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. . . ARDEJ\ HILLS CITY COUNCIL MEETING MTNjjTES FEBRUARY 11,2002 6 Councilmember Grant stated that if it is a local street the underground cost is picked up by the local community. He asked a what point does Xcel not assess the cost back as it progresscs to thc high lincs. :\1r. Filla stated a city's request for an underground line triggers the discussion on how to pay for it. He noted the city would just pay the incremental cost of putting the line underground. He added if other issues make underground the only option for Xcel thc cost becomes part of the rate structure. Mayor Probst asked if there wcre situations with distribution lincs that go underground and no one pays an additional charge. Mr. Wertish responded yes and no. He stated Xccl's practice ill new residential at'eas is to put the lines undcrground. He noted there is a lot revenue generated by Wispark to offset the charges. He added the developer wants to develop 100 lots so hc has to pay for it. Hc statcd evcrything is cost justified. Councilmember Aplikowski asked why Wispark is not picking up the cxtra cost for these lines since it need them. Mr. Wertish rcsponded Arden Hills has requcsted the line to be undcrground. Councilmember Aplikowski stated the Wispark development triggered the need for this line. She asked if this line would bcncfit any new development in Ardcn Hills. Mr. Wertish rcsponded that for additional development they wOlLld need additional feeders from Substation 10. He stated this line benefits Arden Hill because the system is tied together. Mr. Lynch statcd currently underground line running in Hamlin Avenue in thc TCAAP property. He noted Mr. Wertish had claimed earlier Xcel would have to replace that line in the next five years. He asked who would pay for that cost. Mr. Wel1ish respondcd general rate payers everywhere would pick that cost up. He stated if they havc to upgrade or reconstruct a line, that is a cost of doing business. Mr. Lynch asked for clarification. Mr. Wertish responded it costs more to go underground. He stated they are obligated by the commission and the ratepayers to use thc most cost efficient way to construct a line. He noted south of Highway 96 they havc no options. Mr. Lynch asked whether it would be possible to upgrade the line through Hamline Avenue to meet these needs. Mr. Wertish respondcd no. He stated they necdcd another circuit. Councilmember Larson stated one conceivable option would have been to move up replacement of that line rather than huild this line. Mr. Wertish responded the incremental increase is not enough. He stated they needed another eirCllit. Hc noted that with an upgrade of the Hamline Avenue line the incremental gain is minimal. Councilmember Larson stated a double circuit could have been placed on metal poles. He noted it would not have cost more than what Xcel is doing. :\1r. Wcrtish responded operations did not want to put both lines on the same pole.