This chapter shall not be applicable if all of the following conditions are met:
(a)
The use is limited to the private use of reclaimed water by an entity that owns a water reclamation plant.
(b)
The use is limited to the premises of a water reclamation plant or landfill owned by the entity that owns or operates the water reclamation plant.
(c)
The use is limited to dust suppression, and irrigation purposes, and
other uses on the site for which reclaimed water has been approved by the State Department of Health Services.
(d)
No existing reclaimed water facilities, whether owned or operated by a private utility or political subdivision, can reasonably and economically serve the intended use.
(e)
If reclaimed water is used on the premises of a landfill, the entity provides appropriate compensation to the private utility or political subdivision for those facilities directly used for the water services being replaced by reclaimed water service. Appropriate compensation shall not include valuations based on revenues lost by the private utility or political subdivision due to replacement of water service with reclaimed water.
(f)
This section shall apply only in Los Angeles County.