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HomeMy WebLinkAboutPalm+Desert+UD+Master+PlanMarch 22, 2018 UTILITY UNDERGROUNDING MASTER PLAN CITY OF PALM DESERT Page 1 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Table of Contents SECTION PAGE 1. Executive Summary .................................................................................................................2 2. Introduction / Project Approach .............................................................................................9 3. Maps Identifying Area Served by Above Ground Utility Infrastructure .................................11 4. Identification and Prioritization of Locations Eligible for Rule 20A Funding ...........................16 5. Rule 20B Boundary Maps / 20C Projects ...............................................................................25 6. Rule 20A Credits, Funding Approaches for Rule 20B Projects ................................................54 7. Cost Estimates for Undergrounding .......................................................................................61 8. Streamline Assessment District Formation Process - Utility Undergrounding Guide .............66 9. Metric for Measuring the City’s Annual Investment and Progress for Community Wide Undergrounding .....................................................................................................................73 APPENDIX 1 .................................................................................................................................75 Page 2 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 1. EXECUTIVE SUMMARY A. Background Since shortly after Palm Desert’s incorporation as a city in 1973, new development here has been required to underground utilities. The poles and wires that crisscross some of the community’s older neighborhoods illustrate that many homes, built prior to incorporation, continue to be served by above ground utility lines. Residents in these areas have expressed concern about the safety, aesthetics, and negative impact on property values caused by above ground utility lines. In response to these concerns, Palm Desert’s City Council in March 2015 approved the formation of an ad hoc Committee to study utility undergrounding in Palm Desert. Composed of eight citizen representatives and two City Council members and operating on the premise that underground utilities are preferable to unsightly above ground lines and poles, the Committee reached a consensus that the relocation of utility lines below ground should be a municipal priority. The Committee determined that an early and important step in the process should be the preparation of an undergrounding master plan. In April 2016, the City Council approved the Committee’s recommendations, adopting the undergrounding of all utility lines in Palm Desert as a goal. The Council also authorized the hiring of a consultant to create an undergrounding master plan. The master plan lays out a number of ways that utility undergrounding can occur in Palm Desert. For neighborhoods, however, the most common way to accomplish utility undergrounding is for neighbors to form an assessment district. B. Scope of Work Create a utility undergrounding master plan for the City that includes the following elements: 1. A map identifying areas served by above ground utility infrastructure; 2. Identification and prioritization of locations eligible for Rule 20A funding; 3. An outline of potential boundaries for utility undergrounding assessment districts in residential and commercial areas ineligible for Rule 20A funds that would be logistically and economically feasible; 4. Research and analysis on a toolbox of funding mechanisms for undergrounding that include 20A credits, but also addresses other approaches for 20B projects, such as Enhanced Infrastructure Financing Districts, a utility tax with proceeds dedicated to utility undergrounding, purchasing Rule 20A credits from other agencies, or other innovative funding methods; 5. Calculations and refined cost estimates for utility undergrounding including updated engineer estimates to arrive at reliable construction costs for proposed projects; 6. Estimates for the mainline construction, and the costs anticipated for the construction from the mainline to the panel. 7. Recommendations on ways to simplify and streamline the City’s existing assessment district formation process, including the creation of a Utility Undergrounding Guide to be available, at City Hall and online, to property owners interested in learning more about the process. 8. Identification of a metric for measuring the City’s annual investment in and progress toward the goal of community-wide undergrounding. Page 3 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN C. 20A Projects 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20A Aboveground Utility Locations City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 2 / 8 / 2 0 1 8 1 : 3 8 : 1 2 P M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Rule 20A Projects Arterial Streets Streets CityBoundary Oc o t i l l o Hays t a c k Ch i a Hovely RR R O W - I - 1 0 D. The Following Are The City’s Potential Rule 20A Projects With SCE Comments: Country Club Drive This qualifies, but very expensive due to transmission circuit plus 2 distribution circuits Frank Sinatra 1 This qualifies, but is very expensive due to transmission voltage Frank Sinatra 2 This qualifies and is a nice project due to only one distribution circuit Gerald Ford Drive This qualifies as a Rule 20A, but due to transmission corridor it is typically 2X as expensive as distribution Monterey Ave This qualifies as a Rule 20A, but due to transmission corridor it is typically 2X as expensive as distribution. Also, I don’t see the value in including OH distribution crossing of the RR tracks on the north end of the project, but it does qualify Portola Ave This qualifies but is expensive, sections of it are double transmission circuited plus a distribution circuit. Each transmission line requires its own ducts and structures. This entire corridor would be 5X as expensive as a typical R20A. Also, the section that goes off onto (possibly) private property between Portola and Frank Sinatra may not qualify and might need to be excluded Tamarisk Row This qualifies but very expensive due to transmission circuit Chia Drive This qualifies, is a nice project and not too expensive SCE recommends Frank Sinatra 2 to be our highest priority project, then Chia Drive. For more detail, see pages 17-24. Page 4 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN E. 20B Projects 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G HW A Y 7 4 HOVLEY TO W N C E N T E R FRED WARING Symbology Oc o t i l l o Hays t a c k 20C Projects 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20C Aboveground Utility Locations City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 2 / 8 / 2 0 1 8 1 : 4 3 : 5 4 P M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Rule 20C Projects Arterial Streets Streets CityBoundary Oc o t i l l o Hays t a c k Hovely RR R O W - I - 1 0 For more detail, see pages 26-47 For more detail, see pages 48-53 Page 5 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN F. Rule 20A Credits Palm Desert’s Rule 20A balance is $785,312 with an annual allocation of $72,944. The following is the criteria for determining Rule 20A funded projects: 1. The undergrounding will avoid or eliminate an unusually heavy concentration of overhead utility facilities 2. The road or right-of-way occupied by the facilities is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic 3. The road or right-of-way adjoins or passes through a civic area, public recreation area, or an area of unusual scenic interest 4. The street or road or right-of-way is considered an arterial street or major collector as defined in the Governor’s Office of Planning and Research General Guidelines Cities can purchase credits outside their immediate area. As an example, Laguna Beach recently purchased $300,000 in Rule 20A credits from Indian Wells for $165,000. We have seen a range of $.50/ dollar to $.55/dollar to purchase credits from other cities. Buying credits is a very viable approach to assist in funding Rule 20A projects. It requires finding cities who are interested in selling their 20A credits. Rule 20A projects can become Rule 20C projects if other funding is found. Brian Kolka of SCE, told us the following on December 13, 2017, “Rule 20A allocation funding for each agency is determined by Edison’s R20A annual budget. And our budget was cut by 40% for the 2015 Rate Case and we anticipated that it will be cut another 50% with the 2018 Rate Case.” For more detail, see page 54 and Appendix 1. Rule 20B Funding Approaches Projects that do not qualify for Rule 20A funds and were not completed through property development are designated as Rule 20B projects. Rule 20B projects have traditionally been funded through the 1913 Act Assessment Districts. Additional funding mechanisms reviewed include the following: 1. Enhanced Infrastructure Financing Districts (EIFD) 2. Utility User Tax 3. Mello-Roos CFD 4. Utility Surcharge Rule 20C Rule 20C projects are projects that don’t qualify for Rule 20A credits and do not fit well in Rule 20B type projects. Rule 20C undergroundings typically are privately funded or a part of a public project. In many cities, when land is redeveloped, owners are required to relocate the utilities underground, so Rule 20C is utilized in those situations. Rule 20C is by far the predominate mechanism for undergrounding overhead utilities in the State of California. Page 6 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Several of these options are feasible, pros and cons are listed below: EIFD This mechanism was really designed for undeveloped properties that want to develop to pay for needed infrastructure to support development. Money is borrowed against the tax increment that is developed from the undeveloped property value to the developed property value. Since the proposed utility undergrounding work is proposed primarily on already developed land, the tax increment captured will be relatively small. This approach does not appear practicable for undergrounding overhead utilities in Palm Desert. Utility User Tax This is a feasible mechanism to generate funds for undergrounding overhead utilities. Concerns would be that these are typically enacted City wide and would include a lot of properties that have their utilities already undergrounded if all facilities are included. If it is placed on the ballot as a general services usage, it requires a 50 percent registered voter approval. If it is for a special purpose, like an undergrounding overhead utilities program, it requires a two-thirds registered voter approval. A two-thirds registered voter approval is difficult to achieve particularly when half the City already has utilities that are undergrounded. This could be a viable option for a City wide vote for 20A and 20C projects not including 20B projects. Mello-Roos CFD This is a feasible mechanism to generate funds for undergrounding overhead utilities. A positive attribute is that the CFD could be prepared with 2 zones, one City wide for non-Rule 20B projects and then another zone for all Rule 20B type projects. The downside is that it requires a two-thirds voter approval to approve the CFD. This seems to be a viable option for funding City wide projects, Rule 20A and Rule 20C. Utility Surcharge This may be a feasible mechanism to funding underground projects. It is recommended that the City not consider proceeding in this manner until final court rulings have been made for the Cities of Santa Barbara and San Diego. The traditional 1913 Act assessment district is still a viable mechanism but it is often criticized for being a slow process, costly and property owner drive. The following are suggestions on how to save costs to the District and time: 1) Form the assessment district before preparing PS&E. 2) Consider having the City bid and manage their undergrounding projects themselves. SCE tacks on a 42% management fee on all civil work included in the project. As an example, the City of Laguna Beach has managed their own projects at a considerable savings for thirty (30) years. SCE has no added management fee for just their work. 3) Consider having all civil work as a separate City project not included in the District. 4) Develop a fund for soft costs and not charge the assessment district such as: Assessment Engineering, PS&E, Construction Management and Inspection for approved districts. Currently, the largest amount of time is spent on preparing PS&E. SCE will only allow their staff and select consultants to prepare PS&E, which usually takes 1.5 to 2.0 years. Page 7 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN For more detail, see pages 54-60. G. Cost Estimates For Undergrounding The costs reflected in this utility undergrounding master plan are planning level costs covering a wide range of factors including, but not limited to, utility type (distribution versus transmission), existing terrain, soil conditions, distance, depth of road trenching, road resurfacing, construction methods, traffic control situations, public notifications, service run costs and service entrance reconfiguration costs. Preliminary budget estimates for construction costs for the underground conversion were quantified on a linear foot basis with an approximate unit cost of $1,000 per linear foot for distribution lines and approximately $1,500 per linear foot for transmission lines, which were based on discussions with Southern California Edison Project Management staff and research of similar utility undergrounding projects performed by other public agencies within Southern California. Additionally, the cost to convert overhead service drops to underground varies from $3,000 to $10,000 per property and is based on a number of factors, including the distance from the mainline to the meter based on the property owner’s home (the longer the distance, the greater the cost for trench excavation, backfill, conduit, pull tape, fittings, etc.) or whether the contractor is able to bury the line in a trench rather than having to bore under a driveway, retaining wall, fence, etc. Additional cost factors include ease of access, potential tree removals, tree trimming, easement or right of way costs. (It should be noted the costs of the underground conversion of service drops is not reflected in the “total preliminary estimated cost” shown below). A comparison summary of the Citywide Undergrounding Preliminary Opinion of Probable Costs for the various Rule 20 projects is provided below in 2017 dollars: • Rule 20A total preliminary estimated cost = $ 147 million +/- • Rule 20B total preliminary estimated cost = $ 433 million +/- • Rule 20C total preliminary estimated cost = $ 34 million +/- TOTAL PRELIMINARY ESTIMATE COST = $ 614 million +/- The breakdown of each total preliminary estimate cost considered the following: • Construction Cost for Underground Conversion (approximately $1,000 per linear foot for distribution lines and approximately $1,500 per linear foot for transmission lines) • General Construction Items of Work (includes, but not limited to, mobilization / demobilization, traffic control, clearing and grubbing, shoring, trench safety, road trenching and resurfacing. Cost is approximately 10% of the Construction Cost of Underground Conversion) • Engineering (Design and/or Assessment) & Construction Management / Inspection fees (cost is approximately 15% of the Construction Cost of Underground Conversion) • 30% Contingency (planning level) For more detail, see pages 61-65. It is the author of this report’s opinion that a really sound approach to funding the undergrounding of the City’s overhead utilities would be twofold as follows: 1) Put in place a utility user tax or property tax (such as a Mello-Roos CFD) to pay for Rule 20A (when Rule 20A credits are not available) and Rule 20C projects. This would be a City wide tax requiring two-third voter approval. 2) Continue with Rule 20B projects through assessment districts incorporating recommendations in this report. Page 8 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN H. Streamline Assessment District Formation Process - Utility Undergrounding Guide There are two basic approaches to forming Undergrounding Utility Assessment Districts. One is to prepare complete plans and specifications and have construction bids in hand before forming the Assessment District; the other is to form the Assessment District and then prepare plans and specification and then get construction bids. Both processes have pros and cons as described below: Design: Before District Formation Pro • Advantage is costs are known before balloting and forming the District Con • Plans, specifications and bidding process must be paid for up front before forming the District • After paying the up front costs, the District could fail to be formed • It can take two years to have the plans and specifications prepared and construction bids received and support for the District could change during this period Design: After District Formation Pro • Once the petition is approved, the City can immediately order the Engineer’s Report, go to ballot and form the Assessment District • Up front costs are significantly less and the time period to form the District is reduced to about 3-4 months • It is known whether you have an Assessment District before preparing plans and specifications and obtaining bids Con • Disadvantage is the bids could come in higher than the estimated cost in the Engineer’s Report causing a shortfall in assessment funds For more detail, see pages 66-72. I. Metric For Measuring The City’s Annual Investment And Progress For Community Wide Undergrounding For more detail, see pages 73-74. Page 9 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 2. INTRODUCTION / PROJECT APPROACH The City of Palm Desert’s RFP, dated May 1, 2017 identified the following key elements that needed to be addressed in the preparation of the Utility Undergrounding Master Plan. Utility Research & Coordination and GIS Mapping Utility coordination is an integral element in the planning and implementation of the Utility Undergrounding Master Plan. Accurate and complete mapping of the City’s 67 miles of above ground utilities is essential for maintaining the overall project schedule and budget. PENCO’s proactive management of the relationships with the utility providers involved with this project is the key to the success of this task. PENCO immediately began the utility coordination process via initial utility research and investigation, developed utility contacts through the utility notification process and performed site investigations to verify existence and locations of power poles and above ground utilities to confirm the accuracy of the utility maps we obtained. Additionally, PENCO utilized the information collected from the utility maps and field visits to build onto the City’s and utility owner’s Geographical Information System (GIS) framework as a basis of informing residents and the public community of identifying and locating the above ground utilities within City limits. The GIS spatially models the location (XYZ, as needed) of the power poles, wires, guy wires, supports and conduits, risers, above ground distribution transformers in detail. The resultant GIS represents the integration of above ground utility information previously only retrievable via field visits and drawers full of detailed drawn underground electric, cable TV and telephone utility plans into one seamless utility wide map. When viewed in the context of geography, the City’s aboveground utility data is quickly understood by the public, and provides efficient delivery of map and geographic record information to the public, City staff and other agencies and special interest groups. Rule 20A The following criteria has been applied throughout the City of Palm Desert to determine potential Rule 20A funded projects: 1. The undergrounding will avoid or eliminate an unusually heavy concentration of overhead utility facilities 2. The road or right-of-way occupied by the facilities is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic 3. The road or right-of-way adjoins or passes through a civic area, public recreation area, or an area of unusual scenic interest 4. The street or road or right-of-way is considered an arterial street or major collector as defined in the Governor’s Office of Planning and Research General Guidelines A list of projects have been identified by PENCO and Southern California Edison (SCE) has confirmed the list. The list is attached herein for City staff review. Page 10 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Rule 20B These are project areas that do not receive Rule 20A funds and have already been developed with over head utilities and will not be redeveloped in the near future. These potential project areas have been reviewed and boundaries determined. The state enabling Acts for undergrounding districts were applied along with Proposition 218 as applicable. All potential boundaries will be reviewed with City staff and confirmed. Funding Mechanisms and Streamling the Formation Process All possible funding mechanisms for Rule 20A & B projects will be considered. Those mechanisms will include the following: 1. Rule 20A credits 2. Purchasing 20A credits from other Cities 3. Enhanced Infrastructure Financing Districts (EIFD) 4. Utility Tax 5. Mello-Roos CFD 6. Utility Surcharge (City of San Diego as an example) 7. Traditional 1913 Act Assessment District with a streamline approach Each alternative is summarized in this Master Plan Report with a description of pros and cons. All work has been completed in compliance with the RFP and results are described on the following pages. Page 11 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 3. MAPS IDENTIFYING AREA SERVED BY ABOVE GROUND UTILITYINFRASTRUCTURE Based on the research conducted during the preparation of this master plan, the City of Palm Desert encompasses approximately 67 miles of above ground utility lines that traverse arterial, secondary, collector and local streets. See Figure 1 of an overview map showing the approximate locations of the above ground utilities within City limits and see Figure 2 for a map depicting the locations of the Rule 20A projects, Rule 20B boundaries and Rule 20C projects. To document and maintain accurate records of areas served by above ground utility lines, a Geographic Information System (GIS) geodatabase has been prepared and referenced in the City’s ArcGIS network. The following sections describe the methodology for identifying the master plan study area within the City of Palm Desert, evaluating the data collected via requests for utility inventory maps, GPS survey and field investigations and a brief description of basis of the development and contents of the City’s GIS geodatabase of the aboveground utilities. 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Aboveground Utility Locations Vicinity Map City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 1 2 / 1 5 / 2 0 1 7 8 : 2 2 : 4 9 A M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Arterial Streets Streets Aboveground Utility Locations CityBoundary Figure 1 - Vicinity Map Page 12 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20A, 20B & 20C Designations City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 2 / 8 / 2 0 1 8 1 : 3 8 : 1 2 P M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Rule 20A Projects Rule 20B Boundary Maps Rule 20C Projects Arterial Streets Streets CityBoundary Oc o t i l l o Hays t a c k Ch i a Hovely RR R O W - I - 1 0 Figure 2 - Rule 20A, 20B, and 20C Designations Page 13 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Methodology The following methodology was adopted in development of an inventory facilities map of the existing above ground utilities within City limits: • Research of utility records, including identification of dry utility owners and issuance of letters to utility agencies requesting facilities inventory maps • Obtain and digest City’s Geographic Information System (GIS) • Field Data Collection via Global Positioning System (GPS) Survey • Field Investigation of the existing above ground utility infrastructure Data Collection In August 2017, City’s Public Works (Engineering) Department staff initiated research of utility records via issuance of letters to the utility agencies, listed in Table 1 below, requesting inventory maps of above ground facilities. The table also summarizes responses received from the utility agencies from the map request letter. Table 1: Utility Contact List Utility Agency Type of Utility Utility Contact Info Response to Map Request Letter Facilities present within City limits? Facility Maps provided to City? Southern California Edison (SCE) Electric Facilities Map: Map Requests, Building D PO Box 11982 Santa Ana, CA 92711-1982 SCE Distribution Contact: Brian Kolka Distribution Project Manager 24487 Prielipp Drive Wildomar, CA 19596 Tel: (951) 249-8596 Brian.Kolka@sce.com Yes Pending (as of Dec 2017) Frontier Communications Telephone and Fiber Communications Contact: Desiree Serrano Engineer Apprentice 9 S. 4th Street Redlands, CA 92373 Desiree.serrano@ftr.com Contact: J. Luis Becerra OSP Engineering & Network Engineering 295 N. Sunrise Way Palm Springs, CA 92262-5295 Tel: (760) 778-3621 luis.becerra@ftr.com Yes Yes Page 14 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Utility Agency Type of Utility Utility Contact Info Response to Map Request Letter Facilities present within City limits? Facility Maps provided to City? Charter Communications (formerly Time Warner Cable) Cable TV 83473 Avenue 45 Indio, CA 92201-7333 Contact (North of Country Club Dr): Dmitri Hernandez Tel: (760) 674-4450 Dmitri.Hernandez@charter.com Contact (South of Country Club Dr): Grant Jaeger Tel: (760) 674-5540 Grant.Jaeger@charter.com Response pending (as of Dec 2017) Imperial Irrigation District Water & Power Contact: Marco Bautista 81-600 Avenue 58 La Quinta, CA 92253 Tel: (760) 398-5816 mbautista@iid.com Response pending (as of Dec 2017) Southern California Gas Company Gas Contact: Michael Jacob Technical Services Supervisor 1981 West Lugonia Avenue, SC8031 Redlands, CA 92374 No N/A (since no facilities present within City limits) Coachella Valley Water District Water & Sewer Contact:Tyler Hull PO Box 1058 Coachella, CA 92236 Tel: (760) 398-2651 thull@cvwd.org No N/A (since no facilities present within City limits) Generally, SCE owns and maintains most of the power poles in the City. SCE operates two different types of major overhead facilities: namely, distribution and transmission lines. The distribution line system receives power from the transmission system and makes electricity available at a usable voltage to smaller areas. The transmission line system provides high voltage services to a large regional area. Frontier telecommunications service lines were also found on SCE distribution poles, and service the same parcels as SCE. Additionally, GIS facility maps were obtained from the City, which contained streets, parcel lines, boundaries, street centerlines and benchmark monumentation. The City’s control network is based upon California Coordinate System CCS83, Zone 6, 2004 Epoch. To further develop an accurate depiction of the above ground utility lines, a detailed GPS survey was performed to geospatially (i.e. collect XYZ coordinates) locate the position of the existing power poles within City limits. Generally, the power poles were located along the sidewalk / parkways of City streets. Page 15 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN However, several power poles were observed to be located in the backyards of resident’s homes. Subsequently, a field investigation was conducted to perform a quality control check of the GPS survey and to collect the following data: • Power Pole ID# (designated by SCE) • Type of Pole (e.g. wood) • Bearing / direction of above ground utility lines • Quantity of above ground utility lines (from pole to pole) • Existence of transformers • Existence of guy anchors The data collected from the utility atlas maps, record drawings, GPS survey and field reviews were digested, further refined and ultimately utilized to generate an inventory database of above ground utility lines in GIS electronic format. Geographic Information System (GIS) Database of Above Ground Utilities Mapping and data analysis for this master plan utilized ArcGIS Desktop software. ArcGIS Desktop has a map-making interface where users are able to add several map layers containing geospatial data for storing, checking and displaying data within a common geographic framework. The GIS database was compiled using ArcGIS Desktop which uses northing and easting coordinates gathered through the GPS survey and field review performed, and facility maps obtained of the above ground utility lines. The visual features that appear on the GIS map are physical power poles and areas where the wires anchor into the ground (i.e. guy anchors). These features are linked to an attribute table that has one row per feature that describes other characteristics that are not visually represented on the map, such as pole owner, direction and number of overhead wires, the presence of a transformer, and the presence of a cobra head street light on the pole, but pertain to characterizing the power pole. The data collected for the GIS database also contributed to the delineation of Rule 20A or Rule 20C areas (organized by street) and Rule 20B areas (organized by assessment districts). Page 16 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 4. IDENTIFICATION AND PRIORITIZATION OF LOCATIONS ELIGIBLE FOR 20A FUNDING Rule 20A projects have been determined by using the methodology described in Section 2 and field review by our project manager. The Rule 20A projects are depicted on pages 17 through 24. These maps also indicate the linear footage of power line to be removed and the number of power poles to be removed. We had SCE, Brian Kolka, review our proposed Rule 20A projects, they concurred with our list and offered the following comments: Rule 20A: Country Club Drive This qualifies, but very expensive due to transmission circuit plus 2 distribution circuits Frank Sinatra 1 This qualifies, but is very expensive due to transmission voltage Frank Sinatra 2 This qualifies and is a nice project due to only one distribution circuit Gerald Ford Drive This qualifies as a Rule 20A, but due to transmission corridor it is typically 2X as expensive as distribution Monterey Ave This qualifies as a Rule 20A, but due to transmission corridor it is typically 2X as expensive as distribution. Also, I don’t see the value in including OH distribution crossing of the RR tracks on the north end of the project, but it does qualify Portola Ave This qualifies but is expensive, sections of it are double transmission circuited plus a distribution circuit. Each transmission line requires its own ducts and structures. This entire corridor would be 5X as expensive as a typical R20A. Also, the section that goes off onto (possibly) private property between Portola and Frank Sinatra may not qualify and might need to be excluded Tamarisk Row This qualifies but very expensive due to transmission circuit Chia Drive This qualifies, is a nice project and not too expensive SCE recommends Frank Sinatra 2 to be our highest priority project, then Chia Drive. Page 17 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20A Aboveground Utility Locations City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 2 / 8 / 2 0 1 8 1 : 3 8 : 1 2 P M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Rule 20A Projects Arterial Streets Streets CityBoundary Oc o t i l l o Hays t a c k Ch i a Hovely RR R O W - I - 1 0 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 18 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: COUNTRY CLUB DR DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 16,420 LF POWER POLES TO BE REMOVED: 85 COUNTRY CLUB DR NOT TO SCALE VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 19 STREET: FRANK SINATRA DR NO. 1 DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 1,080 LF POWER POLES TO BE REMOVED: 9 STREET: FRANK SINATRA DR NO. 2 DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 2,290 LF POWER POLES TO BE REMOVED: 8 FRANK SINATRA DR NO. 1 FRANK SINATRA DR NO. 2 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY PREPARED FOR: DATE: ZONE INFORMATION: PREPARED BY: PUBLIC WORKS DEPARTMENT ABOVE GROUND UTILITY TO BE UNDERGROUNDED VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 20 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: GERALD FORD DR DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 5,580 LF POWER POLES TO BE REMOVED: 27 GERALD FORD DR VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 21 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: MONTEREY AVE DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 5,660 LF POWER POLES TO BE REMOVED: 31 MONTEREY AVE VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING MONTEREY AVE MONTEREY AVE NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 22 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: PORTOLA AVE DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 16,630 LF POWER POLES TO BE REMOVED: 87 PORTOLA AVE VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING NOT TO SCALE PORTOLA AVE PORTOLA AVEPORTOLA AVE PORTO L A A V E PORTOLA AVE PORTOLA AVE PORTOLA AVE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 23 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: TAMARISK ROW DR DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 7,600 LF POWER POLES TO BE REMOVED: 37 TAMARISK ROW DR VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING NOT TO SCALE NOT TO SCALE TAMARISK ROW DR TAM A R I S K R O W D R TAMARISK ROW DR TAMARISK ROW DR OASIS CLUB DR FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 24 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: CHIA DR DESIGNATION: RULE 20A TOTAL LENGTH OF UNDERGROUND CONVERSION: 620 LF POWER POLES TO BE REMOVED: 4 CHIA DR I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE Page 25 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 5. RULE 20B BOUNDARY MAPS / 20C PROJECTS Potential Boundaries for Assessment Districts (or Rule 20B projects) have been determined by using the methodology described in Section 2 and field review by our project manager. Please note that some of the boundaries may divide into more than one district. The boundaries are depicted on pages 26 through 47. These maps also list the number of parcels, linear footage of power line to be removed and the number of power poles to be removed. In addition, we have added Rule 20C maps. These are projects that don’t qualify for Rule 20A credits and do not fit well in Rule 20B type projects. Actually, Rule 20C is by far the predominate mechanism for undergrounding overhead utilities in the State of California. Rule 20C undergroundings typically are privately funded or a part of a public project. They follow the Rule 20B maps on pages 48 through 53. Page 26 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20B Aboveground Utility Locations City of Palm Desert Utility Undergrounding Master Plan Symbology Rule 20B Boundary Maps Arterial Streets Streets CityBoundary FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 27 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 001 ASSESSMENT DISTRICT - 001 DESIGNATION: RULE 20B PARCELS: 174 TOTAL LENGTH OF UNDEGROUND CONVERSION: 9,830 LF POWER POLES TO BE REMOVED: 74 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 28 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARY ABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TO SCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 002 DESIGNATION: RULE 20B PARCELS: 34 TOTAL LENGTH OF UNDEGROUND CONVERSION: 2,360 LF POWER POLES TO BE REMOVED: 19 ASSESSMENT DISTRICT - 002 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 29 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 003 DESIGNATION: RULE 20BPARCELS: 71 TOTAL LENGTH OF UNDEGROUND CONVERSION: 5,000 LF POWER POLES TO BE REMOVED: 37 ASSESSMENT DISTRICT - 003 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 30 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 001 DESIGNATION: RULE 20BPARCELS: 110 TOTAL LENGTH OF UNDEGROUND CONVERSION: 5,400 LF POWER POLES TO BE REMOVED: 46 ASSESSMENT DISTRICT - 004 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 31 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 005 DESIGNATION: RULE 20BPARCELS: 528 TOTAL LENGTH OF UNDEGROUND CONVERSION: 22,700 LF POWER POLES TO BE REMOVED: 184 ASSESSMENT DISTRICT - 005 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 32 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 006 DESIGNATION: RULE 20BPARCELS: 394 TOTAL LENGTH OF UNDEGROUND CONVERSION: 21,680 LF POWER POLES TO BE REMOVED: 201 ASSESSMENT DISTRICT - 006 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 33 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 007 DESIGNATION: RULE 20BPARCELS: 115 TOTAL LENGTH OF UNDEGROUND CONVERSION: 4,220 LF POWER POLES TO BE REMOVED: 39 ASSESSMENT DISTRICT - 007 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 34 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 008 DESIGNATION: RULE 20BPARCELS: 198 TOTAL LENGTH OF UNDEGROUND CONVERSION: 10,130 LF POWER POLES TO BE REMOVED: 77 ASSESSMENT DISTRICT - 008 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 35 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 009 DESIGNATION: RULE 20BPARCELS: 36 TOTAL LENGTH OF UNDEGROUND CONVERSION: 2,460 LF POWER POLES TO BE REMOVED: 17 ASSESSMENT DISTRICT - 009 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 36 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 010 DESIGNATION: RULE 20B PARCELS: 240 TOTAL LENGTH OF UNDEGROUND CONVERSION: 13,940 LF POWER POLES TO BE REMOVED: 122 ASSESSMENT DISTRICT - 010 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 37 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 011 DESIGNATION: RULE 20BNUMBER OF PARCELS: 672 TOTAL LENGTH OF UNDERGROUND CONVERSION: 37,770 LF POWER POLES TO BE REMOVED: 296 ASSESSMENT DISTRICT - 011 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 38 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 012 DESIGNATION: RULE 20BNUMBER OF PARCELS: 65 TOTAL LENGTH OF UNDERGROUND CONVERSION: 3,640 LF POWER POLES TO BE REMOVED: 26 ASSESSMENT DISTRICT - 012 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 39 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARY ABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TO SCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 013 DESIGNATION: RULE 20B NUMBER OF PARCELS: 14 TOTAL LENGTH OF UNDERGROUND CONVERSION: 1,150 LF POWER POLES TO BE REMOVED: 10 ASSESSMENT DISTRICT - 013 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 40 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 014 DESIGNATION: RULE 20BNUMBER OF PARCELS: 6 TOTAL LENGTH OF UNDERGROUND CONVERSION: 300 LF POWER POLES TO BE REMOVED: 3 ASSESSMENT DISTRICT - 014 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 41 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 015 DESIGNATION: RULE 20BNUMBER OF PARCELS: 14 TOTAL LENGTH OF UNDERGROUND CONVERSION: 150 LF POWER POLES TO BE REMOVED: 2 ASSESSMENT DISTRICT - 015 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 42 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 016 DESIGNATION: RULE 20BNUMBER OF PARCELS: 498 TOTAL LENGTH OF UNDERGROUND CONVERSION: 31,080 LF POWER POLES TO BE REMOVED: 188 ASSESSMENT DISTRICT - 016 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 43 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 017 DESIGNATION: RULE 20BNUMBER OF PARCELS: 171 TOTAL LENGTH OF UNDERGROUND CONVERSION: 10,160 LF POWER POLES TO BE REMOVED: 74 ASSESSMENT DISTRICT - 017 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 44 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 018 DESIGNATION: RULE 20BNUMBER OF PARCELS: 11 TOTAL LENGTH OF UNDERGROUND CONVERSION: 2,500 LF POWER POLES TO BE REMOVED: 15 ASSESSMENT DISTRICT - 018 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 45 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 019 DESIGNATION: RULE 20BNUMBER OF PARCELS: 221 TOTAL LENGTH OF UNDERGROUND CONVERSION: 14,920 LF POWER POLES TO BE REMOVED: 82 ASSESSMENT DISTRICT - 019 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 46 12/21/2017 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED AREA BOUNDARYABOVE GROUND UTILITY LINE TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: NOT TOSCALE VICINITY MAP NOT TO SCALE AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICT - 020 DESIGNATION: RULE 20BNUMBER OF PARCELS: 25 TOTAL LENGTH OF UNDERGROUND CONVERSION: 7,090 LF POWER POLES TO BE REMOVED: 27 ASSESSMENT DISTRICT - 020 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 47 LEGEND ON-SITE PARCEL OFF-SITE PARCELS POWER POLE TO BE REMOVED ASSESSMENT DISTRICT AREA BOUNDARY POWER LINE TO BE REMOVED 12/21/2017 PREPARED FOR: PREPARED BY: DATE: AREA INFORMATION: I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B OA S I S C L U B FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE ASSESSMENT DISTRICT - 021 DESIGNATION: RULE 20B NUMBER OF PARCELS: 672 TOTAL LENGTH OF UNDERGROUND CONVERSION: 60,060 LFPOWER POLES TO BE REMOVED: 442 ASSESSMENT DISTRICT - 021 FRED WARING NOT TOSCALE Page 48 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 0 6,0003,000 Scale in Feet FRED WARING HIGHWAY 111 PO R T O L A WA S H I N G T O N COUNTRY CLUB DINAH SHORE HIG H W A Y 7 4 HOVLEY TAM A R I S K R O W GERALD FORD DI N A H SH O R E TO W N C E N T E R PO R T O L A MO N T E R E Y DINAH SHO R E EL D O R A D O FRANK SINATRA FRED WARING COOK OA S I S C L U B Rule 20C Aboveground Utility Locations City of Palm Desert Utility Undergrounding Master Plan La s t S a v e d : 2 / 8 / 2 0 1 8 1 : 4 3 : 5 4 P M F : \ J O B \ 2 0 1 7 \ 1 7 0 3 2 \ G I S \ P a l m _ D e s e r t _ M a p . m x d : j d o y l e Symbology Rule 20C Projects Arterial Streets Streets CityBoundary Oc o t i l l o Hays t a c k Hovely RR R O W - I - 1 0 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 49 STREET: DINAH SHORE DR DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 1,670 LF POWER POLES TO BE REMOVED: 11 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT DINAH SHORE DR I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 50 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: HAYSTACK DR AND PORTOLA AVE DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 880 LF POWER POLES TO BE REMOVED: 6 HAYSTACK DR AND PORTOLA AVE I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 51 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: SOUTH OF HOVELY LN ROW DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 5,500 LF POWER POLES TO BE REMOVED: 30 ROW SOUTH OF HOVLEY LN W I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE THESE 2 POWER POLES ARE LOCATED IN THE CITY OF RANCHO MIRAGE. FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 52 STREET: RR ROW I10 NO. 1 DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 390 LF POWER POLES TO BE REMOVED: 4 STREET: RR ROW I10 NO. 2 DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 13,910 LF POWER POLES TO BE REMOVED: 70 RR ROW - INTERSTATE 10 NO. 1 RR ROW - INTERSTATE 10 NO. 2 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY PREPARED FOR: DATE: ZONE INFORMATION: PREPARED BY: PUBLIC WORKS DEPARTMENT ABOVE GROUND UTILITY TO BE UNDERGROUNDED I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 53 12/21/2017 LEGEND POWER POLE TO BE REMOVED ZONE BOUNDARY ABOVE GROUND UTILITY TO BE UNDERGROUNDED PREPARED FOR: PREPARED BY: DATE: ZONE INFORMATION: PUBLIC WORKS DEPARTMENT STREET: OCOTILLO DR DESIGNATION: RULE 20C TOTAL LENGTH OF UNDERGROUND CONVERSION: 310 LF POWER POLES TO BE REMOVED: 4 OCOTILLO DR I-10 F W Y PO R T O L A R D PO R T O L A R D CO O K S T EL D O R A D O OA S I S C L U B GERALD FORD FRANK SINATRA COUNTRY CLUB FRED WARING MO N T E R E Y HIGHWAY 111 HIG H W A Y 7 4 FRED WARING VICINITY MAP NOT TO SCALE NOT TO SCALE OCOTILLO DR CA-74 Page 54 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 6. RULE 20A CREDITS, FUNDING APPROACHES FOR RULE 20BPROJECTS Rule 20A Credits Utility Companies will fund and complete Rule 20A projects through the use of Rule 20A credits. Cities throughout California receive Rule 20A credits on an annual basis and accrue them until they have enough to complete a project. In Palm Desert’s case, as of this writing, the City’s balance is $785,312 with an annual allocation of $72,944. The following is the criteria for determining Rule 20A funded projects: 1. The undergrounding will avoid or eliminate an unusually heavy concentration of overhead utility facilities 2. The road right-of-way occupied by the facilities is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic 3. The road or right-of-way adjoins or passes through a civic area, public recreation area, or an area of unusual scenic interest 4. The street or road or right-of-way is considered an arterial street or major collector as defined in the Governor’s Office of Planning and Research General Guidelines Cities can purchase credits outside their immediate area. As an example, Laguna Beach recently purchased $300,000 in Rule 20A credits from Indian Wells for $165,000. We have seen a range of $.50/ dollar to $.55/dollar to purchase credits from other cities. Buying credits is a very viable approach to assist in funding Rule 20A projects. It requires finding cities who are interested in selling their 20A credits. Rule 20A projects can become Rule 20C projects if other funding is found. Brian Kolka of SCE, told us the following on December 13, 2017, “Rule 20A allocation funding for each agency is determined by Edison’s R20A annual budget. And our budget was cut by 40% for the 2015 Rate Case and we anticipated that it will be cut another 50% with the 2018 Rate Case.” See Appendix 1 for SCE’s list of Rule 20A credit balances as of December 31, 2015. Rule 20B Funding Approaches These projects are those that do not qualify for Rule 20A funds and were not completed through property development also known as Rule 20C. Rule 20B projects have traditionally been funded through the 1913 Act Assessment Districts; a streamline approach is described in Section 7. Other funding mechanisms include the following: 1. Enhanced Infrastructure Financing Districts (EIFD) 2. Utility User Tax 3. Mello-Roos CFD 4. Utility Surcharge (City of San Diego as an example) Page 55 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 1. Enhanced Infrastructure Financing Districts (EIFD) SB 628 (Beall) authorizes the creation of a new governmental entity called an Enhanced Infrastructure Financing District (EIFD). One or more of these districts may be created within a city or county and used to finance the construction or rehabilitation of a wide variety of public infrastructure and private facilities. An EIFD may fund these facilities and development with the property tax increment of those taxing agencies (cities, counties, special districts, but not schools) that consent. EIFD’s are also authorized to combine tax increment funding with other permitted funding sources including: • Property tax revenue distributed to a city, county or special district after payment of a successor agency’s debts • Revenues dedicated by a city or county to the EIFD from property tax corresponding to the increase in assessed valuation of taxable property attributed to those property tax shares received by a city or county pursuant to in lieu of Vehicle License Fees (VLF) • Fee or assessment revenues derived from one of 10 specified existing sources • Loans from a city, county or special district, that must be repaid at no more than the LAIF interest rate that is in effect on the date the loan is approved by the governing board of the city, county or special district making the loan Facilities financed by an EIFD may include but are not limited to: Public Infrastructure and Facilities: • Highways, interchanges, ramps and bridges, arterial street, parking and transit facilities • Sewage treatment, water reclamation plants and interceptor pipes • Facilities for the transfer and disposal of solid waste, including transfer stations and vehicles • Facilities to collect and treat water for urban uses • Flood control levees and dams, retention basins, and drainage canals • Parks, recreational facilities, open space and libraries • Brownfield restoration and other environmental mitigation. A district may use powers of the Polanco Redevelopment Act to remediate property • Projects on a closed military base consistent with approved base reuse plans. Funds may also be used to repay loans made pursuant to Section 67851 to a military base reuse authority on or after the creation of the district Private Facilities: • Acquisition, construction and repair of industrial structures for private use • Transit priority projects as defined under Section 21155 of the Public Resources Code • Projects which implement a sustainable communities strategy • Mixed-income housing developments (An EIFD may fund only those units dedicated to low or moderate income housing, and child care, after-school care and social services) Page 56 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN • Reimbursement of a developer located within the boundaries of a district for permit and other expenses incurred when constructing affordable housing pursuant to the Transit Priority Project Program under Section 65470 of the Government Code • Facilities constructed to house providers of consumer goods and services • Child care facilities Process For Creating An EIFD SB 628 provides that a city or county that created a redevelopment agency may not create an EIFD or participate on the PFA until each of the following has occurred: • The successor agency receives a finding of completion from Department of Finance (DOF) • The city/county certifies to DOF that no former redevelopment agency assets are the subject of litigation involving the state, where the city, successor agency or designated local authority are a named plaintiff, have been or will be used to benefit any efforts on a EIFD until the legal process has concluded • The State Controller has completed its review of agency-city/county asset transfers after January 1, 2011, pursuant to section 34167.5; and the successor agency has complied with the findings and orders of the State Controller stemming from those reviews. If an EIFD is created within a former redevelopment project area, property tax within the area must first be used for payment of the successor agency’s enforceable obligations. Since the City of Palm Desert had a redevelopment agency, all of the above provisions would apply. Adoption of Infrastructure Financing Plan Once any certification associated with the dissolution of a former redevelopment agency is completed, the initiating city or county may establish one or more districts by resolution. Following that, the city or county directs the preparation of an infrastructure financing plan that includes the details of the public facilities and other forms of development that is proposed within the area of the district and how those facilities and development will be funded. A variety of funding sources are available. The legislation envisions the main funding source will be property tax increment generated within the area encompassed by the EIFD. The preparation of an infrastructure financing plan will include discussions with other taxing entities (county, special districts) to determine whether they consent to transferring their share of the property tax increment or other eligible revenue to the EIFD for the purpose of financing facilities and development. Amounts contributed to the district by other taxing entities need not be the same for all taxing entities. There is flexibility for amounts contributed to vary and change over time. Prior to approving a plan, the legislative body shall hold a public hearing with ample notice provisions to provide an opportunity for comments from landowners within the district, taxing agencies, and members of the public. Upon adoption, the plan is transferred to the Public Financing Authority (PFA) for implementation. Page 57 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Provisions Affecting Issuing Bonds, Loan And Audits The PFA may issue bonds payable from funds or properties of the district with 55% voter approval of either voters or landowners within the District. If at least 12 persons are registered to vote within the District, then the vote is by registered voters. If fewer than 12 persons are registered, then the vote is by landowners within the District. Each landowner has one vote for each acre or portion of an acre of land that s/he owns. A public agency is not considered a “landowner” unless all of the land in the district is owned by the public agency. A city, county, or special district that contains territory within the District may loan money to the District to fund the activities described in the Plan at the Local Agency Investment Fund (LAIF) rate of interest in effect at the time of the loan. Every two years after the issuance of bonds, the District must contract for an independent financial and performance audit conducted according to guidelines established by the Controller. A copy of the audit is provided to the Controller, DOF, and the Joint Legislative Budget Committee.1 2. Utility User Tax The Utility User Tax (UUT) may be imposed by a city on the consumption of utility services, including (but not limited to) electricity, gas, water, sewer, telephone (including cell phone and long distance), sanitation and cable television. A county may levy a UUT on the consumption of electricity, gas, water, sewer, telephone, telegraph and cable television services in the unincorporated area. The rate of the tax and the use of its revenues are determined by the local agency. The tax is levied by the city or county on the consumer of the utility services, collected by the utility as a part of its regular billing procedure, and then remitted to the city or county. Most of the cities and counties with UUTs adopted the taxes prior to 1986 by vote of the city council (or in the case of a county UUT, the county board of supervisors). Any increase or extension of a local tax now requires voter approval. Statewide, city and county utility user taxes generate nearly $2 billion per year. Exemptions State and federal government agencies, and gas and water used by utility companies to generate electricity are exempt from utility user taxes. Cities and Counties with UUTs as of 1/1/2017 Cities Counties Total Calif Population Covered Total UUTs 157 4 161 54.0% Telephone UUTs 149 4 153 49.5% Electricity 156 4 160 52.7% Gas 156 4 160 52.7% Cable TV 90 1 91 22.8% Water 85 1 86 24.7% Sewer 14 1 15 2.7% Garbage 12 0 12 1.3% San Francisco is counted as a county Page 58 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Approval Process Proposition 218 requires a utility user tax to be approved by the voters of that jurisdiction. If it is a general tax, it requires a 50% approval and if it is a special tax, it requires a two-thirds approval.2 1 Information obtained from the California League of Cities 2 Information obtained from CaliforniaCityFinance.com 3. Mello-Roos CFD In 1982, the Mello-Roos Community Facilities Act of 1982 (Government Code §53311-53368.3) was created to provide an alternate method of financing for needed improvements and services. The Act allows any county, city, special district, school district or joint powers authority to establish a Mello-Roos Community Facilities District (a “CFD”) which allows for financing of public improvements and services. The services and improvements that Mello-Roos CFDs can finance include streets, sewer systems and other basic infrastructure, police protection, fire protection, ambulance services, schools, parks, libraries, museums and other cultural facilities. By law, the CFD is also entitled to recover expenses needed to form the CFD and administer the annual special taxes and bonded debt. A CFD is created to finance public improvements and services when no other source of money is available. CFDs are normally formed in undeveloped areas and are used to build roads and install water and sewer systems so that new homes or commercial space can be built. CFDs are also used in older areas to finance new schools or other additions to the community. A CFD is created by a sponsoring local government agency. The proposed district will include all properties that will benefit from the improvements to be constructed or the services to be provided. A CFD cannot be formed without a two-thirds majority vote of residents living within the proposed boundaries. Or, if there are fewer than 12 residents, the vote is instead conducted of current landowners. In many cases, that may be a single owner or developer. Once approved, a Special Tax Lien is placed against each property in the CFD. Property owners then pay a Special Tax each year. If the project cost is high, municipal bonds will be sold by the CFD to provide the large amount of money initially needed to build the improvements or fund the services. A CFD could be formed in zones for undergrounding overhead utilities, one as city wide tax for unfunded Rule 20A projects and another zone for just neighborhoods that have not yet undergrounded, Rule 20B. 4. Utility Surcharge – San Diego This is a fee on utility bills enacted by a city council without approval of the voters. The local utility company collects the fees and then transfers the funds to the city. The City of San Diego charges roughly 6 percent of their combined electric and gas bill to customers on their local utility bill. Half of these fees collected this way go to a utility undergrounding program. The City of San Diego is being sued, the lawsuit alleges that surcharges are in fact a tax and have been enacted without following the requirement of Proposition 218. The City of Santa Barbara has a surcharge at 1 percent and has also been sued. The money collected goes into the City’s general fund. They are being sued for not complying with Proposition 218. An appellate court ruled against the City of Santa Barbara and the City of Santa Barbara has decided to appeal to the State Supreme Court. The City of San Diego’s case is supposed to be heard in the summer of 2018. Page 59 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Several of these options are feasible, pros and cons are listed below: EIFD This mechanism was really designed for undeveloped properties that want to develop to pay for needed infrastructure to support development. Money is borrowed against the tax increment that is developed from the undeveloped property value to the developed property value. Since the proposed utility undergrounding work is proposed primarily on already developed land, the tax increment captured will be relatively small. This approach does not appear practicable for undergrounding overhead utilities in Palm Desert. Utility User Tax This is a feasible mechanism to generate funds for undergrounding overhead utilities. Concerns would be that these are typically enacted City wide and would include a lot of properties that have their utilities already undergrounded if all facilities are included. If it is placed on the ballot as a general services usage, it requires a 50 percent registered voter approval. If it is for a special purpose, like an undergrounding overhead utilities program, it requires a two-thirds registered voter approval. A two-thirds registered voter approval is difficult to achieve particularly when half the City already has utilities that are undergrounded. This could be a viable option for a City wide vote for 20A and 20C projects not including 20B projects. Mello-Roos CFD This is a feasible mechanism to generate funds for undergrounding overhead utilities. A positive attribute is that the CFD could be prepared with 2 zones, one City wide for non-Rule 20B projects and then another zone for all Rule 20B type projects. The downside is that it requires a two-thirds voter approval to approve the CFD. This seems to be a viable option for funding City wide projects, Rule 20A and Rule 20C. Utility Surcharge This may be a feasible mechanism to funding underground projects. It is recommended that the City not consider proceeding in this manner until final court rulings have been made for the Cities of Santa Barbara and San Diego. The traditional 1913 Act assessment district is still a viable mechanism but it is often criticized for being a slow process, costly and property owner drive. The following are suggestions on how to save costs to the District and time: 1) Form the assessment district before preparing PS&E 2) Consider having the City bid and manage their undergrounding projects themselves. SCE tacks on a 42% management fee on all civil work included in the project. As an example, the City of Laguna Beach has managed their own projects at a considerable savings for thirty (30) years. SCE has no added management fee for just their work. 3) Consider having all civil work as a separate City project not included in the District. 4) Develop a fund for soft costs and not charge the assessment district such as: Assessment Engineering, PS&E, Construction Management and Inspection for approved districts. Currently, the largest amount of time is spent on preparing PS&E. SCE will only allow their staff and select consultants to prepare PS&E, which usually takes 1.5 to 2.0 years. Page 60 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 5. Recommended Funding Approach It is the author of this report’s opinion that a really sound approach to funding the undergrounding of the City’s overhead utilities would be twofold as follows: 1) Put in place a utility user tax or property tax (such as a Mello-Roos CFD) to pay for Rule 20A (when Rule 20A credits are not available) and Rule 20C projects. This would be a City wide tax requiring two-third voter approval. 2) Continue with Rule 20B projects through assessment districts incorporating recommendations in this report. Page 61 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 7. COST ESTIMATES FOR UNDERGROUNDING The costs reflected in this utility undergrounding master plan are planning level costs covering a wide range of factors including, but not limited to, utility type (distribution versus transmission), existing terrain, soil conditions, distance, depth of road trenching, road resurfacing, construction methods, traffic control situations, public notifications, service run costs and service entrance reconfiguration costs. Preliminary budget estimates for construction costs for the underground conversion were quantified on a linear foot basis with an approximate unit cost of $1,000 per linear foot for distribution lines and approximately $1,500 per linear foot for transmission lines, which were based on discussions with Southern California Edison Project Management staff and research of similar utility undergrounding projects performed by other public agencies within Southern California. Additionally, the cost to convert overhead service drops to underground varies from $3,000 to $10,000 per property and is based on a number of factors, including the distance from the mainline to the meter based on the property owner’s home (the longer the distance, the greater the cost for trench excavation, backfill, conduit, pull tape, fittings, etc.) or whether the contractor is able to bury the line in a trench rather than having to bore under a driveway, retaining wall, fence, etc. Additional cost factors include ease of access, potential tree removals, tree trimming, easement or right of way costs. (It should be noted the costs of the underground conversion of service drops is not reflected in the “total preliminary estimated cost” shown below). A comparison summary of the Citywide Undergrounding Preliminary Opinion of Probable Costs for the various Rule 20 projects is provided in Table 2 on the next page and summarized below: • Rule 20A total preliminary estimated cost = $ 147 million +/- • Rule 20B total preliminary estimated cost = $ 433 million +/- • Rule 20C total preliminary estimated cost = $ 34 million +/- TOTAL PRELIMINARY ESTIMATE COST = $ 614 million +/- Furthermore, a detailed cost breakdown pertaining to each Rule 20 type is provided in Tables 3 through 5, i.e. Rule 20A (see Table 3), Rule 20B (see Table 4), and Rule 20C (see Table 5) on pages 64-66. Rule 20A and Rule 20C costs are detailed per street and the lengths of above ground utility lines on each street were quantified based on the maps compiled from the GPS survey, field review, and facility maps of overhead utilities. Rule 20B above ground utility lines were sum-based areas based on the twenty-one (21) assessment districts. The estimated unit costs reflected in Tables 2 through 5 are based on 2017 dollars. The breakdown of each total preliminary estimate cost considered the following: • Construction Cost for Underground Conversion (approximately $1,000 per linear foot for distribution lines and approximately $1,500 per linear foot for transmission lines) • General Construction Items of Work (includes, but not limited to, mobilization / demobilization, traffic control, clearing and grubbing, shoring, trench safety, road trenching and resurfacing. Cost is approximately 10% of the Construction Cost of Underground Conversion) • Engineering (Design and/or Assessment) & Construction Management / Inspection fees (cost is approximately 15% of the Construction Cost of Underground Conversion) • 30% Contingency (planning level) The total estimated cost per foot to underground the above ground utilities is recommended to be updated periodically by amendment to this master plan to account for changes in the anticipated inflation costs of utility construction. Therefore, it is recommended that the funding programs established for implementation of the Master Plan make provisions for the increased cost of deferred construction. Inflation factors should be applied to reflect a specific year’s total cost over the 2017 total costs. FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 62 Table 2 -Citywide Undergrounding Preliminary Opinion of Probable Costs Rule 20 Type Description of Work Subtotal Cost ($)30% Contingency (Planning-Level) Total Cost ($) Length (ft)Construction Cost for Underground Conversion ($) (*See note 1 below) General Construction Items of Work (10% of Construction of Underground Conversion) (*See note 2 below) Engineering & Construction Management / Inspection Fees ($) (15% of Construction Cost) Rule 20A Projects 55,880 $ 90,680,000 $ 9,068,000 $ 13,602,000 $ 113,350,000 $ 34,005,000 $ 147,355,000 Rule 20B Boundaries 266,540 $ 266,540,000 $ 26,654,000 $ 39,981,000 $ 333,175,000 $ 99,952,500 $ 433,127,500 Rule 20C Projects 22,660 $ 22,660,000 $ 2,266,000 $ 3,399,000 $ 26,059,000 $ 7,817,700 $ 33,876,700 Total: 345,080 $ 379,880,000 $ 37,988,000 $ 56,982,000 $ 472,584,000 $ 141,775,200 $ 614,359,200 Notes: 1) As a very preliminary budget estimate, the construction cost of undergrounding the above ground utility lines is approximately $1,000 per linear foot, with exceptions to Rule 20A projects which are generally $1,500 per linear foot due to transmission utility lines. For details on linear foot cost for Rule 20A projects, see separate Rule 20A cost estimate table 2) General Construction Items of Work consist of: Mobilization / Demobilization, Traffic Control, Clear & Grub, Shoring & Trench Safety, Road Trenching, Road Resurfacing, Public Notifications) FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 63 Table 3 - Rule 20A Citywide Undergrounding Preliminary Opinion of Probable Costs Street Name Length (ft)Construction Cost for Underground Conversion ($) (*See note 1 below) General Construction Items of Work (10% of Construction of Underground Conversion) (*See note 2 below) Engineering & Construction Management / Inspection Fees ($) (15% of Construction Cost) Subtotal Cost ($)30% Contingency (Planning-Level) Total Cost ($) COUNTRY CLUB DR 16,420 $ 24,630,000 $ 2,463,000 $ 3,694,500 $ 30,787,500 $ 9,236,250 $ 40,023,750 FRANK SINATRA DR NO. 1 1,080 $ 1,620,000 $ 162,000 $ 243,000 $ 2,025,000 $ 607,500 $ 2,632,500 FRANK SINATRA DR NO. 2 2,290 $ 2,290,000 $ 229,000 $ 343,500 $ 2,862,500 $ 858,750 $3,721,250 GERALD FORD DR 5,580 $ 8,370,000 $ 837,000 $ 1,255,500 $ 10,462,500 $ 3,138,750 $ 13,601,250 MONTEREY AVE 5,660 $ 8,490,000 $ 849,000 $ 1,273,500 $ 10,612,500 $ 3,183,750 $ 13,796,250 PORTOLA AVE 16,630 $ 33,260,000 $ 3,326,000 $ 4,989,000 $ 41,575,000 $ 12,472,500 $ 54,047,500 TAMARISK ROW DR 7,600 $ 11,400,000 $ 1,140,000 $ 1,710,000 $ 14,250,000 $ 4,275,000 $ 18,525,000 CHIA DR 620 $ 620,000 $ 62,000 $ 93,000 $ 775,000 $ 232,500 $ 1,007,500 Total:55,880 $ 90,680,000 $ 9,068,000 $ 13,602,000 $ 113,350,000 $ 34,005,000 $ 147,355,000 Notes: 1) As a very preliminary budget estimate, generally, the construction cost of undergrounding the above ground utility lines is approximately $1,500 per linear foot, with the following exceptions: Portola Ave = $2,000 linear foot (due to double transmission circuited plus a distribution circuit) and Frank Sinatra Drive No. 2 = $ 1,000 per linear foot due to above ground utility being distribution circuit only 2) General Construction Items of Work consist of: Mobilization / Demobilization, Traffic Control, Clear & Grub, Shoring & Trench Safety, Road Trenching, Road Resurfacing, Public Notifications) FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 64 Table 4- Rule 20B Citywide Undergrounding Preliminary Opinion of Probable Costs Assessment District Length (ft)Construction Cost for Underground Conversion ($) (*See note 1 below) General Construction Items of Work (10% of Construction of Underground Conversion) (*See note 2 below) Engineering (Design and/or Assessment) & Construction Management / Inspection Fees ($) (15% of Construction Cost) Subtotal 30% Contingency (Planning- Level) Total Cost ($) 1 9,830 $ 9,830,000 $ 983,000 $ 1,474,500 $ 12,287,500 $ 3,686,250 $ 15,973,750 2 2,360 $ 2,360,000 $ 236,000 $ 354,000 $ 2,950,000 $ 885,000 $ 3,835,000 3 5,000 $ 5,000,000 $ 500,000 $ 750,000 $ 6,250,000 $ 1,875,000 $ 8,125,000 4 5,400 $ 5,400,000 $ 540,000 $ 810,000 $ 6,750,000 $ 2,025,000 $ 8,775,000 5 22,700 $ 22,700,000 $ 2,270,000 $ 3,405,000 $ 28,375,000 $ 8,512,500 $ 36,887,500 6 21,680 $ 21,680,000 $ 2,168,000 $ 3,252,000 $ 27,100,000 $ 8,130,000 $ 35,230,000 7 4,220 $ 4,220,000 $ 422,000 $ 633,000 $ 5,275,000 $ 1,582,500 $ 6,857,500 8 10,130 $ 10,130,000 $ 1,013,000 $ 1,519,500 $ 12,662,500 $ 3,798,750 $ 16,461,250 9 2,460 $ 2,460,000 $ 246,000 $ 369,000 $ 3,075,000 $ 922,500 $ 3,997,500 10 13,940 $ 13,940,000 $ 1,394,000 $ 2,091,000 $ 17,425,000 $ 5,227,500 $ 22,652,500 11 37,770 $ 37,770,000 $ 3,777,000 $ 5,665,500 $ 47,212,500 $ 14,163,750 $ 61,376,250 12 3,640 $ 3,640,000 $ 364,000 $ 546,000 $ 4,550,000 $ 1,365,000 $ 5,915,000 13 1,150 $ 1,150,000 $ 115,000 $ 172,500 $ 1,437,500 $ 431,250 $ 1,868,750 14 300 $ 300,000 $ 30,000 $ 45,000 $ 375,000 $ 112,500 $ 487,500 15 150 $ 150,000 $ 15,000 $ 22,500 $ 187,500 $ 56,250 $ 243,750 16 31,080 $ 31,080,000 $ 3,108,000 $ 4,662,000 $ 38,850,000 $ 11,655,000 $ 50,505,000 17 10,160 $ 10,160,000 $ 1,016,000 $ 1,524,000 $ 12,700,000 $ 3,810,000 $ 16,510,000 18 2,500 $ 2,500,000 $ 250,000 $ 375,000 $ 3,125,000 $ 937,500 $ 4,062,500 19 14,920 $ 14,920,000 $ 1,492,000 $ 2,238,000 $ 18,650,000 $ 5,595,000 $ 24,245,000 20 7,090 $ 7,090,000 $ 709,000 $ 1,063,500 $ 8,862,500 $ 2,658,750 $ 11,521,250 21 60,060 $ 60,060,000 $ 6,006,000 $ 9,009,000 $ 75,075,000 $ 22,522,500 $ 97,597,500 Total:266,540 $ 266,540,000 $ 26,654,000 $ 39,981,000 $ 333,175,000 $ 99,952,500 $ 433,127,500 Notes: 1) As a very preliminary budget estimate, the construction cost of undergrounding the above ground utility lines is approximately $1,000 per linear foot 2) General Construction Items of Work consist of: Mobilization / Demobilization, Traffic Control, Clear & Grub, Shoring & Trench Safety, Road Trenching, Road Resurfacing, Public Notifications) FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Page 65 Table 5 - Rule 20C Citywide Undergrounding Preliminary Opinion of Probable Costs Street Name Length (ft)Construction Cost for Underground Conversion ($) (*See note 1 below) General Construction Items of Work (10% of Construction of Underground Conversion) (*See note 2 below) Engineering & Construction Management / Inspection Fees ($) (15% of Construction Cost) Subtotal Cost ($)30% Contingency (Planning-Level) Total Cost ($) DINAH SHORE DR 1,670 $ 1,670,000 $ 167,000 $ 250,500 $ 1,920,500 $ 576,150 $ 2,496,650 HAYSTACK DR 880 $ 880,000 $ 88,000 $ 132,000 $ 1,012,000 $ 303,600 $ 1,315,600 OCOTILLO DR 310 $ 310,000 $ 31,000 $ 46,500 $ 356,500 $ 106,950 $ 463,450 SOUTH OF HOVELY LN W 5,500 $ 5,500,000 $ 550,000 $ 825,000 $ 6,325,000 $ 1,897,500 $ 8,222,500 RR ROW - INTERSTATE 10 NO.1 390 $390,000 $39,000 $58,500 $448,500 $134,550 $583,050 RR ROW - INTERSTATE 10 NO.2 13,910 $13,910,000 $1,391,000 $2,086,500 $15,996,500 $4,798,950 $20,795,450 Total:22,660 $ 22,660,000 $ 2,266,000 $ 3,399,000 $ 26,059,000 $ 7,817,700 $ 33,876,700 Notes: 1) As a very preliminary budget estimate, the construction cost of undergrounding the above ground utility lines is approximately $1,000 per linear foot 2) General Construction Items of Work consist of: Mobilization / Demobilization, Traffic Control, Clear & Grub, Shoring & Trench Safety, Road Trenching, Road Resurfacing, Public Notifications) Page 66 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 8. STREAMLINE ASSESSMENT DISTRICT FORMATION PROCESS -UTILITY UNDERGROUNDING GUIDE There are two basic approaches to forming Undergrounding Utility Assessment Districts. One is to prepare complete plans and specifications and have construction bids in hand before forming the Assessment District; the other is to form the Assessment District and then prepare plans and specification and then get construction bids. Both processes are described on the next four pages, Design: Before District Formation and Design: After District Formation. Both processes have pros and cons as described below: Design: Before District Formation Pro • Advantage is costs are known before balloting and forming the District Con • Plans, specifications and bidding process must be paid for up front before forming the District • After paying the up front costs, the District could fail to be formed • It can take two years to have the plans and specifications prepared and construction bids received and support for the District could change during this period Design: After District Formation Pro • Once the petition is approved, the City can immediately order the Engineer’s Report, go to ballot and form the Assessment District • Up front costs are significantly less and the time period to form the District is reduced to about 3-4 months • It is known whether you have an Assessment District before preparing plans and specifications and obtaining bids Con • Disadvantage is the bids could come in higher than the estimated cost in the Engineer’s Report causing a shortfall in assessment funds The City could employ both procedures allowing the proponents to help decide which method to utilize after explaining the pros and cons of each process. Page 67 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN Information: City of Palm Desert Public Works Department 760-776-6393 rgayler@cityofpalmdesert.org Utility Undergrounding – A Step by Step Guide Page 68 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN City o f Palm Desert Utility Undergrounding - Step-By-Step Guide Page 1 Utility Undergrounding – A Step-by-Step Guide History Since shortly after Palm Desert’s incorporation as a city in 1973, new development here has been required to underground utilities. The poles and wires that crisscross some of the community’s older neighborhoods illustrate that many homes, built prior to incorporation, continue to be served by above ground utility lines. Residents in these areas have expressed concern about the safety , aesthetics, and negative impact on property values caused by above ground utility lines. In response to these concerns, Palm Desert’s City Council in March 2015 approved the formation of an ad hoc Committee to study utility undergrounding in Palm Desert. Composed of eight citizen representatives and two City Council members and operating on the premise that underground utilities are preferable to unsightly above ground lines and poles, the Committee reached a consensus that the relocation of utility lines below ground should be a municipal priority. The Committee determined that an early and important step in the process should be the preparation of an undergrounding master plan. In April 2016, the City Council approved the Committee’s recommendations, adopting the undergrounding of all utility lines in Palm Desert as a goal. The Council also authorized the hiring of a consultant to create an undergrounding master plan. The master plan lays out a number of ways that utility undergrounding can occur in Palm Desert. For neighborhoods, however, the most common way to accomplish utility undergrounding is for neighbors to form an assessment district. Two options for this multi-step, multi-year process are explained below including the standard process and a fast track option designed to speed the process when there is broad neighborhood support. Page 69 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN City of Palm Desert Utility Undergrounding - Step-By-Step Guide Page 2 Option One – Fast Track Assessment District Formation 1. The process is initiated by an interested property owner, who acts as a liaison between the City, utility companies, and neighbors. The property owners who support undergrounding submit a letter to the City’s Public Works Department expressing their interest in forming an Underground Utility Assessment District. The letter should include a description of the proposed boundaries of the area to be undergrounded. 2. Based on the interest letter, City staff prepares a boundary map and submits it to the appropriate utility companies who review the map to ensure that the boundaries are logical and feasible. Once the district boundaries are accepted by all parties, the utility companies provide the City with a preliminary cost estimate for the design and construction of the undergrounding project. 3. The City then prepares a petition to be circulated by proponents to all affected property owners within the proposed district boundaries. The petition states the approximate amount that each property owner would pay if the property owners vote to form the district to accomplish the undergrounding project. In order for the process to continue, at least 70 percent of the property owners must sign and express support. This petition is a “show of support” and nonbinding. The City is neutral regarding City-owned parcels within the District. 4. Once the petition is certified by the Assessment Engineer, Public Works will prepare a staff report requesting City Council approval to move forward. With Council approval, the Assessment Engineer will prepare an Engineer’s Report. This report documents the assessment that each property owner within the district would pay, should the district be approved. This report uses the preliminary estimated construction costs provided by the utility companies. If the district is formed, funds expended by the City on costs related to formation of the district will be recovered during the assessment process. If the district fails, the City’s funds will be lost. 5. The Engineer’s Report and Resolution of Intention are submitted to the City Council for approval and a public hearing is scheduled. 6. The Ballots are prepared with the assessment amount and sent to each property owner within the proposed district boundaries. Each property owner then votes for or against the formation of t he district. Each vote is weighted or valued based upon the dollar value of each property owner’s proposed assessment. Page 70 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN City of Palm Desert Utility Undergrounding - Step-By-Step Guide Page 3 7. All votes must be submitted to the City prior to the end of the scheduled public hearing. The district passes if the district re ceived greater than 50% approval. If the district passes, all property owners within the district will be responsible for the assessment amounts regardless of a property owner’s personal vote. Following approval by the property owners, the detailed design process begins. It usually involves the following steps: a. Base mapping b. Southern California Edison electrical design c. Telephone and cable design The duration of each step varies depending on the number of underground districts in the queue, the size of the proposed district, and the complexity of the design. This phase could take more than two years to complete. Once the project is fully designed, it will be bid with a contract awarded, and then constructed. Option Two – Traditional Method 1. The process is initiated by an interested property owner, who acts as a liaison between the City, utility companies, and neighbors. The property owners who support undergrounding submit a letter to the City’s Public Works Department expressing their interest in forming an Underground Utility Assessment District. The letter should include a description of the proposed boundaries of the area to be undergrounded. 2. Based on the interest letter, City staff prepares a boundary map and submits it to the appropriate utility companies who review the map to ensure that the boundaries are logical and feasible. Once the district boundaries are accepted by all parties, the utility companies provide the City with a preliminary cost estimate for the design and construction of the undergrounding project. 3. The City then prepares a petition to be circulated by proponents to all affected property owners within the proposed district boundaries. The petition states the approximate amount that each property owner would pay if the property owners vote to form the district to accomplish the undergrounding project. In order for the process to continue, at least 70 percent of the property owners must sign and express support. This petition is a “show of support” and nonbinding. The City is neutral regarding City-owned parcels within the District. 4. Once the petition is certified by the Assessment Engineer, Public Works will prepare a staff report requesting City Council approval for funds for design of the undergrounding project to be advanced from the Page 71 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN City of Palm Desert Utility Undergrounding - Step-By-Step Guide Page 4 City’s General Fund. If the district is formed, the advanced funds will be recovered during the assessment process. If the district fails, the funds will be lost. 5. The design process begins once the utility companies receive the design fee. The process usually involves the following steps: a. Base mapping b. Southern California Edison electrical design c. Telephone and cable design The duration of each step varies depending on the number of underground districts in the queue, the size of the proposed district, and the complexity of the design. 6. Once the design is complete and accepted by the City and utility companies, the utility companies provide a “guaranteed cost of construction.” The Assessment Engineer will use this guaranteed cost and all other costs incurred in the past and anticipated in the future to generate the Engineer’s Report. This report documents the assessment amount that each property owner within the distri ct would be responsible for if the district is successful. 7. The completed design plans, Engineer’s Report, and Resolution of Intention are submitted to the City Council for approval and a public hearing is scheduled. An informal property owner meeting is held prior to the public hearing to explain the details of the proposed district. 8. Ballots are prepared with the assessment amount and sent to each property owner within the proposed district’s boundaries. Each owner votes for or against forming the district. Each vote is weighted based on the dollar value of each property owner’s proposed assessment. 9. All votes must be submitted to the City prior to the end of the scheduled public hearing. The district passes if the district received greater than 50% approval. If the district passes, all property owners within the district will be responsible for the assessment amounts regardless of a property owner’s personal vote. Page 72 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN City of Palm Desert Utility Undergrounding - Step-By-Step Guide Page 5 8. 9. 10. 11. 12. 13. Paying the Assessment and Final Steps Regardless of whether a neighborhood chooses the standard or fast track method of assessment district formation, the property owners will have two options to pay for the assessment. 1. 30-Day Cash Payment Period: Within 30 days after the close of the public hearing, the property owner has the option to pay the full or a portion of the assessment amount. The property owner will save approximately 8% on the portion of the assessment paid in cash. This 8% savings results from not selling bonds for the amount owed. Bonds will be sold for any unpaid portion of the assessment and a lien will be placed on the property until the bond is paid in full. 2. Bond: If the property owner elects to not pay during the 30-Day Cash Payment Period, bonds will be sold. Assessments will be placed on the property tax bill to be paid over a 20 to 25-year financing period. During that time, a lien will be placed on the property until the bond amount is paid in full. Bonds will incur a finance charge. When construction of the main line underground infrastructure has been completed, all property owners will be notified that it is time to perform their private conversions. Private conversions require property owners to hire a licensed electrician to connect the property’s existing overhead connection to the underground infrastructure. The cost of the private conversion is not covered in the assessment amount. The assessment amount only covers work performed in the public right-of-way. It is the property owner’s responsibility to perform the conversion within the designated time frame. Delays caused by one property owner’s private conversion, will cause delays to the whole district because overhead structures cannot be removed until all properties have completed their private conversions. It is important to note that, from the initial letter to the last private conversion, the average process takes approximately seven years, depending on the size of district. The bond financing period information provided above is based on an average of past assessment districts and varies depending on current rates and the district’s size. For more information, please contact the City’s Public Works Department at 760-776-6393. Page 73 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Rule 20A COUNTRY CLUB DR + FRANK SINATRA DR NO. 1 + FRANK SINATRA DR NO. 2 + GERALD FORD DR + MONTEREY AVE + PORTOLA AVE + TAMARISK ROW DR + CHIA DR + Rule 20B AD 1 + AD 2 + AD 3 + AD 4 + AD 5 + AD 6 + AD 7 + AD 8 + AD 9 + AD 10 + AD 11 + AD 12 + AD 13 + AD 14 + AD 15 + AD 16 + AD 17 + AD 18 + AD 19 + AD 20 + AD 21 + Rule 20C DINAH SHORE DR + HAYSTACK DR + OCOTILLO DR + SOUTH OF HOVELY LN W + RR ROW - INTERSTATE 10 NO 1 + RR ROW - INTERSTATE 10 NO 2 + 9. METRIC FOR MEASURING THE CITY’S ANNUAL INVESTMENTAND PROGRESS FOR COMMUNITY WIDE UNDERGROUNDING Project Planning Project Financing Project Design Project Construction O Not Started +In Progress X Done Page 74 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLAN In addition, the following sample bar graph shows progress in a more macro view. Each year, on January 1, both charts can be upgraded and progress tracked. SAMPL E Page 75 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLANAPPENDIX 1 30 SCE FRESNO FRESNO COUNTY (SCE)$28,421 $716,454 25 No No SCE IMPERIAL IMPERIAL COUNTY $5,082 $171,069 34 No No SCE INYO INYO COUNTY $42,170 $549,576 13 No No SCE INYO BISHOP $4,193 $102,435 24 No No SCE KERN KERN COUNTY (SCE)$436,005 $4,766,739 11 No No SCE KERN MCFARLAND (SCE)$9,815 $117,567 12 No No SCE KINGS KINGS COUNTY (SCE)$68,298 $431,067 6 No No SCE LOS ANGELES LOS ANGELES COUNTY $3,395,422 $28,959,392 9 No Yes SCE LOS ANGELES AGOURA HILLS $42,308 $1,145,840 27 No No SCE LOS ANGELES ALHAMBRA $428,771 $5,564,761 13 No Yes SCE LOS ANGELES ARCADIA $269,491 ($1,179,103)(4)No No SCE LOS ANGELES ARTESIA $63,104 $989,396 16 No No SCE LOS ANGELES AVALON $21,575 $184,957 9 No No SCE LOS ANGELES AZUSA $7,922 $70,884 9 No No SCE LOS ANGELES BALDWIN PARK $213,194 $2,428,471 11 No No SCE LOS ANGELES BELL $132,339 ($384,875)(3)No Yes SCE LOS ANGELES BELL GARDENS $140,608 ($205,804)(1)No Yes SCE LOS ANGELES BELLFLOWER $296,484 $359,253 1 No Yes SCE LOS ANGELES BEVERLY HILLS $197,493 ($618,445)(3)No Yes SCE LOS ANGELES BRADBURY $4,762 $123,446 26 No No SCE LOS ANGELES CALABASAS $39,347 $1,027,792 26 No No SCE LOS ANGELES CARSON $295,548 ($512,958)(2)No Yes SCE LOS ANGELES CERRITOS $86,957 ($314,733)(4)No Yes SCE LOS ANGELES CLAREMONT $115,920 $520,491 4 No No SCE LOS ANGELES COMMERCE $70,197 $1,186,944 17 No No SCE LOS ANGELES COMPTON $339,548 $5,193,976 15 No No SCE LOS ANGELES COVINA $206,049 $1,800,888 9 No No SCE LOS ANGELES CUDAHY $72,516 $71,105 1 No Yes SCE LOS ANGELES CULVER CITY $196,659 $742,100 4 No Yes SCE LOS ANGELES DIAMOND BAR $110,079 $1,188,451 11 No No SCE LOS ANGELES DOWNEY $485,430 $1,394,945 3 No Yes SCE LOS ANGELES DUARTE $64,586 ($176,863)(3)No No SCE LOS ANGELES EL MONTE $378,609 $2,027,213 5 No No SCE LOS ANGELES EL SEGUNDO $110,001 $822,868 7 No No SCE LOS ANGELES GARDENA $286,061 ($2,374,206)(8)No Yes SCE LOS ANGELES GLENDALE $6,741 $56,178 8 No No SCE LOS ANGELES GLENDORA $194,673 ($523,721)(3)No Yes SCE LOS ANGELES HAWAIIAN GARDENS $41,498 $791,133 19 No No SCE LOS ANGELES HAWTHORNE $331,516 $262,098 1 No No SCE LOS ANGELES HERMOSA BEACH $127,816 $121,513 1 No No SCE LOS ANGELES HIDDEN HILLS $6,330 $1,062 0 No No SCE LOS ANGELES HUNTINGTON PARK $212,353 $2,286,482 11 No Yes SCE LOS ANGELES INDUSTRY $19,157 $403,398 21 No No SCE LOS ANGELES INGLEWOOD $553,308 ($6,270)(0)No No SCE LOS ANGELES IRWINDALE $13,185 ($142,013)(11)No No SCE LOS ANGELES LA CANADA-FLINTRIDGE $96,006 ($3,756,222)(39)No No SCE LOS ANGELES LA HABRA HEIGHTS $23,121 $143,101 6 No Yes SCE LOS ANGELES LA MIRADA $166,072 $1,190,089 7 No No SCE LOS ANGELES LA PUENTE $121,696 $2,710,397 22 No Yes SCE LOS ANGELES LA VERNE $76,504 $3,812,017 50 No No SCE LOS ANGELES LAKEWOOD $359,401 $3,535,690 10 No Yes SCE LOS ANGELES LANCASTER $271,654 $2,902,246 11 No Yes SCE LOS ANGELES LAWNDALE $131,341 ($908,169)(7)No No SCE LOS ANGELES LOMITA $102,262 ($219,641)(2)No No SCE LOS ANGELES LONG BEACH $2,163,521 $13,707,478 6 No Yes SCE LOS ANGELES LOS ANGELES, CITY OF $7,937 $65,153 8 No No SCE LOS ANGELES LYNWOOD $223,426 $2,214,127 10 No Yes SCE LOS ANGELES MALIBU $52,071 ($529,310)(10)No No SCE LOS ANGELES MANHATTAN BEACH $203,912 ($4,667,280)(23)No No SCE LOS ANGELES MAYWOOD $98,967 $2,661,278 27 No No SCE LOS ANGELES MONROVIA $187,309 ($229,209)(1)No Yes SCE LOS ANGELES MONTEBELLO $253,921 ($1,205,288)(5)No Yes SCE LOS ANGELES MONTEREY PARK $273,514 $1,010,323 4 No Yes SCE LOS ANGELES NORWALK $354,519 $828,273 2 No Yes SCE LOS ANGELES PALMDALE $159,396 $1,496,312 9 No No SCE LOS ANGELES PALOS VERDE ESTATES $44,030 $1,030,213 23 No No SCE LOS ANGELES PARAMOUNT $163,914 $833,941 5 No No SCE LOS ANGELES PASADENA $942 $7,865 8 No No SCE LOS ANGELES PICO RIVERA $218,717 $284,026 1 No No SCE LOS ANGELES POMONA $438,190 $6,936,151 16 No Yes SCE LOS ANGELES RANCHO PALOS VERDES $132,714 $1,234,917 9 No No SCE LOS ANGELES REDONDO BEACH $388,445 ($1,395,619)(4)No Yes SCE LOS ANGELES Rolling Hills Estates $8,595 $44,327 5 No No SCE LOS ANGELES ROLLING HILLS ESTATES $28,465 ($115,004)(4)No Yes SCE LOS ANGELES ROSEMEAD $196,293 ($726,378)(4)No Yes SCE LOS ANGELES SAN DIMAS $84,210 $973,787 12 No No SCE LOS ANGELES SAN FERNANCO $92,438 $109,410 1 No No SCE LOS ANGELES SAN GABRIEL $196,419 ($1,148,547)(6)No Yes SCE LOS ANGELES SAN MARINO $62,026 ($255,586)(4)No No SCE LOS ANGELES SANTA CLARITA $272,151 ($496,850)(2)No No SCE LOS ANGELES SANTA FE SPRINGS $86,704 $1,065,985 12 No No SCE LOS ANGELES SANTA MONICA $663,475 ($1,990,287)(3)No Yes SCE LOS ANGELES SIERRA MADRE $69,547 $1,040,236 15 No No SCE LOS ANGELES SIGNAL HILL $53,051 $633,961 12 No No SCE LOS ANGELES SOUTH EL MONTE $100,572 ($258,280)(3)No Yes SCE LOS ANGELES SOUTH GATE $352,871 $3,760,068 11 No Yes SCE LOS ANGELES SOUTH PASADENA $144,843 $2,207,257 15 No Yes SCE LOS ANGELES TEMPLE CITY $169,556 ($1,025,968)(6)No No SCE LOS ANGELES TORRANCE $684,311 ($654,690)(1)No Yes SCE LOS ANGELES WALNUT CREEK $54,810 $656,101 12 No No SCE LOS ANGELES WEST COVINA $297,797 $220,508 1 No No SCE LOS ANGELES WEST HOLLYWOOD $325,190 ($120,677)(0)No Yes SCE LOS ANGELES WESTLAKE VILLAGE $17,271 $152,632 9 No Yes SCE LOS ANGELES WHITTER $397,553 $4,718,457 12 No Yes SCE Page 76 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLANAPPENDIX 1 31 SCE (cont.) MADERA MADERA COUNTY (SCE)$190 $6,740 35 No No SCE MONO MONO COUNTY $34,531 $146,171 4 No No SCE MONO MAMMOTH LAKES $49,488 ($232,696)(5)No Yes SCE ORANGE ORANGE COUNTY (SCE)$369,243 ($207,608)(1)No Yes SCE ORANGE ALISO VIEJO $67,923 $0 0 No No SCE ORANGE ANAHEIM $301 $2,250 7 No No SCE ORANGE BREA $102,841 ($175,275)(2)No Yes SCE ORANGE BUENA PARK $280,692 $1,518,755 5 No Yes SCE ORANGE COSTA MESA $388,542 $1,079,596 3 No No SCE ORANGE CYPRESS $118,458 $1,534,657 13 No No SCE ORANGE FOUNTAIN VALLEY $131,706 $613,400 5 No Yes SCE ORANGE FULLERTON $406,140 $3,486,722 9 No Yes SCE ORANGE GARDEN GROVE $565,465 $2,632,119 5 No Yes SCE ORANGE HUNTINGTON BEACH $558,851 ($1,169,709)(2)No Yes SCE ORANGE IRVINE $235,697 $1,474,182 6 No No SCE ORANGE LA HABRA $200,191 $349,397 2 No No SCE ORANGE LA PALMA $26,178 $43,312 2 No No SCE ORANGE LAGUNA BEACH (SCE)$108,028 $2,004,256 19 No Yes SCE ORANGE LAGUNA HILLS (SCE)$2,691 $126,545 47 No No SCE ORANGE LAGUNA NIGUEL (SCE)$14,638 $43,447 3 No No SCE ORANGE LAGUNA WOODS $37,153 $511,568 14 No No SCE ORANGE LAKE FOREST $23,318 ($1,300,358)(56)No No SCE ORANGE LOS ALAMITOS $55,964 ($45,879)(1)No No SCE ORANGE MISSION VIEJO (SCE)$99,143 ($0)(0)No No SCE ORANGE NEWPORT BEACH $285,393 ($2,319,686)(8)No Yes SCE ORANGE ORANGE $387,285 ($805,617)(2)No Yes SCE ORANGE PLACENTIA $106,026 $467,403 4 No No SCE ORANGE RANCHO SANTA MARGARITA $71,543 ($0)(0)No No SCE ORANGE SANTA ANA $747,429 $509,834 1 No No SCE ORANGE SEAL BEACH $100,342 $556,639 6 No Yes SCE ORANGE STANTON $91,603 ($187,357)(2)No Yes SCE ORANGE TUSTIN $165,872 $897,794 5 No No SCE ORANGE VILLA PARK $13,081 $26,730 2 No Yes SCE ORANGE WESTMINSTER $236,007 $1,971,160 8 No Yes SCE ORANGE YORBA LINDA $111,303 $689,653 6 No No SCE RIVERSIDE RIVERSIDE COUNTY $789,014 $8,647,589 11 No Yes SCE RIVERSIDE Beaumont $45,447 $14,413 0 No No SCE RIVERSIDE Blythe $36,701 $580,682 16 No No SCE RIVERSIDE Calimesa $22,242 $176,665 8 No No SCE RIVERSIDE Canyon Lake $15,031 ($64,411)(4)No Yes SCE RIVERSIDE Cathedral City $123,853 $225,438 2 No No SCE RIVERSIDE Corona $207,351 ($49,206)(0)No No SCE RIVERSIDE Desert Hot Springs $66,286 $724,850 11 No Yes SCE RIVERSIDE Eastvale $58,635 $238,702 4 No No SCE RIVERSIDE Hemet $120,525 $526,246 4 No Yes SCE RIVERSIDE Indian Wells $16,129 $246,653 15 No Yes SCE RIVERSIDE Jurupa Valley $47,404 $137,594 3 No No SCE RIVERSIDE Elsinore, Lake $51,145 ($196,775)(4)No Yes SCE RIVERSIDE Menifee $96,820 $565,301 6 No No SCE RIVERSIDE Moreno Valley $224,279 $565,164 3 No Yes SCE RIVERSIDE Murrieta $58,836 ($116,722)(2)No Yes SCE RIVERSIDE Norco $61,687 $926,342 15 No No SCE RIVERSIDE Palm Desert $135,917 $555,680 4 No No SCE RIVERSIDE Palm Springs $212,770 ($1,522,745)(7)No Yes SCE RIVERSIDE Perris $59,555 ($145,710)(2)No No SCE RIVERSIDE Rancho Mirage $56,827 ($291,233)(5)No No SCE RIVERSIDE Riverside, City of $987 $6,334 6 No No SCE RIVERSIDE San Jacinto $45,366 $128,106 3 No Yes SCE RIVERSIDE Temecula $68,536 $284,067 4 No Yes SCE RIVERSIDE Wildomar $40,884 $240,192 6 No No SCE SAN BERNARDINO COUNTY SAN BERNARDINO COUNTY $1,425,056 $2,398,122 2 No Yes SCE SAN BERNARDINO COUNTY Adelanto $24,250 ($70,041)(3)No Yes SCE SAN BERNARDINO COUNTY Apple Valley $194,735 $204,569 1 No Yes SCE SAN BERNARDINO COUNTY Banning $496 $4,081 8 No No SCE SAN BERNARDINO COUNTY Barstow $85,843 ($443,944)(5)No Yes SCE SAN BERNARDINO COUNTY Chino $131,665 $741,640 6 No Yes SCE SAN BERNARDINO COUNTY Chino Hills $38,713 ($914,250)(24)No No SCE SAN BERNARDINO COUNTY Colton $2,124 $16,427 8 No No SCE SAN BERNARDINO COUNTY Fontana $223,921 $2,501,690 11 No Yes SCE SAN BERNARDINO COUNTY Grand Terrace $25,342 $881,050 35 No No SCE SAN BERNARDINO COUNTY Hesperia $226,623 $1,114,321 5 No Yes SCE SAN BERNARDINO COUNTY Highland $109,419 ($352,180)(3)No No SCE SAN BERNARDINO COUNTY Loma Linda $53,274 $161,029 3 No No SCE SAN BERNARDINO COUNTY Montclair $107,349 ($457,403)(4)No Yes SCE SAN BERNARDINO COUNTY Ontario $378,168 $845,522 2 No Yes SCE SAN BERNARDINO COUNTY Rancho Cucamonga $232,070 ($950,510)(4)No Yes SCE SAN BERNARDINO COUNTY Redlands $199,931 $1,762,739 9 No Yes SCE SAN BERNARDINO COUNTY Rialto $179,148 ($946,811)(5)No Yes SCE SAN BERNARDINO COUNTY San Bernardino $625,875 $1,060,385 2 No No SCE SAN BERNARDINO COUNTY Twentynine Palms $79,945 ($249,704)(3)No Yes SCE SAN BERNARDINO COUNTY Upland $209,535 $2,469,981 12 No No SCE SAN BERNARDINO COUNTY Victorville $122,298 $358,102 3 No Yes SCE SAN BERNARDINO COUNTY Yucaipa $121,770 ($475,568)(4)No No SCE SAN BERNARDINO COUNTY Yucca Valley $46,150 $1,812,135 39 No No SCE Page 77 FINAL CITY OF PALM DESERT UTILITY UNDERGROUNDING MASTER PLANAPPENDIX 1 32 SCE (cont.) SAN DIEGO SAN DIEGO COUNTY (SCE)$149 $1,227 8 No Yes SCE SANTA BARBARA SANTA BARBARA COUNTY (SCE)$233,693 ($2,266,113)(10)No Yes SCE TUOLOMNE TUOLUMNE COUNTY (SCE)$56 $1,548 28 No No SCE VENTURA VENTURA COUNTY $372,648 $1,676,528 4 No No SCE VENTURA CAMARILLO $131,855 ($355,834)(3)No Yes SCE VENTURA FILLMORE $31,990 $536,704 17 No No SCE VENTURA MOORPARK $50,181 $462,988 9 No No SCE VENTURA OJAI $39,013 ($286,714)(7)No No SCE VENTURA OXNARD $354,243 $3,018,177 9 No Yes SCE VENTURA PORT HUENEME $54,654 ($295,051)(5)No Yes SCE VENTURA SANTA PAULA $87,373 $761,500 9 No No response SCE VENTURA SIMI VALLEY $266,663 $133,682 1 No No SCE VENTURA THOUSAND OAKS $254,424 $1,088,907 4 No No SCE VENTURA VENTURA $335,227 ($63,101)(0)No No SCE $37,154,543 $145,161,469 192 PENCO Engineering, Inc. 255 Rincon Street, Suite 114 Corona, CA 92879 (951) 736-2040 www.pencoeng.com George Jurica, PE President PENCO Engineering M: (949) 753-8111 gjurica@pencoeng.com