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SR-04-25-1978-11A - 414-001 / 512-004Santa Monica, California, April 18, 1978 TO: Mayor and City Council FROM: City Staff SUBJECT: Utility Relocation Agreement - Southern California Edison Company Background On July 12, 1977, the City Council, acting as the Parking Authority, authorized the payment of $7,500 to Southern California Edison Company for utility design and engineering work within the Downtown Redevelopment Project. The Edison Company has now completed the design work and estimates the total cost of relocation at $60,404.25. Once the City has vacated Second Court and Third Court between Broadway and Colorado in the Downtown Redevelopment Project, it will be necessary for Southern California Edison Company to remove and relocate existing electric lines. This relocation must occur prior to the commencement of construction of the public parking garages. Although it is the City's strong contention that the relocation activities are the Edison Company's obligation, they disagree. The attached agreement has been negotiated in order to permit the relocation to proceed expeditiously pending judicial review of the situation. The agreement has been designed so as not to prejudice the contention of either party. The agreement obligates Edison to proceed expeditiously with the relocation and requires the City to deposit, in escrow, the amount of Fifty -Two Thousand Nine Hundred and Four Dollars and Twenty -Five Cents, which Edison estimates to be the cost of the relocation. APR 2 5 1978 TO: Mayor and City Council -2- April 18, 1978 These funds would be returned to the City upon (1) the failure of Edison to complete the relocation activities on schedule, or (2) the failure of Edison to obtain a timely and favorable entry of final judgment to support their contention that they are entitled to compensation for the costs of the relocation. Recommendation It is recommended that the Council and Parking Authority jointly approve the attached resolution which authorizes the execution of the agreement with the Southern California Edison Company to relocate the utility lines in the Downtown Redevelopment Project. Prepared by: John Jalili Stan Scholl John Hemer Dennis Omoto JJ:JH:DO:mh Attachments