Resolution E-4904 March 1, 2018

PG&E AL 3874-G-A/BCA

PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Agenda ID #16292

ENERGY DIVISION RESOLUTION E-4904

March 1, 2018

RESOLUTION

Resolution E-4904. Pacific Gas and Electric Company Request for Two Easement Agreements with Anton Milpitas, LLC et al. Pursuant to Advice Letter 3874-G-A.

PROPOSED OUTCOME:

·  This Resolution approves Pacific Gas & Electric Company’s (PG&E) Advice Letter (AL) 3874-G-A with an effective date of today. PG&E proposes to enter into two easement agreements (Agreements) with Anton Milpitas, LLC et al. (Parties) to permit the construction of two retaining walls to facilitate ADA compliance.

SAFETY CONSIDERATIONS:

·  This transaction will allow PG&E to meet its obligations under Public Utilities Code Section 451 to provide services that promote the safety, health, comfort, and convenience of their patrons, employees and the public.

·  There are no specific safety concerns with this transaction.

·  This approval of AL 3874-G-A will assist the Parties to comply with Americans with Disabilities Act (ADA) requirements.

ESTIMATED COST:

·  A request for authority to enter into transactions pursuant to General Order (GO) 173 requires the filing of cost information. PG&E is not collecting any use fees associated with granting these Encroachment Agreements.

·  Under the terms of the Agreements, the Improvements within the Easement Area will serve the public interest because the installation of these retaining walls will help preserve the protective ground cover over PG&E’s gas pipelines from erosion.

By Advice Letter 3874-G filed on August 11, 2017; and Advice Letter 3874-G-A, filed on September 21, 2017.

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Summary

This Resolution approves PG&E’s AL 3874-G-A, with an effective date of today. On September 21, 2017, PG&E filed Advice Letter 3874-G-A requesting approval under GO 173 and Public Utilities Code Section 851 to enter two easement agreements with Anton Milpitas. The Agreements will allow the Parties to comply with ADA requirements.

Background

On August 11, 2017, PG&E filed Advice Letter 3874-G for the approval of two Encroachment Agreements for a project located in the City of Milpitas in Santa Clara County (Project). PG&E filed Supplemental Advice Letter 3874-G-A on September 21, 2017, to make several modifications to the original Advice Letter.

PG&E is the owner of two easements for three gas transmission pipelines (L-100, L-300A and L-300B) on the two Project properties. The owners of the two properties are Anton Milpitas 730, LLC; Anton Milpitas 750 LLC; and Crocker Roseville LP (Parties) who intend to construct two separate retaining walls (Improvements) to raise and level the ground to accommodate ADA accessibility.

The Project site covers approximately 9.38 acres and would involve the demolition of all existing structures and associated pavement and the new construction of two residential buildings with a total of 582 units; 5,000 square feet of retail space; and associated improvements. The existing structures to be demolished include a vacant warehouse and a vacant 2,000 square foot building. The Owners propose to construct two retaining walls which will encroach upon PG&E’s Easement Area. The Project site is located in a flood plain and the proposed retaining walls are necessary to raise and level the ground to accommodate ADA accessibility. The two walls are 194 feet and 103 feet long, respectively.

The Project was reviewed by City staff in an Environmental Assessment that determined the Project was exempt from further environmental review pursuant to Section 15168(c)(2) of the CEQA Guidelines because it was consistent with the Final Environmental Impact Report (FEIR) – Milpitas Transit Area Specific Plan (SCH#20086032091) which was certified by the Milpitas City Council on June 3, 2008. The City Planning Commission held a public hearing on May 11, 2016, recommending approval by the City Council. The City Council held a public meeting on June 21, 2016, and voted to approve the Project subject to Conditions of Project Approval outlined in Exhibit 1 of Milpitas City Council Resolution No. 8556. Condition of Project Approval No. 17 describes in detail requirements by the Project Developer to resolve easement and encroachment issues with PG&E regarding the three pipelines and a conflicting structure. Those requirements are the subject of this Advice Letter 3874-G-A filed on September 21, 2017.

PG&E has determined that granting the Agreements will not interfere with PG&E’s ability to provide safe and reliable utility service to its customers. PG&E believes that granting these Agreements will not be adverse to the public interest; rather, they will serve the public interest because the installation of these retaining walls will help preserve the protective ground cover over PG&E’s gas pipelines from erosion.

PG&E is not collecting any use fees associated with granting the Encroachment Agreements. The Improvements within the Easement Area will serve the public interest because the installation of these retaining walls will help preserve the protective ground cover over PG&E’s gas pipelines from erosion.

Notice

Notice of AL 3784-G and AL 3874-G-A was made by publication in the Commission’s Daily Calendar. PG&E states that both AL3874-G-A and the original AL 3874-G were filed in accordance with the noticing requirements of General Order 173. In addition, PG&E provided notice for both ALs in accordance with General Order 96-B.

Protests

On August 31, 2017, The City of Milpitas (City) lodged a protest to Advice Letter 3874-G requesting revision to specific provisions of the “Termination / Restoration” clause found in Section 3 of each proposed Encroachment Agreement. On September 6, 2017, PG&E and the City reached an agreement to insert an additional clause to Section 3 of the Agreements. The City subsequently withdrew its protest and PG&E agreed to file supplemental Advice Letter 3874-G-A to ensure the Commission had a clear record to support a resolution of approval for the proposed transaction.

In addition to the protest from the City, PG&E became aware of two other necessary changes to the Agreements: First, a lot line adjustment was necessary due to a previous change in ownership; and Second, as a result of the lot line adjustment the Assessor’s Parcel Numbers (APNs) for both parcels of property have changed. PG&E submitted Advice Letter 3874-G-A on September 21, 2017, with revised Agreements reflecting all three of these changes.

Discussion

The Commission has reviewed PG&E AL 3874-G-A and the attached materials relating to the subject Easement Agreements, including the Final Environmental Impact Report – Milpitas Transit Area Specific Plan; the City of Milpitas’ Environmental Assessment Resolution No. 8556 certifying the FEIR; and the Project Conditions of Approval. These Encroachment Agreements with PG&E will allow the Project developer to comply with ADA requirements.

The Commission has determined that the documents underlying this transaction comply with the California Environmental Quality Act and are adequate for the Commission’s decision-making purposes. The Commission finds that PG&E’s AL 3874-G-A request for approval was made in accordance with the streamlined procedure adopted by the Commission in General Order 173 and Public Utilities Code Section 851. The Commission finds that the relief requested in AL 3874-G-A is not adverse to the public interest and should be granted.

Comments

This is an uncontested matter in which the resolution grants the relief requested. Accordingly, pursuant to PU Code 311(g)(2), the otherwise applicable 30-day period for public review and comment is being waived.

Findings

  1. On August 11, 2017, PG&E filed Advice Letter 3874-G to enter into easement agreements with the Parties under General Order 173 and Public Utilities Code Section 851.
  2. On September 21, 2017, PG&E filed Supplemental Advice Letter 3874-G-A to make several modifications to the original Advice Letter.
  3. The Parties propose to construct two retaining walls to accommodate ADA accessibility; these will encroach upon PG&E’s Easement Area.
  4. There are no specific safety concerns with this transaction.
  5. PG&E is not collecting any use fees associated with granting the Encroachment Agreements as the Improvements within the Easement Area will serve the public interest.
  6. The Project was reviewed by City staff in an Environmental Assessment that determined the Project was exempt from further environmental review pursuant to Section 15168(c)(2) of the CEQA Guidelines.
  7. The City Planning Commission held a public hearing on May 11, 2016, recommending approval by the City Council.
  8. The City Council held a public meeting on June 21, 2016, and voted to approve the Project subject to Conditions of Project Approval outlined in Exhibit 1 of Milpitas City Council Resolution No. 8556.
  9. Condition of Project Approval No. 17 describes in detail requirements by the Project Developer to resolve easement and encroachment issues with PG&E.
  10. PG&E believes that granting these Agreements will serve the public interest because the installation of these retaining walls will help preserve the protective ground cover over PG&E’s gas pipelines from erosion.
  11. Notice of both AL 3874-G and AL3874-G-A were made by publication in the Commission’s Daily Calendar and in accordance with the noticing requirements of General Order 173 and General Order 96-B.
  12. On August 31, 2017, The City of Milpitas lodged a protest to Advice Letter 3874-G requesting revision to specific provisions of the “Termination / Restoration” clause found in Section 3 of each proposed Encroachment Agreement.
  13. On September 6, 2017, PG&E and the City reached an agreement to insert an additional clause to Section 3 of the Agreements. The City subsequently withdrew its protest and PG&E agreed to file supplemental Advice Letter 3874-G-A to ensure the Commission had a clear record to support a resolution of approval for the proposed transaction.

14. The Commission has determined that the documents underlying this transaction comply with the California Environmental Quality Act and are adequate for the Commission’s decision-making purposes.

  1. PG&E Advice Letter 3874-G-A complies with the streamlined procedures adopted by the Commission in General Order 173 and Public Utilities Code Section 851.
  2. PG&E states that the Agreement will not interfere with PG&E’s operations or PG&E’s ability to provide safe and reliable utility services to its customers.
  3. The Commission finds that the relief requested in AL 3874-G-A is not adverse to the public interest and should be granted.

Therefore it is ordered that:

1.  The request of Pacific Gas and Electric Company in AL 3874-G-A for approval to enter into Easement Agreements for two retaining walls required for ADA compliance with Anton Milpitas, LLC is approved.

This Resolution is effective today.

I certify that the foregoing resolution was duly introduced, passed and adopted at a conference of the Public Utilities Commission of the State of California held March 1, 2018; the following Commissioners voting favorably thereon:

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TIMOTHY J. SULLIVAN

Executive Director

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