REPORT TO COUNCIL
SUBJECT
Title
Action on a Resolution Approving Purchase and Sale Agreement for an Electric Utility Easement for the San Tomas Junction Substation Project
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure
BACKGROUND
On April 7, 2020 Council approved a Substation Service Agreement with MECP1 Santa Clara 1, LLC to allow the City of Santa Clara’s Electric Utility, Silicon Valley Power (SVP), to design, procure equipment, and construct 60kV facilities to serve San Tomas Junction Substation.
A portion of the proposed 60 kV facilities is an approximately 0.2 mile long, new double circuit 60 kilovolt (kV) overhead transmission line heading east of the San Tomas Aquino Creek along U.S. Highway 101 to serve the proposed San Tomas Junction Substation.
The majority of the new 60 kV transmission line would be constructed adjacent to U.S. Highway 101 in an area where existing power lines do not currently exist. The new transmission line will start at an existing transmission line at the San Tomas Aquino Creek and end at 2201 Laurelwood Rd. The Project requires the acquisition of one (1) easement to facilitate construction. As part of the Substation Agreement with MECP1, the developer will reimburse the City for the costs associated with acquiring the easement.
DISCUSSION
The City has negotiated the proposed purchase of the easement from the following property owner of certain parcels necessary for the Project, upon the terms set forth below.
|
Address |
Grantors |
APN |
Purchase Price |
|
3600 Juliette Lane |
Intel Corporation |
104-39-021 & 104-39-018 |
$846,000 |
ENVIRONMENTAL REVIEW
The California Energy Commission prepared a Mitigated Negative Declaration (MND) [CEQA2020-01072] for the project that was approved by the Architectural Committee on April 15, 2020 [PLN2019-13742].
FISCAL IMPACT
The total cost of the easement purchase is $846,000. Funds for the purchase of the electric utility easement are available in the adopted Capital Improvement Program in Project No. 2442 San Tomas Junction. As part of the Substation Agreement with MECP1, the developer will reimburse the City for the costs associated with acquiring the easement.
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov>.
RECOMMENDATION
Recommendation
1. Adopt the Resolution approving the Purchase and Sale Agreement for an overhead electric easement at 3600 Juliette Lane [104-39-021 & 104-39-018] for the San Tomas Junction Substation Project; and
2. Authorize the recordation thereof.
Staff
Reviewed by: Manuel Pineda, Chief Electric Utility Officer
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Resolution
2. Agreement for Purchase and Sale - 3600 Juliette Lane [104-39-021 & 104-39-018]