Palm Springs advances $10.1 million plan to bury Old Las Palmas power lines

The Palm Springs City Council approved resolutions Wednesday advancing two assessment districts that would bury overhead power, telephone and cable lines throughout the Old Las Palmas neighborhood, setting in motion a formal property owner vote on nearly $10.1 million in proposed costs.

The council preliminarily approved the assessment engineer’s reports for both districts and scheduled a public hearing and ballot count for Oct. 28 at 5:30 p.m.

Ballots mailed to property owners will be weighted according to the size of each parcel’s assessment, meaning owners facing larger bills carry more influence over the outcome than those with smaller ones. A district can be formed if a majority of the weighted ballots returned are not opposed.

District 1 covers about 30 acres and 51 parcels, with 37 utility poles slated for removal. Its total assessment is $5.94 million, with individual parcel assessments ranging from about $92,000 to $139,000.

District 2 covers about 24 acres and 40 parcels, with 28 poles to be removed. Its total assessment is $4.2 million, and individual assessments range more widely, from about $82,000 to $171,000.

Both districts originated from petition drives by neighborhood property owners rather than a city-initiated project. District 1’s petition, representing more than 60% of the assessable property area, was certified in October 2025, and District 2’s petition was certified in March 2026.

The assessments do not cover every cost homeowners will face. Property owners will also have to separately hire and pay a contractor to connect their homes to the new underground system, a step the assessment engineer’s report says will eventually be required once the overhead system is removed.

Property owners will have the option to pay their assessment in cash to avoid a lien on their property, or to finance the balance through bonds with a maximum term of 20 years. Design work is expected to take about 12 to 18 months, followed by roughly 12 months of construction after a bond sale, making either project a multiyear undertaking if it moves forward.

An annual administrative assessment of up to $88 per parcel is also planned, increasing each year by the Consumer Price Index or 3%, whichever is greater, along with a possible $16 per-parcel fee to cover bond administration.

City staff said no General Fund money is expected to be used for either project. The Old Las Palmas Neighborhood Committee has deposited money with the city to cover the cost of the engineering report and balloting process, which would be reimbursed from bond proceeds if the districts are ultimately formed.

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