Orono_Route_Permit_Application - Docket # W002/TL-11-223

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Date Application Received: 8/23/10 Date Application Considered as Complete: INCOMPLETE REQUEST FOR COUNCIL ACTION Item #12 - CCAgenda - 1211312010 File #10-3486 [Total Pages 81 Date: 1 December 2010 Item No. 1A Department Approval: Administrator Approval. Agenda Section: Name: Melanie Curtis Title: Planning & Zoning Coordinator Item Description: Land Use Application #10-3466 Xcel Energy — 3960 Sixth Avenue N — Substation Expansion CUP & Routing Permit Local Review List of Exhibits: Exhibit A - Xcel Fact Sheet & Aerial Photo Exhibit B - Applicable Minnesota Rules and Statutes Summary: In August, Xcel Energy began the process of making an application to expand and upgrade their existing substation at 3960 Sixth Avenue North. This project includes a complete rebuild of the existing substation and an increase in operating voltage from 69 kilovolts ("kV'� to 115 kV. A new transmission line is also proposed. The final route for the new, overhead transmission line has not yet been determined but will be subject to review and approval. This type of project is typically reviewed and approved by the Public Utilities Commission (PUC) however Xcel may seek local review and approval because their project meets the exemption set out in the Statute. The exemption applies to projects involving transmission lines between 100 and 200 kV, and substations with a voltage designed for and operating at 100 kV or more. Both are being proposed on this site. Pursuant to MN Statute §216.E.05 and MN Rule 7850.5300, Xcel may seek local review and approval from the City via our CUP process for their substation expansion and new transmission line route. Pursuant to MN Statute §216.E05, subdivision 1(b) and MN rule 7850.5300, subpart 4, the City has 60 days in which to refer review and permitting back to the PUC. As the application is not yet complete that 60 day clock has not begun. City Zoning Code lists public service structures as an allowed conditional use within all districts in the City. Specifically Section 78-393(6) applies to the RR -1A District where this property is located. Staff initially understood the local review sought by Xcel was only the CUP for the substation expansion. We now better understand that accepting Xcel's request for local review includes the substation and approval of the routing for the new transmission line route. Because the review process cannot be split between the City and the PUC, the City must review either both aspects of this proposal or neither. In the opinion of staff, the City does not have the appropriate level of expertise needed to fully review the routing of the new transmission lines.