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Council establishes Virginia Way undergrounding district, authorizes $855,000 in utility credits
Summary
Council approved formation of the Virginia Way Underground Utility Assessment District (Rule 20A/Rule 28 hybrid), authorizing use of the city’s SDG&E Rule 28 credit balance (~$855,000) to cover utility design and SDG&E construction costs and directing the city to fund civil/construction components through a future CIP.
Laguna Beach city council voted to establish the Virginia Way Underground Utility Assessment District (2025‑1), a targeted undergrounding project in South Laguna that will remove six poles and associated overhead wires between Third and Fifth avenues.
Staff described the proposal as a Rule 28–style project: SDG&E will use its accumulated Rule 28 credits to cover its portion of design and construction for utility relocation and will serve property connections at no cost to homeowners; the city would fund the civil construction—trenching, roadway restoration and private service…
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