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HomeMy WebLinkAbout2003-10-07 Ordinance 4804follows: ORDINANCE NO. 4804 ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO ADDING CHAPTER 12.10 TO TITLE 12 [PUBLIC WORKS AND UTILITIES] TO ESTABLISH FEES TO MITIGATE DAMAGE CAUSED BY EXCAVATION IN PUBLIC RIGHTS-OF-WAY The Council of the City of Palo Alto does ORDAIN as SECTION 1. The City Council of the City of Palo Alto (the "City") finds and determines as follows: A. The City owns and maintains over 198 miles of streets and public rights-of-way. These streets and rights-of-way are, pursuant to state and federal law as well as grant of franchise, subje9t to excavation with trench cuts for the purpose of installing, repairing and replacing subsurface facilities and utilities, such as water, sewer, gas, electric, communication, or video signal service. The City often cannot control when or where such excavation occurs. B. Experience in other cities in California including Los Angeles, Sacramento, Santa Ana and San Francisco, as well as cities in other states including the cities of: Austin, Texas i Kansas City, Missouri i Burlington, Vermont i Cincinnati, Ohio; and, Phoenix, Arizona has demonstrated that excavations in paved streets degrade and shorten the life of the surface of the streets, and this degradation increases the frequency and cost to the public of necessary resurfacing, maintenance and repair. Additionally, the Sacramento and Cincinnati studies concluded that pavement degradation occurs regardless of the quality of the workmanship in filling the excavation and restoring the pavement. C. The Department of Public Works has concluded that the foregoing studies are applicable to and valid in light of condi tions in the City of Palo Al to. The Department of Public Works has determined that even if pavement restoration in the trench itself is structurally adequate, excavations damage the strength and life of the pavement located adjacent to the trench where the excavation occurs. The potential for damage to the pavement is magnified when a street is subject to multiple excavations after the street is surfaced or resurfaced and before the next scheduled resurfacing. Additional asphalt coating is often needed to reconstruct a street if it has been subjected to excavations in order to return it to its original strength and quality. 031016 sm 0053218 1 D. The City Council has reviewed the information contained in the foregoing studies. The City Council finds and determines that this experience and information as a factual basis for this Ordinance. The City Council finds that these studies are relevant to the problems addressed by the City in enacting this Ordinance, and more specifically finds that these studies provide convincing evidence of the significant adverse unavoidable effects of excavations on the City's street system. E. Regulating excavations in City streets will help reduce disruption of and interference with public use of the streets, help prevent premature degradation, and maintain the safe condition of the streets and protects the public health, safety and welfare. This Ordinance is necessary to establish the City's authority to impose certain fees that will reduce the adverse effects that street excavations have upon the economic and useful life of streets of the City. The public health, safety and welfare of the City require the enactment of this Ordinance as a municipal affair, and as a valid and appropriate exercise of the City's police power. F. The fee imposed by this Ordinance to be paid to help offset the shortened life of the streets that are cut (the "Street Cut Fee"), provides an incentive that will encourage the minimization of excavations in city streets. The fee will also promote better coordination among those entities making excavations in City streets and between these entities and the City (i) to minimize the number of excavations being made wherever feasible, and (ii) to ensure that excavations are performed, to the maximum extent possible, in streets scheduled for resurfacing within the same or succeeding fiscal year as the excavation. G. When an excavation is performed where the Street Cut Fee is applicable, the entity making and benefiting from the excavation should be required to pay the City a fee that reimburses to the City the value of unavoidably shortened economic life of that street caused by the excavation and the City's increased costs in reconstructing the street, in addition to any other applicable fees or charges. Because the effect of the diminished life caused by excavations decreases with time, the fee should be highest for excavations in newly surfaced streets, and should decrease as the age of the street surface being excavated increases. 031016 8m 0053218 2 H. Requiring the payment of a fee for excavations not undertaken in coordination with the City's resurfacing program will provide an important incentive for utilities to coordinate their excavations with other utilities and with the City's street resurfacing schedule, to avoid excavations in these streets wherever feasible. I. of State law, 12808 of the This Ordinance does not conflict with provisions including, but not limited to, Sections 7901 and Public Utilities Code related to interstate telecommunication franchises because the fees hereunder are not charged for the same right granted by State law, but, instead, are charged to recover the costs of mitigating the degradation that the excavation causes to the pavement over and adjacent to the trench, and the increased cost to the City in reconstructing a street that has been patched following an excavation. J. Likewise, this Ordinance is consistent with the terms of existing utility franchises, because (i) a franchise is intended solely to authorize a utility's use of City streets, ways, alleys and places, (ii) franchise fees established for franchises were not intended to recover the costs of mitigating damage to the pavement over or adjacent to the trench; nor was this damage known to the City when fees for the City's existing franchises were established, (iii) the City does not use, nor is it required to use, franchise fee revenue to pay for street surfacing, resurfacing and/or reconstruction, (iv) franchises are subject to ordinances and regulations subsequently enacted by the City in the exercise of its police power, and (v) the fee authorized by this Ordinance is not related to the quality of workmanship of the repair of the street following its excavation, but instead relate to the shortening of the effective life of a street and the increased cost in reconstruction that is inherent in any excavation. K. This Ordinance is in conformance with Section 253(C) of the Federal Telecommunications Act of 1996 which expressly recognizes the authority of local governments to impose reasonable nondiscriminatory fees upon telecommunications providers using the public right-of-way, as well as California Government Code 50030 which specifically authorizes the imposition of a permit fee that do not exceed the reasonable costs of providing the service for which the fee is charged. SECTION 2. Chapter 12.10 is hereby added to Title 12 [Public Works and Utilities] to read as follows: 031016 8m 0053218 3 031016smOO53218 Section 12.10.010. Purpose of Street Cut Fee. Excavations in paved streets owned and maintained· by the City degrade and shorten the life of the surface of the streets, and this degradation increases the frequency and cost to the public of necessary resurfacing, maintenance, and repair. It is appropriate that entities responsible for excavating into the City's rights-of-way bear this burden rather than the taxpayers of the City. In addition, establishment of a Street Cut Fee will create an incentive for coordination of efforts in excavating the streets to install, repair and replace subsurface facilities and utilities. Section 12.10.020. Establishment of Street Cut Fee. No person shall excavate in the public right-of-way without, in addition to all other requirements of this Code, having first paid to the City a "Street Cut Fee." The amount of this Street Cut Fee shall be set from time to time by resolution, and shall not exceed the reasonable cost necessary to mitigate the degradation to the public streets caused by such excavation. Funds collected as Street Cut Fees shall only be expended for the rehabilitation and resurfacing of the public right-of-way. Section 12.10.030. Variance From Payment Of Street CUt Fee. Any person subject to the Street Cut Fee may request that the Director of Public Works or designee waive the requirement of payment of the Street Cut Fee due to individual circumstances that demonstrate, on a case-by-case basis, that the amount of the fee is not reasonably related to the projected impact of the proposed excavation. Section 12.10.040. Exceptions. (a) Excavations in streets scheduled within one (l) year of the date specified in the Notice to Proceed for City's annual street maintenance program capital improvement project shall be exempt from the Street Cut Fee. The Department of Public Works shall endeavor to notify public utilities of streets so scheduled. (b) No Street Cut Fee shall be charged for underground utility district projects, utility line relocations necessitated by City-funded street work projects or by street vacations or abandonments. 4 031016 sm 0053218 (c) No Street Cut Fee shall be charged with respect to excavation in a sidewalk, driveway, curb, and gutter. (d) No Street Cut Fee shall be charged for emergency work as defined as causing an imminent risk to public health and safety. Section 12.10.050. Utility Kaster Plans. Any utility owning, operating or installing in City streets, alleys, sidewalks, or 'any other public places facilities providing water, sewer, gas, electric, communication, video or other utility services, shall prepare and submit to the Public Works Director a utility master plan, in a format specified by the Director, that shows the location of the utility's existing facilities in City streets, alleys, sidewalks, and other public places, and shows all of the utility's planned major utility work in City streets, alleys, sidewalks and other public places for the next five years. Utilities shall submit an initial utility master plan no later than one hundred eighty (180) days after the effective date of the ordinance adopting this section. Thereafter, each utility shall submit annually a revised and updated utility master plan. As used in this subsection, the term "planned major utility works" refers to any and all future excavations planned by the utility when the utility master plan or update is submitted that will affect any City street, alley, sidewalk, or other public place for more than a total of fifteen (15) days, provided that the utility shall not be required to show future excavations planned to occur more than five (5) years after the date that the utility master plan or update is submitted. Any and all utility master plans submitted pursuant to this section shall be confidential to the fullest extent provided by law and used solely for purposes of coordination. Section 12.10.060. Coordination with City. Before applying for a "Permi t for construction in the Public Street" in the City's streets, alleys, sidewalks or other public places the City shall review on behalf of the applicant the utility master plans and the City's five year repaving plan on file with the director. The applicant shall coordinate, to the extent practicable, with the utility and street work shown on 5 such plans to minimize damage to, and avoid undue disruption and interference with the public use of such streets, alleys, sidewalks or other public places. Such coordination shall include: (i) Whenever two or more parties (i.e., the City or any utility) have proposed a major excavation in the same block during a five year period, they shall meet and confer with the City regarding whether it is feasible to conduct a joint operation. If the Director determines that it is feasible to conduct a joint operation, a single contractor shall be selected and a single application fee charged. (ii) Any utility aggrieved by the Director's decision to require a joint operation may, within thirty (30) days of the Director's written notice, file an appeal pursuant to Chapter 3 of this Code. In determining such appeal, the hearing officer or Council shall consider the impact of the proposed excavation on the neighborhood, the applicant I sneed to provide services to a property or area, facilitating the deployment of new technology as directed pursuant to official City policy, and the public health, safety, welfare, and convenience. To avoid future excavations and to reduce the number of street excavations, telecommunication companies shall be requested, when practical, to install spare conduits. SECTION 3. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council of the City of Palo Alto hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase or portion thereof irrespective of the fact that anyone or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional. SECTION 4. The Council finds that this is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. II 031016 smOO53218 6 SECTION 5. This ordinance shall be effective on the thirty-first day after the date of its adoption. INTRODUCED: September 15, 2003 PASSED: October 7, 2003 AYES: BEECHAM, BURCH, FREEMAN, KISHIMOTO, KLEINBERG, LYTLE, MORTON, MOSSAR, OJAKIAN NOES: ABSENT: ABSTENTIONS: AT~~.(a City Clerk ~ APPROVED AS TO FORM: In Vt:.k $::=!U,~ )/.uk,Wk- Cit Attorney 031016 sm 0053218 7