LEBANON — Duke Realty Corp. will pay an estimated $250,000 to relocate utilities lines for an Anson Development road project after two companies balked at moving them at their own cost.
Duke Energy (formerly Cinergy and no relation to Duke Realty) and Vectren refused to pay to relocate their utilities line to accommodate County Road 650 East being widened from two to four lanes. The project falls within a Tax Increment Finance district established for phase one of the three-part, 1,700-acre Anson Development.
According to Boone County attorney Eileen Sims, the companies cited case law that says utilities do not have pay for moving utilities if a project benefits private industry. Duke counters that the road work is need for progress that benefits all of Boone County.
Sims told the Boone County Commissioners at their meeting Monday that she proposed both sides pay half, but Duke Energy and Vectren refused.
“It was as if they thought they could hold the road hostage,” she said.
The road is slated to be closed starting June 12 and re-open Aug. 15 before the Zionsville school year resumes.
Boone REMC, TDS Telecom and CountryMark Co-op all agreed to move their lines at their own cost.
Moving the utilities is necessary because the new road falls within current rights-of-way where utility lines located now. Duke Energy’s cost to move their lines is estimated at $140,000 while Vectren’s cost would have been $110,000.
Commissioner Charles Eaton chided Duke Energy’s position, saying it’s a public company worth $26 billion and they’re quibbling over less than $150,000. “It’s absurd,” he said.
Under the agreement between Duke Realty and the utilities, Duke did not waive its right to pursue legal action, Sims said. A Duke legal representative told the commissioners Monday that the company will research cases to see if it has grounds to recoup the money.
If Duke Realty goes go to court and wins, the money should revert to the TIF district for future projects, said Commissioner Huck Lewis.
A few years ago, Duke Energy — then Cinergy — moved utility lines along C.R. 650 East, Sims said. At that time, Duke officials told Cinergy it might want to wait, since there was a good chance a road might coming through there. Cinergy wanted to know where the road would be, ultimately decided to move the lines instead of waiting for Duke’s answer.
In moving the lines, Duke Energy also is requesting an exclusive right-of-way, meaning no other utility can be located in that area. Whitestown Utilities currently has lines where Duke Energy is slated to move.
Exclusive rights-of-way are a bad idea, cautioned county Highway Supervisor Tom Kouns, because utility companies may push costs on to the county for future moves.
Also, Vectren informed Boone County and Duke Realty that the delay in working out right-of-way has pushed back their scheduled by 30 days before their engineers can move the lines, which would put the start of their work in July. Duke Realty told the county they still expect the work to be done by Aug. 15.
County Road 650 East will be closed between C.R. 550 South and State Road 334 During that time, C.R. 650 East will become a four-lane road with two roundabouts.
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