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Home My WebLink About75C - PH UNDEREGROUND UTILITY DISTRICTREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: OCTOBER 16, 2018 TITLE: PUBLIC HEARING TO ADOPT A RESOLUTION TO ESTABLISH AN UNDERGROUND UTILITY DISTRICT ON WARNER AVENUE FROM MAIN STREET TO GRAND AVENUE {STRATEGIC PLAN NO. 6, 1C, 1G} CIT6YAIMNAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 1� Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Adopt a resolution establishing an Underground Utility District on Warner Avenue from Main Street to Grand Avenue as Underground Utility District No. 37. DISCUSSION On July 17, 2018, Council approved a resolution setting a public hearing for October 16, 2018, to consider adoption of a resolution to establish Warner Avenue from Main Street to Grand Avenue as Underground Utility District (UUD) No. 37. To establish a UUD, Santa Ana Municipal Code (SAMC) Section 37-2 requires that a public hearing be held to provide opportunity for public comment and to review the Engineer's Report (Exhibit 1) for the project, which includes description of the work, utility coordination process, and estimated time required to complete the project. Establishment of UUD No. 37 is recommended to coincide with the Warner Avenue Improvements project from Main Street to Grand Avenue. The proposed improvements include installing raised medians, protected bike lanes, and buffered sidewalks; and widening from a four -lane roadway to a six -lane arterial, to address vehicle, pedestrian, and bike safety issues. Undergrounding existing overhead utility poles will enhance the benefits of the Warner Avenue corridor further by improving public safety, reducing maintenance for cost savings, and enhancing street -view aesthetics. Staff recommends the City Council adopt a resolution establishing Underground Utility District No. 37 (Exhibit 2) to meet the provisions in SAMC Sections 37-2 and 37-3. Prior to the public hearing date, the City has been coordinating with all impacted utility companies to determine the estimates of the extent of their participation and time required to complete the underground process. Once the UUD has been established by a resolution approved by the City Council, the City will continue coordination efforts with the utility companies to commence with the undergrounding process. 75C-1 Public Hearing to Establish Underground Utility District No. 37 on Warner Avenue from Main to Grand October 16, 2018 Page 2 STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #6 - Community Facilities & Infrastructure, Objective #1 (establish and maintain a Community Investment Plan for all City assets), Strategy C (invest resources and technology to extend the service life of existing infrastructure to protect the City's investment and support a high quality of life standard), Strategy G (develop and implement the City's Capital Improvement Program in coordination with the Community Investment and Deferred Maintenance Plans). ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT There is no fiscal impact associated with establishing UUD No. 37. The utility undergrounding project along Warner Avenue is eligible for fund allocations for the City through the California Overhead Conversion Program established by the California Public Utilities Commission. This guideline requires the private electric and telecommunication companies to set aside a certain percentage of their income to perform the underground process. 0 Fuad S.eiss, PE, PLS Executiv Director Public Wdtks Agency Exhibits: 1. Engineer's Report 2. Resolution 75C-2 October 16", 2018 UUD No. 37 ENGINEER'S REPORT UNDERGROUND UTILITY DISTRICT NO. 37 WARNER AVENUE FROM MAIN STREET TO GRAND AVENUE An underground utility district is a boundary within which poles, overhead and wires and associated overhead structures are prohibited. The procedure for establishing an underground utility district is defined in Chapter Santa Ana Municipal Code (SAMC) Chapter 37, The Santa Ana Municipal Code Section 37-3 requires the filing of an Engineer's Report prior to adoption of an Underground Utility District. This document constitutes the Engineer's Report and its format is in accordance with the aforementioned code sections. STATEMENT OF THE ISSUE Based on the current environmental documents for Warner Avenue Improvements project bounded by Main Street and Grand Avenue, one of the goals of the project is to underground existing overhead utility and related poles since existing overhead utility poles within public right-of-way are obstructing pedestrian access along Warner Avenue and also impedes visibility which affects traffic safety. An underground utility district is proposed to be established along Warner Avenue between Main Street and Grand Avenue (Exhibit A — Underground Utility District No. 37 Boundaries) for the purpose of placing all overhead utilities within the district boundaries underground. Significant community benefits can be achieved from undergrounding overhead utilities including improving public safety, enhancing street -view aesthetics, reducing maintenance for cost savings, and providing more reliable utility services to customers. DESCRIPTION OF THE WORK The Warner Avenue Improvements Project will secure the necessary right-of-way to widen the roadway and construct the underground structures. The existing overhead electric, telephone, cable TV, and street light wires servicing residential and commercial properties along Warner Avenue shall be removed and placed in the underground substructures. All future electrical and communication facilities located within district shall be located in the underground substructure. The improvements for these underground works will be designed by Southern California Edison (SCE), AT&T Inc., Charter Communications Inc., Crown Castle International Corp., Mpower (TPx) Communications Corp., and Verizon Communications Inc. The utility companies will also be responsible for coordinating and constructing the necessary improvements. The City will inspect the work to ensure conformance to City standards and special provisions where applicable. Existing overhead connections to adjacent parcels must be included in the project, providing a service lateral to individual properties. To minimize the impact during regular business hours, night work will be done for parts of the work. The utility underground construction shall coincide with the planned street improvements to minimize impacts to the community and cost. SCHEDULE AND COST OF THE WORK The underground process will be constructed into two phases to match with the Warner Avenue Improvements Project phasing plan. Phase 1, which will underground all overhead utilities from Main Street to Oak Street, is planned for construction in 2021. Phase 2, which will underground overhead utilities from Oak Street to Grand Avenue, is planned for construction in 2025. Based on the coordination effort with the impact utility companies, the Page i of 3 EXHIBIT 1 75C-3 October 16"', 2018 UUD No. 37 work will consist of construction of underground utility facilities and removal of all overhead utility wires and utility poles within the district boundaries. The California Public Utilities Commission (CPUC) instituted a Utility Undergrounding Program in 1967 aimed at replacing overhead with underground facilities. The CPUC provides three rules relative to utility undergrounding projects with the State, Rule 20A, Rule 2013, and Rule 20C. The difference among these three rules involves the funding source to pay for underground project costs. Under Rule 20A, private electric and telecommunication companies are required to set aside a certain percentage of their income to achieve the conversion. In the case of Southern California Edison Company (SCE), this conversion outlay is to be expended in cities in the same ratio that the number of customers in each city bears to the total number of customers in the system. For a project to qualify as a 20A project, it must be determined, after consultation with the electric utility, that such undergrounding is in the general public interest for one or more of the following reasons, all of which have been determined to apply to the subject project: (a) Such undergrounding will avoid or eliminate an unusually heavy concentration of overhead electric, facilities; (b) The street or right-of-way is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic; or (c) The street, road, or right-of-way adjoins or passes through a civic area, public recreation area, or an area of unusual scenic interest to the general public. At this time, the City of Santa Ana has a reserve allocation balance of $2,099,820 in Rule 20A funds. The City receives an annual allocation of approximately $539,601 in Rule 20A funds from SCE. Currently, the CPUC allows up to five years of mortgaging, or "saving up," allocations levels by local governments, provided adequate utility capital and personnel are available. The project will have an estimated amount of $6,416,626 in Rule 20A funds by 2021. Notes: ' CPUC Decision 01-12-009 allows local agencies to spend ahead up to five years' worth of annual allocations. Under Rule 2013, the City would fund for most of the cost, excluding the cost of removing overhead poles, lines and facilities. Under Rule 20C, the City would pay for most of the cost, less a credit for the salvage value of the removed facilities. Prepared under t supervision of win "William" G ve City Engineer Public Works Agency City of Santa Ana 75C-4 Page 2 of 3 YEAR 2018 2019 2020 2021 Available Funds Rule 20A Beginning Balance $2,099,820 $2,639,421 $3,179,022 $3,718,623 Rule 20A Estimated Annual Allocation $539,601 $539,601 $539,601 $539,601 Rule 20A Mortgage (up to 5 ears) Not Used Not Used Not Used '$2,698,005 RULE 20A YEAR END BALANCE $2,639,421 $3,179,022 $3,718,623 $6,416,628 Notes: ' CPUC Decision 01-12-009 allows local agencies to spend ahead up to five years' worth of annual allocations. Under Rule 2013, the City would fund for most of the cost, excluding the cost of removing overhead poles, lines and facilities. Under Rule 20C, the City would pay for most of the cost, less a credit for the salvage value of the removed facilities. Prepared under t supervision of win "William" G ve City Engineer Public Works Agency City of Santa Ana 75C-4 Page 2 of 3 October 16th, 2018 UUD No. 37 Page 3 of 3 75C-5 District Boundary Map PHASE t t - � a Q G 1 J N N W W t 75'W 0 W N J N N /BOUNDARY AREA amara w o ...® �o www>avvwavvm®w e<. F Ln N N �— WARN R AVENUE ®mm r N ~ wsamvmwm asm.aa wm®v®mr OUNOARY AREALa masmw®� W Z a �Cyi a J V a ll e C w z N Z O 5 N be ¢ i a W OUNDARY AREA F Y I . 2 I U W am.mmww .v ommmamrswm mw.vva.� 'A Ln r WARN R AV NU ti N t(1 mwwR'iwwm ��w - wi>�w�wm'iwmYmiwwCmwwwYmt'ei6 ifw d~ ®wCwOmw w BOUNDARY AREA®®w W w �w ePHASE 2 ¢ J u � Q W y W 4 a: x OUNDARY AREA vamwwvm..d.wwm. m.v-. a vwww..-mw..v wmm®v mom m ti / /WARN R AVENUE ti m® ~ my .w n wv wwamw:mvarnw®®wv�® vv.v®sws: we®vm v O AREA BOUNDARY AREA a 75 Z Q a PHASE 2 a. M LEGEND: 1 BOUNDARY AREA EXHIBIT A PROPOSED BOUNDARIES OF WARNER AVENUE FROM MAIN STREET TO GRAND AVENUE UTILITY DISTRICT (UD NO, 37) Page 3 of 3 75C-5 75C-6 jmf 9/28/18 RESOLUTION NO. 2018 -XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA TO ESTABLISH UNDERGROUND UTILITY DISTRICT NO. 37, WARNER AVENUE FROM MAIN STREET TO GRAND AVENUE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. Chapter 37 of the Santa Ana Municipal Code describes the procedures for establishing an underground utility district. These procedures Include the calling of a public hearing by the City Council to ascertain whether the public necessity, health, safety, or welfare requires the removal of poles, overhead wires, and associated overhead structures within designated areas of the City and the underground Installation of wires and facilities for supplying electric communication, or similar or associated service. B. If, after such public hearing, the City Council finds that the public necessity, health, safety, or welfare requires such removal and underground installation within the designated area, the City Council shall declare by resolution the designated area an underground utility district and order such removal and underground installation. C. . On July 17,.2G18, the City Council adopted Resolution No. 2018-052 declaring its intention to establish Underground Utility District No. 37, to be located along Warner Avenue from Main Street to Grand Avenue, and calling a public hearing for this purpose on October 16, 2018, at 5:45 p.m. or as soon as possible thereafter, in the Santa Ana City Council Chambers, 22 Civic Center Plaza, Santa Ana, California. D. Notice was given to all affected utilities and property owners concerned as shown on the last equalized assessment roll of the time and place of such hearing at least ten days prior to the date thereof. E. On October 16, 2018, the City Council duly held a public hearing, at which all persons interested were given an opportunity to be heard. F. An Engineer's Report for Underground Utility District No. 37 was prepared prior to the holding of the public hearing and submitted at the time thereof. A copy of this report will be kept on file with the Clerk of the Council. Section 2. The City Council of the City of Santa Ana hereby finds and determines that 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 or associated service, within that Resolution No. 2018 -XXX Page 1 of 3 Exhibit 2 75C-7 jmf 9/28/18 area of the City along Warner Avenue from Main Street to Grand Avenue, as shown on the map attached as Exhibit A. Section 3. Pursuant to Santa Ana Municipal Code Section 37-4, the above- described area as depicted on Exhibit A is hereby designated as Underground Utility District No. 37 of the City of Santa Ana. Section 4. The City Council furtherfinds and determines that Underground Utility District No. 37 is created in the general public interest because such undergrounding will avoid or eliminate an unusually heavy concentration of overhead electric facilities, the street or right-of-way is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic, and the street, road, or right-of-way adjoins or passes through a civic area, public recreation area, or an area of unusual scenic interest to the general public. Section 5. The City Council orders the removal of all poles, overhead wires, and associated overhead structures, and the underground installation of wires and facilities for supplying electric communication, or similar or associated service, to be completed within Underground Utility District No. 37 on or before January 1, 2031. Affected property owners must be ready to receive underground service on January 1, 2021. Section 6. Any electric, communication, or similar or associated utility that undertakes underground installation of its facilities under this Resolution shall use its own underground conversion funds to provide to each premises within Underground Utility District No. 37 the installation of up to 100 feet of each customer's underground service lateral that is occasioned by the undergrounding (as well as backfill, paving, and conduit if required). Section 7. The establishment of an underground utility district and the removal of poles and underground installation of overhead wires and associated overhead structures is within the class of projects under Section 15302 of the State CEQA Guidelines, which consists of replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure replaced and will have substantially the same purpose and capacity as the structure replaced, and is therefore categorically exempt from the provisions of CEQA. Section B. Within ten (10) days of the effective date of this Resolution, the Clerk of the Council shall notify all affected utilities and all persons owning real property within Underground Utility District No. 37 of the adoption thereof, The Clerk shall further notify such affected property owners of the necessity that, if they or any person occupying such property desire to continue to receive electric, communication, or similar or associated service, they or such occupant shall provide all necessary facility changes on their premises so as to receive such service from the lines of the supplying utility or utilities at a new location, subject to the applicable rules, regulations, and tariffs of the respective utility or utilities on file with the California Public Utilities Commission. The notification required by this Section 8 shall be made by mailing a copy of this Resolution, together with a copy Resoldon No. 2018-)= Page 2 of 3 75C-8 jmf 9128118 of Chapter 37 of the Santa Ana Municipal Code, to affected property owners as shown on the last equalized assessment role and to the affected utilities. Section 9. This Resolution shall take effect immediately upon Its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this 16th day of October, 2018. Miguel A. Pulido Mayor APPROVED AS TO FORM: Sonia R. Carvalho, City Attorney By: %,—f +r�L ohn M. Funk Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers CERTIFICATE OF ATTESTATION AND ORIGINALITY I, Maria D. Huizar, Clerk of the Council, do hereby certify the attached Resolution No. 2018- to be the original resolution adopted by the City Council of the City of Santa Ana on October 16, 2018. Date: Clerk of the Council City of Santa Aha 75C-9 Resolution No. 2018 -XXX Page 3 of 3 October 16th, 2018 UUD No. 37 75C-10 Ln ,,mUNDARY .. ---- ---- Ed pZ10i� :1 1•' //%---- -//Y�///O///� %�///�/�///%%�%%///��/moi, ' BOUNDARY PHASE 2 LEGEND:Cr BOUNDARY - EXHIBIT A PROPOSED BOUNDARIES OF WARNER AVENUE FROM . GRAND AVENUE UTILITY DISTRICT . NO. 75C-10