Boulder has a long history of undergrounding electric infrastructure, particularly in newer areas of the city and during major reconstruction projects thanks to local regulations. As a result, a majority of the city’s electric distribution system is already underground.
In recent years, undergrounding efforts have been accelerated and more intentionally aligned with wildfire mitigation, multimodal transportation projects and long-term planning for a more resilient energy system.
How the City’s Partnership with Xcel Makes Undergrounding Possible
Undergrounding projects in Boulder are made possible through the city’s franchise agreement with Xcel Energy.
Under this agreement:
- Xcel makes available the equivalent of 1% of the annual revenues it collects from the Boulder community for community-directed undergrounding projects in the public right of way.
- On average, this funding equals approximately $1.2 million per year.
- Projects are typically coordinated with other city capital improvements to reduce costs and disruption.
Settlement Funding
As part of a settlement agreement with the city, Xcel made an additional $11.5 million available. This amount represents the equivalent of 1% in franchise fee revenues for the roughly 10 years Boulder was out of franchise, meaning the city did not have a formal franchise agreement in place with the electric utility. During that time, Boulder did not receive the franchise fees typically paid to cities. This settlement funding helps account for that gap and supports city priorities related to the electric system.
Through 2024:
- $16.4 million has been available and allocated to undergrounding projects
- Funding has supported four major projects across the community
Beyond these projects, the city will continue to accrue 1% funds annually for future undergrounding efforts.
Recent Projects
North Broadway Undergrounding Project
$3.9 million | Completed 2022
This project converted about one mile of overhead lines to underground along North Broadway, from just south of Violet Avenue to U.S. Highway 36. It was completed alongside the city’s North Broadway Reconstruction Project.
Why this area was prioritized:
- Support future redevelopment
- Avoid cutting into newly reconstructed concrete roadways
- Improve reliability for customers and businesses along and west of North Broadway
19th Street Undergrounding Project
$2.3 million | Completed 2024
This project converted approximately 3,300 feet of overhead electric distribution lines to underground along 19th Street between Upland and Norwood avenues. It was coordinated with the 19th Street Multimodal Improvement Project.
Why this area was prioritized:
- Create space in the public right of way for a multimodal path
- Improve reliability for surrounding neighborhoods
East Arapahoe Undergrounding Project
$7.9 million | Completed in 2025
This project undergrounded approximately 0.8 miles of overhead distribution lines along East Arapahoe Road, from McArthur Drive to 56th Street. The work is coordinated with the East Arapahoe Multi-Use Path and Transit Stop Project.
Why this area was prioritized:
- Make space for a regional multi-use path
- Reduce impacts to adjacent properties
- Improve long-term reliability along a major corridor
Cost TBD | In progress
This three-phase project began in 2024 and is being completed in partnership with the Chautauqua Association. It will underground some overhead distribution lines in Chautauqua and the adjacent open space.
This is one of the most complex undergrounding projects Xcel has undertaken in Boulder.
Why this area was prioritized:
- Reduce wildfire potential in a high-risk area
- Improve the sightlines in a nationally significant landscape