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CC - Item 5A - Underground District Projects Planning And Prioritization PolicyROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGER DATE: OCTOBER 8, 2013 SUBJECT: UNDERGROUND DISTRICT PROJECTS — PLANNING AND PRIORITIZATION POLICY SUMMARY The California Public Utilities Commission provides three rules relative to utility undergrounding projects within the State, Rule 20A, Rule 20B, and Rule 20C. These programs offer several benefits to communities, including helping to enhance community aesthetics and providing more reliable utility services to customers. The difference among these three rules involves the funding source used to pay for undergrounding project costs. Historically, the City's undergrounding projects have been funded through Rule 20A and have focused on major thoroughfares or near areas of public interest. In each project, the City utilized several criteria to evaluate streets as potential undergrounding locations. These criteria focused on enhancing safety, improving aesthetics, and timing undergrounding improvements to coincide with other planned street construction improvements. An underground planning and prioritization policy is a commonly used tool in other cities that helps evaluate locations for future undergrounding projects. The creation of such a policy will help the City in planning for future capital improvement projects and undergrounding efforts. Based on the comments provided by the Council at its July 23` meeting, the policy has been modified to include information relative to alternative funding sources available for future undergrounding projects. Among these alternatives is the potential for undergrounding in conjunction with future private development. Staff Recommendation It is recommended that the City Council approve the Underground Utility Planning and Prioritization Policy to help guide future undergrounding projects in the City. DISCUSSION Generally, Southern California Edison (SCE) owns and maintains most of the power poles in the City. SCE operates two different types of overhead facilities, transmission and distribution lines. The transmission line system provides high voltage service to a MM NO. City Council Meeting October 8, 2013 Page 2 of 3 large regional area. The distribution line system receives power from the transmission system and makes electricity available at a usable voltage to smaller regional areas. Telecommunication service lines and cable service providers are also found on SCE distribution poles, and service the same parcels as SCE. The process of placing the overhead utilities underground is the responsibility of the respective utility companies involved. SCE, as lead agency, contracts for the excavation of the necessary trenches within the public right -of -way, and installs the conduit and lines for the transmission and distribution of electrical power to consumers. Telecommunications and other service providers using the same poles follow suit by placing their respective facilities in the same trench if it is practical to do so. The cost for trench repair is paid for by the respective utility companies as a part of the underground district costs. Existing overhead connections to adjacent parcels must be included in the project, providing a service lateral to individual properties. Connecting to a new service lateral also requires converting the customer /property owners' service meter panel or service entrance to the underground service. The customer /property owner can be responsible to pay for the conversion per undergrounding guidelines, although it is allowed and recommended that the conversion cost be incorporated into the underground district cost to expedite the efficiency and completion of the project. Once all underground facilities are activated, the respective utility providers remove the overhead lines and the power poles are then pulled from the ground. Undergrounding Rules The three rules relative to utility undergrounding projects are under the jurisdiction of the California Public Utilities Commission and include Rule 20A, Rule 2013, and Rule 20C. A brief summary of each rule is included below and described in greater detail in the proposed Underground Utility Prioritization Policy (Attachment 1). • Rule 20A Projects are funded by utility companies using ratepayer monies and focus on areas of general public interest (major thoroughfares and roadways). • Rule 2013 Projects are typically funded by property owners or developers and focus on larger developments or neighborhood areas. • Rule 20C Projects are typically funded by property owners and focus on smaller neighborhood areas. Undergrounding Planning and Prioritization Policy A draft planning document has been developed to help guide future undergrounding projects in the City. This document identifies prior undergrounding districts, potential future undergrounding districts, funding sources, and benefits related to future districts. Due to the high cost and long -term nature of planning undergrounding districts, a planning document will help with future capital improvement planning efforts in the City. City Council Meeting October 8, 2013 Page 3 of 3 For example, if a street is planned for utility undergrounding, additional capital improvements (resurfacing, medians, beautification, etc.) can be scheduled to coincide with undergrounding efforts. It should be noted that this planning effort does not bind the City to specific undergrounding locations. Prior to creation of an Underground Utility District, significant public outreach and input is conducted with the community. This outreach process includes public outreach meetings, noticed public hearings, and the City Council's adoption of a resolution creating a utility undergrounding district. City Council Review On July 23, 2013, the City Council reviewed the draft policy document. In doing so, the Council asked that the funding section of the document be expanded to include additional discussion of funding mechanisms available for undergrounding programs. The revised draft (Attachment 1) has been expanded to include this information, adding a summary of total program costs, projected Rule 20A balances over the next 10 years, and a summary of alternative funding programs used in other communities. This information is included on pages 5 and 6 of the document. In addition, the policy document was modified to discuss the development review process /impact fees and how both programs relate to expediting utility undergrounding programs. The Project Locations Table (Attachment 2) has also been modified to reflect future development and references to development fees. For example, the City's General Plan contemplates potential mixed use development in the vicinity of Temple City Boulevard and Valley Boulevard. Reference to this location has been added to the table to note that utility undergrounding may be expedited along Temple City Boulevard in conjunction with this development. FINANCIAL REVIEW This planning effort does not involve any direct financial impacts. If the City chooses to initiate undergrounding efforts, potential costs will be evaluated on a project by project basis. As noted in the attached policy, there are several options available relative to funding utility undergrounding efforts. ENVIRONMENTAL REVIEW This planning document does not require environmental review. Individual projects will be evaluated with California Environmental Quality Act (CEQA) Implementing Guidelines prior to the start of any construction activities. Submitted by: elk,,AJA� Chris Marcarello Director of Public Works Attachment 1 — Undergrounding Planning and Prioritization Policy Attachment 2 — Project Locations Table CITY OF ROSEMEAD UTILITY UNDERGROUND PROJECTS PLANNING AND PRIORITIZATION POLICY Adopted: October 8, 2013 City of Rosemead Utility Undergrounding Planning Page 2 of 11 Policy The City of Rosemead (City) recognizes the need to effectively plan for future utility undergrounding projects in the community. Such effort is geared towards improving safety, helping to provide more reliable utility services, and enhancing community aesthetics. Based on these considerations, the City has identified several programs available for utility undergrounding and has developed a prioritization program for future utility undergrounding efforts. 1 Southern California Edison (SCE) owns and maintains most of the power poles in the City. SCE operates two different types of overhead facilities, transmission and distribution lines. The transmission line system provides high voltage service to a large regional area. The distribution line system receives power from the transmission system and makes electricity available at a usable voltage to smaller regional areas. Telecommunication service lines and cable service providers are also found on SCE distribution poles, and service the same parcels as SCE. The process of placing the overhead utilities underground is typically completed by utility companies. Utility companies contract for the excavation of the necessary trenches within the public right -of -way and install conduit and lines for the transmission and distribution of utility services to consumers. Utilities involved in this work include electrical service providers and telecommunications providers. The cost for trench repair is paid for by the respective utility companies as a part of the underground district costs. Existing overhead connections to adjacent parcels must be included in the project, providing a service lateral to individual properties. Connecting to a new service lateral also requires converting the customer /property owners' service meter panel or service entrance to the underground service. The customer /property owner can be responsible to pay for the conversion per undergrounding guidelines, although it is allowed and recommended that the conversion cost be incorporated into the underground district cost to expedite the completion of the project. Once all underground facilities are activated, the respective utility providers remove the overhead lines and the power poles are then pulled from the ground. City of Rosemead Utility Undergrounding Planning Page 3 of 11 Undergrounding Programs The California Public Utilities Commission provides three rules relative to utility undergrounding projects within the State, Rule 20A, Rule 20B, and Rule 20C. These programs are further described below. RULE 20A Under the Rule 20A program, utility providers pay for a majority of the cost of utility undergrounding using ratepayer funds. Rule 20A projects are typically in areas of a community that are used most by the general public. To qualify, a project must meet the following provisions: • The agency has determined, through public hearings and consultation with its utility provider, that undergrounding is in the general public interest by improving the safety or aesthetics of roads, sidewalks, civic areas, recreational areas, or scenic points of interest that are extensively used by the public at large. • All existing overhead communication and electric distribution facilities will be removed from the project area upon the completion of work. • All adjacent property owners will install electric service panels, lateral lines, and other facilities needed to receive underground service prior to discontinuation of overhead service, and at their own expense (possible financial assistance is sometimes available). RULE 20B Under Rule 20B, property owners or developers pay to subsidize undergrounding project costs. Based on information provided by Southern California Edison, local agencies also have the option of using this funding mechanism to pay for undergrounding projects. Rule 20B projects usually involve larger developments or even neighborhoods which do not fit the Rule 20A criteria. Under Rule 20B, the applicant is responsible for the installation of the conduit, substructures, boxes, service panels and costs associated with completing installation of the underground system. Rule 20B monies can be used to subsidize local government funds. RULE 20C Under Rule 20C, property owners pay the entire cost of utility undergrounding, less a credit for the salvage value of removed facilities. Based on information provided by Southern California Edison, local agencies also have the option of using this funding mechanism to pay for undergrounding projects. Rule 20C projects are usually smaller projects involving a few property owners, where neither Rule 20A nor Rule 20B applies. The costs are borne almost entirely by the applicants, less a credit for the salvage value of removed facilities. City of Rosemead Utility Undergrounding Planning Page 4 of 11 Program Benefits Utility undergrounding can provide numerous benefits to local communities, including: • Enhancing community aesthetics • Helping to increase property values • Helping to provide more reliable utility service • Helping to reduce fire risk • Helping to provide cost savings through reduced maintenance activities Other Potential Funding Mechanisms for Utility Undergrounding Based on current unit cost estimates, the City's current total cost (2013) for utility undergrounding on major public thoroughfares is $25.21 Million. This estimate is based on a total distance of 9.55 Miles and a cost of $500 per linear foot to underground electric utilities. Of this amount, approximately 1.3 Miles of roadway (Rosemead Boulevard) is owned by the State of California. Using this information, it is estimated that nearly $22 Million would be needed to underground utilities along City -owned roadways. Utility Undergrounding - Estimated Total Costs Total Cost Estimate ...................... ............................... $ 25,210,000 Funded By Other Public Agencies (State of CA) ................. $ 3,430,000 Funded By Alternative Sources ................ ............................... $ 21,780,000 (Existing Funding Sources, Possible Grants, Possible New Funding Sources, Development Fees) City of Rosemead Utility Undergrounding Planning Page 5 of 11 Using current Rule 20A funding levels and costs per linear foot, it would take more than one hundred years for the City to underground overhead utilities in major public thoroughfares. Below is a summary of existing and projected Rule 20A Program resources, following the completion of Underground Utility District #9 — Walnut Grove Avenue, which is expected to start in 2014. Rule 20A Program Funding Estimated Balance ( 2014) ................ ............................... Estimated Project Cost — UUD #9 (Walnut Grove Ave) ......... (Includes Mortgage of Rule 20A Funds through 2019) Estimated Balance ( 2019) .............. ............................... Projected Mortgaged Allocation (2020 through 2024) ........... Annual Allocation $170,000 5 -Year Allocation Beyond Start Date x 5 years $850,000 Projected Available Balance ( 2020) ... ............................... $ 3,220,000 $ 3,100,000 $ 120,000 $ 970,000 With the limited amount of resources available in the Rule 20A Program, alternative funding sources would be necessary to fund new underground district projects. Typically, resources for such projects can be categorized into one of the following categories — user based taxes, fees /charges, or property owner based assessments. Rule 20A Program monies are user -based and derived from charges that are added to electric service fees. Some communities have enacted local funding mechanisms to help expedite undergrounding programs. These programs are briefly described below. Undergrounding Surcharge — City enacts a rate surcharge that may be used for undergrounding activities. This program is used in several cities that own /operate municipal electric utility functions, including the City of San Diego and the City of Anaheim. In San Diego, additional undergrounding monies are generated through a 3.53% undergrounding surcharge, which is considered to be a franchise fee by the Public Utilities Commission. This fee permits San Diego Gas & Electric to pass on this charge to ratepayers in addition to the traditional 3% franchise fee The undergrounding surcharge is earmarked solely for undergrounding projects. In Anaheim, a 4% surcharge is collected to help expedite undergrounding programs This surcharge is expected to help underground all utilities in the City within 50 years. ' btq2://www.sandieizo.pov/underprounding/index.shtml unding/index.shtml 2 ht tp: / /www.anaheim.neUarticle.asy ?id -1384 City of Rosemead Utility Undergrounding Planning Page 6 of 11 Local Utility District /City Assessment — Property owners propose boundaries to the City and initiate the formation of an undergrounding district. A petition drive is conducted within the boundaries and verified by the City. Once verified, an additional validation survey is conducted to confirm support for the district. If the support is confirmed, the City Council initiates the district and begins design planning. Costs can be paid at once, or over a period of time (including interest charges) and added to annual property tax bills. All assessment calculations and costs are conducted in accordance with Proposition 218 guidelines. Development Impact Fees — Development fees are typically paid by developers upon the construction of a new project. These fees are one -time payments typically paid when a building permit is issued for the project. The State Legislature established guidelines for the development of such fees through Assembly Bill 1600 (1987) and subsequent amendments. These guidelines are established to ensure that new development helps to pay its fair share to help address increased impacts on infrastructure. In considering undergrounding utilities, such work may help to accommodate additional infrastructure (turning lanes, acceleration lanes, etc.) in conjunction with a new development. The guidelines for development fees are contained in the California Government Code Section 66000, and require that several findings be made to justify the fee, including: (1) Identifying the purpose of the fee; (2) Identifying the use to which the fee is to be used (such as expanding facilities to serve new development); (3) Determining a reasonable relationship between the fee's use and the type of development project on which the fee is imposed; (4) Determining a reasonable relationship between the need for the facility and the type of development project on which the fee is imposed; and (5) Determining a reasonable relationship between the amount of the fee and the cost of the facility attributable to the development on which the fee is imposed. Development Review — When new projects are proposed, significant review is conducted by the City to evaluate the project's impact on the community including design, traffic, solid waste, and noise, among many others. In entitling new projects, the City will typically require that utility services be undergrounded leading to the property. This effort could tie in well to broader undergrounding plans, effectively helping to remove above ground utilities in major public thoroughfares. City Seed Funding Programs — City allocates seed money for proposed districts that meet formation requirements. Such funding can be used to fund initial engineering studies prior to starting work. City Financial Assistance Programs — City provides a program to help qualifying homeowners defer all or a portion of assessments costs until sale or transfer of their property. City of Rosemead Utility Undergrounding Planning Page 7 of 11 Undergrounding Process The underground process typically consists of four stages, including Public Hearing /Outreach, Design, Notification, and Construction. Each element is described in greater detail below. Public Hearing /Outreach Prior to the start of design work, the City Council must create an underground utility district. In accordance with the City's Municipal Code, the City Council holds public hearings in order to create an Underground Utility District (UUD). All residents and property owners with a UUD are mailed a Public Hearing Notice and a map of the proposed UUD location. The Public Hearing Notice informs property owners that they are within an area being considered for undergrounding by the City Council. The notice explains the potential impacts of the project. Any member of the public may attend or speak at a public hearing. Design Process Once an Underground Utility district has been created, the design process starts. Design typically takes 1 -2 years and involves field surveying, utility research, and coordination among impacted utilities. Notification Prior to the start of undergrounding, residents and property owners will receive additional outreach materials regarding planned construction activities. If trenching on private property is required, utility companies will coordinate right -of -entry permits from property owners. In addition, immediately prior to construction, utility companies will distribute additional construction notices making the public aware of construction dates and times. Construction Depending on the size of an undergrounding project, construction can range in duration from a few months to over a year. The initial step in construction involves trenching, in which construction contractors install plastic conduit below the surface of the roadway. Trenching may occur up to individual properties to allow for conversion to underground services. Next, contractors install new utility lines within the conduit and new transformers /pedestals adjacent to trench areas. These boxes are necessary for the underground system and are placed above ground. Once utility lines are installed, each property's electrical panel is modified to allow for underground service and then transitioned from overhead to underground services. Finally, once all properties are moved to underground services, poles are removed in the project area. City of Rosemead Utility Undergrounding Planning Page 8 of 11 Previous City Underground Districts City undergrounding projects funded with Rule 20A funds have concentrated on major thoroughfares or near areas of public interest. To qualify for full funding, projects must produce a benefit to the general public, not just customers in the affected area, by satisfying one or more of the following criteria: • The location has an unusually heavy concentration of overhead facilities in public and private properties • The location is extensively used by the general public and carries a heavy volume of pedestrian or vehicular traffic • The location qualifies as an arterial or collector road in a local government general plan • The overhead equipment must be located within or pass through a civic, recreational or scenic area Since establishing the City's Underground Utility Ordinance, the City has established 8 underground districts as follows: Underground District Number Year Established General Vicinity 1 1973 Mission Drive 2 1978 Garvey Avenue 3 1985 Garvey Avenue 4 1986 Valley Boulevard 5 1995 Del Mar Avenue 6 1995 Walnut Grove Avenue 7 1995 San Gabriel Boulevard 8 1995 San Gabriel Boulevard City of Rosemead Utility Undergrounding Planning Page 9 of 11 Approved Future City Underground Districts In 2011, the City also established Utility Underground District #9, which will include Walnut Grove Avenue from Marshall Street to Valley Boulevard. The project is estimated to start in 2014 and will cost approximately $3 Million, based on figures provided to the City by Southern California Edison. Selection of Walnut Grove Avenue Staff met with SCE representatives regarding Rule 20A and requested an initiation of a study for the formation of an underground utility district. The study targeted Walnut Grove Avenue due to the following reasons: • Undergrounding will enhance safety and have a positive aesthetic impact in the area. • The estimated project timing will coincide with planned street rehabilitation work in the area. • The area serves as a major entry point into the City and has already undergone traffic and beautification improvements. SCE prepared an analysis and presented four alternatives. In reviewing the alternatives, the option of utility undergrounding on Walnut Grove Avenue, from Marshall Street to Valley Boulevard was selected. Staff requested that SCE prepare a rough order of magnitude (ROM) cost estimate for this project. The cost, including escalation factors, was estimated to be $3.10 Million by the construction start date in 2014 (See table on following page for detailed explanation). As noted in the analysis below, the City would "mortgage" 5 years of its anticipated annual Rule 20A allocations. It should be noted that Rule 20A monies are not kept as cash on hand with the City. Rather, these funds are managed directly by utility companies for the purpose of undergrounding projects. City of Rosemead Utility Undergrounding Planning Page 10 of 11 Underground District #9 -•- Wl -lrv, t Grove Avenue Estimated Costs and Funding 2009 Estimate ............................ ............................... $ 2,700,000 2014 Estimate ............................ ............................... $ 3,100,000 (Assumes a 15% increase from 2009) Estimated Rule 20A Balance 2009 Balance .............................. ............................... Projected Future Allocation (2009 through 2014) ................ Annual Allocation $170,000 Projected Start Date 2014 x 5 years $850,000 Projected Mortgaged Allocation (2015 through 2019) ............ Annual Allocation $170,000 5 -Year Allocation Beyond Start Date x 5 years $850,000 $ 1,520,000 $850,000 $850,000 Projected Total Allocation ................ ............................... $ 3,220,000 Possible Augmentation of Utility Underground District #9 In addition to Walnut Grove Avenue from Marshall Street to Valley Boulevard, the City has initiated talks with Southern California Edison to possibly include additional locations for undergrounding. One such opportunity exists along several small residential streets directly adjacent to the project location. This undertaking would be considered a Rule 20C Project and would be completed at the same time as the Rule 20A Project. In this situation, the City could consider using its own funds to complete undergrounding in adjacent residential streets. This effort could be a prudent use of City monies due to the streets' close proximity to Walnut Grove Avenue, effectively clearing all overhead utilities in the corridor. The effort would also complement planned median improvements scheduled for the area. Any commitment of City monies would also require the creation of a Rule 20C District that would be subject to public input and City Council review and approval. City of Rosemead Utility Undergrounding Planning Page 11 of 11 Potential Future City Underground Districts Exhibit A: Undergrounding Priority List and Project Locations Exhibit B: Rule 20A Project (Approved) on Walnut Grove Avenue Exhibit C: Potential Rule 20C Project along residential streets adjacent to Walnut Grove Rosemead Municipal Code - Guidelines for Utility Undergrounding Exhibit D: RMC Section 13.20 Undergrounding Utilities CITY OF ROSEMEAD UTILITY UNDERGROUNDING LOCATIONS AND PRIORITY LIST Adopted: October 8, 2013 Project Priority List October 2013 Location Estimated Distance Estimated Cost Potential Funding Source 1.3 Miles $3.43 Million State Rule 20A Funding (1 -10 Freeway to North City Limit) Rosemead Blvd. is entirely under the jurisdiction of the State of California. The City will work with Caltrans and local representatives to add the roadway to its undergrounding schedule. Such effort is not expected to have a financial impact on the City. Mission Drive 0.6 Miles $1.58 Million City Rule 20A Funding, Other Funding Programs (Rosemead Boulevard to Valley Boulevard) This section of Mission Drive includes a mix of uses, including residential, public facilities, open space, and commercial. At this time, there are no major commercial projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Walnut Grove Avenue 1.75 Miles $4.62 Million City Rule 20A Funding, Development Fees, Other Funding Programs (Garvey Avenue to Mission Drive) This section of Walnut Grove Avenue includes a mix of uses, including residential, public facilities, and commercial. The City's General Plan includes the addition of potential enhanced uses in key locations, including Walnut Grove Avenue /Valley Boulevard. There is a potential that utility undergrounding could occur in conjunction with new development projects. San Gabriel Boulevard 0.5 Miles $1.32 Million City Rule 20A Funding, Other Funding Programs (Rush Street to Garvalia Avenue) This section of San Gabriel Boulevard includes a mix of uses, including industrial and commercial. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Rush Street (Angelus Avenue to West City Limit) 0.2 Miles $528,000 City Rule 20A Funding, Other Funding Programs This section of Rush Street includes residential uses. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Proiect Priority List October 2013 Location Estimated Distance Estimated Cost Potential Funding Source Del Mar Avenue 1.1 Miles $2.90 Million City Rule 20A Funding, Development Fees (North City Limit to South City Limit) This section of Del Mar Avenue includes a mix of uses, including residential, public facilities, and commercial. Property owners in the area adjacent to Del Mar Avenue /Garvey Avenue have initiated steps to develop new projects, including the potential enhancement of uses. There is a potential that utility undergrounding could occur in conjunction with these new development projects. Glendon Way 0.2 Miles $528,000 City Rule 20A Funding, Other Funding Programs (Muscatel Avenue to Rosemead Boulevard) This section of Glendon Way includes a mix of uses, including residential and commercial. At this time, there are no major commercial projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Lower Azusa Road 0.3 Miles $792,000 City Rule 20A Funding, Other Funding Programs (East City Limit to Rosemead Boulevard) This section of Lower Azusa Road includes a mix of uses, including residential, industrial and public facilities. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Temple City Boulevard 0.2 Miles $528,000 City Rule 20A Funding, Development Fees, Other Funding Programs (Valley Boulevard to North City Limit) This section of Temple City Boulevard includes a mix of uses, including residential, commercial, industrial and public facilities. The City's General Plan includes the addition of potential enhanced uses in key locations, including Temple City Boulevard /Valley Boulevard. There is a potential that utility undergrounding could occur in conjunction with new development projects. San Gabriel Boulevard 0.65 Miles $1.72 Million City Rule 20A Funding, Other Funding Programs (Walnut Grove Avenue to South City Limit) This section of San Gabriel Blvd. includes commerrcial uses. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Project Priority List October 2013 Location Estimated Distance Estimated Cost Potential Funding Source Marshall Street 1.25 Miles $3.30 Million City Rule 20A Funding, Other Funding Programs (West City Limit to Rio Hondo Avenue) This section of Marshall Street includes a mix of uses, including residential, commercial and public facilities. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). Hellman Avenue 1.50 Miles $3.96 Million City Rule 20A Funding, Other Funding Programs (East City Limit to Walnut Grove Avenue) This section of Hellman Avenue includes a mix of uses, including residential, commercial and public facilities. At this time, there are no major development projects planned in this area. Undergrounding this area would require the use of Rule 20A monies and possibly the use of other funding sources (grants, underground surcharges, etc.). TOTALS 9.55 Miles $25.21 Million *Other Funding Programs may include City contributions during road reconstruction projects, in coordination with grant projects, potential future surcharges for undergrounding efforts, or other alternatives. *Cost estimates assume $500 per linear foot to underground utilities (based on current SCE costs)