STATE OF CALIFORNIA, PETE WILSON, Governor

PUBLIC UTILITES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

March 24, 1998

Dean Shauers, Project Manager

Pacific Pipeline System, Inc.

12201 E. Arapahoe Road, C10

Englewood, CO 80112

RE: Variance Request #58 - Allow for 24-hour construction, seven days a week, at the "Dog Pound" directional drill sites, City of Burbank (Segment 3).

Clearance #28 (amendment) - 45 day time extension for completion of directional drill operations at the "Dog Pound" sites, City of Burbank (Segment 3).

Dear Mr. Shauers:

We have reviewed the above-referenced requests and approve your requests, based on the following factors:

• Use of the subject sites for the directional drill operations was approved by the CPUC on February 24, 1998 (Clearance #28). This approval stipulated that the "use of the sites is limited for drilling operations as described above and for less than 30 days upon the start of the drilling operations."

• On Saturday, March 14, 1998, the directional drill being conducted at the subject sites became stuck as a result of soil conditions in the area. The request for a continuous drill operation has been submitted to ensure that when drill operations recommence (e.g., when the stuck pipe is freed, which has not occurred to date) the drill operations can be completed without further delay and associated construction impacts (air quality and noise) can be minimized. A continuous, 24-hour, seven days a week, operation of the directional drill would greatly increase the likelihood that no further delays would occur as a result of the directional drill again getting stuck.

• Given the delay incurred due to the directional drill getting stuck, the directional drill cannot be completed within the original 30 days granted under Clearance #28.

• The Dog Pound directional drill site is located within an industrial area along the Metropolitan Transit Authority Railroad right-of-way. No residences are located within 500 feet of the directional drill sites. PPSI has filed for an exemption from the City of Burbank Municipal Code, Section 2, Noise Control. City staff (G. Ortega and B. Henslee) verbally notified PPSI that the exemption would be approved since the Municipal Code allows for 24-hour construction, seven days a week, if there are not residences within 500 feet of the noise source.

• The following measures shall be implemented:

- All applicable mitigation measures for the project shall be implemented at the subject location.

- Written approval from the City of Burbank granting 24-hour construction, seven days a week, shall be submitted to the CPUC Lead Environmental Monitor prior to the commencement of such construction.

- All businesses within 500 feet of the directional drill sites shall be notified of the proposed 24-hour construction, seven days a week, prior to the commencement of such construction. All noise complaints received shall be filed immediately with the City of Burbank and CPUC Lead Environmental Monitor for consideration. Failure to file any noise complaints shall result in the immediate cessation of construction as granted under this variance approval.

- Implementation of this variance in accordance with the provisions noted above shall be verified on a random basis by a CPUC/ANF Environmental Monitor.

Sincerely,

Andrew Barnsdale

Project Manager

cc: R. Borden, ANF

H. Rastegar, Aspen

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