HomeMy WebLinkAboutReso 2008-1343IT 9'
RESOLUTION NO. 2008- t 34 3
A RESOLUTION OF THE CITY COMMISSION OF THE CITY
OF SUNNY ISLES BEACH, FLORIDA, APPROVING AN
AGREEMENT WITH FLORIDA POWER AND LIGHT (FPL)
FOR PHASE 3 OF THE UNDERGROUNDING OF
ELECTRICAL LINES PROJECT ALONG ATLANTIC ISLE, IN
THE AMOUNT OF ONE HUNDRED THIRTY-EIGHT
THOUSAND ONE HUNDRED FIFTY-NINE DOLLARS
(8138,159.00), ATTACHED HERETO AS EXHIBIT "A";
AUTHORIZING THE MAYOR TO EXECUTE SAID
AGREEMENT; AUTHORIZING THE CITY MANAGER TO
DO ALL THINGS NECESSARY TO EFFECTUATE THIS
RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City of Sunny Isles Beach wishes to convert the entire distribution
overhead electrical lines to underground in the City; and
WHEREAS, the City of Sunny Isles Beach has negotiated with Florida Power and Light
(FPL) to provide undergrounding of the electrical lines for Phase 3 of the Project, along Atlantic
Isle; and
WHEREAS, Florida Power and Light has submitted a proposal for Phase 3 of the
Distribution Overhead to Underground Conversion Project, in the amount of One Hundred
Thirty-Eight Thousand One Hundred Fifty-Nine Dollars ($138,159.00), attached hereto as
Exhibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS:
Section 1. Approval of Agreement. The Agreement with Florida Power and Light (FPL), for
Phase 3 of the undergrounding project along Atlantic Isle, in the amount of One Hundred Thirty-
Eight Thousand One Hundred Fifty-Nine Dollars ($138,159.00), attached hereto as Exhibit "A,"
be, and the same, is hereby approved.
Section 2. Authorization of Mayor. The Mayor is hereby authorized to execute said
Agreement.
Section 3. Authorization of City Manager. The City Manager is hereby authorized to do all
things necessary to effectuate this Resolution.
Section 4. Effective Date. This Resolution will become effective upon adoption.
PASSED AND ADOPTED this 18th day of November 2008.
77_J1%
orman S. Edelcup, Mayor
R2008-FPL Agmt Undergrounding Phase 3 Atlantic IslePage I of 2
iS\
ATTEST: •
f-
®:Si 1 �
- • ►
,:Jane A. Hines, CMC, City Clerk
APPROVED • S TO FORM AND
LEGAL SUii/ E CY
s e tf 1'City £ttomey
Moved by: R_tZI IV
Seconded by: Corvvwu✓ GOotn A-41)
Vote: -3-o-' \\
Mayor Edelcup — S t W(.(Yes) (No)
Vice Mayor Thaler (Yes) (No)
Commissioner Brezin 4Yes) (No)
Commissioner Goodman A1 21es) (No)
CommissionerScholl— fmS4 •s&(Yes) _(No)
R2008-FPL Agmt Undergrounding Phase 3 Atlantic IslePage 2 of 2
Fifth Revised Sheet No.9.725
FLORIDA POWER&LIGHT COMPANY Cancels Fourth Revised Sheet No.9.725
UNDERGROUND FACILITIES CONVERSION AGREEMENT—
GOVERNMENTAL ADJUSTMENT FACTOR WAIVER
•
This Agreement, which is available to customers that sign the Agreement on or before October 30,2009,is made and
entered into this_day of , 2Q, by and between CITY OF SUNNY ISLES BEACH ("Local Government
Applicant"), a Florida municipal corporation or county with an address of 18070 Collins Avenue, Sunny Isles Beach,
Florida 33160 and FLORIDA POWER&LIGHT COMPANY ("FPL"), a Florida corporation with an address of P.O. Box
14000,700 Universe Boulevard,Juno Beach,FL 33408-0429.
WHEREAS, the I teal Government Applicant has requested that FPL convert certain overhead electric distribution facilities
located within the following boundaries (the "Conversion"): Along Atlantic Isle in Sunny Isles Beath, FL (see attached
drawings, WR # 30854481 (collectively, the "Existing Overhead Facilities") to underground facilities, including
transformers, switch cabinets and other appurtenant facilities installed above ground at set forth in Attachment A hereof
(collectively,the"Underground Facilities").
NOW THEREFORE, in consideration of the foregoing premises and the covenants and agreements set forth herein, and
other consideration the sufficiency of which is hereby acknowledged, the parties intending to be legally bound, hereby
covenant and agree as follows:
1. Governmental Adjustment Factor Waiver ("GAF Waiver") Eligibility Criteria. The Local Government
Applicant represents and warrants that it meets the following eligibility criteria for the Conversion:
a. In order for the Conversion to incorporate a sufficient amount of overhead facilities to provide electrical
continuity, the Conversion must include a minimum of approximately 3 pole line miles or approximately
200 detached dwelling units within contiguous or closely proximate geographic areas (the "Conversion
Area"). The Conversion may be completed in mutually agreed upon phases, with the project size
minimums applying to the aggregate project—provided that any necessary subsequent phase begins within
a 1 year period from completion of the prior phase and the minimums are met within, at most, 3 phases;
and
b. The J oral Government Applicant must require all customers within the Conversion Area who currently
have overhead service directly from the Existing Overhead Facilities to convert their service entrances to
underground within 6 months of completion of the Underground Facilities installation or each phase
thereof; and
c. The I trill Government Applicant must be willing and able to execute a right of way("ROW') agreement
with FPL if the I ncal Government Applicant requests that facilities be placed in the ROW;and
d. For any affected laterals, the complete lateral must be converted, including all stages of any multistage
lateral; and
e. There are no state or federal funds available to the Local Government Applicant to cover any portion of the
cost of the Conversion.
Special Circumstances. Conversions which do not men the project size minimums described in section 1.a are
eligible for the GAF Waiver in the following special circumstances:
i. 100% of the Existing Overhead Facilities within the Local Government Applicant's corporate
limits are to be converted,but are less than the pole line mileage or dwelling unit minimums; or
i. A single lateral that serves at least one Critical Infrastructure Facility as determined by the
appropriate local agency with the mutual agreement of FPL;or
iii. An island or peninsula where 100%of the Existing Overhead Facilities are to be converted;or
(Continued on Sheet No. 9.726)
Exhibit "A"
Issued by: S.E.Romig,Director,Rates and Tariffs
Effective: May 4,2007
Fifth Revised Sheet No.9.726
FLORIDA POWER&LIGHT COMPANY Cancels Fourth Revised Sheet No.9.726
(Continued from Sheet No.9.725)
iv. When the aggregate size of the first 3 phases of a project would satisfy the minimum size criteria but,
for mutually-agreed engineering or logistical reasons, those phases are non-contiguous;provided that
(a) the next(4th)phase must be adjacent to one or more of the fast 3 phases such that the combined
contiguous area meets the minimum size criteria, and (b) this 4d' phase begins within 1 year from
completion of the 3'd phase.
2. Contribution-in-Aid-of-Construction (CIAC). The Local Government Applicant shall pay FPL a CIAC as
required by FPL's Electric Tariff and Section 25-6.115 of the Florida Administrative Code with the Otherwise
Applicable CIAC amount reduced by the GAF Waiver.
i Otherwise Applicable CIAC $_249,845
ii. GAF Waiver $_110,007
is CIAC Dne $ 1 . .. . i v,-
In the event the actual cost of the Conversion exrerfic the estimate, the Otherwise Applicable CIAC chat] be
adjusted by the lesser of(a)the difference between the actual cost of the Conversion and the estimate,or(b) l0%
of the Otherwise Applicable CIAC identified above. The GAF Waiver shall also be adjusted accordingly and the
Local Government Applicant shall pay FPL the resulting difference in the amount of the CIAC Due.
3. Applicant-Installed Facilities. The Local Government Applicant may, upon entering into an applicant-
installed facilities agreement satisfactory to FPL, construct and install all or a portion of the Underground
Facilities. Such work must meet FPL's construction standards and FPL will own and maintain the completed
facilities. The Local Government Applicant agrees to rectify any deficiencies, found by FPL, prior to the
connection of any customers to the Underground Facilities and the removal of the Existing Overhead Facilities.
4. Compliance with Tariff. The Local Government Applicant agrees to comply with and abide by the requirements,
terms,and conditions of FPL's Electric Tariff.
5. Timing of Conversion. Upon compliance by the Local Government Applicant with the requirements,terms,and
conditions of FPL's Electric Tariff, this Agreement and any other applicable agreements, FPL will proceed in a
timely manner with the Conversion in accordance with the construction drawings and specifications set forth in
Attachment A hereof
6. Relocation. In the event that the Underground Facilities are part of or are for the purposes of,relocation,then this
Agreement shall be an addendum to the relocation agreement between FPL and the Local Government Applicant.
In the event of any conflict between the relocation agreement and this Agreement or the Electric Tariff, this
Agreement and the Electric Tariff shall control.
7. Term. This Agreement shall remain in effect for as long as FPL or any successor or assign owns or operates the
Underground Facilities.
8. GAF Waiver Repayment If the Local Government Applicant does not satisfy the relevant eligibility criteria,the
Local Government Applicant shall repay the GAF Waiver within 30 days of written notice from FPL of such
failure. Additionally, if at any point within 30 years of completion of the Underground Facilities installation,the
Local Government Applicant elects to have electric service within the Conversion Area supplied by a provider
other than FPL, the Local Government Applicant shall repay FPL a pro-rata share of the GAF Waiver. The pro-
rata share(which shall reflect partial years)shall be determined as follows:
GAF Waiver*[(30—years since the Underground Facilities completion date)/303
(Continued on Sheet No.9.727)
Issued by: S.E.Romig,Director,Rates and Tariffs
Effective: April 4,2006 •
FLORIDA POWER&LIGHT COMPANY Original Sheet No.9.727
(Continued from Sheet No.9.726)
9. Termination Prior to the Conversion Completion. Failure by the Local Government Applicant to comply
with any of the requirements, terms, or conditions of this Agreement or FPL's Electric Tariff shall result in
termination of this Agreement. The Local Government Applicant may terminate this Agreement at any time
prior to the start of the Conversion and the CIAC paid by the I cral Government Applicant will be refunded to
the Local Government Applicant; provided however, that the refund of the CIAC shall be offset by any costs
incurred by FPL in performing under the Agreement up to the date of termination.
10. Assignment. The Local Government Applicant shall not assign this Agreement without the written consent of
FPL.
11. Adoption and Recording. This Agreement shall be adopted by the Local Government Applicant and
maintained in the official records of the Local Government Applicant for the duration of the term of this
Agreement. This Agreement also shall be recorded in the Official Records of the County in which the
Underground Facilities are located,in the place and in the manner in which deeds are typically recorded.
12. Conflict between Terms of Franchise Agreement. In the event of a conflict between the terms of this
Agreement and any permit or franchise agreement entered into by Local Government Applicant and FPL, the
terms of this Agreement shall control.
IN WITNESS WHEREOF,FPL and the Local Government Applicant have executed this Agreement on the date first set
forth above.
CITY OF SUNNY ISLES BEACH FLORID A POWER&LIGHT COMPANY
ir/f1/Z7
Signed Ate/ 7 %7* Signed
Name ..• . . _ Name
Title • •YOR o Title
ATTEST: / A
• Sigti 6[]t�.�
Name - TANF A HTNFS
Title CITY CT ERIC
ApproJ3•, to Terms and Cpn '¢tuns
Sig.:.
70a ERA
`:n
Title ASST. CI MANAGER
Approved o Argot. gal Sufficiency
Sign. A!LJ4i
Name HANS OTTINOT
Title CITY ATTORNEY
Issued by: S.E.Romig,Director,Rates and Tariffs
Effective: April 4, 2006
Overhead to Underground Conversion- Customer Cost Sheet
Project City of Sunny Isles Beach-Phase 3 Date Estimate Provided to Customer. Nov.10,2008
Customer Performs Work- Conduit&Concrete Products Installation
Underground Cost
New UG Installation(+) $318,770 Cost for FPL to install new underground facilities
Equivalent OH Installation(-) ($147,279) Cost to install an overhead system at current hardening standards
Existing Overhead Cost
OH Removal Cost 8 Make ready(+ $61,290 Cost for FPL to remove existing overhead facilities
Existing OH Value(+) $17,064 Net Book Value of existing OH facilities to be removed
Salvage Value(-) $0 Credit for re-usable items
Subtotal $249,845 .-`•..Total customer contribution as specified in Tariff 12.2.3
GAF "($110,007)
CIAC' :$139,839.- .
Engineering Deposit(-) ($1,680) Engineering deposit previously collected
Net Due FPL` - - $138,159 - - Total customer contribution owed
< . Fi : .-,t f�.c. ' ' rv'SLa Y Y(�.. _ x ti� a r[-
Cost Breakdowns for Customer Contributions
Total LaborNehicle Material Direct Engineering,
Supervision,and Support
New UG Facilities(+) $318,770 $97,202 $143,168 $78,400 •
Credit for equivalent OH(-) ($147,279) ($62,851) ($62,450) ($21,978)
OH Removal Cost (+) $61,290 $53,897 $1,089 $6,304
Total $232,7B1 - • - $88,248 $81,807 • $62,726
Net Book Value(+) $17,064
Salvage Value(-) $0
Subtotal* - -$249,845 •
GAF ($110,007)
CIAC• `$139;839
Engineering Deposit(-) ($1,680) Engineering deposit previously collected
Net Due FPL* $138,159:
Major Material Breakdown
Quantity Item
16,242 Primary UG Cable(feet)
Install 2 UG Switch Cabinet(each)
16 UG Transformer(each)
0 Splice box for UG feeder(each)
5,222 01-1 Primary Conductor(feet)
Remove 37 Poles(each)
13 OH Transformer(each)
160 Primary UG Cable(feet)
•
'- Estimate includes$66,000 for Maintenance of Traffic
rtNY tst City of Sunny Isles Beach City Commission
t„ P Norman S.Edelcup, Mayo"�". F 18070 Collins Avenue Lewis J.Thaler„ Vice Mayor
u • . mil, `.' =' i Sunny Isles Beach, Florida 33160 Roslyn Brain Commissioner
•- j Gerry Goodman Commissioner
ter George"Bud"Scholl,Commissioner
Cy (305)947-0606 City Hall
s•'a �'` vo'T a (305)792-1565 Fax A.John Surlag,Ciry Manager
o c ' F pow o+ (305)947-2150 Building Department Hans Ottinot,City Attorney
Ir.)"or sus 's Jane A.Hines,Ciry,Clerk
MEMORANDUM
To: Honorable Mayor and City Commission
Via: A.John Szerlag, City Manager .
From: Jorge L. Vera, Assistant City Manager/ Service Divisio
Date: November 18, 2008
Re: FPL undergrounding
RECOMMENDATION
It is recommended that the City Commission approve the attach contracts with FPL for
undergrounding the utility lines.
REASONS
The City has the enclosed proposal from FPL to underground the utility lines on the third phase of
the undergrounding project for the entire City. Phase 3 of the undergrounding of the utility lines is
the Atlantic Isles Community. The cost for undergrounding the utilities for phase 3 is $138,159.
The cost estimate includes $257,286 adjustment credit for both FPL's new Government Adjustment
Factor (G.A.F) waiver and credit for the equivalent overhead system design and installation.
The undergrounding of this section will take place together with the sewer and drainage
improvement project. Upon FPL energizing the last generator in this section all residences must
convert to the underground system within 6 months. Until everyone that is affected under this
project does not change service to underground, the overhead poles will remain. At this time I
would also like to mention that if the residences do not change their services to underground the
City will loose the credit ($110,007) that is receiving for undergrounding.
Funds are budgeted in 20-600-5664
To be completed by Department Head To be completed by City Clerk's Office
Funding available: Approv . Agenda Item No.: I C) s
Finance Department ity Manager ' I— I `O('
Commission Meeting Date: �j