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CONVERSION TO UNDERGROUND:

It shall be the policy of the District wherever feasible to place its distribution facilities underground as new lines are built. Because of the difference between overhead and underground construction costs, it will be necessary for the District to carefully weigh a number of factors in determining what lines should be placed underground. Factors to be taken into account shall include, but not necessarily be limited to: cost difference, aesthetic values, type of load, anticipated revenue, and type of plant to be buried.

If undergrounding of existing District electric facilities within a particular area is requested by petition of a majority of the customers within the area, the policy of the District shall be to provide underground facilities if feasible, and to establish a surcharge on all bills for electric service in the area. Provision for a surcharge shall be included in the petition and the surcharge shall be adequate to amortize the following costs plus interest thereon over a period of no longer than ten years:

  1. The depreciated cost of the existing system

  2. The cost of removal of the existing system less salvage

  3. The estimated excess cost of the underground system

If undergrounding of existing District electric facilities is required by statute for any subdivision or incorporated or unincorporated area, tract or plot, it shall be the policy of the District to provide underground facilities and to establish special rates for such underground service. Such rates shall be applicable to all service rendered within the subdivision to which the law, ordinance or statute shall apply.