AGENDA BILL. Subject: Approve the formation of Undergrounding Utility District for the Main Street/Highway 203 Undergrounding Project

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1 AGEDA BILL Agenda Item July 24, 2013 File o. O~3 ~o~- ~a Subject: Approve the formation of Undergrounding Utility District for the Main Street/Highway 203 Undergrounding Project Initiated by: Peter Bernasconi, Senior Associate Civil Engineer Jen Daugherty, Associate Planner BACKGROUD On May 1, 2013, the Town Council directed staff to request a Rule 20A allocation loan from Mono County for the Main Street/Highway 203 Undergrounding Project ( Project ). On May 7, 2013, the Mono County Board of Supervisors authorized the County Administrative Officer to enter into an agreement with the Town to loan the County s Rule 20A allocation to the Town for the Project, and on May 19, 2013, the Town Council authorized the Town Manager to enter into this agreement. The agreement has been executed. The purpose of this agenda bill is to allow the Council to approve the formation of Undergrounding Utility District , which allows the Town to utilize Rule 20A allocations for the Project. Main Street/Highway 203 Undergrounding Project The Main Street/Highway 203 Undergrounding Project ( Project ) consists of undergrounding approximately 1,200 feet of overhead power lines along the north right-of-way of Main Street/State Route 203 from Mountain Boulevard west towards Viewpoint Road. Please see Attachment 3 for an exhibit depicting the Project. This Project is considered to be the Town s highest priority undergroundmg project because of the heavy concentration and prominence of power poles and lines along the town s main thoroughfare. Furthermore, the Project will improve public safety and service reliability by reducing the potential of downed power lines caused by earthquakes, high winds, heavy snowfall and accidents. Unfortunately, there will be three to five poles that will 1 This length does not include the road crossings and overhead utilities on the south side of Main Street/Highway 203 that would also be included in this Project as required by SCE.

2 remain to the west of the Project area because of the limited amount of Rule 20A available. AALYSIS/DISCUSSIO To utilize Rule 20A allocations for undergrounding utilities, an undergrounding district must be established pursuant to the required PUC findings. The Project meets the required findings, including that there is an unusually heavy concentration of overhead lines in the area and the area is extensively used by the general public. The attached ordinance would form Undergrounding Utility District for the Project. After the District is formed, SCE will proceed with design. The target start date for the Project is May 2015 and target completion date is December OPTIOS AALYSIS Option 1: Waive the first reading and adopt by title only the attached ordinance approving the formation of Undergrounding Utility District Option 2: Do not approve the formation of Undergrounding Utility District Option 1 would allow the undergrounding district to be established, which will allow the Rule 20A process to proceed with SeE. Project construction is anticipated to start in May Option 2 would not allow the undergrounding district to be established, and would not allow the Town to use Rule 20A allocations for the Project. Alternative funding would need to be identified to fund and construct the Main Street/Highway 203 undergrounding project or the Project would be abandoned at this time. VISIO COSIDERATIOS The Project is consistent with the Town s Vision of being a premier yearround resort community and exceptional standards for design and development that complement and are appropriate to the village in the trees and mountain setting. The Project also implements General Plan Policy C.3.F: utilities within the community. Underground FIACIAL CO IDERATIOS Staff time associated with the Project is funded by the property owner and developer of the Mammoth View Project. The property owner has

3 provided a $70,000 deposit to fund SCE s preliminary design and engineering work for the Project. The property owner will also pay for the undergroundmg the utilities approximately 600 feet west of the Rule 20A Project to Mountain Boulevard through Rule 20B/C. The use of Rule 20A funds, including mortgaging up to five years and then reimbursing the County for the loan, will utilize the Town s allocation until approximately The Town will start accumulating Rule 20A allocations again after the mortgage is amortized and County loan, if approved, is reimbursed. o General Funds are proposed to be used for this undergrounding project. STAFFIG COSIDERATIOS The Community and Economic Development and Public Works staff time for this undergrounding project has been included in both Departments Work Programs. EVIROMETAL COSIDERATIOS The undergrounding of utilities is Categorically Exempt from CEQA under 15302(d), Replacement or Reconstruction. LEGAL COSIDERATIOS The other overhead utilities that are located on these SCE poles, Verizon and Suddenlink, have been notified and determined that their lines/cables can be abandoned. These utilities will be removing their lines/cables before the Rule 20A undergrounding work begins. RECOMMEDATIO Therefore, staff recommends that the Town Council choose Option 1 and waive the first reading and adopt by title only the attached ordinance approving the formation of Undergrounding Utility District Attachments 1. Ordinance establishing Undergrounding Utility District Main St/Highway 203 Undergrounding Project Exhibit

4 ORDIACE O. 13- A ORDIACE OF THE TOW COUCIL OF THE TOW OF MAMMOTH LAKES, COUTY OF MOO, STATE OF CALIFORIA CREATIG UDERGROUDIG UTILITY DISTRICT O WHEREAS, in the later part of 1967 the California Public Utilities Commission decided Case o which established a program (commonly referred to as an Undergrounding Program); and WHEREAS, Southern California Edison ( SCE ), through implementation of California Public Utilities Commission Rule 20A, makes allocations to cities and counties that may be applied to qualifying utility undergrounding projects; and WHEREAS, the Town of Mammoth Lakes ( Town ) is the largest community in Mono County, and has identified its highest priority undergrounding project, consisting of approximately 1,200 feet of 12KV and 33KV power lines owned by Southern California Edison located along Main Street/Highway 203; and WHEREAS, this section of Highway 203, which serves as both the Main Street for the Town of Mammoth Lakes and a gateway to Devils Postpile ational Monument, Mammoth Mountain Ski Area, and the Lakes Basin Recreation Area, meets all project requirements to qualify for Rule 20A funds, including establishment of an underground utility district to prevent further overhead lines in the area; and WHEREAS, on July 17, 2013, the Town Council of the Town of Mammoth Lakes, California, met at 6:00 p.m. in the Town Council Chambers/Suite Z, 437 Old Mammoth Road, Mammoth Lakes, California, to determine whether the public necessity, health, safety or welfare requires the removal of poles, overhead wires, and associated overhead structures and the underground installation of wires and facilities for supplying electric, communication or similar associated services on those streets, easements and rights-of-way within that territory included generally along the north side of Main Street/Highway 203, as shown on Exhibit A, attached hereto and incorporated herein by reference; and WHEREAS, notice of such public hearing has been given to all utilities concerned in the matter and property owners affected by the District for the time required by law; and WHEREAS, such public hearing has been duly and regularly held and all persons interested have been given an opportunity to be heard; and

5 ORDIACE UMBER 13- Page 2 OW, THEREFORE, THE TOW COUCIL OF THE TOW OF MAMMOTH LAKES, CALIFORIA, DOES HEREBY ORDAI AS FOLLOWS: Section 1. Recitals. The above recitals are all true and correct. Section 2. Environmental Review. The undergrounding of utilities is Categorically Exempt from CEQA under 15302(d), Replacement or Reconstruction. Section 3. Findings. The Town Council HEREBY FIDS AD DETERMIES based on the information presented herewith: A. The undergrounding of utilities within Undergrounding Utility District o depicted in Exhibit A is in the general public interest because the location has an unusually heavy concentration of aerial facilities, is extensively used by the general public, and carries a heavy volume of pedestrian and vehicular traffic. Furthermore, the territory is located within the scenic area of Mammoth Lakes, and Main Street/Highway 203 connects to areas of unusual scenic interest, including Devil s Postpile ational Monument, Mammoth Mountain Ski Area, and the Lakes Basin Recreation Area. B. The public necessity, health, safety and welfare require the removal of poles, overhead wires, and associated overhead structures and the underground installation of wires and facilities for supplying electric, communication or similar associated services in that territory as shown on Exhibit A. C. The utility undergrounding district implements General Plan Policy C.3.F: Underground utilities within the community. Section 4. Approval. Based on the findings contained in this Ordinance and all other evidence in the record of proceedings in this matter, the Town Council hereby approves Undergrounding Utility District o , as shown in attached Exhibit A, which is incorporated herein by this reference, as follows: 1. Six hundred (600) feet along the north side of Main Street/Highway 203 to the street centerline, as shown on Exhibit A, attached hereto and incorporated herein by reference, is hereby established as Undergrounding Utility District o Pursuant to Southern California Edison s ( SCE ) Rule 20 Tariff, Rule 20A funds will be used for the installation of no more than 100 feet of each customer s underground electric service lateral on private property, as well as the conversion of affected property owners meter panels from overhead to underground service. The cost of such meter conversions 5

6 ORDIACE UMBER 13- Page 3 using Rule 20A funds shall be limited to existing meters, and shall not include permit fees and any upgrades requested by affected property owners. 3. All other affected utilities are responsible for their own underground installation costs and shall underground their overhead facilities pursuant to their respective tariffs and franchise agreements. 4. Property owners shall grant each utility the necessary easement or land rights when it is necessary by the utilities to place their facilities on private property to complete the occasioned undergrounding. 5. Each property served from such electric overhead facilities shall have installed in accordance with SCE s rules for underground service, all electrical facility changes on the premises necessary to receive service from the underground facilities of SCE as soon as it is available. 6. It is ordered that by December 31, 2017, all the electric, communication and similar or associated service overhead distribution facilities shall be removed from Undergrounding Utility District o , and the underground installation of such distribution facilities shall have been accomplished in said district. Funding for the underground installation of 600 linear feet of SCE overhead utilities and appurtenant facilities will be covered by the Town s Rule 20A funds and Rule 20A funds loaned to the Town by Mono County. Other utilities are responsible for their specific underground installation costs. 7. All future electric and communication facilities shall be placed underground within Undergrounding Utility District o SCE is authorized to discontinue its overhead service within Undergrounding Utility District o The Town Clerk, within ten (10) days after the adoption of this Resolution, shall mail a copy hereof to all affected utility companies and property owners. Section 5. Severability. If any section, subsection, subdivision, paragraph, sentence, clause or phrase in this Ordinance, or any part thereof, is held invalid or unconstitutional, then such decision shall not affect the validity of the remaining sections or portions of this Ordinance or part thereof. The Town Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance irrespective of the fact that any one or more sections, subdivisions, paragraphs, sentences, clauses or phrases may be declared invalid or unconstitutional. (p

7 ORDIACE UMBER 13- Page 4 Section 6. Effective Date. The Mayor shall sign and the Town Clerk shall certify passage and adoption of this Ordinance, and shall cause the same to be published and posted pursuant to the provisions of law in this regard, and this Ordinance shall take effect thirty days after its final passage. ADOPTED, SIGED and APPROVED this 17th day of July, 2013 ATTEST: Matthew Lehman, Mayor Jamie Gray, Town Clerk

8 ORDIACE UMBER 13- Page 5 Exhibit A [Undergrounding Utility District

9 ~ SCALE 1 = 60 UDERGROUDIG UTILITY DISTRICT TOW OF MAMMOTH LAKES COUTY OF MOO STATE OF CALIFORIA UDERGROUDIG DISTRICT BOUDARY=080 AC± SHEET 1 OF 1 FILED I OlE OFFICE OF THE TOW CLERK OF THE TOW OF MAMMOTH LAKES. THIS SAY OF RAY JARAIS DIRECTOR OF PUBLIC WORKS HEREBY CERTiFY THAT THE MTHI MAP SHOWIO THE PROPOSED BOURDARIES OF UDERGROUDID DISTRICT 2013 SI I THE TOW OF MAMMOTH LAKES. COUTY OF MOO. STATE OF CALIFORIA. WAS APPROVED BY THE TOW COUCIL OF THE TOW SF MAMMOTH LAKES AT A REGULAR MEE11G ThEREOF. HELD O THIS DAY OF, BY ITS ORDIACE O. JAMIE GRAY TOW CLERK. TOW OF MAMMOTH LAKES FILED THIS DAY OF AT THE HOUR OF O CLOCK J.l, I BOOK OF MAPS OF ASSESSMET AD COMMUITY FACILITIES DISTRICTS AT PACE AD AS ISTRUMET O. I THE OFFICE OF THE COUTY RECORDER MOO COUTY. STATE OF CALIFORIA BY: COUTY RECORDER OF MOO COUTY IL - _L _.f~ ~rç J I - ~~~~~~~1 (MAI STREET~ ~2l797~lE ~2:: RULE 2OA I OTE: THERE ARE TWO OVERHEAD CROSSIGS OVER THE HIGHWAY WITHI THE RULE 20A BOUDARY WHICH WILL BE REMOVED. GRAPHIC I I FEET I I B It SCALE

10 SCALE: 1 = O MAI ST/HWY 203 UDERGROUDIG TOW OF MAMMOTH LAKES COUTY OF MOO STATE OF CALIFORIA UDEROROUDIG DISTRICT BOUDARY=7.40 PROJECT AC ± SHEET 1 OF 1 LEGED PROPOSED OVERHEAD TO USDEROHOUD COVERSIO PER RULE 20R FUDIG FROM MOO COUTT / TOR OF MAMMOTH LAES PROPOSED OVERHEAD TO UDEROROUD COVERSIO PER RULE 208/2DE FUDIG FROM SCE / MAMMOTH V1ER ppiilf CiRat % IMI4U4RF MAMMOTH VIEW ~PROJECT BOUDARY EW UVY=~f A RULE C RULE 20A I I 2RS4IRIE 2I7973.E~\~ 4 50VR~ RRR JRE 4R6463R9 HWY 203 (JOUR SIWEET) 4RRRU j _ E 2 GRAPHIC SCAL I I FEES I 24~5~5477 OSSO(IO&S I IS HOLIDAY CHUTES EMP YES HOELIDVG I. MAMMOTH GATEWAY VILLAGE OTE. PORER POLES OUTSIDE OF THE RULE 2OA WOUOART HLL RE UDEROROUDED USIG RULES 206 AD 2DC 4EVISTIO UDERGROUD POWER LIES

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