Existing San Francisco Green Building and Stormwater Fee Policies and Opportunities

Green Building Code

Our Green Building code requires a 20% reduction in potable water use as well as a 50% reduction in potable water for landscaping for certain types of construction. LEED Silver requirements are kicking in for high rise residential and commercial projects. Green roof systems that are designed to capture and reuse water would have a distinct advantage if they are cost competitive with other means of achieving these goals.

Potential incentives to incorporate green roofs could be Development Bonuses, Property Assessment Equalization, and Fee Reductions

Stormwater Fee/Discount

San Francisco Public Utilities Commission implemented a new water/wastewater fee structure in 2009, which phases in adjustments and increases through 2013. At the time, the consultants working with the Rate Fairness Board recommended stormwater fees as a strategy. Follow up research needs to address where that conversation went.
The new fee structure altered some of the pricing tiers and accounted for increased costs across the system. San Francisco is unusual in that it charges for wastewater based on the water meter input, multiplied by the flow factor. There is then an additional set of charges for commercial customers, based on the amount of solids or chemicals that are treated. This system promotes water conservation from the tap, as customers are essentially charged doubly for all water coming through their meter- first for the clean water transported to their tap and second for the amount of water which flows from taps and down drains to be treated. There is a logical emphasis on water saving taps and appliances as incentives to SF water customers.
Unfortunately, this system does nothing to address the issue of stormwater and the associated cost of treating water that falls on private property and public right of way. Without a specific fee that quantifies the cost of that service, there is little financial incentive for customers to treat their stormwater onsite, through green roofs or other LID strategies.
For an example of what that fee structure might look like, Portland, OR, has created a stormwater fee and discount structure by estimating the average impervious area on a lot dependent on the number of units. All customers must pay a stormwater fee based on that impervious area, with discounts of up to 35% for customers who treat stormwater onsite- the remaining 65% is to cover the costs of treating stormwater from public right of way.
An additional hurdle in California is Prop 218, which mandates that no municipal fees (such as a stormwater fee) can be levied without voter approval; essentially a massive outreach and education campaign would be necessary to gain the support of voters.