HomeMy WebLinkAboutAgenda Report - December 20, 2006 K-03AAAA ITEM 0% OF
Cffy of Lodi
COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt resolution amending the Electric UIlllty Department (EUD) Rules sad
Re�rl> --- Nos. 13, 15 and 16 to recover dM till cost of expanding the electdc
disblix _ syslem from new electro load, to be elhctive 60 days after adoption
(EUD)
MEETING DATE: Decwnbw 20, 2006
PRIEPAIND IVY: Electric Udifty Director
RECOMMENINED ACTION: That the City Council adopt a resolution amending the Electric Utility
Department Rules and Regulations Nos. 13, 15 and 16 to recover the full
cost of expanding the electric distribution system from new electric loud, to
be effective 60 days after adoption.
BACKGROUND NFORMATION: Rules 13, 15 and 16 stipulate the responsibilities of the Electric Utility
Department (EUD) and devek"n for expanding the electric distribution
system to serve new electric load.
Presently, developers/customers are responsible for trenching, excavation, backfill and compaction for underground
systems. The developerlcustomer is also responsible for all required substructures such as vaults, conduit,
transformer pads, pedestals, etc.
EUD is responsible for all other equipment and installation costs including conductors, transformers and metering
(overheard and underground.)
A review of line extension policies of other regional utilities shows a trend towards assigning full cost responsibility
to the de"aperskAwtomers nes. ding new electric facilities. Staff analyzed the actual cost of expanding the City's
electric distribution system to serve new developments for the fiscal years 2002 through 2005. The four-year
average cost of such improvements is approximately $546,000 in which the City incurred 67% of the cost
(--$366,000/year) while the developer/customer was responsible for 33% of extension costs (M$180,0001year)_
Staff recommends modification of the existing EUD Rules and Regulations to recover the full cost of expanding its
electric distribution system from developers. These costs include electric line extensions, service connections and
substructures. The proposed amendments to EUD's Rules and Regulations No. 13 (Temporary Service), No. 15
(Extension of Facilities) and No. 16 (Service customers Connections) are shown in Attachments A, B and C
respectively.
FISCAL IMPACT: This action will reduce future operating and capital budget expenditures by EUD to
serve new developments/customers by an estimated $400,000 per year.
FUNDINS AVAILABLE: Not applicable.
George F. Morrow, Electric Utility Director
PREPARED BY: Demy Bucaneg, Jr., P.E., Manager, Engineering & Operations
GFMfDBM
APPROVED:
Blaif4tist, City Manager
RESOLUTION NO. 2006-234
A RESOLUTION OF THE LODI CITY COUNCIL APPROVING
AMENDMENTS TO ELECTRIC UTILITY DEPARTMENT
RULES AND REGULATIONS NOS. 13, 15, AND 16
WHEREAS, on March 1, 1989, the City Council adopted Ordinance No. 1447,
§13.20.010 of the Lodi Municipal Code, authorizing and allowing adoption by resolution
Rules and Regulations for the Electric Utility Department; and
WHEREAS, on May 18, 1994, the City Council adopted Resolution No. 94-58
adopting by reference, certain Rules and Regulations; and
WHEREAS, amendments to the Electric Utility Department Rules and Regulations
are necessary from time to time; and
WHEREAS, Rules 13, 15, and 16 stipulate the responsibilities of the Electric Utility
Department (EUD) and developers for expanding the electric distribution system to serve
new electric load; and
WHEREAS, presently, developers/customers are responsible for trenching,
excavation, backfill, and compaction for underground systems. The developer/customer is
also responsible for all required substructures such as vaults, conduit, transformer pads,
pedestals, etc.; and
WHEREAS, EUD is responsible for all other equipment and installation costs
inc tiding conductors, transformers, and metering (overhead and underground); and
WHEREAS, a review of line extension policies of other regional utilities shows a
trend towards assigning full cost responsibility to the developers/customers needing new
electric facilities; and
WHEREAS, staff analyzed the actual cost of expanding the City's electric
distribution system to serve new developments for the fiscal years 2002 through 2005, and
the four-year average cost of such improvements is approximately $646,000, in which the
City incurred 67% of the cost ("$366,000/year) while the developer/customer was
responsible for 33% of extension costs (-$1$0,000/year); and
WHEREAS, staff recommends modification of the existing EUD Rules and
Regulations to recover the full cost of expanding its electric distribution system from
developers. These costs include electric line extensions, service connections, and
substructures. The proposed amendments to EUD's Rules and Regulations No. 13
(Temporary Service), No. 15 (Extension of Facilities), and No. 16 (Service Customers
Connections) are shown in Attachments A, B and C respectively.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby amends
Electric Utility Department Rules and Regulations No. 13 (Temporary Service), No. 15
(Extension of Facilities), and No. 16 (Service Customers Connections) as shown on
Atlachments A, B, and C respectively; and
BE IT FURTHER RESOLVED that the amended regulations will be effective for
new electric service plana approved on and after February 19, 2006.
Dated: December 20, 2006
I hereby certify that Resolution No. 2006-234 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held December 20, 2006, by the following
vote:
AYES: COUNCIL MEMBERS - Hansen, Hitchcock, Katzakian, Mounce,
and Mayor Johnson
NOES: COUNCIL MEMBERS - None
ABSENT: COUNCIL MEMBERS - None
ABSTAIN: COUNCIL MEMBERS - None
A I JOHL
City Clerk
2006-234
Attachment A
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
RULE AND REGULATION NO. 13
TEMPORARY SERVICE
A. Establishme� eMVoraryService
The City will furnish temporary service, including service to operations of a
speculative nature or of questionable permanency, under the following
conditions:
If undue hardship to the City or to its customers does not result
therefrom.
2. The applicant shall pay to the City, in advance, the estimated cost
of installing and removing all facilities required for temporary
service. This cost to include, but not limited to, non -salvageable
material, prorated cost (3 yrs/life) of salvageable material, excluding
transformer(s) and labor for the installation and removal.
3. The applicant shall establish credit pursuant to Rule and Regulation
No. 6.
4. Single-phase service of 100 ampere or less supplied to contractors
for construction purposes will be installed by the City for a fixed
non-refundable "Temporary Service Hook-up Charge" provided
such hook-up is for connection of customer -owned service pole per
City standards, to existing City facilities, only. Facilities may be
installed under Section 2 above. Construction service whereby the
contractor installs the service entrance in a permanent location may
be assessed for the line extension and/or service connection as per
Rule No. 15 and/or 16.
5. Nothing in this Rule and Regulation shall limit or affect the right of
the City to collect from the customer any other or additional sums of
money, which may become due and payable to the City from the
customer by reason of the temporary service furnished or to be
furnished. The City may refuse electric service if, in the judgment of
the City, unsafe or hazardous conditions exist.
Eflective February 19, 2007
Pse No. 13-1
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
113. Chane to Permanent Status
1. If at any time the character of a temporary customer's operations
change such that, in the opinion of the City, the customer should be
classified as permanent, or when a customer served under this
Rule has operated the electrical equipment originally installed or
electrical equipment of the same power requirements for a period of
36 consecutive months from the date service is first delivered under
this Rule and has proved the permanency of the business to the
City's satisfaction, the customer will be classified as permanent.
2. Upon reclassification from temporary to permanent service, the
customer will be refunded the amount advanced under A-2 above
less any liability the customer may have for the line extension
(formerly temporary service) per Rule No. 15 and/or 16 in effect at
time of reclassification.
C. Customer -Owned Generation Facilities
There shall be no connection of customer -owned generation
facilities to the City's electric system under this Rule. A special
agreement is required for connection of any customer -owned
generation facilities to the City's electric system. (See Rule and
Regulation No. 21).
Effective February 19,200-7
Page No. 13-2
"' .4 :a
err s
q��oRt�
Attachment B
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
RULE AND REGULATION NO. _15
EXTENSION OF FACILITIES
A. Individual Agglications and Advance Notice_
1. Electric line extensions will be constructed, owned, operated and
maintained by the City to supply individual applicants with electric
service at their request in accordance with this and other applicable
City Rules and Regulations.
2. Applicants shall provide sufficient advance notice in order that
service can be rendered by the time such service is required. The
required advance notice will vary in consideration of the scope of the
project, availability of equipment and material, and the City's
workload at the time of application.
B. Extensions gf Qup_stionable Permanency:
Line extensions to provide temporary service or to serve installations
which in the opinion of the City are of a speculative nature or of
questionable permanency shall be served under Rule No. 13.
C. Extensions lubbect to Rights -of -Way or ments:
City line a)densions will be constructed only along public roads and
highways and upon private property across which satisfactory easements
and/or rights-of-way can be obtained without cost to or condemnation by
the City.
D. Line Extensjons_
1. General:
The City will extend all permanent distribution lines underground and
connect to underground services in accordance with this rule and
Rule No.16. However, the following exceptions allow for continued
construction and use of overhead distribution facilities:
a. Where overhead distribution facilities exist and are expected to
remain indefinitely.
b. In areas where growth and development indicate the area will
remain unchanged for many years.
Effective February 19, 2007
Faae 15.1
2
Effective February 19, 2007
Page 15-2
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
C. In light and heavy industrial areas for the operating convenience
of the City.
d. in certain areas where lines may be constructed along major
rights-of-way to supply bulk power to other areas beyond the
area they traverse.
Developer'slApplicant's Construction Responsibilities:
a. Provide all trenching, excavation, backfill (including imported
backfill) and compaction per specifications and requirements of
the City. At the City's option, the City may actually perform all or
a part of this work and be reimbursed by the
Developer/Applicant prior to construction.
b. Furnish and install all substructures per City design and
specifications. Substructures shall include all conduits, primary
and secondary vaults, service boxes, transformer pads and
ground rods and conductors. At the City's option, the City may
actually perform all or a part of this work and be reimbursed by
the Developer/Applicant prior to construction. If the
Developer/Applicant installs the substructure, the City will
periodically inspect for quality of work and a fee will be
assessed. This fee is payable prior to construction.
c. Upon installation of electrical components by the City, the
substructure system installed under 2b shall be owned and
operated by the City. However, the Developer/Applicant at
his/her expense shall repair all damages to the substructure
system for a period of one year following the date of acceptance
of the development by the City Council or date of energization in
developments not subject to acceptance by the City Council,
whichever is later. Such repair shall include trench, transformer
pad or service box settlement, damage to vaults, boxes or
conduits, etc.
d. All conduits shall be mandrel proved by the Developer/Applicant
in the presence of an Electric Utility Department inspector prior
to installation of any electrical components. A pull string shall be
installed in all conduits. Pull string and mandrel shall be to the
specifications of the City.
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
e. The Developer/Applicant shall notify the Electric Utility
Department 48 hours in advance of any substructure installation
scheduled outside of the normal workday (Monday through
Friday). Developer/Applicant shall pay all overtime premiums
associated with inspections outside of the normal workday.
f. Advance a nonrefundable payment, prior to construction by the
City, for any fine extension outside the boundary of the
development for relocation or modification of any existing
facilities.
g. For all work to be performed by the City, advance a
nonrefundable payment before work is begun for on-site line
extension costs, including, but not limited to labor, conductors,
transformers and switches.
h. Provide all surveying and staking of grades, property lines, right-
of-way, and sidewalks for the proposed sites of electrical
equipment.
i. Provide and install all street lighting materials, per City design
and specifications, on all public roadways. Developer/Applicant
is responsible for the design, installation and maintenance of
streetlights on private roadways or traffic areas.
k. All work that will be performed by the DeveloperlApplicant shall
be subject to the approval by the City.
3_ City's Responsibility:
a. Provide final project design of improvement plans submitted for
review and approval by the City.
b. The City reserves the right to furnish substructures and/or
conduits to be installed by developer/applicant. The City will
require payment for these materials and equipment prior to
delivery and construction. If such is desired by the City, the City
will issue a written notice to Developer/Applicant
C. Furnish and construct transmission line (6OkV) and distribution
substation facilities to accommodate new development within
the service area.
Effective February 19, 2007
Pace 15-3
CITY OF LOBI
ELECTRIC UTILITY DEPARTMENT
E. Special Servile Request:
An applicant requesting service at a different voltage than that presently
available in an area or requesting capacity for intermittent use (X-ray
equipment, motor testing power, etc.) may obtain such service H in the
sole judgment of the City it is practical to supply such service without
adverse effect on the existing system. The applicant will be required to
make a nonrefundable payment prior to construction that is in an amount
equal to the estimated cost of the special service, including transformation
costs.
F. Exceptional base;
In unusual circumstances, when the application of this rule appears
impractical or unjust to either party, the City or the Developer/Applicant
may refer the matter to the City Council for special ruling or for the
approval of special conditions which shall be mutually agreed upon prior to
commencing construction.
G. Modification -9f Existino System:
A customer wanting to modify the City's existing system solely for the
customer's benefit may have the City do so provided:
a. Such modification has no adverse effect on the City's system or
existing customers.
b. The customer makes a nonrefundable payment, prior to construction,
equal to the estimated cost of such modification.
H. Noncgntiguggs Developments:
The City will extend its facilities to serve noncontiguous developments
within city limits provided:
a. The Developer/Applicant makes a nonrefundable payment, prior to
construction, equal to the estimated amount of the supply
extension(s) necessary to serve the development.
b. The Developer/Applicant obtains at no cost to the City the necessary
and satisfactory easements and/or rights-of-way for the extensi"s).
Eflective February 19, 2007
Page 15-4
CITY OF LODI
ELIECTRiC UTILITY DEPARTMENT
I. City-Furnish2g Facilities:
The City may furnish and install, at its expense:
a. Distribution system components solely for the operating convenience
of the City.
b. Bulk transmission and substation facilities to serve the combined load
growth of the City, i.e., the combined load of existing customers.
J. Conflict with Equipment and Facilities:
Equipment and facilities, including metering equipment, installed by the
City within easements and rights-of-way that subsequently become
obstructed, covered, inaccessible, exposed to traffic, incorrectly applied,
etc., as a result of actions such as landscaping, screening, fencing,
driveway widening, etc., solely caused by and to the benefit of the
property owner and/or occupant of the property where such equipment
and facilities were originally installed, shall have corrective measures
implemented, per City's approval, at the property owner's and/or
occupant's expense.
K. Tree Trimming (Line Clearing):
The Electric Utility Department will from time to time trim, clear away and,
if necessary, cut down trees and brush in the vicinity of its overhead lines.
"Vicinity" as used herein shall mean from six to ten feet clearance around
the primary and secondary conductors, if possible, but in no event shall
less than four feet be obtained. These clearances around services
(service drops), although desirable, may not be possible in all cases
without extreme impact on landscaping.
Tree trimming (line clearing) is done to improve the overall system
reliability, to eliminate hazards from trees and branches falling on the lines
and per General Order No. 95 of the State of California, Rule 35 which
states, "Where overhead wires pass through trees, safety and reliability of
service demand that a reasonable amount of tree trimming be done in
order that the wires may clear branches and foliage."
The City will perform the necessary trimming to clear the lines, will remove
all brush and trimmings from the premises and, if requested by the
property owner, will leave any and all valuable timber and wood at the site.
The City will not perform any shaping or overall trimming of trees.
Effective February 19, 2007
Pace 15-5
Attachment C
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
RULE AND REGULATION NO. 16
SERVICE CONt4ECTIONS AND FACILITIES ON CUSTOMER'S PREMISES
A. Service in Areas: Supplied by Overhead Facilities
Below 6QQ Volts
The City will install, own, operate and maintain an overhead service along
the shortest practical route from the City's distribution system to the Point
of Interconnection. The customer shall furnish, install, own and maintain
all conduits, conductors and other equipment, except metering equipment,
beyond the Point of Interconnection.
2. Primaryy verhead Service (12,000 Volt)
a. The City will install, own, operate and maintain a primary overhead
service along the shortest practical route from the City's distribution
system to the Point of Interconnection. Such overhead primary
service will include a pole with associated hardware and cabinets
for metering equipment, if necessary. The City will require a
nonrefundable payment, prior to construction, in the amount of the
estimated cost of the service (including conductor, splices, pull box,
labor, etc. as applicable).
b. The customer/applicant shall install, own and maintain the Point of
Interconnection consisting of facilities for termination of primary
overhead service conductors, protection devices and a three-phase
gang -operated disconnect switch all to be approved by the City.
The customer's Point of Interconnection may include facilities for
metering equipment. Such metering facilities shall be approved by
the City and conform to the requirements of Electric Utility Service
Equipment Requirements Committee (EUSERC).
3. Overhead Service at Transmission Voltage (60,000 Volt)
Service at this voltage level is available only at select locations throughout
the City. Specific requirements for this type of service will be determined
at time of application.
l ffedive February 19, 2007
Face No. 16-1
a.
CITY OF LOBI
ELECTRIC UTILITY DEPARTMENT
The City will install a service along the shortest practical route from the
City's distribution system to the customer's service equipment under the
following conditions:
a. The customer shall provide all trenching, backfill and compaction
and shall furnish and install all conduits, including riser, all per
City's specifications.
b. The City will furnish and install all conductors from the distribution
system to the customer's termination facilities, including completion
of the riser. The City will require a nonrefundable payment, prior to
construction, in the amount of the estimated cost of the service
(including conductor, splices. pull box, labor, etc., as applicable).
C. Underground services installed under this section of the rule, upon
energization, shall be owned, operated and maintained by the City
with the exception of any conduit or duct on or within the outside
perimeter of the building.
B. Service in Areal Supplied! by Underground Facilities
Below 600 Volts
The City will install a service along the shortest practical route from the
City's distribution system to the customer's service equipment under the
following conditions -
a. The customer shall provide all trenching, backfill and compaction
and shall furnish and install all conduits per City's specifications.
b. The City will furnish and install all conductor from the distribution
system to the customer's termination facilities. The City will require
a nonrefundable payment, prior to construction, in the amount of
the estimated cost of the service (including conductor, splices, pull
box, labor, etc., as applicable).
C. Underground services installed under this section of the rule, upon
energization, shall be owned, operated and maintained by the City
with the exception of any conduit or duct on or within the outside
perimeter of the building.
Effective February 19, 2007
Pace No. 16-2
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
2. Primary gnderpround Service (12,000 Volt)
The City will install, own, operate and maintain conduit and conductor
along the shortest practical route from the City's distribution system to the
customer's termination facilities. The City will require a nonrefundable
payment, prior to construction, in the amount of the estimated cost of the
service (inc)uding conductor, splices, pull box, labor, etc., as applicable).
All trenching, excavation, backfill and compaction, to City specifications,
shall be furnished by the customer.
Customer termination facilities (service equipment) shall be approved by
the City and shall include a three-phase gang -operated switch, protection
devices. cable termination devices per City requirements and provisions
for metering equipment per EUSERC.
3. Underpro�nd Service {60,000 Volt)
Underground service at this voltage level (60,000 volt) isnot available.
C. TeMorary Serves
Temporary services, including services to installations of a speculative nature or
of questionable permanency, shall be provided under Rule No. 13.
D. Electrical Service Inspections
I. No new or newly rewired electrical installation will be energized by the City
without a signed electrical Service Order from the Building Inspection Division
of the City of Lodi.
2. In cases where the Building Inspection Division of the City of Lodi does not
have direct jurisdiction and inspections are performed by another agency, a
service order generated from a 'courtesy inspection' by the City's Building
Inspection Division will be required prior to energization.
Etective February 19, 2007
Pace No 16.5
CITY OF LOBI
ELECTRIC UTILITY DEPARTMENT
E. Service CQnnegWns
1. The City will not connect to any single building more than one service for
each voltage classification, either overhead or underground, except:
a. For the City's operating convenience;
b. Where such additional service may be warranted because of load
requirements; and/or
C. Where the customer is required by law to have certain emergency
services.
2. Connection of service to or disconnection from the City's lines shall be
made only by authorized employees of the City.
F. Ownershili2 of Facilities
1. All facilities installed on a customer's premises, including, but not limited to
poles, conductors, transformers, meters etc., which are furnished by the
City in order to render service, shall remain the sole property of the City.
2. The customer shall not charge the City rent or any other charge for the
facilities placed on the customer's premises.
G. Riobt of Access
1. The City shall have the right of access to the customer's premises, without
payment of any charge therefore, at all reasonable hours for any purpose
related to the furnishing of electric service, including, but not limited to
meter reading, testing, inspection, construction, maintenance, tree
trimming and repair of facilities.
2. Service may be refused or disconnected pursuant to Rule No. 11, if
permanent accessibility is not provided by the customer.
3. Upon termination of service, the City shall have right of access to the
customer's premises to remove its facilities installed thereon.
4. The customer shall obtain and provide the City with all necessary
easements as required by the City.
Effective February 19, 2007
Page No. 16-4
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
H. Metering lnstallidions
Location
a. All meters and metering equipment except cabinets will be supplied
and installed by the City upon the customer's premises at a location
approved by the City's Electric Utility Department.
b. All meters shall be accessible to authorized employees of the City
at all times for inspection, testing and reading.
C. The City may require a customer to relocate a metering installation,
at his expense, if an existing meter location becomes inaccessible
or an infraction has been created.
2. Sealing
a. The customer shall furnish a suitable means for the City to place its
seal on the main switch and on the meter and any other enclosure
which contains unmetered service conductors.
b. All metering installation shall be sealed by the City and no such
seal shall be broken or tampered with except by a representative of
the City authorized to do so.
3. General Metering Re uirements
The City's metering requirements are. in general, those of the Electric
Utility Service Equipment Requirements Committee (EUSERC). Contact
the City for specific details. Metering installations shall conform to Lodi
Municipal -Code Chapter 13.20, Article II.
CustomqE Respgnsibility_for Facilities
1. The customer shall exercise reasonable care to prevent facilities of the
City instadled on his/her premises from being damaged or destroyed and
shall refrain from tampering or interfering with such facilities, and if any
defect therein is discovered by the customer, he/she shall promptly notify
the City thereof.
2. The customer shall, at his/her sole risk and expense, furnish, install,
inspect, and keep in good and safe condition all electrical facilities
required for receiving electric energy from the lines of the City, regardless
of the location of the transformers, meters, or other equipment of the City,
Effective February 19, 2007
Paoc- Ne 16-5
CITY OF LODI
ELECTRIC UTILITY DEPARTMENT
and for utilizing such energy, including all necessary protective devices
and suitable housing therefore, and the customer shall be solely
responsible for the transmission and delivery of all electric energy over or
through the customer's wires and equipment, and the City shall not be
responsible for any loss or damage occasioned thereby.
3. The City shall not be responsible for any failure of a customer -owned main
disconnect and/or circuit breaker, at the Point of Interconnection, or any
other customer -owned equipment as a result of being operated by City
personnel for the purpose of establishing safety isolation between the
customer's and the City's electrical system or as a result of the City's
normal operating practice.
4. All servioe switches, cutouts and similar devices required in
connection with a service and meter installation on customer's premises
shall be furnished and installed by the customer in accordance with City
specifications. Such equipment shall be maintained in good working order
by the customer.
5. All electrical equipment by the customer shall conform to the standards of
governing agencies.
Effective February 19, 2007
Page Pio. 166
Extension of Electric Facilities
.0
Trot
City Council
December 20, 2006
EUD Current Policy
• Developer responsible for cost of installing
substructures:
- Conduit, vaults, transformer pads, pedestals
• EUD responsible for all other costs:
- Conductor, transformers, metering, etc.
Note: Developer may also be responsible for costs to connect non-
contiguous development.
Historical EUD Costs
YEAR
Paid by City
Line Extensions & Services
Paid by Developers
Substructures
2002
$
300,484.00
$
141,453.00
2003
$
304795.00
$
186,614.00
2004
$
398, 753.00
$
190, 544.00
2005
$
458,925.00 Ir$
—i
204,715.00
Total
$
1,462,957.00
$
723,326.00
Average
$
365,739.25
$
180,831.50
Percentage
67%
33%
Residential Subdivision Cost
For actual residential subdivisions over the past couple
of years, EUD has paid 58% of costs with the developer
paying the remainder.
Number of Lots for Residential Subdivision
Total
Cost
per
%
11
74
77
27
28
16
233
Line Extensions/Services
$24,260
$65,802
$62,384
$32,053
$18,022
$42,264
$244,785
$1,051
58%
Substructures 11
$22,115
1 $42,329
1 $61,892
1 $19,295
1 $16,568
1 $141462
,LL758
42%
Utility Survey Results
Is the Developer responsible for the cost
of electrical extensions?
City of Roseville
Yes
Yes
Modesto Irrigation District
Yes
No
Alameda
Yes
Partial
Santa Cara
Yes
Yes
Palo Alto
Yes
Yes
Turlock Irrigation District
Yes
Yes
Sacramento Municipal Utility District
Yes
Yes
Pacific Gas & Electric Company
Yes
Yes/No
Lodi -- Current
Yes
No
Lodi -- Proposed
Yes
Yes
NJ
Typical Residential Cost Comparison
Truckee
$1500
Santa Clara
$1070
Roseville
$1300
Sacramento (SMUD)
$1050
Turlock (TID)
$1300
Lodi
$1050
Note: The above is the cost for line extension costs
only. "Substructure" costs are additional but are
identical for each since it is developer's physical
responsibility.
Summary
• EUD is incurring the majority of costs for
expanding the electric distribution system for
growth
• Many utilities pass all such costs to
developers/customers
• EUD should consider adopting a "full cost"
recovery model for distribution expenses
Staff Proposal
• Adopt a "full cost" recovery model for distribution
expenses for system growth
• Developer/customer to be responsible for all electric
system costs related to their development or
expansion project
• Based on historical costs, this would result in annual
fiscal benefit to electric fund (-$500K)
Questions/Comments
Cost Comparison
$3,000.00
$2,500.00
$2,000.0(
$1,500.01
$1,000.0
$500.0
$0.0
COST OF DEVELOPMENT
ruatc