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15.Authorize the City Manager to enter into reimbursement agreements with utility companies under the Rule 20A program for an estimated $2,862,311 in reimbursements for the utility undergrounding and associated pro-rata share of roadway improvements. FINANCIAL STATEMENT The anticipated total expenditure for the construction, including the construction contract, project contingency, and all agreements identified in this report is $9,330,425. Under the Rule 20A program PG&E, Comcast and AT&T are anticipated to reimburse the City $2,862,311 for the undergrounding of the utilities and their share of the roadway improvements and design as they relate to trench paving, etc. The remaining $6,468,114 will be funded through Measures B and BB, TDA Grant, Sewer/Water/Storm Enterprise Funds, Traffic Impact Fees (TIF), Developer Fees, Dublin Reimbursement for Future Project Reserve and Streets CIP General Fund. See Attachment 7 for the Funding and Expenditure Summary. The Undergrounding Utility District (UUD) improvements, once accepted by the public utility companies, will be operated and maintained by the respective utility companies and will have no financial impact on City maintenance and operation costs. The cost to maintain the street, sidewalks, street lighting, and street trees will be absorbed into the normal Operations and Maintenance budget. BACKGROUND The 2002 Downtown Specific Plan discusses the reconstruction on Stanley Boulevard between Main and First streets. The street reconstruction project was designed and bid in 2008. Before award of the contract, residents of the street approached City Council and requested the project include the undergrounding of the overhead utilities. Council concurred and directed staff to design the utility undergrounding, prepare a cost estimate, and propose a funding plan so the work could be accomplished along with the street reconstruction project. A Rule 20B undergrounding district was established requiring PG&E to support the undergrounding of the utilities, but the City was to pay all costs associated with the project. However, the project was ultimately placed on hold due to funding concerns during the recession. On February 21, 2012, City Council abandoned the Rule 20B Undergrounding District, and instead created a PG&E Rule 20A Undergrounding District for Stanley Boulevard between Main and First streets. Under the Rule 20A program the undergrounding of the utilities can be accomplished with funds that are allocated to the City by PG&E on an annual basis. The source of funds is a tariff collected from all City of Pleasanton electricity customers. As of 2016, enough Rule 20A funds are available to complete the utility undergrounding of Stanley Boulevard between Main and First streets. The Rule 20A program is expected to contribute $2,862,311 toward the project, although the exact figure will be based upon the final cost. Anticipating the Rule 20A funds becoming available in summer of 2016, staff revised the plans and specifications to comply with stormwater pollution prevention requirements and the "Complete Streets" program. These two programs have come into effect since 2008 and required some significant revisions to the project construction plans. The project was Page 3 of 9