Ordinance 1989-17 ORDINANCE NO. 89 - 17
AN ORDINANCE OF THE CITY OF GILROY AMENDING PARAGRAPH (5) OF SECTION 22.35
A~ ENACTING CHAPTER 21, ARTICLE V OF THE GILROY CITY CODE PERTAINING TO
REQUIREMENTS FOR UNDERGROUNDING UTILITIES
In order to fulfill the requirements of Sections 66000 et.seq, of the
Government Code, the Council makes the following findings:
A. The fees collected pursuant to this ordinance will be used to fund the
conversion of overhead utility facilities to underground facilities.
B. There is a reasonable relationship between the use of undergrounding fees
and the types of development projects upon which the fees will be
imposed, in that the fees will be collected on single lot developments
and will be accumulated and used for utility undergrounding projects in
areas other than new subdivisions.
C. There is a reasonable relationship between the need for undergrounding
fees and the types of development projects upon which the fees will be
imposed, in that the projects upon which the fee will be imposed are
those in areas of the City subject to the most significant development
and traffic volumes, and therefore in greatest need of utility
undergrounding in order to reduce visual clutter and blight and increase
safety.
D. There is a reasonable relationship between the amount of undergroundtng
fees to be imposed upon a particular development project and the cost of
utility undergrounding attributable to that project, in that the amount
of the fee is based upon (1) the length of street frontage for a
particular project, and (2) the actual, current, per-foot costs from time
to time of replacing overhead utility lines with underground utility
lines.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GILROY DOES ORDAIN AS
FOLLOWS:
SECTION I. Paragraph (5) of Section 22.35 of the Gilroy City Code is amended
to read as follows:
ORDINANCE NO. 89-17
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(5) Installation of undergrpund .utility lines, etc.; exceptions. New and
existing utility lines, appurtenances and associated equipment, including, but not
limited to electrical transmission, communication transmission, street lighting,
and cable television shall be required to be placed underground as required in
Article V of this Chapter starting with Section 21.111.
SECTION II. Chapter 21, Article V of the Gilroy City Code is enacted
to read as follows:
CHAPTER 21
ARTICLE V. REQUIREMENTS FOR UNDERGROUNDING UTILITIES
Sec. 21.111 Purpose for Article
The purpose of the utility undergrounding fee program established in this
Article is to implement the urban design policies of the General Plan for the City
of Gilroy, by requiring new development to contribute to a fund which shall be used
solely for the conversion of overhead utility facilities to underground
facilities.
Sec. 21.112 Development Project - Definition
For the purposes of this Article, "development project" shall include any
building when additions, alterations, or repairs within any 12-month period exceed
50 percent of the value of the building or structure if any portion of the property
is served by overhead utility facilities or has any frontage on a street, alley, or
easement which has overhead utility facilities.
Sec. 21.113 Overhead Ut!~i~.y Facilities - Definition
For the purposes of this Article, "overhead utility facilities" means
aboveground wires, poles, and associated facilities supplying electric,
communication, or similar services. Facilities used for the transmission of
electric energy at nominal voltages of thirty four thousand five hundred volts or
more shall be exempt from the provisions of the Article.
Sec. 21.114 Fee Required
Unless otherwise exempt under the provisions of this Article, approval of a
development project in the City as defined in Section 21.112 shall be subject to a
condition for the payment of a utility undergrounding fee in the amount and in the
manner set forth in this Article. The service location for the project will
determine, in the case of multiple frontages with overhead utility facilities,
which frontage is used to calculate the fee. The fee will be calculated based on
the length of the frontage from which the utility service originates. In cases
where both sides of the overhead utility facility provide service, each side of the
street, alley, or easement will be subject to the fee. In cases where only ohe
side provides service, the side which is served will be subject to the fee
multiplied by two.
Sec. 21.115 Time for Payment
The utility undergrounding fee shall be paid to the City in full prior to
issuance of a Building Permit.
Sec. 21.116 Underground Util~.~ Fund - Use of Fees
Ail fees collected pursuant to the provisions of this Article shall be
placed in the Underground Utility Fund established by this section of the
Gilroy Municipal Code.
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Ail fees collected pursuant to the provisions of this Article shall be
used solely for the conversion of overhead utility facilities to
underground facilities within the City. The fees may be used for any and
all of the following purposes:
Payment to utility companies for the cost of replacement of their
existing overhead utility facilities with underground facilities in
the public right-of-way, in accordance with PUC Rules No. 20 or
Tariff Schedule Cal. PUC No. A2 Rule No. 32:
2. City costs to convert City overhead utility facilities to underground
facilities;
3. Contributions to underground utility districts;
®
Payment of City expenses for staff, equipment, supplies and overhead
associated with the establishment and administration of
undergrounding projects eligible for funding under this Article;
Nothing in this Article is intended to affect the amount of reimbursement
which would otherwise be paid to utilities, under applicable laws, rules,
regulations and tariffs, for undergrounding of utilities.
Sec. 21.117 Amount of Fee
The undergrounding utility fee shall be established from time to time by
Council Resolution based on current construction costs.
Sec. 21.118 Exemptions
The following projects are exempt from the provisions of this Article:
ao
Projects for which street frontage is solely adjacent to a street or
streets within an Underground Utility District established prior to July
1, 1989.
Bo
Projects on a site for which a total of 100% of the base fee has been
paid as satisfaction of a condition or conditions imposed upon prior to
development on that site.
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Projects for which the Director of Public Works determines underground
installation of overhead utility facilities would be unreasonable or
impractical due to physical constraints such as topography or soil
conditions.
D. Exemptions authorized by the City Council, upon recommendation of the
Planning Commission, as enumerated in Section 26A.6 of this Code.
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Authorizing exceptions for one portion of a development shall not affect the
requirements for the balance of that development.
Sec. 21.119 Subdivision of Residential Lands
At the discretion of the Director of Public Works, a subdivision of land
zoned for residential purposes may be exempted from the requirements of this
Article if the land is being divided into parcels larger than that appropriate for
residential lots, and further subdivision of the property will be required prior to
development of the land for residential purposes.
Sec. 21.120 Undergrounding Required - New Streets
Ail overhead utility facilities within newly constructed public streets shall
be placed underground. No utility undergrounding fee shall be required for any
frontage of a development project which is adjacent to a street which will be
improved, including utility undergrounding, as a condition of such project.
Sec. 21.121 Credits and Limitations on Fee
Ae
If the project applicant has requested to install underground conduit for
future undergrounding, the Director of Public Works may, at his
discretion, allow a credit for the cost of installation of said conduit
against the Underground Utility Fee.
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If land for which a utility undergrounding fee has been paid becomes part
of an improvement district for which improvements include the
undergrounding of utilities adjacent to such land, such land shall
receive a credit towards any assessment imposed thereon in an amount
equal to the amount of the utility under-grounding fee paid prior to
establishment of the improvement district. Funds in the amount of such
credit shall be transferred from the Utility Undergrounding Fund to the
appropriate improvement district fund.
Sec. 21.122 Refunds
Utility undergrounding fees paid to the City pursuant to this Article may be
refunded in whole or in part, upon a determination by the Director of Public Works
that:
A. The fee or a portion thereof was collected in error;
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The condition of development approval requiring payment of the fee is
amended after payment of the fee to provide that the fee is not required
or the amount thereof is reduced; or
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Approval of the development project expires or is revoked, and no
development thereunder has commenced prior to said expiration or
revocation.
Sec. 21.123 Election to Underground Utilities as a Part of Project
At the discretion of the Director of Public Works, approval of a development
project may be conditioned upon actual undergrounding of overhead utility
facilities on the street or streets adjacent to the project, rather than payment of
fees pursuant to this Article, if:
A. The project applicant alone or together with owners of adjacent
properties, has committed to establishment of a Rule 20B/Tariff Schedule
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Cal. P.U.C. No. A2, Rule No. 32, A.2 underground utility district which will cause
undergrounding of all overhead utility facilities in the street or streets adjacent
to the project site, or
Be
The project applicant has requested to undertake actual undergrounding of
all overhead utility facilities in the street or streets adjacent to the
project site.
SECTION III. Ail other ordinances and parts of ordinances in conflict
herewith are hereby repealed.
SECTION IV. This ordinance shall take effect and be in full force thirty
(30) days from and after its adoption and approval.
PASSED AND ADOPTED this 16th day of October, 1989, by the following vote:
AYES: COUNCILMEMBERS: GAGE, HALE, KLOECKER, MUSSALLEM, PALMERLEE,
NOES:
ABSENT:
ATTEST:
VALDEZ and HUGHAN.
COUNCILMEMBERS: None
COUNCILMEMBERS: None
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ORDINANCE NO. 89 - 17
I, SUSANNE E. STEI~'.~,=m~..,~,~, City Clerk of the City of Gilroy, do hereby
certify that the attached Ordinance No.89-17 is an original ordinance,
duly adopted by the CounCil of the City of Gilroy at a regular meeting of
said Council held on the 16th day of October, 19 89 , at which
meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
offi~al seal of the City of/~ilroy, this 20_Ith
City Clerk of the City of Giiroy 0
(Seal)
day of November, 19 89