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HomeMy WebLinkAbout3242RESOLUTION NO. 3 2 4 2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, AUTHORIZING THE MAYOR AND CITY CLERK OF THE CITY OF AUBURN TO EXECUTE AN ENGINEERING SERVICES AND MODIFICATION AGREEMENT BETWEEN THE CITY OF AUBURN AND PUGET SOUND ENERGY, INC. WHEREAS, the City of Auburn wishes to construct PR 562, South 277th Street Reconstruction Project; and WHEREAS, the project will require the relocation of existing overhead transmission and distribution power lines owned and operated by Puget Sound Energy (PSE); and WHEREAS, the transmission and distribution power facilities are located within PSE's Right -of -Way, Burlington Northern Santa Fe Right -of -Way, and Union Pacific Right -of -Way; and WHEREAS, the relocation of these facilities are solely a cost of the Project and are estimated to be $1,025,000.00; and WHEREAS, the City of Auburn and Puget Sound Energy wish to enter into an agreement for Puget Sound Energy to complete the design and the construction work to accomplish this relocation THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, IN A REGULAR MEETING DULY ASSEMBLED, HEREWITH RESOLVES AS FOLLOWS: Section 1. The Mayor and City Clerk of the City of Auburn, Washington, are hereby authorized to sign an Engineering Services and Modification Agreement Resolution No. 3242 07/18/00 Page 1 between Puget Sound Energy and the City of Auburn, which is set forth as Exhibit "1" attached hereto and incorporated herein by this reference. The Mayor and City Clerk are hereby further authorized to execute all supplemental agreements required to finalize the relocation of the overhead transmission power lines. Section 2. The Mayor is hereby authorized to implement such administrative procedures as may be necessary to carry out the directives of this legislation. DATED and SIGNED this 2 '� day of 2000. CITY OF AUBURN 0102to6L Go c CHARLES A. BOOTH MAYOR ATTEST: Danielle E. Daskam City Clerk APPROVED AS TO FORM: Michael J. Reynolds City Attorney Resolution No. 3242 07/18/00 Page 2 Electric Transmission and Distribution Facilities Engineering Services and Modification Agreement THIS ELECTRIC TRANSMISSION AND DISTRIBUTION FACILITIES ENGINEERING SERVICES AND MODIFICATION AGREEMENT ( "Agreement ") is made as of Auvusr 30 , 2000 by and between Puget Sound Energy, Inc., a Washington corporation ( "PSE "), and the City of Auburn, a municipal corporation of the State of Washington ( "City "). Recitals A. PSE owns and operates certain: (i) electric transmission facilities known as the O'Brien- Christopher #2 115 kV transmission line, the White River - O'Brien #2 115 kV transmission line, the Christopher- O'Brien #4 230 kV transmission line, and the White River Power 55 kV transmission line; and (ii) 12.5kV electric distribution facilities attached to the transmission poles (such transmission and distribution facilities are collectively referred to herein as the "Facilities "). Some or more of the Facilities occupy and use portions of PSE's 100 -foot fee -owned utility corridor, the adjacent Union Pacific Railroad right of way, and the Burlington Northern Santa Fe Railroad right of way pursuant to property rights held by or benefiting PSE (referred to collectively herein as the "Rights of Way "). The Facilities and the Rights of Way are more particularly described in Exhibit A attached hereto and incorporated herein by this reference. B. The City plans to construct improvements to South 277th Street from State Route 167 to Auburn Way North. Such improvements cross the Rights of Way and include sections of elevated roadway and bridge structures for South 277th Street for vehicular and pedestrian use (collectively the "Road Improvements" ). The City also plans to connect a bicycle /pedestrian path to the existing "Interurban Trail" within the Rights of Way. The Road Improvements, the design for which is ninety -five percent (95 %) complete, necessitate the redesign and modification or relocation of the Facilities. Additionally, the acquisition of sufficient new operating rights for the Facilities may be necessary. C. In connection with the Road Improvements, the City has requested PSE modify the Facilities to ensure proper clearances are maintained between such Facilities and the Road Improvements. The City and PSE have discussed a conceptual plan for such modifications. D. PSE is willing to undertake the activities necessary to accomplish such modifications at the City's cost. PSE has reviewed the City's 95% complete design, provided to PSE on July 21, 1999, for the bridge and has developed conceptual plans and specifications for accomplishing modification of the Facilities to accommodate the bridge construction desired by the City and maintain the functionality of the Facilities in accordance with prudent utility practice. E. The City completed an Environmental Assessment for the Road Improvements, dated June 1999, which was approved in January of 2000. The Environmental Assessment included relocation of existing utilities effected by the Road Improvements; however, agency permits must still be completed as necessary. Resolution 3242 Exhibit "1" PSE Transmission Agreement -1- PR 562, S. 277th Street Reconstruction July 18, 2000 F. The Road Improvements are eligible for participation in federal funding and reimbursement for utility relocation costs pursuant to Federal Highway Administration ( "FHWA ") authorization dated JQ1-4 25 , 2000. Such eligibility is subject to the regulations set forth in 23 C.F.R. §§ 645.101 — 645.119 ( "Regulations "), attached hereto as Exhibit B. Pursuant to such regulations, the City and PSE desire to establish the terms and conditions for modification of the Facilities and payment of the costs thereof. Agreement Now, therefore, for and in consideration of mutual benefits to be derived hereunder, the parties hereto agree as follows: Each of the recitals set forth above is incorporated herein and deemed to be a portion of the Agreement of PSE and the City and is relied upon by each party entering into this Agreement. 1. Phase I Scope of Work -- PSE's Engineering Work. The following is the scope of the engineering services to be performed by PSE under Phase I pursuant to this Agreement (collectively referred to as "PSE's Engineering Work "): (a) identification and development of a technically feasible design for the Facilities modifications; (b) preparation of a preliminary estimate of the cost to so modify the Facilities, to the extent such Facilities modifications are technically feasible; and (c) identification of the type and extent of property rights, if any, needed to accomplish the reconfiguration of the Facilities in accordance with the Regulations, to the extent such Facilities modifications are technically feasible 1.1. Preliminary Facilities Modifications. PSE will determine whether, in PSE's opinion, the conceptual Facilities modifications desired by the City are technically feasible. For the purposes of this Agreement, the term "technically feasible" includes, and is limited to, PSE's determination, in its sole discretion, whether electrical facilities and equipment in the configuration desired (i) transmits and distributes electrical power in accordance with prudent utility practice, (ii) is compatible with PSE's overall transmission and distribution scheme, and (iii) is compatible with the design for the Road Improvements provided to PSE by the City on July 21, 1999. Without limiting the foregoing, the term "technically feasible" shall not include, among other things, consideration of: (i) the cost or likelihood of purchasing or acquiring property rights necessary for such modified Facilities, (ii) the compatibility of such modified Facilities with existing land use regulations and restrictions, (iii) the compatibility of such modified Facilities with existing environmental conditions, (iv) the cost or likelihood of obtaining any permits or approvals needed to modify the Facilities, (v) public sentiment related to such modified Facilities, or (vi) the cost to so modify the Facilities. 1.2. Design Description and Preliminary Estimate of Cost of Technically Feasible Alternative Facilities Modifications If PSE determines the Facilities modifications to be technically feasible in accordance with Section 1.1, above, PSE will prepare a description of the technically feasible design for Facilities Resolution 3242 Exhibit "1" PSE Transmission Agreement -2- PR 562, S. 277th Street Reconstruction July 18, 2000 modification and a preliminary estimate of the cost range to modify the Facilities. For the purposes of this Agreement, a "preliminary estimate" of the cost range to modify the Facilities shall include, and is limited to, an estimate of the costs of: (i) the facilities and equipment necessary to make such Facilities modifications technically feasible, (ii) the labor and equipment involved in the design and construction of such modified Facilities, and (iii) an estimated margin of error or contingency for such preliminary estimate in the amount of 15% of such preliminary estimate, which assumes permits and approvals are issued for the modified Facilities as designed. Without limiting the foregoing, the "preliminary estimate" shall not include, among other things, an estimate of any costs associated with: (i) purchasing or acquiring property rights necessary for such Facilities modifications (including without limitation, price, negotiation or condemnation proceedings), (ii) obtaining any permits or approvals required, or achieving compatibility with any applicable land use regulations or restrictions, to modify the Facilities (including, without limitation, environmental analysis), or (iii) administrative or judicial appeals of any permits or approvals obtained. 1.3. Real Property Rights If PSE determines those Facilities modifications to be technically feasible in accordance with Section 1.1 above, PSE will identify the types and extent of new or modified property rights which would have to be acquired to accommodate the modified Facilities. Such identification shall not include any estimate of the cost or likelihood of acquiring such property rights. PSE will delineate such property rights on King County Assessor's maps and shall include the City's Parcel numbers as defined in the City's Right -of -Way Plans, dated October 20, 1999. 1.4 Phase I Completion At the conclusion of PSE's Engineering Work, PSE shall provide to the City: (i) its technically feasible design for the Facilities modification; (ii) its identification of necessary new or modified real property rights; (iii) its preliminary estimate of the cost of the Facilities modification. PSE shall coordinate and obtain all permits necessary for the Facility Modifications with the exception of any wetland mitigation. Wetland mitigation will be coordinated between the City and PSE with the intent to include this in the Projects Wetland Mitigation work if necessary. 1.5 City and FHWA Approval Upon receipt of the items set forth in Section 1.4, the City shall review and approve such items and provide them to the FHWA for review and approval pursuant to the Regulations. Upon approval by the City and FHWA, the City shall notify PSE and PSE shall thereafter prepare final design plans and specifications, a final cost estimate, and schedule for the Facilities modifications and submit such items to the City for review and approval, and the City shall submit them to the FHWA for review and approval pursuant to the Regulations. Upon approval of the final plans and specifications, estimate and schedule, the City shall notify PSE and PSE shall proceed in accordance with Section 2. Resolution 3242 Exhibit "1" PSE Transmission Agreement -3- PR 562, S. 277'" Street Reconstruction July 18, 2000 2. Phase II Scope of Work -- Modification of Facilities The following is the scope of modification services provided by PSE under Phase II (collectively referred to as "PSE's Modification Work "): On and subject to the terms and conditions of this Agreement and the Regulations, PSE agrees to modify and relocate the portion of the Facilities within and adjacent to the Rights of Way. A more detailed statement of PSE's Modification Work is set forth on Exhibit C attached hereto, which may be revised during the preparation of the final design of technically feasible modifications as provided above. Upon approval, such final design will be substituted for the Exhibit C attached to this Agreement. 2.1 Condition to PSE's Modification Work PSE shall not be obligated to undertake PSE's Modification Work pursuant to this Section 2 unless and until the following conditions precedent to PSE's obligations have been satisfied or waived by PSE: (i) The City's acquisition of New Operating Rights, if any, in accordance with Section 2.5; and (ii) PSE's acquisition of the permits and approvals necessary for PSE to accomplish PSE's Modification Work; and (iii) PSE's acquisition of reasonably acceptable approvals and/or agreements between PSE and the Burlington Northern Santa Fe Railroad and PSE and the Union Pacific Railroad, as necessary to accomplish PSE's Modification Work. 2.2 Failure of Conditions In the event that any of the foregoing conditions have not been satisfied within one hundred eighty (180) days of PSE's notice to the City pursuant to Section 1.4, then either the City or PSE may, by written notice to the other, terminate this Agreement, and the City shall promptly pay PSE, upon the City's receipt of an invoice therefor in accordance this Agreement, all costs and expenses (defined below) incurred by PSE in furtherance of this Agreement prior to its termination. 2.3 Method of Accomplishing of PSE's Modification Work PSE shall accomplish PSE's Modification Work in accordance with applicable provisions of the Regulations and otherwise in accordance with its own manners and methods. 2.4 Material to Remain PSE's Property All materials, information, property, and other items provided for, used or incorporated into PSE's Modification Work, including, but not limited to, all facilities constructed or installed pursuant to this Agreement, shall be and remain PSE's property. Resolution 3242 Exhibit "1" PSE Transmission Agreement -4- PR 562, S. 277th Street Reconstruction July 18, 2000 2.5 City's Acquisition of New Operating Rights As to any Facilities to be relocated to property other than the Rights of Way, the City shall deliver to PSE documentation evidencing replacement operating rights in PSE's name for such Facilities, and such operating rights shall be, in all respects as determined by PSE, of equivalent quality and kind as compared to the existing operating rights (i.e., the Rights of Way, or such other rights as PSE may currently own, in order to construct, operate and maintain Facilities in their existing location). Replacement operating rights determined by PSE to be so equivalent are referred to in this Agreement as the "New Operating Rights." The City shall obtain such New Operating Rights, if any, using a form PSE deems acceptable. Pursuant to Section 2.2 above, PSE shall not be obligated to perform PSE's Modification Work unless and until New Operating Rights have been provided and accepted in accordance with this Section 2.5. 3. Costs and Expenses 3.1. Reimbursable Amounts Subject to the limitation set forth in Section 3.2 below, and in accordance with the Regulations, the City shall: (i) reimburse PSE for all actual costs and expenses incurred by PSE in connection with PSE's Engineering Work and PSE's Modification Work; and (ii) bear all costs and expenses incurred by the City in acquiring the New Operating Rights, if any, and other costs and expenses contemplated hereby. For purposes of this Agreement, "costs and expenses" shall include, without limitation, any and all direct or indirect costs necessarily incurred or reasonably allocated to PSE's Engineering Work or PSE's Modification Work, pursuant to 23 C.F.R. §§ 645.101 — 645.119. 3.2. Estimates of Costs for PSE's Engineering Work As of the date of this Agreement, the City has a design for the Road Improvements which is ninety-five percent (95 %) complete, as provided to PSE on July 21, 1999 and which it desires PSE to rely upon and use in providing technical assistance pursuant to this Agreement. The parties estimate that PSE's costs and expenses incurred in furtherance of this Agreement for engineering a single design for Facilities modifications to accommodate the Road Improvements will be approximately Sixty-five Thousand Dollars ($65,000). However, this estimate assumes that the City's specifications for the Road Improvements have been designed or will be redesigned (a) to provide PSE with continuous, unimpeded access along the Rights of Way to reconfigure and thereafter maintain the Facilities; (b) to include overhead lighting and sign structures on the Road Improvements and other features which may most easily provide proper clearances from the Facilities pursuant to the Washington Administrative Code and National Electric Safety Code; and (c) in coordination with other public entities and public service companies so as to minimize the potential for conflict among the Road Improvements, the Facilities and other public facilities. The parties further acknowledge that if the City selects additional alternative Facilities modifications for which it desires PSE's technical assistance, such additional technical services will be provided based upon a revised estimate of PSE's costs and expenses, and will be included in a duly executed amendment to this Agreement. The total amount payable by the City for PSE's Engineering Work shall not exceed Sixty- five Thousand Dollars ($65,000) plus such additional amounts as may be authorized from time to Resolution 3242 Exhibit "1" PSE Transmission Agreement -5- PR 562, S. 277th Street Reconstruction July 18, 2000 time by the City and included in a duly executed amendment to this Agreement. If and to the extent the costs and expenses incurred by PSE would exceed the amount then authorized by the City, PSE shall give the City written notice of this fact together with a revised estimate of costs and expenses. If PSE and the City are unable to agree on a revised estimate of costs and expenses within thirty (30) days after PSE's notice, PSE may suspend performance of the its services hereunder until additional amounts are authorized by the City or either party gives the other written notice of termination. In the event of such termination: (i) the City shall pay PSE for all costs and expenses incurred by PSE in furtherance of this Agreement prior to the effective date of the termination and in connection with the orderly and coordinated termination and winding -up of any services then in progress; and (ii) neither party shall be liable to the other on account of any termination pursuant to this Section. 3.3 Estimate of Costs for PSE's Modification Work The parties estimate that PSE's costs and expenses incurred in PSE's Modification Work to accommodate the Road Improvements will be approximately Nine Hundred Sixty Thousand Dollars ($960,000). This estimate assumes that the City's plans and specifications for the Road Improvements are as set forth in the 95% completed plans provided to PSE by the City on July 21, 1999. In the event the City modifies its plans and specifications for the Road Improvements and PSE is required to design alternative Facilities modifications, PSE will prepare a revised estimate of PSE's costs and expenses which will be included in a duly executed amendment to this Agreement. 3.4 Monthly Invoices On the twenty-fifth (25th) of each month while PSE is undertaking PSE's Modification Work, PSE will submit itemized monthly invoices to the City for the costs and expenses described in Section 3.1, above, together with all available supporting documentation and in accordance with the Regulations. The City will pay each invoice within thirty (30) days of the date it receives a fully documented invoice, as provided herein. Any invoice not paid when due will bear interest at the rate of ten percent (10 %) per annum from the date due until the date paid. Invoices will be prepared from PSE's itemized work orders and will include all available supporting documentation, if applicable. In the event PSE fails to provide such supporting documentation for any item upon an invoice, or within fifteen (15) days after receipt of written notice from the City that the same has not been provided, the City may withhold the amount of such item from the payment upon the incomplete invoice until supporting documentation is provided to the City. 4. Schedule of Work. PSE shall use good faith efforts consistent with its other public service obligations to perform PSE's Engineering Work and PSE's Modification Work in accordance with the estimated schedule set forth as Exhibit D attached hereto ( "Estimated Schedule "). PSE shall have no liability to the City (or, by reason of this Agreement, to any one or more third parties) for any delay in or postponement of PSE's Engineering Work or PSE's Modification Work or any consequences Resolution 3242 Exhibit "1" PSE Transmission Agreement -6- PR 562, S. 277th Street Reconstruction July 18, 2000 associated with such delay or postponement. The City shall assume the risk of such delay or postponement and any consequences associated with such delay or postponement. Moreover, and without limiting the generality of the foregoing, any failure by PSE to perform PSE's Engineering Work or PSE's Modification Work in accordance with the Estimated Schedule shall not relieve the City of its obligations under this Agreement. PSE shall submit to the City monthly progress reports, including, in the event of delay or postponement, a revised Estimated Schedule reflecting such delay or postponement. 5. Indemnification; Application of Release; Waiver of Immunity 5.1 Indemnification The City hereby releases and shall defend, indemnify and hold harmless each, any and all of PSE, PSE's directors, officers, employees, and representatives, and the respective successors and assigns of each, from and against any and all allegations, claims, demands, harm, liens, losses, costs, damages, expenses (including, but not limited to, reasonable attorney's fees) and liabilities directly or indirectly arising from or in connection with: (i) any death, injury or harm to persons (whomsoever) and any damage, injury or harm to property (whatsoever) arising in whole or in part from PSE's Engineering Work or PSE's Modification Work or otherwise in connection with this Agreement to the extent attributable to the fault or negligence of the City, its employees, agents or any of its contractors or subcontractors; (ii) the adequacy (or lack thereof) of any one or more interests collectively comprising the New Operating Rights (including, without limitation, any defects in or failure of title thereto); or The PSE hereby releases and shall defend, indemnify and hold harmless each, any and all of the City, City's employees, and representatives from and against any and all allegations, claims, demands, harm, liens, losses, costs, damages, expenses (including, but not limited to, reasonable attorney's fees) and liabilities directly or indirectly arising from or in connection with: (i) any death, injury or harm to persons (whomsoever) and any damage, injury or harm to property (whatsoever) arising in whole or in part from PSE's Engineering Work or PSE's Modification Work or otherwise in connection with this Agreement to the extent attributable to the fault or negligence of the PSE, its employees, agents or any of its contractors or subcontractors. 5.2 Application of Release The Parties intend that, to the fullest extent permitted by applicable law, and consistent with the provisions of RCW 4.24.115 if and as applicable, the foregoing release, indemnity and hold harmless shall apply regardless of any act, omission, fault, negligence or strict liability of the Indemnitees. Resolution 3242 Exhibit "1" PSE Transmission Agreement -7- PR 562, S. 277' Street Reconstruction July 18, 2000 5.3 Waiver of Immunity In connection with any action to enforce Section 5.1, the City hereby waives any immunity, defense, or protection under any workers' compensation, industrial insurance or similar laws (including, but not limited to, the Washington Industrial Insurance Act, Title 51 of the Revised Code of Washington). This Section 5.3 was mutually negotiated by the City and PSE: Initialed by: City 6. Termination. The City may terminate this Agreement at any time prior to PSE's commencement of PSE's Modification Work by giving notice of such termination to PSE. Upon receipt of such notice of termination, PSE shall promptly stop all services undertaken in furtherance of this Agreement. In the event of such termination, the City shall pay PSE for all costs and expenses incurred by PSE in accordance with Section 3.1, above, in furtherance of this Agreement on or before the date of the termination, in accordance with the Regulations. PSE shall have no liability to the City for, and the City hereby releases and agrees to defend, indemnify and hold PSE harmless from, any and all claims arising from or connected with any termination pursuant to this Section 6. 7. Incorporation of Recitals Each of the recitals set forth above Agreement above is incorporated 8. Notices All notices, invoices, requests, approvals, consents, instructions, directions or other communication (collectively, "Notices ") required or permitted to be given under this Agreement shall be in writing and shall either be: (i) personally delivered to the intended recipient; or (ii) deposited in the U.S. mail, postage prepaid, and in all cases such Notices shall be directed to: If to PSE: If to City: Doug Loreen Project Manager P.O. Box 97034, MER -03E Bellevue, WA 98009 -9734 Scott Nutter Project Manager 25 West Main Auburn, WA 98001 -4998 Either party may, from time to time, change the foregoing address by giving Notice to the other in accordance with this Section; provided, however, neither Party may require the other to give Notice Resolution 3242 Exhibit "1" PSE Transmission Agreement PR 562, S. 277th Street Reconstruction -8- July 18, 2000 to more than one recipient. Additional copies provided shall be considered courtesy copies, and failure to deliver such additional copies shall not affect validity of such Notice. Notices shall be deemed to be given upon receipt. IN WITNESS WHEREOF, the parties have executed this Agreement as of the date set forth above. PUGET SOUND ENERGY, INC. CITY OF AUBURN ATTEST: Auburn City Clerk City Attorney City of Auburn By Its PSE Transmission Agreement -9- PR 562, S. 277'h Street Reconstruction .1,..c. A A ocf Charles A. Booth MAYOR August 9, 2000 EXHIBIT A DESCRIPTION OF FACILITIES AND RIGHTS OF WAY White River - O'Brien #2: A 115 kV single- circuit wood pole transmission line located within the western half of PSE's 100' wide Interurban Right -of -Way. The existing wood poles are approximately 60 -70' tall. The line serves the West Auburn, Peasley Canyon and Ellingson distribution substations and transmits bulk power between PSE's O'Brien and White River transmission switching stations. Christopher - O'Brien #4: A 230 kV double- circuit steel pole transmission line located with the eastern half of PSE's 100' wide Interurban Right -of -Way. The existing steel monopole structures are approximately 100' tall. The line connects PSE's O'Brien transmission station to the BPA Covington - Tacoma 230 kV transmission line and provides one of the main bulk power supplies to PSE's south King County and Pierce County service areas. O'Brien - Christopher #2: A 115 kV single- circuit wood pole transmission line located within the Union Pacific railroad right -of -way immediately east of PSE's Interurban Right -of -Way. The existing wood poles are approximately 60 -70' tall. The line serves the Kent Substation and transmits bulk power between PSE's O'Brien and Christopher transmission switching stations. The line is located and maintained under rights granted by the Union Pacific Railroad and any modifications to the line or any work impacting railroad operations requires prior approval. White River Power: A 55 kV single- circuit wood pole transmission line located within the western edge of the Burlington Northern railroad right -of -way near Auburn Way. The existing wood poles are approximately 50 -70' tall. The line is not currently energized but is planned to be rebuilt and operated at 115 kV in the future. The line runs from near the intersection of 8`h Street East and East Valley Highway in Auburn to the intersection of South 228"' Street and Central Avenue in Kent. The line is located and maintained under rights granted by the Union Pacific Railroad and any modifications to the line or any work impacting railroad operations requires prior approval. Exhibit A PSE Transmission Agreement PR 562, S. 277th Street Reconstruciton FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 1 of 12 EXHIBIT B FEDERAL HIGHWAY ADMINISTRATION December 9, 1991, Transmittal 1 23 CFR 645A OPI: HNG -12 SUBCHAPTER G - ENGINEERING AND TRAFFIC OPERATIONS PART 645 - UTILITIES Subpart A - Utility Relocations, Adjustments, and Reimbursement Sec. 645.101 Purpose. 645.103 Applicability. 645.105 Definitions. 645.107 Eligibility. 645.109 Preliminary engineering. 645.111 Right -of -way. 645.113 Agreements and authorizations. 645.115 Construction. 645.117 Cost development and reimbursement. 645.119 Alternate procedure. Authority: 23 U.S.C. 101, 109, 111, 116, 123, and 315; 23 CFR 1.23 and 1.27; 49 CFR 1.48(b); and E.O. 11990, 42 FR 26961 (May 24, 1977). Source: 50 FR 20345, May 15, 1985, unless otherwise noted. Sec. 645.101 Purpose. To prescribe the policies, procedures, and reimbursement provisions for the adjustment and relocation of utility facilities on Federal -aid and direct Federal projects. Sec. 645.103 Applicability. (a) The provisions of this regulation apply to reimbursement claimed by a State highway agency (SHA) for costs incurred under an approved and properly executed highway agency (HA) /utility agreement and for payment of costs incurred under all Federal Highway Administration (FHWA) /utility agreements. Resolution 3242 Exhibit "B" http: / /www.fhwa. dot. gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 2 of 12 (b) Procedures on the accommodation of utilities are set forth in 23 CFR Part 645, Subpart B, Accommodation of Utilities. (c) When the lines or facilities to be relocated or adjusted due to highway construction are privately owned, located on the owner's land, devoted exclusively to private use and not directly or indirectly serving the public, the provisions of the FHWA's right -of -way procedures in 23 CFR Chapter I, Subchapter H, Right -of -Way and Environment, apply. When applicable, under the foregoing conditions, the provisions of this regulation may be used as a guide to establish a cost -to -cure. (d) The FHWA's reimbursement to the SHA will be governed by State law (or State regulation) or the provisions of this regulation, whichever is more restrictive. When State law or regulation differs from this regulation, a determination shall be made by the SHA subject to the concurrence of the FHWA as to which standards will govern, and the record documented accordingly, for each relocation encountered. (e) For direct Federal projects, all references herein to the SHA or HA are inapplicable, and it is intended that the FHWA be considered in the relative position of the SHA or HA. Sec. 645.105 Definitions. For the purposes of this regulation, the following definitions shall apply: (a) Authorization - for Federal -aid projects authorization to the SHA by the FHWA, or for direct Federal projects authorization to the utility by the FHWA, to proceed with any phase of a project. The date of authorization establishes the date of eligibility for Federal funds to participate in the costs incurred on that phase of work. (b) Betterment - any upgrading of the facility being relocated that is not attributable to the highway construction and is made solely for the benefit of and at the election of the utility. (c) Cost of relocation - the entire amount paid by or on behalf of the utility properly attributable to the relocation after deducting from that amount any increase in value of the new facility, and any salvage derived from the old facility. (d) Cost of Removal - the amount expended to remove utility property including the cost of demolishing, dismantling, removing, transporting, or otherwise disposing of utility property and of cleaning up to leave the site in a neat and presentable condition. (e) Cost of salvage - the amount expended to restore salvaged utility property to usable condition after its removal. (f) Direct Federal projects - highway projects such as projects under the Federal Lands Highways Program which are under the direct administration of the FHWA. (g) Highway agency (HA) - that department, commission, board, or official of any State or political subdivision thereof, charged by its law with the responsibility for highway administration. (h) Indirect or overhead costs - those costs which are not readily identifiable with one specific task, job, or work order. Such costs may include indirect labor, social security taxes, insurance, stores expense, and general office expenses. Costs of this nature generally are distributed or allocated to the applicable job or work orders, other accounts and other functions to which they Resolution 3242 Exh " 4/28/00 http: / /wwwl�t wa.dot.gov /legsregs /directives /fapg/cfr0645a.htm FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 3 of 12 relate. Distribution and allocation is made on a uniform basis which is reasonable, equitable, and in accordance with generally accepted cost accounting practices. (I) Relocation - the adjustment of utility facilities required by the highway project. It includes removing and reinstalling the facility, including necessary temporary facilities, acquiring necessary right -of -way on the new location, moving, rearranging or changing the type of existing facilities and taking any necessary safety and protective measures. It shall also mean constructing a replacement facility that is both functionally equivalent to the existing facility and necessary for continuousoperation of the utility service, the project economy, or sequence of highway construction. (j) Salvage value - the amount received from the sale of utility property that has been removed or the amount at which the recovered material is charged to the utility's accounts, if retained for reuse. (k) State highway agency - the highway agency of one of the 50 States, the District of Columbia, or Puerto Rico. (1) Use and occupancy agreement - the document (written agreement or permit) by which the HA approves the use and occupancy of highway right -of -way by utility facilities or private lines. (m) Utility - a privately, publicly, or cooperatively owned line, facility or system for producing, transmitting, or distributing communications, cable television, power, electricity, light, heat, gas, oil, crude products, water, steam, waste, storm water not connected with highway drainage, or any other similar commodity, including any fire or police signal system or street lighting system, which directly or indirectly serves the public. The term utility shall also mean the utility company inclusive of any wholly owned or controlled subsidiary. (n) Work order system - a procedure for accumulating and recording into separate accounts of a utility all costs to the utility in connection with any change in its system or plant. Sec. 645.107 Eligibility. (a) When requested by the SHA, Federal funds may participate, subject to the provisions of Sec. 645.103(d) of this part and at the pro rata share applicable, in an amount actually paid by an HA for the costs of utility relocations. Federal funds may participate in safety corrective measures made under the provisions of Sec. 645.107(k) of this part. Federal funds may also participate for relocations necessitated by the actual construction of a highway project made under one or moreof the following conditions when: (1) The SHA certifies that the utility has the right of occupancy in its existing location because it holds the fee, an easement, or other real property interest, the damaging or taking of which is compensable in eminent domain, (2) The utility occupies privately or publicly owned land, including public road or street right - of -way, and the SHA certifies that the payment by the HA is made pursuant to a law authorizing such payment in conformance with the provisions of 23 U.S.C. 123, and/or (3) The utility occupies publicly owned land, including public road and street right -of -way, and is owned by a public agency or political subdivision of the State, and is not required by law or agreement to move at its own expense, and the SHA certifies that the HA has the legal authority or obligation to make such payments. Resolution 3242 Exhibit "B" http : / /www.fhwa.dot.gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 4 of 12 (b) On projects which the SHA has the authority to participate in project costs, Federal funds may not participate in payments made by a political subdivision for relocation of utility facilities other than those proposed under the provisions of Sec. 645.107(k) of this part, when State law prohibits the SHA from making payment for relocation of utility facilities. (c) On projects which the SHA does not have the authority to participate in project costs, Federal funds may participate in payments made by a political subdivision for relocation of utility facilities necessitated by the actual construction of a highway project when the SHA certifies that such payment is based upon the provisions of Sec. 645.107(a) of this part and does not violate the terms of a use and occupancy agreement, or legal contract, between the utility and the HA or for utility safety corrective measures under the provisions of Sec. 645.107 (k) of this part. (d) Federal funds are not eligible to participate in anycosts for which the utility contributes or repays the HA, except for utilities owned by the political subdivision on projects which qualify under the provisions of Sec. 645.107(c) of this part in which case the costs of the utility are considered to be costs of the HA. (e) The FHWA may deny Federal fund participation in any payments made by a HA for the relocation of utility facilities when such payments do not constitute a suitable basis for Federal fund participation under the provisions of Title 23, U.S.C. (f) The rights of any public agency or political subdivision of a State under contract, franchise, or other instrument or agreement with the utility, pertaining to the utility's use and occupancy of publicly owned land, including public road and street right -of -way, shall be considered the rights of the SHA in the absence of State law to the contrary. (g) In lieu of the individual certifications required by Sec. 645.107(a) and (c), the SHA may file a statement with the FHWA setting forth the conditions under which the SHA will make payments for the relocation of utility facilities. The FHWA may approve Federal fund participation in utility relocations proposed by the SHA under the conditions of the statement when the FHWA has made an affirmative finding that such statement and conditions form a suitable basis for Federal fund participation under the provisions of 23 U.S.C. 123. (h) Federal funds may not participate in the cost of relocations of utility facilities made solely for the benefit or convenience of a utility, its contractor, or a highway contractor. (I) When the advance installation of new utility facilities crossing or otherwise occupying the proposed right -of -way of a planned highway project is underway, or scheduled to be underway, prior to the time such right -of -way is purchased by or under control of the HA, arrangements should be made for such facilities to be installed in a manner that will meet the requirements of the planned highway project. Federal funds are eligible to participate in the additional cost incurred by theutility that are attributable to, and in accommodation of, the highway project provided such costs are incurred subsequent to authorization of the work by the FHWA. Subject to the other provisions of this regulation, Federal participation may be approved under the foregoing circumstances when it is demonstrated that the action taken is necessary to protect the public interest and the adjustment of the facility is necessary by reason of the actual construction of the highway project. (j) Federal funds are eligible to participate in the costs of preliminary engineering and allied services for utilities, the acquisition of replacement right -of -way for utilities, and the physical construction work associated with utility relocations. Such costs must be incurred by or on behalf of a utility after the date the work is included in an approved program and after the FHWA has authorized the SHA to proceed in accordance with 23 CFR 630, Subpart A, Resolution 3242 Exhibit "B" http://wwvv.fhwa.dot.gov/legsregs/directives/fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 5 of 12 Federal -Aid Programs Approval and Project Authorization. (k) Federal funds may participate in projects solely for the purpose of implementing safety corrective measures to reduce the roadside hazards of utility facilities to the highway user. Safety corrective measures should be developed in accordance with the provisions of 23 CFR 645.209(k). (The information collection requirements in paragraph (g) of this section have been approved under OMB control number 2125 -0515) [50 FR 20345, May 15, 1985, as amended at 53 FR 24932, July 1, 1988] Sec. 645.109 Preliminary engineering. (a) As mutually agreed to by the HA and utility, and subject to the provisions of paragraph (b) of this section, preliminary engineering activities associated with utility relocation work may be done by: (1) The HA's or utility's engineering forces; (2) An engineering consultant selected by the HA, after consultation with the utility, the contract to beadministered by the HA; or, (3) An engineering consultant selected by the utility, with the approval of the HA, the contract to be administered by the utility. (b) When a utility is not adequately staffed to pursue the necessary preliminary engineering and related work for the utility relocation, Federal funds may participate in the amount paid to engineers, architects, and others for required engineering and allied services provided such amounts are not based on a percentage of the cost of relocation. When Federal participation is requested by the SHA in the cost of such services, the utility and its consultant shall agree in writing as to the services to be provided and the fees and arrangements for the services. Federal funds may participate in the cost of such services performed under existing written continuing contracts when it is demonstrated that such work is performed regularly for the utility in its own work and that the costs are reasonable. (c) The procedures in 23 CFR Part 172, Administration of Negotiated Contracts, may be used as a guide for reviewing proposed consultant contracts. Sec. 645.111 Right -of -way. (a) Federal participation may be approved for the cost of replacement right -of -way provided: (1) The utility has the right of occupancy in its existing location because it holds the fee, an easement, or another real property interest, the damaging or taking of which is compensable in eminent domain, or the acquisition is made in the interest of project economy or is necessary to meet the requirements of the highway project, and (2) There will be no charge to the project for that portion of the utility's existing right -of -way being transferred to the HA for highway purposes. (b) The utility shall determine and make a written valuation of the replacement right -of -way that it acquires in orderto justify amounts paid for such right -of -way. This written valuation shall be accomplished prior to negotiation for acquisition. Resolution 3242 achibit "B" http://www.fhwa.dot.gov/legsregs/directives/fapg/cfr0645a.htm 4/28/00 FAP,G 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 6 of 12 (c) Acquisition of replacement right -of -way by the HA on behalf of a utility or acquisition of nonoperating real property from a utility shall be in accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.) and applicable right -of -way procedures in 23 CFR Chapter I, Subchapter H, Right -of -Way and Environment. (d) When the utility has the right -of- occupancy in its existing location because it holds the fee, an easement, or another real property interest, and it is not necessary by reason of the highway construction to adjust or replace the facilities located thereon, the taking of and damage to the utility's real property, including the disposal or removal of such facilities, may be considered a right -of -way transaction in accordance with provisions of the applicable right -of -way procedures in 23 CFR Chapter I, Subchapter H, Right -of -Way and Environment. Sec. 645.113 Agreements and authorizations. (a) On Federal -aid and direct Federal projects involving utility relocations, the utility and the HA shall agree in writing on their separate responsibilities for financing and accomplishing the relocation work. When Federal participation is requested, the agreement shall incorporate this regulation by reference and designate the method to be used for performing the work (by contract or force account) and for developing relocation costs. The method proposed by the utility for developing relocation costs must be acceptable to both the HA and the FHWA. The preferred method for the development of relocation costs by a utility is on the basis of actual direct and related indirect costs accumulated in accordance with a work order accounting procedure prescribed by the applicable Federal or State regulatory body. (b) When applicable, the written agreement shall specify the terms and amounts of any contribution or repayments made or to be made by the utility to the HA in connection withpayments by the HA to the utility under the provisions of Sec. 645.107 of this regulation. (c) The agreement shall be supported by plans, specifications when required, and itemized cost estimates of the work agreed upon, including appropriate credits to the project, and shall be sufficiently informative and complete to provide the HA and the FHWA with a clear description of the work required. (d) When the relocation involves both work to be done at the HA's expense and work to be done at the expense of the utility, the written agreement shall state the share to be borne by each party. (e) In the event there are changes in the scope of work, extra work or major changes in the planned work covered by the approved agreement, plans, and estimates, Federal participation shall be limited to costs covered by a modification of the agreement, a written change, or extra work order approved by the HA and the FHWA. (f) When the estimated cost to the HA of proposed utility relocation work on a project for a specific utility company is $100,000 or less, the FHWA may approve an agreement between the HA and the utility for a lump -sum payment without later confirmation by audit of actual costs. Lump -sum agreements in excess of $100,000 may be approved when the FHWA finds that this method of developing costs would be in the best interest of the public. (g) Except as otherwise provided by Sec. 645.113(h), authorization by the FHWA to the SHA to proceed with the physical relocation of a utility's facilities may be given after: (1) The utility relocation work, or the right -of -way, or physical construction phase of the Resolution 3242 Exhibit "B" http: / /www.fhwa.dot.gov/legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 7 of 12 highway construction work is included in an approved Statewide transportation improvement program. (2) The appropriate environmental evaluation and public hearing procedures required by 23 CFR Part 771, Environmental Impact and Related Procedures, have been satisfied. (3) The FHWA has reviewed and approved the plans, estimates, and proposed or executed agreements for the utility work and is furnished a schedule for accomplishing the work. (h) The FHWA may authorize the physical relocation of utility facilities before the requirements of Sec. 645.113(g)(2) are satisfied when the relocation or adjustment of utility facilities meets the requirements of Sec. 645.107(i) of this regulation. (I) Whenever the FHWA has authorized right -of -way acquisition under the hardship and protective buying provisions of 23 CFR Part 712, the Acquisition Functions, the FHWA may authorize the physical relocation of utility facilities located in whole or in part on such right -of- way. (j) When all efforts by the HA and utility fail to bring about written agreement of their separate responsibilities under the provisions of this regulation,the SHA shall submit its proposal and a full report of the circumstances to the FHWA. Conditional authorizations for the relocation work to proceed may be given by the FHWA to the SHA with the understanding that Federal funds will not be paid for work done by the utility until the SHA proposal has been approved by the FHWA. (k) The FHWA will consider for approval any special procedure under State law, or appropriate administrative or judicial order, or under blanket master agreements with the utilities, that will fully accomplish all of the foregoing objectives and accelerate the advancement of the construction and completion of projects. Sec. 645.115 Construction. (a) Part 635, Subpart B, of this title, Force Account Construction (justification required for force account work), states that it is cost - effective for certain utility adjustments to be performed by a utility with its own forces and equipment, provided the,utility is qualified to perform the work in a satisfactory manner. This cost - effectiveness finding covers minor work on the utility's existing facilities routinely performed by the utility with its own forces. When the utility is not adequately staffed and equipped to perform such work with its own forces and equipment at a time convenient to and in coordination with the associated highway construction, such work may be done by: (1) A contract awarded by the HA or utility to the lowest qualified bidder based on appropriate solicitation, (2) Inclusion as part of the HA's highway construction contract let by the HA as agreed to by the utility, (3) An existing continuing contract, provided the costs are reasonable, or (4) A contract for low -cost incidental work, such as tree trimming and the like, awarded by the HA or utility without competitive bidding, provided the costs are reasonable. (b) When it has been determined under Part 635, Subpart B,that the force account method is not the most cost - effective means for accomplishing the utility adjustment, such work is to be Resolution 3242 Exhibit "B" http : / /www.fhwa.dot.gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 8 of 12 done under competitive bid contracts as described in Sec. 645.115(a) (1) and (2) or under an existing continuing contract provided it can be demonstrated this is the most cost - effective method. (c) Costs for labor, materials, equipment, and other services furnished by the utility shall be billed by the utility directly to the HA. The special provisions of contracts let by the utility or the HA shall be explicit in this respect. The costs of force account work performed for the utility by the HA and of contract work performed for the utility under a contract let by the HA shall be reported separately from the costs of other force account and contract items on the highway project. Sec. 645.117 Cost development and reimbursement. (a) Developing and recording costs. (1) All utility relocation costs shall be recorded by means of work orders in accordance with an approved work order system except when another method of developing and recording costs, such as lump -sum agreement, has been approved by the HA and the FHWA. Except for work done under contracts, the individual and total costs properly reported and recorded in the utility's accounts in accordance with the approved method for developing such costs, or the lump -sum agreement, shall constitute the maximum amount on which Federal participation may be based. (2) Each utility shall keep its work order system or other approved accounting procedure in such a manner as to show the nature of each addition to or retirement from a facility, the total costs thereof, and the source or sources of cost. Separate work orders may be issued for additions and retirements. Retirements, however, may be included with the construction work order provided that all items relating to retirements shall be kept separately from those relating to construction. (b) Direct labor costs. (1) Salaries and wages, at actual or average rates, and related expenses paid by the utility to individuals for the time worked on the project are reimbursable when supported by adequate records. This includes labor associated with preliminary engineering, construction engineering, right -of -way, and force account construction. (2) Salaries and expenses paid to individuals who are normally part of the overhead organization of the utility may be reimbursed for the time worked directly on the project when supported by adequate records and when the work performed by such individuals is essential to the project and could not have been accomplished as economically by employees outside the overhead organization. (3) Amounts paid to engineers, architects and others for services directly related to projects may be reimbursed. (c) Labor surcharges. (1) Labor surcharges include worker compensation insurance, public liability and property damage insurance, and such fringe benefits as the utility has established for the benefit of its employees. The cost of labor surcharges will be reimbursed at actual cost to the utility, or, at the option of the utility, average rates which are representative of actual costs may be used in lieu of actual costs if approved by the SHA and the FHWA. These average rates should be adjusted at least once annually to take into account known anticipated changes and correction for any over or under applied costs for the preceding period. (2) When the utility is a self - insurer, there may be reimbursement at experience rates properly developed from actual costs. The rates cannot exceed the rates of a regular insurance company for the class of employment covered. Resolution 3242 Exhibit "B" http: / /www.fhwa. dot. gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 9 of 12 (d) Overhead and indirect construction costs. (1) Overhead and indirect construction costs not charged directly to work order or construction accounts may be allocated to the relocation provided the allocation is made on an equitable basis. All costs included in the allocation shall be eligible for Federal reimbursement, reasonable, and actually incurred by the utility, and consistent with the provisions of 48 CFR part 31. (2) Costs not eligible for Federal reimbursement include, but are not limited to, the costs associated with advertising, sales promotion, interest on borrowings, the issuance of stock, bad debts, uncollectible accounts receivable, contributions, donations, entertainment, fines, penalties, lobbying, and research programs. (3) The records supporting the entries for overhead and indirect construction costs shall show the total amount, rate, and allocation basis for each additive, and are subject to audit by representatives of the State and Federal Government. (e) Material and supply costs. (1) Materials and supplies, if available, are to be furnished from company stock except that they may be obtained from other sources nearthe project site when available at a lower cost. When not available from company stock, they may be purchased either under competitive bids or existing continuing contracts under which the lowest available prices are developed. Minor quantities of materials and supplies and proprietary products routinely used in the utility's operation and essential for the maintenance of system compatibility may be excluded from these requirements. The utility shall not be required to change its existing standards for materials used in permanent changes to its facilities. Costs shall be determined as follows: (I) Materials and supplies furnished from company stock shall be billed at the current stock prices for such new or used materials at time of issue. (ii) Materials and supplies not furnished from company stock shall be billed at actual costs to the utility delivered to the project site. (iii) A reasonable cost for plant inspection and testing may be included in the costs of materials and supplies when such expense has been incurred. The computation of actual costs of materials and supplies shall include the deduction of all offered discounts, rebates, and allowances. (iv) The cost of rehabilitating rather than replacing existing utility facilities to meet the requirements of a project is reimbursable, provided this cost does not exceed replacement costs. (2) Materials recovered from temporary use and accepted for reuse by the utility shall be credited to the project at prices charged to the job, less a consideration for loss in service life at 10 percent. Materials recovered from the permanent facility of the utility that are accepted by the utility for return to stock shall be credited to the project at the current stock prices of such used materials. Materials recovered and not accepted for reuse by the utility, if determined to have a net sale value, shall be sold to the highest bidder by the HA or utility following an opportunity for HA inspection and appropriate solicitation for bids. If the utility practices a system of periodic disposal by sale, credit to the project shall be at the going prices supported by records of the utility. (3) Federal participation may be approved for the total cost of removal when either such removal is required by the highway construction or the existing facilities cannot be abandoned in place for aesthetic or safety reasons. When the utility facilities can be abandoned in place but the utility or highway constructor elects to remove and recover the materials, Federal funds shall not participate in removal costs which exceed the value of the materials recovered. Resolution 3242 httpw wwtfhwa. dot. gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAN 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 10 of 12 (4) The actual and direct costs of handling and loading materials and supplies at company stores or material yards, and of unloading and handling recovered materialsaccepted by the utility at its stores or material yards are reimbursable. In lieu of actual costs, average rates which are representative of actual costs may be used if approved by the SHA and the FHWA. These average rates should be adjusted at least once annually to take into account known anticipated changes and correction for any over or under applied costs for the preceding period. At the option of the utility, 5 percent of the amounts billed for the materials and supplies issued from company stores and material yards or the value of recovered materials will be reimbursed in lieu of actual or average costs for handling. (f) Equipment costs. The average or actual costs of operation, minor maintenance, and depreciation of utility -owned equipment may be reimbursed. Reimbursement for utility -owned vehicles may be made at average or actual costs. When utility -owned equipment is not available, reimbursement will be limited to the amount of rental paid (1) to the lowest qualified bidder, (2) under existing continuing contracts at reasonable costs, or (3) as an exception by negotiation when paragraph (f) (1) and (2) of this section are impractical due to project location or schedule. (g) Transportation costs. (1) The utility's cost, consistent with its overall policy, of necessary employee transportation and subsistence directly attributable to the project is reimbursable. (2) Reasonable cost for the movement of materials, supplies, and equipment to the project and necessary return to storage including the associated cost of loading and unloading equipment is reimbursable. (h) Credits. (1) Credit to the highway project will be required for the cost of any betterments to the facility being replaced or adjusted, and for the salvage value of the materials removed. (2) Credit to the highway project will be required for the accrued depreciation of a utility facility being replaced, such as a building, pumping station, filtration plant, power plant, substation, or any other similar operational unit. Such accrued depreciation is thatamount based on the ratio between the period of actual length of service and total life expectancy applied to the original cost. Credit for accrued depreciation shall not be required for a segment of the utility's service, distribution, or transmission lines. (3) No betterment credit is required for additions .or improvements which are: (I) Required by the highway project, (ii) Replacement devices or materials that are of equivalent standards although not identical, (iii) Replacement of devices or materials no longer regularly manufactured with next highest grade or size, (iv) Required by law under governmental and appropriate regulatory commission code, or (v) Required by current design practices regularly followed by the company in its own work, and there is a direct benefit to the highway project. (4) When the facilities, including equipment and operating facilities, described in Sec. 645.117 (h)(2) are not being replaced, but are being rehabilitated and/or moved, as necessitated by the highway project, no credit for accrued depreciation is needed. Resolution 3242 Exhibit "B" http : / /www.fhwa.dot.gov/legsregs /directives /fapg/cfr0645a.htm 4/28/00 FAPG 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 11 of 12 (5) In no event will the total of all credits required under the provisions of this regulation exceed the total costs of adjustment exclusive of the cost of additions or improvements necessitated by the highway construction. (I) Billin s. (1) After the executed HA/utility agreement has been approved by the FHWA, the utility may be reimbursed through the SHA by progress billings for costs incurred. Cost for materials stockpiled at the project site or specifically purchased and delivered to the utility for use on the project may also be reimbursed on progress billings following approval of the executed HA/utility agreement. (2) The utility shall provide one final and complete billing of all costs incurred, or of the agreed -to lump -sum, within one year following completion of the utility relocation work, otherwise previous payments to the utility may be considered final, except as agreed to between the SHA and the utility. (3) All utility cost records and accounts relating to the project are subject to audit by representatives of the State and Federal Government for a period of 3 years from the date final payment has been received by the utility. (The information collection requirements in paragraph (i) of this section have been approved under OMB Control Number 2125- 0159.) Sec. 645.119 Alternate procedure. (a) This alternate procedure is provided to simplify theprocessing of utility relocations or adjustments under the provisions of this regulation. Under this procedure, except as otherwise provided in paragraph (b) of this section, the SHA is to act in the relative position of the FHWA for reviewing and approving the arrangements, fees, estimates, plans, agreements, and other related matters required by this regulation as prerequisites for authorizing the utility to proceed with and complete the work. (b) The scope of the SHA's approval authority under the alternate procedure includes all actions necessary to advance and complete all types of utility work under the provisions of this regulation except in the following instances: (1) Utility relocations and adjustments involving major transfer, production, and storage facilities such as generating plants, power feed stations, pumping stations and reservoirs. (2) Utility relocations falling within the scope of Sec. 645.113 (h), (i), and (j), and Sec. 645.107 (i) of this regulation. (c) Each SHA is encouraged to adopt the alternate procedure and file a formal application for approval by the FHWA. The application must include the following: (1) The SHA's written policies and procedures for administering and processing Federal -aid utility adjustments. Those policies and procedures must make adequate provisions with respect to the following: (I) Compliance with the requirements of this regulation, except as otherwise provided by Sec. 645.119(b), and the provisions of 23 CFR Part 645, Subpart B, Accommodation of Utilities. (ii) Advance utility liaison, planning, and coordination measures for providing adequate lead time and early scheduling of utility relocation to minimize interference with the planned Resolution 3242 Exhibit "B" 4/28/00 http://www.fhwa.dot.gov/legsregs/directives/fapg/cfr0645a.htm FAP.G 23 CFR 645A, Utility Relocations, Adjustments, and Reimbursement Page 12 of 12 highway construction. (iii) Appropriate administrative, legal, and engineeringreview and coordination procedures as needed to establish the legal basis of the HA's payment; the extent of eligibility of the work under State and Federal laws and regulations; the more restrictive payment standards under Sec. 645.103(d) of this regulation; the necessity of the proposed utility work and its compatibility with proposed highway improvements; and the uniform treatment of all utility matters and actions, consistent with sound management practices. (iv) Documentation of actions taken in compliance with SHA policies and the provisions of this regulation, shall be retained by the SHA. (2) A statement signed by the chief administrative officer of the SHA certifying that: (I) Federal -aid utility relocations will be processed in accordance with the applicable provisions of this regulation, and the SHA's utility policies and procedures submitted under Sec. 645.119(c)(1). (ii) Reimbursement will be requested only for those costs properly attributable to the proposed highway construction and eligible for participation under the provisions of this regulation. (d) The SHA's application and any changes to it will be submitted to the FHWA for review and approval. (e) After the alternate procedure has been approved, the FHWA may authorize the SHA to proceed with utility relocation on a project in accordance with the certification, subject to the following conditions: (1) The utility work must be included in an approved program. (2) The SHA must submit a request in writing for such authorization. The request shall include a list of the utility relocations to be processed under the alternate procedure, along with the best available estimate of the total costs involved. (f) The FHWA may suspend approval of the alternate procedure when any FHWA review discloses noncompliance with the certification. Federal funds will not participate in relocation costs incurred that do not comply with the requirements under Sec. 645.119(c)(1). (The information collection requirements in paragraph (c) of this section have been approved under OMB control number 2125 -0533) Related information: Program Guide: Utility Adjustments and Accommodation on Federal -Aid Highway Projects - Table of Contents t FHWA Resolution 3242 Exhibit "b" Home I Directives I 23 CFR TOC I Feedback United States Department of Transportation - Federal Highway Administration http : / /www.fhwa.dot.gov /legsregs /directives /fapg/cfr0645a.htm 4/28/00 EXHIBIT "C" The City of Auburn's S. 277`h Street Improvements Project has reached the 95% complete design stage. The roadway surface elevations for the purpose of PSE's design work are as detailed in the 95% Complete Plans provided to PSE on July 21, 1999. More specifically, the elevation of the finished roadway surface for the UP Bridge Structure is 78.66 feet centerline elevation and for the BNSF Bridge Structure is 83.47 feet centerline elevation. Adequate clearance above these elevations is a design requirement of PSE's Work The following descriptions were prepared at the request of the City of Auburn, the descriptions of work are general and not based upon detailed engineering. DESCRIPTION OF HIGH VOLTAGE ELECTRIC TRANSMISSION LINE RELOCATIONS Four (4) transmission lines are impacted by the planned S. 277th Street Improvements and will be raised to maintain safety clearance over the new bridge structures. Three (3) of the lines are in the Puget Sound Electric Railway Right -of -Way adjacent to Union Pacific Railroad tracks. From west to east these lines are as follows: White river — O'Brien #2 115 kV line Christopher — O'Brien #4 230 kV line O'Brien — Christopher #2 115 kV line The fourth line is located adjacent to the Burlington Northern Santa Fe Railroad tracks and is as follows: White River Power 55 kV line Heights of new structures shall be dictated by the height of the new bridge(s) and the clearance requirements of the National Electric Safety Code. The two 115 kV lines and the 55 kV line are currently located on single wood poles. Raising each line will be similar and involve the following construction activities: Wood Pole Removal — The existing wood poles for two to three spans on either side of the new bridge locations will be removed (a total of approximately 12 to 18 poles) and replaced with taller wood or light -duty steel poles. The old pole holes will be filled with imported clean fill or with the spoils from the new pole holes. New Wood Pole Installation — New wood poles will be used for those locations requiring poles up to approximately 90 feet tall (height above ground). Poles will be directly installed in approximately 2 ft diameter, 10 -12 ft deep augured holes. Vibrated caissons may be used to aid in pole setting activities. The new poles will maintain the same alignment as the existing lines. Pole locations will be optimized to take advantage of pole heights and span lengths. Pole heights will be gradated to create a smooth transition between the tall span across S. 277th and the height of the existing lines. Resolution 3242 Exhibit "C" Exhibit C PSE Transmission Agreement PR 562, S. 277th Street REconstruction 1 New Steel Pole Installation — New direct embed tapered steel poles will be used for those locations requiring poles taller than approximately 100 ft. (height above ground). Poles will be directly installed in approximately 3 ft diameter, 20 ft deep augured holes. Where subsurface soil conditions require, permanent steel casings will be used to prevent hole sloughing and to provide additional lateral support to the pole. Steel poles are expected to be required for the tall spans across the new S. 277`h St. bridges — 2 steel poles per line for a total of 6 poles. The 230 kV line is currently located on approximately 100 ft. tall double circuit steel poles with steel caisson foundations. Raising the 230 kV line will involve the following construction activities: Steel Pole Removal — The existing steel poles on either side of S. 277th Street will be removed and replaced with taller steel poles. The steel poles will be unbolted from their foundations and lowered with a crane to the ground. The poles will either be placed on trucks and hauled to be reused or recycled or will be cut on site into smaller lengths before shipping. Foundation Removal — The vacated steel poles foundations will be wrecked out to ground level. The concrete footing will be demolished using a vibrating ram and the rebar and casing will be cut using either mechanical or a cutting torch. New Steel Poles Foundation Construction — New reinforced concrete foundations will be installed for the new poles to handle the greater stresses associated with taller structures. The foundation design will be selected based upon geotechnical evaluation of the subsurface soils. Foundation options include steel caisson, concrete drilled shaft, or micropile. Based upon PSE's previous experience with soils in the Kent Valley, the foundation depth will likely be from 60 to 80 ft below the ground surface. If a single shaft option is selected, the foundation diameter is expected to be approximately 6 to 8 ft. New Steel Poles Installation — The new steel poles will be approximately 130 to 150 ft tall with an estimated base diameter of approximately 4 — 5 ft. The new poles will be erected in sections and bolted to the new foundations. PSE expects two new double circuit 230 kV steel poles will be required. Resolution 3242 Exhibit "C" Exhibit C PSE Transmission Agreement PR 562, S. 277th Street REconstruction 2 rt _ O V Act ED Activity Description S.00001 S. 277th St. Relocations S00001.01 S.277tr, St Relocation: Bridge iielioml 4J BC002 'Execute Rehm:salon marmot 'S 2T7th11 fielx 1>�rn i nun' IBCOD7 Geotechnical Stuly'S277th TL Relocations I 40 OBAUGDO D2OCTOD IBCDOB ;Surveying '5ZT7rhTLRelocations I 401D8AUSOD 1320Cl0D .BC009 ;Preliminary Engineering •S277th71 Relocations 6D�D30CTOD ;26DECOO "BC010 Develop Steal Pole Spec'S277Ih TL Relocations BC071 2D'211NOV00 2D13ECOD BidrAward Steel Pole CorAracl 'S.2Tith TL Relocs B0004 .RNSF RR Approval 'SZ77th TL Relocs !BCODS 'UPAR Approval 'S277thTL Belo BCDD6 Permitting "S.27-711111_ Re oations !BC012 1Slael Pole /Anchor Boh Fab 'S277thIL Relocs 60013 'Salmi Faurrdat:cm Contractor 'S27Tih TL Relocs 20.27DEC00 24JAN01 6D?27DEaJD' 21MAR01 6E1'2713E03D' :21MARDI 6D 27DEC00' '2-MARDI 125 25JAN01 1BJUL01 • 20I24MAYD7 20JUND1 -:BC014 FourrlaUon Install 'Ctrristopher- OBrien230kV 20'21JUNDI i11JJULD1 IBC015 ;Remove Did Towers 'Chrtslopher- O'Brien 280kV i 1 19JULDf 19JUL01 3BC016' Fract New Stel Towers 'Ctnishrpher -OBrien2301cv 1 2'20JUL01 23JUL01 'BC017 Trarkoter Con [ ductor'Christopher- D'Brien 230kV 5'24JULD1 :30JULD1 iBCD1B Install New S1eeVWood Poles 'WR- O'Bren 115kV 5 31JULD1 !DuAUG01 11BC019 Inst New St1Mld Pls 'O'Brien- Christpher *2 115kV 1 5 07AUGD1 - 13AUG01 BCO20 Install New Steel/Wood Poles 'WR Power 554V 5 i14AUG01 2DAUGD1 JUL : AUG S1EP OCT NOV DEC I JAN 'Z7 / 1`atty B37 Progress Bar Critical Activity © Prirnaverd Systems, Inc. Street 1 at 1 —2nn1 - -� _IS 4Y JUN JUL AUG i$1. r :t c Puget Sound Energy Exhibit D Estimated Schedule Data Date 10JULOO Ftun Date 1 DJ U LOO 1552 C r \In 11 VI r C c C r C r C C C C C r C C C C r C C C C C C