10-24-2016 BPU RPT 04 - Laserfiche WebLink

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W A T E R E N E R C Y I WI& P U B L I C U T I L I T I E S BOARD OF PUBLIC UTILITIES RIVERSIDE PUBLIC UTILITIES Board Memorandum DATE: OCTOBER 24, 2016 ITEM NO: 4 SUBJECT: FIRST AMENDMENT TO THE STREETLIGHT POLE ATTACHMENT AND ELECTRICAL POWER AGREEMENT WITH SOUTHERN CALIFORNIA GAS COMPANY TO ADD SEVEN ADDITIONAL LOCATIONS FOR AN ESTIMATED 17 YEAR INCOME OF $8,215 ISSUE: The issue for Board of Public Utilities consideration is to recommend that the City Council approve the First Amendment to the Streetlight Pole Attachment and Electrical Power Agreement with Southern California Gas Company to add seven additional locations. RECOMMENDATIONS: That the Board of Public Utilities recommend that the City Council: Approve the First Amendment to the Streetlight Pole Attachment and Electrical Power Agreement between Southern California Gas Company and the City of Riverside; and 2. Authorize the City Manager, or his designee, to execute the necessary documents. BACKGROUND: On December 16, 2013, the City of Riverside and Southern California Gas Company (SoCalGas) entered into a 20 -year term under the Street Light Pole Attachment and Electrical Power Agreement, for the installation of advanced meter facilities at 34 locations on the City of Riverside's streetlights and traffic poles. The agreement defines the processes by which SoCalGas can apply to attach to City facilities and electrical power for the purpose of installing advanced metering infrastructure facilities to establish, operate and maintain an advanced meter service network for its customers in the City. SoCalGas is requesting to amend the agreement to allow for the installation of seven (7) additional advanced metering facilities, with the potential for additional installations in the future as approved and authorized by the City of Riverside. The First Amendment allows SoCalGas to request approval to install its advanced metering facilities to the City of Riverside's street light poles by way of written application, together with the required documentation. City staff worked with SoCalGas to identify suitable locations to complete their additional seven metering facilities with minimal impact to the street lighting system. The advantage to SoCalGas includes reduced installation costs and expedited in- service schedules. The benefit to the City is fewer right -of -way excavations and greater control over aesthetics in the area. The base revenue estimate for seven advanced metering facility installations under the 17 -year term is $8,215. The actual annual income may vary based on the facilities installed and may increase as additional advanced metering facilities are installed.