7/12/2022 item 6
City Council
Action on a Resolution of
Necessity to Acquire Certain
Real Property Interests on
NIA 1040 Di Giulio Avenue
1852
THE MISSION CITY
July 12, 2022
City of
Santa Clara
The Center of What's Possible
New Transmission Line
• Scope: Install 11 new steel poles, replace 4
wooden poles and approx. o.6 miles of new 60kV
transmission line.
• Benefits - Increases Reliability and Capacity
- Increases available transmission line facilities for
future developments
- Upon completion, the transmission line will provide
service to the Memorex Junction Substation which is
to be constructed as a part of the 1200 Memorex
Development.
- Four other potential developments have expressed
interest in the area and would be eligible to connect
to the new transmission line
2 POST MEETING MATERIAL
1 City of
Santa Clara
The Center of What's Possible
New Transmission Line (cont.)
Council Actions:
• April 14th 2021 - Approved a Funding Agreement with 1220 Santa Clara PropCo, LLC, Relating to City Predesign Engineering Activities for the Memorex Junction Substation Project and Related Budget Amendment
• November gth, 2021 - Action on the Adoption and Certification of an Environmental Impact Report; Adoption of a Mitigation • Monitoring or Reporting Program; and Architectural Approval of a Data Center project located at 1200-1310 Memorex Drive
• March 22nd, 2022 - Delegated Authority to the Office of the City Manager to negotiate and execute the substation agreement for Silicon Valley Power with 1220 Santa Clara Propco, LLC for Memorex Junction Substation
• Multiple actions for easement acquisition
• 10 parcels require easements
3 City of
Santa Clara
The Center of What's Possible
Steps for Acquisition
• Send letter to property owner that City will appraise value V • Complete Fair Market Value (FMV) appraisal.
• Send initial offer of just compensation to property owner V - Allows for property owner to be reimbursed up to $5,000 for second appraisal V • Negotiate with Property Owner (months) V
• Property Owner/City negotiated agreements to Council V • No agreement - Council consideration for Resolution of Necessity V • Continue to Negotiate with Property Owner
• Eminent Domain process will take up to approximately 24 months • City has rights to build project after receiving Order of Possession (7-8 months)
2 City of
Santa Clara
The Center of What's Possibie
Di Giulio Ave.
Stag 1040 Di Giulio Ave
• Initial Offer sent 12/14/2021
Joh PAnderst - Six (6) months of ongoing negotiations
• Powerline Easement: 1,500 SF Easement
Legend:
Powerline Easement
5 City of
Santa Clara
The Center of What's Possible
Resolution of Necessity Findings
• The public interest and necessity require the Project. - This Project will support and facilitate development in the service area • The Project is planned or located in the manner that will be the most compatible with the greatest public good and the least private injury.
- Staff considered multiple alternatives as part of the project • The property sought to be acquired is necessary for the Project - The Electric Overhead Easement on 1040 Di Giulio Avenue is necessary to achieve the technical needs of the Project.
• The offer required by Section 7267.2 of the Government Code has been made to the owner of record for the full amount established as the fair market value of the property. - On December 14th, 2021 the City made an offer to John P. Anderson, Trustee to acquire the Electric Overhead Easement upon the value determined by an independent state licensed and certified appraiser in accordance with the above referenced Government Code. 3 City of
Santa Clara
The Center of What's Possible
Recommended Action
Alternative 1: Adopt a Resolution of Necessity Acquire
Certain Real Property Interests on 1040 Di Giulio Avenue, Santa Clara, California, from John P. Anderson.
City Council
Action on a Resolution of
Necessity to Acquire Certain
Real Property Interests on
1040 Di Giulio Avenue
1852
THE MISSION CIT
July 12, 2022
8 4