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W A T E R I E N E R 5 Y , L I F E RIVERSIDE PUBLIC UTILITIES Board Memorandum P U B L I C U T I L I T I E S BOARD OF PUBLIC UTILITIES DATE: January 15, 2010 ITEM NO: 5 SUBJECT: SUBTRANSMISSION PROJECT — AGREEMENT WITH SOUTHERN CALIFORNIA EDISON (SCE) FOR 69 kV LINE REARRANGEMENT ISSUE: Board of Public Utilities approval is requested to enter into a Letter Agreement with Southern California Edison (SCE) for work performed at Vista Substation for the Riverside Sub-transmission Project. RECOMMENDATION: That the Board of Public Utilities approve the expenditure of approximately$71,000 for SCE to perform work at its Vista Substation to facilitate the construction of the Riverside Sub-transmission Project BACKGROUND: Riverside Public Utilities' (RPU) must resolve critical infrastructure and capacity deficiencies in the eastern part of its 69 kV subtransmission network in order to maintain reliable electric service. To address these deficiencies in the eastern section, which are independent of and separate from the Riverside Transmission Reliability Project(RTRP), RPU proposes,through this Project,to construct and upgrade the eastern portion of the 69 kV. The Riverside Sub-transmission Project (STP)will support service to approximately 30,000 customers and primarily involves construction of three segments of an overhead double-circuit 69 kV subtransmission line, totaling approximately 3.6 miles, all within the City limits. The project also includes the re-arrangement of 69 kV lines in the vicinity of Hunter Substation and minor improvements within various substations on the RPU system including Hunter, La Colina, Orangecrest, Riverside and Freeman Substations. The Board of Public Utilities approved the STP at its October 16, 2009 meeting. The STP is expected to be completed this fall. The STP requires minor work and modifications by Southern California Edison (SCE)at its Vista Substation because of the re-arrangement at Hunter Substation (see attached diagram). RPU formally requested that SCE perform work at Vista Substation associated with the relay protection and telecommunication facilities on the various 69kV components associated with the Vista Substation. SCE and RPU personnel have met on several occasions and have agreed on the specific scope of work. Therefore, at the request of RPU, SCE has agreed to perform all work necessary to accommodate the work. Pursuant to SCE requirements, SCE has submitted a letter agreement (Agreement). The sole purpose of the Agreement is to specify the terms pursuant to which SCE will perform the Vista Work. FISCAL IMPACT: The estimated cost for SCE to perform the work is$71,000. Within three(3)months following the completion of the work, SCE will provide an accounting of SCE charges and expenses incurred and a true up will be performed. Funds are budgeted and available for this project in Account No. 6130000-470685.