To the members of the:
CITY COUNCIL
Date~CA vCC V-
CM~ ACM ✓o c M (3) ~
August 15, 2024
To:
Council Memorandum
rs of the City Council
From: Paz Gomez, Deputy City Manager Works
Via:
/Q...-1+-il-tT'-
G e off Patnoe, Acting City Manag r
{city of
Carlsbad
Memo ID# 2024061
Re: Valley and Magnol ia Complete S s - Future Improvement Agreements (District 1) This memorandum provides an update to a Council Memorandum dated February 29, 2024 (Attachmen t A), about street improvements on Valley Street, between Chestnut Avenue and Magnolia Avenue, a portion of Brady Circle and a portion of Magnolia Avenue as part of t he Valley and Magnolia Complete Streets Project, Capit al Improvement Program Project Nos. 6019 and 3904 (Project).
Background
The Project's planned improvements include new sidewalks, curbs, gutters and new street lighting. This memorandum specifically discusses seven future improvement agreements, or FIAs, that were recorded against nine properties in the Project area. The FIAs require the homeowner(s) to pay for certain previously agreed upon improvements to the street and sidewalk in front of their property, consistent with the requirements in the FIA that was recorded against their property primarily in the 1970s, though one was recorded as recently as 2000.
Discussion
There are seven FIAs on nine parcels in the Project area that will require the owners of the properties on Valley Street and Magnolia Avenue to pay for improvements to the street and sidewalk in front of their properties. When these properties were first subdivided or improved, the city allowed the property owners to defer paying street improvement fees by entering into FIAs for improvements in the public right of way. This means that when the properties were first built, the property owners at the time opted to defer street improvement fees to a future date and the FIAs were recorded against the titles of the properties.
The seven FIAs, as shown in Attachment B, are associated with the following parcels:
• 77-307353; for APN 2052202600
• 79-485552; for APN 2052303500
• 79-485553; for APN 2052303600
• 2000-0646540; for APN 2052207600
• 82-260058;forAPNs2052209600,2052209700,2052209800
• 73-002190; for APN 2052302100
Public Wor ks Branch
Transportat ion Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo - Valley and Magnolia Complete Streets - Future Improvement Agreements August 15, 2024
• 1991-0515450; for APN 2052301600
Once the Project design is complete, the city will be able to provide the affected property owners with a cost estimate for their share of the street improvement costs, in accordance with the specific improvements that are listed in their FIAs.
The property owners will have the following three options:
1. Hire a contractor to construct the improvements in accordance with the approved improvements plan and Project timeline.
2. Pay for the actual cost of the frontage improvements after the city has completed construction of the improvements and has sent an invoice.
3. Defer the payment until such time as the property owner either sells or refinances the property. To utilize this option, the property owner will be required to sign a Grant of Lien for the amount owed, which will be recorded against the property.
The city intends to send out letters to the property owners with FIAs recorded against their property within the Project area after issuance of this memorandum.
If the property owners do not elect one of the above three options, and instead take the position that the FIA is not enforceable, the FIA provides the city the right to take legal action to collect its fair share of the construction costs, including the ability to collect reasonable attorney's fees.
Next Steps
San Diego Gas & Electric (SDGE) is currently in construction with trenching, conduit placement and installation of the cable construction associated with the utility undergrounding work. The work is expected to be completed by late August 2024, before the school year starts. Cabling connections and overhead removal of service work will be less impactful to the community and will occur in late 2024/early 2025.
Design of the complete streets project is expected to be completed by early to mid-2025 and will be brought t o the City Council for approval of plans and bid documents and authorization to bid.
Construction of the complete streets project is expected to begin in June 2025 and to be completed by end of summer 2025.
Attachments: A. Council Memorandum dated February 29, 2024 B. Future Improvement Agreements Map
cc: Scott Chadwick, City Manager
Cindie McMahon, City Attorney
Gary Barberio, Deputy City Manager, Community Services
Laura Rocha, Deputy City Manager, Administrative Services Council Memo - Valley and Magnoli a Complete Streets - Future Improvemen t Agreement s August 15, 2024
Michael Calderwood, Fire Chief
Christie Calderwood, Police Chief
Gina Herrera, Assistant City Attorney
Tom Frank, Transportation Director/City Engineer
Jason Haber, Intergovernmental Affairs Director
Zach Korach, Finance Director
Jeff Murphy, Community Development Director
Kristina Ray, Communication & Engagement Director
Mike Strong, Assistant Director of Community Development Hossein Ajideh, Engineering Manager
Emily Hasegawa, Engineering Manager
John Kim, City Traffic Engineer
Eric Lardy, City Planner
Nathan Schmidt, Transportation Planning and Mobility Manager Eric Zielke, Senior Engineer
To the members of the:
CllY' COUNCIL
Dat:8l2~etf-c:A v cc ✓
CM A C ~DC M (3) ✓
Council Memorandu m
February 29, 2024
To:
From:
Honorable Mayor Blackburn and Members of the City Council Paz Gomez, Deputy City Manager, Public Works
Via: Geoff Patnoe, Acting City Manager @f_
{city of
Carlsbad
Memo ID# 202401 7
Re: Valley and Magno lia Complete Streets: San Diego Gas & Electric Underground ing Update (District 1)
This memorandum provides an update to a previous Council Memorandum dated June 8, 2023, Attachment A, on a project to underground ut ilities on Valley Street, between Chestnut Avenue and Magnolia Avenue, a portion of Brady Circle and a portion of Magnolia Avenue as part of the Valley and Magnolia Complete Streets Project, Capital Improvement Program Project Nos. 6019 and 3904 (Project.)
Background
The planned improvements in the Project include sidewalks, curbs, gutters and new street lighting. This memorandum provides information about three properties in the Project area that will require electrical panel upgrades, which the city previously committed to reimbursing the residents for their costs.
Resolution No. 2015-280 dated November 17, 2015, is provided as Attachment B, which includes details about declaring Underground Utility District No. 20.
Discussion
In 1988, the City Council established Council Policy No. 41- Policy on Undergrounding Overhead Utilities. The policy provides the city's guidelines for selecting and prioritizing underground projects, consistent with Electric Tariff Rule 201. Electric Tariff Rule 20 specifies the conditions under which new customer facilities must be built underground and the instances where overhead extensions may be permitted.
1 The California Public Utilities Commission (CPUC) adopted and oversees an Overhead Conversion Program known as Electric Tariff Rule 20. Traditionally , the program has allowed cities to identify areas for undergrounding and depending on the project, the investor-owned utility (in this case, San Diego Gas & Electric) may fund some, all or none of the costs. Projects are divided into four subgroups - Rule 20A through Rule 20D -which provide diminishing levels of ratepayer contribution to projects . The Rule 20A funding for this project is approximately $1,730,000. As of December 31, 2022, the Rule 20 program has been discontinued, and no new Rule 20 funding is available.
Public Works Branch
Transportat ion Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo -Valley & Magnolia Complete Streets: SDGE Undergrounding Update (District 1) February 29, 2024
In 2015, the City Council formed Underground Utility District No. 20 on Valley Street, between Chestnut Avenue and Magnolia Avenue, with Resolution No. 2015-280 (Attachment B) to move overhead utility lines to an underground system, in accordance with Carlsbad Municipal Code Chapter 11.08 - Underground Utility Districts.
The boundaries of Underground Utility District No. 20, include the following:
• Valley Street between Chestnut Avenue and Magnolia Avenue • Portions of Magnolia Avenue approximately 500 feet east of Valley Street and 110 feet to the west
• Brady Circle from the intersection of Valley Street to approximately 150 feet west Process of undergrounding utilities
The utility companies that convey electrical and telecommunication lines along this segment, and are involved in this project, are San Diego Gas & Electric (SDGE), AT&T and Spectrum Charter Communications. The undergrounding work will be completed by an SDGE contractor and will consist of:
• Digging a trench about 5 feet deep and 2.5 feet wide along the public right-of-way • Installing conduit, cable and substructures, along with aboveground facilities, such as electrical transformer boxes and telecommunication equipment pedestals • Removing existing overhead utility lines and poles
• Upgrading utility poles or installing new ones at the boundaries of the project as needed for the transition to the new underground system
• Relocating an SDGE gas main line and service lines beneath Magnolia Avenue east of Valley Street
Individual customer connections will be made laterally, underground from the main line in the right-of-way, to install conduit and cable. The surface condition will be restored to pre-existing conditions when the work is completed.
•
Dig trenches and
place conduit
•
Install new cables &
utility equipment
Public Works Branch
Transportation Department
•
Switch service to
underground system
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t •
Remove overhead
poles
Council Memo - Valley & Magnolia Complete Streets : SDGE Undergrounding Update (District 1) February 29, 2024
Electrical panel upgrades
The city's Building Division in the Community Development Department conducted electrical panel inspections of all residences included in Underground Utility District No. 20. The inspections identified three properties that will require electrical service panel upgrades to connect to the new underground system. The property owners of the three impacted properties have received several notifications about the Project and the need for upgrades, primarily by mail.
Resolution No. 2015-280 (Attachment B) provides that "no expense shall be incurred by the property owner unless an increase in panel size is requested by them." As such, the city will furnish all labor, materials, equipment and incidentals necessary to replace the three needed electrical panels. The City Council also waived permit fees associated with the property conversions.
Staff have developed the following reimbursement program for electrical service upgrades:
• The city, along with SDGE, will provide reimbursement to upgrade the three properties' electrical panels to comply with undergrounding conversion needs. SDGE will fund $1,500 toward upgrade costs. The residents are responsible for any costs beyond the city's contribution, which will be limited to only the work that is necessary to bring the panels into compliance with current electrical standards.
• The electrical panel upgrade work must be performed by a California C-10 licensed/registered electrical contractor and permitted by the City of Carlsbad. • The electrical panel upgrades must be completed in a timely manner, and residents will be notified of any deadlines. If not completed on time, resident(s) will be precluded from seeking reimbursement from the city.
The electrical panel upgrade is a critical aspect of the Project because the upgrades must be completed before SDGE can complete its undergrounding connection, which is anticipated to occur in the fall/winter 2024.
The approval process for the city's reimbursement program is as follows:
•
•
•
The property owner must apply to the city for pre-approval by submitting an itemized work proposal by a licensed contractor. The city will have up to 45 days to review and provide pre-approval for the total eligible cost of reimbursement.
Prior to completion of the city-permitted work, a final inspection must be performed by the city's Building Inspector. The applicant/property owner and/or contractor must inform the city's Building Inspector before the panel upgrade work starts and subsequently schedule an inspection after the work is complete.
Upon completion of the panel upgrade work and final approval from the city's Building Inspector, the applicant/property owner shall submit a final invoice to the city. The city has up to 45 days to review and remit payment. Invoices must be itemized and consistent with the work proposal that was pre-approved by the city .
Public Works Branch
Transportation Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo - Valley & Magnolia Complete Streets: SDGE Undergrounding Update (District 1) February 29, 2024
This undergrounding project is partially funded by the California Public Utilities Commission Rule 20A funding program. The city has accumulated $1,729,513 through this program and will receive a work credit in this amount when the project moves to construction. However, SDGE's construction cost estimate is more than what is available in the city's Rule 20A work credit allocation fund, so the remaining balance needs to be paid by funds allocated for the Project.
The total anticipated costs for the three electrical service panel upgrades are not expected to exceed $10,000. These costs are in addition to the undergrounding cost estimate that is pending from SDGE. On November 7, 2022, the City Planner determined that both the undergrounding work and the compl~te streets project are exempt from the California Environmental Quality Act.
Complete Streets Project
In parallel, design of the Valley and Magnolia Complete Streets Project is progressing. It will include necessary improvements such as new sidewalks, curbs and gutter, Americans with Disabilities Act (ADA)-compliant pedestrian curb ramps, additional street lighting and improved conditions for bicyclists. The complete streets work is progressing under an agreement with consultant, BHA, Inc., which the City Council approved in the amount of $153,060 on November 28, 2023. Staff are coordinating with property owners on the proposed design options and soliciting feedback.
Next Step s
City staff are coordinating with SDGE and evaluating options for the undergrounding work to proceed in June 2024, which will occur over the summer school break to minimize construction impacts to the school community. SDGE recently re -advertised the undergrounding work for construction bids, and staff expect to receive a new cost estimate for the undergrounding work from SDGE by late March 2024. Staff plan to present a new agreement with SDGE, including revised costs, to the City Council for authorization and possibly additional appropriation in April 2024.
If approved, the undergrounding construction schedule will begin in June 2024. Trenching, conduit placement (civil work) and installation of the cable construction associated with the undergrounding will be completed by mid- to late-August 2024 before the school year starts.
Cabling connections and overhead removal of service will be less impactful to the community and will occur in winter 2024 including early 2025.
Design of the complete streets portion of the project is expected to be completed by early 2025.
Attachments: A. Council Memorandum dated June 8, 2023
B. Resolution No. 2015-280 dated November 17, 2015
Public Works Branch
Transportation Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo - Valley & Magnolia Complete Streets: SDGE Undergrounding Update (Dist rict 1) February 29, 2024
cc: Scott Chadwick, City Manager
Cindie McMahon, City Attorney
Gary Barberio, Deputy City Manager, Community Services
Laura Rocha, Deputy City Manager, Administrative Services Michael Calderwood, Fire Chief
Mickey Williams, Police Chief
Gina Herrera, Assistant City Attorney
Tom Frank, Transportation Director/City Engineer
Jason Haber, Intergovernmental Affairs Director
Zach Korach, Finance Director
Jeff Murphy, Community Development Director
Kristina Ray, Communication & Engagement Director
Mike Strong, Assistant Director of Community Development Hossein Ajideh, Engineering Manager
Emily Hasegawa, Engineering Manager
John Kim, City Traffic Engineer
Eric Lardy, City Planner
Nathan Schmidt, Transportation Planning and Mobility Manager Eric Zielke, Senior Engineer
Public Works Branch
Transportation Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t To the members of the:
CITY COUNCIL
oatj/ 0l23 CA JL.. tc ✓
CM _ ACM-1(DC M (3) ✓
June 8, 2023
ATTACHMENT A
Council Memorandum
To:
From:
Honorable Mayor Blackburn and Members of the City Council Paz Gomez, Deputy City Manager, Public Works
Via:
{city of
Carlsbad
Memo ID# 2023056
Re:
Geoff Patnoe, Assistant City Manage~
Valley Street and Magnolia Avenue Sa; :Diego Gas & Electric Utility Undergrounding Update (District 1)
This memorandum provides an update to a previous City Council Staff Report dated January 24, 2023, and Council Memorandum dated July 21, 2022 (Attachments A and B) on the Valley and Magnolia Complete Streets Project, Capital Improvement Program (CIP), Project Nos. 6019 and .3904 {Project), which includes utility undergrounding.
Background
The Council Memorandum dated July 21, 2022, provided background informa tion on the Project .
Additionally, the City Council Staff Report dated January 24, 2023, provided information on the agreement with San Diego Gas & Electric (SDGE) to perform aerial-to -underground conversion of overhead utilities on Valley Street and Magnolia Avenue.
Discussion
The City Council executed an agreement under which SDGE would move electrical and t elecommunication lines from overhead to underground on parts of Valley Street and Magnolia Avenue and a portion of Brady Circle. The City Council authorized the City Manager to execute the agreement with SDGE for an estimated amount of $2,844,592. The City Council also authorized the City Manager or designee to approve change orde rs in an amount equal to the contingency, which for the Project was $568,918.
The Project is partially funded by the California Public Utilities Commission Rule 20A funding program. The city accumulated $1,729,513 through this program and will receive a work credit in this amount when the Project moves to construction .
SDGE's construction cost estimate for the entire undergrounding work was $3,413,510, including a construction contingency amount of $568,918, as of January 2023. SDGE's construction cost estimate did not include the city's construction management and inspection cost of $230,000.
The total estimate is more than what is available in the city's Rule 20A work credit allocation fund, so the remaining balance is to be paid by the funds set aside for the Valley and Magnolia Complete Streets Project, CIP No. 6019.
Public Wor ks Branch
Transportat ion Department
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo - Valley St. and Magnolia Ave. SDGE Utility Undergrounding Update (District 1) June 8, 2023
After SDGE advertised the undergrounding work for construction bids earlier this year and based on the lowest bid received, SDGE provided the city with an updated cost estimate of $5,125,557, which was approximately 50% higher than the original estimate. City staff requested additional information to identify potential options for how to proceed. Unfortunately, this means SDGE will not be able to start construction this summer as planned.
The intent of the undergrounding construction schedule was to begin in June 2023, during the summer break for the schools in the project area, to minimize construction impacts to the community. Trench and conduit construction associated with the undergrounding work was to be completed by mid-August 2023 before the 2023-24 school year starts. However, staff cannot move forward with the undergrounding work because SDGE's updated cost estimate exceeds the amount previously approved by the City Council; therefore, the undergrounding work cannot be completed over the summer months this year.
Staff have communicated the delay with property owners located in t he underground district boundary and adjacent schools, Carlsbad High School, Valley Middle School, Magnolia Element~ry School and North County Academy. Samples of the notification letters are provided (Attachment C).
The city is continuing to work on the complete streets project design t o add sidewalks and other improvements to Valley Street, from Chestnut Avenue to Magnolia Avenue, and a portion of Magnolia Avenue. On June 20, 2023, the City Council will review authorization to exempt from the purchasing ordinance's competitive bidding requirements and execute an agreement with BHA, Inc. (BHA) to continue to provide engineering services for the Valley and Magnolia Complete Streets Project. The current agreement with BHA is set to expire on October 20, 2023; however, BHA's remaining budget will be depleted before the contract expiration date.
Next Steps
Staff are evaluating options for the undergrounding work to proceed next year, with a proposed construction start date of June 2024. In coordination wit h city staff, SDGE will re-advertise the undergrounding work for construction bids in early 2024 with the target bid opening of February/March 2024. After the bid opening, staff will receive a new cost estimate from SDGE and will present it to the City Council for approval and request for additional appropria t ions, if needed.
Staff will return to the City Council later this year with a st atus update and to present options for completing the project .
Attachments: A: City Council Staff Report dated January 24, 2023 B. Council Memorandum dated July 21, 2022
C. Samples of notification letters to the residents and schools Council Memo - Valley St. and Magnolia Ave. SDGE Utility Undergrounding Update (District 1) June 8, 2023
cc: Scott Chadwick, City Manager
Cindie McMahon, City Attorney
Gary Barberio, Deputy City Manager, Community Services
Laura Rocha, Deputy City Manager, Administrative Services Michael Calderwood, Fire Chief
Mickey Williams, Police Chief
Tom Frank, Transportation Director/City Engineer
David Graham, Chief Innovation Officer
Jason Haber, Intergovernmental Affairs Director
Zach Korach, Finance Director
Jeff Murphy, Community Development Director
Vicki Quiram, Utilities Director
Kristina Ray, Communication & Engagement Director
Gina Herrera, Deputy City Attorney
Hossein Ajideh, Engineering Manager
John Kim, City Traffic Engineer
Nathan Schmidt, Transportation Planning and Mobility Manager Eric Lardy, City Planner
Eric Zielke, Senior Engineer
Lauren Ferrell, Associate Engineer
ATTACHMENT A CA Review RK
CIT Y COUNCI L
Staff Report
M eet ing Date:
To:
From:
Staff Contact:
Jan.24,2023
Mayor and City Council
Scott Chadwick, City Manager
Lauren Ferrell, Associate Engineer
lauren.ferrell@carlsbadca .gov, 442-339-2558
Hossein Ajideh, Engineering Manager
[email protected], 442-339-2756
Subject: Agreement with San Diego Gas & Electric to Move Aboveground Utility Lines on Valley Street and Magnolia Avenue Underground
District: 1
Recommended Action
Adopt a resolution authorizing the City°Manager to execute an agreement with San Diego Gas & Electric, to perform Rule 20A aerial-to-underground conversion of overhead utilities on Valley Street and Magnolia Avenue for an estimated amount of $2,844,592.
Executive Summary
The City Council is being asked to execute an agreement under which SDG&E would move electrical and telecommunica tion lines from overhead to underground on parts of Valley Street and Magnolia Avenue and a portion of Brady Circle.
This utility undergrounding work needs to be completed as part of the Valley and Magnolia Complete Streets Project, Capital Improvement Program Project No. 6019, specifically, the utility poles need to be removed so new sidewalks can be installed.
A credit the city received from the California Public Utilities Commission's Rule 20A undergrounding program will cover part of the costs of the project.
The City Council's approval for this project is required because the proposed agreement with SDG&E is in an amount not t o exceed $2,844,592, and Carlsbad Municipal Code Section
3.28.060(0)(5} requires the City Council's approval of agreements that will cost the city $100,000 or more per agreement year.
Staff recommend that the City Council adopt the proposed resolution, Exhibit 1, authorizing the City Manager to execute the agreement with SDG&E.
Explanation & Analysis
Background
The Rule 20A program, established in 1983, provided that certain funds would be set aside each year by SDG&E to pay for the undergrounding of existing utility lines.
Jan. 24,2023 Item #2 Page 1 of 13
In 1988, the City Council established Council Policy No. 41 on undergrounding overhead utilities . The policy, consistent with Rule 20A, stated the city's guidelines and desires on selecting or prioritizing underground projects.
The City Council formed an underground utility district in 2015 to move overhead utility lines to an underground system, in accordance with Carlsbad Municipal Code to Chapter 11.08 - Underground Utility Districts.
The boundaries of this district, named Underground Utility District No. 20, cover (See Location map, Exhibit 2):
• Valley Street between Chestnut Avenue and Magnolia Avenue, " Portions of Magnolia Avenue approximately 500 feet east of Valley Street and 110 feet to the west
• Brady Circle from the intersect ion of Valley Street to approxima tely 150 feet west The utility companies that convey electrical and telecommunica t ion lines along this segment, and who are involved in this project, are SDG&E, AT&T and Spectrum Charter Communications.
Complete Streets
Moving the existing overhead utilities underground and removing the utility poles is needed to support the Valley and Magnolia Complete Streets Project, Capital Improvement Program Project No. 6019. Complete Streets is an approach to designing streets that enables safe access for everyone who needs to use them and all modes of travel. This project will make street improvements within the city right-of -way along both sides of Valley Street from Chestnut Avenue to Magnolia Avenue, and on t he north side of Magnolia Avenue from Valley Street to approximately 500 feet east of the intersection .
These improvements will provide:
• New sidewalks, curbs and gutters
• Pedestrian curb ramps
• Improved conditions for bicyclists and pedestrians
• Additional lighting
Project details
The undergrounding work to be carried out by SDG&E will consist of:
• Digging a trench about 5 feet deep and 2.5 feet wide along the public right -of-way • Installing conduit, cable and substructures, along with aboveground facilities, such as electric transforme r boxes and telecommunication equipment pedestals1 Removing existing overhead utility lines and poles
o Upgrading utility poles or installing new ones at the boundaries of the project as needed for the transition to the new underground system
• Relocating an SDG&E gas main line and service lines beneath Magnolia Avenue, east of Valley Street
Individual customer connections will be made by boring laterally, underground from the main line in the right of way to install conduit and cable. If lateral boring is not feasible, open 1 These are plastic cylinders, about 2- or 3-feet tall, that house the equipment.
Jan.24,2023 Item #2 Page 2 of 13
trenches approximately 2 feet deep and 2 feet wide will be dug, with surfaces restored to pre existing conditions when the work is completed .
Three properties will be required to upgrade their electric service panel; they have been notified by mail. Some properties may need to have installation of conduit and a junction box installed on their exteriors. SDG&E will make that determination and make the necessary installations .
Fiscal Analysis
This project is to be partially funded by the California Public Utility Commission Rule 20A funding program, which allowed funds to be set aside each year by SDG&E to pay for undergrounding existing overhead electric facilities. The city has accumulated $1,729,513 through this program.
The commission issued a decision in 2021 that significantly revised the Rule 20A program, discont inuing allocations for Rule 20A elect ric projects carried out after April 2022. Due to this ruling, the city will receive no addit ional revenue from the program. Because Underground Ut ility District No. 20 was created by the City Council before that cut-off date, it is approved to receive the city's available credit from the Rule 20A program Total construction costs are estimated to be $3,643,510. This is more than what is available in the city's Rule 20A work credit allocation fund, so t he remaining balance of $1,913,997 is to be paid by the funds set aside for the Valley & Magnolia Complete Streets Project, Capital Improvement Program Project No. 6019. Sufficient funding has been appropriated from the Traffic Impact Fee and Trans Net funds for the remaining costs. 2 Summary of costs and funding
Valley & Magno lia Complete Streets Project
Capital Improvement Program Project No. 6019
Total appropriation to date $4,736,206
Total expenditures and encumbrances to date $484,105
Tota l available balance $4,252,101
Total estimated SDG&E undergrounding costs
Construction contract ( estimated) $2,844,592
Construct ion contingency (estimated) $568,918
Const ruction management, inspection, testing, public outreach (estimated) $230,000 Total estimated construction costs $3,643,510
Costs paid by Rule 20A work credit allocation balance $1,729 ,513 Remaining balance to be paid by the city from CIP Project No. 6019 $1,913 ,997 Remaining balance in CIP Project No. 6019 $2,338,104
Additional appropr iation requested $0
2 Trans Net is a countywide sales ta x collected to fund regional transportation projects.
Jan.24,2023 Item #2 Page 3 of 13
SDG&E's estimated cost is approximate, and the actual costs incur red by SDG&E will be computed upon completion of the work. The city will be responsible for paying SDG&E's actual costs.
Carlsbad Municipal Code sections 3.28.040((}(5) and 3.28.090(8) authorize the City Manager or designee to approve change orders, in an amount equal to the contingency set at the time of project award, which, for this project, is $568,918.
Community Engagement
City staff have coordinated with the residents and adjacent schools about the undergrounding and future construction. Staff prepared mailers with fact sheets to inform them about the project, in keeping with the procedures detailed in Carlsbad Municipal Code Section 11.08.070 - Notice to property owners and utility companies. In addition, the city, along with SDG&E, has held several coordination meetings with representatives of the Carlsbad Unified School District and North County Academy, the school at the corner of Valley and Magnolia.
Options
Staff provide the following options for the City Council's consideration:
1. Authorize the City Manager to execute an agreement with SDG&E to perform Rule 20A utility aerial-to-underground conversion on Valley Street and Magnolia Avenue in an estimated amount of $2,844,592
Pros
• Provides a cost-effective and fast solution to underground existing telecommunication and electrical facilities consistent with Council Policy No. 41 • Eliminates the need for a city-managed project design, solicitation and capital construction effort that would most likely exceed SDG&E costs • Provides cost savings in design, construction and mate rial costs • Sufficient funding is available for the contract
Cons
• None identified
2. Do not authorize the City Manager to execute the agreement with SDG&E Pros
• None identified
Cons
• Does not allow the city to realize cost savings on design, construction and material costs
Requires concerted efforts on multiple contracts to execute design and construction services
• Delays undergrounding of electrical and telecommunication lines o Delays implementation of the underlying Capital Improvement Program Project No. 6019, which would likely increase project delivery costs Staff recommend Option 1.
Jan.24,2023 Item #2 Page 4 of 13
Next Steps
Upon receiving the City Council's authorization, the City Manager will execute an agreement with SDG&E to perform utility aerial-to-underground conversion. SDG&E plans to complete their design and permitting process, bid and award a construction contract in spring 2023.
SDG&E estimates that construction will begin in June 2023 upon completion of the school year to minimize traffic impacts associated with construction. Trench and conduit construction is estimated to be completed by mid-August 2023 before the fall school year starts. Additional construction activities will occur past August 2023, but work will be minor in nature with minimal impacts to the school.
Environmental Evaluation
The City Planner has determined that project is exempt from the California Environmental Quality Act under Guidelines Section 15302(d), which covers replacement or reconstruction of existing structures and facilities, including the conversion of overhead electric utility distribution system facilities to underground when the surface is restored to the existing condition, and where the new structure will be located on the same site have substantially the same purpose and capacity; and where the existing public structures and facilities involve negligible or no expansion and no exception to the exemption as set forth in CEQA Guidelines Section 15300.2 applies.
Exhibits
1. City Council resolution
2. Location map
Jan. 24, 2023 Item #2 Page 5 of 13
RESOLUTION NO. 2023-032
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AUTHORIZING THE CITY MANAGER TO EXECUTE AN
AGREEMENT WITH SAN DIEGO GAS & ELECTRIC TO PERFORM RULE 20A
AERIAL-TO-UNDERGROUND CONVERSION OF OVERHEAD UTILITIES ON
VALLEY STREET AND MAGNOLIA AVENUE
Exhibit 1
WHEREAS, in 1983, the California Public Utilities Commission instituted the Rule 20A funding program, which provided that certain funds are set aside each year by San Diego Gas & Electric, or SDG&E, to pay for undergrounding of existing utility lines; and WHEREAS, in 1988, Council Policy No. 41 was established on undergrounding overhead utilities, which is consistent with Rule 20A and provides guidelines and desires on selecting or prioritizing undergrounding projects; and
WHEREAS, on Nov. 17, 2015, the City Council adopted Resolution No. 2015-280, creating Underground Utility District No. 20 pursuant to Chapter 11.08 of the Carlsbad Municipal Code, associated with the Valley and Magnolia Complete Streets Project, Capital Improvement Program Project No. 6019; and
WHEREAS, relevant portions of the project includes Valley Street between Chestnut Avenue and Magnolia Avenue, and a portion of Magnolia Avenue approximately 500 feet east and approximately 110 feet west of Valley Street, and approximately 150 feet of Bradley Circle; and WHEREAS, SDG&E, AT&T, and Spectrum Charter Communications are the utility companies that have facilities on the existing poles that convey telecommunication and electrical lines within the subject segment of Valley Street and Magnolia Avenue; and WHEREAS, the City Council of the City of Carlsbad has determined the public health, safety or welfare requires removal of the poles, overhead wires and associated overhead structures, and underground installation of wires and facilities for supplying electric, communication or simila r or associated service within the project area; and
WHEREAS, undergrounding ofoverhead utilities for this project is consistent with Council Policy No. 41; and
WHEREAS, SDG&E has provided the city with an estimated cost to design, construct, place conduit, place cables, in the street public right-of-way and to the customers' service point, remove poles and overhead cables, and place new poles at the boundary of the underground district, where Jan. 24, 2023 Item #2 Page 6 of 13
determined necessary for the transition from the existing aerial system to the new underground system, and relocate approximately 1,500 feet of gas main line; and WHEREAS, SDG&E's construction cost for the undergrounding effort is estimated to be $2,844,592, which does not include construction contingency and construction management and inspection costs; and the total construction cost, including construction contingency amount of $568,918 and construction management and inspection costs of $230,000, is estimated to be $3,643,510; and
WHEREAS, SDG&E's estimated cost is only approximate, and that the actual costs incurred by SDG&E will be computed upon completion of the work, for which the city is responsible for payment of SDG&E's actual costs; and
WHEREAS, proceeding in this fashion eliminates the need for a city-managed project design, solicitation and capital construction effort that would: (i) exceed SDG&E's costs, (ii) delay undergrounding of telecommunication and electrical lines, and (iii) delay completion of the underlying CIP Project No. 6019; and
WHEREAS, the project is partially funded by the Rule 20A funding program, which provides that certain funds are set aside each year by SDG&E to pay for undergrounding existing overhead electric facilities, and for which the city's current Rule 20A work credit allocation balance is $1,729,513; and WHEREAS, the city's Capital Improvement Program budget will cover the remaining estimated balance of $1,913,997, of which $1,683,997, including $568,918 for construction contingency, is to be paid to SDG&E for actual costs and $230,000 is to cover construction management and inspection costs; and
WHEREAS, sufficient funding is available in Capital Improvement Program Project No. 6019; and WHEREAS, Carlsbad Municipal Code sections 3.28.040(C)(5) and 3.28.090(B) authorize the City Manager or designee to approve change orders in an amount equal to the contingency set at the time of project award, which is $568,918 for this project; and WHEREAS, the City Planner has determined that the project is exempt from t he California Environmental Quality Act under CEQA Guidelines Section 15302(d), which covers replacement or reconstruction of existing structures and facilities, including the conversion of overhead electric utility distribution system facilities to underground when the surface is restored to the existing condition, and where the new structure will be located on the same site have substantially the same purpose and Jan.24,2023 Item #2 Page 7 of 13
capacity; and where the existing public structures and facilities involve negligible or no expansion and no exception to the exemption as set forth in Guidelines Section 15300.2 applies.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows:
1. That the above recitations are true and correct .
2. That the City Council authorizes the City Manager, or designee, to execute an agreement with SDG&E to perform Rule 20A aerial-to-underground conversion of overhead utilities along Valley Street and Magnolia Avenue, attached as Attachment A.
3. That the City Council authorizes the City Manager or designee to approve change orders in an amount equal to the contingency set at the time of project award, which is $568,918 for this project.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 24th day of January, 2023, by the following vote, to wit:
AYES:
NAYS:
ABSTAIN:
ABSENT:
Jan. 24, 2023
Blackburn, Bhat-Patel, Acosta, Burkholder.
None.
None.
None.
KEITH BLACKBURN, Mayor
Item #2 Page 8 of 13
Attachment A
i
_ A ~ Sem pm Energy utility"
Submitted to Applicant by:
SDG&E Work Order(s):
AGREEMENT FOR REPLACEMENT OF OVERHEAD
WITH UNDERGROUND FACILITIES
THIS AGREEMENT, made and entered into, by and between SAN DIEGO GAS & ELECTRIC COMPANY, a corporation, hereinafter called "Utility", and THE CITY OF CARLSBAD , hereafter called "Applicant(s)" .
WITNESS ETH:
WHEREAS, Applicant(s) are the owners, lessees , or others having a legal interest in those certain premises known as the Valley & Magnolia Rule 20A Conversion Project located at certain areas of Valley Street and Magnolia Avenue; and
WHEREAS, Applicant's desire that existing overhead facilities be replaced with underground facilities, and in consideration of the desirability and value which said underground facilities will add and contribute to the above premises;
NOW, THEREFOR E, it is agreed by and between Utility and Applicants as follows:
1. Subject to the conditions hereinafter provided, Utility, upon obtaining satisfactory easements for any required rights of way, shall remove its existing overhead electric power facilities serving Applicants and shall replace these facilities with underground facilities, in accordance with its Rule 20.A for Replacement of Overhead with Underground Facilities as filed with the California Public Utilities Commiss ion.
2. All work performed by the Utility and Applicants pursuant to this Agreement shall be in conformity with the General Conditions and the Specifications attached hereto and by this reference made a part hereof. Utility shall furnish underground electric service to the premises shown on Specifications and, upon completion of the work specified herein, Utility shall not furnish overhead electric service to any of such premises.
3. This Agreement shall become effective only upon compliance with all of the following conditions:
a) All Applicants shall execute this Agreement and shall perform all of the conditions herein contained.
b) All Applicants shall execute a companion agreement with each company, municipality, or agency that is a joint user with Utility of poles, or maintains other poles, within the area from which Utility's pole will be removed pursuant to Section 1, for providing communication service, traffic signals, police or fire alarm boxes, or street or safety lighting supplied by overhead wiring. Such agreement or agreements will provide for such service to be discontinued or converted and maintained through underground circuits or other appropriate and lawful means, so that all of said poles can be removed from the area within a reasonable time after Utility has removed its poles.
c) Applicants will, at their expense and in conformity with the Contract Documents as defined in the General Conditions, furnish and install the material, and facilities and perform the work indicated below by a check mark. The material, facilities and work listed below which are not indicated with a check mark shall be furnished , installed and performed by Utility at Applicants' expense .
FORM 106-2759L (4/91)
Jan. 24, 2023 Item #2 Page 9 of 13
D Excavation, backfill and compaction
D Conduits
D Concrete substructures
d} Utility shall notify Applicants, in writing, of final acceptance of the work specified herein.
Applicants hereby grant to Utility all facilities installed by Applicants pursuant to this Agreement, said grant to be effective upon receipt of Utility's written final acceptance. e} Each Applicant shall, at his expense, promptly provide any necessary changes to the existing facilities on his property so as to receive underground electric service at the points specified on the Specifications. The Applicants' work shall be in accord with Utility's Rule on Service Connections filed with the California Public Utilities Commission effective as of the date of this Agreement, and in accord with the Contract Documents . Underground electric service will not be supplied until all affected premises are equipped to receive electric service in accordance with said plan and specifications. •
4. The entire undergrounding work is estimated to cost $2,844,592 (which equates to $3,413,510 with 20% construction contingency}. The city's current Rule 20A work credit balance is $1 ,729,513. Applicant(s) will utilize its available Rule 20A Work Credits to fund this work, and the remainder ofthe costs associated with the Project will be paid for by Applicant(s} as follows:
payment via check made out to SDG&E and mailed to the address listed on the attached Cost Remittance. Receipt isacknowledged from Applicant(s} of $1,683,997, which is an amount equal to the estimated cost of the Utility's conversion work (including 20% contingency) , less the City's available Rule 20A Worl< Credits, in accordance with its Filed Rule on Replacement of Overhead with Underground Facilities.
Said amount includes any engineering fee or fees that have been paid to Utility in contemplation of the work provided in Section 2.
The conversion work will be tracked and billed on an actual cost basis, meaning that all costs will be reconciled at completion of the work and SDG&E will bill or refund to Applicant any differences larger than $100.
5. In the event any additions, rearrangements, or changes to the electric wiring are required or performed on Applicants' several premises, other than the work pursuant to Section 3.e) above, Applicants shall cause said additions, rearrangements, and changes to be made at their expense.
6. All wires, cables, conductors, conduits, ducts, connectors, and appurtenances installed by Utility, or its agents, on the premises of Applicants, or elsewhere, and all facilities granted to Utility by Applicants, shall become and remain the property of Utility notwithstanding any payment made under this Agreement. Such facilities will be maintained and operated by Utility in accordance with its Rules for the Sale of Electric Energy on file with the California Public Utilities Commission. a} Utility shall be under no obligation to perform and complete the work undertaken by it pursuant to this Agreement until Applicants' obligations incurred pursuant to Paragraphs 3.b) and 3.e} of this Agreement shall have been fulfilled.
b} If the Specifications attached hereto require the installation of new street lighting standards, Utility shall be under no obligation to remove and cease operating its overhead electric facilities nor to furnish underground electric service to any of the premises shown on the Specifications until said street lighting standards have been installed and energized. c} Utility at its sole election, may undertake to perform the work to be performed by it prior to the occurrence of the conditions specified in section 7. and subsection b) of this Section. The commencement of any such work by Utility under the provisions of this subsection shall not constitute a waiver of any of the requirements imposed upon any Applicants under section 7. or subsection b) of this Section, or under any other provisions of this Agreement. d) If any Applicants shall, within one year of the date of this Agreement, fail or refuse to comply with any of the conditions hereof or to perform all work required under the contracts executed pursuant to Paragraph 3.b) of this Agreement, Utility shall have the right to make such changes and to impose such further conditions upon the Applicants as may be necessary to protect its rights under any existing agreement for any increase in its costs of installation, and to provide in any other manner for the accomplishment of the purposes of this Agreement consistent with applicable rules, laws, ordinances and its contractual obligations hereunder. 2 FORM 106-2759L (4/91)
Jan. 24,2023 Item #2 Page 10 of 13
7. Once Applicant has started to perform the work required by the Contract Documents, Applicants agree to exercise reasonable diligence in pursuing such work to completion within one year after the effective date of the Contract Documents. If such worl< has not been completed within one year after the effective date of the Contract Documents, Utility shall have the right, upon giving written notice to Applicants, to cancel and terminate the Contract Documents. Utility shall return to Applicants, an amount equal to the above cash advance, minus Utility's costs. Utility's costs are defined as the actualcost (including but not limited to labor, materials and overhead) incurred by Utility prior to such cancellation and termination in connection with work done in furtherance of Applicants' project, plus the actual cost of removing any of the Utility installed facilities which Utility desires to salvage, minus the salvage value of such facilities. Upon exercise of this right to cancel and terminate, and upon payment to Applicants, all of Utility's obligations under the Contract Documents shall cease.
8. This Agreement shall at all times be subject to such changes or modifications by the California Public Utility Commission as said Commission may, from time to time, direct in the exercise of its jurisdiction.
9. All terms and situations heretofore made and agreed to by the parties in relation to said electric line replacement are set forth in this Agreement and no representation of any agent or employees shall be binding upon Utility except as expressed herein. Appendix A attached hereto is solely for use by Utility and nothing contained therein shall in any way alter or vary any term, condition or stipulation contained in this Agreement.
1 O. If Applicant is a corporation , partnership, joint venture or a group of individuals, the subscriber hereto represents that he has the authority to bind said corporation, partners, joint venture or individuals as the case may be. Each Applicant signing this Agreement agrees that he shall be jointly and severally liable under the terms of this Agreement with every other applicant signing the Agreement. 11 . All of the terms and conditions of this Agreement shall be binding upon and shall insure to the benefit of the parties hereto, their heirs, administrators , executors , personal representatives, trustees, successors and assigns.
12. The Contract Documents shall become effective only upon the date signed by the authorized representative of Utility.
3 FORM 106-2759L (4/91)
Jan.24,2023 Item #2 Page 11 of 13
IN WITNESS WHEREOF, the parties hereto have individually executed, or have caused this Agreement to be executed for and on behalf of each, by and through their responsible agents, partners, or authorized corporate officers, as the case may be.
By: ---r----,--1c n,---, t----,-,--------
·r ed Signature)
Name: S { & tt C \/\v\ dMJ \ ~
(Please Print or Type)
Title: _0~\_t1_~M~¼\~"--¥-<+-=· __
Date: _ ...,!l2Jh:A.=~~~C-~- -----
Telephone: _
APPROVED AS TO FOAM
Cindie K. McMahon, City Attomey
lhl: .l~Attomey
City ot Carlsbad, California
Jan. 24, 2023
4 SAN DIEGO GAS & ELECTRIC COMPANY,
a corporation
By: _____________ _
(Authorized Individual-Utility)
Date Executed:
FORM 106-2759L (4/91)
• Item #2 Page 12 of 13
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PROJECT NAME
Acad
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LOCATION MAP
Carlsbad
High School
Valley
Middle
Schoo l
FIELD
PACIFIC OCEAN
~
Magnolia
Elementary
Schoo l
RULE 20A UNDERGROUND CONVERSION
Created By: SaJe~'1'~4, 1t>'2J~022 F:\Projecls\FromLaurenFerrell\SlaffReport\LocalionMap\LocalionMapExhibit2.mxd(tem #2 Exhibit 2
VICINITY'MAP ••
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EXHIBIT
2
To the members of the:
.~ITY COUNCIL
Date ~ CA v~ CC ✓
CM ...JLACM ._iLDCM (3) v
July 21, 2022
ATTACHMENT B
Council Memorandum
To: Honorable Mayor Hall and Members of the City Council From: Paz Gomez, Deputy City Manager, Public Works
Via: Geoff Patnoe, Assistant City Manager @
{city of
Carlsbad
Memo ID #2022085
Re: Valley Street and Magnolia Avenue Complete Street Improvements Project Update (District 1)
This memorandum provides an update on the Valll;!y Street and Magnolia Avenue Complete St reet Improvemen t s Project, Capital Improvemen t Program (CIP), Project Nos. 6019 and 3904 (Project).
Background
The Council Memorandum dated Jan. 21, 2021 (Attachment A), provided background information on t he Project.
In 2015, Underground Ut ility Dist rict No. 20 was formed by City Council Resolut ion No. 2015-280 pursuant to Chapter 11.08 of the Carlsbad Municipal Code. This dist rict was formed to address converting overhead utili ties to an underground system in t he area.
Extensive public outreach efforts on the Project were conducted in 2017, 2018 and 2020. Staff received public feedback requesting additional parking on Valley Street and increased driveway accessibility and visibility. Preliminary designs were presented to the Traffic and Mobility Commission on Dec. 7, 2020.
Discussion
The Project is in the engineering design phase to provide comple te street improvements within t he city right -of-way along both sides of Valley Street from Chestnut Avenue to Magnolia Avenue. The Project will also improve the north side of Magnolia Avenue from Valley Street to approxima tely 500 feet east of the intersection. The improvements will provide sidewalk, curb and gutter, pedestrian curb ramps, improved conditions for bicyclists and additional lighting in the area.
In addition to these typical street improvemen t s, "green street" or low impact development design will also be incorporated. This includes drainage features that use vegetation and s9il to filte r and treat storm water before entering the storm drain system where possible. The Project will also replace an ·old potable water main and related services in Valley Street, in coordination with the Carlsbad Municipal Water District.
Public Works Branch
Transportat ion Departme nt
1635 Faraday Avenue I Carlsbad, CA 92008 I 442-339-2730 t Council Memo - Valley St and Magnolia Ave Complete Street Improvements Up~ate (District 1) July 21, 2022
Staff continue to design the Project and solicit feedback from the community. Preliminary designs were presented to the Traffic and Mobility Commission on Dec. 7, 2020. Based on commissioners' feedback, staff are updating the design and will provide additional outreach to nearby property owners regarding this design before staff finalize the design and contract documents.
Utility Undergrounding
The Project is being delivered in conjunction with the utility undergrounding effort to convert overhead utilities to an underground system. This effort will also include the relocation of a San Diego Gas & Electric (SDG&E) gas main and service laterals underneath Magnolia Avenue.
Staff are actively coordinating with SDG&E, AT&T and Charter Communications on the utility undergrounding project. Staff have also informed nearby schools of this undergrounding effort and schedule and have received feedback on potential school scheduling concerns.
SDG&E will perform construction of the utility undergrounding and gas mainline relocation.
Staff will continue to conduct monthly coordination meetings with SDG&E and communication companies to finalize design and approvals for the construction phase.
Staff will also coordinate with property owners within the undergrounding boundary to secure a Permit to Enter, or Right of Entry Agreement. Once the Permits to Enter are signed, SDG&E and their contractors will be authorized to perform work on private property to underground their system.
Construction of the SDG&E undergrounding and gas mainline relocation is estimated to start in summer 2023. Construction of the Valley Street and Magnolia Avenue Complete Street Improvements Project must wait until the undergrounding is complete.
Next Steps
To align construction timelines for the Project, SDG&E must first complete construction of the undergrounding of overhead utilities and gas mainline relocation in the Project area. Staff anticipate undergrounding construction will begin in summer 2023 in coordination with nearby schools. City and SDG&E staff will continue to coordinate with the Carlsbad Unified School District and keep them apprised of the proposed construction improvements and schedule.
Staff will update the engineering design of the Project and seek public input later this fall. A .critical part of the Project is to progress to final design to provide to SDG&E and the other utility companies. SDG&E will use the city's design to finalize the utility undergrounding design. This will help reduce the risk of conflicts between the undergrounding and complete street elements.
Council Memo - Valley St and Magnolia Ave Complete Street Improvements Update (District 1) July 21, 2022
After receiving feedback from the property owners within the Project area, staff will update the plans and associated technical documents. Once completed, staff expect to present the final design to the Traffic and Mobility Commission in mid-2025.
Staff will then request approval of plans and specifications and authorization to advertise for construction bids from the City Council in late 2025. Consistent with the recent direction from the City Council, construction of the complete street improvements is anticipated to start in summer 2026 with completion targeted in 2027.
Attachment: A. Council Memorandum dated Jan. 21, 2021
cc: Scott Chadwick, City Manager
Celia Brewer, City Attorney
Gary Barberio, Deputy City Manager, Community Services
Laura Rocha, Deputy City Manager, Administrative Services Mickey Williams, Police Chief
Michael Calderwood, Fire Chief
Cindie McMahon, Assistant City Attorney
Robby Contreras, Assistcint City Attorney
Tom Frank, Transportation Director/City Engineer
David Graham, Chief Innovation Officer
Kyle Lancaster, Parks & Recreation Director
Zach Korach, Finance Director
Jeff Murphy, Community Development Director
Kristina Ray, Communication & Engagement Director
Suzanne Smithson, Library & Cultural Arts Director
Vicki Quiram, Utilities Director
Dave Padilla, Utilities Engineering Manager
Hosseiri Ajideh, Engineering Manager
John Kim, City Traffic Engineer
Nathan Schmidt, Transportation Planning and Mobility Manager Scott Lyle, Senior Engineer
Lauren Ferrell, Associate Engineer
To the members of the:
CITY COUNCIL
Date I h1 /.2.1 CA ..:L CCL
CM _y_ACM ..JL..DCM-(3) Ji:,.
ATTACHMENT A
Council Memorandum
Jan. 21, 2021
To:
From:
Honorable Mayor Hall and Membe rs of the City Council·
Paz Gomez, Deputy City Manager, Publi~rks
Via: Geoff Patnoe, Assistant City Manager ~
{cityof
Carlsbad
Memo ID #2021016
Re: Valley Street and Magnolia Avenue Complete Street Improvements Project Update (District 1)
This memorandum provides an update on the Valley Street and Magnolia Avenue Complete Street Improvements Project, Capital Improvemen t Program (CIP) Project Nos. 6019 and 3904 (Project).
·Background
In keeping with the Complete Streets Act of 2008 (Assembly Bill 1358) and the city's General • Plan Mobility Element, the Project provides complete street improvements along both sides of Valley Street from Chestnut.Avenue to Magnolia Avenue and the north side of Magnolia Avenue from Valley Street to approximately 500 feet east of the intersection of Valley Street and Magnolia Avenue, as shown in Attachment A. Complete streets are designed and operated to enable safe access for all users so that pedestrians, bicyclists, .motorists and transit riders of all ages and abilities can move safely along and across a complete street.
The Project is in a residential area near four schools (Carlsbad High School, Valley Middle School, Magnolia Elementary School and North County Academy) and is well t raveled by pedest rians, bicyclists and motorists. Currently, large portions of the Project area have no sidewalks or dedicated bicycle paths so pedestrians and bicyclists must share the narrow street with motorists.
The Project goals are to:
o Enhance mobili ty for all modes of travel
o Create a b_alanced road that is safe and attractive for pedestrians, bicycles and vehicles o Increase sustainabili ty by incorporating green street features • To meet these goals, the Project will make several imp rovements to the city's right-of-way including:
o Americans with Disabilities Act (ADA)-complian t pedestrian curb ramps and sidewalks on both sides of Valley Street from Chestnut Avenue to Magnolia Avenue and on the Public Works Branch
Transportation Department
1635 Faraday Avenue I Carlsb~d, CA 92008 I 760-602-2730 t I l
I
!
I
I
'
Council Memo -Valley Street and Magnolia Avenue Complete Street Project Update (District 1) Jan. 21, 2021
north side of Magnolia Avenue for approximately 500 feet east of the intersection with Vall_ey Street
• Separated bike paths on both sides of '(alley Street in the Project area • Paved, parallel parki_ng in the existing rightsof-way, where feasible I) High-visibility crosswalks in the Project area
Activated rapid rectangular flashing beacon lights at the intersection of Valley Street and Brady Circle
Eight new streetlights in the Project area to increase night-time visibility • 27 new tree wells and sections of permeable concrete pavers Additionally; overhead utilities will be placed underground in the Project area, contingent upon funding availability and coordination with utility companies. In 2015, Underground Utility . District No. 20 was formed by City Council Resolution No. 2015-280 pursuant to Chapter 11.08 of the Carlsbad Municipal Code. The formation of this Underground Utility District was necessary to utilize the California Public Utilities Commission's Rule 20A funds. However, based on the most recent cost estimate from San Diego Gas & Electric (SDG&E), the city's Rule 20A funds are inadequate to pay for the undergrol!nding of the overheaq utilities.
In addition to the roadway improvements outlined above, the Carlsbad Municipal Water District plans to replace an old potable water main and services in Valley Street either as part of the Project or as a separate CIP project.
Discussion
Preliminary designs have been completed for the Project, which were presented to the Traffic and Mobility Commission on Dec. 7, 2020. Some commissioners expressed concern regarding the separated bike paths proposed on Valley Street. In response to this feedback, staff will develop an alternatives assessment to the separated bike paths and obtain public feedback.
After receiving this public input, staff will return to the Traffic and Mobility Commission for additional feedback and to request support of staff's recommendation to implement the final design approach.
On the utility undergrounding issue, and as discussed In the Council Memorandum dated Jan. 14, 2021, SDG&E's most recent cost estimate to underground the overhead utilities in the Project area is approximately $3.4 million, which significantly increased from the previous estimate of $1.4 million. The city's current Rule 20A allocation balance is approximately $1.2 million, and the city is expected to receive approximately $160,000 every year hereafter in additional 20A allocation (the 2020 allocation was approximately $160,000 whereas the 20;1.9 allocation was approximately $80,000). At this rate of allocation, it will take almost 14 more years to receive enough Rule 20A funding from SDG&E to pay for the Valley Street and Magnolia Avenue Project unless another funding source is identified . 2 Council Memo -Valley Street and Magnolia Avenue Complete Street Project Update (District 1) Jan. 21, 2021
NeMt steps
Staff will develop an alternatives assessment to the separated bike paths and seek public input early this year. After receiving public feedback, staff will update the plans and associated technical documents, if necessary, to ensure the Project features remain aligned with community needs. Staff will then present the final design approach to the Traffic ;:ind 1\/lobility Commission, which fs expected to be later this year.
Additionally, staff will look for additional funding sources for undergrounding the overhead utilities in the Project area as part of the upcoming fiscal year 2021-22 CIP Budget development process. Staff anticipates coordinating with utility companies for undergrounding overhe;id utilities through late 2021.
Once public feedback on the design of the Project has been received and Traffic and Mobility Commission support has been obtainecf, staff plans to finalize the Project plans and specifications and obtain the necessary permits in early 2022. Staff plans to return to the City Council in mid-2022 witt, a request to approve the plans ani;J specifications ancl authorize advertisement for construction bids. After the bidding process is completed, staff will return to the City Council to request award of a construction contract in late 2022. Construction is estimated to begin in early 2023.
Attachment: A. Location Map
cc: Scott Chadwick, City Manager
Celia Brewer, City Attorney
Gary Barberio, Deputy City Manager, Community Services
Laura Rocha, Deputy City Manager, Administrative Services Robby Contreras, Assistant City Attorney
Tom Frank, Transportation Director
Ryan Green, Finance Director
Kristina Ray, Communication & Engagement: Director
Vicki Quiram, Utilities Director
Dave Padilla, Utilities Engineering Manager
Hossein Ajideh, Engineering Manager
John l<im, City Traffic Engineer
Nathan Schmidt, Transportation Planning and Mobility Manager Jonathan Schauble, Senior Engineer
3 ··-
LO CAT 1O N MAP
NOT TO SCALE
PROJECT NAME
. VALLEY STREET AND MAGNOLIA AVENUE IMPROVEMENTS
DRAIIN B~ SCOTT EVANS. CARLSBAD ENGINEERING DEPT. 2110/09 C; \CAPITAL \LOCATION MAPS\6019,DI\S
ATTACHMENT A
PROJECT
NUMBER
6019
I\ I
.! I . !
' i
June 2, 2023
Dear Resident,
ATTACHMENT C
( city of
Carlsbad
Thank you for providing the information we requested for the project to convert overhead utility lines in your neighborhood to an underground system.
As part of finalizing the project plans, San Diego Gas & Electric prepared an updated cost estimate, which was significantly higher than the original estimate. As a result, city staff have requested additional information so we can identify potential options for how the project can proceed.
Unfortunately, this means SDG&E won't be able to start construction this summer as planned.
What's next
City staff expect to present options to the City Council later this year. If you'd like to be notified about this meeting, please sign up for our email list on the project page (see below) .
Street and sidewalk improvements
The city is continuing to work on the project to add sidewalks and other improvements to Valley Street, from Chestnut to Magnolia, and a portion of Magnolia Avenue. The next step will be to share proposed design options with you for feedback. This is expected to be mid-2024. If you'd like more information about that project or to sign up for email notifications, please visit www.car lsbadca.gov/residents/projects .
If you have additional questions, please feel free to contact me at lauren.ferre [email protected] or 442-339-2558. Thank you.
Sincerely,
J' 1 .. ,-Pv -i1~~ (J~~ 1
Lauren Ferrell, P.E.
Associate Engineer
Public Works Branch
Transportation Departm ent
1635 Faraday Ave. I Carlsbad, CA 92008 I 442-339-2746 t June 2, 2023
Carlsbad Unified School District
Magnolia Elementary School
Valley Middle School
Carlsbad High School
{ city of
Carlsbad
We're reaching out to provide an update on the project to convert overhead utility lines along a segment of Valley Stret and Magnolia Avenue to an underground system.
As part of finalizing the project plans, San Diego Gas & Electric prepared an updated cost estimate, which was significantly higher than the original estimate . As a result, city staff have requested additional information so we can identify potential options for how the project can proceed.
Unfortunately, this means SDG&E won't be able to start construction this summer as planned.
What's next
City staff expect to present options to the City Council late r this year. If you'd like to be not ified about this meeting, please sign up for our email list on the project page (see below).
Street and sidewalk improvements
The city is continuing to work on the project to add sidewalks and other improvements to Valley Street, from Chestnut to Magnolia, and a portion of Magnolia Avenue. We expect to share proposed designs for input in mid-2024 . If you'd like more information about that project or to sign up for email notifications, please visit www .carlsbadca.gov/residents/projects .
We appreciate your continued coordination to reduce construction impacts to the school as much as possible.
If you have additional questions, please feel free to contact me at lauren.fe rre [email protected] or 442-339-2558 . Thank you.
Sincerely,
r H
Lauren Ferrell, P.E.
Associate Engineer
Public Works Branch
Transportation Department
1635 Faraday Ave. I Carlsbad, CA 92008 I 442-339-2 746 t June 2, 2023
North County Academy
Ms. Evelia Medina
Mr. Stephen Gotowala
( city of
Carlsbad
We're reaching out to provide an update on the project to convert overhead utility lines along a segment of Valley Stret and Magnolia Avenue to an underground system.
As part of finalizing the project plans, San Diego Gas & Electric prepared an updated cost estimate, which was significantly higher than the original estimate . As a result, city staff have requested additional information so we can identify potential options for how the project can proceed.
Unfortunately, this means SDG&E won't be able to start construction this summer as planned.
What's next
City staff expect to present options to the City Council later this year. If you'd like to be notified about this meeting, please sign up for our email list on the project page (see below).
Street and sidewa lk improvements
The city is continuing to work on the project to add sidewalks and other improvements to Valley Street, from Chestnut to Magnolia, and a portion of Magnolia Avenue. We expect to share proposed designs for input in mid-2024. If you'd like more information about that project or to sign up for email notifications, please visit www.carlsbadca.gov/residents/projects .
We appreciate your continued coordination to reduce construction impacts to the school as much as possible.
If you have additional questions, please feel free to contact me at [email protected] or 442-339-2558. Thank you.
Sincerely,
r H
Lauren Ferrell, P.E.
Associate Engineer
Public Works Branch
Transportat ion Department
1635 Faraday Ave. I Carlsbad, CA 92008 I 442-339-2746 t 2 3
4 5
6 7
8 9
11 12
13 14
1°5
16 17
18 19
20 21
22 23
24 25
26 27
28 ATTACHMENT B
RESOLUTION NO. 2015-280
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, DECLARING AND DESIGNATING A CERTAIN PART OF SAID CITY AS UNDERGROUND UTILITY DISTRICT NO. 20, PROJECT NO. 6019, AND MAKING ORDERS IN REGARD THERETO
EXHIBIT I
WHEREAS, on Oct. 61 2015, the City Council of the City of Carlsbad adopted Resolution No. 2015-245 expressing its intent to initiate proceedings pursuant to Chapter 11.08 of the Carlsbad Municipal Code and calling a Public Hearing to determine whether or not the public health, safety or welfare requires the formation of an underground utility district in a portion of Carlsbad; and
WHEREAS, pursuant to Resolution No. 2015-245, a Public Hearing was held on Nov. 17, 2015, at 6:00 p.m., in the Council Chambers in City Hall, Carlsbad, California, to ascertain whether the public health, safety or welfare requires the removal of poles, overh ead wires and associated overhead structures and the underground installation of wires and facilities for supplying electric, communication or similar or associated service, within that certain area of the city described as follows:
Valley Street between Chestnut Avenue and Magnolia Avenue and a portion of Magnolia Avenue approximately 500 feet east of Valley Street as shown on that certain map entitled "Underground Utility Dist rict No. 20
11 on file in the Office of City Clerk and
incorporated by reference herein; and
WHEREAS, said hearing was also held to determine whether or not t he city should continue proceedings to create and implement an underground utili ty district to accomplish said removal and installation; and
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28 WHEREAS, notice of said hearing, in the manner and for the time required by law, was given to all affected utility companies and to property owners as shown on the last equalized assessment roll; and
WHEREAS, said hearing has been duly and regularly held, and all persons interested have been given an opportunity to be heard.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows:
1. 2.
That the above recitations are true and correct .
That the City Council of the City of Carlsbad, California, hereby finds and determines that the public health, safety and welfare require the removal of poles, overhead wires and associated structures, and the underground installation of wires and facilities for supplying electric, communication or similar or associated service in the above-described area.
3. That said area is hereby declared to be an underground utility district, and is designated as Underground Utility District No 20, Project No. 6019.
4. That the City Council finds that said District is in the public interest for the following reasons:
5. A.
B.
It will eliminate an unusually heavy concentration of overhead utility facilities.
The streets in the District are extensively used by the general public and carry a heavy volume of pedestrian or vehicular traffic.
C. The streets adjoin and pass through a civic or public recreation area or an area of unusual scenic interest to the general public.
That the City Clerk is hereby instructed to notify all affected utilities and all persons owning real property within Underground Utility District no. 20, Project No. 6019 of the adoption of this resolution within 10 days after the date of such adoption. Such 2 3
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28 notification shall be made my mailing a copy of this resolution, together with a copy of Chapter
11.08 of the Carlsbad Municipal Code, to affected property owners as shown on the last equalized assessment roll and to the affected utilities.
6. That the City Council does hereby order said removal and installation within said District. The City Council will fix by subsequent resolution the time within which such removal and installation shall be accomplished.
7. That the full reimbursement shall be deducted from 20A conversion funds and utilized as service conversion to residences and businesses for furnishing all labor, materials, equipment and incidentals to construct the underground utility service trench to private residences and businesses within the project limits that are to remain intact. No expense shall be incurred by the property owner unless an increase in panel size is requested by them.
8. That the City Council hereby waives permit fees associated with property conversions.
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28 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 17t h day of November 2015, by the following vote to wit :
AYES: Council Members Hall, Blackburn, Packard, Wood, Schumacher NOES: None .
ABSENT: Non e.
MATT HALL, Mayor
ATTEST:
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BARBARA ENGLESONd\ty Clerk
(SEAL)
BASSWOOD AVJAMES
DR
VIKING
ST
M
ONROE
ST
YVETTE
W
Y
SANDALWOOD
LN
CHESTNUT
AV
VALLEY
ST
M
ARJO
RIE
LN
ANDREA AV
ALTHEA
LN
SANDALWOOD LN
CHESTNUT AV
HIGHLAND
DR
HIGHLAND
DR
MONROE
ST
VALLEY
ST
MAGNOLIA AV
MAGNOLIA AV
HILLVIEW CT
VALLEY ST
HIGHLAND
DR
CHESTNUT AV
BRADY CR MAGNOLIA AV
CHESTNUT AV
FIA
1991-0035805
FIA
85-377076NIA
2002-1155718FIA
1994-0597054
NIA
2007-0317713
FIA
78-350430
FIA
2000-0259150
FIA
77-307353
FIA
83-479995
FIA
2000-0646540
FIA
1991-0515450
FIA
73-002190
FIA
74-152825
FIA1999-0457873
FIA
74-323243
FIA
82-260058
FIA
1999-0273790
FIA
77-003725
FIA
76-235625
FIA79-485552
FIA82-088971
LIDA
2011-0146537
Attachment B - FIA Map
Project Limits