02-06-2001 - Cameron Avenue Underground Utility District #6 StatusCity of West Covina
0 Memorandum
� TO: Daniel G. Hobbs, City Manager AGENDA
ITEM NO. C-8c
and City Council DATE February 6, 2001
FROM: Thomas M. Mayer.
Public Works Director/City Engineer
SUBJECT: CAMERON AVENUE UNDERGROUND UTILITY DISTRICT NO.6 STATUS
SUMMARY: The Southern California Edison Company has suspended work on Cameron Avenue
Underground Utility District No. 6 from Pacific Avenue to Hollenbeck Street. This
report summarizes the work accomplished to date and the remaining work.
BACKGROUND:
In June 1998, the City Council established Underground Utility District No. 6 on Cameron Avenue
from Pacific Avenue to the easterly City limit near Grand Avenue. Due to the size and expense of the
project, it was approved in two phases with Phase I from Pacific Avenue to Hollenbeck Street and with
Phase II from Hollenbeck Street to the easterly City limit. The first phase was initially established for
completion by the end of 2000 and later extended to mid 2001 to accommodate the schedule of
Verizon (formally GTE). The second phase is established for completion in late 2005. The end result
is that all overhead utility lines will be removed and replaced with underground lines.
The overall project cost is estimated at $6 million with $4 million for Phase I and $2 million for Phase
II for the work for Southern California Edison Company (SCE). The work for Verizon and Charter
Communications is additional and is paid for by those companies.
The work for SCE is paid through Public Utilities Commission (PUC) Rule 20a, whereby SCE sets
aside funds each year on behalf of public agencies to be used for undergrounding of electric wires.
West Covina is credited with about $337,000 per year.
DISCUSSION:
SCE began physical work on Phase I of Underground Utility District No. 6 in early 2000. To date, all
the underground conduits have been installed, all the street repairs have been finished, and the new
street lights have been installed. However, no underground wiring has been installed and the new
lights cannot be energized.
The next steps in the project are for SCE to install their new underground wiring, convert existing
services to the new wiring and then remove the old overhead wires. Work by Verizon and Charter
Communications would then follow in a similar manner.
With the current energy crisis, SCE has suspended work on this project. The only immediate negative
effect of this suspension is that a double set of street lights will remain until the work resumes. As
time goes on, the City will receive ever greater inquiries as to the status of the project and in particular
as to all the extra street lights which are apparently not working.
Staff will send a letter to the affected property owners. Also, letters from the Mayor or Mayor Pro Tern
to SCE and to the PUC, protesting the project suspension is recommended. This is especially critical
since the funds being used for the project are set aside funds designated for the benefit of West Covina
under PUC rules. Drafts of the recommended letters are attached.
FISCAL IMPACT:
There is no fiscal impact at this time.
OPTIONS:
The City could take a wait and see approach or the City could voice its displeasure to other additional
persons and entities such as State Legislatures, the Governor, and the League of California Cities.
\\JUPITER\BLDE'S FILES\AGENDA - 2001\UUD# 66.doc
c'
4
Daniel G. Hobbs, City Manager
and City Council
Page 2 — February 6, 2001
RECOMMENDATION:
It is recommended that the City Council authorize the Mayor or Mayor Pro Tem to send letters to
Southern California Edison Company and to the State Public Utilities Commission protesting the
suspension of work on Cameron Avenue Underground Utility District No. 6.
A4�:�el --
Thomas M. Mayer
Public Works Director/City Engineer
Attachment
0
\UUPITER\BLDE'S FILES\AGENDA - 2001\UUD#6.doc 2001-0107 '
•
(Date)
DRAFT LETTER
Southern California Edison Company
Gentlemen:
As you are aware, the State Public Utilities Commission Rule 20a requires that funds be set aside
on behalf of cities and counties for the replacement of overhead electrical lines with underground
lines. In June 1998, the City of West Covina established Underground Utility District No. 6
along Cameron Avenue from Pacific Avenue to the easterly City limit near Grand Avenue. Due
to the size of the district, the work was split into two phases.
Physical work on the first phase, from Pacific Avenue to Hollenbeck Street, began in early 2000
with completion scheduled for mid 2001. To date, the conduits and new street lights have been
installed. Recently, the City was notified that you have suspended work on the project.
The City recognizes that you are facing some serious financial challenges, however, this project
is fully funded with Rule 20a funds designated and set aside for the benefit of the City of West
Covina. It is imperative that this project be resumed immediately and continue until completed
as scheduled.
If you are unable or unwilling to resume work on this project immediately, please notify me as
soon as possible so that the City can consider further actions to resolve this issue.
Sincerely,
Steve Herfert
Mayor
Cc: Daniel G. Hobbs, City Manager
Thomas M. Mayer, Public Works Director/City Engineer
State Public Utilities Commission
0 •
DRAFT LETTER
(Date)
California Public Utilities Commission
Gentlemen:
The City of West Covina has a Public Utilities Commission Rule 20a funded project on which
the Southern California Edison Company has suspended work as explained in the attached copy
of a letter which the City has sent to Southern California Edison Company. The City requests
that the Public Utilities Commission review this matter on a priority basis and direct the
Southern California Edison Company to immediately resume work on this Rule 20a project.
Even though Southern California Edison Company is undergoing significant financial
challenges, the City does not understand how stopping a Rule 20a project will be any assistance.
The Public Utilities Commission has designated how those funds are to be used. The City is
unaware of any change in that designation.
Please notify me as soon as possible as to your action on this request.
Sincerely,
Steve Herfert
Mayor
Attachment
Cc: Daniel G. Hobbs, City Manager
Thomas M. Mayer, Public Works Director/City Engineer