Was recently at the Lost Coast for a hike and on the way there several of the smaller lakes and rivers were mere rock beds. From what i've heard from friends in LA, shops still 'water the side-walk' as they call it.
Joking aside, it does feel like people are trying to make a difference and conserve.
In some cities, not watering your lawn may get you a fine too: http://www.latimes.com/opinion/editorials/la-ed-brown-lawns-...
http://www.bayfriendlycoalition.org/LYL-rebates.shtml
And the program most relevant to your current question:
http://www.valleywater.org/Programs/LandscapeRebateProgram.a...