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Committee backs effort to explore Rule 20b undergrounding pilot on Homestead Street
Summary
The committee voted to send a resolution to the Board that begins a long Rule 20b undergrounding process for one-block Homestead Street (24th–25th), after staff described Rule 20b financing and residents urged the city to pursue the pilot.
The Land Use & Transportation Committee voted July 27 to recommend a resolution that initiates an undergrounding process for Homestead Street (between 24th and 25th), using California Public Utilities Commission Rule 20(b) financing.
Ranil Bajoy, speaking for the Board president's office, told the committee that Rule 20(a) credits San Francisco once relied on are exhausted and that Rule 20(b) enables property owners to fund undergrounding directly while PG&E contributes what it would have cost for equivalent overhead infrastructure. "What we are doing here today is different. It's Rule 20b," Bajoy said, adding the city's role is to create a legislative framework and an assessment district to let property owners spread costs over time.
Residents from Homestead Street urged the committee to pursue the pilot and offered practical guidance. "Homestead Street is just one block long. But we can make a breakthrough for the city and county of San Francisco," said resident Ernie Bridal, who described research into how other cities structure assessment districts and consultant options. Other public commenters asked the city to account for street trees and green infrastructure when planning undergrounding.
Bajoy emphasized the resolution is an initial procedural step: DPW will need an engineering cost estimate, a public hearing for an assessment district and ballot procedures before any work or cost allocation is set. Chair Mirna Melgar moved to send the item to the full Board with a positive recommendation; the committee recorded three ayes and the motion passed.
Next steps include DPW work with residents, an engineering report, coordination with PG&E and subsequent legislation to form an assessment district if the project proceeds.
