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The California Public Utilities Commission directs Pacific Gas and Electric (PG&E) to <br />set aside funds for electrical undergrounding projects known as Rule 20A fiends. These <br />funds are then allocated for local jurisdictions to perform electrical undergrounding work. <br />The City's allocation of Rule 20A funds averages approXimately $600,000/year. To <br />obtain adequate funds to construct an electrical undergrounding project, the City may <br />borrow against its future allocations up to five (5) years into the future. When there are <br />insufficient Rule 20A funds, or when a project is ineligible for Rule 20A funds, other <br />funding sources can be used for the undergrounding work. City, Comcast, and AT&T <br />facilities are not eligible for Rule 20A funds. The cost for placing these facilities <br />underground falls either to the facility owner or, in some cases, to the developer. <br />Based on the above criteria, staff recommends that the following project areas be <br />established as the priority areas for the 2008-2009 Five-Year Project List for <br />Underground Utility District Conversion Projects: <br />East 14t~' Street Phase 2 (150t~' Avenue to San Leandro Boulevard) <br />2. Merced Street (Marina Boulevard to Fairway Drive) <br />3. Parrott Street (Hays Street to San Leandro Boulevard) and Hays, Clarke, and <br />Carpentier Streets (West Juana Avenue to Parrott Street) <br />4. MacArthur Boulevard (Superior Avenue to Joaquin Avenue) <br />5. East l 4'~' Street Phase 3 (San Leandro Boulevard to Thornton Street) <br />Undergrounding of utilities on East 14t~' Street from 150t~' Avenue to San Leandro <br />Boulevard is a priorit~ because of the high traffic and profile and because it is adjacent to <br />a segment of fiast lot' Street that will soon have the utilities undergrounded. This project <br />is likely to require all of our existing Rule 20A money, as well as all the money we can <br />borrow in advance. The remaining projects will either be paid by other sources, such as <br />developers or the Redevelopment Agency, or will need to wait until the Rule 20A funds <br />accumulate again. <br />Approval of the above projects as a priority does not authorize the project to proceed. <br />The project will go through the required public notice, public hearing, and City Council <br />approval process prior to implementation. <br />Current City Council Policy <br />Not Applicable <br />Previous City Council Action(s) <br />• The City Council approved the 2001-02 Five-Year Project List for the Underground <br />Utility District Conversion Project on November 5, 2001, by Resolution No. 2001- <br />191 <br />City Council Committee Review and Action <br />The Facilities and Transportation Committee reviewed this project list at its meeting on <br />3/25/08. <br />