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~/ <br />Elk River -~-~ <br />Municipal Utilities <br />13069 Orono Parkway <br />Elk River, MN 55330 <br />June 22, 2005 <br />Mr. Mike Robertson <br />City of Otsego <br />8899 NE Nashua Ave. <br />Otsego, MN 55330 <br />Subject: Mississippi Shores 6`n and 7`n <br />Frontage Road Improvements <br />Dcar Mike; <br />phone: 763.441.2020 <br />Fax: 763.441.8099 <br />On June 21, 2005 you met with Glenn Sundeen and I concerning the relocation of three <br />utility poles on the above referenced project. Later that morning we also met with your <br />City Engineer, Ron Wagner. The issue is relocating overhead electrical lines vs. burying <br />the electrical system per city ordinance. We view moving three electrical utility poles for <br />a road improvement project as maintenance and is allowed under ordinance where city <br />staff views relocation of utility poles as new construction and as per the ordinance, must <br />be buried. <br />The following facts must be considered when reviewing this issue. <br />1) These three poles are in the middle of a major overhead feeder line from Elk <br />River to Dayton and to the Otsego Substation. Burying a small section of <br />electrical line in the middle of an overhead system, increases the probability of <br />electrical outages due to lightning. This particular electric feeder serves not <br />only Otsego, but also customers in Dayton and Elk River. <br />2) The cost to bury the overhead line just in the CSAII 39 & 42 areas is in the <br />$70,000 range. The delivery of the necessary equipment is in the l 2 to 14 <br />week range. <br />3) When burying an existing overhead electric system, the affected residential <br />and commercial customers will also incur expenses in replacing or modifying <br />their electrical entrance facilities. For a residence, the costs are in the $500 <br />range and for a commercial business, it could easily be in the $2,000-$10,000 <br />range depending upon circumstances. <br />