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ADOPT A RESOLUTION AUTHORIZING THE GRANT AND SALE OF A UTILITY EASEMENT TO PACIFIC GAS AND ELECTRIC COMPANY LOCATED AT 3805 POCK LANE
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RECOMMENDATION
It is recommended that the City Council adopt a resolution for the granting and sale of a permanent underground utility easement to Pacific Gas and Electric Company (PG&E) over a portion of a parcel owned by the City of Stockton located at 3805 Pock Lane (APN 179-490-63) for a new feeder to support industrial businesses in the area.
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Summary
PG&E is proposing to purchase a permanent underground easement over a portion of a parcel owned by the City located at 3805 Pock Lane (Attachment A - Vicinity Map, Attachment B - Aerial Map, and Attachment C - Easement Location). PG&E is requesting to purchase the easement so that they may install a feeder along Zephyr Street to service the surrounding area. City staff negotiated a price of $3,500 which is based on established values of similar easement dispositions by public agencies in the area. A copy of the offer detailing the acquisition is attached (Attachment D - Letter Agreement).
DISCUSSION
Background
Due to development in the immediate area, an additional feeder is needed to support the new Amazon Distribution Center and the surrounding industrial buildings. PG&E is proposing to secure a permanent underground easement from the City to supply the needed power for the surrounding developments. The proposed easement is located over a portion of a parcel owned by the City. The parcel was accepted by the City as a dedication for purposes designated as a public easement in 2004. The parcel serves as a storm water quality control feature and public open space.
Present Situation
PG&E is proposing to purchase a permanent underground easement over a portion of a parcel owned by the City located at 3805 Pock Lane (APN 179-490-63). The current action will provide PG&E with the permanent rights it needs to install a new feeder to support the surrounding industrial buildings. City of Stockton staff negotiated a price of $3,500 which equals a $2,340 increase in the original price offered to the City. The negotiated amount is based on established values of similar easement dispositions with nominal effect on use and utility of the property by public agencies such as Caltrans. Staff recommends the sale of this utility easement in the amount of $3,500.
NOTIFICATION
The Public Works, Community Development, Municipal Utilities, Police and Fire Departments and local utilities were notified of the proposed disposition of an easement at this site. There are no utilities in the proposed disposition area and no utility easement will need to be reserved over the area. On May 13, 2021, as required by the City Charter Section 510, a Notice of Intention to Grant or Sell Real Property interest was advertised in the legal notice section of The Record ten days prior to Council consideration of this action.
ENVIRONMENTAL CLEARANCE
It has been determined by the Community Development Department that this action/project is exempt from the requirements of the California Environmental Quality Act (CEQA) and is granted a “Categorical Exemption” under Article 19 and, specifically, by Section(s) 15312, Class 12 of the State CEQA Guidelines. In accordance with Section 65402 of the Government Code, the Community Development Department further determined that this activity/project conforms to the City’s General Plan Policy Document, as amended.
FINANCIAL SUMMARY
If approved, the $3,500 sale proceeds will be deposited into the Misc. Other Revenues - Proceeds from Easements account, HTE Account No. 010-0000-461.00-00/ Munis Account No. 0000-000-520001-100-000-00-00-000-000-. All advertising costs necessary to process the grant and sale of easement interests to PG&E, approximately $500, will be paid from the Publicity Account No. 6010-415-630008-100-000-10-60-000-000-.
Attachment A - Vicinity Map
Attachment B - Aerial Map
Attachment C - Easement Location
Attachment D - Letter Agreement