SCE sues Laguna Beach over utilities ordinance
Southern California Edison filed a lawsuit against Laguna Beach on Wednesday claiming that a city ordinance requiring utility companies to transfer their equipment underground violates state and federal law.
The SCE lawsuit, filed in United States District Court in Santa Ana, specifically claims that the mandate, approved by the Laguna Beach City Council on March 28, undermines the contract clauses of the U.S. and California constitutions, which prohibit legislation that hinders a contract.
Laguna Beach City Atty. Phil Kohn said Friday that he hadn’t seen the lawsuit and declined to comment.
The ordinance calls for public utility companies such as Edison to underground all new, replaced or relocated utility infrastructure.
Downed power lines and poles have caused at least five fires from 2007 through 2015, led to power outages, and forced officials to close roads, according to the ordinance.
The lawsuit says the undergrounding ordinance would violate the company’s contract with the city by prohibiting the company from being able to construct and operate its facilities along city streets, “despite the fact that the SCE paid for such rights and continues to do so.”
The ordinance, however, says existing franchise agreements with public utilities allow it to “supervise and regulate” the location of poles, wires, mains or conduits of any public utility, on, under or above any public streets.
SCE’s costs for maintaining and building the new structures would also increase, and its ability to maintain and repair its equipment would be constrained, the lawsuit says.
SCE also claims in the suit that the ordinance would prevent the company from following requirements of the California Public Utilities Commission, which has “exclusive jurisdiction over undergrounding.” This would cause the company to either violate the ordinance or state public utilities code, because “it cannot comply with both simultaneously,” according to the lawsuit.
SCE has been embroiled in conflict with the city over the ordinance since it was brought to the company’s attention in October, the SCE lawsuit says.
San Diego Gas and Electric Co. has also filed a lawsuit targeting the city’s ordinance.
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