Beverly Hills Delays Vote on New Cuts in Water Use : Drought: Municipal officials say the city has already been stung by a $60,000 penalty for failure to make a 10% reduction for February.

Beverly Hills officials are struggling to come up with a plan that will keep the “Garden City” green and meet mandated cutbacks triggered by the crippling California drought.

The city’s plan to require Beverly Hills residents to cut back water consumption by up to 30% was the focus of several heated exchanges at the City Council meeting Tuesday night. And after nearly four hours of testy debate, the council decided it needed another hearing before it could pass the measure that would slap big water users with progressive penalties.

City officials are anxious to pass the rationing plan to stave off future penalties from the Metropolitan Water District. The city manager’s office announced Tuesday that the city was stung with a $60,000 penalty by MWD for failure to meet a mandated 10% cutback in water usage for the month of February. The MWD set a 30% reduction goal for March, but the current rains could change that figure to 20%, according to MWD representatives who attended the council meeting.

Under the city’s proposal, which will be discussed by the council again at 1 p.m. today, Beverly Hills residents in single-family homes would be required to reduce water consumption by 30%. Tenants in multifamily units and commercial and industrial users would face a 20% reduction.

Consumers who fail to meet the reduction goals would pay a penalty, with water rates jumping from $2 a unit to $7.50 per unit of excess use. They also would pay a 100% surcharge. Based on water usage in housing during 1989, residents will be alloted 57 units, which is 42,636 gallons, per two-month billing period. Each unit is 748 gallons.

For heavy water users, including many large estate owners north of Sunset, it could mean a 50% increase in water bills if they fail to meet conservation limits and maintain excessive water levels. For example, a homeowner using 190 water units per billing period would face a $500 water bill, compared to a current fee of $255.

“We wanted to do something that encourages conservation and doesn’t penalize users who are already conserving,” said City Manager Mark Scott. “But the main reason for not waiting (to pass mandatory cutbacks) is that we’re going to incur penalties which will have to be shared by savers and non-savers alike.”

Some city officials believe that the large estate owners north of Sunset--who consume approximately 80% of all the residential water in the city--should be pe nalized more for failing to conserve. Councilman Max Salter said that, because those homeowners consume most of the city’s water, penalizing them would make the most sense if the city is trying to conserve water.

However, Mayor Allan Alexander noted that the water plan has “nothing to do with where you are located. We don’t have a geographic demarcation here.”

But numerous residents criticized the plan for its “inequities.” They said that the recommenda tion asking for apartment building owners to foot 50% of the penalty fees for water overuse by tenants was unfair. At the same time, tenants said that those saving water in the apartment buildings should not have to share penalties incurred by tenants who waste water.

“Why should landlords pay any percentage of excessive water usage penalties by tenants,” said property owner David Leavitt. “We’re not using that water. It doesn’t make sense, and it looks like we’re going to be stuck by this council again.”

The council indicated that it might consider an ordinance that would encourage apartment building owners to install low-flow toilets and showers. If they do install them, then tenants would have to pay for any excessive water use. If landlords don’t, then they might have to pay the penalty.

“All we’re saying is that we’ve got to save water and we’re looking for the best way to do it,” said Salter in response to the many criticisms of the plan. “We’re asking you to open your eyes, open your ears and your minds and give us a break.”