SUBJECT:     ADOPTION OF A RESOLUTION AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT WITH THE CITY OF SANTA CLARA FOR CONVEYANCE OF A TRANSMISSION LINE EASEMENT AND TEMPORARY CONSTRUCTION LICENSE ACROSS WATER POLLUTION CONTROL PLANT LANDS

 

COUNCIL DISTRICT: 4

 

RECOMMENDATION

 

Adoption of a resolution authorizing the City Manager:

 

1.      To negotiate and execute an agreement with the City of Santa Clara for the conveyance of an easement and temporary construction license across Water Pollution Control Plant (WPCP) lands; and

 

2.      To execute documents necessary for the conveyance of a non-exclusive easement for electrical transmission lines across Water Pollution Control Plant (WPCP).

 

 

BACKGROUND

 

The City of Santa Clara "Silicon Valley Power" is constructing a new 230 kV transmission line to connect its Northern Receiving Station, located on the west side of Lafayette Street, about a quarter mile south of Tasman Drive in the City of Santa Clara to the new electrical transmission/distribution substation under construction by PG&E on private property, adjacent to the WPCP property, north State Route 237, east of Zanker Road and west of Coyote Creek, the Los Esteros Substation. 

 

Approximately 1.6 miles of the new transmission line will cross WPCP property (see Diagram A attached).  Santa Clara has requested and easement for this section of its new transmission line and a license to use WPCP land area adjacent to the line during construction.

 

 

ANALYSIS

 

The City of San José owns the WPCP land as the administering agency for the San José /Santa Clara WPCP, a Joint Powers Agency (JPA) formed in 1959 between the cities of San José and Santa Clara.  Under the San José /Santa Clara JPA Agreement and the agreements that have since been executed with the tributary agencies to the Plant, the granting of the proposed easements is subject to the approval of both the San José and Santa Clara City Councils; and the WPCP Treatment Plant Advisory Committee (TPAC) must review and make a recommendation on the conveyance of the easement.

 

San Jose and Santa Clara staffs have agreed that Santa Clara will obtain an appraisal, make an offer of just compensation for the easement, and will meet and confer to negotiate on purchase price.  If these negotiations fail, Santa Clara will institute an eminent domain action to acquire the easements and the compensation to be paid for the easement will be determined in that proceeding.  Santa Clara has requested that it be allowed to use the temporary construction area without compensation, in return for its agreement to maintain and secure this area during the construction period and repair and restore the area following the completion of construction.  Since this temporary use will not interfere with Plant operations or planned uses of this land, and will save the WPCP the costs of litter and weed control, staff recommends that no compensation be required for this temporary use.

 

Proceeds from conveyance of the easement will be allocated to San Jose, Santa Clara and the tributary agencies as provided in the WPCP Agreements.  San Jose's share of the compensation will be approximately 66%.

 

 

PUBLIC OUTREACH

 

Not applicable

 

 

COORDINATION

 

The Environmental Services Department has coordinated the preparation of this memorandum with the Office of the City Attorney and Public Works Department.  This item is scheduled to be heard at the May 8, 2003 Treatment Plant Advisory Committee meeting.

 

COST IMPLICATION

 

The amount to be received by the City has not yet been determined.  Funds received will be distributed to San José, Santa Clara and the tributary agencies as provided in the Master Agreement between the City of San José, The City of Santa Clara and the tributary agencies.  A follow-up report will be provided to TPAC and Council once the compensation has been determined.

 

 

CEQA

 

City of Santa Clara Resolution No. 7005, adopted January 28, 2003.

 

CARL W. MOSHER

Director, Environmental Services Department