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HomeMy WebLinkAboutMinutes - December 9, 2008 SSLODI CITY COUNCIL SHIRTSLEEVE SESSION CARNEGIE FORUM, 305 WEST PINE STREET TUESDAY, DECEMBER 9, 2008 A. Roll Call by City Clerk An Informal Informational Meeting ("Shirtsleeve" Session) of the Lodi City Council was held Tuesday, December 9, 2008, commencing at 7:03 a.m. Present: Council Member Hitchcock, Council Member Johnson, Mayor Pro Tempore Katzakian, and Mayor Hansen Absent: Council Member Mounce Also Present: City Manager King, City Attorney Schwabauer, and City Clerk Johl .. 01 B-1 West 60kV Power Line Project - Preferred Alternative Routing Study (EUD) City Manager King briefly introduced the subject matter of the West 60kV Power Line Project. Electric Utility Director George Morrow provided a PowerPoint presentation regarding the power line project. Specific topics of discussion included reliability, capacity, western line, history of the west transmission project, conceptual study, alternative routes, aerial view, alternative 7, preferred alternative study, stakeholders, poles, route detail, PG&E, Northern California Power Agency (NCPA), FAA, CalTrans, San Joaquin County, City application, private landowners, environmental, summary, wood pole and double circuit, key benefits, next steps, and tentative timeline. In response to Mayor Hansen, Mr. Morrow stated the City received tentative approvals from FAA, which will likely remain so long as the proposal generally stays the same. In response to Mayor Pro Tempore Katzakian, Mr. Morrow stated staff already spoke to key stakeholders, namely affected property owners, and will continue to speak with other stakeholders throughout the public process. In response to Mayor Hansen, Mr. Morrow stated the project will run parallel to Highway 12, north of the Southwest Gateway project, and along the Van Ruiten property. In response to Council Member Johnson, Mr. Morrow stated theoretically the project could impact some subdivision built in the future; although, the goal was to stay away from Highway 12 as much as possible, and Davis Road could be a possibility. In response to Council Member Johnson, Bob Streich, consultant with Auriga Corporation, stated Highway 12 is a safety corridor, setbacks help but require a higher approval at the State level versus the regional level, and there is an issue with the widening of Highway 12. A brief discussion ensued between Council Member Hitchcock, Mr. King, and Mr. Morrow regarding previous attempts for a similar project along Highway 12. In response to Mayor Hansen, Mr. Morrow stated there are only four property owners affected based on the way the current proposal is set up. Discussion ensued between Mayor Hansen, Council Member Johnson, and Mr. Morrow regarding the process of negotiating easements with certain property owners versus reaching out to those Continued December 9, 2008 who are upset that there will be power lines in the area. Mr. Morrow stated everyone is given an opportunity to provide comments through the process. In response to Mayor Hansen, Mr. Morrow stated in his judgment the current proposed line can be built and is cost effective. In response to Mayor Hansen, Mr. Morrow stated the proposed line would be needed regardless of the approval and construction of the new Lodi Energy Center as they are not necessarily related. Discussion ensued amongst Council, Mr. King, and Mr. Morrow regarding the 1998 consideration of purchasing power directly off the grid and the need for energy for the future regardless of the new Lodi Energy Center. In response to Mayor Pro Tempore Katzakian, Mr. Morrow stated the cost is estimated to average between $8 million and $10 million. Mr. Morrow stated the cost is approximately ten times higher to bury the lines. In response to Council Member Johnson, Mr. Morrow stated the existing school on Harney Lane was another reason to consider going further west. In response to Mayor Hansen, Mr. Morrow stated the timeline of the California Environmental Quality Act project is approximately a year or so. In response to Mayor Hansen, Mr. Morrow stated the matter will come back to Council for specific project approval along with more specific details and funding options. In response to Myrna Wetzel, Mr. Morrow stated the City will continue to stay with the Independent System Operator footprint while having more flexibility. He also stated wood poles are good for straight lines and steel poles are best for turns and curves. C. (nmmPnts by Piihlin on Non -Agenda Items None. D. Adiournment No action was taken by the City Council. The meeting was adjourned at 7:49 a.m. ATTEST: Randi Johl City Clerk 2 6001 CITY OF LODI COUNCIL COMMUNICATION AGENDA TITLE: West 60KV Power Line Project -- Preferred Alternative Routing Study MEETING DATE: December 9, 2008 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: Receive a presentation by the Electric Utility Department conveying the results of a recent study of the previously identified "preferred routing" alternative for the West 60KV Power Line Project BACKGROUND INFORMATION: On June 20, 2007, the City Council awarded a contract to Auriga Corporation (Auriga) of Milpitas, California to provide conceptual routing and siting evaluation, alternative and right-of-way analyses, issue identification, cost/benefit studies, and other related recommendations for a potential transmission line from west Lodi to the vicinity of the City's White Slough Water Treatment Facility near 1-5. A variety of alternative routes were analyzed by Auriga who submitted the final report in January 30, 2008. Staff reviewed the final report and evaluated the seven (7) transmission alternative routes as presented by Auriga. Both Auriga and the Electric Utility Department (EUD) recommended Alternative 7 as the preferred alternative. Background on this report and the Preferred Alternative was presented to the City Council on February 5, 2008 during a Shirtsleeve Session. Attached to this Council Communication is a detailed description of Alternative 7. This is not the same route that the Council previously considered for a transmission line along Highway 12. The recommended route generally runs from the White Slough Water Treatment Plant across 1-5 south of Flag City, north of Kingdon Airport and along Hamey lane to the westside of the Southwest Gateway Project. On March 5, 2008, the City Council awarded a second contract to Auriga to further study the feasibility of constructing Alternative 7. Tasks included communicating/negotiating/interfacing with property owners, other utilities, state and county agencies, permitting authorities and other key stakeholders. Auriga completed this work and documented their findings in a report provided to EUD in mid-September 2008. (Report attached.) The report concludes that Alternative 7 remains the recommended "Preferred Alternative". No fatal flaws or obstructions were identified that would prevent a power line from being built along this route. A new power line along Alternative 7 would improve electric reliability, be less cost, and likely have minimal environmental impacts. All required permits, agreements and land rights can be obtained from involved agencies and property owners. If affirmative direction is received, work can begin to comply (CEQA) and to undertake detailed engineering of the project operational no later than the 2011-2012 timeframe. J California Environmental Quality Act goal of constructing a project to be George F. MorrovT Electric Utility Director APPROVED: Blair KtgDtity Manager Lodi West 60kV Power Line Preferred Alternative Line Route Study City of Lodi Electric Utility Department FINAL REPORT on the LODI WEST 60kV POWER LINE PREFERRED A L TERNA TI VE LINE ROUTE STUDY September 15, 2008 Report Prepared by Auriga Corporation Principal Investigator, Robert Streich Proprietary and Confidential 1 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study Table of Contents Tableof Contents..................................................................................................................2 ExecutiveSummary..............................................................................................................3 1.. Introduction..................................................................................................................4 1.1 Study Objective............................................................................................4 1.1 Figure 1: Line Route Alternatives Identified During 2007 Study.................................4 1.2 Study Scope of Services............................................................................................6 1.3 Proposed "Preferred Alternative" Line Route Description......................................7 1.3 Figure 2: "Quantity of Poles by Line Section" Table...................................................7 1.4 Figure 3: "Proposed Preferred Alternative Line Route" Map......................................9 2. Key Stakeholder Scoping Sessions...........................................................................10 2.1 Pacific Gas & Electric(PG&E).......................................................................10 2.2 Northern California Power Agency(NCPA).......................................................12 2.3 Federal Aviation Administration (FAA)............................................................12 2.3 Figure 4: Poles Submitted to FAA for Feasibility Study Review...............................13 2.4 State of California Department of Transportation(CalTrans).................................14 2.5 San Joaquin County Planning and Public Works...............................................15 2.6 City of Lodi Community Development..............................................................15 2.7 Land Owners and Developers .............................................. ........................17 3. Conclusion..................................................................................................................19 4. Next Steps...................................................................................................................19 5. Exhibits.......................................................................................................................20 5.1 Letter to PG&E re: Proposed 60kV Line..................................................................20 5.2 Letter of Response from PG&E re: 60kV Project...............................................21 5.3 Letter from FAA re: Feasibility Study...............................................................22 5.4 Letter to Property Owners.......................................................................................25 5.5 Line Route Base Maps; Line Sections 1, 2, and 3 ....................................................26 Proprietary and Confidential 2 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study Executive Summary As a result of previous study findings, the City of Lodi's Electric Utility Department (EUD) has determined that significant reliability improvements and economic benefits would be achieved if a power line was constructed between the White Slough area and the proposed Westside Substation at Kettleman Lane and Lower Sacramento Road in the City of Lodi. The objective of this study was to explore the specific permitting requirements and land right acquisitions that would be required on line route Alternative #7 of the 2007 study performed by Auriga Corporation. That route had been found to be superior to all other routes that had been previously explored during past studies. The goal of this study was to determine if that route could become the "Preferred Alternative" of a proposed power line project. Study activities included meeting with Pacific Gas & Electric, the Federal Aviation Administration, San Joaquin County, City of Lodi Community Development, Cal Trans, and the private property owners that rights of way would be needed. The goal of each meeting was to establish open lines of communication, discuss the electric utility department's plans, verify the permitting requirements of constructing a power line, and get their overall feedback on the proposed project. All of the tasks and deliverables planned for this study were successfully completed. The positive, open lines of communication that were established with the federal, state, and regional agencies and private property owners during this study will prove to be invaluable during the development of a project. The feedback received from the key stakeholders assisted the Study team in modifying the project plans in order to fit the specific rules and regulations. The Study team has determined that previous study's Alternative #7 is still the recommended "Preferred Alternative" line route between the White Slough area and the City of Lodi's proposed Westside Substation. The study reaffirmed that Alternative #7 will improve electric system reliability, it is the least cost line route, the minimal environmental impacts can be mitigated, and all of the required permits, agreements and land rights can be acquired from the agencies and property owners. Proprietary and Confidential 3 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 1 Introduction 1.1 Study Objective In 2007, the City of Lodi (City), through its Electric Utility Department (EUD), completed a study to research the routing options, the potential impacts, and the mitigation required to permit and construct a 60kV electric power line from the White Slough area adjacent to Interstate 5 to the proposed Westside Substation near Kettleman Lane and Lower Sacramento Road. The study was performed by Robert Streich, Principal Investigator for Auriga Corporation. The EUD presented the results of that study to the City of Lodi City Council at a Shirtsleeve Session on February 5, 2008, sharing the needs, various route alternatives, and the benefits and risks surrounding the proposed project. Figure 1: Line Route Alternatives Identified during 2007 Study Proprietary and Confidential 4 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 1.1 Study Objective (continued) The objective of this study was to focus exclusively on the 2007 Study's Line Route Alternative #7. That route was believed to be superior to all other routes and potentially becoming the "Preferred Alternative" of a proposed project. Activities included the exploration of the specific permitting and land rights that the proposed "Preferred Alternative" route would require. Then, meet with each of those key stakeholder agencies and land owners to establish open lines of communication, discuss the City's plans, and get their feedback on the plans. The feedback received during the key stakeholder meetings will be used to modify the plans prior to the EUD staff presenting any project requests to the City of Lodi City Council. Proprietary and Confidential 5 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 1.2 Study Scope of Services Item Description Deliverable 1 Prepare presentations and supporting Customized presentations that documents that will be used to communicate will fit the specific agency or he project description. property owner. 2 Meet with the 4-5 land owners that right of Includes discussions on the ays may be needed. Share the proposed typical process for a municipality plans, preliminary design and placement of acquiring land rights from a acilities. private land owner. 3 Present the City's project plans to PG&E. Acquire a written confirmation of Negotiate the role each will play and their the role and scope of work each cope of work on the power project.—organization will have. 4 Present the City's project plans to the Airport Reach an agreement of the Commission. Reach agreement on the permit terms and requirements. proper placement of facilities that are in the irport's jurisdiction. 5 Present the City's project plans to the San Acquire a written agreement of oaquin County Permit Center. the permit terms and requirements. 6 Present the City's project plans to CalTrans Acquire agreement of the permit or any lines in their jurisdiction.[terms and requirements. Scoping Session meetings were held with federal, state, and regional government agencies, local utilities, and the four private property owners that land rights may be needed if a project is pursued. The major factors that were discussed with each key stakeholder were technical, environmental, land rights, and project roles and responsibilities. Feedback from these key stakeholders will assist the City of Lodi in gaining an understanding of any concerns or issues that the stakeholders may have prior to the EUD formalizing plans for consideration by the City of Lodi City Council. This report encapsulates the results of those scoping sessions and the findings that will be used in the preparation for a project application. Proprietary and Confidential 6 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 1.3 Proposed "Preferred Alternative" Line Route Description After reviewing all of the line route alternatives that were identified and researched during past studies, the EUD staff selected one route, Alternative #7, which deserved additional attention and research. Based on the information at the time of this report, the line route that is described below meets all of the EUD objectives of constructing a high capacity power line from the White Slough area to the proposed Westside Substation, in a cost effective, environmentally sensitive approach. This line route was shared at the agency and land owner scoping sessions and meetings. Also, all of the research, information, and conclusions in this final report are based on this route. In order to clearly identify the line's specific location, the route has been split into three sections. The proposed line route is described in text description by line section, by quantity of joint and solely attached poles (Fig. 2), and a parcel map view, (Fig. 3: "Proposed Preferred Alternative Line Route") Line Section Joint Poles w/ PG&E EUD Sole Attachment Total Poles, Section 1 9 8 17 2 23 8 31 3 8 21 29 TOTAL 40 37 77 Figure 2: Estimated Pole Count, by Line Section Proprietary and Confidential 7 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 1.3 Proposed "Preferred Alternative" Line Route Description (continued) Note: Specific line lengths and pole locations are preliminary and are subject to change. Line Section 1 1.1. Start at the line's easternmost interconnection point, Westside Substation, located on the southeast corner of Kettleman Lane and Westside Drive. 1.2. The 60kV line leaves Westside Substation and proceeds west 1,000 feet on the south side of Kettleman Lane to a private road. 1.3. The line turns south on a private road and continues 4,800' to Harney Lane. Line Section 2 2.1 The line turns west on the north side of Harney Lane and continues 12,000' to DeVries Road. 2.2The line then turns south on the west side of DeVries Road for 1,300' to Tredway Road. 2.3The line heads west on the north side of Tredway Road for 5,300' to Ray Rd. Line Section 3 3.1 Then the line turns south onto private property for 4,000' between Tredway Road and North Thornton Avenue. 3.2The line then crosses North Thornton Road and continues west on City of Lodi property for 2,000'. 3.3The line crosses Interstate 5 in the same location as an existing PG&E 12kV Distribution line crossing. 3AThen, the line continues west on City of Lodi property for 1,300' to the NCPA STIG #2 Substation near White Slough. Proprietary and Confidential 8 Auriga Corporation Lodi West OOk\/Power Line Preferred Alternative Line Route Study 1.4 " Line Route Map Note: Larger scale maps of the route can be found in Section 5. 5, "Line Route Base Maps"' .~....................~..~...~...........~...................... . . .. .Line Section 3. . . . . . ~ . . . . . . . . . . . . . ~ . . . . . . ~ . . . . . . . . . . . . . . . .. .N1. . . . . . . . . . . . . . . . . . . . . . ~ . ~ ' . .,,,,,,,,,,,,,,~,,,,,,,,,,,,,,,,,,,,..,,,,.�,»,,,...,,~,,,. Figure 3: Proposed "Preferred Alternative" Line Route Map Proprietary and Confidential 9 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2 Key Stakeholder Scoping Sessions Scoping Session meetings were held with federal, state, and regional government agencies, local utilities, and the four property owners from whom land rights may be needed if a project is pursued. The major factors that were discussed with each key stakeholder were technical, environmental, land rights, and project roles and responsibilities. Feedback from these key stakeholders will assist the City of Lodi in gaining an understanding of any concerns or issues that the key stakeholders may have prior to the EUD formalizing plans for consideration by the City of Lodi City Council. A Communication Plan was developed prior to meeting with agencies and land owners. The decision was made to meet with all agencies and utilities first to obtain their affirmation that the line route is feasible. This strategy proved to be very successful in delivering a clear presentation to the land owners with a high level of confidence and specific, credible, information. 2.1 Pacific Gas & Electric (PG&E) On May 19th, members of the EUD staff met with representatives of PG&E's North Valley Operation Maintenance & Construction staff. The objective of the meeting was for the EUD to share the preliminary project plans with PG&E and to have open dialogue about the best approach to take during project development and construction. During the meeting, the following principles and understandings were agreed upon by both parties: • The City of Lodi and PG&E will utilize the policies and procedures stated in the Joint Pole Association's Agreement for initiating all Distribution pole work. Proprietary and Confidential 10 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2,1 Pacific Gas & Electric (PG&E) (continued) • The proposed "Preferred Alternative" line route does not interfere with the ability for PG&E to operate their electric system or serve their customers. • The City of Lodi and PG&E will cooperate in the timely design and construction of the project. • The City of Lodi will act as Lead Agency on the proposed project, including all permitting, detail design, public works bidding, contract administration, and construction on the proposed project. • PG&E will review, approve, and inspect the design and transfer of PG&E's Distribution facilities on all Joint Pole locations of the project. • The City of Lodi will attempt to minimize the disruption of service to PG&E and its' customers during the project. • The City of Lodi is willing to coordinate any pending PG&E maintenance tags on the facilities involved in the project. These understandings were later captured and confirmed as acceptable in a letter dated July 7, 2008, sent by Lodi Electric Utility Director, George Morrow, to Lorene Harden, Director of PG&E's North Valley Region (Exhibit 3.1). Then, on July 22, 2008, Ms. Harden confirmed that the contents and agreements that were stated in the July 7th letter had been reviewed by both herself and other staff members and that it is agreed to. The positive, open relationship created over the past several months and the acceptance of the project understandings is a major milestone that will assist in the development and construction of a project in the near future. Proprietary and Confidential 11 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.2 Northern California Power Agency (NCPA) Although the interconnection into STIG #2 was not part of the scope of this study, contacts were made with NCPA to update them on the plans and progress of the proposed 60kV line. Proposed NCPA STIG #2 230kV Tap Interconnection A modification to the existing NCPA STIG #2 Substation would be required for an interconnection of the Lodi West 60kV Power Line. A new substation bay and buss extension would be required in order to accommodate the installation of the 230/60kV transformer bank and breakers necessary for the interconnection. The interconnection at the NCPA substation site is a critical component of the overall project. Ongoing communication between the EUD and NCPA staffs must continue as the proposed power line project proceeds into the development phase. 2.3 Federal Aviation Administration (FAA) Line Section 2.3 (see Section 1.4 "Proposed Preferred Alternative Line Route Description") of the proposed 60kV line is within the jurisdiction of the Federal Aviation Administration (FAA), the organization that reviews and approves any new facilities that are planned in the "Area of Influence" near a public airport. The runway at Kingdon Airpark is approximately 1,600' south of Line Section 2.3, which falls within the Area of Influence and requires FAA approval. Applications for a Feasibility Study were submitted by the consultant to the FAA Western Regional office in Hawthorne, CA, for the nine (9) proposed power pole locations, as denoted by the aerial map in Figure 4 Proprietary and Confidential 12 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.3 Federal Aviation Administration (FAA) (continued) Figure 4: Poles Submitted for FAA Feasibility Study The response and comments received from the FAA are described in a letter, dated July 2, 2008 (Exhibit 5.3). It stated, with respect to the proposed pole locations and related facilities, "structure heights at these locations will not exceed the FAR Part 77 obstruction standard". The findings by the FAA on the proposed pole locations on Tredway are a major milestone for this study. It will allow the EUD to proceed with the detail design of an overhead line on Tredway Road. Once the specific pole locations and height of the structures is determined, an "Application for Construction of a Permanent Structure" will have to be submitted for each pole location within the FAA's Sphere of Influence". The application should be approved, as long as the structure height does not increase from the 50 foot height submitted during the Feasibility Study Proprietary and Confidential 13 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.4 State of California Department of Transportation (CalTrans) The State of California Department of Transportation (CalTrans) conducted a Feasibility Study on the two (2) proposed line sections that are within CalTrans highway jurisdiction. They are Line Section 1. 1, alongside State Route 12, and Line Section 3.3, crossing Interstate 5. CalTrans reviewed the plans to see whether the 60kV line would be allowed in the proposed areas. If the line was found to be in an allowable area, the CalTrans Planning Engineers then reviewed the typical setbacks and other special conditions that may be required. Conclusions • On State Route 12, within Post Miles (PM) 8.8 - 11.3, is defined as an "Access Controlled Area". The EUD would have to apply for a Design Exception Review at CalTrans Headquarters in Sacramento, if poles were proposed between the mile posts. =:> Note: The line route proposed in this study does not have any poles located within mile posts 8.8 — 11.3, thus avoiding the need to apply for a Design Exception with CalTrans. • For poles placed on State Route 12 outside of the mile posts stated above, the poles would have to be placed 32' from the Edge of Traveled Way. The EUD will be required to submit applications for an Encroachment Permit for the Construction phase of the project and a permanent Public Utility Easement for the placement of facilities in the CalTrans jurisdictional areas. The application should be approved as long as the requirements shown above are met. Proprietary and Confidential 14 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.5 San Joaquin County; Planning and Public Works A majority of the line route is planned to be placed in the existing Public Utility Easements on San Joaquin County roads. Therefore, their review of the route plan was critical to the approval and permitting of the line. On May 20th, the proposed project plans and line route maps were presented to the San Joaquin County Planning Department and the Public Works Department for their review and feedback. The County's initial response was that the poles would have to be placed 18 feet from the edge of the paved roadway. If that were required, EUD would need to acquire private property rights outside of the existing utility easements. Since the existing set -back for utility poles in the planned route area is 3 — 8 feet, an appeal was made to have the County reconsider their position. After visiting the site, they agreed that their desired 18' setback was not feasible and that the EUD could apply for placing the proposed poles in the existing 3 — 8 foot setback from the edge of the roadway. 2.6 City of Lodi Community Development Proposed plans and the line route were presented to members of the City of Lodi's Community Development Department on May 22nd. They reviewed the plans and provided the following observations: • The proposed line route would be incompatible with the Southwest Gateway Annexation Final Environmental Impact Report (FEIR) if the line goes through the development. Rather than risking re -opening and modifying the FEIR, the line was re-routed to avoid going through Southwest Gateway. Proprietary and Confidential 15 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.6 City of Lodi Community Development (continued) • The planned school site has been revised and now sits on the westerly edge of the Southwest Gateway development. The line will be required to maintain 100 feet from the edge of the school site. • If the EUD proceeds with the project, an Environmental Impact Report following California Environmental Quality Act (CEQA) guidelines is strongly recommended. • The City of Lodi would be the Lead Agency on the project. The Community Development Dept. typically leads the preparation and communication of the environmental document. They would like to discuss further the roles that they will play with the EUD. • There is speculation that additional land to the west of the Southwest Gateway area will be annexed and developed sometime in the long term future. By placing the proposed line route on the westerly edge of the current city limit would allow for Planners to design a utility corridor and streetscape to accommodate the utility needs. Proprietary and Confidential 16 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.7 Land Owners and Developers Meetings were held with four (4) land owners and one (1) developer during this set of scoping session meetings. The land owner information is not shown in this report in order to maintain confidentiality of personal information. The information will be provided to the EUD Director for future communication needs. Land Owners A meeting was scheduled with each of the land owners and developer separately. The agenda for each meeting was to share the following items with them and request their feedback: 1. Review City of Lodi letter explaining purpose of the meeting. (Exhibit 3.5) 2. An overview of the proposed project plans. 3. The location of the proposed line route that is on their property. (A map of the line route was provided to each land owner) 4. The process that would occur if acquisition of a right of way is necessary. Outcome of Land Owner Meetings Each of the four meetings with the land owners was very positive. Each appeared to understand the need for the proposed project and was appreciative to receive specific information on how the planned route relates to their property. The feedback was consistent with all four land owners: • Concern for the visual impact that the line would have on the value of their property. • Concern for the placement of the line to avoid conflicting with its current use and for future development of the property. In summary, the EUD and the land owners must maintain the open communication that was accomplished during this study as the planning of the project moves forward. Proprietary and Confidential 17 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 2.8 Land Owners and Developers (continued) This will assure that the placement of the facilities on their property is achieved for the benefit of both the City and the land owners. Developer Frontier Community Builders (FCB) is the planned developer of the Southwest Gateway Annexation property. The proposed line route and plans were presented to them at their office. An earlier version of the line route was planned to leave Westside Substation to the south within the Public Utility Easement on the streets of the Southwest Gateway development. FCB objected to those plans due to the negative visual impact that the line would have on the development. Based on the feedback received from FCB, the original line route was modified and re-routed onto private property near the westerly edge of the planned development. The proposed line no longer enters into the Southwest Gateway development. Although FCB suggested that they would prefer the line be placed even further west, such as Davis Road, in order to accommodate future development, the plan to move the line outside of the Southwest Gateway development seems to be an acceptable compromise. Proprietary and Confidential 18 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 3 Conclusions All of the study's planned tasks of communicating with the key stakeholders were accomplished. Plus, receiving constructive, objective feedback from each stakeholder met the deliverables that were planned for this study with positive results. Although the information delivered and the resulting feedback from the stakeholders is preliminary, there were no fatal flaws or obstructions identified that would prevent a power line from being built along the proposed route. These study findings and deliverables will assist the EUD in communicating clear information to the City Council, City departments, other permitting agencies, developers, and land owners. 4 Next Steps In order to continue the progress of meeting the objectives of building a high capacity, cost effective power line, the EUD should consider these next steps: • Maintain the open communications with the key stakeholders and provide regularly scheduled updates on the planned project's progress. • Prepare a presentation of the study's results that will be presented to the City Council in the future. • Prepare a Detailed Cost Estimate (+/- 10%) of the proposed 60kV power line segment of the project. • Prepare Design specifications for the proposed project in preparation for the Environmental Impact Report. • Prepare requests for proposals and identify qualified contractors for the environmental, land acquisition, technical design, and construction functions that may be contracted. Proprietary and Confidential 19 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5 Exhibits 5.1 Letter to PG&E re: Proposed 60kV Project CITY COUNCIL JOANNE MOUNCE, Mayor LARRY D. HANSEN, Mayor Pro Tempore SUSAN HITCHCOCK BOBJOHNSON PHIL KATZAKIAN July 7, 2008 CITY OF •D aye<oa u 9��FOR� ELECTRIC UTILITY DEPARTMENT GEORGE F. MORROW, DIRECTOR 1331 SOUTH HAM LANE LODI, CALIFORNIA 95242 Lorene Harden Director, Maintenance & Construction Pacific Gas & Electric Company P.O. Box 930 Stockton, CA 95201 Dear Lorene, BLAIR KING, City Manager RANDI JOHL, City Clerk D. STEPHEN SCHWABAUER, City Attorney Thank you and your staff for taking the time to meet with Lodi Electric Utility staff on May 19, 2008 regarding the City of Lodi's planned West Lodi 60kV Transmission Project. Although the plans that we shared with you at the meeting are conceptual and subject to change, I wanted to take a moment to confirm the business principles and understandings that I believe we agreed upon at the meeting: 1. The City of Lodi and PG&E will utilize the policies and procedures stated in the Joint Pole Association's Agreement for initiating all Distribution pole work. 2. The proposed "Preferred Alternative Line Route" does not interfere with the ability for PG&E to operate its electric system or serve its customers. 3. The City of Lodi and PG&E will cooperate in the timely design and construction of the project. 4. The City of Lodi will act as Lead Agency on the proposed project, including all permitting, detail design, public works bidding, contract administration, and construction of the proposed project. 5. PG&E will review, approve, and inspect the design and transfer of PG&E's distribution facilities on all Joint Pole locations of the project. 6. The City of Lodi will attempt to minimize the disruption of service to PG&E and its customers during the project. Proprietary and Confidential 20 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.2 Response from PG&E re: Proposed 6OkV Project From: To: CC: "Harden, Lorene R" <LRW5@PGE.COM> [Add to Address Book] "George Morrow (Lodi EUD)" <gmorrow@lodielectdc.com> "Harden, Lorene R" <LRW5@PGE.COM>,<rstreich@rfsutilityconsulting.com>, "Fernandez, Marsial" <MRF2@PGE.COM>, "To, Brian" <BMT2@PGE.COM>, "Lang, Michael (E&M)" <MML1 @PGE.COM> Subject: RE: Lodi's Planned 60KV Lines Date: Tuesday, July 22, 2008 6:05:05 PM George, [View Source] Thank you for the recent letter following up on our May 19 meeting. The letter and its contents/agreements have been reviewed by both myself and others in attendance that day. It is what we discussed and agreed. If you need to discuss anything further, please feel free to contact me. Lorene Harden Director, Maintenance & Construction PG&E - Area 5 209-942-1456 Proprietary and Confidential 21 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.3 FAA Letter: Results of Feasibility Study Federal Aviation Administration Air Traffic Airspace Branch, ASW -520 2601 Meacham Blvd. Fort Worth, TX 76137-0520 Issued Date: 07/02/2008 Demy Bucaneg City of Lodi 1331 South Ham Lane Lodi, CA 95242 ** FEASIBILITY REPORT ** Aeronautical Study No. 2009 -AWP -3491 -OE The Federal Aviation Administration has conducted a linuted aeronautical review conceraing the feasibility of a structure described as follows: Structtu+e: Feasibility Study Power Line - Pole 25 Location: Lodi, CA Latitude: 38-05-52.90N NAD 83 Longitude: 121-22-09.26W Heights: 50 fee above ground %vel (AGL) 63 feet above mean sea level (AMSL) The results of this review can be found on the attached page(s). NOTE: THE RESULTS OF OUR LIMITED REVIEW IS NOT AN OFFICIAL DETERMINATION OF FINDINGS BUT ONLY A REPORT BASED ON THE GENERAL OR ESTIMATED INFORMATION SUPPLIED FOR THE STRUCTURE. ANY FU'T'URE, OFFICIAL AERONAUTICAL STUDY MAY REVEAL DIFFERENT RESULTS. If we can be of fiuther assistance, please contact our office at (310) 725-6557. On any future correspondence concerning this matter, please refer to Aeronautical Study Number 2008 -AWP -3491 -OE. Signature Control No: 576915-102292135 (FSB) Karen McDonald Specialist Attachment(s) Additional Information Map(s) Page 1 of 3 Proprietary and Confidential 22 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.3 FAA Letter. Results of Feasibility Study (continued) Additional information for ASN 2008 -AWP -3491 -OE Structure height at this location would not exceed an FAR Part 77 obstruction standard. Page 2 of 3 Proprietary and Confidential 23 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.3 FAA Letter: Results of Feasibility Study (continued) Verified Map for ASN 2448-ANVP-3491-QE 9 Page 3 of 3 Proprietary and Confidential 24 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.4 Letter to Land Owners re: Proposed Project CITY COUNCIL JOANNE MOUNOE. Mayor LARRY D. HANSEN, Mayor Pro Tempore SUSAN HITCHCOCK BOSJOHNSON PHIL KATZAKIAN July 14, 2008 CITY OF M Aa ur r St /FQA`y' ELEC Ric UTILITY DEPARTMENT OEOROE F. MORROW, DIRECTOR 1331 SOUTH HAM LANF LODI, CALIFORNIA 85242 BLAIR KING. City Mair spry RANDt JOHL, City Clank D STEPHEN SCHWASAUER, City Aiinrrey 'I'hc City ofLudi, thrnagh its Electric Utility lltgtartn-.ev, is studying the feusibil'ttu of constructing an electric. power lint. firom the Vlhite Slongh area adjactxd to 1-3 to an electric substuticm nt*r Ketticman Lane and L war Saeramcnto Rvid. Because: the is in the nraa of the pmposad fOuta, we %VULIld like to shale the conceptual plans with you unci uhnain ymor cotawtads. Peedh=k 4ai tits; plans Will assist 1.116 City Uf l[Aidi in aainin.g an undcrstatuling of the ctukuttrttF, and issues of afrttwied prnporty (Ywri rs and ideally n b v -m from key stakaltcaldm print to the Depa rtntent PtstmaliAng plans for cunsid LmWnn hyttto City C'.ouncit. AR indicated in the eonceptval plans, a portion ofdw route under uunsidcradinn WMId roquire acquisiticm of a utility righE-of-wuy from you feu' likes seuticm of the mttto that *,uuld be on ynurpmporty. iVotwtthstandiog the pntentllll necel fur such a right-of-way, this loiter in nat an nfter or A rtautsil to s mist into nq pdatllom Gtr the aogaitttton of hind rights hrtweA-v tits City of Lwnii and thAMEMMMMMME urther, No derision to acquire proparty for the propabL l project has been mode by the City Council.'I'his letter ism miy an inquiry as to vow willingness; to discuss the TwiTinsed fkmjw.. with City 3tmil' and its cunsultant as that we can ar,acss the coticeras and imuaa of pmperty ownera within the proposed project area, ' I'hc C.ity''s e;crosultan , Rob Rrokli, of R R4 Utility Crntsuttiug, i s ourrcntiy gatbuiug feedback fmrn key astcnVics and pnrperty owners. Mr. Struich will coon, CC you tcI 8131. up a meeting. At the meseting, he will sisar>; the following hams With ymtr and tequeYt your toedback i . I'he colkcvptual pmjoet plans, 2. The pdopused location for the line: section that would be ou or near ycst3r property, and I ' I'ha procrss that woo 1.d occur if ate ougnisiSDR Of A right Or WEY were neeaseaty, T uppreuiawymir [hike and aetention reg8rd 1.g this impn4Uftt 111Atter have any questions or wmccros. '2-u Fes.. cf sm w Lodi mtric I[ tility Dinatcr please don't hesitate to cuttiucI. me if t'ou Proprietary and Confidential 25 Auriga Corporation Lodi West 60kV Power Line Preferred Alternative Line Route Study 5.5 Proposed Line Route Base Maps Note: 200:1 scale Wall Maps, one map for each Line Section, 1, 2, and 3. Proprietary and Confidential 26 Auriga Corporation Electric Utility Department West 60KV Power Line Project Preferred Alternative Study City Council Shirtsleeve Session December 3, 2008 Problem 1 -- Reliability a 1:0 1, Lodi presently imports its power through a single " pipe" composed of three circuits • "Pipe" emanates from PG&E's Lockeford Substation • Over the years, outages at Lockeford Sub have resulted in total blackout of power in Lodi • Radial electric service is not accepted industry practice as to reliability 2 Problem 2 -- Capacity I :ae • Import capacity into Lodi today is only 130 Megawatts (MW) • Must run Lodi CT (25 MW) to reliably meet electric loads over 130 MW • Peak Load of 140 MW. K Western Line • A circuit to the west is an excellent solution to reliability and capacity problem — New "feed" from west helps the performance of the electrical network — Strong electrical systems exist in vicinity of I-5 — Opportunity to direct connect to vicinity of NCPA power projects 4 1/6/88 Public Hearing introducing the 230kV Line Project DER History of West Transmission Project 2/18/98 Distribution of Neg Dec 97-03 for Public comment 5/25/88 Public Hearing on approval of Final EIR. No Action Taken. 3/21/98 Council directs Staff to further research on impacts and gather more input from Community 6/98 Chamber of Commerce establishes Alternative Power Commission 8/1/00 Council directs Staff to proceed with environmental process to design & construct 60kV Line 7/01 Negative Dec drafted, no record of circulation. January 2008 Conceptual Study • Auriga Corporation was retained to performed to review Lodi transmission • Requested to look at past work and to look at routing options • Auriga identified seven (7) possible routes and looked at three (3) in more detail rgoarpore ,ori C.1 V�lF.-: Alternatives Routes Saraent 0 $'T m Ol X400 -ft Larpim }FW 0 �. NCPA STIG # City of L di Waste Water Ea 5ement ti r Westsi Substa • r- 0 CD r CA CD 0 rt 0 X CL 0 2OW NAYTEQ iTafFol&TIT'i l 10 n 4 e I L { -uloi 4 — 415f., .-I.Mir, F,i ne •a .��1.f flag cil�j�,i,ca Highway 12 "- r� Westside Substation DebroggiRd. ham` .. )N63t 14npdcn Hu:ld ' West Kingdon Rd. Ray Road 0 m' r7tu � w � •-- ¢ ,� IHarney Ln. . I'VO(Mi-v t agyp t Tre dway Rd. 4 N �F Alternative 7 Tcrtol OH LengUrO.W Scope 5.75 Miles, Single Circuit 60kV • 90% Wood Poles, 55' Height -10% Wood and/or Steel Poles, 65'— 90' Height. Benefits • Short route -Avoids past issues on Hwy 12 Risks -Airstrip Mitigation -Southwest Gateway 174 Wft September 2008 %, Ve Preferred Alternati ve Study • Auriga Corporation was retained to review siting of Alternative 7 in detail • Meetings held with key stakeholders along preferred route • Bob Streich principal investigator co74,nnP,,porari 10 Stakeholders • PG&E • NCPA • Federal Aviation Administration • CalTrans San Joaquin County Private Property owners (ROW needed) Lodi Community Development Purpose was to open lines of communication, present EUD's plans, Verify permitting requirements and get overall project feedback 11 Poles Line Section Joint Poles w/PG&E EUD Sole Attachment Total Poles 1 9 8 17 2 30 8 38 3 8 21 29 TOTAL 47 37 84 12 �- A ... . . . . . ... XAN iff 3n m r im Ld :ms r:3 yrs F400 m OEM. N'T 3M 1 W Ir im ir.,V. _p. A L"Mm ERE � ONE Ll I PG&E • Received positive July 22 letter confirming: — Joint Pole Assn Agreement procedures apply — Proposed line does not adversely impact PG&E — Parties will cooperate in timely design and engineering — Lodi will be Lead Agency for the project — PG&E will approve and inspect all transfer of PG&E facilities on joint poles — Lodi will minimize disruption of service to PG&E customers during construction 14 NCPA • Updated on Lodi's project plans • Termination of line at existing NCPA STIG substation • Addition of new substation "bay" and buss extension required • Confirmed that project not being built due to proposed Lodi Energy Center • Interactions very positive with NCPA 15 Line will traverse Kingdon Airport 1600 feet to the north of 11 Line will be in "Area of Influence" for airport Application submitted to FAA for Feasibility Study of nine (9) pole locations July 2 letter from FAA indicates proposed 50 foot height does not exceed FAR Part 77 obstruction standard Application for Permanent prior to construction Structures required A9 16 CalTrans • CalTrans performed feasibility studies on two portions of proposed power line — Piece along Highway 12 west of substation — I-5 crossing near White Slough WTF 4& r • No problems identified avaww Need to file for Encroachment Permit and Permanent R -O -W prior to construction 17 !: C San Joaquin County Plans submitted to Planning Departments on May 20 and Public Works • Much of route lies within Public Utility Easements along County roads • Initial response problematic (18 foot setback) • Upon appeal and site visit, County agreed 18' setback not feasible • Gave go-ahead existing 3-8 foot poles to apply to place poles using setback consistent w/ existing 18 City of Lodi • Plans presented to Lodi's Community Development Department (CDD) on May 22. • CDD felt that proposed route incompatible with Southwest Gateway Annexation EIR • As such line rerouted to western edge of development • Project will need to stay at least 100' from school planned for western part of development • Revised location consistent with growth to the west in the future possible additional 19 Private Landowners I :ae Easements will be required from four (4) private landowners. Meetings were held with each entity to explain plans and easement acquisition process Detailed map of line route, including probable pole placements, given to all Overall meetings judged to be very positive • Concerns of each were visual impact on property value and a pole placement that avoids conflict with use of property and possible future development 20 Environmental • January 2008 study performed a conceptual review of possible environmental impacts • Project will need to follow California Environmental Quality Act (CEQA) guidelines • City of Lodi would be Lead Agency for CEQA 21 Summary • Alternative 7 has no fatal flaws and believed to be acceptable to vast majority • Project would be a high capacity 60kv line (6 conductors) built overhead on predominately wood poles (about 6 miles). • Termination (substation) facilities required at both ends of project • Meetings with key stakeholders were positive 22 Key Benefits Improve system reliability • Reduce probability of City-wide outages • Enhance electrical performance of local network Reduce third party "wheeling" charges and losses • Gain flexibility to change control areas if appropriate • Increase import capacity into Lodi 23 Next Steps • Obtain designation as a "Project" Council by the City Acquire outside expertise to prepare and oversee CEQA process Begin work on detailed engineering and specification preparation material Continue communications with key stakeholders Finance and build project with an operational date not later than 2011-2012. 24 Tentative Timeline Design Construction Project Milestones Final Environmental Impact Report: September 2009 Obtain Right of Ways: November 2009 Construction Begins: February 2010 Project Operational: Q2/2011 25