SUBJECT/RECOMMENDATION:
Title
Approve Underground Conversions Agreement (UCA) and Utility Relocation Agreement (URA) with Duke Energy Florida, LLC , in the amount of $671,431.56 to replace overhead power lines with new underground distribution lines and facilities on Myrtle Avenue from Cleveland St. to Court St. and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
In support of the City’s new City Hall (22-0019-EN) and MSB Renovation (23-0035-EN) projects as well PSTA’s Multimodal Transit Center, the City needs to have Duke remove overhead power lines and replace with new underground lines along the west side of Myrtle Avenue from just north of Cleveland Street to just south of Court Street to comply with City’s Downtown Development Standards Section 3-912. This will improve aesthetics of the urban landscape, provide a cleaner visual appearance, enhance pedestrian access while also offering increased reliability and safety compared to overhead lines. This undergrounding effort provides opportunity for increased property values, creating a more attractive environment for businesses and residents, stimulating investment and revitalizing the area.
The proposed undergrounding of Duke power lines and facilities covers approximately four blocks for $671,431.56 based on Duke’s February 15, 2025, binding project estimate. Per the UCA, the City will pay Duke the entire portion, $671,431.56. The City’s ILA with PSTA, approved by Council March 17, 2025, formalizes PSTA’s reimbursement to the City and responsibilities of the underground effort. The City’s portion owed to Duke is $503,573.56 or 75% for three blocks and PSTA’s portion is $167,858.00 or 25% for one block.
The City and PSTA are responsible for restoration of their adjacent right-of-way (ROW) and private property and coordinating with the joint users to remove private telecom lines from the Duke-owned power poles once Duke removes the power lines.
CRA has $1 million in CRA funds budgeted to cover the City’s portion of undergrounding cost, including joint users and restoration. The City and PSTA will coordinate with Duke individually on various easements to accommodate required switchgear and transformers on city and PSTA property with the power lines typically being directional drilled in the ROW. Duke anticipates a 7-month construction duration once they receive permits.
APPROPRIATION CODE AND AMOUNT:
3887552-530300-R2005 $671,431.56
Funding is available in capital improvement project R2005, Infrastructure (City) to fund the contract. Funding is provided by CRA.
STRATEGIC PRIORITY:
Investment in undergrounding of overhead power lines in the downtown core supports all five of the strategic priorities below.