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Red Oak agrees to underground utility relocation for Yule Road widening; city share about $164,516

Red Oak City Council · November 13, 2024
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Summary

City council approved staff recommendation to underground electric lines as part of the Yule Road reconstruction, accepting a Hilco estimate of $529,031.55 for full undergrounding and noting Red Oak’s 50% share would be about $164,515.78 under the cost‑share agreement with Glen Heights.

The Red Oak City Council approved a resolution to proceed with the recommended utility relocation approach for the Yule Road widening project and to fund Red Oak’s share of the cost under an agreement with Glen Heights.

Staff said the Hilco Electric Co‑op originally estimated about $200,000 for relocation work several years ago, but the scope shifted as the project grew and the cost changed. Engineering and staff reported the latest undergrounding estimate is "$529,031.55 to go full underground" and that, under the project’s cost‑sharing arrangement, Red Oak’s half of the increase would be approximately $164,515.78. Staff recommended undergrounding to avoid additional large concrete poles and to provide a better long‑term aesthetic and fewer above‑ground crossings.

Council discussed budget availability in the Yule Road escrow account and whether Glen Heights’ participation reduces Red Oak’s net contribution. Staff said Glen Heights would reimburse its share and that the city has funds set aside in escrow for the full project. Council approved the motion to proceed with the underground option by recorded vote (four present council members voted in favor; one member briefly stepped out during the vote).