HomeMy WebLinkAboutStaff Report 304-05DISCUSSION
This underground project will result in the removal of 80 poles and provide underground service
to 175 commercial and residential properties. Completion of this project will eliminate overhead
distribution lines in an area bordered by existing underground districts and will enhance
reliability of the electric distribution system while improving aesthetics.
If an underground district is created, the Utilities Department will prepare plans and
specifications and obtain bids for installation of the underground substructure construction.
Underground substructure construction consists of the installation of conduits, vaults, pads and
boxes. The Utilities Department will install the electric distribution cables, transformers and
switches upon completion of the substructure installation. After the new underground system
(cable, transformers, switches, etc.) has been tested and energized, the property owners will be
notified that they have 60 days to connect to the new underground system. Upon completion of
the new connections, Utility crews will remove the overhead power lines, and telephone crews
will complete the project by removing the remaining telephone and CATV facilities and poles.
RESOURCE IMPACT
The total cost of the project is estimated at $3,100,000. The majority of the cost will be for the
substructure installation for underground facilities ($2,170,000). The remaining money will be
utilized for engineering ($120,000), electric equipment & cables ($810,000), and removal of
overhead facilities ($250,000) .. SBC and Comcast will reimburse approximately $1,240,000 to
the City for the installation of telephone and CATV conduits and boxes in accordance with an
agreement with the three parties. Funds for the construction and installation of this project have
been budgeted in the 2005-2007 Electric Fund Capital Improvement Program.
The cost of the required service conversions on private property is to be borne by the individual
owners in accordance with Utility Rule and Regulation No.17. The total cost for the property
owners requiring service conversions from overhead to underground has been estimated at
$787,500. The property owners have been offered the option of financing their service
conversion costs over a period of ten years in accordance with the procedure given in Section
12.16.090 through 12.16.096 of the Palo Alto Municipal Code.
POLICY IMPLICATIONS
This recommendation is consistent with the Council-approved Utilities Strategic Plan to invest in
utility infrastructure to deliver reliable service. The project furthers Program L-80 (the
continuation of citywide undergrounding of utility wires) and L-81 (the use of compact and well-
designed utility elements) of the Comprehensive Plan.
TIMELINE
Upon Council approval and completion of the public hearing the following will occur as
proposed:
CMR:304:05 Page 2 of3
NOT YET APPROVED
SECTION 4. The City Council hereby finds that the adoption
of this ordinance constitutes the approval. of a project that is
categorically exempt from environmental review under the California
Environmental Quality Act.
SECTION 5. This ordinance shall become effective upon the
expiration of thirty (30) days from its passage.
INTRODUCED:
PASSED:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
ATTEST:
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
Senior Asst. City Attorney City Manager
Director of Utilities
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