In Palm Springs, California, officials pushed back a public hearing and the count of assessment ballots for a plan to place utility lines underground in the Old Las Palmas neighborhood after homeowners objected to potential charges that neared $140,000 per property, KESQ News Channel 3 reported.

Here's what to know

The Old Las Palmas proposal would replace overhead utility lines with underground infrastructure, and estimated assessments are $92,000 to $139,000 for each parcel. News Channel 3 reported that the city removed the item from Wednesday's City Council agenda, delaying both the public hearing and ballot count.

At the Oct. 14 council meeting, Old Las Palmas homeowner Don Sherwood, who has lived in the neighborhood for more than a decade, said the proposed amount was far beyond what he had planned for. "Something like this was coming. It certainly wasn't in my budget. It's similar to going to your mailbox, opening a bill for medicine, and getting a bill for $140,000," he said, per News Channel 3.

In a written statement to the city, Sherwood said the lines serving his property were already put underground in 1993 yet his parcel is still slated for a proposed assessment of $138,872.26.

Resident Sarah Barton said her household's "first and only official communication" from the city arrived in September, and she questioned whether homeowners had enough time to review the financing terms before the hearing. Residents also raised concerns about the method used to calculate assessments, the district boundaries, construction impacts on the neighborhood, and access to engineering and environmental review documents. 

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More background

The project is about safety as well as appearance. Old Las Palmas resident Tom Ellicott told News Channel 3 that he and nearby homeowners have wanted the neighborhood's overhead utilities buried because of the area's large trees and the dangers posed by exposed lines.

"Well, we have more than enough information. The chief pros are safety and aesthetics," Ellicott said.

Another resident, Garth Gilpin, also backed the proposal for fire-safety and beautification reasons but noted that homeowners may still have to pay to connect their houses to the underground system.

The proposed assessments may not reflect each homeowner's full cost. Depending on a property's circumstances, financing charges and private connection work could push the total higher.

During the Oct. 14 meeting, Palm Springs City Councilmember Grace Garner pressed for clarity on why properties that already have underground utilities could still be assessed, News Channel 3 reported.

What's being done?

In a Thursday statement, the city said it had received "a number of questions and concerns" about the owner-initiated assessment district and therefore took the item off the agenda. Staff will coordinate with the city's assessment engineer along with financial and legal teams to review the issues before deciding on next steps.

The project has not been canceled, but the city has not announced a new public hearing date. It also remains unclear whether officials will alter the assessments, financing terms, or other parts of the proposal.

Previously submitted assessment ballots will remain unopened until the city decides how to proceed. Those ballots are separate from the Nov. 3 general election.

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Saving that much money can make a difference for households weighing expensive home-related decisions.

"It's never going to be any cheaper than it is right now," Gilpin said, per News Channel 3.

Where can I learn more?

These stories offer context on the utility costs and energy policy fights shaping homeowner decisions in California and beyond. 

• Southern California Edison customers consider large energy rate hikes as residents question rising utility costs.

• PacifiCorp sought approval to bill customers for $1.7 billion in wildfire damages.

• A California homeowner said PG&E would slash credits 75% after adding panels.

• In California, one city turned rooftop solar into relief for low-income households.

• California lawmakers advanced a bill to ditch gas before $20,000 pipe replacements.

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