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11 MCAS UTILITY FEAS. 03-16-98
AGENDA DATE: Inter-Com NO. 11 3-16-98 MARCH 16, 1998 TO: FROM: SUBJECT: WILLIAM A. HusToN, EXECUTIVE DIRECTOR REDEVELOPMENT AGENCY STAFF UTILITY FEASIBILITY STUDY FOR MCAS TUSTIN RECOMMENDATION Receive and File. FISCAL IMPACT Due to the fact that staff will not be seeking specific direction from the City Council at this time, no fiscal impact at this time. During the coming weeks, staff will be seeking additional City Council input as to how to proceed. BACKGROUND/DISCUSSION Marine Corps Air Station (MCAS) Tustin is scheduled to close in July 1999. Utility systems serving MCAS Tustin have been installed and are owned by the military. Federal law provides local jurisdictions responsible' for planning and implementing economic redevelopment of closing bases an opportunity to obtain existing utility systems serving the installation. The City of Tustin has been recognized by the federal government as the Local Redevelopment Authority (LRA) responsible for MCAS Tustin. In anticipation of this possibility, the LRA identified the potential transfer of certain utility systems as part of a furore Economic Development Conveyance. The request for transfer was included in the Reuse Plan/Specific Plan for MCAS Tustin approved in 1996. The current Reuse Plan/Specific Plan request for transfer in no way obligates the City to commit to ownership of these facilities but simply acts as a "placeholder" in the event that the City decides to acquire these systems sometime in the near future. William A. Huston Utility Feasibility Study f°r MCAS Tustin March 16, 1998 Page 2 Due to realignment of troops and staff support from MCAS Tustin to other bases, the Marine Corps has indicated an interest in early release of the existing utility systems. In response, the City retained'the consultant services of Resource Management International (RMI) to determine the general condition of the electric, natural gas and telecommunications systems at closing Marine Corps Air Station (MCAS) Tustin and to provide an assessment to the City of its potential options, benefits and liabilities regarding the future ownership and operation of these systems. Water and sewer ownership and operation was not considered since the City has formally released both utilities to the Irvine Ranch Water District (IRWD) in return for a commitment to service the closing base and a commitment to assist us in acquiring the necessary funds to design and construct the new water and sewer "backbone" system needed to serve redevelopment of the base. Staff is forwarding to the City Council the findings and conclusions provided to the City by RMI in the attached report entitled Utility Feasibility Study for MCAS Tustin. The report concludes that ownership and operation of the .various utility systems could represent significant "start-up" costs and liabilities. However, the report also concludes that ownership and operation of the systems could result in significant net profits. While the report is being provided to you at this time for information only, staff would anticipate more detailed negotiation discussions with the City Council in future closed sessions. Christine A. S.hingle~~~ Assistant City Manager DO :ccreporth-rni Attachment: Utility Feasibility Study for MCAS Tustin Dana O,~on Senior Project Manager UTILITY FEASIBILITY STUDY "FOR MCAS TUSTIN" t PREPARED FOR: The City of Tusfin RMI Rmsotmc~ I~IANAGEMENT INTERNATIONAL, INC. TABLE OF CONTENTS 7~ UTILITY FEASIBILITY STUDY "FOR MCAS TUSTIN' SECTION PAGE 1. INTRODUCTION ............................................................................................................ 1-1. 1.1. Scope .................................................................................................................. 1-1 . ELECTRIC SYSTEM ............................................................................................ ~ ............. 2-1 2.1. General Description .......................................................................................... 2-1 2.2. System Condition ............................................................................................. 2-1 2.2_1. Substations ......................................................................................... 2-2 2.2.Z Distribution Lines .............................................................................. 2-4 2.2.3. Transformers .......................................... : ........................................... 2-5 7_2.4. Conduits ............................................................................................. 2-6 ZZS. Poles .................................................................................................... 2-6 2.2.6. Delivery Points ................................................................................... 2-7 2.7-7. Street Lights ........................................................ . ............................. 2-15 2.3. Maintenance and Repair Needs ....................................... : ............................ 2-15 2.4. Upgrades to Reduce Maintenance Costs ...................................................... 2-17 2.5. Future Needs for Exis.ting System .............................................................. ~..2-18 2.6. System Operation and Maintenance ............................................................. 2-19 2.7. Asset and Future Capital Needs ................................................................... 2-20 2.8. Electric Energy Supply and Transportation Options ~ ............. , ................... 2-21 2.8.1. Transportation to the MCAS-Tustin .............................................. 2-21 2.8.2. Energy Procurement Options ......................................................... 2-22 2.9. Electric Utility Options at MCAS-Tustin ....................................................... 2-23 2.10. Profitability to the City of Tustin .................................................................. 2-30 2.11. Recommendations and Conclusions ............................................................ 2-35 . NATURAL GAS sYSTEM ......................................................... ~ ........ : ............................ 3.1 3.1. General Description .......................................................................................... 3-1 3.2. System Condition ............................................................................................. 3-1 3.3. Condition and Capacity ................~ .............................. ~ ........... ~ ..... ~ ................. 3-4 3.4. Cathodic Protection System ........................................................ , .................... 3-5 3.5. High Pressure vs. Low Pressure ...................................................................... 3.5 3.6. Analysis Model .............................. : .................................................... ............... 3-6 3.7. Asset and Future Capital Needs ................................................ : ................... 3-8 3.8. Natural Gas Supply and Transportation Options ....... , ................................. 3-9 3.8.1. Transportation to MCAS-Tusfin ...................................................... 3-9 3.8.2. Gas Procurement Options .............................................................. 3-10 3.8.3. Combined Gas and Electric Commodity Supply ......................... 3-10 3.9. City of Tustin Gas D/stn~oution SYstem Operation ...................................... 3-11 3.9.1. Operations and Maintenance Requirement ..................................3-11 TABLE OF CONTENTS 3.9.2. Capital Improvements - System Extensions, Reconstruction, Capacity Reinforcement ............................ . ........ 3-12 3.9.3. Gas Distribution System Work Performance Options ................. 3-12 3.9.4. Other IssUes to be Considered ....................................................... 3-13 3.9.5. Other Potential Benefits .................................................................. 3-13 3.10. Gas Utility Options at MCAS-Tustin ................................................ ' ....... :~.3-13 3.11. Profitability-of a Municipal-Owned Utility ........................................ : ....... 3-20 3.12. Natural Gas System Recommendations/Conclusions .............................. 3-24 4. TELECOMMUNICATIONS AUDIT AND EVALUATION ..... ; ................................... 4-1 4.1. General Description .... ...... : ............................................................................... 4-1 4.2. Overall Condition - Conclusions and Recommendations ............................. 4-1 4.2.1. Parcels 34, 35, 36, 37 (Housing east of Jamboree Road) ................. 4-1 4.2.2. Parcels 23 and 24 (Housing area west of Jamboree Road) ....................... ' ...................................... ' .... 4-1 4.2.3. Parcels 1, 2, 3, 19, 21, 22 (Learning Village and Transitional/Emergency Housing).' ....................................... 4-3 4.2.4. All other Parcels west of Jamboree Road ............. ~ .......................... 4-3 4.2.5. MDF (Main Distribution Frame) 'Maxi-Hut' .................................. 4-3 4.2.6. Pacific Bell'Network Service ............................................................. ~ ~ 4.3. Condition and Capacity ................................................................................... 4-4 4.3.1. Review of Studies and Actions Complete to Date .......................... 4-4 4.3.2. Frame ................................................................................................... 4-4' 4.3.3. Cable ............................................... ' ...................................... ............. 4-6 4.3.3.1. Pacific Bell Network Cable .... · .................................. ~ .......... 4-6 4.3.3.2. Base Distnq~ution Cable Ownership, Records, and Concerns ...................................................................... : .............. 4-7 4.3.3.3. Distn~oution Cable ................................................................ 4-9 4.3.3.4. Other Information ............................................ ' ................ 4-12 4.3.3.5. Inside Wire ........................................................................ 4-12 4.3.4. Manhole and' Duct Systems ............................................................ 4-13 4.3.5... Poles and Ancillary Equipment ..................................................... 4-16 '4.3.6. Current Hardware and Software Clife expectancy) ....................... 4-16 4.3.7. Tnmk Limitations ............................................................................ 4-17 4.3.8. Upgrades of Private Lines to Business ' . ......................... 4-17 4.3.9. Transitioning Existing End User Systems to Alternatives That Yield Increased Capacity and Revenue .............................. 4-17 4.4. Development of Integrated Services Digital Network (ISDN) ....... , ........... 4-18 4.5. Operations and Maintenance (O&IV0 ~ .......................................................... 4-18 4.6. Asset and Future Capital Needs ................................................................... 4-20 4.7. Telecommunications System Options at MCAS-Tustin ............................... 4-24 4.7.1. Extend Pacific Bell Franchise to the LRA ....................... , ............... 4-24 4.7.2. City Assumes Operation and Becomes an Exempt Telephone Utility .................................................................................................... 4-24 4.7.3. City to Construct Infrastructure and Competitively Bid Service Partnership or Franchise ................................................................. 4-25 4.7.4. CATV Options to the City ............................................................... 4-26 4.8. Profitability to the City of Tustin .................................... ~ ............................. 4-27 TABLE OF CONTENT~ 7-_¸ 4.8.1. Analysis of Revenue Sources the Telecommunications System Presently Has and Potential New Sources Available in the Future ................................................................................................ 4-27 4.8.1.1. Residential Phone Line Revenues ................................... 4-29 4.8.1.2. Business Telephone Lines ................................................ 4-30 4.8.1.3. Dedicated Data Line Revenues .......................... : .......... :L4-31 4.8.1.4. Summary of Predicted Telecommunications Revenues 4-32 4.8.2. Franchise Fee Revenue Model ......................................................... 4-32 4.8.3. Analyze Duct Bank Leasing as a Possible Revenue Source for the City ............................................................................................. 4-34 4.8.4. Analyze Future Need/Benefit for Fiber Optics as a Possible Revenue source for the City ................................................ : ........... 4-36 4.9. Telecommunication System Recommendations/Conclusions .................... 4-39 5. CONVEYANCE METHODS AND cRITERIA ..... ' ......................................................... 5-1 5.1. Conveyance Criteria ......................................................................................... 5-1 5.2. Conveyance Option's ........................................................................................ 5-1 5.3. System Valuation .............................................................................................. 5-1 5.3.1. Electrical Distribution System ........................................................... 5-2 5.3.9_ Gas Distribution System ................................................................... 5-2. 5.3.3. Telephone System .............................................................................. 5-2 5.4. Financial Resources of the Applicant ........... . ................................................... 5-2 5.4.1. Electric Utility System ............................................ :.., ........................ 5-3 5.4.2. Gas Utility System .............................................................................. 5-3 5.4.3. Telecommunications System ............................................................. 5-3 5.5. Economic Development Conveyance .............................................................. 5-4 5.6. Competitive Bidding ................... , ..................................................................... 5-4 5.7. Negotiated Sale ..................................................................................... : ............ 5-5 5.8. Public Benefit Conveyance ................................................................................ 5-5 LIST OF APPENDICES EXTENDED OUTAGE REPORTS ................................................................................. A-1 PHOTOGRAPHS ............................................................................................................. B-1 LISTING OF TRANSFORMERS ..................................................................................... C-1 LETTER FROM PACBELL TO MCAS TUSTIN ........................................................... D-1 LIST OF FIGURES Figure 2-1 Figure 2-2 Figure 2-3 Figure 3-1 Figure 3-2 Figure 4-1 Figure 4-2 MCAS Electrical Service From SCE ............................................................... 2-3 SCE Electrical Service Points (Existing) ......................................................... 2-9 MCAS-Tustin- Electric Utility Feasibility ................................................... 2-25 SoCal Gas Service Points (Existing) ............................................................... 3-3 MCAS-Tustin- Gas Utility Feas~ility ...... , .................................................. 3-15 Telecommunications - Major Cable Route (Existing) ................................... 4-2 City of Tustin- MCAS .................................................................................. 4-23 TABL.E OF CONI'ENTS Table 2-1 Table 3-1 Table 3-2 Table 3-3 Table 3-4 . Table 4-1 Table 4-2 Table 4-3a Table 4-3b Table 4-4 Table 4-5 Table 4-6 Table 4-7 Table 4-8 Table 4-9 Table 4-10 LIST OF TABLES MCAS-Tustin- Electric system Pro Forma Statement .......................... :.2-32 Natural Gas Master Meter Characteristics..., ............................................. 3-2 Natural Gas System Phased Costs and En.ergy Sales ............................... 3-7 (Case 1) Natural Gas Analysis Model (RFP Gas) for Annual Revenue.3-22 (Case 2) Natural Gas Analysis Model (SoCalGas Pricing) for Annual Revenue ....................................................................................................... 3-23 Data'Available From Manhole Records (Partial) ..................................... 4-15 Road Section Buildout by Phase ................. ~ ............................................. 4-21 Residential Line and Revenue Forecast_ ........................ , .......................... 4-29 Residential Line Monthly Revenue by Phase .......................................... 4-30 Commercial/Industrial Floor Area Square Footage by Phase ........... .....4-30 Commercial/Industrial Telephone Line Forecast by Phase ................... 4-31 Commercial/Industrial Telephone Line Monthly Revenue Forecast by Phase ......................................................................................................... :.4-31 Gross Originating Telecommunications Revenue Summary.~ .......... 4-32 Telecommunications Duct Bank and Vault Construction Estimate ...... 4-35 High Speed Data Demand in Commercial Areas ........ , ........................... 4-38 Telecommunications 48 Fiber Cable Construction Estimate .................. 4-38 le INTRODUCTION · Resource Management International, Inc. CI~VII), was retained by the City of Tustin (Tustin) · to perform a utility feasibility study related to facilities on the Marine Corps Air Station (MCAS), Tustin. RMI has reviewed the 'electric, natural gas, and telecommunications systems with the o~ective to determine the general condition of the systems based on information 'that could be obtained, and to provide an assessment to Tustin of its options regarding these three utility systems. For the purposes of the study, it was assumed that each of the three utility systems will eventually be transferred from the Marine Corps to another entity. The three local utility suppliers, Southern California Edison, Company, (SCE); the Southern California Gas Company, (SoCalGas), and Pacific Bell Telephone Company (PacBell) all provided information to the City's consultants to assist in the preparation of the Specific Plan/Reuse Plan, and in the case of each utility system it was assumed that the existing system would be abandoned, and replaced with a new system tailored to meet the changing requirements · on the converted military base. RMI has provided comments on the possible reuse of the existing systems in this report. RMI has revieWed .the available materials, and provides in this report its analysis of the systems, and recommendations regarding actions to be taken by Tustin. For reference, this report uses the neighborhood and parcel designations'from the October 1996 "MCAS Tustin Specific Plan/Reuse Plan" to refer to specific areas. 1.1. SCOPE The Scope of Work for the RMI study for this report included the following activities: a. Review of background materials b. Analysis of available conveyance alternatives c. Review of asset and future capital needs for each utility RMI sent a team of consultants to the MCAS Tustin to review the three Utility systems, and to ascertain the condition of each of the'systems. The team ran into a number of obstacles in obtaining certain information, including the unavailability of certain historical data. Some of the conclusions in this report are based on industry standards and general experiences on different closing military bases. This report includes sections on the electric system, the .natural gas system, and the telecommunications system~ Sections on conveyance methods, along with asset & future capital needs are addressed separately in each section. 1-1 e ELECTRIC SYSTEM · ,o 2.1. GENERAL I)ESCRnr~oN The electric system on the MCAS is served by SCE from SeE distribution lines located on Red Hill Avenue, Barranca Parkway, Edinger Avenue, and Warner Avenue. The feeder from Red Hill is constructed as an overhead wood pole line, and the feeders from Barranca, Edinger, and Warner have been installed underground. Both feeders are 12- kV. Part of MOAS is 'served at 12-kV, and part is served from 12-kV to Z4-kV step- down substations. Services from SeE and MCAS to individual buildings are accomplished fl~rough use of both overhead-and underground facilities. The distn'bution system is similar to those found on many Marine Corps installations as well as in many cities. 2.2. SYSTEM CONDITION The existing electrical distribution system is considered to be "functional" for purposes of providing service to the 'existing 2 megawatt load at MCAS. It is presently serving the current needs of MCAS with only a minor number of system outages. Seven major electrical system outages were reported to RMI that occur?ed to the MCAS system between August 1996 and May 1997. All outages were caused by faulted electrical lines external to the MCAS. This includes faults due to problems on the SeE system serving the base and on external systems interconnecting with the SeE. None of these major outages were caused by the electric utility system on MCAS. A description of .these "major" outages is included in Appendix A. This list was obtained from the MCAS utility operating staff. It can, therefore, be assumed that the existing system can be used to serve the immediate needs of base reuse demand having similar load characteristics and proffies. This allows the City some flexx'bility in working within any constraints placed on the base reuse funding program. The City must realize, however,'that the existing system capacity is sized to serve only a small load compared to the total electrical load associated with the development anticipated by the MCAS-Tustin Specific Plan/Reuse Plan. The programmed load increase planned for Phase I is of sufficient capacity (8 MW) to require the careful review, planning, and construction of the new 12-kV distribution system facilities. Phase II development up to a total area load of 25 MW, and the follow-on PhaSes III, IV, and V load growth to 52 MW, reinforce the need for an upgraded electrical clistn'bution system. Design of.modem industrial parks and.planned unit developments such as that proposed in the Specific Plan/Reuse Plan requires consideration of a 12-kV system due to system losses evaluation and, more importantly, optimal sizing and operation of system components.' A 12-kV system is the most economical design that should be considered for a system having a capacity of 25-52 MW. The number of feeders, utility service points, receiving station transformer capacity, system protection, and operational requirements determine the optimal service voltage. 2-1 2.2.~. Substations There are two main substations serving the MCAS, Substations No. 1 and 2, along with a number of pad mounted unit switchgear cubicles and pad mounted transformers serving local areas of the base. The SCE service points and buildings served are shown on the following one-line sketch, Figure 2-1. In addition, a site map, Figure 2-.2, is provided showing the location of the existing points of service .relative to the proposed redevelopment plan. The substations described below correspond to SCE points of service listed on the utility service point summary included under delivery points in this section. There are eight delivery points where the MCAS has ownership of facilities, plus one additional service point near Edinger where MCAS has no facility ownership. The simplified single line diagram, included at the end of this section, shows the SCE points of service and delineation of ownership between MCAS and SCE. The subsequent site plan shows the relative location of each SCE point of service, meter data, and reference'to photographs included in Appendix B. The substations and the additional service point are further described below. The west area of the base is fed by Substation No. 1 and the .two .Substation No. 1 expansion sites. Substation No. 1 is a ground mounted Substation surrounded by a high wall that includes both 12-kV feeders as well as a step down transformation from the SCE 12-kV delivery voltage to 2.4-kV. The substation site is owned by the Marine Corps, however, SCE owns the three single phase, 1,250-kVA step-down transformers.. The Substation No. 1 expansion sites are two' additional 12-kV service points tapped from the single SCE 12-kV circuit feeding the west 'side of the base before the line connects to Substation No. 1. At Substation No. 1 the MCAS currently takes service and is. metered at 2_4-kV. There are ten 2_4-kV circuits fed from Substation No. 1. This station provides service to the majority of the electrical load at MCAS. One of the circuits connects to Building 27, in which there is a generator that has not been run, but that was purchased and installed to allow service to MCAS load. The generator was not put into service initially due to coordination and system protection problems with SCE. Subsequently, power reliability to various buildings throughout the base was addressed on an individual basis. It was determined by the MCAS facilities management office that the generator was no longer, required and that further expense of funds and efforts to convince SCE to allow its interconnection were not required. There are two (2) 12-kV switchgear lineups comprising the Substation No.1 Expansion sites. Each contains SCE revenue metering. One provides service to a 12-kV circuit feeding Buildings 161, 253 and 523. The other provides service to a 500-kVA transformer serving Buildings 245 and 246. The 500-kVA transformer is owned by the base with SCE metering located on the 12-kV side of the transformer. 2-2 o Zo OZ ~ z z oo ~ ~ wo Z~ ~0 oZ ~o w~O II! Z LU w ~ z _.oo~ .o Substation No. 2 is a pad mounted switchgear cubicle that serves two circuits of load at 12-kV. There is also a 1500-kVA transformer bank that steps down the delivery voltage to 2-4-kV for one circuit to two transformers that serve building 190. The transformer bank is owned by SCE and metered on the low voltage side of the transformer. The MCAS, in turn, owns the 1000-kVA (LCA) and the 500-kVA (LCB) transformers located at Building 190. The transformers convert 2.4-kV to Iow voltage for building service'.' There are four other SCE delivery points to load located on MCAS serving localized building loads or residential housing areas. The delivery points a_re shown on the map at the end of th~ section. There are two (2) service points comprised of 12-kV switchgear cubicles and a meter, one north of and one south of Warner Avenue just east of-the Peter's Canyon Channel. Each is considered one of the four remaining 12-kV service points. These cubicles serve the adjacent housing areas through underground cabling from pad mounted transformers. Each housing area is metered as a single point of service. Residential units in these areas are not metered and billed individually. There is one additional service to building 212 from a Barranca Avenue and Armstrong Avenue. This an underground source from electrical service equipment owned by SCE. There is also an underground service across Barranca in the area of Von Karman Avenue to serve the US Armed Services Reserve Center. 'This electrical service is also owned by SCE. An additional electrical service is located at the Northwest comer of the housing area (Parcels 23& 24) adjacent to Edinger Avenue. This provides service to Tustin Villas. The electrical distn%ution system and metering in this housing area belongs to SCE. MC, AS has no electrical system ownership interests in this area of the base. The individual units receive metered service from the utility. Billings for all the housing units are grouped into a single billing and submitted to the. MCAS. Originally, the MCAS intended to monitor individual energy' consumption of internal uses. The actual practice and benefit of this arrangement was never implemented by the Marine Corps. The billings were simply paid as a group by MCAS. In 'the event the City decides to take over electrical service to the base area, city-owned points of service should be established with electric service provider metering. 2.2.2. Distribution Lines The distribution lines on MCAS are generally located along the streets within the MCA$ Tustin boundaries, and provide either overhead or underground service to the MCAS buildings. Both 12-kV and 2.4-kV services are utilized. The condition of the overhead lines is functional The underground lines could not be inspected, but RMI was advised by representatives at E1 Toro that the underground services were serving their intended purpose without excessive failures. Data on the cables was not available from MCAS. The Specific Plan/Reuse Plan addresses the distribution lines in a fairly general manner. It indicates that the existing system is being served from points of service interconnecting wifla SCE (section 2.2.6) and that it will essentially require the construction of a new underground clistnq~ution system to the serve the planned load. The conclusion was that the existing system,, including distribution lines, would likely not be able to be reused in the reuse plan. This analysis was done, similarly, .without benefit of an accurate inventory of the existing distribution lines and system. Currently, the distribution lines are routed to exclusively provide service to the unique configuration of the military base. Upon inspection of the outage records for the MCAS-Tustin electrical system, it'was learned that the only major outages in recent years were caused by supply-side system outages. These are outages occurring on the SCE and western United States grid system. In addition, our cursory observation of the oVerhead lines and their condition did not indicate any gross inadequacies. The 12kV SCE utility service, points are of adequate capacity to supply the foreseeable future needs of the military base area. To assure service reliability, the serving utility (SCE) would typic~y provide these service points with multiple means of service through the SCE system. The ultimate distribution of customers on the MCAS Tustin base area would dictate design of any lines required to.provide backup capability within the base area itself. It is our opinion that the existing distribution lines can support the Phase I development based upon reuse of many of the existing facilities and/or construction of .any new facilities in locations that can be served by the existing distribution lines. However, it is important to note that these lines will be of extremely limited value to the long-term development (Phase II and beyond) of the anticipated load at MCAS Tustin, except where there may be coincidentally similar service requirements. Use of any existing overhead distribution lines would have to be evaluated on a case by case basis, depending upon the type and distn~vution of the development being undertaken. Underground distribution lines running throughout the base are currently routed in a manner that uniquely serves the military use of the base and would only serve a load distribution reflecting the existing layout Detailed inspections would have to be conducted to verify conductor spacing and adequacy of space 'to allow safe working conditions. These are the key inadequacies that have made other military base systems require extensive upgrades to meet current utility code requirements.. Also, the lines are not routed in a manner that would facilitate the electrical distribution through the later phases of development. If the detailed conditions were knoTM, it could be important in establishing, the fair market value of the systen~ It could be said, however, that the overhead lines on the base have significant 'short term value, but minimal long term value, taking into account suspected normal inadequacies descnZ~l above and the fact that re-routing will be necessary anyway. 2~2.3. TranSfOrmers Both pad mounted and overhead distribution transformers are utili?ed to step the distn~oution voltage down to a level usable in the MCAS buildings. Both three-phase and single-phase transformers are in service. The transformers have been tested for polychlorinated biphenyl's, (PCB's), and the majority of the PCB contaminated 2-5 transformers have been removed. Some transformers remain that should be removed from service because they contain a level of PCB's. The Marine Corps indicated that all PCB contaminated transformers requiring removal and disposal will be removed from service prior to the City taking ownership of the air base facilities. Transformers are not normally serviced unless there is a failure. Spare transformers are not kept as stock items, and replacement transformers are bought as the requirements dictate. " RMI was advised that there were 186 transformers on MCAS, and that data on each transformer was available, on a transformer data Card. The data card lists pertinent information regarding manufacturer, primary and secondary voltages, gallons of oil, taps, building location, substaf/on circuit, pad number or pole number, weight, serial number, PCB content, along with grid location. A listing of the transformers on MCAS is included in Appendix C. 2.2.4. Conduits The conduit system at MCAS was constructed to specifically provide electrical service to loads as they were developed. The system is not of significant value in support of planned development program as 'envisioned under the base reuse program.. There was a 12-kV conversion project initiated in 1985 under which a network of new conduits was installed interconnecting existing and new underground vaults to facilitate the conversion of the 2.4-kV system to 12-kV. The project was stopped after the installation of the manholes and duct banks associated with the project The project was stopped due to a disruption of the funding cycle at MCAS Tustin. The acquisition of supplemental fundingwas then interrupted (or impacted) by the base closure process. The project was never completed, The duct banks which were installed were a combination of 2 and 4 duct arrangements, and according to the drawings, were constructed to normal utility standards. .Past Construction of underground duct banks was done generally in conformance with current construction standards and techniques. Most conduits are 4 inches in diameter. This size is consistent with the requirements for the 12-kV distribution system which will ultimately serve the Specific Plan/Reuse Plan. All of the conduit at the base, except in established housing areas, can only be applicable to the base Specific Plan/Reuse Plan by coincident location with new roads and streets. The integrity of the existing ducts can only be assumed. Older ducts have to be roddecl and cleaned to verify their use in the Specific Plan/Reuse Plan. 2.2.5. Poles The poles are used by the electric system, the telecommunications system, 'for street lights, and for the cable TV franchise. Poles have been installed throughout the history of the base, but no records are available relating to age, type, or condition of the poles. With the exception of the 1985 12-kV conversion project, MCAS Tustin has never benefited from a formal electric distribution system upgrade. The majority of the existing system is between 20 and 40 years of age. It is evident that there has never been a formal inspection and/or treatment program implemented by the Marine Corps. 2-6 The remaining life of the poles is unknown without a wood pole testing and treatment program. However, the poles will most likely serve the 2.4-kV system requirements through several years. The 12-kV underground distn~bution plan programmed in the Specific Plan/Reuse Plan will require the City to discard these polesand that the future electric service provider will need to coordinate with PacBell and the cable television company with regard to existing pole attachments. There are a number of trees albng the streets in the vicinity of the poles that must be trimmed to avoid contact with the energized power system conductors. 2.2.6. Delivery Points. There are eight major delivery points (detail provided below) to facilities located on MCAS as previously noted. Each delivery point contains kilowatt-hour metering equipment. The utility bills do not indicate any kilowatt demand registers. For this reason our representation of demand information in this report is based upon calculation of demand for energy charges using valid assumptions of base operating hours. MCAS is billed based on the usage recorded on each of the meters. Seven of the meters appear to be billed on the GS - 2 rate, and the meter at the substation location at the TOU- 8 rate. Electric Meters SCI5 OLD St;ti Location No. Budding Meter No. Account No. Rate Barranca Ave 1 212 70276-001781 52-29-163-8700 GS-2 _ Red Hill @ Bo_Il 2 P7144302540 52-29-163-8120 GS-2 Pm-~t of Red Hill @ Bell 3 245&246 PT14-(K)2095 52-29-163-8102 GS-2 Sub 1 4 P264-600 52-29-999-8500 TOU-8 Sub 2 5 P714-000993 52-29-163-8108 GS-2 S. Warner & HarVard 6 P0801-005199 71-43-109-0470 GS-2 N. Warner & Hsrvard 7 P0254-010511 71-43-999-0470 GS-2 US Armed Services 8 P601-000601 52-29-163-8200 . GS-2 Reserve Center A review of the billing information for electrical services from SCE was performed. Detailed electrical load information from one year's billings was available, and relates to meter number P264-000600. This is the meter located at Substation No. 1. This meter represents the greater majority of the load at MCAS Tustin. Summary charts of MCAS load information at Substation N0.1 are shown in Charts 2.2.6-1a and lb, and 2_2.6-2a and 2b. The remainder of the base electrical demand is comprised of the load at Substation 2 and the other metering points which represent a small portion .of the electrical load. The other major bills from SCE for MCAS electrical services record usage for 307 accounts. These accounts are broken down as follows to SCE rates: PA-l, 1; OL-1, 1; GS22, 2; GS-1, 14; TOU-8-P, 4; TOU-GS2B, 1, and 284 Domestic accounts. The electrical demand is not shown on the billings. The total dollar amount for the period examined is shown in Chart 2.2.6-3. This is the only means available to 'calculate the base-wide 2-7 SYSTEM demand. RMI estimates 'the total base load is approximately 2 megawatts. The load will essentially be surpassed by the proposed development in ~onjunction with the base reuse. The importance of knowing the present load is that the existing distribution system can support a portion of the Phase I load which at build-out in 2001 is estimated at 8 MW, but cannot support the entire reuse development. This substantiate.s, the development of the 12-kV distribution system. The existing system will only serve a portion of the Phase I load. Tustin Villas is served electrical power by SCE and each unit is metered independently. These billing are provided to MCAS in a grouping. The Government's original intent was to use the individual metering to allocate billing or to monitor energy usage. The base never followed though on this intent. 2-8 0 ® ® w © 0 Z ~ LU LU .{ LIJ ELF_,C'~C S'YS'T'E~ The following chart, Chart 2.2.6-1a depicts data from 1996 bills to the Marine Corps from SCE for kilowatts of demand at Substation No. 1. As can be seen in the chart, the KW demand varies from a low in April of 1,158-KW, to a high in September of 1,555- KW. CHART 2-2.6-1a lC~30 Kilowatt Demand - 1996 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Month 2-10 ~C SYSTEM Chart 2.2.6-1b depicts the costs for the kilowatts in Chart 2.2.6-1a. The April costs are $3,937, and the September costs are $42,033.' Chart 2.2.6-1b 45OO0 25OO0 15O0O 1OO0O Demand Costs - t996 Jan Feb Mar Apr May Jun Jul Month 2-11 SYSTEM Chart 2.2.6-2a depicts the kWH energy data for the same bills as the demand data, however, Seven months of bills did not have the energy data included on the bill as shown in Chart ZZ6-1b. Cha~ 2.2.6-2a 7O00OO Substation No 1 Energy Data 'Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Month 2-12 EI..F_,CTR.IC SYSTEM Chart 2.2.6-2b depicts the energy cost data for the same bills as also shown in Chart 2.2.6-1b, however, the cost data for all months was included on the bills, and is included in the chart Chart 2.2.6-2b ,Substation No 1 Energy Costs 35OOO 15O00 10OOO J~t Feb Mar Ap~ May Jun Jul Aug Sep Month Oct Nov 2-13 The MCAS receives two major bills, one for energy provided to Substation No. 1 and another for Substation No. 2 and the six other points of supply. There is no totalized billing provided to the base, therefore, cumulative monthly billing data was not available.'. Based on the review of two year's billings, RMI has developed an estimate of the total load. Chart 2.2.6-3 indicates an estimate of the total costs by month for a ,. typical year, along with the cumulative costs. Chart 2.2.6-3 300,000 Estimated Monthly & Cumulative Power Costs · --~--Cumu~ I~l~ng Dalai 2-14 ~c SYSTEM The total annual costs of power presently utilized by MCAS totals to about $2,250,000 exclusive of operation and maintenance costs. This total is utilized to estimate the initial electrical system requirements for MCAS-Tustin should the City of Tustin assume the operation of the electrical system while the base is still functioning in its shutdown mode until 1999. ; A spreadsheet is included .as part of section 2.8 which indicates the estimated costs needed for Tustin to operate the electrical system on the MCA$. These six lights are located in the area just east of Redhill in the parking areas for buildings 133, 213, 177, 227, and 135. 2.2.Z Street Lights No records on the street light system are available, but RMI observed that the system had been converted from a series circuit to multiple operation. Both high pressure sodium and mercury vapor lights are used. One of the major items of electriCal system maintenance was response to "street light out reports." Based on the billing information obtained, it appears that there.are six street lights provided by SCE that are billed to MCAS. SCE now provides service to the street lights in the northwest housing area, but the street lights are owned by the Marine Corps. 2.3. 1VIAINTENANCE AND R~Am NEEDS The electric system as it presently exists contains some infractions of the California electric codes CZ)-95, and GO-128. Examples of infractions include: facilities that are idle that have not been removed,' and utility vault entrance covers that are not labeled. These violations are not critical in nature since the California Public Utility Commission has instituted a program related to Marine Corps base facility conversion to allow up to ten years to repair infractions. The new CPUC maintenance codes require a 4' clearance between conductors and. trees. The new electric service system operator will be responsible for complying with theses requirements. All transformers should be inspected and cleaned, a wood pole inspection and treatment program initiated, and a routine maintenance program established. Of the 186 distribution transformers 91, or 49 percent, were inspected in 1996 and 1997. A significant number of those not inspected are approaching or exceed twenty years of age. Twenty years is typically the expected life of distribution transformers. An electrical utility would still operate these units, but would be prepared for their replacement by maintaining spare units in stock. A significant portion of the electrical distribution system is between 20 and 40 years of age. The equipment is in serviceable condition, however, the existing maintenance system has included response to equipment outages, but little routine maintenance has been performed. Because of the age of the system, a routine preventive maintenance program should be established by the new electric system operator. Routine maintenance and operation of an electrical distribution requires adherence to a standard utility system preventative maintenance program and response to system 2-15 wide events related equipment failure due to environmental conditions, equipment age, physical abuse, and ongoing construction activities related to system expansion and new service connections. Based upon our on-site observations of the existing system, for the period of time the existing distribution lines will be in use, the following type of work in response to various types of specific system events will be needed to assure system reliability indices consistent with the industry standards reliability "and operational practices. · Fuse replacement due to animal intrusion or electrical events · Street light bulb replacement due to age, vandalism, etc. · Pole replacement due to failure or vehicular accidents · Line damage due to falling trees · Underground cable repairs due to water intrusion, rodent damage, etc · Equipment replacement due to lightning strikes · Replace of overhead line' connectors due to age and vibration Insulator failure due to vandalism or equipment failure · Secondary wire replacement as new service additions are added These items are in addition to work resulting from routine system inspections such as routine line and equipment inspection; periodic exercising of mechanical components of protective devices; inspection, testing, and setting of protective devices; equipment ground connection; stocking of spare parts and materials; wood pole inspection and/or treatment;, tree trimming; etc. The maintenance of the system will require a two-man crew initially, budgets for Overtime; equipment, materials and administrative costs. The summary of one year's operation and maintenance cost below is comparable to the 1999 year's costs shown in the profitability section of this report The years afterward are calculated based expansion of the system. Assumptions 1. Two-man crew can accomplish the work 2. Each crew member worl~ 2080 hours of regular time 3. Assume 500 hours overtime per crew member 4. Lineman base rate- $28/hr 5. Overtime rate- $56/hr 6. Labor overheads - 40% 7. Subcontract cost - 25% of labor costs 8. Equipment cost - 15 % of labor 9. Miscellaneous costs - add 25% 2-16 ~c SYSTEM Operation and Maintenance Cost Estimate Labor and materials Regular time $116,480 Overtime ' 56,000 Overheads 68,992 Subcontracts 43,120 Equipment 25,872 Miscellaneous 77,616 Total $ 388,080 2.4. U~ORADES TO R~-DUC~ MAmvrmqxNc~ Costs The MCAS Specific Plan/Reuse Plan recommends the development of a new underground 12-kV distribution system to suite the build out of the electrical distribution system serving an existing 2 megawatt load to the ultimate 52 megawatt load at the end of Phase V. The electrical demand is programmed to increase in the following increments. Projected Development Demand Phase Year {Me~awa.tts) Phase I 2001 8MW Phase II 2005 25MW Phase III 2010 44MW Phase IV 2017 52MW Phase V 2020 $2MW Loads of this size are typically served by a 12-kV distribution system. This is consistent with the reuse plan recommendations contained in the MCAS-Tustin Specific Plan/ReuSe Plan. The primary driver for construction of a 12-kV system to replace the existing 2.4-kV system is reduction of system operating losses by the ratio of the service voltage. Construction on this project was started by the MCAS, but was not completed due to lack of funds available for construction and the initiation of the base closure process. With only limited funds available, the Marine Corps concentrated its efforts on providing reinforcement of its infrastructure (duct banks and manholes), assuming that it could later accomplish installation of transformers and cabling from future funding should the reuse process be aborted or, at a minimum, have the infrastructure available for system additions to the existing 2_4-kV distn%ution system. A project of this type requires the replacement of all transformers, load ctistn~oution centers, underground cabling (insulated), and reconstruction of pole top configuration for the increased insulation levels for a 12-kV system. Clearances to should also be reviewed to assure adequate ground clearance. Underground conduit and vault infrastructure should suit the new 12-kV system pathway requirements, S~zirtg of structures, housing or 2-17 supporting existing electrical equipment may or may not be of sufficient volume or area to meet applicable electrical codes. This construction should be viewed in the context of meeting the needs of a modem community planned unit development with integrated institutional, commercial, and light industrial development, along with city service facilities and recreational ~eas. Construction of an underground distribution system is consistent with systems provided in commercial and industrial parks throughout the region. The City will be competing with these other areas for the developer and tenant business population. The reuse plan already requires construction of new roads and aH site related utilities including water, storm drainage, sewer, gas and electric systems to serve the developing commercial, industrial and residential customer base. Construction of the underground electrical facilities is can be converdently accomplished as an incremental . element of the other major construction needed for the programmed build out. 2.5. ~rrt~E NEEDS FOi~ EXISTING SYSTEIVl The existing 2.4-kV distribution system is serviceable, but to serve the foreseeable growth identified in Phase I and II of 25 megawatts, the 12-kV distribution system should be planned for a phased build-out to correspond with the programmed development as much as possible. With the PUC allowing ten years to bring the system into compHance with California General Orders 95 and 128, the new system should overbuild thus eliminating the majority of the existing code violations. Service drops and backbone service [rom the 2.4-kV system could remain in place while awaiting the construction of the new 12-kV distribution, system. The MCAS electrical system has eight established points of service [rom SCE where the base owns some or all of the equipment These SCE points of serVice are located at numerous locations throughout the base. This distribution of service points are sufficient for the near term reuse program, either by taking advantage of existing excess capacity SCE may have already installed, or by requesting that the service capacity be increased. The cost of increasing SCE's service capacity would be dependent upon $CE's current method of service to that point from its system. Due to the quant!fy of established points of service, the City has a considerable amount of flexibility in how the future system is to be developed. If a building is to be demolished, the electric system service facilities for that building will no longer be required and should be removed along with the demolition project, unless they are required to provide temporary construction power. Any underground duct banks should be left in place but the cable and any electrical service equipment should be removecL The existing system has been developed to match the existing loads. If a building under the reuse plan is to remain with similar power requirements, then the electric system may be left in place to serve the reuse plans of the building. For 'example, Building 246 is presently used as bachelor .enlisted quarters, and is to be used on a possible interim basis as a learning center. The electrical requirements of these two uses 2-18 may in fact be close to the same, and the existing 2.4-kV distribution facilities may be considered to provide temporary service to these loads pending construction of the new 12-kV distribution system. Buildings 2 - Station Support, 3 - Auditorium, 4 - Station Headquarters, and 5 - Administration are all being considered as part of the learning village. The existing and future electrical loads of these buildings may be compatible with the available electrical service. · " The housing areas located on parcels 23, 24, 34, 35, 36, and 37 are all scheduled to remain as housing areas.. The electrical distribution facilities that are presently serving these units can remain in place serving the future requirements until the loads exceed the capabilities of the system. Parcels 23 and 24 are currently not individually metered; however, meter sockets exist. New plug-in meters will have to be installed upon conversion to individual condominium ownership. Residences in parcels 34, 35, 36, and 37 have no provision for individual metering. The units are bulk metered. New meter sockets and meters will have to be provided when converted to individual oWnership. This will be the respons~ility of the new power service provider. Since there is no electric system in parcel 11 which is scheduled to be a commercial development, a new electrical distribution system is required that will match the load requirements of the buildings to be constructed on this parcel. The programmed load growth in Phase I reSults in total load of 8 MW, and growth through Phase II increase the electrical demand to 25 MW. Phase III, IV, and V development increases the load to 52 MW. The capacity of the current electrical backbone system will exceed the capacity of the current installation very early in the development (2000 or 2001). This requires implementation of the planned 12-kV underground distribution system. As a general rule, the redevelopment of MCAS will take time, and it is believed prudent by RMI that the existing electric system be temporarily left in place, and that it be modified as needed to provide power throughout the development associated with Phases I-V. These activities are known to take a significant amount of time to plan, design, construct, and occupy. The existing system could also provide construction power, and the existing infrastructure could be used to serve the new use activities ff new construction plans coincide with existing building footprints and locations. 2_6. SYSTEM OPERA, ON AND MAINTENANCE' The electrical distn~bution system at the MCAS will require experienced management and Operations & Maintenance (O&M) crews to operate'and maintain the existing MCAS-Tustin system. During the ~arly months of operation, a small two man crew is recommended as the starting crew size. This crew will be able to handle small maintenance activities such as: · Replacing line fuses · Replacing burnt out street lights · Connecting and disconnecting services to buildings · Managing contractor support for larger maintenance activities 2-19 ~c SYSTEM Performing load and voltage checks · Opening and closing circuit breakers as required · Troubleshooting outage reports and restoring service · Purchasing needed supplies · Performing minor tree trimming · Minor system repairs · Meter reading During this early phase, a series of supplemental support services contracts would be activated with contractors to provide assistance with maintenance activities. Contracts would include: · Line maintenance support · Material supply · Equipment supply and rental · Equipment maintenance · Tools and supplies The initial two-person crew wOuld be equipped with vehicles including an aerial lift truck and a pickup. Office space and materials storage for vehicles and equipment is also required. In addition to the two maintenance staff, a staff of two office workers is required to perform routine billing, accounting, and reporting and other needed administrative staff assistance tasks. 'This four person staff, augmented by consultant and contractor assistance is anticipated to be adequate for the first year of operation. As the customers, load, and maintenance activities increase because of the move in and occupation by new entities into reuse facilities, the needed maintenance staff is expected to increase. After two to three years, an overall staff of ten is recommended. This staff would also be supported by consultants and contractor staff to provide assistance as required. The first years cost is estimated at $500,000, which includes start up cost and vehicle leases. At the end of two or three years, it is estimated that the costs for the staff of ten along with miscellaneous equipment, tools, and supplies will approach $750,000 to $1 ~illion. 2.7. ASSET AND FUTURE CAPITAL NEEDS The capital investment required for the development of the electric distribution system has been estimated in the Community Faciliffes and Infrastructure Report as $4,094,000. This estimate, as developed in the Community Facility Report, is based upon standard estimating practices of SCE.. This figure appears to be a reasonable conceptual estinaate for development of the proposed system at MCAS Tustin. The valuation of distn"oution systems at mih'tary bases is extremely difficult to establish due to several factors related to the quality of the system. Military base electric systems have consistently been constructed and operated without strict regard for state general 2-20 orders, specifically G.O. 28 and G.O. 95, covering underground and overhead line construction. Without benefit of a system-wide inspection and inventory to establish otherwise, the system at MCAS Tustin would be of similar relative minimum value. Even if the MCAS Tustin were an exemplary system constructed in conformance with state general orders, the system is only as valuable as it is within the City's reuse plan. The existing peak load, two megawatts, primarily serves the residential areas an'al'the area currently used for base operations (the learning village area). The bulk larger loads defined in the Specific Plan/Reuse Plan are to be developed in areas not serviced by structured underground or overhead distribution systems. The system would, therefore, have a value to the City similar to that of other bases and probably in the range of $10,000 to $150,000 for purposes of evaluating the City's poss~le worse case acquisition cost. The system is assumed to have a nominal value of $100,000 within the construct of an economic development conveyance. This $100,000 is represented in the system pro forma as a promissory, interest free note, due at the start of the Phase II development in 2005. Before the system is conveyed to the City, a second valuation should be. considered. This is the true value of the System'and all future needed electrical backbone improvements within the context of the City's redevelopment plan. This affects the options to be considered by the City with regard to ownership and Operation of the futu~ improved system and, most importantly, the value of the system shoUld the City elect to invite proposals from utility operating companies. The value of the future system in the hands of the City is represented by the potential $90 million profit over 20 years against a distributed investment of $ 5.2 n~ill~on over the 20 year period. As explained elsewhere in this report, these proposals could be structured to address the operation, or ownership and operation, for any combination of the utilities systems being considered in this report The Ultimate system value could also affect the number of years to be considered for operation by a third party. It may be advisable to not give up ownership of the system until restruchiring and direct access issue have more operational experience. 2.8. ELECTRIC ENERGY SUPPLY AND TRANSPORTATION OlrrIONS 2.8.1. Transportation to the MCAS-Tustin To deliver electric energy for distribution within the former MCAS, the City would need to either utiliTe its current transmission interconnections with SCE or to have transmission constructed to transmission facilities outside the operational control of SCE or select an alternative Scheduling Coordinator. Due to the City's location, it would likely be a very costly proposition to build a new transmission interconnection, therefore it is likely that the SCE transmission network will be used to deliver energy to the City, As SCE will be one of the initial participants in the Independent System Operator (ISO) transmission system, the City will be bound by the protocols, procedures, and costs associated with ISO operation. Numerous cost components will be incorporated into the I$O charges and, as of yet, the actual costs have not been 2-21 Eq.P_L-IRIC SYS'I'EM determined. These transportation charges will be imposed regardless of MCAS's energy supplier. For an initial period (through 2001), SCE will be allowed to recover "stranded investment" through a Competition Transition Charge (CTC) which is estimated to be up to a range of 3-4 cents/kWh of SCE's current rates. ' 2.8.2. Energy Procurement Options Future energy supply options for MCAS Tustin fall into two categories: (1) SCE, and (2) one or more alternative energy suppliers. The future can also 'be broken into two time periods: (1) near term, four years beginning April 1, 1998, and (2) long term, beginning April 1, 2002. Purchase from SCE - In the near and intermediate terms, the cost of the energy supply from SCE will likely be stable but above true. market prices. During this period,. SCE will be collecting crc revenues which will keep the overall cost of electric service to the City relatively high. In the long term, the price of energy from SCE will drop but should still be somewhat above market prices unless there are active negotiations undertaken to get the price reduced. : Purchase from other suppliers - In the near term, competition in California will result in a virtuany tmlirnited supply of "would-be" suppliers of electric energy. Prices from such Suppliers during this period win likely be as competitive as allowable under crc recovery and the new ]SO structure. However, the number of suppliers will likely diminish as the market win force some suppliers out of business. In addition, it is expected that the transmission access charge cost component determined by the ISO will change from a utility specific basis to grid-wide basis. This adjustment will vary based on the service provider's relationship to the ISO. Prices will probably remain competitive but run the risk of rising due to reduced competition. In the long term the price of energy supplies will depend on the availability of generafi, on and the number of suppliers remaining in the marketplace. , The cost of energy to the City's supplier(s) will be established by the Power Exchange (PX) which is the entity which balances the supply and demand for the. ISO and sets the prices for energy. Prices win vary on an hourly basis with Weekday daylight hours ("on-peak period") commanding the highest prices while weekend, nights, and holidays ("off-peak hours") commanding lower prices. In general, prices in California are higher in summer and lower in winter with May prices being extremely low during years of heavy rain and snow in the Western United States. Energy Supply Summary_ - New energy supplie~ are very anxious to establish themselves in the marketplace. Individual contracts have been already negotiated between Cities and energy suppliers which guarantee energy supplies that are from 5 percent lower than $CE energy rates. No matter what the City's plans for the development of MCAS, the City will need to establish plans for its own future energy supplies. Other cities have issued RFPs to 2'22 determine their preferred supplier which have drawn enthusiastic responses. The City could do the same. This process is detailed in the report for the City entitled "Strategic Assessment for the City of Tustin Under Electric Restructuring." In any event, the City should establish its criteria for selection of an energy supplier as the opportunities will be upon the City beginning April 1, 1998. ., 2.9. ELECIRIC U~ OPTIONS AT MCAS-TUSTIN Four main options exist for the city to consider as delineated on the following decision tree. Under options 2, 3, and 4, which involve a city role in providing electric service, a Utility Administrator must be appointed. This is not necessarily a full time position. The cost of this position will vary dep.ending on the option selected and the city's management approach. These options include the following: The City has three basic options with regard to exercising its opportunity to provide electrical service to the MCAS-Tustin area. There are, of course, many subtle differences in the details of how the City proceeds through the base reclosure process, but basically these options included the following. Figure 2-3 illustrates the basic-options available to the City 'for providing for electric service to the MCAS Tustin area. 1. Decline the conveyance opportunity for the base utility system 2. Receive the MCAS-Tustin electric utility system through an Economic Development Conveyance (EDC) and, in turn, sell the system to another utility service company 3. Carry out the City's opportunity to own and operate the utility system. The City could simply decline the opportunity to deal in any way with the electric utility (Option 1 - Figure 2-3). Under this scenario the federal govemment would sell or auction the base electric system to the marketplace. The base electrical systems would be purchased by the local' utility such as Southern California Edison or by any other. qualified energy system operator interested in operating the system. As an example, the Mare Island electric (and gas) System was purchased by a partnership including the City of Pittsburg and an energy service provider. The City would continue to coordinate and permit and approve new construction issues related to utility development as it now does for any other major development within the City. The City could also acquire the utility .system under an EDC and sell the system in the energy provider marketplace. There is considerable competition it this field, and the City could be very successful in assuring that the future residential, commercial, and industrial businesses choosing to locate in Tustin have access to the extensive energy related products and services now becoming available in the energy marketplace. Finally, the City could also establish a functioning municipal electric utility. This option creates a municipal electric department with operations differing based upon City' staff requirements and differing subcontract arrangement that Could be employed. These options are labeled 3a, 3b, and 3c in figure 2-3. following: The options essentially include the Option 3a - Immediate transition to a municipal electric utility Option 3b - Immediate subcontracting of all management and O&M functions Option 3c - Long-term transition to the City - ultimately completely City staff. These options can receive the economic benefit of the caretaker maintenance arrangements, deferred payment plans, and other financing opportunities available through the federal government as part of any EDC negotiation. Each of these options is analyzed in the following paragraphs by identifying 1) the risk to the City, 2) management and O&M requirements, 3) complexity of the business environment the City would be entering, and 4) the service offered to the citizeru3z and business community. b · Figure 2-3 MCAS-TUSTIN- ELEC1Te~C UTILITY FEASIBILITY Negoi~al~l Sale to Service Pro~der Electric System Opexation · ~ Utili~ Govemrr~nt Auction AcquisiUon I k) $CE & Others (Coordimte Infrastruztnm ' I Ciby Oltion . Conslxuction) ~ C~M Ol~iom City O&M Go~ O&M oSubconh~tSvcs, oCaretaka' Contx~t o~m City Staff · LRA~City Contract · t-rare MCAS Slaff · Mililary Ag~x~:y Supl:~rt · Residual Gov't Work Force Q I Erergy Services RFP 0V Transition City Ager~ I Trar~tion t~ City I Ap~nt Utmty ~ utmty I (~ty S~O (Oty S~O I (CityStaff) I ~ sa,c,mtr~t a~ (City $1aff) O&M O&M andO&M Apf~nt Utility Adn-inislxalx~r (a~s~0 (GtyS~fft3 2-25 The following listing briefly assesses the basic merits, risks, and complexity of. each option. Option 1 - Decline Electric Utility From Federal Government Risk - This presents no risk and no real benefit to the City government or any of its citizens. Electric service would be provided by either the current contiguous area franchise holder (Southern California Edison) or an equally qualified energy provider, assuming that the federal government prepares a proper request for proposal or conducts an auction process to pre-qualified bidders. Management and O&M - Under this option the City would have no responsibilities for utility system ownership and, consequently, operation and maintenance. The City will have to provide necessary design coordination with the MCAS-Tustin development of physical infrastructure including utilities, streets, and facility construction and renovation. -Specifically, the City Public Works Department would have to review, approve, and accept the construction of new duct banks and underground access vaults planned by the electric service provider. Complexity. - This process would not require the City concern itSelf with the issues beyond those currently encountered for site development anywhere else in the City. Detailed design would be the sole responsibility of the developer and. the utility system provider, with approval and acceptance by the City. Service to the Community - This option provides minimal beneficial service to the community and its residents on behalf of the City.. The electric service will be via traditional process of either a simple franchise area expansion by SCE or another energy provider. SCE is being influenced by the current utility restructuring environment and will generally provide service reliability and the products and services becoming available throughout the marketplace. This would result in electric service similar to that currently being experienced by other SCE customers throughout the City. Option 2- Receive the MCAS-Tustin Electric Utility System Through an Economic Development Conveyance (EDC) and, in Turn, Sell the System to Another Utility Service Company Risk- Should the City sell the electric system and, presumably, service territory fights and privileges, there would be very little risk to the City. The City would have to be sure to establish new or effect modification of any existing franchise agreements and negotiate the sale to benefit the citizens of Tustin. Except for the responsibility for.the sale process, this option does not present any risk to the City that it does not currently have with regard to franchise utility service to any of the existing areas'of the City.. Management and O&M - Once the sale is made, the City would have no respons~ilities for management, administration, operation or maintenance of the electric utility system or service to Potential.new tenants in the MSCA Tustin area. The 2-26 City would continue to relate to the utility service company as it has in the past relative to access to public fights of way .and construction review and approvals. Complexi _t3r - The only real complexity is establishing the value of the utility service to the MCAS Tustin area. It is assumed that the the sale or RFP process would involve only pre-qualified utility service companies and the City would retain no responsil~ility and assume no risk regarding the selection of the service company. The value of the electric distribution system is represented'by the potential $90 million profit over 20 years against a ~istributecl investment of $5.2 million plus EDC acquisition charges ($100,000) over the 20-year period. Recently, utility industry restructuring and the value of the ~ customer have strongly increased the value of service territories and customer access. Service to the Community. - Under this option the City is assuring the new customers in · the MCAS Tustin area bf quality electrical distn~vution service and access to new products and services consistent with that being provided throughout all other existing areas of the City. of Tustin. Customers will have the same rights, with regard to selection of their preferred energy service provider. This should not impact or be affected by the City's selection of the electric distribution company. Option 3a - Immediate Transition to the City Risk- This option carries with it the highest degree of risk option available to the City. Th~'risk is the need to immediately staff and operate a functioning utility. This would require the City to immediately appoint an interim electric utility administrator with the responsibilities consistent with development and operation and maintenance of a Small municipal utility system. · Management and O&M -. The City would need to hire an electrical superintendent and O&M staff. In this age of utility restructuring, these positions are not easily filled as other utilities are aggressively'trying to keep their experienced staff members. The obvious answer would be to retain an experienced .operating company for, at a minimum, the first few years. However, with subsequent downsiz/rtg, operating staff may well be readily available. Options 3 and 4 develop schemes that tend to mitigate the risks of an immediate transfer to the City. Complexity - This is the most complex of the available Options due to the need to fully establish a functional utility staffed completely by City employees. This would also require the City to extend its billing, metering reading, and other customer service functions to address new custom'ers in the MCAS-Tustin area. These systems exist for a water department which the City already operates, so the City has the ability to understand the establishment of these systems.· The options related to the City's right to distn'bute electricity to customers on the MCAS Tustin base area, exclusively or otherwise, must be further analyzed relative to existing franc2xise agreements with the current area utility service company. The City has the right to establish a municipal electric utility department The question is: How is the designation or acquisition of the new service territory, within the City' boundaries, 2-27 SYSTEM affected by existing franchise agreements, which seemingly give the current area-wide utility service company the fight to operate as it has for all prior years in public rights- of-way in the City? It is also true that regardless of which entity builds and operates the electric distribution system at MCAS Tustin, all existing and new customers will, of course, have the right to choose their electric supply company cOnsistent with the present deregulated environment. Due to the implications of current industry-'~tide utility restructuring and the potential profitability of the system as demonstrated within the pro forrna statement included in this section, the City's rights should be reviewed in depth to ensure that the City does not miss a'significant opportunity. Service to the Communi _ty - Under fl-ds option the City could address the operational needs of residents with the same care and response as offered by its other municipal departments. The City could monitor the electric utility business to be sure that commercial and industrial customers are being afforded the best quality of service and reliability, as well as the latest products and services being offered by the electric utility industry. This 'combined quality of service and access to products and services represents local jobs to the local economy and, ultimately, the City's ability to .provide an enhanced quality of life to its residents. This is becoming, the cornerstone of customer acquisition and retention in the electric utility business. Option 3b - Immediate City Operation Via Subcontracting of SerVice Risk - This option represents lesser risk to the City than the scheme descried under Option 3a since all operations and maintenance staff positions will be contracted to a qualified operating company with personnel experienced in the electric utility system opera~ion. Critical to the success of this relationship is the preparation of comprehensive operating agent's contract properly addressing all related issues. Management and O&M - The City will have to appoint a Utility Administrator to primarily monitor the system operating contract, watch out for the City's financial interests relative to revenues and expenditures, and assure the citizenry of 'quality electric service. The City will be able to assure that all other positions are staffed with competent O&M personnel via the provisions in the contract between the City and the operating agent. Complexity - This arrangement is relatively simple and, provided that all instruments of service are comprehensive and based upon valid operating experience by a similar entity (City of Vernon, as an example), could provide the City with the significant long- tern revenue stream shown in the profitability section of this report and limited day-to- day operating liability. The options related to the City's right to distribute electricity to customers on the MCAS Tustin base area, exclusively or otherwise, must be further analyzed relative to existing franchise agreements with the cuzrent 'area utility 'service company. The City has the right to establish a municipal electric utility department The question is: How is the designation 'or acqu~s.' ition of the new service territory, within the City boundaries, affected by existing franchise agreements, which seemingly give the current area-wide utility service company the right to operate as it has for all prior years in public rights- of-way in the City? It is also true that regardless of which entity builds and operates the electric distribution system at MCAS Tustin, all existing and new customers will, of course, have the right to choose their electric supply company consistent with the present deregulated environment. Due to the implications of current industry-wide utility restructuring and the potential profitability of the system as demonstrated within the pro forma statement included in this section; the City's rights should be reviewed in depth to ensure that the City does not miss a significant opportunity. Service to the Communi _ty - Similar to Option 3athe City could address the operational needs of residents with the same care and degree of response as offered by its other municipal departments. The difference from Option 3a is that the City would be dealing with a subcontracted management and O&M contractor. Option 3c - Long-term Transition to City Operation Risk - From t. he perspective of establishing a City owned and operated electric department, this option presents the most'conservative method by which the City could establish a 'functioning electric department Based upon the City's interest in the long- term projected profitability of the system, this is a viable option. Qualified personnel will be carrying out all O&M functions as subcontractors. The City could develop a transition plan moving to City staff positions. Management and O&M - This allows for initially retaining a well qualified management/operating company or team and to, subsequently, develop a transition plan to. City management and O&M staff positions. The City could hire the electrical superintendent position or subcontract this role. This is a key role, and it would be essentiaI that 'this person maintain a management view continually beneficial to the City. For this reason, it could be considered that this be a City position. This is also consistent with the need for the City to see a four to five year plan which is needed to realize the attractive profits realized after the end of 2001. Complexity. - Similar to Option 3b, this arrangement is relatively simple to execute. Provided that all instruments of service are comprehensive and based upon valid operating experience by a similar entity (Ci~ of Vernon, as an example), the City could be provided with the significant long-term revenue stream shown in the profitability section of this report. This option does take into account the fact that the operating staff is directly supervised by City staff and, therefore, the City will carry day-to-day liabilities and reliability and power quality issues. Many relatively small cites operate in this manner throughout California. The options related to the City's right to distribute electricity .to customers on the MCAS Tustin base area, exclusively or otherwise, must be further analyzed relative to existing fl'anchise agreements with the current area utility service company. The City has the right to establish a municipal electric utility department- The question is: How is the designation or acquisition of the new service territory, within the City boundaries, affected by existing franchise agreements, whicl~ seemingly give the current area-wide utility service company the right to operate as it has for all prior years in public rights- of-way in the City? It is also true that'regardless of which entity builds and operates the 2-29 ~c SYSTEM electric distribution system at MCAS Tustin, all existing and new customers will, of course, have the right to choose their electric supply company consistent with the present deregulated environment Due to the implications of current industry-wide utility restructuring and the potential profitability of the system as demonstrated within the pro forma statement included in this section, the City's fights should be reviewed in ,. depth to ensure that ..the City does not miss a significant opportunity. Service to the Community - Similar to Option 3b, the City could address the operational needs of residents with the same care and degree of response as offered by its other municipal departments. The difference from Option 3b is that the City would be responsible for and execute all management and O&M functions. This places the City the closet to the ultimate customer on a day-to.-day basis and allows the City to be of service to the community in the broadest and most expedient manner. 2.10. PRoFrrABnZr~ TO Tt-n5 Crr~ oF TUsTtN There are a number of costs and revenues that must enter the analysis of profitability to Tustin to engage in the activities of an electric utility. The following items are addressed in this analysis: . Power supply a. Demand and Energy Costs 1. Bulk power supply costs 2. CTC costs . . Delivery costs a. Distm~oution operation and maintenance b. Depreciation of distribution property Customer Costs a. Customer accounting costs b. Customer information costs c. Other customer costs 4. Capital Costs to City a. Replacement/addition of facilities b. Amortization of startup costs 5. Overhead Costs a. Administrative and general expenses b. Miscellaneous costs On the revenue side of the scale, the sales of power to consumers is estimated and a net profitability to Tustin is calculated. Based on the following spreadsheet developed by RMI, RMI believes that it is possible for Tustin to operate the MCAS-Tustin electric system in a profitable manner with the revenues growing as the redevelopment occurs. The number of new customers to be served each year is variable which is highly dependent on real estate and business conditions throughout the Los Angeles basin region. The customkr growth is relevant;, however, it is more important simply that they will be there by the end of the 2001. Table 2-1 indicates that customer acquisition 2-30 ~c SYSTEM would be estimated to start at 300. The first two years' customers represent the residential and learning village development, primarily. The first two years will require short-term financing of working capital in the amount of SLAM; however, in 2001 and, to a greater extent, 2002, when CTC charges are eliminated, this amount could be paid down very quickly (in two years). The precise load development is contingent upon the City's confidence in attracting new businesses to the area. The key to this profitability statement is that this load could ultimately net the City nearly $90M over a 20-year period. Another key factor is, of course, the determination of the City's basic interest in entering the utility business. The City's socioeconomic and demographic growth stimulants must also be evaluated to determine the actual rate of growth. The Phase I through V columns provide estimates'utilizing a pro rata load growth. based on the total load estimated in the Reuse Plan. The costs are present day estimates, and it should be noted that considerable change to the electric systems in California is underway as part of the ongoing industry restruchzdng. The following table, estimating profitability to the City, shows that the City could make a profit in the early stages of development, however, the profits will be minimal due to the presence'of .CTC charges which run through January 1, 2002. This runs through the Phase I development. Following January 2002 the profitability grows substantially, with pay-back of the initial investment occurring about 4 years or early in the Phase II development phase. The financial model assumes the initial financing will consist of both long-term debt (20 years) and short-term debt (five years). 'Both the long-term and short-term debt are assumed to be tax exempt. The long-term portion of the debt is $500,000 and is based on level principal and interest payments. The assumed interest rate is 8 percent The proceeds of the long term debt are used to finance the initial start-up costs, including equipment, materials, administrative, and legal costs. This $500,000 includes $200,.000 allocated for legal, administrative', and regulatory costs associated with establishing the municipal electric deparh~ent The shortiterm debt will be used to finance the first two years of construction improvements, ' provide working capital requirements, and interest payments on debt during construction. The financial model assumes the short-term debt will be obtained at an interest rate of 6.5 percent. The debt is modeled as five-year bonds and, accordingly, only interest is paid prior to maturity. The proceeds are invested in interest bearing instrtm~ents, such as treasury notes, until needed. The initial amount of the short-term debt will most likely depend on the location and number of customers initially requesting service. R.MI has conservatively used $1.1 m~lHon in the financial model. 2-31 Table 2-1 MCAS, TUSTIN Electric System Pro Forma Statement (line descriptions on next pa~e) Costs Line Re£ 19~8 1~ Phase 1-2001 Pl~se II-200S Plmse III-2010 Phase IV-2017 Plmse V-2020 1!Powe~ Supply(kW) 1,200 2,000 s,ooo ,.25,000 44,000 52,000 2 Estimated ener~ 0c'i4rh), 65% If 6,832~00 11,398,000 45,552~)00 142,350,000 250,536,000 296,0~,000[ 296,0M,000 3 Demand ~'~-+~ · .-' ,,. 4BulkPowerSupp~ Line2/notel .$ 220,358 $ 367,263 $ 1,469,052 $ 4~90,788 $ 8,079,786 $ 9,~4~ $ 9,54~,g3~ 5 CTCO $0.03/kwh Line 6/note 2 $ 20~,9g4 $ 341,640 $ 1,3~6,560 6Tot~lPowerSupply L.ine4+5 $ 425,342 $ 708,903 $ 2,8~5~12 $ 4,590,7M $ 8,079,78,6 $ 9,54~g3g $ 9,54g~ 7 $)'st~m atxluisition cost $ $ $ $ 100,000 $ - $ - $ ' g E)istribufiono~er.~tlOn&malnt~nance l~lote3 $ 221,639 $ 384,322 $ 452,4g8 $ 666,976 $ 906,69g $ 1,007,633 $ 1,007,633 9 SUBTOTAL - Cost of power, s~tst~m L6+7+8 $ 646,981 $ 1,093,225 $ 3,2gg,100 $ 5~357,763 $ 8,986,484 $ 10,556,471 $ 10,556,471 &cqulsition, operation & w,!ntenanGe 10 Estimated number Of custome~ Note 6 300 500 560 ~30 920 1,000 1,000 Customer Costs llCu$~merAccountin~&BillinG Line l0'$50 $ 15,000 $ 25,000 $ 28,000 $ 36,500 $ 46,000 $ 50,000 $ 50,000 121Customerinformation Line10°$25 $ 7,500 $ 12,500 $ 14,000 $ 18,250 $ 23,000 $ 25,000 $ 25,000 . 13'Ofl~erCustomerC_~_ts l~nel0'$50 $ 15,000 $ 25,000 $ 28,000 $ 36,500 $ 46,000 $ 50,000 $ 50,000 14 SUBTOTAI~ CUSTOMER COSTS Ll1+12+13 $ 37,500 $ 62,500 $ 70,000 $ 91,250 $ 115,000 $ 125,000 $ 125,000 Debt Costs 15 Interest and PrincipelPa~tments ~ot~5 $ 109,355 $ 109,355 $ 1,09.,355,, S 44,414 $ 44,414' $ 44,414 $ 44~414 Overhead 16 Adm!~i-~tralive and ~eneral expense Line 10' $150 $ 45,000 $ 75,000 $ 84,000 $ 109,500 $ 13g,000 S 150,000 $ 150,000 17 Misccosts L(9+14)°.05 $ 34,224 $ 57,786 $ 167,905 $ 272,451 $ 455,074 $ '534,074 $ 534074 181SUBTOTAL OVERHEADS r16+17 $ 79,224 $ 132,7~6 $ 251,905 $ 3~1,951 $ 593,074 $ 6~074 $ 684,074 19TOTAL EXPENSES L~4+~S+~8 $ 87~,0S9 $ ~2~7~66 $ $,719~S9 $ S,S7S~78 $ 9,7~,972 $ ~L~0~S~ $ , Revenues 20_c~_l~ofPower Noir7 $ 614,952 $ 1',024,920 $ 4099,680 S 8,541,000 $ '15,032,16~) $ 17,765,2g0 $ 17,765,280 21 [ntereRI~me(fromC,~honHand) ~'-~h~5.$~ $ 59~29 $ 47,762 $ 27,642 $ $,281 $ 183,339 $ 1,02~,706 $ $,282All 22 Oiler Income S - $ - S $ ' $ , $ 23 SUBTOTAL INCOME $ 674,4~1 $ 1,072,682 $ 4,127,322 $ 8,546,281 $ 15,215,499 $ 18,793,9~6 $ 21,047,391 24NetIn¢omeBefo~Tra.~fe~ $ (198,578) $ (325,1M) $ 407,963 $ 2,670,903 $ 5,476,52~ $ 7,3g~,027 $ 9,637,432 25 Tr-n-~fera to Ci~ hlom 8 $ 15,374 $ 25,623 $ 102,492 $ 213,525 $ 375,~4 $ 444,132 $ 444,132 26R~pl~ments/Capi~li-~dlVf-lntenance qote4 $ - $ 15,000 $ 29~700 $ 29,997[$ 57,591 $ 122,gM $ 27 Available for OtherU_~e~__ $ {213,952) $ (365,~a7) $ 275,771 $ 2`427,M1 $ 5,043,132 $ 6,~17,007 $ 8,99o~21 Number of ]tea.~ in period 1 1 2 4' 5 7 3 C=mm~dative cash flow lqot~ 11 (213,952) (579,7ro9) (28,217) 10,473,604 . 3~,286,9g0 93,027,445 121,633,05~ 28Estimamdplantv. Mue(BOY) b~otel0 $ 7~0,000 $ 742,500 $ 749,925 $ 1,439,77~ $ 3,072,196 $ 5,071,989 $ 6,035,996 29 Capital C__~ts to City 30 Addition of Facilities for Growth ~om 4 $ . S $ 682,347 $ 1,618,026 $ 1,969,071 $ 964,007 } $ - 1. TuRin would buy on market at3 cents/kwh assuminG 25 mills for power and 5 mills for delivery Assumes 7.5~G distr~ution system ]osses at Tustin. 2. Tustin may owe CTC, assume 3 Gents/kwh until the year 2002, this assumption needs ve~tion 3. Includes Lineman, t~ucks, tools, and misa equpment costs 4. Additional Facilities from Study Inflated at 3.75%/year P,~plaGement (3% of plant value due to age, 1% of plant value for storms and accidents) 5. Starmp costs of $500,000 would be amortizL~ over 20 years ~ 8% - legal, regulatory, staff, consultants, and hard costs 6. Customer base would start at 300 customers, growth wouki be both commercial/industrial at 100 kW per customeF and timitlq:l residential expansion 7. Average retail rat~ would start at 9 Gents/kwh and would drop to 6.0 cents over time as commerCial/industrial load built up. 8. Tramfer ot City at 2.5% 9. General not~ - Analysis performed on current dollar basis. 10. In]al purchase price + line 26 + line 30- depreciation at3% per year. (Beginning of year balance). · General not~ - Costs would be comparable to small municipality 2-32 ~c SYSTEM Definition of Cost Items (Table 2-1) 1. BULK POWER SUPPLY COSTS (Line 4) - This line represents the cost paid to the wholesale supplier who typically generates the energy at power plants. It is estimated at 3 cents per kWH plus 7.5 percent loss. The 7.5 percent loss factor is applied because no energy delivered to Tustin is sold to customers. Some energy is lost in the form of heat given off by the wires, transformers, and .other devices on the distribution system. o crc (Line 5) - is a transition cost being collected from all customers in preparation for freedom of choice. The charge is recovering the cost of "stranded investment." Stranded investment typic~y consists of older, less efficient generating plants which cannot produce power as cheaply as new generating units. The California regulators approved construction of these generati°n units many years earlier. The regulatory pact with the utilities guarantees that they can recover the investment in plants which were deemed necessary and previously approved by. the utility regulators. The recovery period is often over 40 years for rate setting purposes. Some of these plants which were built only 15 to 20 years ago cannot produce electrical power cheaply enough to compete with power plants which will be constructed in the future. Tlais charge accelerates the investment recovery to allow full competition in the market. DISTRIBUTION OPERATION AND MAINTENANCE (Line 8) - Ttu's line represents expenses associated with day-to-day operations and repairs. Typical charges include: costs of supervision, labor, and engineering, switching for maintenance, controlling system voltages by changing transformer taps, inspecting lines and equipment, replacing bulbs in street lights, removal and installation of transformers to serve new customers, and transportation expenses. e CUSTOMER ACCOUNTING AND BILLING (Line 11) - The labor.and direct expenses associated with collection of revenues. Typical charges include: receiving and preparing records for new customers and customers leaving the system, credit investigations, reading meters, preparing bills for delivery and mailing of bills, collecting billings, balancing collections and posting collections to. customer accounts, disconnection due to non-payment, investigation of customer complaints, and transportation expenses. e CUSTOMER INFORMATION (Line 12) - Charges associated with this function include labor and expense typically associated with processing customer inquiries into the proper use of electrical equipment, advice directed to customers on how to achieve the safest and most efficient use of electric equipment, engineering and technical advice to customers on the safe use of the utility's services, supplies and expenses pertaining to exha~bits and demonstrations at schools, business associations and other groups, and transportation and supplies costs. 6. OTHER CUSTOMER COSTS Line 13) - This line item includes labor, direct expenses, and transportation charges for advertising costs and selling activities 2-33 ELECTRIC SYSTEM e . associated with retaining existing customers and attracting new customers. It also includes an amount for uncollectible bills. PRINCIPAL AND INTEREST PAYMENTS (Line 15) The annual debt payments. The payments are the sum of both long-term debt and short-term financing. The long-term debt payments consist of principal and interest payments on the iziitial start-up and acquisition costs which have been estimated at $500,000. The long- term debt is amortized over 20 years. The short-term financing is being used to cover the initial construction, interest on debt during construction, and to provide necessary working capital for the initial two-year period. This short-term financing is paid off prior to end of Phase 1. ADMINISTRATWE AND GENERAL EXPENSES (Line 16) - Charges included in this line are associated with building service expenses, building space, communications expenses, costs associated with office equipment and supplies, fees and expenses paid to consultants, accountants, legal counsel, and other professional services, costs associated with property insurance, and costs of reserve accruals to protect the utility against injuries and damage claims of employees and others not covered by insurance. It generally also includes franchise fees and payments in lieu of taxes to public entities such as schools and counties. e MISCELLANEOUS COSTS (Line 17) - An allowance for expenses incurred by management functions whose efforts are not focused full time on the electric utility. These might include a utility director (water, gas, waste, electricity), a human resources department, a city manager, or similar functions. 10. TOTAL EXPENSES (Line 19) utility on an annual basis. The total 'cost of owning and operating the electric 11. SALES OF POWER (Line 20) - The annual revenue collected from electric customers for power usage. 12- INTEREST INCOME (Line 21) The initial construction and start-up activities of the electric utility occur over a couple of years. The initial long-term and short-term financing occur up front at the time of initial formation. This creates an initial cash balance which can be invested by the City. This line represents the interest on the cash balance available from cash generated by the utility or initially from financing. 13. TRANSFERS TO CITY (Line 25)'- Payments in lieu of taxes to the City. This amount is intended to offset any taxes that would be payable to the City if a private taxable entity owned' the electric system. 14. REPLACEMENrI~ (Line 26) General replacement of aged or failed major equipment and damages due to minor storms. Minor day-to-day maintenance is expensed and included in Operations and Maintenance (Line 8) ~c SYSTEM 15. ESTIMATED PLANT VALUE (Line 28) - The approximate value of the electric facilities "in service" (e.g., serving customers) based upon the initial cost of the facilities plus the year-to-year dollar mount invested in labor and materials to improve and expand the electric system. 16. ADDITION OF FACILITIES FOR GROWTH (Line 30) -Capital improvem~-nts associated with the installation of new facilities or expansion of existing facilities to Serve new customers. The costs are based upon estimates made for the City by others in 1995 dollars. RMI has inflated the estimates to nominal year dollars in accordance with standard utility practices; therefore,. Year-to-year values will vary from those presented in the SCE report. 2.11. RECOMMENDA~ONS AND CONCLUSIONS The City should establish electrical service at MCAS Tustin in a manner that best 'promotes the ability to most cost effectively develop the base infrastructure, thereby attracting steady long-term growth to the City. Furthermore, it is in the City's best interest to affect transfer of the MCAS Tustin utility system to an operator capable of providing maximum system reliability and quality of service. Also, it is important to assure convenient and economical access by the community to the new products' and services becoming available through the energy market-place. The first choice to be-made by the City is whether to allow the utility system to directly pass to the private sector from the federal government, thereby, allowing a competitive bidding environment to rule. Under this scenario the City would decline the electric utility under an Economic Development Conveyance and would, consequently, eliminate itself from the process of determining the service provider. This would also commit the City to passing up the opportunity to realize the profits identified in the profitability section of the report. This alternative is unattractive to the City and, therefore, not recommendecL Assuming the City has committed to accepting the electric utility system [rom the federal government, this leads to a situation where the City has a degree of control in the ultimate operation of the utility and its value to the community. Depending upon the timing of the agreements between the federal government and the City, the .City should request that the government work with the City in a "caretaker" role regarding the operation and maintenance of the existing system until the City can take possession, possibly one year after closure of the base. This one year could be extended depending upon the strength of the redevelopment plan presented by the City. Based upon the Phase I development involving service to many of the existing residential developments and the learning village area, the government policies regarding caretaker agreements would be generally consistent with the base reuse. The policies require that no upgrades be carried out at the government's expense. The areas being developed under Phase I require the least amount of electrical system expansion. The responsibility for any new electrical system construction would be borne by the developer or end user. 2-35 ELECTRIC SYSTEM During this caretaker period the City can explore, develop, and implement long-term options regarding 'ownership and operation of the electric utility system. The City can still choose from 1) ultimately owning and operating a municipal electric department, 2) conducting a negotiated sale of the system, or 3) competitively bidding the system operation under a request for proposal from the energy provider marketplace. Under any of these options the City can, in some way, affect the most beneficial service t~ the future business community moving into the MCAS Tustin area. In the event the decision is made to utlimately own and operate the system, the profitability section of this report for the electrical utility system indicates profits in excess of $90,000,000 over 20 years. This is based upon the final review of the final review of the city's rights in light of existing franchise agreements and their terms and conditions. As discussed in this report, the operation of the system could be accomplished by establishing a municipal owned and operated electric department This would require long-term financing of start, up, administrative, and legal costs, and a short-term financing package to get through the first two years. Operation could be accomplished by City staff or a combination of City staff and subcontractors. Either method will result in profits, making the business venture attractive and proyiding the City with the maximum means of assuring the incoming business community with good reliable electrical service. 'Section 2.9, Electric Utility System Options at MCAS · Tustin, discusses the different methods of operating a municipal-owned electric utility. Each of the methods will provide the City with a viable electric department. The main differences are the staffing options available to the City. As an option, the City could also sell the electric utility system to the local service' territory provider or issue a request for proposal for electric service to the MCAS Tustin area. Competition and resh'uc~g have greatly increased the number and aggressiveness of participants in this business. Many of the Energy Service Providers identified in the companion report 'prepared by RMI entitled "Strategic Assessment for the City of Tustin Electric Restructuring" are system operators as well as energy service providers (F_SPs). It is not recommend that the City necessarily give up ownership of the utility immediately. The sales or service agreements entered into by the City should retain the City's ownership of the system for a period of approximately five years to allow the City and its residences to review the benefits of the restructuring process which, by that time, will be much more established. The City could still sell the system at that time without a cost impact These options are, of course, contingent upon a philosophy in the City and its government consistent with establishing an electric utility department 2-36 ge 'NATURAL GAS SYSTEM 71! 3.1. GENERAL DESCILIPTION ' The natural gas system review and analysis includes an assessment of the existing underground piping system including the condition .and capacity. This assessment is based on the data provided to RMI during a two day site visit and information provided during interviews with site personnel, An analysis model was also prepared to project the profitability to the City of Tustin of owning and operating a natural gas utility system required to support the development of MCAS. The modeled natural gas distribution system is based on the proposed phased development outlined in the MCAS Tustin Specific Plan/Reuse Plan. 3.2. SYSTEM CO!NrDITION The existing natural gas system consists of service to MCAS by SoCalGas. SoCalGas provides service through a series of eight master meters located around the perimeter of MCAS. SoCalGas maintains the feeder lines to the meters and the meters. The military owns and maintains the natural gas piping distribution system, on the base property, from the outlet of the master meters to the end usage points. SoCalGas's lines are located along Edinger Avenue, Red Hill Avenue, Barranca Parkway, Warner AVenue, and Harvard Avenue. Table 3-1 provides a listing of the master meters by account number and shows the existing system operating characteristics for each master meter. The gas is distributed to the variOus end usage points and in some cases is again metered at the individual buildings. Typically these sub-meters are located at housing facilities but, in some cases individual housing imits are not individually metered. Therefore, new meters would need 'to be installed on these units in order for them to be used as transitional housing under the reuse plan. The natural gas distribution piping system is of a radial design with pipe line size being continually reduced in relation to the distance from the master meter locations. Also, the gas distribution areas served by the master meters are segmented and are not interconnected. This design limits the system reliability and flexfoility for expansion or development. To illustrate, adding an additional significant natural gas load, at the. end of the pipes from any of the master meters could not be done. The existing distribution mains and lateral lines are too small to handle sufficient additional load. In addition, if a gas line leak occurs at any point the entire area served by that master meter would be out of service. In the recommended looped distribution system a given load is fed from two directions, therefore, maintenance can be performed on the pipeline without service interruption by isolating the repair area. The system would be reconfigured by installing a new looped clistn"oution system. The looped system could be designed to provide adequate capacity for the maximum build- 3-1 -- NATURAL GAS SYSTEM out scenario and would provide for flexibility in the development of the site. The existing distribution systems already in place in the existing service areas could remain connected to their existing feeder lines if they meet the development capacity requirement. However, acceptance of these lines will need to be based on pipe condition and the ability to meet current standards. · · TABLE 3-1 NATURAL GAS MASTER MErER CHARACTERIS~CS Outlet Outlet Gas Inlet Gas Gas Pipe SCGC Account. Service Pressure Pressure Size Number Meter Location Notes PSIG PSIG Inches ... 05-3537-630-9_50-10 Barranca Avenue 1 50. 6 1-1/4 05-3537-582-001-15 · Red Hill & Warner Ave. 2 45 4 2 05-3537-568-87~-11 Red Hill & Moffett Drive 3 45 8 6 05-3537-573-060-14 Severyns Road & 4 $ 8 3 Football Field 05-3537-302-005-19 Severyns Road & 5 48 6 2 Edinger Ave. 05_3537-030-868-17 Warner Ave. & Harvard 6 50 8 3 Ave. 05-3537-050-001-13 Harvard Ave. & Brand & 7 50 22 3 Lon~s~ff - R21-3537-090-002-18' Brand & Bancroft Ave. 8 370 12 4 Service Notes: Natural gas is provided'to the entire base through the above eight meters Which serve the following areas. For location of metering location refer to the sketch at the end of this section. 1. Serves Building 212, operations and training facilities located on the southweSt area of the base. 2. . Serves operations and training~ and aircraft maintenance facilities located on the west area of the base. 3. Serves community support, recreation, administration, and family housing facilitieS located on the northwest area of the base. 4. Serves recreation, and housing facilities located on the north area of the base. 5. Serves housing facilities located on the north area of the base. 6. Serves housing facilities located on the east area of the base. 7. Serves housing facilities located on the east area of the base. 8 Serves housing facilities located on the east area of the base. 3-2 ® ~ ® UJ o~ -.i Z NATURAL GAS SYSTEM .7¸ 3.3. CONDITION AND CAPACITY Site operating personnel indicted that prior to 1974, MCAS Tustin did not have a natural gas system, and fossil fuel energy requirements were provided by fuel off. In 1974 a natural gas system was added on the site. This system was an underground .steel piping distribution system. The original steel piping system is gradually being replaced with plastic piping.. Therefore, at the present time, the system materials consist of a combination of steel and plastic. The base staff was not able to accUrately quantify the amount of plastic and steel pipe. RMI was told that the site has a high ground water table which is a detriment to the underground piping system. However, the operation and maintenance records provided to RMI do not indicate abnormal maintenance requirements for the system.. In fact, the record shows only 17 work orders for maintenance and repair from July of 1994. through October of 1996. This work typically included the investigation of strong gas odors, replacing leaking gas valves, excavation to locate gas mains, and locating and repairing of gas line leaks. RMI's visual inspection of the above ground outside building piping and equipment indicated that this part of the piping system is in good repair. RMI recommends the installation of a new looped natural gas plastic pipe distn"vution system. The looped system could be designed to provide adequate capacity for the maximum build-out scenario and would provide for fle~bility in the development of the 'site. The looped system could be fed from separate gas mains at opposite sides of the site. Tlxis concept would facilitate isolation of loop segments for maintenance. Thereby, providing increased system availability and reliability. The existing distn~bution systems already in place in the existing service areas could remain connected to their existing feeder lines. These feeder lines could then be connected to the looped distribution systexru However, it is impossible to determine the condition or future life expectancy of the existing underground piping system without digging up segments and doing testing. To the maximum extent possible, the backbone natural gas distribution lines will be installed underground at the same time as the on-site arterial highways are constructed to serve phased development. Distribution systems already in place in the existing housing areas will remain connected to their existing sources and will be considered private facilities. Acceptance of these existing lines will be based on pipe condition and the ability to meet current standards. The supply to the existing housing areas will be changed from the existing supply to the backbone natural gas distribution lines as soon as it is available and service arrangements are finalized. The new l°op system will be constructed to meet the requirements of the development included in each phase. The extent of construction in each phase can only be determined when the MC. AS development plan is f~nalized. It is noted that the Cost estimates provided in the MCAS Tustin Specific Plart/Reuse Plan and Community Facilities and In~astructure Report are Used in RMI's economic analysis and assume that most of the existing underground service piping would be new 3-4 NATURAL GAS SYSTEM anyway. Therefore, the use or non-use of. the existing service lines does not impact the . economic conclusions reached in this report. 3.4. CATHODIC PROTECTION SYSTEM Site operating personnel indicated that the existing underground steel natural'gas piping system does not have cathodic protection. The high ground water table increases the steel piping corrosion rate. Therefore, operating personnel have implemented-a phase-out of the underground steel piping and are gradually replacing it with plastic. RMI was not able to determine how much of the steel piping has already been replaced with plastic. RMI was informed by the site maintenance personnel flaat they are currently in the process of replacing the underground steel piping system with plastic. Therefore, RMI recommends that the existing underground steel piping system not be used in the development plan since installation of an effective cathodic protection system on the remaining underground steel piping system would be very difficult and expensive given the condition of the soils. Installation of a cathodic protection system will be phased over time consistent with the construction phasing. 3.5. HIGH PRESSURE VS. LOW PRESSURE As can be seen in Table 3-1, the existing natural gas distribution systems are operated between 4 and 22 psig. RMI considers this range to cover two pressure classifications, intermediate and medium pressure. RMI uses the following pressure classifications for it's design worla. Low Pressure (LP) - pressure less than 1 psig: Typically system operates from 8 to 10 inches water column. When designing, we use 7 inches water column. Intermediate Pressure (IP) - pressure from 1 to 5 psig: Typically system operates at 2 psig. When designing, we use a minimum of 1 psig. · Medium Pressure (MP) - pressure from 1 to 60 psig: Typically system operates at 45 psig. When designing, we use a minimum of 25 psig. High Pressure (PIP) - pressure greater than 60 psig: When designing, we use a minimum of 60 psig. , Two alternatives have been analyzed in this analysis, continuance of the existing low pressure delivery system versus a high pressure system. The high pressure system is not feasible due to the requirement to use steel piping for high pressure systems and steel piping can not be used due to the soft conditions on fl~e site with addition of extensive and costly cathodic protection. Note plastic pipe is not rated for high~ pressure. Therefore, RMI recommends that the new looped natural gas piping material be plastic and be operated at the medium pressure of 45 psig. This recommendation is based on two primary considerations: 1) Plastic pipe is rated to only 60 psig gas 3-5 NA~ GAS SYSTEM pressure. Therefore, a HP natural gas. distribution system would require the use of steel pipe and the use of steel pipe is not recommended due to the corrosion concerns as discussed above, and 2) The use of the existing radial service pipe lines to the existing facilities could not be used with a high pressure system since a number of these pipe lines aTM plastic .. With a high pressure gas distribution system, the size of the piping used for the main loop would be smaller than the pipe size required for a medium pressure distribution system. This may appear to offer some cost benefit But this is not the case given the size requirements for this site and the fact that use of the steel pipe requires an expensive corrosion protection coating and cathodic protection. Add to this the additional maintenance cost to monitor the cathodic protection system and the choice of plastic over steel becomes even more desirable. It is noted that this recommendation and conclusion is consistent with the assumptions and design criteria used for the prOposed natural gas system plan and costs projections presented in the Community Facilities and Infrastructure Re'port. 3.6. ANALYSIS MODEL Table 3-2, Natural Gas System Phased Costs And Energy Sales, presents the approximate anticipated development scenario within the projeCt area. These data were derived from the MCAS TusHn Specific ,Ptan/R~e Plan and Community Facilities and Infrastructure Report. This spread sheet model predicts the annual natural gas usage, for the four phases of development. The anticipated development scheduling and land use data were taken from Table 4-1' of the MCAS Tustin SpedJ~c Plar~euse Plan. The phased investment cost data were taken from Table 3.10-A of the Community Facilities and Infrastructure Report. The investment costs include a contingency of 40 percent. The natural gas usage data are based on SCC_,Cs maximum loading data presented in its letter dated July 15, 1994 included in the Community Facilities and Infrastructure Report. A diversity factor of 0.25 was used for natural gas usage in the facilities. 3-6 NAyURAL GAS SYSTEM 3.7. ASSET AND FO'KJRE CAi~fAL NEEDS The capital investment required for the development of the natural gas distn'bution system has been estimated in the Community Facilities and Infrastructure Report as $3,199,000. This estimate, as developed in the Community Facility Report, is 15},sed upon standard estimating processes of SoCalGas. This figure appears to be a reasonable conceptual estimate for development of the proposed system at MCAS Tustin. The value of gas systems at almost all other bases has been determined to be neglig~ble and often even reported to be unwanted by the local gas service utility except for expansion of their service territory. This report has presented sknilar conclusions due to the fact that construction of the MCAS Tustin system has minimal use with the system that would ultimately serve the' redevelopment throughout the base.. In addition, much of the system lacks necessary cathodic protection. The construction (either plastic or metallic) cannot be determined due to undocumented physical system information. Consequently, the presence or need for additional cathodic protection is vague, at best This reasoning is discussed in detail under the existing conditions section of this report For these reasons the system could be given no value, The gas system at Mare Island, which is quite extensive, was only valued at some portion of $50,000 which was paid for the gas and electric system combined. The Norton AFB gas system was valued at $100,000 with the Economic Development Conveyance. For the most part~ the latest information on base closure processes has shown that existing gas utility systems have no value within the Economic Development Conveyance and have value only within the redevelopment plans. Since the existing gas system at Tustin does provide service to the residential areas and the learning village area, and these areas will be immediate revenue producers, it is reasonable to assign a nominal value of $20,000 for the existing gas system: Similar to the electric system pro forma, this $20,000 is represented in the system pro forma as a promissory, interest free note, due at the start of the Phase II development in 2005. Similar to the electric utility system, a second value should be established to ascertain the true value of the gas system and all future needed gas backbone improvements in the context of customer value within the reuse planned by the City in the Specific Plan/Reuse Plan. Should the City elect to own and operate the gas utility, the value of the system in the hands of the City is ~epresented as a potential $50 million profit over 20 years against a distributed investment of $ 3.2 million over the 20-year period. This investment includes systeTM acquisition costs and system wide upgrades. This affects the'options to be considered by the City with regard to ownership and operation of the future improved system and, most importantly, the value of the future system should the City elect to invite proposals from utility operating companies. As explained elsewhere in this report, these proposals could be structured to address the operation, or ownership and operation, or any combination of the utilities systems' being considered in this report The ultimate system value could also affect the number of years to be considered for operation by a third party, if this option were selected by 3-8 NATURAL GAS the City. The concept of a total energy supply and operating company will mature as industry-wide restructuring and deregulation continues to define itself. Once again, if the City were to retain a total energy supply and operating company, similar to the electrical system approach, it would be better to not give up ownership for a period of time. 3.8. NATURAL GAS SUPPLY AND TRANSPORTATION OPTIONS · ?: 3. 8.1. Transportation to MCA~ Tustin To obtain natural gas for distribution within the former MCA$, the City would need to purchase the natural gas commodity from a supplier and have it delivered into the transmission system of SoCalGas. Negotiation of the gas commodity purchase would cost $25,000 to' $35,000. The gas would be transported to MCAS Tustin under SoCalGas' wholesale natural gas tariff. To be eligible for this service, Tustin would need to negotiate a natural gas service agreement with $oCalGas which would establish the maximum quantity of gas eligible for transportation, receipt and delivery points and pressures, and other pertinent terms and conditions. The transportation rate would be based on an allocation of SoCalGas' backbone and local transmission charges as well as costs for metering, billing, and general overhead. The gas commodity must be arranged separately. As a wholesale customers, Tustin would be exempt from any allocation of SoCa!Gas' distributiOn charges. These charges Would be revised periodically in a biennial cost allocation proceeding (BCAP) before the California Public Utilities Commission. Tustin would need to participate actively in the BCAP and other CPUC proceedings to protect its interests as a wholesale customer of SoCalGas. Costs associated with these activities will vary considerably depending Upon the City[s intent with'regard to its approach to the gas utility business. Typical City staffing and their ' attention to regulatory issues can vary widely depending on the City's management philosophy. This would result in costs to the City in the magnitude of $5,000 to $10,000 every two years. This includes effort on behalf of staff, consultants, and the City attorney.. Tustin would also need to comply with CPUC safety regulations..All other functions needed to provide gas service to Tustin's retail customers (including policymaking, ratemaking, operations and maintenance, gas supply, metering and billing, and related matters) would be the exclusive.jurisdiction of the City. Southern California currently obtains the bulk of its gas supplies from producing fields in the Southwestern U.S. (mainly Texas, New Mexico), Canada, and the Rocky Mountains. In-state production in the Bakersfield area provides most of the remainder. Southwest .supplies, are transported into the SoCalGas system via four federally regulated interstate pipelines. The E1 Paso Natural Gas and Transwestern pipeline systems terminate at the California-Arizona border. The Kern River and Mojave pipelines connect with SoCalGas in the Bakersfield area. Canadian gas is transported to the California-Oregon border by the Pacific Gas Transmission Company (PGT) and then transport, ed to an interconnect with SoCalGas at Kern River Station by PGT's parent, Pacific Gas and Electric Company. 3-9 3. 8.2. Gas Procurement Options To obtain interstate gas supplies, Tustin could buy gas the gas commodity from suppliers in the producing field, purchase capacity on the interstate pipelines, 'and transport the gas to California under its own transportation rights.. At present, however, the predominant share of the gas consumed by retail and wholesale customers in California is purchased from suppliers and marketers at the California border (or inlet to the SoCalGas system). The supplier hold the pipeline capacity and make all the arrangements for the delivery of gas into the SoCalGas system. Typically, these services include nominations and balancing. The gas. is generally priced at the monthly index price which reflects the going market price for the large volume of gas. that is transacted at the California border.. A number of financial tools are available for hedging the risk of price increases and such price protection can be negotiated with the supplier, if the City desires.' T° select a gas supplier, Tustin would issue a Request for Proposals (RFP) requesting bids for gas supplies, typically for a term of one year. Suppliers could be requested to bid to provide: (a) Gas supplies only; Co) Gas supplies and other services, including assistance in the financing, construction, and operation of Tustin's gas distribution system, metering, bilHr~g, customer service, and related functions; 3. 8.3. Combined Gas and Electric CornmodiO~ Supply A comprehensive package of gas and electric services. In addition to the items identified in Co), potential electric services include aggregation of electric customers, energy management and energy efficiency services, assistance in attracting new industrial/commercial loads, and a range of other serVices. A .comprehensive arrangement of this type would offer the supplier a'wide opportunity to provide value to the City and earn returns in the process. As a result, it could result in more competitive prices and greater benefits for the City's gas and electric customers than might result from a solicitation for commodity only services. There are a large numbers of reputable gas suppliers and marketers capable of bidding on a gas supply RFP. Many of the larger firms are equipped to provide both gas and electric commodity services. While smaller, the list of firms capable of providing a comprehensive package of gas and/or electric services includes such major national' players as Enron, Enova (San Diego Gas and Electric's marketing arm), minova, Cinergy, Southern Company, Utilicorp, Pacificorp, and others. The City of Long Beach also operates a municipal gas utility and therefore may have an interest in partnering with the City in establishing a gas utility and/or providing operating or other services 3-10 NATURAL GAS while the City assembles its own in-house capabilities in the operating and maintenance of a gas utility. CriY OF TUSTIN GAS DISTRISLrrION SYSTEM OPERATION 3. 9.1. Operations and Maintenance Requirement City responsibility for operations and maintenance of the MCAS Tustin base gas distribution system will result in the assumption of O&M work inclusive of facility mark and locate service to assure accurate identification of existing service lines preventing destruction of gas facilities during third party construction activities, customer gas regulation and over-pressure protection meter set maintenance, and distribution system cathodic protection, valve maintenance, leak survey, and line patrol. Emergency response.work will primarily consist of immediate leak repair, as in the case of a distribution main dig-in, or planned repairs, as in the case of a mechanical or materials failure resulting in a small mount of sustained leakage which is venting safely and not hazardous to public safety. In 'addition, gas utility service may include meter reading, service turn on/off, and a range of services provided on the customer's 'house line" side of the utility gas meter, such as pilot re-Hghts, leak/odor investigations, appliance combustion adjustments, safety inspections (i.e. carbon' monoxide or aldehyde generation), and energy efficiency services. Mark and locate service responds to contractor or customer calls to locate underground facilities prior to-initiation of any excavation Work. Mark & locate work is generally coordinated through .USA, Underground Service Alert. Elevated delivery pressure customer meter sets require annual maintenance to confirm the delivery pressure and to test over-pressure protection devices. Cathodic protection systems, which protect any buried metal components of the gas distn%ution system from corrosion, require bi- monthly and/or annual maintenance dependent upon the type. of system. Valve maintenance is reqttired annually on regulator/metering station valves and on any emergency zone valve designed as critical to isolating portions of the distribution system in the event of a catastrophic occurrence, i.e. earthquake. Leak surveys are conducted on one and five year schedules to assure safe operation of the system.' Line patrol is required in conjunction with the annual leak survey on any portions of the distribution system constructed above ground, such as bridge crossings. 3-11 NATURAL GAS SYSTEM ,r 3. 9.2. Capital Improvements - System Extensions, Reconstruction, Capacity Reinforcement Capital improvements or extensions of the gas distribution system can be categorized as incremental or production worlc Incremental work is characterized by individual new service extensions or service replacement at a customer premise. Production wo{k is characterized by larger scale new main extensions, main reconstruction due to deterioration or main reinforcement to increase system capacity. 3.9.3. Gas Distribution System Work Performance Options There are three options to consider for performance of distribution construction, engineering~ maintenance and Operation: 1) contract with Southern California Gas ' (SoCalGas), 2) contract individual components of O&M and construction work to qualified and certified contractors/engineers; .or 3) perform the sYstem work with City crews/technicians/engfmeers (cross-trained public works, water department or, potentially, the electric department personnel). In general, RMI proposes that the City adopt a transitional work performance strategy which would contract most of the engineering~ operations, maintenance and construction, work initially. Then, over time, the City would migrate specific work to City O&M crews, engineers, service technicians and meter readers. This strategy would allow time for cross-training and development of proficiency. Qualified and certifi~ contractors would be retained to perform O&M, and both incremental and production capital improvement work. SoCalGas may potentially, also be receptive to providing this interim and/or ongoing system operation service. However, some operation and preventative maintenance activities are most efficiently and cost effectively out-sourced to contractors. As an example, leak survey and cathodic protection work requires specialized training and/or equipment. This work is periodic in nature and thus is best contracted out. Other maintenance work such as mark and locate, valve, regulator, meter maintenance and customer service work lends itself to being performed by City crews and technicians, given sufficient training and volume of work to maintain proficiency and certification. This work is more spontaneous, relates directly to public safety and is customer sensitive.. Emergency response and leak repair is the most critical O&M activity, which would initially require SoCalGas or qualified contractor support. The issue is immediate response capability, 24 hours per day, and ability to secure potentially hazardous gas releases in a timely and safe manner. Repairs can then be effected by journeyman welders or crews certified in plastic fusion, in the event of a distribution main leak. IN the event of a leak or emergency within a customer's premise, a qualified gas service technician would need to be dispatched. Ultimately, leak repair work can be performed by trained and certified City personnel, subject .to annual re-certification and sufficient workload, to maintain competency and satisfy DOT annual re-certification experience requirements. 3-12 NATURAL GAS SYSTEM 3.9. 4. Other Issues to Be Considered The assumption of responsibility to design, construct, operate and maintain this. gas distribution system carries with it certain regulatory obligations and associated costs, which must be considered. The tasks and cost associated with this task vary as stated in Section 3.8.1 for BCAP/CPUC processes. This is.dependent on the City's approach to the gas business and its management philosophy. The operator of a gas distribution system is subject to various Federal and State regulatory oversight, including but not limited to U.S. Department of Transportation, Pipeline Safety Regulations, Part 191 and 192, California Public Utilities Commission General Order l12-E, Rules Governing Design, Construction, Testing, Maintenance and Operation of Utility Gas Gathering, Transmission and Distn~bution Piping Systems and the DOT Anti-Drug Program for Pipeline Personnel. 3. 9. $. Other Potential Benefits Other benefits may accrue from City operation of the MCAS gas distribution system. Potential economy of Scale benefit may result for other City operating departments, such as water distribution or public works. The addition of gas distribution system workload may increase the efficiency of other city operations. City infras~ucture may already exist to support SCADA, emergency response, 24 hour operations, and dispatch. The operation of this system is projected to contribute an equity transfer or "profit" to the Cities general fund. This acquisition and subsequent proficient operation by City personnel may lead to the economic viability of City municipalization of the balance of the City's gas distribution system, presently owned and operated by SoCalGas. Finally, the provision of city services, offering enhanced customer service, is often viewed as a source of local pride in the community. 3.10. GAS UTILITY OPTIONS AT MC_AS TUSTIN The City has three basic options with regard to exercising its opportunity to provide gas utility service to the MCAS-Tustin area. There are, of course, many subtle differences in the details of how the City proceeds through the base reclosure process, but basically these options included the following. Figure 2-3 illustrates the basic options available to the City for providing for natural gas service to the MCAS Tustin area. 1. Decline the conveyance opportunity for the base utility system Receive the MCAS-Tus~ gas utility system through an EConomic Development Conveyance (EDC) and, in turn, sell the system to another utility service company 3. Carry out the City's opportunity to own and operate the utility system. 3-13 NATURAL GA~ SYSTEM The City could simply decline the opportunity to deal in any way with the gas utility (Option 1 - Figure 3-2). Under this scenario the federal government would sell or auction the base gas utility system to the public sector. The base would be purchased by the local utility such as SoCalGas or by any other qualified energy system operator interested in operating the system. As an example, the Mare Island system was purchased by a partnership including the City of Pittsburg and an energy service provider. The City would continue to coordinate and permit and approve new construction issues related to utility development as it now does for any other major development within the City. The City' could also acquire the utility system under a legal conveyance and sell the system in the energy provider marketplace. There is considerable competition it tl~.'. field, and the City could be very successful in assuring that the future residential, commercial, and industrial businesses choosing to locate in Tustin have access to the extensive energy related products and services now becoming available ini'the energy marketplace. Finally, the City could also establish a functioning municipal gas utility. This option creates a municipal gas department with operations differing based upon City staff requirements and differing subcontract arrangement that could be employed. These options are labeled 3a, 3b, and 3c in figure 3-2. The options essentially include the following: Option 3a- Immediate transition to a municipal gas utility Option 3b - Immediate subcontracting of all management and O&M functions Option 3c - Long-term transition to the City - ultimately completely City staff. These options can receive the 'economic benefit of the caretaker maintenance. arrangements, deferred payment plans, and other financing opportunities available through the federal government Each of these options is analyzed in the following paragraphs by identifying 1) the risk to the City, 2) management and O&M requirements, 3) complexity of the business environment the City would be entering~ and 4) the service offered to the citizenry and .business community. 3-14 NATURAL GAS SYSTEM Figure 3-2 MCAS-TUSTIN- GAS LrflLITY FEASIBILITY Negotiated Sale to ] , Service Provider Gas System Operation ] (~h .......... ~ Government Auction / A,.,~,;~,~,~\~,a,~ L,~mm ~a. ntyI ..... ~ / '_ · . (Coordimte Infrastr~t~e y .a~ c~o~ 'Cor~t~:.orO .I-~ ~ S~ .Ivfdi~ A~ S~ · Residual Godt Work Form QICity IEnergy Selvices o~,~uo~ r~, (by Oty) ~ Long-Term ~ I Trami~m ~ City Anx~ u~Uty Administra~r I-rite r~~ su~qn~. 'nt I Subcontract Mainlema:e .Normal Maintmarre I I Immediat~ Transition To City A~ Utility Admini~mr (a~,s~fo I ~ Gas $~~ I I S~o~t ~e~ ~To ~ S~f Subcontract O&M A~ Utility Adminis~-a~or (~s~fo Subcontract All &O&M 3-15 NATURAL GAS SYSTEM The following listing briefly assesses the basic merits, risks, and complexity of each option. Option 1 - Decline the Gas Utility. From Federal Government .Risk - This presents no risk and no real benefit to the City government or any o'f its citizens. Gas service would be provided by either the current contiguous area franchise holder (Southern California Gas Company) or an equally qualified gas/energy provider, assuming that the federal government prepares a proper request for proposal or conducts an auction process to pre-qualified bidders. Management'and O&M- Under this option the City would have no responsibilities for utility system ownership and, consequently, Operation and maintenance. The City will have to provide necessary design coordination with the MCAS-Tustin development, of physical infrastructure including utilities, streets, and facility construction and renovation. Specifically, the City Public Works Department would have to review, approve, and accept the construction of new gas line and above groUnd facilities. Customer service activities such as pilot re-lights and line location would be provided by the gas system operator. Complexity - This process would not require the City concern itself with the issues beyond those currently encountered for site development anywhere else in the City. Detailed design would be the sole-responsibility of the developer and the utility system provider, with approval and acceptance by the City. Service to the Community - This option provides minimal beneficial service to the community and its residents on behalf of the City. The gas service will be via the traditional process of either a simple franchise, area expansion by SoCalGas or another energy provider. SoCalGas is being influenced by the current utility restructuring environment and will provide service reliability equal to any other' gas utility system operator and would result in gas service consistent with that currently being experienced by other SoCalGas customers throughout the City. Option 2 Receive the MCAS-Tustin gas utility system through an Economic Development Conveyance (EDC) and, in turn, sell the system to another utility service company Risk - Should the City sell the electric system and, presumably, service territory rights and privileges, there would be very little risk to the City. The City would have to be sucre to establish new or effect modification of any existing franchise agreements'and negotiate the sale to benefit the citizens of Tustin. Except for the responsibility for the 'sale process, this option does not present any risk to the City that it does not currently have with regard to franchise utility service to any of the existing areas of the City.. Management and O&M- Once the sale is made, the. City would have no responsibilities for management, .administration, operation or maintenance of the electric uffiity system or service to potential new tenants in the MSCA Tustin area. The 3-16 NA~JRAL GAS SYSTEM City would continue to relate to the utility service company as it has in the past relative to access to public-rights of way and construction review and approvals. Complexity - The only real complexity is establishing the value of the utility service to the MCAS Tustin area. It is assumed that the the sale or RFP process would involve only pre-qualified utility service companies and the City would retain no responsibility and assume no risk regarding the selection of the service company. The value of the electric distribution system is represented by the potential $90 million profit over 20 years against a distributed investment of $3.2 million plus EDC acquisition charges ($20,000) over the 20-year period. Recently, utility industry restructuring and the value of the customer have strongly increased the value of service territories and customer access° Service to the Community - Under this option the City is assuring the new customers in the MCAS Tustin area of. quality electrical clisizibution' service and access to new products and services consistent with that being provided throughout all other existing areas of the City of Tustin. Customers will have the same rights with regard to selection of their preferred energy service provider. This should not impact or be affected by the City's selection of the electric distribution company. Option 3a - Immediate Transition to the City- similar to gas system operation except for underlined statements Risk - This option carries with it the highest degree of risk option a~ailable to the City. The risk is the need to immediately staff and operate a functioning utility. This would require the City to immediately appoint an interim gas utility administrator with the responsibilities consistent with development and operation and maintenance of a small municipal utility system. Management and O&M -. The City would need to hire a gas system superintendent and O&M staff. Options 3 and 4 develop schemes that tend to mitigate the risks of an immediate transfer to the City. Gas system operation and the qualification'of maintenance personnel carries with it 'state and federal certification requirements regarding specialty, state and federal certifications in welding and plastic fusing which must be met and kept current by compliance with a minimum number of events throughout the year. In a small system, such as MCAS-Tustin, this could be difficult Emergency leak detection and repair must be accomplished by personnel with proper annual certification. Annual and five-year leak surveys require specialized equipment. For these reasons, it is recommended this portion of the work could be subcontracted out and transferred back to City operation once the operating crew has the required experie!ace. Complexi.ty - This is the most complex of the aVailable options due to the need to. fttlly establish a functional utility staffed completely by City employees. This would also · require the .City to extend its billing, metering reading, and other customer service functions to address new customers in the MCAS-TuStin area. These systems exist for a water department which the City already operates, so the City has the ability to understand the establishment of these systems, hi.. addition, however, cities such as 3-17 NATURAL GAS SYSTEM PaSo A~to cross tr~tn the water and gas maintenance personnel to be able to also perform the duties on both systems. Thise in effectt over tim% would provide a gas/water maintenance department more operating more cost effective than simply establishing another municipal department Any cost information in this report assumes establishing a separate gas department to provide the most conservative profit projections. " The options related to the City's right to distribute natural gas to customers on the MCAS Tustin base area, exclusively or otherwise, must be further analyzed relative to existing franchise agreements with the current area utility service company. The City has the right to establish a municipal gas utility department The question is: How is . the designation or acquisition of the new service territory, within the City boundaries, affected by existing franchise agreements, which seemingly give the current area-wide utility service company the fight to operate as it has for all prior years in public rights- of-way in the City? Due to the implications of current industry-wide utility restruchzdng and the potential profitability of the system as demonstrated within the pro forma statement included in this section, the City's rights should be reviewed in depth to ensure that the City does not miss a significant opportunity. Service to the Communi _fy- Under this option the City could address the operational needs of residents with the same care and degree of response as offered by its other municipal departments. The City could monitor the gas utility business to be sure that commercial and industrial customers are being afforded the best quality of service and reliabilityt as well as the latest products 'and services being offered by the gas utility 'industry. This combined quality of service and access to products and services represent local jobs to the local economy and, ultimately, the City's ability to provide the an enhanced quality of life to its residents. . Option 3b - Immediate City Operation Via Subcontracting of Service - similar t° electric system operation Risk - This option represents lesser risk to the City than the scheme descn"ved under Option 2' since all operations and maintenance staff positions will be. contracted to a qualified operating company with personnel experienced in the gas utility system operation. Critical to the success of this relationship is the preparation of comprehensive operating agent's procurement document and a thorough contract properly addressing all related issues. Management and O&M - The City will have to appoint a Utility Administrator to primarily monitor the system operating contract, watch out for the City's financial interests relative to revenues and expenditures, and assure the citizenry of quality gas utility service. The City will be able to assure that all other positions are staffed with competent O&M personnel via the provisions in the contract between the City and the operating agent Complexity- This arrangement is relatively simple and, provided that all instruments of service are comprehensive and based upon valid operating experience by a similar 3-18 NATURAL GAS SYSTEM entity, could provide the City with the significant long-term .revenue stream shown in the profitability section of this report and limited day-to-day operating 1/abiLity. The options related to the City's 'fight to distribute natural gas to customers on the MCAS Tustin base area, exclusively or otherwise, must be further analyzed relative to existing franchise agreements with the current area utility service company. The City has the fight to establish a municipal gas utility department. The question is: How is the designation or acquisition of the new service territory, within the City boundaries, affected by existing franchise agreements, which seemingly give the cUrrent area-wide utility service company the right to operate as it has for all prior years in public rights- of-way in the City? Due to the implications of current industry-wide utility restructuring and the potential profitability of the system as demonstrated within the pro forma statement included in this section, the City's rights should be reviewed, in depth to ensure that the City does not miss a significant opportunity. Service to the Community - Similar to Option 2, the City could address the' operational needs of residents with the same care and degree of response as offered by its other municipal departments. The difference from Option 2 is that the City would be dealing. with a subcontracted management and O&M contractor. Option 3c - Long-term Transition to City Operation - similar to electric system operation except for underlined statements Risk- From the perspective of establishing a City owned and operated gas department, this option presents the most conservative method by which the City could establish a functioning gas department Based upon the City's interest in the long-term projected profitability of the system, this option would be favorable to the City. Qualified personnel will be carrying out all O&M functions as subcontractors. The City could develop a transition plan moving to City staff positions Management and O&M - This allows for initially retaining a well qualified management/operating company or team and to, subsequently, develop a transition plan to City management and O&M staff positions. The City could hire the gas system superintendent position or subcontract this role. This is a key role, and it would be essential that t~s person maintain a management, view continually beneficial to the City. Gas system operation and the qualification of maintenance personnel carries with it state and federal certification requirements as described under Option 2. ComplexitE. - Similar to Option 3, this arrangement is relatively simple to execute. Provided that all instrttments of service are comprehensive and based upon valid operating experience by a similar entity, the City could be. provided with the significant long-term revenue stream shown in the profitability section of this report. This option · does take into account the fact that the operating staff is directly supervised by City staff and, therefore, the City will carry day-to-day liabilities and reliability and power quality issues. Many relatively small cites operate in this manner throughout California. 3-19 NATURAL GAS SYSTEM The options related to the City's right to distribute natural gas to customers on the MCAS Tustin base area, exclusively or otherwise, must'be further analyzed relative to existing franchise agreements with the current area utility service company. The City has the right to establish a municipal gas utility department. The question is: How is the designation or acquisition of the new service territory, within the City boundaries, affected by existing franchise agreements, which seemingly give the current area-~ide utility service company the right to operate as it has for all prior years in public fights- of-way in the City? 'Due to the implications of current industry-wide utility restructuring and the potential profitability of the system as demonstrated within the pro forma statement included in this section, the City's rights should be reviewed in depth to ensure that the City does not miss a significant opportunity. Service to the Community- Similar to Option 3~ the City could address the operational needs of residents with the same care and degree of response as offered by its other municipal departments. The difference from Option 3 is that the City would be responsible for and execute all management and O&M functions. This places the City the closest to the ultimate customer on a day-to-day basis and allows the City to be of service to the community in the broadest and most expedient manner. 3.11. PROFITABRflY OF A MUNIC~AL-OWNED UTIL1TY Converting the MCAS in Tustin to commercial and residential areas presents an opportunity to provide'economic development to the City of Tustin. This would require providing a safe, reliable, and cost:effective natural gas infrastructure system to supply the anticipated development areas. RMI believes that owning and .operating the natural gas infrastructure could be of benefit to Tustin. This conclusion is based on the information available from the site operations personnel, review of the MCAS Tustin Reuse Plan and Community Facilities and Infrastructure Report, and pro forrna analysis and RMI's experience in the 'gas utility business. Many assumptions and estimates were used in the analysis process which reflect the business conditions that will be faced by the City. The profitability projections are an estimate of the possible' cost- effectiveness of the systerrul Tables 3-3 and 3-4 show the expected costs and revenues for establishing a gas utility at MCAS Tustin. Tables 3-3 and 3-4 show the City's expected revenues considering procurement of gas through an RFP process from gas marketers nationally, and from SoCalGas, respectively. These pro forma models develop the estimated annual revenues based on the phased growth of natural gas service demand derived in Table 3- 2. Refer to Tables 3-3 and 3-4 for tabulation of the following key economic factors affecting the profitability to the City. 1. Year 2. Potential Energy Charge 3. Estimated Energy Cost ' 4. Energy Sales 5. Total Armual Revenue 3-20 NA'IURAL GAS SYSI'EM 6. Annual Energy 7. Annual Debt Service ~ 8. Annual O&M Cost 9. Total Annual System Cost 10. Annual Net Revenues 11. Cumulative Cash Flow The energy charge shown in Column (2) in dollars per 1000 cubic feet (MCF) is a weighted average cost based on SCGC's standard rate schedule GR for Residential service and schedule GN-10 for Small Commercial service. This is the basis for determining the maximum rate Tustin could charge customers for providing retail natttral gas service. Based on the current residential and small commercial rates of Southern California Gas Company, the maximum Tustin energy charge is estimated to be $6.78 per million Btu (MMBtu). The energy cost shown in Column (3) in dollars per MCF is based on estimated monthly throughput for PhaSe I using SCGC's standard rate schedule GW-LB for Wholesale Natural Gas Service. This cost includes monthly demand and storage reservation charges, volumetric charges for intrastate transmission and interstate transition cost surcharge, and natural gas commodity cost In Table 3-3 (Case 1), Tustin's cost of gas is estimated to be $Z65 per MMBtu measured at its City gate. This price was obtained from the California Energy Commission's latest forecast of market 'gas prices. The estimate assumes that Tustin would pay a wholesale transportation rate of $0.70 per MMBtu to transport gas from the California border to its City gate. This is the same wholesale transportation rate that is currently paid by the City of Long Beach, the only other municipally-owned gas utility in southern Califon~a. The SoCalGas pricing option is higher an0wing for potential unpredictable costs related to the wholesale charge component from the California state development of gas service to the MCAS area by the City. This further indicates that the City could afford to enter into a short-term agreement with a known entity such as SoCalGas to initially supply the gas commodity, allowing for development of an RFP, its evaluation and negotiation of a longer term cost beneficial gas supply contract. Assuming TUstin purchased gas through a competitive RFP solicitation, the City's cost of gas at the California border should be consistent with the $2.65 per MMBtu in 1998. The gas systeTM cost modeling shown in Tables 3-3 and 3-4 verifies that it would be profitable for the City to become the gas utility supplier for the MCAS Tustin area. A thorough review of the existing franchise service agreement should be done to ascertain the City's rights to establish a municipal gas utility in light of the City's current franchise agreement with SoCalGas. The financial models result in net annual revenues that are negative for only the first year, and then the system starts to pay back between the second and third year. 'Similar or better payback scenarios occur for investments assodated with Phases II, III, IV, and V. The exact payback period is sensitive to the assumptions made for the volume of gas service being considered. This can only be refined ff development plans are better defined. 3-21 Z ~o ~ ~<U 0 ~0~+~ ~Oull 8~8888888 NATURAL GAS SYSTEM The annual operation and maintenance (O&IV0 costs are initially for three full time operations staff which would include one service technician, one clerical position and one meter reader position. These positions would be doubled at the Phase II time period and again doubled at the Phase III time period to accommodate the increased development. Other annual O&M costs include metering equipment and spare parts inventory and an allocation for emergency repair through designated independent sub- contractors. To test the sensitivity of the results to less favorable pricing assumptions, RMI prepared a second case (Case .2) Which assumed a higher delivered cost of gas. In this case, the City's wholesale transportation rate was assumed to be $1.00 per MMBtu, an increase of 40 percent or 30 cents per MMBtu over Case 1. The increase assumes that increased costs would be allocated to the City owing to its smaller and potentially less favorable load profile than Long Beach. The analysis also assumes that the City's cost of gas at the california border increases to $2.27 per MMBtu, the same as that included in SoCalGas' current rates. As a result, Tustin's delivered cost of gas at the City Gate rises to $3.27 per MMBtu, over 60 cents higher than' in Case 1. As can be seen in Table 3-4, the "Net Annual Revenue" values in column 10 the "Cumulative Cash Flow" shown in column 11 still verify that it would be beneficial for the City to provide gas service to the MCAS Tustin area with system investment payback associated with Phase I occurring in approximately 3 years. 3.12.. NATURAL GAS SYSTEM RECOMMENDATIONS/CONCLUSIONS One primary aspect for successful development of the MCAS Tustin is to have an adequate,' reliable, and safe natural gas distn~oution system in place to support the planned development. An evaluation was made to determine the feasibility of changing the ex/sting low pressure natural gas'distribution system to a high pressure system. The high pressure system is not feasible' due to the requirement to use steel piping for high pressure systems and steel piping can not be used due to the soil conditions on the site. Therefore, a high pressure distribution system is not recommended. RMI recommends that the City of Tustin develop a natural gas infrastructure system to supply the anticipated development areas of MCAS Tustin. RMI was able to determine that owning and operating the natural gas infrash~cture would be cost-effective for the City of Tustin. This conclusion is based on the information made available to RMI during our review process. It is recommended that additional more detailed work be performed including detailed engineering drawings to better define the system and costs. 3-24 4. TELECOMMUNICA ONS AUDIT AND EVALUATION 4.1. GENERAL DESCRIPTION The telecommunications system on the MCAS facility consists of manholes, ductbank, cables (aerial, in duct, buried and in-building), a main distributing frame for a portion of the base, and common equipment such as splice cases and cross-connect boxes. Ownership of these facilities and equipment belongs to either the MCAS or PacBell, as detailed in this report This report discusses the availability of records for the facility, estimates condition and capacity for re-use, develops a gross revenue model, estimates the franchise fee opportunity, and analyzes capital investment and revenue source strategies of duct bank leasing and the installation of fiber optics to enhance the attractiveness of the re-use area to desirable, information intensive industries. 4.2. OVERALL CONDITION - CONCLUSIONS AND RECOMMENDATIONS Re-Use value of the existing telecommunications infras~~e can only be arrived at within the context of how the existing plant enables the re-use plan. For this reason, the following conclusions are arrived at by parcel areas. The remainder of this section provides the detail which support this analysis. Figure 4-1 shoWs the existing'PacBell service connections and serving area intert!aces. 4.2.1. Parcels 34, 35, 36, 37 (Housing east of Jamboree Road) This area is adequately served by the existing duct structure, Pacific Bell network cable, SAPs, and distribution cable to the residence interfaces. Some cable pair reinforcement and a limited amount of maintenance driven cable replacements will be needed in the future as residents start to require multiple lines per dWelling. 4.2.2. Parcels 23 and 24 (Housing area west of Jamboree Road) Only the distribution cable from the MDF to the SAI serving Parcel 23, and to the residences, is reusable. To meet modem quality of service considerations, the service must be re-routed to a closer telephone swing station. For instance, ff Padfic Bell were the service provider, they should re-route service to the Tustin 70 central office. Investment will be required as many residents start to require multiple lines per dwelling` with the costs driven by the distribution cables to each residence being direct buried undergrouncL Parcel 24, which is an expansion area for this housing, will need all new infrastructure. 4-1 0 ® I 'I LLI I LLI I- Z ! AUDIT AND EVALUATION 4.2.3. Parcels 1, 2, 3, 19, 21, 22 (Learning Village and TransitionalZEmerg~ Housing) Only the distribution cable from the Main Distribution Frame (MDF) to each of the bt~..' ding entrances along with the building inside wire is re-usable. Its current condition cannot be determined by physical inspection, because the cable pressurization has not been maintained. PacBell could not explain why the pressure has not been maintained. Pressurization of cable rn/nimi~s water intrusion. If the cable was pressurized, assumptions could be made regarding its condition. Based on the occupancy requirements, cable reinforcements may have to occur in the distribution cables and inside wire to add more lines. If 'the occupants have local area network data requirements, re-wiring or reinforcement of the inside wire will be needed. To meet modem quality of service considerations, the service must eventually be re-homed to a closer telephone switching station, such as Pacific Bell's Tustin office. The existing service from Anaheim 01 will serve during the transition period. High speed data requirements for applications Such as distance learning will benefit from a fiber optic system deployment Duct bank in this area will serve during the transition period for the existing bttildings. Based on its proximity to new road utility easements, sections (along with the cable).may need to be replaced. Any new buildings will need new duct and cable infrasta-ucture. Some of the cable routes and buildings are served by aerial cable, rather than underground. If the ultimate esthetic target for the MCAS redevelopment is to have all underground utilities, then investment will be needed in these parcels to achieve this goal. 4.2.4. All other Parcels west of lamboree Road Based on the proposed road alignments of the re-use area, there is no re-usable infrastructure. There is one 4-conduit duct run, with a 900 pair copper cable, that appears to traverse Parcels 8, 14, 16 and other areas, but does not appear to be aligned with the re- development area roadways. This can only have value if the proposed road alignments were to change to have this duct bank system route in the utility easement areas. Even if retained, it would have to be reinforced with additional duct. This cable and duct run provides service to the Reserve Center on Barranca Parkway. 42.5. MDF (Main Distribution Frame) 'Maxi-Hut' This building and its contents are re-usable for the Learning Village area and parcels 23 and 24 housing. It could accommodate a fi"ver distnq~ution frame. Because of its location within Parcel 1, the Learning Village, it may be re-Usable ff adequate security can be provided and the structure, upon a re-review, is satisfactory. If decision is made to remove it, it must remain in place until new infrastructure is installed and services re-terminated. 4-3 AUDIT ~ EVALUATION o.. 4;Z6. Pacific Bell Network Service Based on current customer expectations for both voice and data service quality, the existing Pacific Bell service from the Irvine 01 switching office adequately provides for service for the residential areas east of Jamboree Road (Parcels 34, 35, 36, and 37). Services for the redevelopment area west of Jamboree Road are beyond current distance guidelines for quality voice and data service from Irvine 01. Pacific Bell has placed a new telephone switch~g office adjacent to the base, near the comer of Red Hill Road and Edinger Avenue, but is not providing services to the base from that location at this time. Under a full redevelopment scenario, the Pacific Bell network cable from Jamboree Road to the MDF 'Maxi-Hut~ will eventually be abandoned or removed, as it is undersized and, therefore, would not be usable in the telephone cable distribution plan consistent with the base reuse. In addition, it is expected that telephone service west of Jamboree would be transferred to a PacBell distribution office to the west 4.3. CONDITION AND CAPACFfY This section details the condition and capacity of each of the' telecommunications components present on the MCAS ,-along with related information having to do with service and maintenance support provided by PacBell, 4.3.1. Review of Studies and Actions Completed to Date The 'Community Facilities and Infrastructure Plan for MCAS Tustin,' issued July 1995, provided a preliminary assessment of the backbone facilities required to support the build- out of MCAS. This study stated that for the areas west of Jamboree, the "system does not meet current. PacBell standards and will not be reused- The existing telephone system for areas east of Jamboree and in the public right-of-way is owned by PacBell and will continue to serve existing developments...' The proposed plan in this prior study was for telephone service to be provided and maintained by PacBell, with new substructure west of Jamboree Road. The new substructure would follow the alignment of the roadways in the redevelopment plan. The installation of .fi"ver optic facilities should coincide with the installation of basic telephone infrastructure. It included an estimation of infrastructure cost, in 1995 dollars, from PacBell of $1,541,000 with a contingency of 40 percent The 'MCAS Tustin Specific Plan/Reuse Plan,' issued October 1996 outlines the proposed land use, neighborhoods, and building re-use strategies. It is based on the July 1995 study recommendations, and it assumes all new infrastructure, and proposes the demolition of the telephone maxi-hut. This will result in new duct and cables to Service Area Interfaces (SAIs), and could result in all'new service drops being placed to retained brtildings west of Jamboree Road. 4.3.2. Frame The existing main clistn~vuting frame 0VIDF) Was constructed about 13 years ago, and is located in Building 505, the telecommunications 'maxi-hut" (Photograph E-1 shows an exterior view). The frame is reasonably modem, about 7 feet high by 5 feet wide with TELECOMMUNICA' AUDIT AND EVALUATION horizontal and vertical sides, and has wire wrap blocks. The frame has a standard protector arrangement with gas tube protector modules. The frame is about 80 percent ,utilized, and has capacity for about 1500 stations. Approximately 900 stations are in use. This frame serves the base areas bounded by Barranca Parkway on the south, Red Hill Avenue on the west, Edinger Avenue on the'horth, and Jamboree Rd. on the east including the housing loCations in this area. Telephone cable to the multiple unit housing areas in the Northwest comer near Edinger and Redhill known as Martin Court is spliced through the maxi-hut, but does not appear on the MDF. Pay telephone service on the base routes through this MDF. Photograph T-1 provides views of the ~rame and overhead cable racks. The frame also serves the Reserve Center, located with a separate entrance on Barranca Parkway. This .arrangement is historical, since the Reserve Center is served by the same PacBell Centrex. This physical configuration was required to have the Reserve Center be an 'on-premise' location rather than an 'off-premise extension.' A separate protector panel is wall mounted serving the digital T-1 services, including Primary rate Integrated Services Digital Network (ISDN), used on the base. This is a typical arrangement, since the pairs in a cable that serve T-1 must be 'binder group isolated' so as not to cause interference with other services. Photograph T-2 shows this arrangement The residential areas to the east of Jamboree Rd. have separate feeds from PacBelL The HTNB 1995 report says that the telephone distn%ution system is owned by PacBelL This .. will be discussed further in this report. The maxi-hut building in which the MDF is located is minimally equipped to serve as an electronics location. It appears to be of wood frame construction, with interior dimensions of 9' wide by' 22' long with an 8' ceiling. It has a small HVAC system, Payne model 517EN024, fed by a 20 amp breaker on 208 volt, 1 phase, 60 Hz. There were no markings as to BTU capacity. It appears to be maintaining a serviceable condition since. On the day of a visit, May 16, 1997, it was maintaining an 800 F inside temperature when the outside temperature was 950 F. However, if a fiber multiplexer and other electronics were to be added to the hut, the HVAC capacity would have to be re-evaluated to ensure that it could maintain required temperature limits that the equipment requires. The power panel for the 'maxi-hut" is rated at 200 amps, 240 volts, and is fed from the secondary electrical distribution. This distn'bution comes from an adjacent hut, Building 506, that houses a power transformer and an old and inoperative emergency generator. The maxi-hut does not have a reserve battery plant,' and the power panel does.not have an alternate feed from an emergency generator. The overall interior space within the hut is 60 percent occupied by the MDF, 3 wall-mounted frames of pair gain systems, and a desk. While the MDF and maxa'-hut are adequate to serve as a wire distribution point for a portion of the reuse area, its size will be a limiting factor ff Tustin elects to create a wire center for the entire MCAS redevelopment It could aCcommodate one or two bays of fiber optic multiplexers and other equipment Space may not permit the incorporation of a digital switch in'addition to multiplexer equipment Rectifier power and a battery plant must be provided to meet additional electronic placements. I-iVAC capacity would have to be 4-5 TEIZ. EOMMUNIC,~ AUDIT AND EVALUATION reviewed, and consideration given to providing an emergency generator, 'either in the adjacent power hut, or external to the hut. Security may be a concern due to its location and wood frame construction. The power hut adjacent to the maxi-hut has adequate space to house a new emergency generator, transfer switch, rectifier, battery plant and D. C. power distribution for electronics in the maxi hut, if the old generator were removed. Tustin may want to require that the old generator and power bays be removed as part of the conversion to allow for this opportunity. Since no fiber optic cable exists on the base, the maxi-hut does not have a fiber distn'bution frame. Space is available to place a fiber distribntion frame with adequate capacity to serve the re-use area. RMI was initially concerned that the maxi-hut is not elevated in relation to the surrounding property, and does not have a sump pump. Base personnel indicated that the area the maxi-hut is in has never flooded. Building 505, the maxiihut, is identified for demolition in the October 1996 Reuse Plan. The 'condition is cited as 'poor.' While it is not a beautiful building, its condition appears to be the same as Building 506, the generator/transformer building~ which is cited as 'good' condition. If Building 505 were demolished, it would clearly lead to the conclusion that a major amount of the conduit and cable would have to be replaced or re-terminated to a new distribution MDF. RMI does not recommend its destruction if security concerns can be addressed and the 'structure is re-evaluated as satisfactory. It can certainly serve as an MDF for the portions of the base identified in the 1996 Reuse Plan as Neighborhoods A, B, and the residential portion of G (that portion west of Jamboree Road). It does not have adequate space to serve the commercial and industrial areas denoted by Neighborhoods D, E and F. These c°ndusions are based on estimated telephone line counts contained later in this document. The MDF could be a fiber distribution point Minimum Point of Entry (MPOE) for spliced access to optical fibers throughout the MCAS base. 4.3.3. Cable 4.3.3.1. Pacific Bell Network Cable The MCAS MDF has two separate cable feeds from PacBelL The first, an older feed, comes from the PacBeH Irvine 01 central office located in Irvine, on Irvine Center Drive at Yale Avenue. PacBell records indicate this cable was installed in 1984, and has 2100 pairs, of which about 900 are termina~ on the MDF. Tlxis entrance cable is' 'Pulp' construction, which means that the conductors are paper insulated, and requires air pressurization. The PacBell engineer said that pressurization is provided from the Irvine 01 central office. The condition of this pressurization was not tested. This cable enters the base at the intersection of Harvard Avenue and Moffett Ave., and is in duct along Moffett Avenue and other base roads, up to its entry to the MDF. The cable length from the Irvine central office to the MCAS MDF is 22,200 feet, and its makeup is 24 gauge, partially loaded. This cable also serves the .housing area east of Jamboree, in the area bounded on the north by Edinger Road, and on the south by Larseru This area has two 'separate cross-connect boxes. 'rEI.,F~OMMLrNICA~r AUDIT AND EVALUATION Ownership of cable in this area will be discussed later in this section. The residential area bounded by Moffett on the south, Harvard on the east and Jamboree on. the west is Parcel 34. The residential area south of Moffett, north' of Larsen (approximately) and east of Jamboree is Parcel 35. The second feed to the MCAS MDF was installed recently as a physically diverse cabl~ from a different PacBell central office, Tustin 70. It has 300 pairs. This cable is of 'PIC' air core construction, which means that the conductors are plastic insulated. This cable requires air pressurization. The Tustin 70 central office is near the intersection of Red Hill Road and Industrial Drive, attached to the PacBell office.complex. The cable follows Red Hill Road and enters the base at Valencia Ave. Its length is less than 5,000 feet, and makeup is 24 gauge unloaded. This cable does not provide any services to the MCAS at this time. It was placed to provide growth capacity which did not occur once the decision was made to close the base. Both entrance cables are the property of PacBell up to the MDF, which is declared as the MPOE for MCAS Tustin. Another PacBell netwOrk cable originating at the PacBell Irvine 01 Central office serves the housing area east of Jamboree, in the area bounded on the north by Larsen, and on the south by Barranca. The residential area from Larsen (approximately) to Warner Avenue is parcel 36, and the residential area south of Warner is Parcel 37. This cable follows the public fight- of-way from Culver Avenue to Warner Avenue, and branches north and south along Peters Canyon Channel to cross-connect boxes on both sides of Warner Avenue. These parcels are almost entirely in the city of Irvine. Fiber optic cable has not been installed on this base, since there is no bandwidth requirement for it by the MCAS, Tustin. Current outside plant.engineering guidelines have an upper Hmit of 18,000 feet from the telephone switch t° the customer location when service is provided over copper cable, with preferred engineering being 15,000 feet from the telephone switch to the transition point from network cable to distribution (i.e the MCAS MDb'). The 22,200 foot distance of the existing service clearly exceeds these guidelines. 'The most visible impact will be the inability to meet customer switched data expectatiOns, such as achieving high data rates on. Internet connections. One way of e '!iminating this limitation is through the use of pair gain systems, such as those present (but not utilized) in the Maxi-Hut. Another way is by the placemen~ of a closer telephone switch. Pacific Bell is aware of these limitations, and now uses Jamboree Road as a demarcation for serving areas. Areas east of Jamboree are served by the Irvine 01 central office, and areas west of jamboree are served by the Tustin 70 central office. 4.3.3.2. Base Distribution Cable Owners. hip, Records and Concerns Before discussing the condition of base distn"vution cable, it is worth reviewing the ownership issues. Some questions that RMI asked of the MCAS communications staff led 4-7 TELECOMMUI~CA' AUDIT AND EVALUATION to the attached letter (Appendix D) from PacBell to MCAS Tustin, dated May 3, 1997. The respons~ility for maintenance, repair and administration transferred to the Marine Corps on August 8, 1993, and full ownership will transfer on August 8, 1998, at the end of a 5 year amortization period by PacBell. This applies to all cables from the MPOE. The MCAS has a maintenance contract with PacBell that covers such cable for this period, costing $13,000/yr. plus "regulatory charges.' RMI requested a copy of this contract from both the MCAS staff and the PacBell contact Neither could locate the contract PacBell provided a copy of August 5, 1993 offer letter (Appendix D). The building cable.maintenance service agreement offer letter from PacBell to MCAS, dated August 5, 1993, specifically mentions the Building 505 maxi-hut, which serves all areas west of Jamboree Road and also refers to the MCA$ cable system being "contained on 62 sheets,", which encompass all of the MCAS property. Since an M_POE is not declared for the multiple unit residential areas east of Jamboree Road, it is a gray a_rea if the residence areas that are served by Network Cable to cross-connect boxes, bypassing the MDF, are covered under this contract. This may be a critical point in establishing ownership of the distribution cables to such residences. The offer letter does not distinguish between wiring from the maxi-hut to 1.1 terminals and wiring within a building. A important transition issue will be retention and support for any and all records PacBell has, whether manual or mechanized, through the transition period. Written assurances must be obtained from PacBell and received by the Local Redevelopment Authority (LRA) that PacBell will not destroy or delete any cable and binding post records for MCAS Tustin until the LRA gives them a release to do so. This is critical, since PacBell does not view that it is being paid to maintain and update mechanized records, and alleges that it must purge such'records prior to August 1998. This report contains information regarding the general condition of the distribution cable on the base, and does not attempt to provide a detailed inventory. To the best that RMI can determine, there has been no mechanization of cable records by PacBe]l, other than binding post detail at each building terminal. PacBell took copies of old Marine Corps cable records (1984 or earlier), and created new vellum masters. These original and newly created records are manually maintained on such vellum copies by PacBell, with the poss~ility that some notes from working copies have not been transferred to the vellum masters. The area west of Jamboree has 56 maps, and the area east of Jamboree is on Ii maps, including 3 locator maps. Examples of such maps, obtained' from PacBell, are available. There are no summary outline maps that shoW cable routing. A similar situation exists for manholes and duct routing. The hours of work required to perform a complete inventory of base cables and provide higher level cable routing are outside the scope of this contract As a comparison, the base electrical system is displayed on 16 maps. Reserve Center: As indicated earlier, the Reserve Center on Barranca Parkway is served from an on-base cable fed from the MDF. It branches from manhole 130 into the 1.1 terminal for this building. This information is noteworthy since the federal government will be maintaining this operation after base closure. Conveyance decisions for the manholes, ductbard<, and cables will affect the telephone service methods to this building. The Army reserve may have to contract with PacBell to provide a new network cable to this location (from the Irvine central office, since that office serves E1 Toro). Lead Sheath Cables: Lead sheath cables, are considered a personnel and environmental hazard during their removal and disposal because of lead oxide dust When abandoned in AUDIT AND EVALUATION place, they generally are not considered a hazard as long as they are not disturbed. Tustin should consult with its environmental consultant for more specific direction. RMI has attempted to determine the locations of lead sheath cable on MCAS. In reviewing' the 67 pages of cable maps, it was found that there are no coding designations for the types of cable placed by the Marine Corps, and the year of placement is not'always present. The maps do show where cable is no longer in use by the use of 'X's along the cable nmi. It is probable that a number of these abandoned cables are of lead sheath construction. The PacBell technician who has been on this base for over 10 years was interviewed, and could shed little light on the abandoned cables. He indicates that any lead cables still in use are very small, 11 pair drop cables, and is aware of the following ones: Map 12G: Building 253. Building 173 Building 161 11 pair, 24 gauge 11 pair, 24 gauge 11 pair, 24 gauge still in use still in use still in use Map (*) Building 23 11 pair to bunkers NE of Moffett Ave. and Jamboree Rd., possibly not in use (*) Map number not on record document These cables should be replaced and disposed of prior to base conversion by the USMC~ 4.3.3.3. Distribution Cable- Three areas are of interest the MCAS base west of Jamboree; the Martin Court housing area west of Jamboree; and the housing areas east of Jamboree. MCAS Base west of Jamboree: This area is served by primary clistnq~ution from the maxi-hut via underground, conduit enclosed, large pair count cables. These cables go through many manholes depending on the base location, to a multitude of splice points and Serving Area Interfaces (SAIs). SAI is the current term for B-boxes, or cross connect boxes where large pair count cables terminate and are cross-connected to the cables .that go into sub-divisions and individual buildings. From the SAIs there is a full mix of underground entrances ~o buildings in conduit and direct buried, and aerial hms of cable on the joint use power poles that then have aerial drops to buildings. The aerial runs and drops are very. prevalent in the administrative areas east of the maxi- hut towards Red Hill Avenue. In general, the size of the cables into each building are minimally sized for the number of telephones in each building, and will have to be augmented or replaced depending on building re-use strategy. If all poles were to be removed in the re-use plan, then an aerial runs will have to be replaced with underground facilities. Conduit from the nearest manhole or handhole is · recommended. Both the 1995 and i996 studies recommend and support abandonment of the existing infrastructure west of Jamboree Road. 'For the residential areas east of Jamboree Road, the 1995 study states that the existing telephone system is owned by PacBelL This ownership is' open to interpretation' based on discussions presented herein. The portion of the system that may be under MCAS ownership until 4-9 TELECONIMUNICA7 AUDIT AND EVALUATION o... August 8, 1998 are' the cables from each SAI to the building entrance terminals. This SAI. would have to be divided into a PacBell network cable side, and a secondary MPOE side. PacBell may maintain that the SAI is their property, and any secondary MPOE's must be built alongside their SAI. The primary distn~vution from the maxi-hut to the SAIs appears to be very serviceable for meeting current capacity requirements, with many of the ~ables installed after 1984. The largest cables leaving the maxi-hut are 600 pair and 900 pair respectively, both of air core PIC construction with double sheaths, which provides greater resistance to ligh~ting and mechanical damage. These cables meet current standards for primary distribution cable. RMI is concerned that they are not pressurized to mirdmize water intrusion damage in the event of a break or a spHce case failure. Typical application guidelines would have cable runs of over 1000' pressurized. The 900 pair cable follows a circular route around the base from the. hut, passing Barracks 553 and 554, going to-the west of the parking apron, passing north of the reserve center, and continuing to SAIs near each of the blimp hangars. Overlaid on the re-use plan, it passes directly through Neighborhoods A and E, and the northwest comer of F. As an example, the SAI on the south side of Building 29, one of the blimp hangars, has 2900 pair capacity. The 900 pair cable is terminated through that point At one time the Marines had plans for Building 29, and 1200 pair are brought from this SAI into the hangar (recent, modem construction). Photograph T-3 shows the SAI, directly in front of Building 266. RMI's conclusion is that re-usable infrastructure is. in place for voice and data telephony in neighborhoods A and B. Cable pressurization of air core cables should be strongly considered, and any direct buried cables to buildings planned for commercial reuse should be replaced with cables in conduit to 1.1 terminals. Photograph T-4 provides a view of the splice cases in the maxi-hut, with cables below the splice cases coming from the entrance duct, and cable above the splice cases going to the MDF. A later section of this report forecasts that commercial/industrial telephone line requirements will be' between 10,000 and 20,000 lines, depending on PBX penetration.' These requirements will primarily occur in neighborhoods E, F, and G. Infrastructure is not in place to handle this level of demand. There is one 4-conduit dUct run, with a 900 pair copper cable, that appears to traverse Parcels 8, 14, 16, and other areas in neighborhoods E, F, and G. However it does not appear to be aligned with the re-development area' roadways. This structure can. only have value if the proposed road alignments were to change to have this duct bank system route in the utility easement areas. This cable and duct run provides service to the Reserve Center on Barranca Parkway. 4-10 TELECO~CAT' ~ AUDIT AND EVALUATION Martin Court housing area west of Jamboree (Parcel 23): The underground cable from the maxi-hut makes a transition to aerial, and then goes to an SAI at 1821 Marlin Court This area was built up in 1987. From the SAI, the cables to the subdivision residences appear to be direct buried, type AFAW, which means PIC pair insulation, with a water repellent filling compound, 22 AWG, ~vith a steel shield over aluminum. The distribution cables from the SAI are sized to 1.25 to 1.5 pairs per dwelling unit. This is an old standard that was used prior to second lines being common for teenagers, home office/fax, and Intemet If this area were to be continued to be served from the Irvine central office, reinforcement would probably be needed at the SAI and the buried cable. If the area was served by a local digital switch, either on the base or from the PacBell Tustin 70 central office, a teChnology called 'Digital Added Main Line" (DAML) could be placed that enables each pair of copper wires to serve two lines. The Irvine central office is too far away to allow the use of this technology. The costs of this technology would have to be balanced against the costs of cable reinforcement Typically for residential applications, DAML costs less than re-trenching or directional boring to place additional direct buried cable. A secondary MPOE has not been declared for this area. The SAIat 1821 Martin Court can'become the MPOE. Alternatively, if the spliced-through cable in the maxi- hut were redirected to Tustin 70, the cable could be reterminated on the MDF and an MPOE declared- Parcel 24, the expansion area for this housing~ will need all new infrastructure. Housing areas east of Jamboree Road: While this area is not specifically referenced in the August 1993 building cable maintenance letter, the cables serving the dwellings may be served by 'inside wire' from the SAIs. Parcel 34, north of Moffett Ave., was installed about 1982, and is fed with a 200 pair cable from' manhole 1702 near the Peters Canyon Channel_ The cable from the manhole appears to be direct buried, type ALTW, which means PIC pair insulation, with a water repellent filling compound, 26 AWG, with a steel shield over aluminum. The distribution cables from the James Court SAI are sized to 1.25 to 1.5 pairs per dwelling unit Similar sizing concerns apply as were stated in the Martin Court discussion. The PacBell outside plant engineer believes this area, and Parcels 35, 36, and 37 are at the outer edges of distance for application of DAMUs. The maximum application range for DAML's is 15,000 feet Based on the records, this cable appears to be reusable. Parcel 35, south of Moffett Ave., has different years of cable installation. About half is still the original cable installed in 1964, type BI-]AA, which is air core 22 AWG intended for aerial application, but was buried. The other half, type ALTW (same as Parcel 34) was installed in 1982. The type BHAA should be replaced since it will T'ELECOlVlMU~C~, AUDIT AND EVALUATION cause service issues in the direct buried application. Moffett. The SAI is at ParceI1 and Parcel 36, between Larsen and Warner, was installed in 1983, and is 24 AWG, filled cable. It appears to be about 80 percent direct buried, and is serviceable, with the same pair count per residential unit constraints outlined above. The SAI is at'Brand Court., north of Warner. Parcel 37 was installed in 1985, and is also 24 AWG filled c~ble, type ALTW, direct buried. The SAI is at Mayo court, south of Warner. It is serviceable, with the same pair count per residential unit constraints outlined above. Parcel 33, now vacant land north of Parcel 34 and Edinger Avenue, would need a new buildout. 4.3.3.4. Other Information- RMI asked PacBell ff it had the cable terminations at each building main terminal board in electronic format for all building terminations in PacBell's franchise areas. The outside plant engineers could not identify such inventory in the system cited, but indicated that there is a database that does contain binding post records that "will be deleted prior to the contract termination in 1998. ' If Tustin/RDA provides telecommunication infrastructure services on MCAS, it will be critical for Tustin to obtain, a copy of these records for all buildings at MCAS, with emphasis on the buildings that are being retained, or for the Marine Corps or Tustin to extend the maintenance contract, with specific provisions that no records will be dele'ted or destroyecL PacBell believes that it is maintaining this record for its own benefit, and that it is not part of the maintenance contract with MCAS. Conversation with the base PacBell repairman indicated only one noteWorthy maintenance problem. He has had recent problems with the cable going to Building 5 and believes that it may need to be replaced. To his knowledge, the PacBell maintenance center has not turned on any autodetecting systems, which would automatically detect problems, such as shorts and voltage crosses. He was also not aware of any problems with splice boxes, whether aerial, ground level pedestals, or located in manholes. When asked if the heavy presence of gophers on the base has caused problems, hewas not aware of any. Recently placed direct buried cable has had 'gopher tape' protection according to the PacBell outside plant engineer. These direct buried cables were not evident on a cursory review of the 67 pages of cable maps. In'the opinion of RMI, there is the potential for service problems due to gophers where the cables to the building 1.1 terminals are direct buried and not of double armored construction. There should be no gopher problems where the drops are in conduit. 4.3.3.5. Iv. side Wire Current telephone wiring standards for commercial building place "home run' cables from the building entrance 1.1 terminal to each telephone jack appearance, ideally with 3 pairs of Category 5 cable. The PacBell resident technician cited only 4 buildings-where such 'home run" cable was placed. These are Buildings 553 and 554, which are motel style barracks, and helicopter hangars 524 and 525, built in 1988.. All other buildings use 'looped' through' wiring, where the same pairs appear at multiple jack locations. Looped through wiring is 4-12 ~O]~VtUt~CA' AUDIT AND EVALUATION re-usable for voice grade telephony. Based on occupancy requirements for more lines, cable reinforcements may have to occur. These costs are borne by the building owner and tenants. Buildings 553 and 525 were visited to confirm the cabling. Building 553, a barracks, has a 3 pair 24 gauge 'cable to each room from the 1.1 terminal, utili~ng General Cable type S CM. This cable is Category 1, suitable for voice and low speed data, including ISDN basic rate, for a two story building. This cable is re-usable for residential applications. If commercial offices that required local area network cabling or ISDN Primary Rate service were placed in these buildings, Category 5 cable would have to be installed. Building 525 also has a 3 pair cable to each telephone jack location. The cable type could not be readily determined. The cables are a mix of hi-temperature marked, and unmarked. Based on the vintage, they are likely Category 1 cables. There is also a 25 pair cable of shielded twisted pair terminated on the backboard, which does not appear on PacBell cable records. It is not in use, and may have been placed directly by the Marine Corps. It most likely goes to the other helicopter hangar, Building 524. The Marine Corps telecommunications staff indicates that barracks 86, 93, 245, and 246 were rewired about 3 years ago, and may have modernized wiring. They would have to be visited to determine the type and layout of the wiring. · . Other than these buildings, the only other 'new' building is a child care center near the maxi- hut. It is wired with looped-through cable, not home runs. · As indicated previously, there is no fiber optic cable on the base. 4.3.4. Manhole and Duct Systems MDF Hut: The MDF hut has 20 entrance .ducts, all 4" diameter. 12 are in use, with cables of varying sizes passing through them. The remaining 8 entrance ducts are certainly adequate to provide cable access up to the capacity of the hut. The hut also has an air pressureline looped through the hut, coming in one duct and directly exiting another. It does not appear to be in use. Photograph T-5 provides a view of the maxi-hut entrance ducts. Manholes and Duct: PacBell records indicate that there are 128 manholes and handholes of varying sizes on the MCAS, each of which has a separate page in a record book. Two examples of such records are available for review. These records are not in electronic form. The manholes are indicated on locator maps that are part of the cable routing maps. The record pages indicate conduit runs and sizes, splice cases, and sometimes show cable types and duct fill. Undated pages with some of the manhole drawings indicate some defect issues. However, utili?ation of each duct can only 'be determined by a review with each manhole record sheet. The implication is that while there appears to be a great deal of conduit on the base, detailed study of each pathway and overall route would be required for cable Placements in the redevelopment. Also, use of older duct generally requires that the duct be rodded to assure it has no breaks or debris. There is no consistency to conduit diameters, which include 1", 2.., 3", 4", 4 1/2 ", and sometimes 5". This will complicate any futttre mechanized inventory system, and require engineering attention to optimize the use 4-13 TELECOMMUNICA7 ,AUDIT AND EVALUATION --7 of such duct sizes. Current engineering standards place 4" duct between manholes, and as entrance to SAIs or 1.1 terminals, unless the outside plant engineer is sure that no growth will occur in the planning window that requires 4" duct However, smaller size duct is very usable fo~ fiber cables. For example, using a standard fill factor of 50 percent, a 1" duct could accommodate a 96 fl"oer armored cable. The base has some abandoned duct runs north east of Hangar 2, Building 29. The PacBell outside plant engineer indicates these duct are of cardboard composite with creosote, and were in very poor condition. They believe the 'rest of the ducts are in serviceable condition. There are a number of ducts and manholes with abandoned cables indicated on the cable maps. With no information to the contrary, these cables should be assumed to contain lead sheath until determined not to be lead covered. To help understand the capacity and re-use of these manholes, Table 4-1 summarizes some characteristics of 17 manholes and pull.boxes (PB) that were extracted from a review of the PacBell drawings. It may help to think of manholes as nodes in a mesh, with pipes (duct) connecting the nodes. Based on this limited audit, the cable vaults (manholes) are significantly undersized for telecommunications applications. Newly placed plant typically uses a minimum size of 784 cubiC feet (8' x 14' x 7') vault. During the interviews, a PacBell engineer indicated a concern about some manhole entrances having undersized entrance holes. This may have been true at one time in the past. However a few years ago MCAS funded a project to enlarge the entrance holes. A limited physical inspection of the base did not locate any undersized entrance holes. The telephone conduit systems on the base parallel the electric power ducts in many areas. The duct route through re-development neighborhoods E and F were examined in particular · because of the commercial district designations. Earlier in the Distn~ution Cable section of this report, the route of a 900 pair cable through this area was discussed. This cable is placed in one of four 4' conduits along the route. The other three 4" conduits are empty, and can certainly be used for fiber and copper cable distribution, ff the roadways are planned to have this duct run in the utility easement Otherwise, it has no value. A later section supports the requirement of 6 4' duct for the backbone distn~vution system, so this section, if retained, would have to be reinforced with 2 additional duct A key re-use issue for distribution cable, conduit, and manholes is their location in relation to the proposed neighborhoods land.use plan. This cannot be determined unless the cable, conduit and manholes are mapped onto the re-use plan to determine compatfvility and conflicts with road construction and building excavations. With the major amount of demolition activity that will be taking place to remove unwanted btffidings, destruction of infrastructure will take place unless routes are carefully marked and contractors exercise due care. 4-14 ~OMMLn'qICA' AUDIT AND EVALUATION Table 4-1. Data Available from Manhole Records (Partial) Govt. PB # Near "Duct in Each Wail "' ~ol. Probiem?. · # Bld~ # (orientation is approximate) CF Indicated W N E- S "O01 48 2-3"" 2-2" ab. 5-2" 192 1-3" 3-3" 24" 24" 5 '. 14" 24" 43(4 box 3 505 1-2' 1-2" 4 1-1" 1-3" bonding 1-3" 5 161 2-2" 1-2" 1-2" bonding 2-4' 1-3" 2-3" 1-4" 2-4" 8 28 2-3" 3-3" bonding 9 28 1-2"? 3-3" 10 28 2-3" 2-3' 2-3" bonding 8A 11 1-4" 2-4" 1-4" 2-4" , . 13 Cfi 3-3" 1-3" ab. 2-3" 2.4, i68 ' Twr, 1-4' 1-4' 5-5" 28 2-41/2 1SA 14 2-4" 1-4" 2-4" 1-4" .156 no ladder 15 crash 5-4" 5-4" 6-4" 180 . 16 1-2" 2-4" 80 .. 2-3" 2-4" 17A 17 1-4' 2-4" 1-4" 2-2" 156 pig plg 18 hngr 2 14" 44" 4-4" 195 19' 54" 44" 14" 175 20 bonding , ,, ab. -- abandoned cable in duct Vol- CF -- volume in cubic feet plg. -- plugged duct hole in vault bonclinl~ may indicate that cable outer metallic sheaths are not properly bonded, or vault does not have adequate grounding Heading Descriptions Govt. # - MCAS manl~le number Near Bldg # - Nearest building Duct in F_ach Wall - Ducts exiting wall (west, north, etc) Vol CF- Pull box or manhole volume 4-15 TELECO~CA~ '~ AUDIT AND EVALUATION 4.3.5. Poles and Ancillary Equipment Poles are joint use with the electric power system, and in some cases with the cable television franchise. The electric system section of this report discusses pole integrity. The poles appear to have many more years of service life. Ownership needs to be determined, since some poles have markings. If all poles are to be removed in the re-use plan, then any aerial telephone cables to retained buildings will need to be installed underground. There does not appear to be any ancillary equipment of note, other than older vintage (500- type) telephone sets. These sets are Serviceable as single Line instruments, with limited re- application for commercial tenants. They may be effectively reused for public agency purposes, such as shelters, recreation centers, and other areas where multi-line instruments are not needed. Pay telephones on the base are owned and served by PacBeH. In a re-development, Tustin should be able to. bid out the pay telephones to PacBell and other coin operated pay telephone providers to share in revenue generated. With the prevalence, of telephone credit cards and cellular phones, this revenue opportunity is not as Valuable as in the past. The FCC has just announced a plan to address this inequity, by requiring long distance providers such as AT&T to compensate pay phone operators for calls where no coins are used. 4.3.6. Current Hardware and Software (life expectancy) The hardware consists of splice cases, cross-connect boxes, and building entrance 1.1 terminals, sometimes known as 66-blocks. The splice cases are useable only for copper pair connections. The ones in the MDF hut are of modem plastic construction, and so will last for many more years within the sheltered environment 05 years is a reasonable number). The type and .condition of the splice cases in the manholes and on the aerial sections is unknown, Because they are in more hostile environments, including heat, ultraviolet radiation, moisture, and temperature cycling, a reasonable estimate for life is 10 more years, based on an installation date of 1984. Cross-connect boxes are in undetermined condition. TheY are designed to have over a 20 year life. These distribution boxes for each area may be able to continue in use, with some reinforcement The terminals dedicated to each building are generally sized for anticipated use, which in the MCAS case is at the lower end. If the buildings are re-used for commercial tenants, both the cross connect boxes and entrance cable will have to be replaced or reinforced. Dial tone to the entire base is provided by PacBell, from the Irvine 01 central office. The 726- prefix is served by a Lucent 1AESS switching system. This switching machine provides many advanced features required by commercial tenants, but is not an ISDN-capable system. PacBell has long range plans to replace this 'and other 1AESS switches by the year 2001. When the MCAS base is redeveloped for commercial clients, all new services from PacBell should be provided from a Lucent 5 ESS or N0rtel DMS 100 switching system. It is Our understanding that the Irvine central office also has a Lucent 5 ESS. We also understand that PacBell wants to migrate the base west of Jamboree Road to be served by the Tustin 70 4-16 _ . TELECOMMUNICAT 'AUDIT AND EVALUATION central office (near the intersection of Redhill and Edinger Roads), which is said to have a Lucent 5 ESS. Within the MDF Hut, PacBell has placed 3 pair gain systems along with some auxiliary electronics. One is a recent vintage Lucent SLC Series 5, and the other two are Lucent SLC 96. Their purpose is to provide more 'lines' from the PacBell.central office without having to place additional entrance cable, by concentrating basic telephone lines into T-1 high-capacity facilities. Since they are owned by PacBell, there is no re-use consideration by Tustin. PacBell could use these systems to provide ISDN service from a Lucent 5 ESS, and could also enable the placement of DAML within the MDF hut to serve second lines over the same copper pair ff required'.. Photograph T-6 provides a view of these pair gain systems along with some electronics at the rear le~t used to support a base emergency 'circuit that provides voice communication between stations on MCAS. Since a digital switch or other software based equipment is not located on the base, there is no software relevant to this study. 4.3.Z Trunk Limitations Since a switching system is not present on the MCAS, there are no trunk term/nations. 4.3.8. Upgrades of Private Lines to Business The base appears to have very few 'private lines.' There are three Primary-rate ISDN lines (23 B+D, or 1.544 Mbps) used to interconnect the computers used as servers on the base. There also appears to be a emergency circuit, supported by PacBell equipment, that interconnects the Tower, the Crash Crew, the Fire Department, the Sick Bay, the Gate, and a few other locations. There may be additional Basic rate ISDN services also (2B+D). If the term 'private lines' refers to all of the telephone dial tone lines on the base, then these' lines can be reused for basic (voice grade telephone) business application, remembering that the dial tone service is provided today by PacBelL The key issue is condition of the cable plant in an environmedit that will be less forgiving of imp '.air_ments because of a higher use of plant for Fax and data. While it meets regulatory requirements for voice and data serVice, the service provided by PacBell from the. Irvine 01 central office will not meet current customer expectations for' data service due to the cable distance. A rearrangement of these services to be served from Tustin 70 is advised if PacBell is the 'dial tone' service provider. The cabling within the buildings is older style "switchboard" cable or Category 1 cable. For Local Area Network (LAN) data applications, a modem shnactured cabling system would have to be installed with Category 5 cable and Category 5 grade cross-connects. 4.3.9. Transitioning Existing End User Systems to Alternatives that Yield Increased Capacity and Revenue There do not appear to be any end-user systems that fall into tlxis category. The MC. AS base has three Marine Corps computer servers interconnected via PacBell ISDN Primary rate lines. The local area network distribution in the Headquarters building consists of 'thinnera coaxial cable strung through the dropped ceiling. Per the redevelopment plan, only the reserve center will remain as a military unit after base closure. 4-17 .. TELECO~CA' 'S AUDIT AND EVALUATION 4.4. DEVELOPMENT OF INTEGRATED SERVICES DIGITAL Nn~VOlU((ISDN) ISDN is being developed by service providers in response to customer desire for higher speed computer access to Internet service providers, telecommuting access to their employer's computer systems, and long distance access for switched video services .and high speed fax might order ISDN services. Other services are now in development .stages that use the D channel (described below) for interrupted access to data services. These systems should be considered when inviting telecommunication service providers to provide expanded services at MCAS-Tustin. Integrated Services Digital Network (ISDN) is a systems networking standard that combines voice, data, and video communications services into a single digital network to which any subscriber has access through a common network interface. PacBell and other major service providers offer this service in many combinations. There are two levels of service: Basic Rate interface (BRI) or 2B + D; and Primary Rate InterfaCe (PRI) or 23 B + D, which fills up.one 'H' channel. The three channels are as follows: B - a 64 Kbps channel used for digitized voice or data transmission; D - a 16 Kbps channel used for signaling and cai1 management; H - based on current T-1 standards and is capable of multiplexed data, voice, and compressed video. The D channel can also be used for fax and low speed packet data transmission. Basic Rate ISDN can be served up to 15,000' feet from a digital switch over existing copper pairs, providing the pairs are properly conditioned by the removal of load coils and bridge taps. Service beyond that range requires the use of pair gain systems or very expensive repeaters. The MCAS is 22,000 feet from the Irvine 01 central office, so ISDN service is not advised from that PacBell office. However the MCAS is less than 5,000 feet froTM the Tustin 70 PacBell office, so this would be the recommended location to provide PacBen ISDN service. A digital switch located on the MCAS could also provide Basic rate ISDN service. Primary Rate (23B+D, 1.544 Mbps) service requires the same designs as a T-1 HiCap, with repeaters and binder group separation in the copper cable. If fiber optic infrastructure was present, Primary rate ISDN and T-1 would be served from such multiplexers. 4.5. O~'~aUONS AND MAINT~ANC~ (O&lV0 The existing system is supported by one full-time PacBell technician, with support as needed by PacBell outside plant engineering and construction, and cable maintenance crews. Service order and trouble reporting processes are handled as normal business within the PacBell processes, for both the residential areas and MCAS business requirements. The opporttmity exists for the-City .to pursue a partnership with telecommunications service providers. Under this scenario, the cities share the capital cost of engineering, constructing, and possibly the cost of maintaining duct banks and manholes with the telecommunication company. The cost of a fiber backbone can also be shared subject to negotiation. Them are several telecommunication companies interested in developing such partnerships. One typical scenarios is that the telecom company would do the engineering and consh'uction and up to 48 fibers in a city the size of Tustin. Typical business deals would address a city- wide project, not just a portion like MCAS Tustin. The City could consider extending the 4-18 TELECOIvIMUNIC! AUDIT AND EVALUATION proposed project area to include the adjacent industrial area and perhaps the commercial areas of the City. Moving the cost of such undertakings to one provider in its entirety may entail the risk of losing control of future capacity assignment leasing, leading to street cut applications [rom other providers. The City may wish to consider the issuance of a Request for Prop'6sal to the 'telecommunications service provider induStry based on the scenario it chooses to True operation and maintenance costs are not available from Fac Bell. The existing maintenance contract for $13,000 per year that Pac Bell has with MCAS Tustin is not the true costs representative of the total O&M associated with MCAS Tustin. It is not known_ whether this contract is transferable or can be extended on an interim basis. Other costs that support the O&M at MCAS are buried in the revenue from telephone service charges. These costs cannot be easily extracted except by a very detailed research of work orders and costs by Pac Bell If a caretaker maintenance agreement were to be worked out with the federal government, it is urged that the Pac Bell telephone maintenance contract be made part of it. Operation and maintenance of the telecommunication system at MCAS Tustin could be done on a contract basis or by hiring and 'assigning one Ball-time maintenance' person. Subcontracts of this type can be arranged with qualified instanation contractors. If the City were to take over the current system operation at MCAS, and since the military really has no means of quantifying their existing service costs, the City should budget the requirement for one full-time person. Since maintenance has been provided by Pac Ben the costs associated with equipment, materials, and possibly specialty support contracts, would be higher, initially. These cost would likely be similar to carrying the work out under a subcontract. Costs for a full-time person would be as follows: Assumptions 1. One-man crew can accomplish the work Work 2080 hours of regular time 3. Assume 200 hours overtime per Crew member 4. Installer base rate - $25/hr 5. Overtime rate- $50/hr 6. Labor overheads - 40% .7. Subcontract cost - 25 % of labor costs 8. Equipment cost- 20% of labor 9. Miscellaneous costs - add 25% 4-19 TELECO~CAT AUDIT AND EVALUATION Operation and Maintenance Cost Estimate Labor and materials Regular time $ 52,000 Overtime 10,000 Overheads 20,800 Subcontracts 15,500 Equipment 12,400 Miscellaneous 27,700 Total $138,400 4.6. ASSET AND FUTURE CAPITAL N~ZDS Current broad gauge costs for trenching and placing a 6-way, concrete backfilled ductbank with 4" conduit and a manhole every 400 feet is $470,000/mile. Estimating 7.6 miles of roadway, the incremental planning view for a basic 6 duct structure would be $3,592,680. These costs are estimated by phase in Section 4.6.3. Table 6-1 provides the road section buildout by phase that these estimates are based on. Additional costs would be incurred for building entrance duct, and a' controlled environment vault or building area to house a MDF and electronics with capacity to serve the entire redevelopment area. This figure does not include any bond interest service, cable, electronics, and contingency factors. PacBell, in 1995 estimated this cost (number of ducts not stated) at $1,541,000 including a 40 percent contingency and including manholes and main feeder cables. With this wide variation, a competitive bid is advised if Tustin elects to own and manage duct capacity. RMI recommends that Tustin pursue this investment area if multiple telecommunications service providers will have access to customers on the redevelopment area, and advance lease commitments can be obtainecL 4-20 TELECOMM/B'qlCA' $ AUDIT AND EVALUATION Table 4-2. Road Section Buildout by Phase ' Mileage Phase Section # Road From To Est. I 1 N. Loop Redhill "Armstrong 0.364 2 Sever)ms PA 4 N. Loop 0.196 3 N. Loop Arms,,trong W. Connector _ 0.3.64 4 .Afresh'. ong N. Loop Warner 0.56 8 Armstrong Barranca Warner 0.504 18 PA 20 Harvard Jamboree 0.224 sub-total 2.212 II 5 W..C6nnector Edinger.. N. LoOp 0.224 ... 6 N. Loop W. Co. nnector Tustin Ranch 0.224 7 Warner Redhill Armstrong 0.336 9 S. Lool~ Armstrong Tustin Ranch 0.392 10 Tustin Ranch S. Loo]~ ,Warner,, 0.42 sub-total 1.596 III 12 Tustin Ranch Barranca S. Loop 0.252 14 S. Loop Tustin Ranch Warner 0.616 15 N. Loop Warner Tustin Ran. ch .1..092 16 E. Connector Edinger N. Loop 0.224 17 Moffet,, , N-Loolv , Jamboree 0.224, sub-total 2.408 IV 11 Warner Armstrong S..Loop 0.672 13 Tustin Ranch N. LOo? Warner 0.756 sub-total 1.428 TOTALS 7.644 These costs can be reduced based On re-use of ductbank and manholes that currently exist, providing roadways can be arranged to conform to existing ductbank route, particularly in Neighborhoods E and F. Current broad gauge costs for placing a 48 fiber Cable in the redevelopment area is $343,980, not including bond interest service, electronics, and contingency factors. These costs are detailed by phase in Section 4.6.4. RMI does not recommend that Tustin pursue this investment area. TELECOMMUNICATIONS SYSTEM OPTIONS AT MCA~S~ The City has three main options with regard to the potential acquisition of the telecommunications system at MCAS-Tustiru The telecommunications system is essentially a telephone cabling system with insufficient capacity to serve the future of the planned development after base reclosure. These options include the following: 4-21 TELF_~OMMUNICA' AUDIT AND EVALUATION 1. The City to assume full operation of f. he telecommunications system Allow Pacific Bell to basically purchase and incorporate the MCAS-Tustin area as a non- exclusive extension of their service territory .. 3. Develop an environment in which Pac Bell and other telecommunication system providers would competitively provide state-of-the-art telecommunications services. Each of these options is analyzed in the following paragraphs by identifying 1) the risk to the City, 2) management and O&M requirements, .3) complexity of the business environment the City would be entering~ and 4) the service offered to the citizenry and business community. The following diagram briefly summarizes the major development paths available to the City of Tustin to develop a system-wide telecommunication strategy plan. ~O~CA7 ':AUDIT AND EVALUATION · 0 Figure 4-2 CITY OF TUSTIN- MCAS (Ordy if P acBell is Blocked Ou0 Teleco::~nicaticn Adnirds~k~r and Bacldx~ I Sym~ I Carrier Service ! O&M Staff Telecoazn~caticn A&xir6stm~r I ! I Con~Uvely Bid To Con'l:~ti~ Invite PacBeI1 tn ] Be Service P~vider I ! Area Sales & ,,, TELECOMMUNICA' AUDIT AND EVALUATION 4. Z1. Extend Pacific Bell Franchise to the LRA Risk - This presents no risk and no improved benefit to the City government or anj~ of its citizens. Telephone service would be provided by the cua'rent contiguous area franchise holder (Pacific Bell). Over time other providers may enter the market to provide competition to Pacific Bell, as the commercial areas are developed. This may result in applications for street cuts to place conduit and cable. The City could mitigate this disruption to roadway surfaces by considering the proposal to construct and operate a telecommunications duct bank infrastruch~e. See the discussion in Option 3 for more detail as to the risks and rewards of this altemative. Management and O&M - Under this option the City would have no respons~ilities for 'utility system ownership and, consequently, operation and maintenance. The City will have to provide necessary design coordination with the MCAS-Tustin development of physical infrastructure including utilities, streets, and facility construction and renovation. · Specifically, the City Public Works Department would have to review, approve, and accept the 'construction of new duct banks and un. derground access vaults planned bY the telephone service pro_vider. Complexity. - This process would not require the City concern itself with the issues beyond those currently encountered for site development anywhere else in the City. Detailed design would be the sole respons~ility of the developer and the utility system provider, with approval and acceptance by the City.' Service to the Community - This option provides minimal beneficial service to the community and its 'residents on behalf of the City. The telephone service will be via traditional process of a simple franchise area expansion by Pacific Bell, with later poss~le market .entry and applications for street cuts by other telecommunications providers. This would result in telephone service similar to that currently being experienced by other Pacific Bell customers throughout the City. Inferior service may result if Pacific Bell defers system improvements in the established areas east of Jamboree Road. 4.7~. City Assumes Operation and Becomes an Exempt Telephone Utility Risk - This option carries with it the highest degree of risk option available to the City. One risk is the need to immediately staff and operate a functioning utility. This would require the City to immediately appoint an interim telephone utility administrator with the respons]~oilities consis~nt with development and operation and maintenance of a small municipal utility telephone Systerru In addition, if the City is not able to preclude other market entrants such as Pacific Bell and other Competitive Local Exchange Carriers, this course of action carries significant financial risks. Management and O&M - The City would need to hire an telecommunications director and engineering, operations and maintenance personnel. In this age of telephone deregulation .~ TELECO~CA' ; AUDIT AND EVALUATION and competition, the higher level positions are not easily filled with top quahty, experienced management due to competition for such talent. On the other hand, lower level personnel are readily available from the ranks of Pacific Bell retirees due to recent downsizing and early retirement incentives. Option 3 develops a scheme that tends to mitigate the risks of an immediate transfer to the City. Complexity - This is the most complex of the available options due to the need to fully establish a functional utility staffed completely by City employees. This would also require the City to .extend its billing, repair center, and other customer service functions to address new customers in the MCAS-Tustin area_ These type of systems exist for a water department which the. City already operates, however the complexity of a telecommunications system requires specialized systems and a core competency that is foreign to water department employees. The City would have to reach a contractual agreement with Pacific Bell. for support of the existing infrastructure while new infrastructure is constructed and service access points transitioned. Service to the Community - Under this option the City could address the operational needs' of residents and commercial/industrial enterprises with the same care and response as offered by its other municipal departments. The City could monitor the telecommunications utility business to be sure that commercial and industrial customers are being afforded the best quality of service and reliability, as well as the latest products and services being offered by .the industry. This combined quality of service and access to latest technology based products .and services represents local jobs to the local economy and, ultimately, the City's ability to provide an enhanced quality of life to its residents. This is becoming the cornerstone of customer acquisition and retention in the telecommunications utility business. 4. Z$. City to Construct Infrastru. Ct~re and Competitively Bid Service Partnersl~'p or Franchise Risk - This option represents lesser risk to the City than the scheme descn]ved under Option 2' since construction and operation .of a duct bank system is within the City's capabilities, and could actually be operated, by an electric utility if the City decides to pursue that opportunity. Development and operation of a City owned optical fi~er infrasiaxtcture was analyzed, and not recommended. Development and operation of telecommunications systems would be awarded to a qualified operating company with personnel experienced in the telecommunications utility system operation. Critical to the success of this relationship is the preparation of a comprehensive Telecommunications Ordinance properly addressing all related issues. If Pacific Bell will be serving customers in the MCAS-Tustin area, the financial risk of a duct bank system will be diminished ff a long term agreement for leasing by Pacific Bell is reached. On the other hand, ff Pacific Bell places its own system, the duct' bank system proposed within this analysis would be reduced in size from an estimated 'six to two ducts. The value of a duct baxtk asset would also be increased if the City enacts an ordinance limiting street cuts in the redevelopment area once the streets are paved. Management and O&M - The City will have to appoint a Utility Administrator to primarily monitor the system operating contract, negotiate and manage duct bank leases, watch out for the City's fimancial interests relative to revenues and expendituz~s, and assure the TELECOMMUNICA' ; AUDIT AND EVALUATION · · citizenry of quality telecommunications service..The City could consider integrating this function with the oversight that exists for the Cable Television franchise. Complexi _ty - Once executed, this arrangement is relatively simple and, provided that all instruments of service are comprehensive and based upon valid experience by a similar entity (City of Austin, Texas, as an example), could provide the City with the long-term- revenue stream shown in the profitability section of this report and limited day-to-clay operating Hability. Service to the Community - Similar to Option 2, the City could address the operational needs of residents with the same care and degree of response as offered by its other municipal departments. The difference from Option 2 is that the City would be operating relatively simple infrastructure, and dealing with a Competitive Local Exchange Carrier under a franchise or strategic partnership relationship. 4.7.4. CATV Options to the City Cox Cable, as the successor owner and operator of the on-base cable system, has "exclusive right to enter MCAS Tustin to construct, install, and maintain equipment, to utilize specified government property and solicit subscribers." The franchise agreement with the MCAS runs through June 25, 1999. The system appears to be a traditional coaxial distribution system within the base boundaries that will serve up to 110 channels, or 550 MHz unidirectional. It serves the housing areas located east of Jamboree Road, the housing development in the north east comer near Edinger Ave. and Red Hill Road, and ten barracks (building numbers 86, 177, 213, 227, 245, 246,. 538, 539, 553, 554). The coaxial cable may be direct buried in sections across the base, and so is at risk of damage during major reconstruction activities. The 1995 HTNB study indicates that Cox has a ~er node just off the base near Irvine Center Drive and Harvard Avenue. Provided that their fairer trunk system, to that point will support extending their distn~ution to new development on MCAS Tustin, Cox could easily provide CAq~V service to support future development. The franchise agreement that exists between the MCAS and Cox Cable will be up for renegotiation. Such renegotiation PrOvides an opportunity to gain commitments for system upgrade, quality of service issues and also franchise license fees. Many cities (for example, San Bruno, CA and Glasgow, KY) have investigated and deployed a CATV infrastnacture as .a core service to provide video services and Intemet access to their constituents. San Bruno was new cable system and, however Glasgow, like most other situations around the country, built a cable systems as an overbuild to supplant an existing CATV service company and provide its citizens with a high quality service option. Most current projects of this type are carried out with the intent of providing citywide service in lieu of other are cable television companies. The very high headend and basic infrastructure costs make the prospect of the City providing cable television service to °nly the MCAS Tustin area extremely prohfbitive~ Providing CATV should be viewed by the City in the context of reviewing the citywide CATV franchise situation, levels of satisfaction throughout 4-26 ; AUDIT AND EVALUATION the community, and other intereSt in upgrading telecommunication services throughout the entire City. Alternatively, discussions should occur with Cox Cable regarding their interest in leasing duct space from a city-provided duct bank system' rather than placing their own distribution system in the newly developed areas. Their focus Will likely be on residential units, but distribution to commercial areas may also be attractive. I>ROFITABILITY TO TIlE C1TY OF TUSTIN 4.8.1. Analysis of Revenue Sources the Telecommunications System PresentIy Has and Potential New Sources Available in the Future. This section develops this profitability picture by going through the following stages: · translating the specific Plan/Re-Use Plan into line forecasts by phase and category for residential, commercial, and industrial occupants; · developing a gross monthly revenue model for these categories, by phase, with revenue retention penetration rate factors; · estimating franchise fees using two models accounting for progressive?ccupancy within a phase, along with doing a sensitivity analysis of the effect-of varying penetration rates; · analyzing the business opportunity ff the City of Tustin were to construct duct bank and manholes, and then lease capacity as a sole provider; · analyzing the business, opportunity if the City of Tustin were to place a 48 ~' cable, and lease 'dark' fi~oer. The business opportunities for the City could be different depending upon the City's ability to award exclusive rights to independent telecommunication providers. Diff~t conclusions will be reached for each of the following two scenarios: · the City has the power to award exclusive telecommunications rights to one provider, not necessarily Pacific Bell; · the City must allow Pacific Bell to be one of the providers of service, with Pacific Bell taking the position that it is not required to provide franchise fees to the City of Tustin. The Telecommunications Act of 1996 has. reWritten the legal landscape for telecommunications alternatives available to Cities, Counties, and other local agencies. An available g~ide to the Telecommunications Actl provides guidance specifically to Counties and local officials. While there are many complexities in the law, two key issues are relevant to this conveyance analysis: ~ "Implementing the New Telecommunications Law", available from American Public Works Association for $20 member/S40 non member plus shipping and handling. TELF~O~C/ ~IS. AUDIT AND EVALUATION .. Counties and local governments have the authority to manage the public rights- of-way and to require fair and reasonable compensation for the use of public resources (fights of way) by private businesses, on a competitively neutral and nondiscriminatory basis; Section 253 (partial): No State or local statute or regulation, or other State 6r local legal requirement, may prohibit or have the effect of prohibiting the ability of any entity to provide any interstate or intrastate telecommunications service. Implementing Section 253 to the benefit of Tustin for the MCAS redevelopment area will require that Tustin develop and adopt a compensation and management ordinance (Telecqmmunication Services Ordinance). This ordinance must detail out the occupancy grant and the form and amount of compensation. Should the City wish to pursue struchuing a telecommunications ordinance, it is suggested" that the 'City review the ordinance passed by the city of Austin, Texas, located on the web at http:/wWW.ci, austin.ix.us/telcom/stdordl.htm. The Austin example is appropriate as it has many of the same go.als as Tustin with MCAS. Similarities are identified in Section 4.6.2. PacBell has taken the position that the Telecommunications Act of 1996 does not give cities and municipalities the right to charge them right-of-way fees to enter and install in the public fights of way in their franchise territory. Section 253 c states: "Nothing in this section affects the authority of a State or local government to manage the public rights-of-way or to require fair and reasonable compensation from telecommunications providers..." Since State law and codes take precedence over local government actions, PacBell maintains that under Public Utilities Code Section 7901, the regulated company has the right to go into the public' rights of way ~ provide infrastructure needed for service, without payment of fees. Local governments jurisdiction over such access is limited to controlling the time, place, and manner of installation of telecommunications facilities. Any court challenges to this position occurred prior to the Telecommunications 'Act of 1996. Tustin may wish to obtain a legal opinion on this position, and establish whether property under a Local Redevelopment Agency is included in a definition of public right-of-way. In any case, negotiations with PacBell should occur prior to a site plan being finalized, so that they do' not enter paved 5L~faces. Tustin has a desire to limit, and eliminate where legal, re-entry into paved surfaces once the roads and curbs are placed in the re-development area. Since Section 253 of the 1996 Telecommunications Act prevents local governments from refusing to issue permits, Tustin must make the lease of duct more economically attractive than right-of-way capital construction costs. This report recommends Tustin own the manhole and duct struchare, and lease space. This strategy will be effective as long as there is adequate capacity to meet the needs of telecommunications providers. This capacity can be optimized by the requirement for innerduct in 4' duct, leasing at the irmerduct level, and economically encouraging the use of h"ver optic cables rather than copper. Pay telephones in 'public areas are another revenue opportunity for Tustin. No revenue estimate is made in this report In an exclusive provider scenario, Tustin should be able to bid out the public pay telephones to PacBell and other coin operated pay telephone TELECOMMU]qICA' AUDIT AND B'VALUATION providers to share in revenue generated. With the prevalence of telephone credit cards and cellular phones, this revenue opportunity is not as valuable as in the past The FCC has just announced a plan to address this inequity, by requiring long distance providers such as AT&T to compensate pay phone operators for calls where no coins are used. The Marine Corps will be progressively vacating both the base operations areas and residential areas, with full turnover of all facilities occurring in 1999. Because of this progressive transition, there is limited value in estimating revenue from the residential and business services the Marine Corps currently purchases. While there will be interim costs to .support the existing infrastructure during the period of turnover, it is strongly recommended that the City lock-in this cost by contracting with Pacific Bell for interim support of the existing infrastructure, either extending or replacing the maintenance agreement contract that was discussed in Section 4.3.3.2. This interim contract may well be more than the $13,000 annual agreement provided to the military in the past The pro-rated costs of this contract extension should be. proportionately assigned to the portion of the MCAS site that is determined surplus property and to the retained 15.9 acre Army Reserve Center site, as appropriate. 4.8.1.1. Residential Phone Line Revenues Tables 4-2a and 4-2b forecast the dwelling units revenue based on the 1996 Specific Plan/Re- use Plan. Because of the high ratio of multiple family dwellings and a target for 15 percent. of the units to be dedicated to very low, low, and moderate income families, a lines per dwelling unit ratio of 1.25 is used rather than a single family home ratio of 1.5 to 2.0 The · estimated gross monthly revenue is conservatively based on a basic service charge of $11.25 flat rate, $12 for optional services and Intra-LATA calls, and $15 for Long Distance, for a total per line of $38.25. Table 4-2a displays this forecast by neighborhood, and Table 4-2b displays the forecast by development phase with a 90% occupancy factor. Table 4-3a. Residential Line and Revenue Forecast Gross Monthly Revenue Max. Phone based on Neighbor- Existing Potential Total Ma~ L~nes @ 1.2.5 900/0 hood ' DU's DU's DU's Lines / DU occupancy B 274 431 705 881 $30,337 D 0 1126 1126 1408 $48,453 G 861 1507 2368 2960 $101,898 H 402 0 402 503 $17,298 Totals: 1537 3064 4601 5752 $197,986.00 4-29 ~OMMUNICAT AUDIT AND EVALUATION Table 4-3b. Residential Line Monthly Revenue by Phase Gross'M°nthly Phone Lines Revenue based Dwelling @ 1.25 · on 900/0 Phase Years Units Lines/DU Occupancy I 1997-2000 851 1,064 $36,620 II 2001-2005 2,065 2,581 $88,860 III 2006-2010 559 699 $24,054 IV 2011-2015 1,126 1,408 $48,453 IV+ 2016+ 0 ii i Totals 4,601 5,751 $197,987 ,. , 4.8.1.2. Business Telephone Lines Table 4-3 summarizes the commercial square footage by category and development phase, as provided in the 1996 Specific Plan/Re-use Plan, and Table 4-4 then estimates the number of business telephone lines, and subsequent revenues. This table does not include the high speed data requirements, which are estimated in 4.5.1.3. The Business Phone Line assumptions are based on .desk sets, with no reduction yet for PBX concentration of traffic, except for the hotel application. The estimated gross monthly revenue is conservatively based on a basic service charge of $14 measured service, $35 for optional services and Intra- LATA calls, and $75 for Long Distance, for a total per line of $124. The model for lines per square feet is based on prior experience. Table 4-4. Commercial/Industrial Floor Area Square Footage by Phase ' Oenm-~I l~.~in~ Community ShorP:m~ Offic. U~ht Inau.trial Pha~e Yeara Commercial Villag~ Facilit~ Center Park I, ndu~trialPark Hotel . Totala n mOl-eOo sma) 506 60 27m0 4mmo 73s6m (2 mo) mzno IR 2006-2~0 156160 130000' 294410 8435.30 1424100 IV 2011-2015 112640 385500 150000 199640 895080 1742860 V 2016-20'20 795730 335120 113O850 VI 2020+ 152460 1563640 170889O Totals 985520 1328816 515500 945730 3335660 1787090 2447490 11345806' ,, Note Hotel scI. fL is shown for record, and is not in total& Hotel is sized at 500 rooms + 5000 sq. fl. Display exclude~ Transitional Housing, Urban Regional Park, and Community Park. 4-30 TELECOMMLBqICA? AUDIT AND EVALUATION · · . . Table 4-5. 'CommercialflndUstrial Telephone Line Forecast by Phase ,., , ,, Phase Year~ .Conune..,rcial ¥illa[~e,. F. aciH,t]r . .Center Park Industrial Park -Hotel Tot~]~ i 1997-2fi)0 46 192 0 0 3102 0 3340 n 20cn-20~ i083 ils 0 0 .1298 34 172 2705 ,, . Ill 2006-~0 312 0 36 0 1374 590 0 533 2846 1V 2011-2015 225 0 108 60 932 627 0 1951 V 2016-2020 0 0 0 318 i,~t 0 0 1882 VI 2020+ 305 0 0 0 7297 0 .399 8001 Totals 1971 310 144 378 15566 1251 571 533 20726 ........... Note Forecast based on usable square feet, which is 70% of amount in Table 4-3. To translate business line forecast into revenues, assumptions need to be made about Private Branch Exchange (PBX) penetration. Since a PBX saves primarily the basic service charge, with Intra-Lata and' long distance charges still occurring (via least cost routing), this study estimates a 50 percent penetration against basic service,, and a 70 percent penetration against usage charges. (penetration = business retained). The gross originating'monthly revenue estimate is displayed'in Table 4-5 by development phase, based on full development and commercial occupancy. Table 4-6. Commercia¥Industtial Telephone Line Monthly Revenue Forecast by Phase Basic Iutra-tata. Ton` ,, Business Service and Long T-1 Gross Phase Years Lines Revenue Distance Rev. Revenue Revenue I 1997-2000 3340 $23,380 $257,184 $18,370 $30Z275 II 2001-2005 2705 $18,933 $208,267 $14,876 $244,782 III 2006-2010 2846 $19,925 $219,176 ' $15,655 $257,603 .,. IV 2011-2015 1951 $13,660 I' $150,260 ·$10,733 $176,604 V 2016-2020 1882 $13,175 $144,928. $10,352 $170,338 VI 2020+ 8001 $56,005 $616,050 $44,004 $724,059 Totals $145,079 $1,595,865 $113,990 $1,875,660 4.8.1.3. Dedicated Data Line Revenues This area is very difficult to quantify, and is very dependent on the nature of businesses present. This section makes estimates based on an information-rich society, of one T-1 line for every 100 business lines to support dedicated data requirements. Bypass in the fora of VSAT (Very Small Array satellite Terminal) could lower these estimates.. Revenue is harder to predict, since T-1 costs are based on mileage and volume discounts to major customers. A low end estimate for a 10 mile HiCap would be $550/month. At this level, the predicted 4-31 AUDIT AND EVALUATION revenues for 207 T-1 lines would be $113,990 per month. This figure is under tremendous competitive pressure, but the decline in revenues because of lower charges should be balanced by growth in demancL Unlike telephone line use, this does not represent originating revenue, so it will be harder to quantify as a value for right-of-way negotiations. This is also displayed by development phase in Table 4-5.' 4.8.1.4. Summary of Predicted Telecomnaunications Revenues Table 4-6 summ~ the monthly originating revenue-estimates outlined above. These revenues will be used in developing a strategy for the value of leasing rights-of-way in the redevelopment area. 4.8.2. Table 4-7. Gross Originating Telecommunications Revenue Summary Categor~ S/Month Residential $197,987 Commercial. $1,740,944 Dedicated Data $113,990 Totals $2,052,921 ..... ,,, Franchise Fee Revenue Model While many variations are possible for franchise fee charges, two models provide maximum insight into the strategic opportunities.. The first bases franchise fees on a percentage of gross originating revenue by telecommunications service providers. The second is based on a fixed charge for each line termination - residential switched service, business switChed service, and business channel termination. This study uses a 5% franchise fee for the first model, and the fixed .charges set by the city of Austin, Texas in their Telecommunications Ordinance for the second model The City of Austin Ordinance was chosen as a working model for the' following reasons: · It is specific in its franchise revenue measurements · It is public, and is available via the City of Austin Internet home page · It was developed after the local telephone company, SBC Communications, forced the City to change its original plans by legislative and legal action; SBC is. now the parent company of Pacific Bell · It' was successful in attracting a competitive provider to the local telephone company, SBC Communications. Their fees are: $0.85 per month for Residential switched services, $2_56 per month for Business switched services, and $4.26 per month for business channel terminations. Business channel terminations were not very well defined by Austin, so this study uses T-1 channel terminations. 4-32 TELECO~CA7 i AUDIT AND EVALUATION The model phases in the revenue over each development period. For instance, Phase 2 revenues include Phase 1 end of period revenues plus 20% of Phase 2 incremental end of period revenues the first year, 40% the second year, 60% the third year, ... 100% the last year. With commercial switched services (basic service, intralata toll, and interlata toll) re,denues representing 85 % of the total originating revenues, the 5 % franchise fee model becomes very sensitive to commercial toll revenues. The model accounts for this variable as a separate penetration factor. Conceivably, a franchisee could claim that they are only respons~le for the calls that that they bill, even when their access lines are used to reach alternative long distance carriers. Tustin could require that the settlements process proscn~ by the National Exchange Carriers AssOciation should apply. This settlements process defines the mechanisms by which telephone carriers share revenues for calls based on calls originated by local telephone company lines and calls completed to local telephone company lines. Chart 4.6-1 displays the sensitivity analysis for both the 5 % model and the Austin model, using total fees over the 1998 to 2025 period. The following conclusions are evident;, The 5% model is superior when Commercial Toll revenues are included; If Pacific Bell is a service provider without franchise fees to the city, the 5% model still provides more revenue to the city even at small penetration rates, as long as toll revenues are included; If the city is not able to construct an ordinance that collects fees on toll revenues, then the Austin model is superior when the franchisees capture 40% or more of the commercial market;, One intangible consideration is that the Austin model is considerablY easier to administer than the 5% model, which requires the reporting of gross, revenues for the MCAS' redevelopment area by the service provider. 4-33 TELF_~O~CA~ AUDIT AND EVALUATION $15,000,000 $10,000,000 $0 Penetration Rate CHART 4.6-1 SENSITIVITY ANALYSIS Franchise Fee Revenue Dependence 'on Penetration Rates Tota I Fees - 1998-2025 I 0 0.5 1 Vary Residential Vary Commercial Basic Vary Corrrnercial Toll Vary Residential Vary Commericial Basic · --e---Vary Commercial Tol 4.8.3. Analyze Duct Bank Leasing as a Possible Revenue Source for the City If the city is not able to award a telecommunications franchise to a single proVider, then the city will benefit from ensuring that adequate duct bank is placed during each Constructi°n phase, and that this duct is usable by multiple telecommunications providers. The city will want to avoid street cuts after paving occurs.. The city could accomplish these goals by constructing a manhole and ductbank system in the redevelopment area roadways. This section analyzes this opportunity, with the assumption that any re-use of duct that exists today is incidental in nature. Whether a switching station is located on or off the base, copper cables are still the most economic way of serving switched telephone lines. With a 4" duct accommodating a 2000 pair, 24 .gauge filled cable, cable routing plans and PBX penetration then govern .duct requirements. At a 50% penetration rate of the Commercial/Industrial sector, the total service demand will be about 15000 lines at full development. Serving half through one route, and the other through a second route would lead to 7500 lines per route, or 4 cables, occupying 4 duct. Adding two more duct to accommodate fl~oer cables and unforeseen growth would require a 6 duct minimum configuration. Current broad gauge costs for trenching and placing a 6-way~ concrete backfflled ductbank with 4" conduit and a manhole every 400 feet is $470,000 per mile. Table 4-7 provides a estimate of this capital cost by phase and route miles. The road section by buildout phase is derived from the information available in the MCAS Tustin Specific Plan/Reuse Plan. ~EIZ. COMMUNICI E; AUDIT AND EVALUATION Table 4-8. Telecommunications Duct Bank and Vault Construction Estimate Phase ' "years Route 6-Dda Miles Est. I 1998-2000 2.212 $1,039,640 II 2001-2005 1.596 $750,120 III 2006-2010 2.408 $1,131,760 IV 2011-2015 1.428 $671,!60 Totals 7.644 $3,592,680 ..... These figures do not include building entrance duct, a controlled environment Vault or building area to house a digital switch and other electronics, or inflation factors typically covered in a contingency factor. PacBell, in 1995 estimated this cost (number of ducts not stated) at $1,541,000 including a 40 percent contingency, and seemed to include main feeder cables. With this wide variation, a competitive bid is advised if Tustin elects to own and manage duct capacity. Leasing rates for duct are not well established in the industry. To assist Tustin with a business model a sensitivity analysis has been developed that derives profitability as a function of innerduct leased (4 innerduct per each 4' duct) and innerduct lease rates. Each of the capital expenditures was amortized based on a bond issued in the first, year of each phase, at 7% interest rate over a 15 year period. OA&M should be very low, and is included. at 3 % of the asset capital value per year. Chart 4.6-2 displays a sensitivity analysis of profitability versus innerduct leased. Three innerduct lease rates are plotted, and the point at which positive cash flow occurs is also indicatecL The following conclusions can be made: More than $4,000 per innerduct mile per year is needed to achieve a early positive cash flow at a reasonable number of innerduct leased (50%). Early lease commitments prior to construction is advised. This profitability picture Would brighten considerably if other revenues, such as franchise fees, were usable to offset negative cash flows in the early years. The industry willingness to pay will determine whether this is a viable business. When a telecommunications provider builds such ductbank, they capitalize the project. They must be willing to expense the rental, . instead of using their depreciation accounting. 4-35 TEEECOMMUNICA7 ; AUDIT AND EVALUATION CHART 4.6-2 SENSITIVITY ANALYSIS 6-Way Duct Bank Profitability Dependence on lnnerduct Leased & Rate 1998-2025 ($000,000) $20.00 $15.00 o $10.00 o. o. $o. oo -$1o.oo 1} (1 ! t I I I I 0 4 8 12 16 20 24 { } Phase that positive cash flow, Occurs --~-~2~ID m'le/yr ] ~ $6K/ID n~3edy r ~ # Innerduct Leased 4.8.4. Analyze Future Need/Benefit for Fiber Optics as a Possible Revenue Source /or cit . To maximize the attractiveness of the re-use area to desirable, information intensive industries, Tustin needs to enable the placing of fi~oer cable, in a ring configuration, with splice points available into each of the commercial buildings, store groupings, Learning Village entities, and schools.l~cated elsewhere on the re-use geography. Two options are available: " 1. A strategic partnership with a Competitive Local Exchange Carrier (CLEC)/Competitive Access Provider (CAP) where they would commit to fiber infzrastructu.re; Z Tustin would place, lease and maintain dark fiber to CAPs, CLECs (including 'PacBell), and other service providers, possibly including a Cable Television provider. A CLEC provides dial tone telephone services to all customers in its service area, either through resale of local telephone company facilities, direct connections to the customer location phone equipment, or through a 10XXX c6de dialing arrangement A CAP is selective in the customers it provides service to, generally serving the commercial and industrial market with voice and high speed data lines. With the growth of the Intemet driving commercial home pages and' the desire for speed access, competitive access providers, a_nd Regional Bell Operating Companies have been racing to place ~er optics to serve such demand. The topology (i.e., roadway configuration) of the MCAS re-use would lend itself to a fiber ring at OC-12 or OC-48 4-36 AUDIT AND EVALUATION speeds. This could serve both high speed data requirements and multiplexing of business telephone lines. Table 4-8 estimates high speed data requirements by commercial category. It is based on assumptions of occupancy and the presence of local area networks in the larger businesses and educational facilities that aggregate data traffic. The basic assumptions are one T-1 line for every 48 business lines to transport voice traffic (allows for PBX concentration), and one T-1 line for every 100 business lines to support data traffic. An over forecast in the Office Park area may balance out an under forecast in the Industrial Park areas. ~his result, which admittedly predicts demand for fiber optics based on limited knowledge of tenant requirements and uses fiber instead of copper cable for switched business lines, indicates that one 0(2-48, 4 fiber bi-directional line switched ring could aggregate the business and industrial traffic for this redevelopment, excluding residential areas. If CAPs and Local Exchange Carriers are willing to share, fibers within the same cable, the number of market entrants will determine demand. Experiences. with CAP inquiries to other cities contemplating dark fiber placements have resulted in market entrants requesting from 8 fibers to 24 fibers and up, depending on the market density of.commercial and industrial customers. The allocation of eight fibers per competitive access provider is standard in the industry. The cost figures represent construction cost currently being experienced in the industry. A 48 ~er cable would be a conservative estimate for dark fiber placement, supporting 5 market entrants at a minimum level of 8 fibers per CAP, and 8 fibers would be reserved for Tustin use. These per mile costs are based upon installing a 48 strand fiber optic cable in inner duct with splicing and testing. Fiber cost at $2.90m per foot totals $15,000/mile and inner duct (4 four in a four inch conduit) at $3.00 per foot totals $4,000/mile. Installation labor is $15,000/mile. The cost for spHcing and testing is $5,000/mile. Flyer optic cable Inner duct Installation Splicing and testing Total $15,000 4,000 15,000 (cable and inner duct) 5,000, $ 39,000 This figure can vary depending upon the ~ystem configuration and splicing locations. Therefore, planning figures should allow for a cost variance. A planning figure for the unit cost of engineering~ furnish and installing a 48 fiber cable in existing duct, with irmerduct and splicing hardware as needed is between $35,000/mile and $45,0(X)/rnile. The total broad gauge amount for the MCAS re-use area is then $344,000. This is detailed by redevelopment phase in Table 4-9.. A dark fiber lease rate of $1500 / f~r mile / year is an industry average planning figure to use in economic models to determine the investment recovery period. If Tustin is a member of UTC, The Telecommunications Association, it 'should consider participating in the Business Development Section to receive a copy of the Fiber Rate Element Study that has just been initiated. 4-37 TELF_~OMlVlUNICA' S AUDIT AND EVALUATION Table 4-9. High Speed Data Demand in Commercial Areas , T=I lines to T-1 'T-1 lines to support dem~'nd Business support data · Total T-1 expressed Category. lines voice traffic traffic Demand as T-3's General 1971 41 20 61 Commercial- Learning 310 7 3. 10 Village ~ Community 144 3 2 5 Facility Shopping 378 8 4 12 Center Office Park 15566 325 156 481 Light 1251 26 13 39 Indust~al Industri'al Park 571 12 6 18 HoWl 83 2 1 3 Totals 20,274 424 205 629 . 22 ,, Table 4-10. Telecommunications 48 Fiber Cable Construction Estimate Phase Years Route 'Dark' Fiber Miles I 1998-2000 2.212 $99,540 II 2001-2005 1.596 $71,820 III 2006-2010 Z408 $108,360 1V 2011-2015 1.428 $64,260 -- Totals 7.64~ $343,980 , There is a business risk that service providers might look' upon sharing of fl~oer in a cable as a less than optimum solution. They will be concerned about loss of control in .splicing and maintenance operations, and that they would not have a way of distinguishing themselves as having more reliable cable plant. There also could be a dependency with duct leasing~ where if Tustin were to provide a maintain a fiber cable, there would be less incentive for each provider to lease an innerduct and place their own cable. 4-38 TELECO~CATIr a~UD1T AND EVALUATION Chart 4.6-3 displays f. he result of a profitability analysis for the 48 fiber cable leasing venture. $1500 per fiber mile per year is used since it is an accepted industry leasing figure. Each of the capital expenditures was amortized based on a bond issued in the first year of each phase, at 7% interest rate over a 15 year period. OA&M is higher than the duct bank case, - and is included at 5% of the asset capital value per year. Since this cable Would occupy an innerduct, the innerduct leasing value is included as a variable. CHART 4.6-3 SENSITIVITY ANALYSIS 48 Fiber Cable Leasing Profitability 1998-2025 1.5 { } Phase that posi~ve I cash flow Occurs ~ 0.5 o_._>,, 0 ~ $4K ID rrae/yr -0.5 ~ $6K D ~e/yr -1.5 -2 · ; 0 8 16 24 32 40 48 # Fibers Leased The following conclusions can be drawn from this analysis: The innerduct lease rate has a surprisingly large impact on profitability; Even at $2000/ID-mile/year, 24 fibers must be leased for profitability and a positive cash flow; Early lease commitments prior to construction is advised; This profitability picture would brighten considerably ff other revenues, such as franchise fees, were usable to offset negative cash flows in the early years. Other municipalities that have placed fiber have the Primary application to support internal city and utility (SCADA communications requirements, with excess capacity being leased. Without this business basis or customer revenue generation, preliminary analysis suggests that this is not a good business opportunity for' the City of Tustin. Placement of fi~er'cable should be left to the individual telecommunication provider(s). 4.9. TELECOMMUNICATION SYSTEM RECOMMENDATIONS/CONCLUSIONS It is recommended that the City of Tustin negotiate an Economic Development Conveyance of the infrastructure (duct bank, cables, 'MDF Maxi-Hut') for the fonowing areas: residential area w~st of Jamboree (Parcel 23), Learning Village area (Parcels 1, 2, 3, 19, 21, 22), and the 4- 4-39 ~O~CA' S AUDIT AND EVALUATION way duct bank and cable routing through Neighborhoods E and F (only if this will fall within the roadway utility easements). A negotiation for value must keep in mind that these facilities are inadequate in capacity and quality, other facilities areas have no long term 'value, but could be left in place to provide interim service to reuse tenants in those areas until new facilities are built · There should be a negotiated sale of the infrastructure for the residential areas east of Jamboree Road (Parcels 34, 35, 36, and 37), presumably to Pacific Bell. Note that Parcels 36 and 37 fall within the City of Irvine. An interim maintenance agreement should be negotiated with Pacific Bell to provide maintenance support for facilities to existing buildings that are targeted for reuse, for the Phase I construction period, with an extension option. This will preserve Tustin's ownership 'of the facilities, and their right to rearrange service to other providers who will pay franchise fees o If PacBell is required to pay franchise fees (both basic and toll), and the RDA will not be operated under a sole provider strategy, then PacBell should be allowed to .purchase the system from the City, under a negotiated sale, er, isling cable to re-use buildings. As part of this sale agreement, they must reterminate such cables to be served from Tustin 70, and they must provide conduit lease payments to the City of Tustin. This would then eliminate the need for an interim maintenance agreement ,. Each building owner/tenant must contract with PacBell or some other provider to support inside wire. e CONVEYANCE METHODS AND CRITERIA 5.1. CONV~ANCE CRn'EK~ ' ~ An overview of the conveyance options to be considered by the City was carried out considering the value of the system to the City, conveyance instrtunents available to the City, the federal government's potential flexibility to make the transfer workable within the financial constraints of the City, and the City's potential downstream financial gains. Two major factors affect the tone of the business deal between the City and the federal government. First, by its legal mandate, the government is eager to successfully develop, a transfer to the City. The federal government is urged to first consider a transfer to the local community, specifically the Local Redevelopment Agency (LRA). Second, the City' can present a cash flow which supports the development of municipal electric and gas utility system. Cash flow for the telecommunication system,, because since we are not recommending the City enter the telephony business, becomes strictly a wholesale type of business whose Success is based upon many market influenced factors.' Based upon the City's potential benefit and the fact that almost all of MCAS-Tustin is located within the City of Tustin boundaries, the federal government has a significant incentive to negotiate a conveyance to the City. .o 5.2. CONVEYANCE OPTIONS Conveyance options that exist include an economic development conveyance (ED~, a public benefit conveyance, and public sale or a negotiated sale. The City could also receive the MCAS-Tustin utilities under an EDC and, in the current aggressive customer acquisition climate that exists in the energy marketplace, subsequently, issue a request for proposal for energy services for supply and operation of the gas and electric system or exclusively negotiate with an existing utility prom'der to achieve benefits for the City of Tustin and its utility customers. All of these alternatives place the City government in a position of creating benefits for the ci~s of Tustin. In the case of the gas and electric systems, the City's 'would benefit the citizens by establishing a very cooperative business environment for energy suppliers which would attract quality companies to take over the system operation at MCAS-Tustin. Telecommunications differ in that the most practical approach is to provide an infrastructure for the telecommunication services provider to lease space in the in[rastructure developed as the project progresses. 5.3. SYSTEM VALUATION The valuation of the existing electric, gas, and telecommunications systems plays a si~nificant factor in developing the parameters for execution of the proper conveyance methods. The two systams; excluding the existing SCE and SoCalGas service points and the .equipment in place a~ those locations, are essentially of little value except for existing distn"vution to the housing areas and poss~ly the learning village areas. The telecommunications system reaching the residential units is of marginal value for reasons expressed hereiru 5-1 CONV~ ~ MEHODS AND ~ 5.3.1. ELEC-VIUC. AL DISTRI1;U770N SYSTEM The electrical system development beyond Phase I, consistent with the Specific Plan/Reuse Plan, will be a modem underground duct system similar to other planned developments. Little or no portion of the electrical system will be reusable in these areas. This includes the area planned for major commercial business development. In addition, existing overhead lines throughout the base will require considerable work to assure adequate work space and clearance. Some underground facilities may be usable by coincidence if the routing benefits the Specific Plan/Reuse Plan. 5.3.2. GAS DISTRIBLFIIOH SYSTEM The existing gas system is similarly constructed to-serve the specific unique needs of the military facilities. Only possible distribution services to residences and the learning village may be usable. A significant portion of the system must be replaced and an entire loop system must be' established. Since accurate records do not exist showing whether plastic or steel piping is in the ground, extensive work is involved in reusing any of the system. 5.3.3. TELEPHONE SYSTEM The valuation of the existing telecommunications system at MCAS-Tustin can be valued in the same manner as the electric and gas systems, thereby reaching similar results. The area to-the south of the channe~ and north of Harvard Avenue is presently wired through a Service Area Interface in that area of the base. The housing area in the north comer of the base, along Edinger, and the learning center area is also wired for service from PacBelL Under any type of conveyance, this area would come to the base with residences wired and ready for use. The cabling is now established on the basis of the outmoded standard of 1.25 phone lines per residential unit. Current standards used by telephone companies is 2 to 3 lines per residence. Whichever entity continues to provide service to this area will be faced with the need to re-cable the main tnmk system into these areas of the base. The cost of this re-cabling will significantly impact the value of the system, underground duct banks to all other areas.of the base are routed to provide specific service to facilities based upon the' ongoing functional military operation. Consequently, except for some accidental similarity 'of the routing of an existing'duct bank to that of a routing required under the base reuse, there is really no value in the existing system. For these reasons, the City' is urged to place little value on the existing electric, ~:as, and telecommunications utility systems at MCAS-Tustiru 5.4' F~A~CI~ RESOtmc~ o~ Tm~ A~l~tSCA~'r Assuming the City wishes to receive the electric, gas, and communications systems at MCAS-Tustin, as a potential conveyance applicant, it needs to demonstrate that it is capable of developing the resources to successfully operate or assign the operation of the utility systems. The intent of this section is to highlight the financial conditions of each utility, thereby demonstrating that the City could acquire the utility systems and arrange for operation of the system to support the overall economic development of the area at no 5-2 CONVEY Equally attractive to the City would be the option of acqu/ring; the ut/t/ty and issuing a competitive RFP [or energy supply and .system operation while the federal §overnment prov/des caretaker O&M serv/ces at .the base. The City would accrue a cash flow from the successful energy prov/der and could structure a sale based upon max/n~iz/ng the availab/1/ty of industry-w/de products and services, thereby creatin§ a desirable area for expansion of commercial and industr/al businesses. " 5.4.1. ELECTRIC UTIUTy SYSTEM The electric utility can be acquired and operated by the City with net cash position from the utility operation of $87,000,000 over 20 years. If the City were to take over the electric utility, significant profits start in 2002 when the crc charges are discontinued. Prior to that date, the City would need to make arrangement for an interim financing package of $1,100,00, to be paid off in the first couple of years of the Phase II development. Net income at the end of 2002' becomes approximately $2,500,000 per year. This interim financing excludes amortization of start-up cost of $500,000. This start-up cost is typically amortized over 20 years. The cash flow demonstrates that the City could be successful in thd formation and operation of a municipal electric ut/lity. 5.4.2. GAS UTILITY SYSTEM The gas utility can be acquired and operated by the City with net cash position for the gas utility operations resulting in as much as $50,000,000 over 20 years. The gas system financial summary indicates that the system would lose $49,000 the first year but would net nearly $400,000-$500,0(X) in the years immediately afar than and steadily increase over the 20-year performance amortization period to a figure in excess of $5,000,000 in 2020. The $49,000 negative position in the first year will not significantly affect the recommendation in this report and may be able to be resolved within the accuracy of the analysis or by interim financing added to the interim financing needed for the electrical system. 5.4.3. Tr.t.F, CO~LF~ICATiONS SYSTEMS The financial needs in relation to the acquisition of the telecommunication systems are very different for that of the electric and gas system analysis. The electric and gas systems constitute a retail sales business, if taken on by the City. The telecommunications business is essentially a wholesale business where the City would be leasing conduit space to the potential competitive access providers, telephone companies, and cable television franchises. We recommended that the City pursue .the position of providing the infrastructure (conduits and pathways) on a lease basis. Due to the complexity and diverseness of the burgeoning telecommun/cation business, there are a great many possfble scenarios, each with its own nuances. The financial success is based upon establishing the City or a permitted developer operating as the only' entity to place underground facilities in streets. The City can either construct a backbone duct bank for lease to others or poss~ly establ/sh some sort of joint trench to be constructed by the developer(s). If the City were to bmld the backbone duct system, there would .be a cost for irdtial construction. Charge rates for conduit can vary. If the City were to initially construCt a six'duct bank, which includes 5-3 CONV~ ~ ]V~-THODS AND ~ PacBell paying for four conduits (capitalized or on a long-term lease), the City would have to fund the construction of two additional conduits to establish a viable backbone. The allocated cost for the City's two conduits would be approximately $184,000 per mile. Estimated miclrange lease rates are $32,000 per mile leased out 100 percent. Pay back is grossly within a-minimum of six years which is a good pay back for an in/rastructure. This will vary dependent upon market conditions. It could be longer. This requires the ~ity to designate construction funds either by its own financing or by developer contribution. The amount required is based upon t/ming of street construction. If Phase I were to involve two miles of street construction, the City, as the conveyance applicant, would need to demonstrate the source for the two times $184,000 or $368,000. The Competitive Access Providers (CAPs) will not become significantly interested until the first major commercial complex is developed. The idea is to establish the City in a position where it controls and presumably n~/ninfizes the potential street cuts by the telecommunications industry. This is a major concern for most cities. 5.5. ECONOMIC DEVELOPMENT CONVEYAN~ Under an EDC, the City must meet several criteria that establish its legal identification as a potential recipient and its ability to financially support the project The project must affect the creation of long-term job development and/or economic development of properties (utilities) that facilitate the goal of economic development to the area. The EDC recipient 'must demonstrate the ability to affect a rapid transfer of the system. Valuation assumptions are critical to the structuring of the conveyance under an EDC. The community, as well as the federal government, must be cognizant of the City's'ability to financially support the project and, thereby, accomplish the goals under an EDC. Necessary financial resources must be established to support the acquisition of the utility and thereby support the creation and maintenance of long-term job development. An EDC allows the City the maximum flexibility in the methods of conveyance. Guidelines indicate that "Where other disposal authorities are not appropriate, these systems may be considered for inclusion in an EDC application." To meet the long-term re- use goals, the. utilities being considered for acquisition require significant construction of new facilities. It could be stated that the coordination of the new construction should be part of the various developer packages which will be prepared for the MCAS-Tustin area. This would make the City the most appropriate entity to accomplish the new construction and, therefore, could logically include the electric and gas utility under the EDC application. The City generally meets the requirements under an EDC conveyanced These utility systems can be viewed as an economic development vehicle that will greatly enhance the long-term development of the MSAC-Tustin area. 5.6. COMP~ BIDDI~G Should the City decl/ne to receive transfer of any of the utility systems under an Economic Development Conveyance, the government would be faced with the prospect of having to convey the utilities under a competitive bid process. Under 'this process the City has no impact or potential control over the conveyance of the utility systems. In the past there was no guarantee that any provider would step forward to bid on outdated utility systems.. 5-4 co]~v~ ~ MEI'HODS AND ~ · Recent rapid acceleration of the electric, gas, and telecommunications utility system restructuring and the developing value of a customer base to energy service providers should mitigate, the danger of a no bid situation. Base closures occurring only a few years back may have seen-a more limited competitive bid scenario.. The MCAS Tustin area with its key location relative to major local, national, and international travel and transpo..rtation systems presents a viable customer base to the currently aggressive energy marketplace. The profitability sections of this report on'the electric and gas systems also present extremely favorable pro forma analyses of positive business activities. This increasing value of the potential customer base should make letting the utilities go to competitive bid through the government to entities other than the City an unattractive option to the City. 5.7.. NEGOTIATED SALE The negotiated sale process by the government may be available to the City depending Upon the way the utility market is viewed. A negotiated sale is permissible "su~ect to obtaining such competition as is feas~le under the circumstanCes to States, territories, possessions, political subdivisions thereof, or tax-supported agencies therein, .provided the estimated fair market value of the property and other satisfactory terms of disposal are obtained by negotiation." (40U.S.C. 484(e)(3)(H)). Unfortunately, any negotiated sale to a public agency over $100,000 would require review by the Congressional Oversight Committee. The energy market has been significantly more competitive in the last two to three years, and competition has escalated dramatically in the last year due to the progressively unregulated environment. The City would need to demonstrate the value of its ability to better use the utility systems for the benefit of job and general economic development to the City in order to minimize the potential effect of the competition offered in the energy marketplace. For these reasons, an Economic Development Conveyance of the utility system to the City, where the City has ultimate control of overall infrastructure and community business development, may be the best means by which the City could acquire the systems and still.have the option to operate or sell the system to a service provider. 5.8. t~muc BffNffFIT CONVEYANCE Public Benefit Conveyances are typically made of utility systems operating strictly for the public good to entities ty~cally providing similar services. In the vicinity of the City within the Los Angeles basin area, ten cities Anaheim, Azusa, Banning, Burbank, Colton, Glendale, Los Angeles, Pasadena, Riverside, and Vernon ~operate municipal electric utilities. However, many other cities adjacent to Tustin, including Orange, Santa Ana, Irvine, and Garden Grove, have these services provided by investor-owned utilities. In the current deregulated environment, transfer through this type of conveyance would be difficult to adequately justify and, most likely, not available to the City. 5-5 APPENDICES Appendix A ............................................................ ........................ Extended Outage Reports Appendix B ........................................................................................................... Photographs. ; Appendix C ................................................................... ' ..................... Listing of Transformers Appendix D ................................................................. Letter From PacBell to MCAS Tustin APPENDIX A EXTENDED OUTAGE REPORTS A-1 . EXTENDED PO WER 0 UTA GE TIMELINE _ Friday 09 ,dug 96 0902- Power outage in District 43 caused by private digging equipment hitting cable .affecting 2,586 customers 1902- Power restored by SCE Saturday I 0 Aug 96 1549- Power outage on both bases and west coast wide caused by system low frequency 1806- Power restored by SCE 1830- Unable to contact any FMD high voltage electricians 2300- Marble Mountain power restored by FMD Duty Officer and Superintendent Tuesday 12 Nov 96 1110- poWer outage in. District 43 caused by private digging equipment hitting cable affecting 2,586 customers 1415- Power restored by SCE Wednesday 20 Nov 96 1329- poWer outage in District 43 caused by private digging equipment hitting cable affecting 2,586 customers 2035- Power restored by SCE Thursday 13 Feb 97 1014- Power outage in District 43 from a conductor that was burned down caused by a vehicle hitting a pole. 2,547 customers affected 2354- Power restored by SCE Saturday 22 Mar 97 1458- Power outage in District 43 caused by bird shorting out line equipment' affecting 2,544 customers 2246- Power restored by SCE Sunday 23 Mar 97 0430- FMD DNCO notified by SCE that Marble Mountain is still without power. 1005- Duty Officer notified that nO Installations high volage electricians available to come and reset breaker to Marble Mountain. 1220- Power is restored to Marble Mountain by Duty Officer and Director of Maint. ,.81o F ,s ,',, Enclosure '.'. £ .. 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LO.~t[ck~.~ ...... 1 - >_~To__~t~_~ HIT TEAM :-'ICKFT <;TAT[l<; CRt:ATI: I AsTHpr3ATFr3 RI 8957 CLS 02/]0/95 02/10/95 399-1 .-5713 CIS 05/12/95 05/12/95 297-1 72966 CLS 08/24/95 08/24/g5 297- I 75268 CLS 09/30/95 07/25/g6 297-1 '~6210 CLS 10/25/95 10/25/95 297-1 '.' 1!6883' CLS 11/24/95 11/24/95 297-1 i' *6899 CLS 10/25/95 10/25/95 297- 77004 CIS 12/12/95 12/12/95 ] 73'-2 77437 Ct5 11/13/95 11/13/95 297-1 v~,,'7731 CAN 10/3'0/95 10/30/95 6-1 i;.;773't CLS 02/13/96 02/13/96 6-1 "-!9281 CIS 11/30/95 11/30/95 546-2 79453 CLS 12/12/95 12/12/95 844-1 81465 Ct5 03/13/97 03/13/97 546-2 -?;,1812 CLS 01/16/96 01/16/96 523'-2 ;.:',2423 CLS 02/13/96 03/06196 6-1 :?'.~2837 CLS 02/29/96 02/29/96 29-2 85449 CIS 03/15/96 03/15/96 ! 61-2 ' 88746 CIS 04/29/96 04/29/96 ' 8002- · --75323 CLS 08/14/96 08/14/96 730-1 :"T5261 CIS 08/14/96 08/14/96 6-1 · ':~6468 CIS 09/05/96 09/05/96 516-2 96702 CLS 09/12/96 09/12/96 '6168- 96717 CLS · 09/30/96 09/3O/96 842-1 77401 Ct5 09/17/96 ' 09/17/96. 297-1 .::.~7409 Ct5 10/22/96 03/03/97 524-2 :.' 8025 CIS 09/25/96 09/25/96 51 6-2 · 98476 CIS 10/02/96 10/02/96 297-1 99227 CIS 10/17/96 10/17/96 171-2 ?~9422. Ct5 04/18/97 .04/18/97 399~1 .'.::':00850Ct5 11/18/96 11/18/96 8026-1 ..,02365 CLS 12/17/96 12/17/96 4-2 10SO00 'CIS 03/13/97 03/13/97 297-1 106300 Ct5 03/04/97 03/04/97 297-1 · '09289 NEW , 0~/24/97 04/24/97 664-1 1 (3{"A TI~KI W~ VOR FAQLITIES 51 HANGAR/SQUADRON/ 51 HANGAR/SQUADRON/ 51 HANGAR/SQUADRON/ 51 HANGAR/SQUADRON/ 51 HANGAR/SQUADRON/ 51 HANGAR/SqUADRON/ 51 TRAINER BLDG/AIRCRAF 51 HANGAR/SQUADRON/ 51 PROVOST HARSHAL OFFI 51 PROVOST HARSHAL OFFI 51 ELECTRIC ROOM/STORAG51 COHH/~EC FACILITY 51 ELECTRIC ROOM/STORAG51 APPLIED INSTRUCTION 51 PROVOST I"IARSHAL OFF! 5 ! HANGAR//2 51 TRAINER BLDG/AIRCRAF 51 AIRFIELD LIGHTING 51 COHHUNICATION CENTI~J PROVOST HARSHAL OFF! 51 POLICE STATION 5 ! SEWAGE PUHP STATION 51 UEPH E-1 THRU E-4 . 51 HANGAR/SQUADRON/ 51 HANGAR 6 51 POLICE STATION 51 HANGAR/SQUADRON/ 51 AIRCRAFT OPERATIONS 51 VOR FACILITIES 51 POWER DISTRIBUTION 51 ADMINISTRATION BLDG. 51 HANGAR/SQUADRON/ 51 HANGAR/SQUADRON/ 51 SUBSTATION BLDG. 51 ~U~nrlr D~,c~' 1 EMERGENCY BACK UP GENERATOR FOR NAVIGATIONAL GENERATOR TO SOUTH SIDE OF HNGR INOP GENERATOR INOP IN IvlAINT - GENERATOR (ELEC) KEEP SHUTTING OFF PWR WONT STAY ON TO GENERATOR - SOUTHSIDE FRAYED PWR CORD TO GENERATOR - HID OF BLDG, AIRCRAFT GRD GENERATOR - NO PWR - ~ SIDE OF GENERATOR INOP - BD ' AIRCRAFT GRD GENERATOR - EAST SIDE OF BLDG HOOK-UP GENERATOR TO THE 8LDGS ATS. TT. ST SYSTE HOOK-UP GENERATOR TO THE BLDGS AT5. TEST SYSTE GENERATOR FOR AVIONICS SHOP INOP GENERATOR (ATTACHED TO BLDG) FOR WOIU( BENCHES GENERATOR RH ' FAN INOP GENERATOR INOP PROVIDE TEMPORARY GENERATOR PWR TO BLDG - DISC GENERATOR OUTSIDE SW WONT ENGAGE ~ (2) INSIDE DISCONNECT GENERATOR - UNIT I"IOVED OUT GENERATOR DOWN - WESTSIDE OF AIRFIELD GENERATOR INOP - RECALL BACK UP GENERATOR DOWN HOOK-UP GENERATOR -SHOP HAS INFO' NO.PWR - NEED HIGH VOLTAGE ELEC &: GENERATOR NE IST DK - GENERATOR Rlvl - LOUD NOISE COM[NG FROM BAY//1 - GENERATOR KNOB INOP TD - MECH RI"I - GENERATOR INOP GENERATOR INOP - BACK OF BLDG GENERATOR FOR AIRCRAFT LINE - INOP, NORTHEASTE NEED KEY TO OPEN EHERGENCY GENERATOR PJ"4 a: TO O GENERATOR INOP - NEED ESCORT. PIS CONTACT POC HOOK-UP PWR TO GENERATOR., BLDG 605-I. LEASED G REHOVE MOBILE GENERATOR - BEHIND BLDG FLITE LINE GENERATOR BARE WIRES EXPOSED - CAN GENERATOR INOP - BD MID OF HANGAR HOBART GENERATOR NO PWR · . ' - ELECTRICAL REPAIR CTR T1CKFT <[TAT[I<;. CRFATI: I A.C:;T I IPI'3A'I'Fr) RI I')~ I_OC'ATIC31~I W~ Wnr9 De~ I . :3949 CLS 02126196 02/26/96 5-1 AUTO/ORGANIZATIONAI6Z CUT HETAL PLATE 2" WIDE(8) EA FOR GENERATOR "j , 446 ay_e. caJm._da~_s. Lo_LQ~~e.ts 1 t> Tg~l~cke:ts.[Gr HECH/PI?EFIT REPAIR CTR .~~~..~.~-.r~____~ -----_:__~,___--~ --- ____ .'r!(':K FT <[TAT[ :?.7728 CLS 01/02/96 01/02/96 6-1 PROVOST HARSHAL OFF! 73; HOVE ]25 KW GENERATOR TO NEW LOCATION. CONTAC · i 5~8 average day(s) of OPEN dckets I -> Total Tickets for TRANSPORTATION ""Grand Total average of days open = . Records prtnted: 45 :. - · · _ ~71 . ~1 51 - 51 -~51 · ~2 51 32 Wt' ~.~ ~2 11 62 ~2 · :. ~2 ~2 62 -~. f2 · . ~2 .71 71 '/71 · ~ '~ .05/02/95 033/27/95 111330/94 033/28/97 01/09/97 033120/95 11/12/96 07/06/95 02/27/97 07/11/95 12/09/96 CLS 65304 CLS 633019 CLS 54994 CLS 107956 CLS 1033751 · CLS 62591 CLS 100762 CLS 694733 CLS 106~)0 CLS 698338 CLS 102216 THERE IS AN ELEC CABLE BURRIED tN THE GRND UNDER THE OVERPASS ON ASSIST ~ ~ 1 WITH LABOR AND STAKE TRUCK TO PIC AND DISPOSE DISCOI ' THE SERVICE DROPS FROM THE GUARD Si ; AT THE BACK DISCON. .~' PWR FROM POLE AT OLD WASHRACK (NG. .. USE) ON CORNER EPL 5'I'REET LIT~ ON ALLEN CT DISCONNECT PWR (DEADEND) ~ REMOVE CONDUITS FROM PAD/f564 FOP, NO PWR AT TUS-i'IN HSG - DEHPSEY CT - SEA STALLION - DULAY CT - RF. SET TIMERS ON THE FOLLOWING BLDGS: 90, 20A, 547, 5339 RPL MERCURY VAPOR LITES (APPROX 20) IN PARKING LOTS OF BLDGS RE-SET TIMER FOR THE FOLLOWING BLDG$. COME ON AT DUSK s~ OFF AT RE-I. AI'~ AP, FA - BLDG 190-2 (:])SPOT LITES OUT ~ 250-2 (6)EXTERIORS Total Tick ore~j.gI___,.~sG- I_6 / HALS-16 ' ~'-- '- _' a~__~' - 07/0 i/94 06/27/96 05/09/95 06/29/95 01/24/9 5 07/06/94 01117195 07/133/95 12/19/95 06/18/96 I0/28/96 033/07/96 10/25/95 05/09/95 05/11/95 05/04/95 033/14/95 = 102 .~TATI I~ ticker CLS 46097 CLS 92538 CLS 657633 CLS 690338 CLS 58924 CLS 463395 CLS 5833309 CLS 70O44 CLS 80703 CLS 91902 CLS 99954 CLS 85605 CLS 77438 CLS 65761 CLS 65912 CLS 65446 . CLS 622233 ,,, I . tl~a-ri.n tin n PiS READ NATURAL GAS METERS AT THESE BLDGS 28,184, 249-2 AND GIVE ASSIST CONTRACTOR//93'D'1459 ' NEED GAS TURNED OFF AT BLDG 88'2 LOCATE GAS VALVES STARTING AT MOFFET ~ LANSDOWNE, MCCORD ~ PERKY, BACKFILL NAT. - GAS LINE WEST OF BLDG 28-2 . SEWER PL BEHIND BLDG 16-2 GAS LK REPORTED CORNER OF EHNIS WAY " GAS LK IN VALVE NEAR FLOWER BED - BETWEEN 167-2 ~: 168-2 CK ABOVE GED VALVE LOCATED BETWEEN 167-2 8~ 168-2. VENTING MORE STRONG GAS ODOR BY' METER NEAR BLDG 167-2 RPL LKING GAS VALVES AT BLDG 551-2 GAS SMELL COMING FROM BLDG 557-2, C/SAM REGULATOR LKS GAS BETWEEN 167-2 ~ 168-2, C/]ERRY~ C/DIXON FLAHE VAPORS OFF GAS STATION BY PX FUEL STATION AD] TO BLDG 1 - EXPOSE GAS LINE NEXT TO BLDG 29-2 ' SEE POC FOP, LOCATION EXCAVATE TO LOCATE GAS MAIN 4" NEXT TO BLDG 29-2 WC 71 EXCAVATE ~ EXPOSE GAS LINE ON BOTH SIDES OF TREE IN BACK OF EXPOSE ~: BACKFILL GAS LINE AT BLDGS 29-2 ~ 180-2 Total Tickets for AC/S, INSTALLATIONS _= TOTAL NUMBER OF TICKETS 17 119 51 -~. 51 "51 51 51 51 77~51 · '~ 32 :.:i 99 51 51 !:.',! 51 .T:; 51 51 51 ~51 ~.;. 51 .'.': 51 51 99 .751 ::;! 51 ::'~51 "51 51 ;-';51 51 51 ~.-~ 51 '"'~ 51 51 51 ~ 51 ~-~.~ 51 60 ~.~ 5 ! :: 51 51 51 ~-:~ 51 :b~ 31 ~ 32 ~:~ 32 51 :'" 51 51 :~' 51 "~': 51 51 . , 51 ;:.7. 5~ :,': 71 '~': 51 51 51 51 51 51 · .'." 51 51 51 51 '.' 51 ., 51 51 3~ 01/10/94 02/23/94 03/31/94 08/21/95 09/06/95 07/06/95 06/15/95 12/18/96 01/23/97 06/20/94 09/01/94 11/08/95 07/10/96 07/10/96 04/14/97 01/2 7/94 06/21/94 05/10/9.4 04/21/94 01/27/94 09/19/96 08/19/96 08/05/96 07/31/96 08/22/95 07/26/95 07/11/95 06120/95 04/18/95 01/25/95 01/20/95 O1/20/95 04/01/97 02/03/97 01/27/97 ! 1/20/96 01/14/97 12/21/96 12/30/96 11/14/96 07/08/96 05/06/96 05/01/96 02/23/96 02/14/96 02/01/96 01/29/96 01/19/96 12/27/95 01/18/96 03/I 1/94 10/07/96 02/19/97 12/18/96 08128/95 09/01/94 08/03/94 01/04/96 12/O9/96 11/20/96 10/21/96 07/16/96 07/03/96 05/16/96 03/20/96 01/18/96 .01/17/96 01/01/96 09/01/95 04/06195 05/21/95 O8/16194 08/04/94 05/21/96 05/20/96 02/29/96 02/12/96 01/I 1/96 1 !/08/95 08/21/95 08/08/95 07/27/95 07/03/95 06/20/95 06/1 S/95 05/! 1/95 12/24/96 12112/96 11127/96 10107/96 09/03/96 ~TATI I,~ ¢L$ ¢L$ ¢L$ ¢L$ ¢L$ ¢L$ ¢L$ ¢L$ ¢L$ CL$ ~L$ CL$ ¢L$ NEW ¢L$ ¢L8 ¢L$ ¢L8 CL8 CL$ CL$ CL$ ¢L8 ¢L8 gL8 CL$ CL8 CAN CL$ ~L$ ¢L$ ~L$ CL$ CL$ CAN CAN ¢L$ ¢L$ CL8 OL8 CL8 CL8 CL8 CL$ CL8 gL8 ¢L$ CL$ CL8 gL$ CL8 CL$ CL$ CL$ CL$ , CL$ CL$ CL8 CL8 gL$ CL8 CL$ CAN dpct-riDt|nn ~R STREETLITES- 'STANDARDS ARE MARKED W/RIBBON, TESSIER- (2} RPR STREETLITE - CIRCLE OF BELKNAP #8 ELECT PAD A TRANSFORNER PNH5312208 INSIDE FENCED AREA BEHIND PWR LOSS - 6155A ~ B BRAND LITE POST OFF OF TAI,'IAYO CT NEAR TENNIS CTS - RELANP RELANP LITES AT PLAYGRD AREA BY EHNIS CT IN BACK OF BLDG 1561 I. ~ 15621 PARSELL ELEC TRANSFORMER LK OIL DISCONNECT OR SHUT PWR OFF TO BLDGS 174-2, 175-2 ~ 408-2 NO PWR BLDG 250.2~ 520..2, 190--2~ 568-2, 251-2, C/JERRY I',t. UNDERGRD CABLE HIT BY TRACTOR. BLACKTOP AREA AD] TO BLDGS ASSEHBLE TEN (50') EXTENSION CORDS WITH MALE ~ FEMALE PLUGS AS ASSIST CONTRACT W/PWR OUTAGE AT FUEL FARM ELEC POLE BLDGS 505-2 6[ 506-2 - ELEC SHOP NEED APPROX (2) HR ELEC OUTAGE ELEC SHOP - ROICC ~ CONTRACTOR NEED HELP IN IDENTIFICATION ELEC RPL (1) STREET LITE EA ON PAP, SELL #15504135, CAUDLE #15504175, (3) STREET LITES INOP - PROVIDE NEW CKT (IN PVC CONDUIT) TO RV PARKING LOT LITES OUT RE-LM"IP STREETS LIGHTS IN MARBLE MOUNTAIN AREA/OUT. RPL BRKN COVER PLATE ON LITE POLE AD] TO 15036A HANNIBAL RPR STREETLITE//45 - BENNETT CIRCLE STREET LITE IN FRONT OF 61608 BRAND - RELAMP STREET LITES//53 ~//54 ON EMERSON LN .- RELAI"IP STREFT LITE//53 OUT ON EMERSON LN, PLS CK OTHERS NEARBY RPR STREET LIGHTSLOCATED ON DEETZ(DAMAGED BY IRWD) RPR STREET LIGHTS AS INDICATED BY SKETCH BEING FWD RELAMP LITES ON CORNER OF SEVERYNS &: CALNAN RE-SET TIMER FOR THE FOLLOWING BLDGS. COME ON AT DUSK 6: OFF AT DEETZ 3329C- RELAI'4P STREET LITES #58,//59, #60,//61 ~//62 NEAR QTR'S C - STREET LITES ARE OUT POLE//408 6:507 RPL EHERSON LANE - NO STREET LIGHTS IN WORKING ORDER IN THE CULDISAC OF HSG TO DEETZ, STREET LIGHTS ARE OUT. NO STREET LITES AT DEETZ ST ez TAHAYO ST - RECALL, C/20 ]AN 1345, RPR LITE POLE(OUT)AT CORNER LONGSTAFF &: RUGGLES RELAI,'I~ STREET LITE #28 ON HANNIBAL RPR ALL ~i'REET LITES ON DULAY CT(OUT) RELANP (2) STREET LITES//10 ~//25- INSIDE CO_UR_Tp~ CORNER OF ST (3) STREET LITES ACROSS FROM BLDG 524.2- RELAM STi~ET LITE WIRE HANGING FROM POLE(NEAR 15021-B BELKNAP) STREET LITE//I 5 BEHIND 2150A BELKNAP - FE~ INTO TREE RPR STREET LITES AT BRAND ST TO LONGSTA #1550433E ~ 1550433E STREET LITES INOP ON BANCROFT-//15504125 6: BANCROFT ~ PAR. SELL STREFT LITES ARE OUT MOFFETT ~ SVERYNS RD REL.AF~ LITE POLE IN CUL-DE-SAC- 6803C SEA KNIGHT CT COENER SUP-STALLION(2) LITE POLES ARE OUT #25 ON BOTH SIDES (2) STREET LITES OUT ON CORNER OF SUPER STALLION DR RPR LITE POLE(OUT)AT CORNER LONGSTAFF ~ RUGGLES RPR LITE POLES AT 15010-B EHNIS WAY- POLE # 19 AT 15005-D EHNIS STREET LITES OUT ON EMERSON LN, I~kRBLE MTN AREA STREET LITE OUT IN FRT OF AREA.- AT 6106-B PARSELL PWRi5 OUT AT 174 174T HANGAR//2(29) OIL RESIDUE ON GROUND IN BACK. OF POWER TRANSFORNER CONING FROM PWR LINES IN FRONT OF BLDG 300-2- HAVE BOOTS HANGING FROM THEM- REMOVE WEEDS FROM ELEC SUBSTATION AT MARBLE Mm HOUSING AREA- DISCONNECT OR SHUT PWR OFF TO BLDGS 265-2 ~ 29A-2 - ASAP!!!! SUPPORT FOR TUSTIN OPEN HOUSE: PWR POLES AT SE CORNER OF HNGR 1 ASSIGN ELEC TO STANDBY 11 SEP 94 FOR OPEN HOUSE FOR ASSIGNED POSSIBLE T1LANSFORMER OUT AD] TO 177-2. 177-2 HAS LIGHTS ONLY- PWR OUTAGE AT BLDG 539-2 TRANSFORMER ARCING - EAST SIDE OF BLDG 29-2 PWR OUTAGE - AKIN5, BRAND, DOWELL, SUPER STALLION ~ ALLENDER NO PWR - 66 8~ 53-2 HARBLE ~ AT L ST - SECURE PWR LINE HIT BY CONTRACTOR ' I~/R OUTAGES OCCUR BLDGS 47~ 16, 17, 20A-2, C4-2 BETWEEN 15611 A 15611 1/2 PARSEI. L- TRANSFORMER LKS NO PWR IN BRKS 554-2 NO PWR TOP OF HNGR #2 PWR OUTAGE, BLDGS 516-2, 42-2, 300-2 a: 167-2 C/SHOP PWR LINE DOWN AT CANAL SOUTH OF BARRANCA AT NOFFET OVERPASS - TRANSFOIUVlER BLEW BEHIND HER QTRS - 61508 RUGGLES BLDGS-218 -Z13-212- 86- 88- 134 PWR OUT BLDG$:B6 87 88 213 ~ 134 ARE WITHOUT PWR NO PWR RITE SIDE OF BLDG 2-2. W'C 32 STATED LEG OFF POLE OSUMi FARMS REPORTED NO POWER TO AMMO AREA' ERECT A FENCE AROUND TRANSFORI~ER AT JOHNSON CT a: PARSELL AT 15601A PARSELL - INST PLASTIC ORANGE FENCE AROUND TRANSFORMER 6109A LONGSTAFF WAY - PWR OUTAGE - ENTIRE BLOCK: DONE PWR OUTAGE 13 FEB 96 - AFFECTING BLDGS 86, 87 ~ 88 TO CK THE ALL STREET LITES OUT FROM - HNGR 1 TO BLDG 4 ~: FROM BLDG 1 TO CK PWR SUPPLY FOR (2) TIMERS AT 6830 SUPER STALLION DR - IRRIGATi NEED PWR TO RPR IRRIGATION SYSTEM AT BRK5 213-2 - PROVIDE PWR TO (2) LITE POLES KNOCKED DOWN ON BUMBLEBEE RD - ADJACENT TO E CLUB IDENTIFY ELEC UNDERGROUND CKTS IN FUEL FARM AREA: LOCATION ~ TRANSFORMER BEHIND BLDG 226-2 - RUSTED &C LKS AT EMERSON LANE- 3330C RPR LITE (POLE #56) TRANSFORMER NEED5 TO BE UNLOCKED ' SHADE BLEW INTO IT AT BENNETT 34379 37544 40146 72863 74176 69419 68077 102751 104565 45065 50921 78209 93240 93237 108687 35631 45140 42497 41460 35709 97736 95874 949O7 94559 73001 70967 698~6 68418 64473 59063 58756 58664 108068 105165 104675 101241 104OOO 102900 103130 10O923 93009 89281 88997 84773 84219 83447 83080 82437 81100 82336 38722 98809 105977 102732 73409 50920 48634 81572 102212 101230 99565 93590 92885 89978 86383 82430 82258 81277 73850 63816 66460 49672 48689 90173 90152 85235 84028 82009 78078 72834 7~979 71118 69213 68345 68124 65998 103001 102452 101629 98827 96726 NOW POWER, 2 ! 3, 218, 134, 86 AND 87-2 (3) STREET LITES NEEDS RELAMPING END OF STREET AT 6833A SUPER RPR LITES ON REAR GATE ELEC WIRES DOWN AT AREA OF SERVEYNS ~ CALNAN(NEAR BLDG 523-2)NEXT PWR LINES IN FRONT OF BLDG. 300-2 - HAVE BOOTS HANGING FROM THEM - C. KT BRKR ON TAIvlAYO CT IN MARBLE MTN - NEEDS TO BE RESET TO TUPJ',I ~d by WCC! and CREATE_DATE TIC'~FT ~;TATI !~; CRFATI: ! ART I IPnATI=I') RI F)G I O('ATInN WC Wnric n~cr- ! -5049 CLS 03/21/96 03/21/96 801 4.1 IMPROVED GROUNDS 100 ON MARINE WAY AT 4 WAY STOP- TR]H PINE TREES 41j?,_,a.y, Rr, a.g_~d_ay.{s)_o_f_QP.E~tLckets ,~.e~ts.~r FACILITIES SUPPORT CENTER .-~('KFT ~;TATII~; CRFATF I A,C;T IIpDATFD RI F)G I · :4OO9 CLS 09/15/95 O9/15/95 842-1 UEPH E-1 THRU :'.'. 5506 A/M 07/09/96 03/Z7/97 ZZ6-Z FLIGHT 5IHULATOR /6341 CLS 09/17/96 09/17/98 842-I UEPH E-1 THRU E-4 81683 CLS 01/10196 Ol/10/96 732-1 UEPH :-°5155 CLS 02/29196 02/29/96 732-I UEPH' .: 1808, CLS 06/18/96 06/18/96 732-1 UEPH ' '2226 CLS 06/24/96 06/24/96 741-1 UEPH ¥5804 CLS 08/19/96 08/19/96 452-1 BARRACKS 99010 CLS 1 O~ i 7/96 10/17/96 449- I ENLISTED BARRACKS -O9013 CLS 10/17/96 10/17/96 732-1 UEPH :)0511 CLS 11/12/96 11/12J96 451-1 BARRACKS '- 30629 CLS 11/14/96 11/14/96 451-1 BARRACKS ~00909 NEW 11114196 11/14/96 33-1 BOQ W/O MF. SS 102110 CLS 12127/96 12/27196 455-1 OPERATIONAL TRAINER 31 402427 CLS 01/06/97 01/06197 520-2 HANGAR 4 31 · 33563 CLS 01/14/97 01114/97 842-1 UEPH E-I THRU E-4 31 WC Wnrtr D~r' I 31 G ~ H WING ROOF - EXHAUST FAN MOTOR INOP - Fl 3 ! FIRE ALARH INOP 31 RHS - Fl20 FI05 D102 A115 D204 D206 - FIRE ALA 31 2ND DK LOUNGE - NEEDS FIRE ALAR~ (HARD WIRE) 31 RM 309 - FIRE ALARM DISCONNECTED 31 RM - 113 - FIRE ALARM KEEPS GOING OFF 31 RM 319 - FIRE ALARM GOING OFF - FIRE DEPT CALL 31 FIRE ALARM INOP - RM 344 31 RM - 307 - NEED FIRE ALARM RPR 31 RM - 103 - NEED FIRE ALARM RPR 3 ! RI'tS 219 - FIRE ALARM MISSING ~ 303' - FIRE ALAR 31 RM 312 - FIRE ALARM WON'T SHUT OFF. HAS BEEN D 31 2ND DK HD - FIRE ALARM BUZZING FIRE ALARM GOING OFF, C/LEE 1 ST DK FIRE ALARM GOING OFF Riq - H3 ! 5 - LAUNDRYRM FIRE ALARM GOING OFF · 34824 NEW 01/28/97 01/28197 300-2 ADMIN BLDG 31 INSTALL FIRE ALARM TO SYSTEM AT CHAPLAIN'S OFF · EMGNCY SVC REPAIR CTR-~ TORO 'i ICKFT ~;TATII([ CRFATI: I/LqTIIPI')ATFr) RI -2807 CLS 05/05/95 05~05/95 .553-2 62808· CLS 03/29/95 03/29/95 553-2 72754 CLS 08/21/95 08/21/95 554.-2 .-":':16202 CLS 10/17/95 10/17/95 245-2 · 1640 CLS O1/09/96 01/09/96 553-2 i::00137 CLS 11/26/96 11/26/96 212-2 100341 CLS 11/14/96 11/14196 246-2 · ! OCATIOM W~ BACHELOR ENLISTED QU 32 BACHELOR ENLISTED QU 32 BACHELOR ENLISTED QU 32 UEPH BLDG "B" 32 BACHELOR ENLISTED qu 32 ELEC/COMM MAINT SHOP32 · UEPH BLDG "A". 32 Wnrlr r)~,- ! RM 211 -' FIRE ALAR.M I'NOP - DISCONNECI ED, IT KE RM 211 - NO ELECTRICITY - FIRE ALARM WAS DISCO RMS 327 6:329 - FIRE ALARM GOES ON/OFF AT WILL RM 329 - FIRE ALARI~ GOING OFF, C/6 OCT 95 Rivl '138 - FIRE ALARM DANGLING ~ CEILING FIRE ALARM IS BEEPING(GIVING OFF 1NSTR'S) RM 228 - FIRE ALARM NEEDS RPR 107830 CLS 04/03/97 04/03/97 212-2 ELEC./COb'~ HAINT SHOP32 CK FIRE ALARM - ALARM GOING OFF -~ ' - ElvlGNCY SVC REPAIR CTIL-TUSTIN ::' TICKFT ~TATII(; ('RI:ATF I AST llPr~ATI=i3 RI I')~ I C)CATlC3M w{': ~-~7785 CLS 02/10/95 02/10/95 300-2 ADMIN BLDG 51 ?):7984 CLS 09/11/95 09/11/95 C4-2 OFFICER CLUB OPEN 51 ': 8606 CLS 02/10/95 02/10/95 161-2 TRAINER BLDG/AIRCRAF 51 -" 39032 CLS 02/10/95 02/10/95 520-2 HANGAR 4 51 59156 CLS 02/10/95 02/10/95 250-2 GENERAL WAREHOUSE 5 ! _-~9319 CLS 02/10/95 02/10/95 300-2 'ADMIN BLDG 51 -.::9451 CLS 02/29/96 02/29/96 839-1 COMBAT TRAINING POOL51 :.:.:,0993 CLS 03/30/95- 03/30/95 248-1 BOQ W/O MESS 51 :'G 1955 CLS 06/12/95 06/12/95 520-2 HANGAR 4 51 63125 CLS 06/23/95 06/23/95 520-2 HANGAR 4 5 ! ,~.63778 CLS 09/11/95 09/11/95 537-2 ENGINE HAINTENANCE S 51 ::',3938 CLS 06/23/95 06/23/95 529-2 WAREHOUSE 51 .]:,5873 CLS 07/17/96 07/17/96 839-1 COMBAT TRAINING POOIZ1- '.L, 5976 CAN 05/11/95 05/11/95 .457-1 GROUP HEADQUARTERS 5 i 66813 CLS 06/12/95 06/12/95 ! 99-2 CHILD CARE CENTER 51 ~.~9006 CLS 09/15/95 o9/15/95 547-2 CHILD CARE CENTER S ! '.:."2243 CLS 08/24/95 08/05/96 243-1 HISTORICAL CENTER 51 i:/2717 CLS 11/13/95 · 11/13/95 213-2 BACHELOR ENLISTED QU 51 :'/2930 CLS 09/30/95 09/30/95 20A-2 WAREHOUSE 51 73508 CLS 09/06/95 09/06/95 .667-1 UEPH 51 .74445 CLS 12/28/95 12/28/95 524-2 HANGAR 6 5 I i- ,~5010 CLS 09/30/95 09/30/95 722-1 CONVENIENCE FOOD STCB1 '6442 CLS 11 / 13/95 11/13/95 321-1 ADMIN-SHIPHNG-REC 51 ;7063 CLS ! 2/i 2/95 12/12/95 ! 34-2 H6r, HS - FAMILY SERVIC 51 78208 CAN 10/31/96 10/31/96 452- ! BARRACKS 51 78688 CLS 12/12/95 · 12/12/95 C4.2 OFFICER CLUB OPEN 51 :'.'.',9005 CLS 01/16/96 01/16/95 529-2 WAREHOUSE 51 : :.' 1005 CLS 12/28/95 12/28/95 740-1 U EPH 51 ' ,; 1175 CLS 07/17/96 07/17/96 839-! COMBAT TRAINING POOIZ 1 81681 CLS 10/02/96 10/02/96 606-1 MAINTENANCE HANGAR 51 · 83186 CLS 02/1 ~/96 02/13/96 86-2 El,4 BARRACKS 51 '...-' 4726 CLS 02/29/96 02/29/96 741-1 U EPH 51 :'. ~6021 CLS 05/01/96 05/01/96 539-2 BACHELOR ENLISTED QU 51 .:.,;6296 CLS ' 05/01/96 05/01/96 553-2 BACHELOR ENLISTED QU 51 86756 CLS 03/28/96 03/28/96 520-2 HANGAR 4 51 86815 CLS 04/09/96 04/09/96 246-2 ' UEPH BLDG "A" 51 ".:.'~ 1000 CLS 06/26/96 06/26/98 524.2 HANGAR 6 S 1 · . )2562 CLS 07/03/96 07/03/96 449-I ENLISTED BARRACKS 51 :- 74290 CLS 07/30/96 08/05/96 243-1 HISTORICAL CENTER 51 95174 CLS 08/13/96 08/13/96 REAl04 104 REASONERLN 51 95855 CLS 08/30/96 08/30/96 520-2 HANGAR 4 5 ! .'.75903 CLS 08/22/96 08/22/96 823-1 TEI,4PORARY LODGING FA51 .. ;)6032 CLS 10/29/96 10/29/96 75-I SERVICES BLDG 51 .'100206 CLS 11/04/96 11/04/96 895-1 OPERATIONAL TRAINER 51 Wnrlr I')~,r 1 FIRE ALARM GOING OFF - REPORT TO S-4 OFFICE, C FIRE ALARI'4 SYSTEM NEEDS TO BE RESET FIRE ALARM IN HALLWAY WIRES SHORTED OUT - PER FIRE ALARM WAS DISCONNECTED BY FIRE DF. PT NEEDS FIRE ALARM NEEDS RPR - FIRE INSPECTION NEED FIRE ALARM RPIL C/1 FEB 95 FIRE ALARM SYSTEM WIRES EXPOSED ~ BOX IS RUSTE FIRE ALARM IN RM,WON'T SHUT OFF. FIRE ALARM IN TROUBLE MODE, C/28 MAR 95 FIRE ALARM IN TROUBLE MODE FIRE ALARM STROBE LIGHT AND SIRENS NOT WORKING KING - FISHER FIRE ALARM INOP. (6) METAL FIRE ALAR~ BOXES NEED RPR - FALLING FIRE ALARM WON'T SHUT OFF (WEST -END OF BLDG.) CK FIRE ALARM - SHUT OFF BY FIRE DEPT LAST NIT IN ADMIN OFFICE- FIRE ALAR~ BEEPING FIRE ALARM GOING OFF - FRONT OF BLDG, C/JOE H RPR FIRE ALARM - COORDINATE W/FIRE DEPT. GOES EXTERIOR FIRE ALARM ON BLDG - INOP (4) 1ST DK SOUTHEND OF BLDG - RPR FIRE ALARM PULLB FIRE ALARM PANEL KEEPS GOING OFF SECURE FIRE ALARM SYSTEM - CONTRACTOR TO TIE I FIRE ALARM NEEDS RPR ASAP! - C/LEE 66-2 - FIRE ALARM OUT OF SERVICE 2ND DK HALLWAY FIRE ALARM INOP FIRE ALARI~ SIGNALING TROUBLE FIRE ALARM ' TROUBLE MODE FIRE ALARM GOING OFF FIRE ALARM PULL BOXES HANGING OFT WALL- BD ~c NEED FIRE ALAR~ - READY ~ FIRE ALARM SYSTEM IN TROUBLE HODE 3RD DK PULL BOX FIRE ALARH BRKN FIRE ALARM PANEL MALFUNCTIONING RM - 102 - FIRE ALARM IS INOP FIRE ALARM GOING OFF - NEED SERVICING FIRE ALARivl IN TROUBLE MODE FIRE ALARlvl SYSTEM INOP BD LEFT WING - FIRE ALARM WAS PULLED~ DID NOT FIRE ALARI'4 SYSTEM - FLASHING, C/WC 51 REMOVE DOORBELL ~ FIRE ALAILM SYSTEH THRUOUT HO BD MAIN ENTRANCE - FIRE ALAR~ PANEL GOING OFF RM 14 - FIRE ALARM KEEPS GOING OFF FIRE ALARM INOP - WIRES HANGING CK FIRE ALARM - TROUBLE MODE 108888 CLS 04121197 04/21/97 375-1 BOQ 51 ASSIST FIRE ALARM CREW TO INDENTIFY THE LocAT[ .- .. · TI('3(FT ~TATll~; C_RFATF IARTIIPr3ATI:I3 RIr')~ lC)CATION W{': Wnrirr'h~r'1 Page 1 -1 ~,08- 'CLS 06/17/96 06/17/96 524-' :)22 averai~e day(s Grand Total averal~e of days open = Records printed: 72. HANGAR 6 )EN dcke~ 476 62 RESET FIR' 'RM SYSTEH 1 -> Total Tick~ PIECH/PIPEFIT REPAIR CFR .- Page 2 APPENDIX B PHOTOGRAPHS Building 505 Substation No. 1 Photograph E-1 Photograph E-2 Underground feeder to metal clad switchgear along Rectbill Avenue Pho~ograph E-3 Pho~ograph E4 Metal clad switchgear- Redhill Avenue Metal dad switchgear 550 Metal switchgear 603- Photograph E-5 Photograph E-6 Photograph E-7 Meter installation on homing unit fed by SCE Multiple unit housing area Photogra. ph E-8 Pho~ograph E-9 Pad mounted tranSformer and switch in housing area along Harvard Road Photograph E-lO Pad mounted and overhead lines in housing area along Harvard Road ..,- 7./w-I i- Metal clad switchgear serving housing areas from warner Avenue Photog-raph E-11 Photograph E-12 Meter socket on housing unit near Warner Avenue 7-2 Overhead platform structure Overhead 'facilities serving Building 3 ' Photogaph E-13 PhotogTaph E-14 Photograph E-15 Substation No. 2 transformers · Photograph E-16 Substation No. '2 Photograph E-17 Metal dad switchgear near Substation No. 1 Photograph T-3 : SAI for Building 29, Blimp Hanger Photo, ~aph T-4 Splice cases in qVIa~-Hut' . · · o. : · · ' i~: . ' .:~ "";: APPENDIX C LISTING OF TRANSFORMERS .. . · . . I%~ r~ 0 I'T. '1 MAP - __ BUiLDiN GR! SUB CiRCUI 1 2 3 3 3 5 5 5 5 5 5 5 10 10 10 12 12 16 23 26 G,4 A,3 1 3 C,10 1 1 F,3 B,2 1 3 B,3 1 3' C,3 1 3 B,3 1 3 C,2 1 2 C,2 C,3 C,3 C,3 1 C,2 1 2 C,2 1 2 C,2 1 2 C,2 1 2 C,2 1 2 C,2 1 2 C,2 1 2 D,2 1 D,2 1 D,2 1 D4 1 6 D4 1 B,4 1 3 C,10 I 1 C,3 1 PAD 12 11 I NE 131 POL 399 4O7 436 436 436 316A 433 433 433 325 323' 323 323 329 329 329 457 457 . ~CB 0 o 0 0 7 71 3 0 0 2 8 12 7 8 0 2 32 51 9 6 2 8 5 2 ·,VA RATI-N PHASE 225 3 25 1 50 1 75 3 100 3 50 1 25 1 25 37.5 '1 1'50 3 100 1 25 1 25 1 25 1 50 1 10 1 5 1 5 1 15 1 15 1 15 1 10 10 1 10 1 75 3 30 I 27 27 27 28 28 28 28 28 28 28 28 28 29 29 29 29 29 C,4 ' C,4 I 1 1 C,4 1 1 1 C,5 ' I 4 141 C,5 I 4 145 C,5 1 4 144 C15 1 4 142 C,5 1 4 143 C,5 1 4 D,5 1 4 145 D,5 1 4 145 D,5 1 4 145 E,7 1 5 152 E,7 1 5 151 E,7 1 5 155 'E,7 '1 5 154 E,7 1 5 153 607 342 2 75 3 3 3 1 378 25 1 0 225 3 0 75 3 0 30 3 2 200 3 2 200 3 2 200 3 2 200 3 2 300 3 0 300 3 0 15 1 0 15 1 0 25 1 2 100 3 2 100 3 2 200 3 2 200 3 2 100 3 Page 1 Friday, May 23, 1997 eport 2 DATE SERIAL iMpEDANC MFG TAP ~UILDIN NO - ' 88146-1 4.52 5 M130974YANA 1.71 1/1/77 5 ', '. N478022YEUA 2.06 1/1/82 " A6986 4.1 5 ?~ 1439145 2.2 :,~-i 3168509 2.8 5 · · . 6342722 2.6 --"' 6910560 2.6 S-5700333 2.5 1 11756 5.1 . -':.~ 2 6295236 3.5 1/1/40 ' 3 7223845 2.8 3 7223848 2.8 :' 3 7223937 2,8 5 72589. 3.9 :::.~ 5 76342 .. .'i':.: 5 3159600 2 '5 3159602 2 :'::' 5 1350652 2.7 '.-:!: 5 1351318 (SAA) 2.7 5 1351320 2.7 ':"-':. 10 '2976483 2.6 ':" 10 2976491 2.6 10 2977532 2.6 ::?.i 12 DFl1063185 3.3 . · ':' 12 66810327 16 DF11063181 3.4 -, · ..':; 23 699928 2,25 , 26 6956257 2.8 :- 27 88144-1 4,96 ;":27 84-4-23223 HT 3.25 · 27 T84J04847 28T 5,6 -.'. 28 EF01133200 4,9 28 EF01133201 4,8 28 EF01163202 5 , . .::".': 28 EF01163204 5 " 28 EF01303209 4,8 28 85-50858 5.04 1/1/85 '.~ ' :~..:. 28 20270-49 28 50033-52 3 5 5 5 5 5 5 7 5 5 5' 5 5 5 28 29 29 29 29 29 .' .- .', 2161 EF01033206 4.7 EF01133208 4.7 EF01153199 5 EF01163203 5 EF03113207 3.1 Friday, May 23, 1997 VOLTS PR! 2400/12470 24O0~4160Y 2.4/416O 4160~2400 3984/2300 2.4/4160 2.4/4160 2.4/4160 2.4/4160 2400 2.4/4160 2400 / 4160 2400 / 4160 2400 / 4160 2.4 2.4/4160 2.414160 2.4/4160 2.4/4160 2.4/4160 2.4/4160 2400 2400 2400 2400 / 2400 / 4160 2400~12000 2.4/4160 2.414160 2400 / 2400 480 2400~12000 2400~12000 2400~12000 .2400/12000 2400~12000 2400 2400 2400 2400 2400~12000 2400/12000 2400~12000 2400~12000 2400~12000 VOLTS SEC INSPECTE 240/120 · 120/240 120/240 208Y/120 460~230 120/240 120/240 120~240 120/240 208y/120 120~240 120 / 240 120/.240 120 / 240 120~240 120/240 120~240' 120/240 120~240 120/240 1201240 120 1 240 120 / 240 120 / 240 208Y / 120 6.6 AMPS 208Y/120 120~240 120/240 208Y / 120 480 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 208Y120 11/6/96 11/4/96 11/5/96 11/5/96 11/5/96 11/1/95 11/4/96 2/12/97 2/12/97 2/12/97 11/4/96 11/18/96 11/4/96 11/4/96 11/4/96 11/4/96 11/5/96 11/5/96 11/5/96 5/15/97 5/1.5/97 11/5/96 11/6/96 1/1/96 11/5/96 11/5/96 _. Page 1 oort I MAP GRI ~-BUILDIN E,7 1 D,5 1 C,8 1 B,4 1 B,4 1 B,4 1 B,2 1 B,4 1 B,4 1 B,4 1 B,4 1 1 C,5 1 C,5 1 D,3 1 D,3 1 D,3 1 B,5 B,2 1 B,3 1 B,3 1 D,2 1 D,3 1 B,3 1 B,3 C,4 12 D,4 D,4 1 C,3 1 C,3 1' D,5 1 F,2 66 71 71 · .., 71 87' · · ' 87' ' 87 :.:.:! 90 - . .'."~ 93 106 131 · 132 · '.;i' 134 .-.., : ": 143 150 ;: '.i ' .;i 161 161 :..-: 161 ., · " 165 .--~ 167 ' 171 · , _'. 172 SUB ClRCUI PAD 152 152 146 114 3 2 3 133 3 3 3 3 132 3 132 3 132 I 1101 1 1101 1 1101 3 134- 3 3 3 .13 10 1103 10 1102 3 3 7 171 7 171 3 135 4 14'7 172 F,2 ':'" 172 F,2 · .. _ .:.T 173 C,4 173 C,4 · '.':. 174 E,7 ' ' 176 7 7 5 12 176 F2 176 F,2 176 F,2 177 D,2 178 D,4 182 ' F,7 1 1 12 . . Friday, May 23, 1997 . · 172. 172 156 181 184 182 182 POL 498 498 498 415 381 381 381 435 5O6 393 437 495 495 495 PCB KVA pp RATIN 0 112.5 112.5 112.5 10 5 5 5 25 75 10 10 10 50 50 50 167 167 167 112.5 37.5 0 0 2 130 311 197 0 2 4 0 2 0 0 0. 1 1 1 2 165 0 0 0 3 1 0 3 0 0 2 2 0 0 9 9 7 2 0 0 2 1 0 0 0 0 0 PHASE 37.5 75 150 150 15 5 300 112,5 25 300 150 112.5 15 15 15 3O0 500 150 750 300 75 150 225 75 50 3 3 3 1 1 " 1 1 1 3. i 1 1 1 1 1 1 1 1 3 1 .1 113 1 3 3 3 1 1 3 3 1 3 3 3 1 1 1 3 3 3 3 3 3 3 3 3 1 Page 2 ' eport 2 SERIAL DATE ~UILDIN NO IMPEDANC _MFG · ~ 1/1/80 1/1/80 1/1/80 29 29 30 39 41 41 41 42 47 66 66 66 71 71 71 87 87 87 90 93 106 131 131 '132 134 143 150 161 161 161 165 167 171 172 172 172 173 173 174 176 176 176 176 177 178 182 K0932 S.O. 22205 4.5 88099-1 4.33 2977542 6827965 2.7 6827971 2.7 6833237 2.7 E709890-61K 1.7 DFl1063182 3.2 2976487 2.6 2977515 2.6 2978O63 ,2.6 N163499TKSA 1.89 N165644YKSA 1.89 N165650YKSA 1.89 89V5291 2.4 89V5292'* 2.4 89V5293 2.4 DFl1063184 3.3 97322355 2.3 3-937O8 M001189KBLA 1.45 ;19596-1 5.97 6023230 4.2 6023229 4.2 297330O 2.3 2970228 2.9 86-51020-B 6.9 13334-1 2.8 6342727 2.6 DFl1213183 4.7 STYLE# 159585 4.8 194O3 4 7920-1 2.5 7920-2 2.5 7920-3 2.5 EF02033211 4.8 EF02183210 5.1 K0933 5.1 EF01023205 6.1 PPD-0252 5.22 11107-1 2.5 K0328 4.1 88095-1 1.89 877-51274 3 M121982YMMA 1.85 1/1/75 1/1/79 1/1/87 1/1/88 1/1F'/6 Fdday. May 23, 1997 TAP VOLTS PR! 2400 2400 2400 2400 2.4~4160 2.4/4160 2.4/4160 2400 / 4160 2400~12000 2.4 2.4 2.4 2400/4160 2400/4160 2400/4160 2400/4160 2400/4160 2400/4160 2400~12000 2400 / 5 5 5 5 3 5 5 5 5 5 5 5 5 5 5 5 5 5 5 7 7 5 5 5 2.4/4160 2400 2400 2400 2.4/4160 2.4 12470 2400 2400/4160 2400 2400 2400 2.4/4160 2.4/4160 2.4/4160 2400/12000 2400~12000 2400 2400~12000 2400 480 480 12000 1200012400 2400/4160 VOLTS SEC INSPECTE 208Y/120 480 208Y/120 120/240 120/240 120/240 120/240 120 / 240 208Y/120 120/240 120~240 120/240 120/240 120~240 120~240 120~240 120~240 120/240 208Y/120 120~240 11/5/96 11/4/96 11/4/96 11/4/96 11/4/96 11/4/96 11/4/96 11/4/96 11/4/96 120~240 208Y/120 208y/120 "208Y/120 1201240 120~240 240 480 120~240 208Y/120 208Y / 120 208Y/120 120/240 120~240 120~240 208Y/120 208Y/120 208/120 480 208Y / 120 208Y/120 208Y/120 208Y/120 208Y/120 120/240 11/4/96 11/4/96 11/5/96 11/5/96 11/4/96 11/4/96 1/1/96 11 ~5~.96 11/5/96 11 ~5~96 11/5/96 5/15/97 Page 2 BUILDIN 182 182 .-%-; -.:,, 183 " 184 188 '-, 190 -*. 190 .... 190 "' 199 199 =" 199 ;.. 212 212 :.: 212 "" 213 218 .:,..::220 222 =-, 226 ? 226 226 :Ti 227 :i:! 227 247 ~::..~247 '-~. 247 250 '":':'-. 250 "": 251 251 ', · 253 · · 253 -.. 253 · 254 254' 273 · · 300 506 ,:..' 507 . - 508 509 " 509 ' 514 514 '" 520 ;'. 520 ., · , MAP GRI F,7 F,7 D,5 D,3 E,7 F,8 F,8 F,8 C,3 C,3 C,3 H4 H4 H4 D,2 E,2 G,7 C,3 D,4 D,4 D,4 D,3 D,3 B,5 B,5 B,5 G,8 G8 F,8 F8 D,4 D4 D4 E,3 E,3 G,7 C,3 C,3 E,7 G,6 D,3 D,3 F,2 E7 H6 H6 SUB 1 1 1 1 1 2~ 2 2 1 1 1 CIRCUI PAD 1 113 1 113 4 148 6 163 1 112 12 2 12 2 12 2 3 3 3 I 10 1106 I 10 1107 I 1 11 1 3 13 Friday, May 23, 1997 1 1 I ' POL 310 310 310 1 12 1837 10 110 3 378 3 378 3 377 12 2 12 2 12 12 12 I 1 11 1 1 6 161 1 I 11 1 1 11 I 10 1105 I 10 1105 1 2 2 493 331 PCB PP 0 0 0 1 1 0 1 1 0 0 0 1 0 0 0 0 0 0 1 1 0 14 0 3 3 7 1 0 1 0 1 0 0 2 0 0 0 33 0 0 2 0 76 KVA 5O 75 5O0 75 225 500/575 1000/1150 25 25 25 1000 112.5 500 ' 112.5 225 150 225 500 750 300 10 225 37.5 37.5 25 500 75 300 75 225 15 45 225 15 225 150 150 15 30 75 45 15 10 10 15 PHASE 1 1 3 3 3 3 3 3 1 1 1- 3 3 3 3 3 3 3 3 3 3 1 3 1 1 1 3 '3 3 3 3 1 3 3 1 3 3 3 3 3 3 3 1 1 1 1 Page 3 ¥ eport 2 ~JUILDIN · . 182 182 '" 183 . · ' 184 190 · .o . 190 .... 190 '~'· 199 199 "-- 199 !-'.'.' 212 212 ._ · 212 213 218' .. .'.:. 220 222 .'.:il 226 !-i':! 226 226 }} 227 :'"-; 227 247 .-'.!:! 247 ... ": 247 25O :_.;-: 250 251 .:.~ 251 ., .. -;-;-: 253 253 - 253 :'.' 254 254 "273 · -300 506 -. ;'? 507 ... · 508 509 ,. 509 514 514 . 520 520 SERIAL NO M121985YMMA M125125YMMA 8841331 85JH488192 11325-1 B6786-685 90V6555 90V6556 4158680 4158681 4158711 PUC-0220 A 22926-001 11714 TYPE HTD GM3262204 M303842TGNA PHL-1355 PLH-1356 14472-1 TYPE: E249288--60K LS 10997-1 10997,2 4148;107 POL-0670 8402-75Y-020-3 POL-0683 A7360-1283 PO!-0505 86-4-26955-A 86-4-26955-B DF11113186 TYPE-QMS 084-50562 796003061 63A12626 NONE NONE DF11063180 NONE 7221718 M006138KDLA Friday. May 23, 1997 IMPEDANC 1.85 1.85 4.8 6.16 3.7 5.86 5.75 5.75 2.7 2.7 2.7 5.32 7.31 1.85 4.7 4.9 2.44 6.2 6.4 5.7 2.5 5 4.9 4.34 5.2 3.7 5.68 3.7 4.2 .3 2.55 5.1 3.5 1.6 7 3.3 1.5 1.55 2.75 2.6 DATE MFG 1/1/76 1/1/84 1)1/77 10/1/84 1/1/77 1/1/84 TAP 5 5 5. 5 5 5 5 5 5 '5 5 5 7 5 7 5 7 5 7 7 5 VOLTS PR! 2400/4160 2400/4160 2400 2400 2400 - 12470/4160 12470 12470 2.4/4160 2.4/4160 2.4/4160 12000 480 480 2400 2400 2400 2400 2400 2400 2400 12000 2400 2.4~4160 2.414160 2.4/4160 12470 48O 12470 240 12000 480 480 12000 480 2400 2400 2400 2400 240O 2400/12000 2400 2.4/4160 2400 / 4160 24O / 48O 24O / 480 VOLTS SEC 120/240 120/240 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 480Y/277 120/240 120/240 120/240 480 / 277 120 / 208 208Y / 120 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120 480Y/277 208Y/120 120/240 208Y/120 i20/240 120/240 120/240 480Y/277 208Y / 120 240Y/139 208Y / 120 480Y/277 120 / 240 208Y / 120 480 120/240 208Y/120 120/208Y 208/120 208Y/120 208 / 120 208Y/120 208Y/120 120/240 120 / 240 120 / 240 120 / 240 INSPECTE 11/5/96 11/5/96 11/5/96 11/4/96 11/4/96 1114/96 5115197 5115197 5/15/97 11/4/96 1114196 11/4/96 1114/96 5115197 5/15/97 5115197 5/15/97 11/6/96 11/5/96 11/5/96 5/20/97 5/15/97 5/15/97 Page 3 MAP GIRl BUiLDIN 520 H6 520 H6 520 H6 52O G,6 523 F2 523. F2 523 C,4 526 F,3 527 G,2 528 H4 532 F2 532 F2 533 B,5 534 D,6 537 G,7 538 D,2 539 D,3 543 F,5 546 F,8 546 F8 546 F8 547 C,3 550 E,2 551 F6 552 H,5 553 554 C,2 554 C,2 556 G,8 568 G,8 569 D,6 769 T6 3130 F, 10 3147 E,11 3153 E, 11 3158 E, 11 3170 D,12 3175 F, 11 3176 E, 12 3184 E, 12 3200 F, 11 3201 C,12 3206 C,12 3207 C, 12 3217 B,11 3220 B, 11 SUB 2 2 2 2 ClRCUI PAD 12 2 12 12 I 3 13 1 1 1 12 2 12 12 12 2 12 T1 12 12 2 12 2 2 12 2 I I .. (D)Tama 12 Hou Akins HSG BRAND HSG Akins HSG STAHL .HSG TAMAY 12 Romero HSG Akins ST HSG TAMAY 12 HSG Link St HSG Link St HSG Link St HSG Link St. HSG Link St HSG POL PCB PP 0 0 0 0 0 0 0 1 0 0 1 1 0 1 0 1 1 2 1 0 0 1 1 0 2 1 1 1 2 1 0 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 ,,(VA RATIN 37.5 150 1 750 112.5 45 225 750 75 1.000 300 225 112.5 45 500 500 500 75 750 112.5 112.5 225 500 30 225 300 300 225 25 300 75 112.5 75 167 100 167 167 167 167 167 167 50 100 100' 100 75 PHASE 1 3 1 3 3 " 3 3 3 3' 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 1 3 3 3 1 1 1 1 1 1 1 1 1 1 1 1 1 1 Page 4 .. Friday, May 23, 1997 eport 2 mUILDIN · 52O 520 ':'..i. 520 · "520 .-. 523 "-523 523 :':~ 526 :.i 527 528 ' '532 532 533 .-'. 534 "537 ~.~. 538 · .. 539 · . 543 546 .-, ;-Z 546 546 7-.:..': 547 :?:: 550 551 :-:: 552 ::"553 ..... 554 '-:';: 554 · , ... 556 ?. 568 ':'" 569 769 · 3130 3147 3153 3158 '~: 3170 3175 · ::i:-3176 · '3184 -.. 3200 ~ '. 3201' .. 3206 · .. 3207 . 3217 _ 3220 SERIAL NO M154506 A4192-383 A5204-783 86-51020-A 88JD131103 TYPE - QL 870595-A1 87JF937001 87JF940099 87-51228 870270-A1 M154507 886008642 886008966 CF0108003 880408-A1 J 88 H0163 J 88 H0163 9O6005526 PNH-0572 16112-1 CF0108004 906005388 906005387 906005524 891105343 90V6554 90-51816 13022-1 85LN544002 821083860 821007289 821083860 821010523 85LN546001 821083861 821083858 85LN546002 8O11356O3 811O02779 811003808 811002351 8O1134245 Friday. May 23, 1997 IMPEDANC 1.9 5.63 4.6 4.4 5.69 5.92 5.4 6 5.57 5.56 4.4 1.9 5.63 4.4 4.4 2.6 6.4 5.6 5.6 3.9 5.4 3.5 206 5.1 5.1 5 2.6 5 4.7 2.6 1.6 3.6 2.5 3.6 3.3 2.2 3.3 2,2 2.6 1,9 2 2 1,8 DATE MFG 1/1/87 1/1/86 4/1/88 4/1/88 6/1/87 6/1/87 1/1/87 1/1/87 8/1/88 3/1/86 1/1/90 11/1/82 3/1/82 11/1/82 3/1/82 11/1/82 11/1/82 12/1/80 1/1/81 1/1/81 1/1/81 1/1/81 ! TAP 7 0 5 7 7 5 5 7 5 5 5 5 5 5 5 5 5 '7 7 5 5 5 5 5 5 5 ' 5 5 5 5 5 5 5 5 5 5 5 5 5 0 0 0 0 0 VOLTS PRi 480 480 240/480 12470 480 480 1247O 12000 480 12O0O 2400. 2400 2400 2400 12000 12000/6930 12000Y/693 12000 12000~ 480 480 12000 12000 2400 12000 12000' 12000 12000 12000 1247O 2400 2400 12470Y~20 12000~930 12000 GRD 12000/6930 12000Y/693 1247O GRD 12000Y/693 12000~930 '12470 GRD 12470Y~20 12470Y~20 12470Y~20 12470Y~20 12470Y~20 VOLTS SEC 120/240 208/120 120/240 480Y/277 208Y./120 '240 480Y/277 180~77 '208Y/120 208Y/120 208Y/120 480~277 208Y/120 480Y/277 480Y/277 208Y/120' 208Y/120 480Y/277 208Y/120 208Y/120 208Y/120 208Y/120 208Y/120. 208Y/120 480Y~77 208Y/120 208Y/120 480Y~77 240/120 208Y/120 208Y/120 480 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 INSPECTE 5/15/97 5/15/97 5/15/97 11/5/96 5/15/97 5/15/97 5/15/97 5/15/97 5/15/97 11/5/96 5/15/97 5/15/97 5/15/97 5/15/97 2Jl/96 3/1/96 3/1/96 Page 4 BUILDIN ,m. · · . 3223 3303 33O4 3309 3310 3316 3317 3333 · 3335 · . . 3361 ~ 3402 . · '...,.3403 3410 ~ 3413 '.'.' 6169 6804 ,, . ...~ 6805 ':' 6825 6848 ':" 6850 .'.~. 6857 6873 ~! 13621 .., 15205 15207 15221 15621 :-:.: 15904 . . :": 15918 MAP GRi SUB C,11 C,12 C,12 B,12 B,12 B,12 B,12 G,11 G,11 F,11 C,11 C,11 B.12 B,12 H7 G,10 G,10 G,11 G,10 G,10 G,11 D,11 Link St. Dowell Dowell Dowell Dowell Frye Ct Frye Ct Deetz PL Emerson Dulay Jackson Jackson Jackson JackSon RES. Super' Super Aliender Adams Adams Marble Commun B,12 B,11 B,12 D,11 E,12 E, 11 Galiion Rogers James Parsell Poliquin Becker Friday? May 23, 1997 CIRCUI PAD 12 HSG HSG HSG HSG HSG HSG HSG HSG HSG Hou HSG HSG HSG HSG 12 Hou 12 Hou 12 Hou 12 Hou 12 HSG 12 Hou 12 Hou HSG HSG HSG HSG HSG HSG POL PCB PP .VA RATIN 1 1 1 1 1 1 1 2 2 1 1 1 1 1 0 1 1 2 1 1 1 1 .0 1 1 1 1 1 1 50 75 100 100 75 100 50 167 167 100 100 100 100 100 15 167 167 167.5 167 167 50 75 lO0 100 100 167 167 167 PHASE 1 1 1 1 1 .. 1 1 1 1 1 1 1 1 1 3 1 1 1 1 1 · 1 1 Page 5 eport 2 _BUILDIN 3223 3303 .:~;-~ 3304 · , · '~ 3309 .~., 3310 . :..~ 3316 · i 3317 ~-, 3333 ' 3335 3361 ~ 34O2 · ~: 3403 3410 ': 3413 6169 .... 6804 !i.! 6805 6825 ~ 6848 ':":i 6850 6857 --.q 6873 i'~i 13621 15205 :::'.j 15207 :.:i 15221 15621 ;:::i' 15904 15918 SERIAL NO 8O11356O1 801134244 811003806 8110038O7 801134246 811003811 801135602 871070680. 871070681 85LN545001 811OO38O9 811OO381O 801134243 811OO278O 89J415143 89J415165 707752A90 RT901046876 RT901048252 85LH548002-50-81 69VJ039024 821084262 821O84263 3884595095 821O84264 821084265 IMPEDANC 2.6 1.8 2 2 1.8 2 2.6 2.7 2.7 2.1 2 2 2 1.9 6.3 1.63 1.63 5 3.6 3.6 1.8 1.4 2.5 2.5 2.'3 3.3 3.3 DATE MFG 12/1/80 1/1/81 1/1/81 111181 111181 1/1/81 12/1/80 6/1/87 6/1/87 1/1/81 1/1/81 1/1/81 1/1/81 6/1/89 6/1/89 4,/:1/.90 4/1/90 11/1/82 11/1/82 11/1/82 11/1/82 TAP 0 0 0 0 0 5 5 5 0 VOL"t'5 PRI 12470Y/720 12470Y~20 12470Y~20 12470Y/720 12470YR20 12470YR20 12470Y~20 7200 7200 12470YR20 12470YR20 12470Y~20 12470YR20 12470YR20 480 12000 12000 12000 ',:L2.47D 1247O DEL · 12470Y~20 12000 0 0 0 7 5 5 5 5 5 5 5 12000Y/693 12000Y/693 12000Y/693 12000y~93 VOLTS SEC INSPECTE 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 240/120 208Y/120 240/120 240/120 240/120 _:.2.40/120 240/120 240/120 120/240 240/120 24~120 240/t20 240/120 240/120 5/15/97 3/1/96 1/15/97 Friday, May 23, 1997 Page 5 APPENDIX D LETTER FROM PACBELL TO MCAS TUSTIN D-1 I~'~"~ B E L L PACIFIC Itek1 A Pacific Telesis Company May, 3, 1997 Mr. Bob Tocki Director of Communications MCAS-Tustin & El Toro Mr. Tocki: At our recent meeting, you expressed some concerns with regard to ownership of communications cable and structure on-base. The tan'ifs involved with the demarcation CMPOE) minimum point of entry are not easily understood. However, through inquiries and some research I have learned some new information. My understanding of the effect of the implementation of the August, 8, 1993 demarcation rule applies to base cables as follows: since August, 8, 1993; the rcsponsibili _ty for maintenance, repair and administration of all INC base cable is soley the building owner's. However, Pacific Bell is directed to amortize its investment in the INC over a 5 year period. At the end of this 5 year period, full "ownership" interest will be relinquished to the building owner. In essence, the Marine Bases must maintain these cables from 1993 onward or enter into a maintenance contract with a vendor to do so; as. is the case. The 5 year ownership ~'ansfer is primarily an accounting issue, since Pacific Bell.is not responsible for maintenance (in the absence of a maintenance contrac0. The source of this information is the Pacific Bell Engineer's Demarcation HandboOk, dated January, 3 I, 1994; (2-13). I hope you will f'md this information helpful. Sincerely, Paul Becker OSP Engineer-Pacific Bell 145~ Eding~. Room I~1 Tusfin. CaliMrnia g26~8 August 5, 1993 PACIFIC BELL. A Pacific Tclesi,, Company -7, Commanding General Attention: Telephone Office Headquarters MCAS Tustin P.O. Box 10500 Santa Aha, CA. 92716-5000 DA~ED ~ 30, 1993_ Dear Sir; Thank you for the opportunity to review the building cable maintenance issues for your building at Building 505 Base ~Di Maxi Hut I/O Building 4. As you are aware, the California Public Utilt~tes Commission (CPUC) has ordered that the responsibility for inmtallation and repair of butldln~ cables be moved to building owners in August of 1993. Understanding these new responsibilities and making tnlormed decisions will be a complex undertaking. Provided is a preliminary estimate of the charges associated with a repair plan provided by Pacific Bell. The rates listed are based on Pacific Bell's preliminary rate filing with the CPUC. Final prices must be approved by ~he CPUC for use star, lng August S, 1993. ' To better understand our Service Agreement repair plan, provided below is an explanation of the services ~nd the respective costs,that are available £rom Pacific Bell. BASIC ~ U~AIl Fhtle cable within a building'does not o~ten fall of its own accord, damage may occur for many dif'~eren= reasons: - ~emodeling of leased space may require the rearrangemen~ of a cable facility. If ~his is not carefully managed, ~he cable can e'asil~ be damaged. - ~ater damage ~rom leaking or broken plumbing fixtures and pipes can saturate a cable or terminal. .".~' - The spread oI lire vttlin a building often follows 'ca~le run~ between ~loors · · '~/ - Careless access and use of the cable network by various tenants' telephone - personnel. ,, Pacific Bell's build/n~ c~le service agreements are desired to h~dle simple as well as major ~ailures of ~our cable network. ~e pl~ includes the full replacements of /'.'~ all building cable .and associated terminal locations, as vel/ as your tenants' .v: co,cottons to the cable· Time and ~aterials Used for the repair are covered bM a sim91s ~earlF fee. . . . ~..( ~ts service excludes damage caused BF catastrophic loss such aa ~ire, floods or acts ol nature. The Pacific Bell service agreement plan offers iA-hour repair bY a ... qualllied rgpair tec~cian, usin~ approved methods and materials. If your tenants :.. experience a service outage due to the c~le network, Pacilic Bell will manage the ~- repair process tn a va~ that limits ~eir inconvenience and. do~ time. ~his c~ be critical for some of ~our tenants, as their businesses rely heavily on telecommunications s~stems. ' . (Page 1 oi 4) . . .~ . ~:~;'J.~.4'"6%:~' ." .:-:~',~-' ~LT~"f~.~f~T~.*~:~J~ff'% ~~ ~,~~~ ] .... ,~ .... The Yearly service agreement fee is based on a calculated replacement value of the cable that is covered. The calculation Xs Provided by a Pacifle ac11 e~9~neg~ w~o has terminals tn ~ou~ lock,ions la $~68,105. ment- ~ $ 868,105. X 1.00 Calculated value· of the cable network Service A reement Multi liar $ 8,681.05 Or a minimum $90.00 per year loc Basic Repair Plan ' In addition to basic repair, available are one or more of the optional services that Pacific Bell provides in conjunction with the basic cable repair service LiSted below are the associated co~:a. . OPTION 1: CAPACITY FILL AND HEDIA APPLICATIO~ Building cable networks installed by Pacific Bell. have been tradi'tionally sized to support our network· services. As the cable becomes available to your tenants, it is projected that a variety oI services will be eona.~e~ed through your cable. These additional servicel ma~ utilize so~e or all o! ~he ;par~ capacity of the cable. Since ~our tenants will be reliant upon you to provide service capacity to their respective floor, ongoing monitoring 0f the spare capacit~ of your cables will become a necessity. You certalnl~ would not want t~ rent spac~ that do~s not have enough telephone facilities. In addition to the cable capacity, different types of Cable support different 'levels of voice or data services. Since your building supports clients who have si~ni~tcant data needs, you may wish to have the cable reviewed for service capability. This option provides ongoing review of cable capacity and its support capability. . $ 868;105. Calculated value ol the cable network X -_ .3% S 2,604.32 · . Or a minimum $25.00 Yearly Fee in addition to Basic Plan OPTION 2: P~ATIVE ENANCS -. .L-" Building cable networks can be affected by incidental damage such as a "wet mop" leaning against a telephone terminal or storage of equipment and supplies against the .- face of a terminal. Unchecked, ~hesm =Ypes of dama~s will i~terfere with you= ~' =enanTs' telecommunications service · (Page 2 of 4) Pacific. Bell's preventative maintenance program provides ongoing review and correction o~ these types of damages to your cabling. No other.vendor has occasion to work with your cabling as often as the Pacific Bell technician. Preventative care ~aves costly ~ut~re expenditures, Ye~ar_l~ Service &greene.hr- Preventative Ma}ntea~nce $ 868,105. ' Calculated value of the cable network x .2 % Service Agreement Multiplier $ 1,735.21 Or a minimum $22.00 Yearly Fee in addition to Basic Plan O_PTION 3: .THAN. OMISSION'QUALITY AND C~CUIT INT~FR~_c~ As telecommunications services become more complex, the quality o[ the transmission media is critical. 'Traditionally Pacific Bell.provided these transmission services as part of regulated service., with the change ordered by the CPUC part of this responsibility shifts to you, Your tenants, especially those utilizing h/gh-capacit~ digital services, will roi) on you to manage what type ol co~llections are made in the building cable. Improper co~nections or i:conrpatible services (e.g., doorbell buzzer next to a digital line) may impact the traJlsmi~sion quality of telecom~u-!cation services witkin the bqildi~. Pacific Bell's optional transmission ~uality and circuit interference program removes ~ou from daily worry of these problems. By subscribing to this service in addition to the basic repair plan, your .Pacific Bell technician will be able to restore most problem~ caused by improper connection~ in your cable network. Yearly lervice Agreement - Tr~--=ission~alit~ & Circuit ?-terror-wee 868,105. .3% Calculated value of the cable network Service Aqreement MultiPlier $ 2,604.32 or a minimum $30.00 Yearly Fee in addition to Basic Plan OPTION 4: C~DS8 COk%]MCTS {)me oI the largest causes of trouble in building cable may not be the c~ble, but the connecting wires. These connections are commonly referred to as cross connects. Since the cable will be exposed to a variet~ of different vendors, there .is a risk of this type oI problem. For example, a vendor maF pull 'the connections of another tenant to provide service to their customer. This is particularly an issue when the cable reaches its maximum capacity. Pacific Bell's optional service to replace cross connects is not dependent on other vendors. When a customer calls Pacific Bell to isolate a service problem, any missing. or displaced cross connects will be reinstalled at no charge to the tenant. Time is valuable when a circuit is not working properly. (Page 3 of 4) . J yearly Service $ 868,105. X .3% _ $ 3,604.32 calculated value of the cable network 8ervice AGreement Multiplier Or a minimum. S23.00 Yearly Fee in addition to Basic Plan · ISCIP .OF sI~VICE v Yearly Service Agreement - Basic Plan $ 8,681.50 Basic Repair Plan Yearly Fee · optional Bervices/Yearly Fee in addition to the Basic Plan 2,604.32 1,736.21 2,604.33 2;604.33 Capacity Fill & Media Application Preventative Maintenance Transmission guallty & Circuit Interference Cross Con~ects 18,230.67 Full Complement oX Cable Services In addition to the services listed on the previous pages, you may desire a copy of cable records that describe key pieces oX information about the cables, their routin~ and construction. These records are available fro~ Pacific Bell for an estimated Zee of $119.00 for 1-6 record sheets. Your cable system ts currentl~ contained on sheets. Your projected cost for obtaining these records would be b'~ile a Pacific Bell service agreement is an excellent fit for most butldin9 o~aers', we recoFnize that some maM wish to "pay omly when It breaks." ~[ you would prefer this option, Pacific Bell will provide these services under time and material charges. The current rate for these emergency repair activities is $105.00 for normal business hours and $135.00 for overtime hours. These changes 'certainly add complexity to your building management requirements and to ~our tenants' telecommunications services. Pacific Bell has de~tFaed'a comprehensive package o~ work and cable services to make r~e complex s~mple for you. If ~ou would like to pre-subscribe to our plan, please feel free to contact your Pacific Bell representative. ~incerely, Jeff Merickel S=~ineer (Page 4 0~ 4).