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2004_0524_Packet
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2004_0524_Packet
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BURYING OVERHEAD UTILITIES <br />At the meeting on March 15, City Council directed staff to worlc with Xcel energy to determine <br />the potential costs for the undergrounding of the distribution lines in the easterly Residential <br />District of County Road B-2. The estimated cost for the burying of the electrical lines for this 2 <br />mile stretch is $700,000. This does not include costs for relocation of the telephone or cable <br />lines which are collocated on the existing power poles. A joint trench project to bury all of the <br />existing underground utilities would increase this cost to approximately$1.2 million dollars. <br />There are two mechanisms that the City Council could elect to use to fund the proposed <br />improvements. <br />CC�i.y Requested Facilities Surcharge (CRFS) <br />On a project by project basis, an overhead to underground conversion would be considered a <br />"special facilities" project and is subject to cost recovery as defined by the Minnesota Public <br />Utilities Commission City Requested Facilities Surcharge (CRFS). This CRFS would be an <br />automatic surcharge to City of Roseville electric customers. <br />Electric Franchise Fee <br />In 2003, Xcel has computed the amount of revenue generated by a 3% Electric Franchise Fee. <br />Based on November 2002 usage this would generate $911,278. A table is attached. The Council <br />could use these funds for electrical undergrounding and upgrading projects throughout the City or <br />for other projects. <br />Both of these funding mechanisms would require additional study. Xcel indicated that they <br />would need 6 months to design an undergrounding project and put together a more reliable <br />estimate. <br />County Road B-2 Trail <br />FeasibilityReport <br />May 24,2004 <br />�� <br />
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