from constituents
proves difficult to achieve under current conditions
in the water industry.
Crafting a response to the drought has been
difficult and problematic. Attempts are being made
!5
What Can LA Actually Save?
!
The average family of four
consumes about 160,000 gallons
of water per year. Research
indicates that changing water
consumption behavior would
reduce the amount of gallons
consumed per year by 34.6% for
approximately 600,000
residential accounts. This would
be an estimated water savings of
55,360 gallons per household.
by the state government to draw attention to the crisis, hoping to curb habits through symbolic
gestures. In late January, Governor Jerry Brown declared a state of emergency in California
because of the drought). Calling for a voluntary reduction of 20% consumption, even mandatory
shut offs are difficult to enforce due to the complexity of the water districts, which control local
supply and are in charge of administering the cutbacks. Addressing the crisis extends beyond
mere jurisdictional and enforcement issues, with a major issue in a general lack of awareness of
the problem on behalf of all types of consumers.
Lack of awareness is exacerbated by the fact that water users do not often have
comprehensive access and control over information on individual and aggregated use, and also
by the fact that water has historically had to been a highly reliable resource. Unlike energy, for
example, which has been subject to mandatory shut offs, the necessity of dependable water
access has masked the severity of the crisis. Rather than immediate shut offs to their individual
access, distant communities are suffering restricted access. This feeds into the phenomenon of
"out of sight, out of mind” - despite the fact that there is an imminent crisis, the crisis is not being
effectively conveyed to the consumers who can affect the crisis. Additionally, water is not
subject to pricing in the same way that energy is, where higher usage translate into higher costs
for consumers and lower usage translates into lower costs. Rather, the nature of water districts as
being subject to public scrutiny has restricted the capacity of districts to set discriminatory
pricing. Recently, LADWP reported that residential water rates in their service area have
increased by 19% per hundred cubic feet in the past calendar year.
To illuminate the magnitude of the
problem of water conservation, it is both
useful and practical to look at the state
of energy conservation efforts within the
power and energy industry. From the
perspective of conservation efforts, the
energy industry is light years ahead of
the water industry on a number of
measures. Enormous attention has been
focused on how to conserve our energy,
provide new means of attaining energy,
and infrastructural upgrades to the
power grid and larger energy system.
One of the most striking differences
between the energy and water industries
are the levels of public engagement
initiated by each; through dedicated public engagement practices over the past ten years energy
providers have made huge strides in impacting consumer behavior and providing incentives for
their customers to make changes that contribute to greater goals of conservation. This is a
critical moment for water service providers to embark on a similar public outreach campaign,
!6
The drought is a unique crisis in terms of
its immediacy and widespread impact on broad
groups of constituents. The problem of water
consumption and resource conservation poses
substantial threats to all of California's residents
and the residents of surrounding states, all of
whom are dependent on the same reservoirs in
Nevada and Colorado. As water resources
become increasingly scarce, difficult political
and legal battles will seize these communities as
they dig through archaic water rights laws to
determine use.
with the distinct goal of initiating habit-changing behaviors that can make immediate impacts to
the drought crisis.
From the perspective of water service providers,
they need public engagement to build support for
pending investments and to meet state and local
requirements for target reductions. As the crisis
continues, water districts and providers will be coming
under increased scrutiny to abide by voluntary and
mandatory cutbacks, which will require substantial
cooperation and collaboration from their users. While
traditionally disengaged from the customer base, these
facts combine to illustrate the timeliness of a public
outreach intervention that can incentivize consumers to
change their habits, while simultaneously building
support for more dramatic measures that will require
public support, such as the replacement of municipal
water systems, many of which are upwards of 60 years
out of date.
!
As we researched strategies and tactics for conservation and mitigation, we discovered
that the levels of public engagement surrounding the issue was in dire straits, especially when
juxtaposed with the progress made by energy providers. In order to address these suspicions, we
made contact with a number of water districts. Moreover, district board members eagerly sought
to utilize the methods and strategies we developed in order to address the issue of increase public
engagement and awareness. It was clear to us that this is the problem that deserves attention and
resources in the form of a pilot program with an LA County water district. Given the scale of
customers that LADWP services, we decided that LADWP would be most likely to proceed with
a wide-scale program for their service areas if a successful pilot were demonstrated in a nearby
and comparable area. After speaking with a board member at the San Gabriel Valley Water
District, which services a major population area of the county of about 500,000 people, we
determined that we had found the right partner and location to organize and implement a water
conservation initiative. From this perspective, LASaves is an exceptionally timely intervention
for a very pressing policy challenge.
!
POLICY PROPOSAL

Currently, public awareness of the seriousness of the drought is not well known. Low-cost
improvements to the information that the public is receiving can be used to impact the public
culture and greatly improve water conservation on the demand side. LASaves is a local-level
intervention designed to impact residential consumers whose behavior is most amenable to
receiving more information.
!7
This is particularly troubling
for Los Angeles, where almost 30%
of people live below the poverty
line. Moreover, this is an ideal time
to implement a strategy that
focuses on public engagement and
consumer reduction methods, given
that the supply side changes
required to mitigate the drought
need substantial investment and
capital, much of which will need to
be approved by voters.
The Solution: Opportunity, Description, Impact
Water conservation is critical to all locations in the Western
United States. Los Angeles County is one of the largest urban
areas in the West, with a population of nearly 10 million
people. 
Further, the Los Angeles area relies heavily on water3
from out-of-state sources that are leading to droughts in other
areas. Reductions in water usage within the Los Angeles area
will help to alleviate stress put on resources such as the
Colorado River. Finally, water conservation will help create
savings for water suppliers. California has declared a state of
emergency due to the drought and has required a 34%
reduction in water consumption over the next 4 years. Los
Angeles is also likely to respond highly to e-based initiatives, as it currently ranks within the top
5 of the most responsive US cities. 4
What is LASaves?
LASaves is an e-governance utility that support the water conservation effort with a text message
and email alert system similar to those used by current billing and credit alerts. Web-based
billing is already highly in use and has a ready market. The text and email alert system is optimal
because it allows for message to be sent instantly and with little effort to individuals. Text
message systems have been utilized in many programs, including billing and banking alerts
aimed at individual thresholds. The text and email combination is optimal because it allows the
consumers to control how they receive their messages and the levels of alerts that best suit their
needs.
Design
LASaves will integrate water use data and
averages into the consumer billing
information. The SGVMWD’s current billing
website will be updated to highlight monthly
usage compared to the averages of the
neighborhood and community. In addition, it
will provide alerts if water usage is exceeding
average amounts by more than (we need to
set a threshold) as well as offer tips to
consumers on how to reduce water usage.
Using software licensed from, the LASaves
service will also develop an opt-in text and
email service available within the password
protected billing website utilized by the San
Gabriel Valley Water District. The system
format will be simple and automated,
!8
LA Water Souces
LA Aquaduct
39%
Groundwater
15%
Conservation
8%
Recycled Water
7%
Water Transfer
6%
MWD Water
22%
Storm Water
3%
requiring only the initial IT set-up for the original format. Consumers can log in and set their
preferred thresholds for reminders and alerts. Text and email alerts will both allow for faster
identification of loss of water from leaks or other broken appliances as well as make automatic
bill-pay consumers more aware of their water usage.
Focusing on awareness and communication is critical to engage stakeholders and raise
awareness of the water crisis. Unlike other energy, water has always been considered a reliable
source with minimal public awareness or care. Water service has never been shut off to a wide
population like energy. Communication and personalized awareness is a critical, yet missing,
component in the current water conservation measures.
!
Web, text, and email reminders
LASaves is based on first-hand source information that water conservation is not perceived as a
high priority by many citizens. Thomas Wong of the SGV water district stated that one of the
primary problems with water conservation is billing is done only once every two months and
water has always been a reliable source.
!
!9
Internet Access
The San Gabriel Valley is also a good location to
begin a pilot program due to its demographics.
Many of the cities have a high Asian population,
making the likelihood of broadband usage higher
in the region than in other locations. Los Angeles
county citizens are also shown to be on average
one of the most receptive groups to internet and
other electronic governance and community
message forums that most US cities. Broadband
access in California is an average of 69% and
64% in Los Angeles, making our interventions a
feasible option to engage consumers. 5
!
Cell Phone Access
As of 2013, approximately 91% of the US
population owns and uses a cell phone.  6
Given the average income levels of residents
within the San Gabriel Valley, the percentage
of users within the San Gabriel valley is
highly likely to be representative of the US
cell phone ownership average. LASaves will
be informed by the energy alerts system
utilized by Pacific Gas and Electric (PG & E).
 7
Objectives
LASaves cannot lead to the full water conservation required if the drought becomes long-term,
but it will help establish a culture of conservation, awareness of the problem in the community
and the infrastructure to easily implement water restrictions and a tiered water pricing system if
necessary. LASaves has short, intermediate and long-term outcome benchmarks to determine
success:
■ Short-term (1-year): Provide citizens with water usage data that illustrates their current
usage compared to average use and targeted use. Provide individualized strategies on
how to achieve targeted water consumption levels. Incentivize immediate changes to
water use behavior.
■ Intermediate-term (2-year): Engage other citizen and community partners to develop
innovative water conservation measures. Expand community involvement in water
conservation by setting collective, neighborhood-based goals for reduction.
!10
If the San Gabriel Valley Water District
achieves similar reductions in water the
savings would be estimated at 24% or
$4,320,000. Because of the cost-
effectiveness of LASaves and the massive
financial impact of the drought, the cost
of establishing LASaves will be met.
■ Long-term (3-5 years): Provide long-term good-will for water provider. Create platform
to easily integrate other water conservation measures as needed.
Innovation
LASaves is innovative for the following reasons:
■ Innovation Transfer from Energy Utilities: Water utility officials have said that there is
a need to raise the levels of awareness to the levels of the energy crises and learn from the
energy sector. LASaves implements a successful practice from the energy utilities to
water utilities. Although widely used in the energy sectors, which have faced crises and
achieved needed reduction, information sharing and web/text based alert systems have not
been applied to the water utilities.
■ Addresses the Needs of Both the Local, State and Regional Needs of Water
Conservation: The drought poses a significant harm to the entire state of California as
well as the western United States. Addressing the problem within Los Angeles county not
only aids the local region, but due to the water sources utilized to supply water to the LA
basin, it also reduces the strain on out-of-state water resources. This is currently an unmet
need within the Water conservation efforts.
■ Creates an Easily Accessible System: LASaves makes it easy for consumers to
understand the role they play in water conservation by streamlining water usage
information. This information can also be used to save consumers money should a
sudden leak occur in something such as a sprinkler.
■ Makes Future Planning and Implementation Easier: LASaves will create a closer
connection between water suppliers and consumers. The program will set up new
information technology systems that can easily integrate new policies, such as a tiered
billing system, should it be implemented in the future. Furthermore, creating this online
space can pay positive dividends as goodwill for other local utility entities and proprietary
city agencies such as LADWP.
Stakeholders
San Gabriel Valley Municipal Water District (SGVMWD):
The SGVMWD is the most directly impacted stakeholder. The
San Gabriel Valley Water District is located within Los
Angeles County and serves a total of 200,000 people. The
cities served by the Water District include Alhambra, Azusa,
Monterey Park and Sierra Madre. Thomas Wong stated that
there is a need to learn from the energy sector on how to
reach the public. The SGVMWD has recently implemented rebate programs to change
appliances to more water efficient ones and now is collecting information at the neighborhood
level. The LASaves initiative will connect that information.
Los Angeles County: Los Angeles County is one of 1,100 counties being affected by the
!11
drought in the western United States. 
Los Angeles County is currently implementing plans on8
how to reduce water usage. Reducing the effects of the drought is a pressing matter for Los
Angeles county to ensure residents continue to have uninterrupted water service. Interruptions in
water service could be a financial impact to the county in both lower property values as well as
loss of businesses.
Water Consumers: Water consumers are the most directly impacted group by the drought. In
Los Angeles city, consumers have seen a 19% increase in their bill over a one year period.
Without personal conservation measures, water bills throughout the western United States will
continue to rise at similar rates. In addition, a long-term drought may lead to mandatory water
usage restrictions as well as service interruption.
States other than California that Rely on Colorado River: Water from
the Colorado River is being depleted to serve the Los Angeles region.
Other locations that rely on the river are finding that no source exists.
Water conservation in Los Angeles County will therefore lead to a
positive impact within a much larger region than the Los Angeles basin
alone.
Metropolitan Water District of Southern California (MWD): The
Metropolitan Water District of Southern California supplies water
to 26 cities located in Los Angeles, Orange, Riverside, San Bernardino, San
Diego and Ventura counties. In total, 19 million people are served by the
MWD. Currently, the MWD faces potential sanctions and water shortages if
water conservation efforts do not improve throughout their district. To avoid
these costs, the MWD is working on large upgrades to the Water infrastructure
in Southern California.
California Public Utilities Commission: As a state agency that regulates privately owned
utility, telecommunications, and transportation companies, it will be important to connect with
them regarding the formation of relationships private water providers across southern California.
The Campaign Plan
The tools in our communications plan will include a push-notification system similar to
PG&E energy alerts. It will be important to share with constituents (at a household level) their
current usage and a target usage
level as dictated by the local water
agency - in our pilot program, we
will look to San Gabriel Municipal
Water District. This information
will be sent via monthly texts to
complement the bills, and will
include information about consumer
water usage relative to previous
!12
bills, historical water usage, and recommended/suggested usage.
These “smart” messages provide updates that complement billing information, such as
feedback on monthly usage and target benchmarks. These benchmarks are to be set by Water
agencies, at levels commensurate with their target reduction use as set by local water
management policies. These policies can be further defined by various geographic parcel sizes
(zip code, census block group, etc.). This is useful in that many utility users elect for automatic
payment systems who may not be cognizant of their monthly water usage (especially in the
context of a larger community and drought situation).
The LASaves platform will also have a survey
with several options for how consumers can receive more
nuanced information about their water costs and
consumptions. This create an opportunity for consumers
to opt into a water alert system that will notify them via
text when their water consumption is approaching and
passing the pre-set benchmarks (similar to major cell
phone providers that provide text updates regarding data
limits). In collaboration with local city council members
and neighborhood councils, we will also be able to gain
visibility to remind constituents through council member's
newsletters.
We will need to continue engaging public and
private entities to generate the depth and breadth of support necessary for the sustainable growth
of LASaves in San Gabriel Valley and for other cities in southern California, which together
comprise upwards of 20 million people. It will be important for heads of water departments and
elected officials to advocate for tools to help citizens be cognizant of utility consumption.
Companies such as the Civic Resource Group have constructed a framework for water usage data
at a level useful for large, county-level usage. We will build on this approach to data tracking at
a local neighborhood level.
!
Coalition Building
!
We will make contact with several California-based environmental groups, including the
Sierra Club, California Urban Water Conservation Council, the Los Angeles Water Conservation
Council, Green LA Coalition, and the Los Angeles River Revitalization. Driven by the
environmental mission of water conservation efforts, we believe they will be supportive partners
to our cause and can help facilitate ideas to citizens on how to be more conscientious of water
usage reduction efforts.
!
We expect local elected officials and public agencies to support for improved
transparency of water agencies and increased communitarian approaches to water conservation.
Sustained success and visibility with water agencies may pave the way for similar programs to
!13
We will also be able to
gauge consumer feedback
through comments on the
website and Qualtrics online
surveys. These surveys will be
used as a way to ensure citizens
can have visibility in this
initiative, to improve our service
and make citizens feel more
connected to the process.
be launched in other utility agencies. Ideally, the support and participation of with multiple cities
participation can lead to adoption by Los Angeles Department of Water and Power. Creating
more spaces for e-governance as it pertains to administering to social needs of citizens is
important for local governments, and LASaves is an excellent venue for governments to engage
citizens in an online environment.
!
Timeline
!
!
!
Between now and July 1 2014, it will be imperative for our group to continue researching
the most effective online practices and methods to engage consumers. We will also continue
forging relationships with supporters and allies to gain visibility for our project. We will also
continue to fundraise and assemble a development team for our website and text pushing service.
!
Our campaign plan will be to launch both elements of LASaves at the beginning of July
2014, consistent with the beginning of the fiscal quarter during the summer months. As the
summer months have the highest average temperatures of the year and lowest average
precipitation, we may expect consumers to be more cognizant of their water consumption. At the
end of each fiscal quarter, we will follow up with various water agencies to see if there had been
a discernible change in consumer behavior with the advent of LASaves. Importantly, by
comparing the SGV water prouder with other water agencies that did not use LASaves, we will
have a quasi-experimental basis for assessing the impact of LASaves as a viable option in local-
level water conservation strategies. 

!
Funding and Budget
!
LASaves is a very low-cost approach to minimize the financial costs of excessive water usage
and the drought. Based on conversations with stakeholders as well as research
conducted by us, initial funds will come from a combination of grants and
stakeholder funding. Although we cannot claim grants at this stage, several grant
initiatives are well suited to LASaves. In addition, the stakeholders have been
investing heavily in trying to find ways to reduce water usage, providing the
potential for additional funding.
!
The budget was based on estimates utilizing research of similar projects. Costs are based pun
estimates from the California Urban Water Conservation Council. 
We have two programs that9
!14
have been costed to meet the needs of out
water information campaign. Part One is a pilot program, conversations with the key
stakeholder, SGVMWD, indicates that we can reach approximately 12,840 homes initially. Part
Two will be future project supervision, including website maintenance, inquiries, continuing
education, and advertising to be expanded into the existing employee responsibilities in both the
SGVMWD’s information technology and public relations department.
Finding the Next Round of Funding
Once we have determined the cost structure of this project, we are now able to project the
amount of funding needed. Our funding strategy is centered on innovation grants from the water
authorities of southern California, local municipalities, and the State of California. The additional
cost per household can be offset by these grants, not contributing to the added cost of water.
Population FY14 FY15 FY16 FY17
FULL SGVMWD $! 920,000 $! 956,800 $! 1,042,912 $! 1,136,774
PILOT SGVWMD $! 58,964 $! 61,323 $! 64,389 $! 68,252
!15
58000
60750
63500
66250
69000
FY14 FY15 FY16 FY17
12,000
0
300000
600000
900000
1200000
FY14 FY15 FY16 FY17
12,000
Full SGVMWD Projected Budget
$560,000 annually for email and web-redesign
$260,000 annually for text messaging system
$100,000 initially for marketing materials
TOTALS: $920,000 first year; $820,000 annual
maintenance
Cost Per House Hold: 4.10 = 1.30 (messaging) + 1.00 (e-mail) + .80 (Tax) +1.00 (Website)
Pilot Program Projected Budget
$35,952 annually for email and web-redesign
$16,692 annually for text messaging system
$6,420 initially for marketing materials
TOTALS: $58,964 first year; $52,544
As this is an optional program, there would be
no fee associated with participation from our
program. The Seed Money would account for
around 8% of our total funding. Below are the
list of the top possible sources for funding that
our program would be eligible for in addition
to the original seed funding.
!
Conclusion
!
The mission of LASaves is to create an online approach to information on water scarcity and
water security issues. Southern California and the southwest region of the United States is facing
a massive continual drought that threatens the livelihoods and safety of the regional population.
LASaves is an e-governance approach to educating and communicating this critical issue to the
people of southern California. Our approach is to build an online tool that can be tested in the
San Gabriel Valley, just north of the City of Los Angeles. Part of this pilot is to measure the
effectiveness of new innovations in the communication market space. Once outcomes have been
solidified, we will move to our large-scale rollout of 200,000 people in two large water districts.
By building out this new water security and information technology we are not only advancing
our city, but helping conserve water for the region. This aim, is driven by the core value of the
USC Price School of Public Policy, to change the world for the betterment of mankind. 

PROGRAM	
  NAME SOURCE DESCRIPTION AMOUNT
Community	
  Partnering	
  Program The	
  Metropolitan	
  Water	
  District	
  of	
  
Southern	
  California
Provides	
  sponsorship	
  of	
  water	
  
conservaEon	
  and	
  water-­‐use	
  
efficiency	
  programs.
$2,000	
  
InnovaEve	
  ConservaEon	
  Program The	
  Metropolitan	
  Water	
  District	
  of	
  
Southern	
  California
Grant	
  provided	
  for	
  innovaEve	
  
approach	
  to	
  documenEng	
  water	
  
savings	
  and	
  reliability	
  of	
  
innovaEve	
  water	
  savings	
  devices.
Up	
  to	
  $50,000	
  
WaterSMART	
  Grant U.S.	
  Department	
  of	
  the	
  Interior	
  -­‐	
  
Bureau	
  of	
  ReclamaEon
Grants	
  are	
  available	
  to	
  
organizaEon	
  with	
  water	
  or	
  power	
  
delivery	
  authority.

Up	
  to	
  $300,000	
  cost	
  share
!16
42%
3%
47%
8%
Seed Funds State Grants
Water District US FundsThe Fels National Policy Competition
Award would become the seed funding
for the development of the project. We
would see the additional 53,964 from
California Grants.
APPENDIX 1
!
Connections and Allies
Thus far, have identified support from across public, private, and academic sectors. Our project
has built a cross-sectoral coalition to support innovation in the water saving market space.
!
Greg Curtin, Founder and Principal of Civic Resource Group.
Civic Resource Group is an information technology consulting firm that created the WaterSmart
Target Online Water Conservation System for San Diego County Water Authority to collect and
analyze water consumption data. This system was intended to function as a way for local
governments in San Diego County to track water conservation efforts. Through collaboration
with the Civic Resource Group and Los Angeles city agencies, our proposal seeks to build on
this idea at a local community level in the City of Los Angeles.
!
Thomas Wong, Board Member for San Gabriel Valley Municipal Water District Board of
Directors.
Mr. Wong confirmed that utility providers are seeking new ways to engage consumers in raising
conservation efforts akin to those in place for the energy industry. Energy Star ratings and other
information campaigns have helped inform peer comparisons, which lead to individual behavior
shift and, in aggregate, communities responding with lower water usage. Though energy utilities
are typically served by large proprietary city agencies in southern California (such as LADWP in
Los Angeles County), most local governments rely on public and private water utilities. Because
these entities are not subject to the same rigor of oversight, they can create issues of data
transparency for consumers. SGV water is beginning to implement pilot programs regarding
increased information to provide consumer water use data, and sees great potential for our idea to
complement their work in educating the public.
!
Hilda Blanco, Interim Director of USC Center for Sustainable Cities.
Professor Blanco sees parallels between our project and Cisco's UrbanEco Map program for use
in San Francisco and Amsterdam. This 2009 pilot was intended to function by providing
communities with relevant data and indicators regarding primary GHG contributors of transit,
waste, and energy. By making this data publicly available is aimed at "fostering a sense of
community connection and responsibility" to align private consumers and firms with
policymakers on how to reduce GHG incites.
!
Frank Zerunyan, Mayor of Rolling Hills Estate, Director of Executive Education at the
USC Sol Price School of Public Policy.
As a public official, Professor Zerunyan sees value in this project to help individuals become
more cognizant of their water usage for the conservation of future resources. He saw
connections between LASaves and previous utility management programs in the city of Rolling
Hills Estate - when citizens were provided cost information about recycling vs. trash disposal,
they were able to shift behaviors to be more aware of recycling.
!17
!
!
!
APPENDIX 2
!
Bibliography
!18
! California Governor Signs $687 Million Drought Relief Legislation." Reuters. Thomson1
Reuters, Web. 02 Mar. 2014.
! "California Farmers Told Not to Expect U.S. Water." The New York Times. The New York2
Times, Web. 03 Mar. 2014.
! U.S. Census Bureau: Los Angeles County, State and County QuickFacts. Data derived from3
Population Estimates, American Community Survey, Census of Population and Housing, State
and County Housing Unit Estimates, County Business Patterns, Nonemployer Statistics,
Economic Census, Survey of Business Owners, Building Permits 
! Water Education Foundation. (2006). Where does my Water come from?4
 Baldassare, M., Bonner, D., Petek, S., Shresta, J. (2013). California’s Digital Divide. Public5
Policy Institute of California.
! Kerr, D. Smartphone ownership reaches critical mass in the U.S. CNET News Mobile, Web.6
05 Jun. 2013.
 Pacific Gas and Electric Company. (2009). Energy Alerts.7
! Natural Resources Defense Council. Drought: Threats to Water and Food Security.8

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usc_-_lasaves_proposal

  • 1. !!!!!!!!!!!!!!!!!!!!!!!!!!!!! ! !!!!!!!!!! LASaves An online platform to address southern California water conservation strategies through citizen awareness and cross-sectoral support Yixue Chen MPP’15 Brandon de Bruhl, MPP’15 Heidi Greenhalgh, MPP’14 Adrienne Lindgrin, MPL’14 Rhett-Alexander Paranay, MPP/MPL’15
  • 2. Table of Contents ! Section 1: Executive Summery …………………………………………………Pg. 3 Section 2: The Problem …………………………………………………………Pg. 5 Section 3: Policy Proposal ………………………………………………………Pg. 7 ! Section 4: The Campaign ……………………………………………………….Pg.12 ! Section 5: Funding and Budget ………………………………………………..Pg. 14 ! Section 6: Conclusion ……………………………………………………………Pg. 15 ! !2
  • 3. Executive Summary ! LASaves is an online platform designed to facilitate an immediate, consumer-based response to the drought crisis impacting Los Angeles. This program enables the citizens of Los Angeles to be partners and resources in reducing water consumption and the effects of the drought. In collaboration with the San Gabriel Municipal Water District (SGVMWD) and community partners, we seek to create a web-based platform that facilitates easy access to information on water consumption trends – a cost-effective and straightforward solution to a costly problem. By engaging consumers as partners and creating better access to information and individualized cost-saving strategies, LASaves has the potential to educate residents on the importance of water conservation. This platform can save the County of Los Angeles and the State of California millions of dollars by reducing the effects of the drought, as well as preserving a scarce natural resource that impacts the greater southwest United States. Serving as a pilot program for eventual expansion to Los Angeles Department of Water and Power, the benefits associated with the program's pilot will initiate innovation and knowledge transfer to nearby districts. ! Outcomes ! LASaves will be a policy intervention that has positive effects over several timeframes: ! Short-term: Provide citizens with water consumption information that illustrates their usage compared to average use and targeted use after reductions, as well as provide individualized strategies on how to achieve targeted water consumption levels. Incentivize immediate changes to consumption behavior through improved awareness of alternative cost-saving strategies. ! Intermediate-term: Engage other citizen and community partners to develop innovative water conservation measures, including procedural information and point-based incentivization programs. Expand community involvement in water conservation by setting collective, neighborhood-based goals for reduction. ! Long-term: Provide positive, long-term economic and environmental benefits to the local and western region through changes in behavior and attitudes toward consumption. Improve transparency and create public goodwill for SGVMWD in recognizing concerns and needs of consumers. !! !3
  • 4. The Problem (What’s Wrong?)
 ! For the past fifteen years, severe droughts have been affecting the southwest United States. In California alone, the estimated costs to the economy are in the billions. Costs to the state are evident in the $687 million drought relief package that was authorized on March 1st, 2014 in response to what Governor Brown declared the “worst [drought] in the state’s modern history.”  With water1 reservoir levels reaching all-time lows, state snow pack is at a mere 29% of its annual average.  In accordance with2 Governor Brown’s state of emergency declaration on the drought, voluntary water consumption must be reduced by 20% before more drastic measures are imposed, including mandatory limits and a 50% price hike in the next ten years. ! What’s Missing? ! In times of drought, citizens need to be cognizant and conscientious of their water usage, both in their domiciles and in their community. An online environment that makes sense of large datasets regarding water usage can be a positive way for citizens to track and record their consumption. It can also provide them with a tangible way of understanding how their consumption fits into the broader issues surrounding water resource conservation. A cross-sectoral community platform that leverages both extant contributions to water conservation (e.g., apps, websites, information campaigns) with strategies for implementation is thus a timely intervention. In doing so, LASaves supports direct action from providers and consumers. ! ! Filling the Gap: Education through E-Governance ! Los Angeles Department of Water and Power (LADWP) lacks such an e-government space regarding water monitoring and usage. LASaves will impact consumer demand through suggesting strategic changes to behavior and patterns in residential consumption. We aim to provide a financial solution for individuals to reduce their consumption while also providing the City of Los Angeles with a positive environmental externality. !4 Previous experience indicates that a positive relationship between behavior and consumption can be achieved by leveraging web-based technology to motivate citizen participation in conservation efforts. This is a way of linking drought to individual action, while using “Big Data” to support the City of Los Angeles in identifying more macro- level trends of water consumption.
  • 5. Adoption ! Phase I: Education. Reforming how billing information is presented on SGVMWD's website is a critical first step toward improved communication about how water savings equals cost savings. To reach automatic bill payers, LASaves will have a text message system to provide feedback on usage and targeted benchmarks. The bill would feature usage items and a visual representation of the consumer’s water usage relative to the community, the change in water consumption from the last bill, the cost savings at different percentages of water consumption reduction, and other educational methods and tools. ! Phase II: Communication. When the consumer fills out the LASaves online survey, they can opt into an alert system that will text them when their water consumption passes pre-set benchmarks throughout the month. A point-based system can be implemented to demonstrate numerical impact of cost-savings measures. Benchmarks are established by water consumption precedents and target water reduction ratio as defined by the local water management policy. THE PROBLEM ! The southwest region of the United States is currently confronted with a 5 year drought that is already wreaking havoc on some smaller cities. Reservoirs that service the southern California basin have hit historic lows, forcing into question what the region will do once these sources are exhausted. Los Angeles County is at the center of the crisis, with its 10 million people, and needs to be at the forefront of the response. While the problem of the drought requires immediate response, eliciting progress from constituents proves difficult to achieve under current conditions in the water industry. Crafting a response to the drought has been difficult and problematic. Attempts are being made !5 What Can LA Actually Save? ! The average family of four consumes about 160,000 gallons of water per year. Research indicates that changing water consumption behavior would reduce the amount of gallons consumed per year by 34.6% for approximately 600,000 residential accounts. This would be an estimated water savings of 55,360 gallons per household.
  • 6. by the state government to draw attention to the crisis, hoping to curb habits through symbolic gestures. In late January, Governor Jerry Brown declared a state of emergency in California because of the drought). Calling for a voluntary reduction of 20% consumption, even mandatory shut offs are difficult to enforce due to the complexity of the water districts, which control local supply and are in charge of administering the cutbacks. Addressing the crisis extends beyond mere jurisdictional and enforcement issues, with a major issue in a general lack of awareness of the problem on behalf of all types of consumers. Lack of awareness is exacerbated by the fact that water users do not often have comprehensive access and control over information on individual and aggregated use, and also by the fact that water has historically had to been a highly reliable resource. Unlike energy, for example, which has been subject to mandatory shut offs, the necessity of dependable water access has masked the severity of the crisis. Rather than immediate shut offs to their individual access, distant communities are suffering restricted access. This feeds into the phenomenon of "out of sight, out of mind” - despite the fact that there is an imminent crisis, the crisis is not being effectively conveyed to the consumers who can affect the crisis. Additionally, water is not subject to pricing in the same way that energy is, where higher usage translate into higher costs for consumers and lower usage translates into lower costs. Rather, the nature of water districts as being subject to public scrutiny has restricted the capacity of districts to set discriminatory pricing. Recently, LADWP reported that residential water rates in their service area have increased by 19% per hundred cubic feet in the past calendar year. To illuminate the magnitude of the problem of water conservation, it is both useful and practical to look at the state of energy conservation efforts within the power and energy industry. From the perspective of conservation efforts, the energy industry is light years ahead of the water industry on a number of measures. Enormous attention has been focused on how to conserve our energy, provide new means of attaining energy, and infrastructural upgrades to the power grid and larger energy system. One of the most striking differences between the energy and water industries are the levels of public engagement initiated by each; through dedicated public engagement practices over the past ten years energy providers have made huge strides in impacting consumer behavior and providing incentives for their customers to make changes that contribute to greater goals of conservation. This is a critical moment for water service providers to embark on a similar public outreach campaign, !6 The drought is a unique crisis in terms of its immediacy and widespread impact on broad groups of constituents. The problem of water consumption and resource conservation poses substantial threats to all of California's residents and the residents of surrounding states, all of whom are dependent on the same reservoirs in Nevada and Colorado. As water resources become increasingly scarce, difficult political and legal battles will seize these communities as they dig through archaic water rights laws to determine use.
  • 7. with the distinct goal of initiating habit-changing behaviors that can make immediate impacts to the drought crisis. From the perspective of water service providers, they need public engagement to build support for pending investments and to meet state and local requirements for target reductions. As the crisis continues, water districts and providers will be coming under increased scrutiny to abide by voluntary and mandatory cutbacks, which will require substantial cooperation and collaboration from their users. While traditionally disengaged from the customer base, these facts combine to illustrate the timeliness of a public outreach intervention that can incentivize consumers to change their habits, while simultaneously building support for more dramatic measures that will require public support, such as the replacement of municipal water systems, many of which are upwards of 60 years out of date. ! As we researched strategies and tactics for conservation and mitigation, we discovered that the levels of public engagement surrounding the issue was in dire straits, especially when juxtaposed with the progress made by energy providers. In order to address these suspicions, we made contact with a number of water districts. Moreover, district board members eagerly sought to utilize the methods and strategies we developed in order to address the issue of increase public engagement and awareness. It was clear to us that this is the problem that deserves attention and resources in the form of a pilot program with an LA County water district. Given the scale of customers that LADWP services, we decided that LADWP would be most likely to proceed with a wide-scale program for their service areas if a successful pilot were demonstrated in a nearby and comparable area. After speaking with a board member at the San Gabriel Valley Water District, which services a major population area of the county of about 500,000 people, we determined that we had found the right partner and location to organize and implement a water conservation initiative. From this perspective, LASaves is an exceptionally timely intervention for a very pressing policy challenge. ! POLICY PROPOSAL Currently, public awareness of the seriousness of the drought is not well known. Low-cost improvements to the information that the public is receiving can be used to impact the public culture and greatly improve water conservation on the demand side. LASaves is a local-level intervention designed to impact residential consumers whose behavior is most amenable to receiving more information. !7 This is particularly troubling for Los Angeles, where almost 30% of people live below the poverty line. Moreover, this is an ideal time to implement a strategy that focuses on public engagement and consumer reduction methods, given that the supply side changes required to mitigate the drought need substantial investment and capital, much of which will need to be approved by voters.
  • 8. The Solution: Opportunity, Description, Impact Water conservation is critical to all locations in the Western United States. Los Angeles County is one of the largest urban areas in the West, with a population of nearly 10 million people.  Further, the Los Angeles area relies heavily on water3 from out-of-state sources that are leading to droughts in other areas. Reductions in water usage within the Los Angeles area will help to alleviate stress put on resources such as the Colorado River. Finally, water conservation will help create savings for water suppliers. California has declared a state of emergency due to the drought and has required a 34% reduction in water consumption over the next 4 years. Los Angeles is also likely to respond highly to e-based initiatives, as it currently ranks within the top 5 of the most responsive US cities. 4 What is LASaves? LASaves is an e-governance utility that support the water conservation effort with a text message and email alert system similar to those used by current billing and credit alerts. Web-based billing is already highly in use and has a ready market. The text and email alert system is optimal because it allows for message to be sent instantly and with little effort to individuals. Text message systems have been utilized in many programs, including billing and banking alerts aimed at individual thresholds. The text and email combination is optimal because it allows the consumers to control how they receive their messages and the levels of alerts that best suit their needs. Design LASaves will integrate water use data and averages into the consumer billing information. The SGVMWD’s current billing website will be updated to highlight monthly usage compared to the averages of the neighborhood and community. In addition, it will provide alerts if water usage is exceeding average amounts by more than (we need to set a threshold) as well as offer tips to consumers on how to reduce water usage. Using software licensed from, the LASaves service will also develop an opt-in text and email service available within the password protected billing website utilized by the San Gabriel Valley Water District. The system format will be simple and automated, !8 LA Water Souces LA Aquaduct 39% Groundwater 15% Conservation 8% Recycled Water 7% Water Transfer 6% MWD Water 22% Storm Water 3%
  • 9. requiring only the initial IT set-up for the original format. Consumers can log in and set their preferred thresholds for reminders and alerts. Text and email alerts will both allow for faster identification of loss of water from leaks or other broken appliances as well as make automatic bill-pay consumers more aware of their water usage. Focusing on awareness and communication is critical to engage stakeholders and raise awareness of the water crisis. Unlike other energy, water has always been considered a reliable source with minimal public awareness or care. Water service has never been shut off to a wide population like energy. Communication and personalized awareness is a critical, yet missing, component in the current water conservation measures. ! Web, text, and email reminders LASaves is based on first-hand source information that water conservation is not perceived as a high priority by many citizens. Thomas Wong of the SGV water district stated that one of the primary problems with water conservation is billing is done only once every two months and water has always been a reliable source. ! !9
  • 10. Internet Access The San Gabriel Valley is also a good location to begin a pilot program due to its demographics. Many of the cities have a high Asian population, making the likelihood of broadband usage higher in the region than in other locations. Los Angeles county citizens are also shown to be on average one of the most receptive groups to internet and other electronic governance and community message forums that most US cities. Broadband access in California is an average of 69% and 64% in Los Angeles, making our interventions a feasible option to engage consumers. 5 ! Cell Phone Access As of 2013, approximately 91% of the US population owns and uses a cell phone.  6 Given the average income levels of residents within the San Gabriel Valley, the percentage of users within the San Gabriel valley is highly likely to be representative of the US cell phone ownership average. LASaves will be informed by the energy alerts system utilized by Pacific Gas and Electric (PG & E).  7 Objectives LASaves cannot lead to the full water conservation required if the drought becomes long-term, but it will help establish a culture of conservation, awareness of the problem in the community and the infrastructure to easily implement water restrictions and a tiered water pricing system if necessary. LASaves has short, intermediate and long-term outcome benchmarks to determine success: ■ Short-term (1-year): Provide citizens with water usage data that illustrates their current usage compared to average use and targeted use. Provide individualized strategies on how to achieve targeted water consumption levels. Incentivize immediate changes to water use behavior. ■ Intermediate-term (2-year): Engage other citizen and community partners to develop innovative water conservation measures. Expand community involvement in water conservation by setting collective, neighborhood-based goals for reduction. !10 If the San Gabriel Valley Water District achieves similar reductions in water the savings would be estimated at 24% or $4,320,000. Because of the cost- effectiveness of LASaves and the massive financial impact of the drought, the cost of establishing LASaves will be met.
  • 11. ■ Long-term (3-5 years): Provide long-term good-will for water provider. Create platform to easily integrate other water conservation measures as needed. Innovation LASaves is innovative for the following reasons: ■ Innovation Transfer from Energy Utilities: Water utility officials have said that there is a need to raise the levels of awareness to the levels of the energy crises and learn from the energy sector. LASaves implements a successful practice from the energy utilities to water utilities. Although widely used in the energy sectors, which have faced crises and achieved needed reduction, information sharing and web/text based alert systems have not been applied to the water utilities. ■ Addresses the Needs of Both the Local, State and Regional Needs of Water Conservation: The drought poses a significant harm to the entire state of California as well as the western United States. Addressing the problem within Los Angeles county not only aids the local region, but due to the water sources utilized to supply water to the LA basin, it also reduces the strain on out-of-state water resources. This is currently an unmet need within the Water conservation efforts. ■ Creates an Easily Accessible System: LASaves makes it easy for consumers to understand the role they play in water conservation by streamlining water usage information. This information can also be used to save consumers money should a sudden leak occur in something such as a sprinkler. ■ Makes Future Planning and Implementation Easier: LASaves will create a closer connection between water suppliers and consumers. The program will set up new information technology systems that can easily integrate new policies, such as a tiered billing system, should it be implemented in the future. Furthermore, creating this online space can pay positive dividends as goodwill for other local utility entities and proprietary city agencies such as LADWP. Stakeholders San Gabriel Valley Municipal Water District (SGVMWD): The SGVMWD is the most directly impacted stakeholder. The San Gabriel Valley Water District is located within Los Angeles County and serves a total of 200,000 people. The cities served by the Water District include Alhambra, Azusa, Monterey Park and Sierra Madre. Thomas Wong stated that there is a need to learn from the energy sector on how to reach the public. The SGVMWD has recently implemented rebate programs to change appliances to more water efficient ones and now is collecting information at the neighborhood level. The LASaves initiative will connect that information. Los Angeles County: Los Angeles County is one of 1,100 counties being affected by the !11
  • 12. drought in the western United States.  Los Angeles County is currently implementing plans on8 how to reduce water usage. Reducing the effects of the drought is a pressing matter for Los Angeles county to ensure residents continue to have uninterrupted water service. Interruptions in water service could be a financial impact to the county in both lower property values as well as loss of businesses. Water Consumers: Water consumers are the most directly impacted group by the drought. In Los Angeles city, consumers have seen a 19% increase in their bill over a one year period. Without personal conservation measures, water bills throughout the western United States will continue to rise at similar rates. In addition, a long-term drought may lead to mandatory water usage restrictions as well as service interruption. States other than California that Rely on Colorado River: Water from the Colorado River is being depleted to serve the Los Angeles region. Other locations that rely on the river are finding that no source exists. Water conservation in Los Angeles County will therefore lead to a positive impact within a much larger region than the Los Angeles basin alone. Metropolitan Water District of Southern California (MWD): The Metropolitan Water District of Southern California supplies water to 26 cities located in Los Angeles, Orange, Riverside, San Bernardino, San Diego and Ventura counties. In total, 19 million people are served by the MWD. Currently, the MWD faces potential sanctions and water shortages if water conservation efforts do not improve throughout their district. To avoid these costs, the MWD is working on large upgrades to the Water infrastructure in Southern California. California Public Utilities Commission: As a state agency that regulates privately owned utility, telecommunications, and transportation companies, it will be important to connect with them regarding the formation of relationships private water providers across southern California. The Campaign Plan The tools in our communications plan will include a push-notification system similar to PG&E energy alerts. It will be important to share with constituents (at a household level) their current usage and a target usage level as dictated by the local water agency - in our pilot program, we will look to San Gabriel Municipal Water District. This information will be sent via monthly texts to complement the bills, and will include information about consumer water usage relative to previous !12
  • 13. bills, historical water usage, and recommended/suggested usage. These “smart” messages provide updates that complement billing information, such as feedback on monthly usage and target benchmarks. These benchmarks are to be set by Water agencies, at levels commensurate with their target reduction use as set by local water management policies. These policies can be further defined by various geographic parcel sizes (zip code, census block group, etc.). This is useful in that many utility users elect for automatic payment systems who may not be cognizant of their monthly water usage (especially in the context of a larger community and drought situation). The LASaves platform will also have a survey with several options for how consumers can receive more nuanced information about their water costs and consumptions. This create an opportunity for consumers to opt into a water alert system that will notify them via text when their water consumption is approaching and passing the pre-set benchmarks (similar to major cell phone providers that provide text updates regarding data limits). In collaboration with local city council members and neighborhood councils, we will also be able to gain visibility to remind constituents through council member's newsletters. We will need to continue engaging public and private entities to generate the depth and breadth of support necessary for the sustainable growth of LASaves in San Gabriel Valley and for other cities in southern California, which together comprise upwards of 20 million people. It will be important for heads of water departments and elected officials to advocate for tools to help citizens be cognizant of utility consumption. Companies such as the Civic Resource Group have constructed a framework for water usage data at a level useful for large, county-level usage. We will build on this approach to data tracking at a local neighborhood level. ! Coalition Building ! We will make contact with several California-based environmental groups, including the Sierra Club, California Urban Water Conservation Council, the Los Angeles Water Conservation Council, Green LA Coalition, and the Los Angeles River Revitalization. Driven by the environmental mission of water conservation efforts, we believe they will be supportive partners to our cause and can help facilitate ideas to citizens on how to be more conscientious of water usage reduction efforts. ! We expect local elected officials and public agencies to support for improved transparency of water agencies and increased communitarian approaches to water conservation. Sustained success and visibility with water agencies may pave the way for similar programs to !13 We will also be able to gauge consumer feedback through comments on the website and Qualtrics online surveys. These surveys will be used as a way to ensure citizens can have visibility in this initiative, to improve our service and make citizens feel more connected to the process.
  • 14. be launched in other utility agencies. Ideally, the support and participation of with multiple cities participation can lead to adoption by Los Angeles Department of Water and Power. Creating more spaces for e-governance as it pertains to administering to social needs of citizens is important for local governments, and LASaves is an excellent venue for governments to engage citizens in an online environment. ! Timeline ! ! ! Between now and July 1 2014, it will be imperative for our group to continue researching the most effective online practices and methods to engage consumers. We will also continue forging relationships with supporters and allies to gain visibility for our project. We will also continue to fundraise and assemble a development team for our website and text pushing service. ! Our campaign plan will be to launch both elements of LASaves at the beginning of July 2014, consistent with the beginning of the fiscal quarter during the summer months. As the summer months have the highest average temperatures of the year and lowest average precipitation, we may expect consumers to be more cognizant of their water consumption. At the end of each fiscal quarter, we will follow up with various water agencies to see if there had been a discernible change in consumer behavior with the advent of LASaves. Importantly, by comparing the SGV water prouder with other water agencies that did not use LASaves, we will have a quasi-experimental basis for assessing the impact of LASaves as a viable option in local- level water conservation strategies. 
 ! Funding and Budget ! LASaves is a very low-cost approach to minimize the financial costs of excessive water usage and the drought. Based on conversations with stakeholders as well as research conducted by us, initial funds will come from a combination of grants and stakeholder funding. Although we cannot claim grants at this stage, several grant initiatives are well suited to LASaves. In addition, the stakeholders have been investing heavily in trying to find ways to reduce water usage, providing the potential for additional funding. ! The budget was based on estimates utilizing research of similar projects. Costs are based pun estimates from the California Urban Water Conservation Council.  We have two programs that9 !14
  • 15. have been costed to meet the needs of out water information campaign. Part One is a pilot program, conversations with the key stakeholder, SGVMWD, indicates that we can reach approximately 12,840 homes initially. Part Two will be future project supervision, including website maintenance, inquiries, continuing education, and advertising to be expanded into the existing employee responsibilities in both the SGVMWD’s information technology and public relations department. Finding the Next Round of Funding Once we have determined the cost structure of this project, we are now able to project the amount of funding needed. Our funding strategy is centered on innovation grants from the water authorities of southern California, local municipalities, and the State of California. The additional cost per household can be offset by these grants, not contributing to the added cost of water. Population FY14 FY15 FY16 FY17 FULL SGVMWD $! 920,000 $! 956,800 $! 1,042,912 $! 1,136,774 PILOT SGVWMD $! 58,964 $! 61,323 $! 64,389 $! 68,252 !15 58000 60750 63500 66250 69000 FY14 FY15 FY16 FY17 12,000 0 300000 600000 900000 1200000 FY14 FY15 FY16 FY17 12,000 Full SGVMWD Projected Budget $560,000 annually for email and web-redesign $260,000 annually for text messaging system $100,000 initially for marketing materials TOTALS: $920,000 first year; $820,000 annual maintenance Cost Per House Hold: 4.10 = 1.30 (messaging) + 1.00 (e-mail) + .80 (Tax) +1.00 (Website) Pilot Program Projected Budget $35,952 annually for email and web-redesign $16,692 annually for text messaging system $6,420 initially for marketing materials TOTALS: $58,964 first year; $52,544
  • 16. As this is an optional program, there would be no fee associated with participation from our program. The Seed Money would account for around 8% of our total funding. Below are the list of the top possible sources for funding that our program would be eligible for in addition to the original seed funding. ! Conclusion ! The mission of LASaves is to create an online approach to information on water scarcity and water security issues. Southern California and the southwest region of the United States is facing a massive continual drought that threatens the livelihoods and safety of the regional population. LASaves is an e-governance approach to educating and communicating this critical issue to the people of southern California. Our approach is to build an online tool that can be tested in the San Gabriel Valley, just north of the City of Los Angeles. Part of this pilot is to measure the effectiveness of new innovations in the communication market space. Once outcomes have been solidified, we will move to our large-scale rollout of 200,000 people in two large water districts. By building out this new water security and information technology we are not only advancing our city, but helping conserve water for the region. This aim, is driven by the core value of the USC Price School of Public Policy, to change the world for the betterment of mankind. 
 PROGRAM  NAME SOURCE DESCRIPTION AMOUNT Community  Partnering  Program The  Metropolitan  Water  District  of   Southern  California Provides  sponsorship  of  water   conservaEon  and  water-­‐use   efficiency  programs. $2,000   InnovaEve  ConservaEon  Program The  Metropolitan  Water  District  of   Southern  California Grant  provided  for  innovaEve   approach  to  documenEng  water   savings  and  reliability  of   innovaEve  water  savings  devices. Up  to  $50,000   WaterSMART  Grant U.S.  Department  of  the  Interior  -­‐   Bureau  of  ReclamaEon Grants  are  available  to   organizaEon  with  water  or  power   delivery  authority.
 Up  to  $300,000  cost  share !16 42% 3% 47% 8% Seed Funds State Grants Water District US FundsThe Fels National Policy Competition Award would become the seed funding for the development of the project. We would see the additional 53,964 from California Grants.
  • 17. APPENDIX 1 ! Connections and Allies Thus far, have identified support from across public, private, and academic sectors. Our project has built a cross-sectoral coalition to support innovation in the water saving market space. ! Greg Curtin, Founder and Principal of Civic Resource Group. Civic Resource Group is an information technology consulting firm that created the WaterSmart Target Online Water Conservation System for San Diego County Water Authority to collect and analyze water consumption data. This system was intended to function as a way for local governments in San Diego County to track water conservation efforts. Through collaboration with the Civic Resource Group and Los Angeles city agencies, our proposal seeks to build on this idea at a local community level in the City of Los Angeles. ! Thomas Wong, Board Member for San Gabriel Valley Municipal Water District Board of Directors. Mr. Wong confirmed that utility providers are seeking new ways to engage consumers in raising conservation efforts akin to those in place for the energy industry. Energy Star ratings and other information campaigns have helped inform peer comparisons, which lead to individual behavior shift and, in aggregate, communities responding with lower water usage. Though energy utilities are typically served by large proprietary city agencies in southern California (such as LADWP in Los Angeles County), most local governments rely on public and private water utilities. Because these entities are not subject to the same rigor of oversight, they can create issues of data transparency for consumers. SGV water is beginning to implement pilot programs regarding increased information to provide consumer water use data, and sees great potential for our idea to complement their work in educating the public. ! Hilda Blanco, Interim Director of USC Center for Sustainable Cities. Professor Blanco sees parallels between our project and Cisco's UrbanEco Map program for use in San Francisco and Amsterdam. This 2009 pilot was intended to function by providing communities with relevant data and indicators regarding primary GHG contributors of transit, waste, and energy. By making this data publicly available is aimed at "fostering a sense of community connection and responsibility" to align private consumers and firms with policymakers on how to reduce GHG incites. ! Frank Zerunyan, Mayor of Rolling Hills Estate, Director of Executive Education at the USC Sol Price School of Public Policy. As a public official, Professor Zerunyan sees value in this project to help individuals become more cognizant of their water usage for the conservation of future resources. He saw connections between LASaves and previous utility management programs in the city of Rolling Hills Estate - when citizens were provided cost information about recycling vs. trash disposal, they were able to shift behaviors to be more aware of recycling. !17
  • 18. ! ! ! APPENDIX 2 ! Bibliography !18 ! California Governor Signs $687 Million Drought Relief Legislation." Reuters. Thomson1 Reuters, Web. 02 Mar. 2014. ! "California Farmers Told Not to Expect U.S. Water." The New York Times. The New York2 Times, Web. 03 Mar. 2014. ! U.S. Census Bureau: Los Angeles County, State and County QuickFacts. Data derived from3 Population Estimates, American Community Survey, Census of Population and Housing, State and County Housing Unit Estimates, County Business Patterns, Nonemployer Statistics, Economic Census, Survey of Business Owners, Building Permits  ! Water Education Foundation. (2006). Where does my Water come from?4 Baldassare, M., Bonner, D., Petek, S., Shresta, J. (2013). California’s Digital Divide. Public5 Policy Institute of California. ! Kerr, D. Smartphone ownership reaches critical mass in the U.S. CNET News Mobile, Web.6 05 Jun. 2013. Pacific Gas and Electric Company. (2009). Energy Alerts.7 ! Natural Resources Defense Council. Drought: Threats to Water and Food Security.8