HomeMy WebLinkAbout2007-05-03 OPH letter to Xcel Energy,T.t 's
Cit of O
14168 Oak park Blvd. N + Box 2007 * Oak Park Heights., MN 55082 + Phone (651) 439 -4439 . Fax (651) 439 -0574
May 3, 2007
Mr, John Wei tis
Xcl Energy Corporation
1700 East County Road
White Bear Lake, MN 551
RE: Burial of Distribution Lines — South Frontage Road STS 36 -
Dear Jolni:
Recently, you have been contacted b Manley Land Development requesting that X el Energy calculate an
esti�na�ted price to bury the distribution lines that currently lie i the south frontage road off' NTH 36, also
k nown as 60` Street North. Pursiiant to that request, X el Energy has responded by declining to provide
cost estiirrte for such burial.
While it may be true that there are not immediate or even foreseeable plans to bury these distribution ution lines
at this time, the City of Oak 'ark Heights is currently discussing many issues with MNDOT related to the
STS- 36 reconstruction project as it relates to numerous improvements is in the corridor between Norrell Ave
and the St. Croix River to the cast. A veiy legitimate item for the City to contend with as part of the ST
36 project or f om other community enhancement ent perspectives), is the possibility oft the burial of these
lines, or a portion thereof, as such burial will significantly enhance the visual quality of this corridor.
Should the STII 36 project actually come to pass, the City would certainly hope that the costs to bury such
lines would be included as part of the funding mechanisms as provided by the State of Minnesota or other
federal allocations. However from a pure planning perspective, the City is undertaking steps to also
incorporate other financial tools should these state, or other funds, not become available. Accordingly, at
this time the City Is seeking a written commitment t from Manley Land Development that they will not
object to a special assessment for what their share of these costs may ultimately he. This would assume an
assessment process based on frontage Feet.,
U nderstandably, they have asked Xc l Energy for a cost estimate so that they can appropriately address and
plan for these possible futur financial liabilities. Given this perspective, a full -blown design study is not
needed at this tine as may have been interpreted from Manley's request. Instead, a good - faith, reasoned
estimate is all that is needed so that Manley can communicate effectively with its lender.
Ideally, ifX el can provide such estimate to include facilities from Norell. Ave. to Oakgreen Ave
approximately 2,500 feet, (see attached map) City can at least in part provide a better cost estimate to
Manley. Certainly, the costs that Xeel may provide under this request will not provide any commitment or
guaranty, , but will only serve to move the above conversatioD forward.
If y ou would please let me know if yo are able to provide this reasoned cost estimate. Your help is
appreciated.
st
Eric ,fix,
CityAcorninistr for
Cc: Tom Mo lvee ., Maiifey Lard Development
Mark Vierlin City Attorney
City Council Members