CITY OF COMMERCE
AGENDA REPORT
TO: Honorable City Council
FROM: City Manager
SUBJECT: PUBLIC HEARING – Formation of Underground Utilities District No. 22-1 for Harbor Street from Commerce Way to Eastern Avenue Meeting Date: March 8, 2022
RECOMMENDATION:
Conduct a Public Hearing; and
The City Council will consider adoption of a Resolution establishing an Underground Utility District No. 22-1 and ordering the removal of poles, overhead wires and associated structures, and the underground installation of wires and facilities for supplying electric, communication, or similar associated services on Harbor Street from Commerce Way to Eastern Avenue.
BACKGROUND/ANALYSIS:
The California Public Utilities Commission (CPUC) has authorized electric and telecommunication utilities to convert overhead utility lines and facilities to underground pursuant to Electric Rule 20. Section 13.12.040 of the City Municipal Code authorizes the City Council to establish and designate, by resolution, an underground utility district (District) in the City for public necessity, health, safety or welfare.
Pursuant to the formula set out in the SCE Tariff Rule 20A, the City of Commerce annually receives an allocation in the form of a credit for eligible capital projects of approximately $40,669. Under the tariff, allocated work credits not committed to a qualifying project in a given year are carried over to the next year. The City has a set aside an allocation of approximately $1,493,887 as of Feb 2022. These funds will cover cost of design and construction of undergrounding project including up to 100 feet of customer’s service undergrounding. Cost not covered by Rule 20 A will be the City’s responsibility.
Staff is proposing the formation of an underground district for portion of Harbor from Commerce way to Entrada due to limited available Rule 20 A funds. Staff has recently consulted with SCE and other utilities and they are all in agreement with the proposed undergrounding. Adoption of the attached Resolution is required to authorize SCE to proceed with the undergrounding project. The proposed project will require significant coordination with other utilities having overhead facilities within the proposed district. It is estimated that the removal of overhead utilities, poles and completion of undergrounding of all overheard utilities will be completed by December 2024.
This staff report serves as the engineer report required by Section 13.12.030 of the City Municipal Code.
Staff recommends that the City Council after holding a public hearing adopt the attached resolution establishing Underground Utilities District No 22-1.
ALTERNATIVES:
Approve staff recommendation
Disapprove staff recommendation
Provide further direction to staff
ENVIRONMENTAL IMPACT:
None. The resolution is exempt from the California Environmental Quality Act.
FISCAL IMPACT:
There will be no impact to General Fund. The undergrounding project will be paid from SCE Rule 20A funds and at no cost to the City.
RELATIONSHIP TO STRATEGIC GOALS:
This item relates to Council’s 2016 Strategic Action Plan’s:
Community Quality of Life
Guiding Principle 4- Support and evaluate community services, programs and events that promote healthy and quality lifestyles for our residents. Enhance public safety and social services through innovative programs that meet the needs of the residential and business communities.” Recommended by: Daniel Hernandez, Director of Public Works Reviewed by: Josh Brooks, Finance Director
Reviewed by: Vilko Domic, Assistant City Manager
Respectfully submitted: Edgar P. Cisneros, City Manager ATTACHMENTS:
Resolution
Exhibit A - Harbor St Underground Utilities
Sample Public Notice