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LAFCO to study undergrounding of utilities and fiber; commissioners flag equity and regulatory limits
Summary
LAFCO discussed a narrow work plan to assess costs, funding options and regulatory hurdles for undergrounding utilities and fiber; staff will return with a draft and commissioners emphasized equity, coordination with PG&E and limits created by a franchise-fee agreement.
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LAFCO opened a second item to resume a study on undergrounding utilities and fiber and directed staff to develop the work plan as a first step.
Jason Bridal, identified in the packet as LAFCO staff, presented a concise work plan outlining goals: estimate the total cost of undergrounding (noting per-mile averages exist), evaluate whether projects can be segmented, consider a "dig once" approach to coordinate sewer, water, fiber and electric work, update outdated data, catalog prior studies and identify funding options and legal hurdles. Bridal said one longstanding constraint is a franchise-fee arrangement dating to the 1930s that the city attorney treats as an agreement in perpetuity, which limits the city's unilateral authority over non-fiber undergrounding performed by PG&E.
Bridal said the immediate deliverable would be a verbal report in December with the possible next step of a written draft in January or February for public comment. "If we combine, like, let's just say, SFPUC sewer and water system improvements throughout the city... we should be part have the the city and PG and E should partner together," he said, characterizing partnership with PG&E and city utilities as the practical endpoint of the cost analysis.
Commissioners and public speakers repeatedly raised equity concerns. Commissioner Cynthia Cruz cited a Wall Street Journal analysis of Kansas City that found low take-up of new municipal fiber in low-income neighborhoods and urged caution to ensure undergrounding and any eventual broadband service do not exacerbate the digital divide. Commissioner Maher said investments should benefit vulnerable seniors, low-income residents and working families rather than primarily affluent homeowners.
Public commenters (including Bruce Wolf and representatives of community coalitions) urged LAFCO to gather prior LAFCO and city studies, consider citywide public-network models (Chattanooga was cited as an example) and examine options that prioritize low-income connectivity. Several commissioners and staff said the proposed scope is step 1 (technical and cost analysis) and that a separate business-model study (how to connect homes and operate retail broadband) could follow if the commission requests it.
Although the agenda listed the item as discussion only, a motion was moved by Commissioner Cynthia Cruz to allow staff to develop and implement the proposed work plan; the clerk noted the agenda said "no action" but the motion was moved "without objection" and the chair indicated the motion passes. Staff will proceed with the study timeline and return progress reports to the commission.
