HomeMy WebLinkAbout2459-14 - ADMIN Ordinance - City Council - 2014/11/03ORDINANCE NO. 2459-14
CITY OF ST. LOUIS PARK, HENNEPIN COUNTY, MINNESOTA
ORDINANCE IMPLEMENTING AN ELECTRIC SERVICE FRANCHISE FEE ON
NORTHERN STATES POWER COMPANY, A MINNESOTA CORPORATION, D/B/A
XCEL ENERGY, ITS SUCCESSORS AND ASSIGNS, FOR PROVIDING ELECTRIC
SERVICE WITHIN THE CITY OF ST. LOUIS PARK
THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, HENNEPIN COUNTY,
MINNESOTA, ORDAINS:
SECTION 1.
For purposes of this Ordinance, the following capitalized terms listed in alphabetical order shall
have the following meanings:
1.1 City. The City of St. Louis Park, County of Hennepin, State of Minnesota.
1.2 Company. Northern States Power Company, a Minnesota corporation, d/b/a Xcel Energy,
its successors and assigns.
1.3 Franchise Ordinance. The franchise ordinance adopted by the City - City Ordinance 1907-93.
1.4 Notice. A written notice served by one party on the other party referencing one or more
provisions of this Ordinance. Notice to Company shall be mailed to the General Counsel, 414
Nicollet Mall, 50' Floor, Minneapolis, MN 55401. Notice to the City shall be mailed to the City
Manager, City Hall, 5005 Minnetonka Blvd., St. Louis Park, MN 55416. Either party may
change its respective address for the purpose of this Ordinance by written notice to the other party.
SECTION 2. ELECTRIC FRANCHISE FEE.
2.1 Purpose. The St. Louis Park City Council has determined that it is in the best interest of the
City to impose a franchise fee on those public utility companies that provide natural gas and
electric services within the City. Pursuant to the Franchise Ordinance the City has the right to
impose a franchise fee on Company.
2.2 Franchise Fee Statement and Schedule. A franchise fee is hereby imposed on Company
commencing with the February 2015 billing month, and in accordance with the following fee
schedule:
Customer Classification
Residential
Small C & I with no demand charge
Small C & I with demand charge
Large C & I
Municipal pumping with no demand charge
Municipal pumping with demand charge
Amount per Account per Month ($)
$3.25 per month
$6.50 per month
$30.00 per month
$105.00 per month
$6.00 per month
$30.00 per month
2.3 Account Fee. This fee is an account based fee and not a meter -based fee. In the event
that an entity covered by this ordinance has more than one meter, but only one account, only
one fee shall be assessed to that account. In the event any entities covered by this ordinance
have more than one account, each account shall be subject to the appropriate fee. In the
Ordinance No. 2459-14
-2-
event a question arises as to the proper fee amount for any account, the Company's manner
of billing for energy used at all similar premises in the City will apply.
2.4 Payment. Franchise fees are to be collected by the Company and submitted to the City as
follows:
January — March collections due by April 30.
April — June collections due by July 31.
July — September collections due by October 31.
October — December collections due by January 31.
2.5 Record Support for Payment. The Company shall make each payment when due and, if
required by the City, shall provide a statement summarizing how the franchise fee payment
was determined, including information showing any adjustments to the total made to account
for any non -collectible accounts, refunds or error corrections. The Company shall permit the
City, and its representatives, reasonable access to the Company's records for the purpose of
verifying such statements.
2.6 Payment Adjustments. Payment to the City will be adjusted where the Company is unable
to collect the franchise fee. This includes non -collectible accounts.
2.7 Surcharge. The City recognizes that the Minnesota Public Utilities Commission may allow
the Company to add a surcharge to customer rates of City residents to reimburse the Company
for the cost of the fee.
2.8 Relation to Franchise Ordinance. This Ordinance is enacted in compliance with the
Franchise Ordinance and shall be interpreted as such.
2.9 Periodic Review. The City Council shall review this ordinance every two years in
whatever manner the City Manager then determines to be appropriate. Failure to review this
ordinance shall not in any way invalidate or limit it.
SECTION 3. PREVIOUS FRANCHISE FEE ORDINANCE SUPERSEDED.
Franchise Fee Ordinance supersedes Ordinance No. 2424-12.
EFFECTIVE DATE. This Ordinance takes effect ninety (90) days after its passage.
is 3rd day of November, 2014, by the City Council of the City of St. Louis Park.
City
Attest:
City Cl4k /) q
Date Published:
Council November 3, 2014
Mayor � / / "
p owed as to Form and E e tion:
P 0 A f�
City Attorney