HomeMy WebLinkAboutOrdinance - 19-2012 - EXCEL Electric Franchise Fee Ordinance - 06/28/2012 CITY OF EDEN PRAIRIE
HENNEPIN COUNTY, MINNESOTA
ELECTRIC FRANCHISE FEE ORDINANCE
ORDINANCE NO. 19-2012
AN ORDINANCE IMPLEMENTING AN ELECTRIC SERVICE FRANCHISE FEE ON
NORTHERN STATES POWER COMPANY, A MINNESOTA CORPORATION, DB/A
XCEL ENERGY, ITS SUCCESSORS AND ASSIGNS, FOR PROVIDING ELECTRIC
SERVICE WITHIN THE CITY OF EDEN PRAIRIE
THE CITY COUNCIL OF THE CITY OF EDEN PRAIRIE DOES ORDAIN:
SECTION 1. The City of Eden Prairie Municipal Code is hereby amended to include
reference to the following Special Ordinance.
Subdivision 1. Purpose. The Eden Prairie 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
electric services within the City of Eden Prairie.
(a) Pursuant to City Ordinance No. 18-2012, a Franchise Agreement between the
City of Eden Prairie and Northern States Power Company, a Minnesota
corporation, d/b/a Xcel Energy, its successors and assigns, the City has the right to
impose a franchise fee on Northern States Power Company, a Minnesota
corporation, d/b/a Xcel Energy, its successors and assigns, in an amount and fee
design as set forth in Section 9.1 of the Northern States Power Company
Franchise and in the fee schedule attached hereto as Schedule A.
Subdivision 2. Franchise Fee Statement. A franchise fee is hereby imposed on
Northern States Power Company, a Minnesota Corporation, d/b/a Xcel Energy, its successors and
assigns, under its electric franchise in accordance with the schedule attached here to and made a
part of this Ordinance, commencing with the Xcel Energy October, 2012 billing month.
This fee is an account-based fee on each premise and not a meter-based fee. In the event that an
entity covered by this ordinance has more than one meter at a single premise, but only one
account, only one fee shall be assessed to that account. If a premise has two or more meters
being billed at different rates, the Company may have an account for each rate classification,
which will result in more than one franchise fee assessment for electric service to that premise. If
the Company combines the rate classifications into a single account, the franchise fee assessed to
the account will be the largest franchise fee applicable to a single rate classification for energy
delivered to that premise. In the event any entities covered by this ordinance have more than one
premise, each premise (address) shall be subject to the appropriate fee. In the event a question
arises as to the proper fee amount for any premise, the Company's manner of billing for energy
used at all similar premises in the city will control.
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Subdivision 3. Payment. The said franchise fee shall be payable to the City in
accordance with the terms set forth in Section 9.4 of the Franchise.
Subdivision 4. Surcharge. The City recognizes that the Minnesota Public Utilities
Commission allows the utility company to add a surcharge to customer rates to reimburse such
utility company for the cost of the fee and that Xcel Energy will surcharge its customers in the
City the amount of the fee.
Subdivision 5. Record Support for Payment. Xcel Energy shall make each payment
when due and, if required by the City, shall provide at the time of each payment a statement
summarizing how the franchise fee payment was determined, including information showing any
adjustments to the total surcharge billed in the period for which the payment is being made to
account for any uncollectibles,refunds or error corrections.
Subdivision 6. Enforcement. Any dispute, including enforcement of a default regarding
this ordinance will be resolved in accordance with Section 2.5 of the Franchise Agreement.
Subdivision 7. Effective Date of Franchise Fee. The effective date of this Ordinance
shall be after its publication and ninety (90) days after the sending of written notice enclosing a
copy of this adopted Ordinance to Xcel Energy by certified mail. Collection of the fee shall
commence as provided above.
FIRST READ at a regular meeting of the City Council of the City of Eden Prairie on the
51h day of June, 2012, and finally read and adopted and ordered published in summary form as
attached hereto at a regular meeting of the City Council of said City on the 19`" day of June,
2012.
ATTEST:
Ka leen Porta, City Clerk Na y a-Lu s, ay
Published in the Eden Prairie News on the 28t' day of June, 2012.
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SCHEDULE A
Franchise Fee Rates:
Electric Utility
The franchise fee shall be in an amount determined by applying the following schedule per
customer premise/per month based on metered service to retail customers within the City:
Class Amount per month
Residential $2.50
Sm C & I—Non-Dem $3.00
Sm C & I— Demand $10.00
Large C & I $45.00
Franchise fees are to be collected by the Utility at the rate listed below, and submitted to the City
on a quarterly basis 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.
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CITY OF EDEN PRAIRIE
HENNEPIN COUNTY, MINNESOTA
SUMMARY OF ORDINANCE 18-2012 (FRANCHISE)
AND
ORDINANCE 19-2012 (FRANCHISE FEE)
AN ORDINANCE (FRANCHISE ORDINANCE) GRANTING TO NORTHERN STATES
POWER COMPANY, A MINNESOTA CORPORATION, DB/A XCEL ENERGY, ITS
SUCCESSORS AND ASSIGNS, PERMISSION TO CONSTRUCT, OPERATE, REPAIR
AND MAINTAIN IN THE CITY OF EDEN PRAIRIE, MINNESOTA, AN ELECTRIC
DISTRIBUTION SYSTEM AND TRANSMISSION LINES, INCLUDING NECESSARY
POLES, LINES, FIXTURES AND APPURTENANCES, FOR THE FURNISHING OF
ELECTRIC ENERGY TO THE CITY, ITS INHABITANTS, AND OTHERS, AND TO
USE THE PUBLIC GROUNDS AND PUBLIC WAYS OF THE CITY FOR SUCH
PURPOSES
AND
AN ORDINANCE (FRANCHISE FEE ORDINANCE) IMPLEMENTING AN ELECTRIC
SERVICE FRANCHISE FEE ON NORTHERN STATES POWER COMPANY, A
MINNESOTA CORPORATION, DB/A XCEL ENERGY, ITS SUCCESSORS AND
ASSIGNS, FOR PROVIDING ELECTRIC SERVICE WITHIN THE CITY OF EDEN
PRAIRIE
Summaries:
This Franchise Ordinance grants Northern States Power Company, d/b/a Xcel Energy (the
"Company") a franchise to construct, operate, repair and maintain an electric distribution system
and transmission lines for the furnishing of electric energy in the City of Eden Prairie and to use
the public grounds and public ways of the City for such purposes. The ordinance regulates among
other matters the location of facilities, street openings and restoration obligations. The ordinance
further allows the City to impose on the Company a franchise fee which the Company will
collect from users.
The Franchise Fee Ordinance implements commencing in August, 2012 an electric service
franchise fee on the Company for providing electric energy within the City. The Franchise Fee
schedule is:
Class Amount per month
Residential $2.50
Sm C & I—Non-Derr $3.00
Sm C & I—Demand $10.00
Large C & I $45.00
Effective Date: This effective date of the Franchise Ordinance shall be from and after passage
of the Franchise Ordinance, its acceptance by the Company and its publication. The effective
date of the Franchise Fee Ordinance shall be after its publication and ninety (90) days after the
sending of written notice enclosing a copy of the adopted Franchise Fee Ordinance to the
Company by certified mail.
ATTEST:
Kat een Porta, City Clerk N ncy iv - u s, yo
PUBLISHED in the Eden Prairie News on June 28, 2012.
(A full copy of the text of this Ordinance is available from City Clerk.)
CITY OF EDEN PRAIRIE
HENNEPIN COUNTY,
MINNESOTA
SUMMARY OF ORDINANCE 18-
2012(FRANCHISE)AND
ORDINANCE 19-2012
(FRANCHISE FEE)
AN ORDINANCE(FRANCHISE
ORDINANCE) GRANTING TO NORTHERN STATES POWER Affidavit of Publication
COMPANY,A MINNESOTA COR-
PORATION, Southwest Newspapers
ITS SUCCESSORS AND ASSIGNS,
PERMISSION TO CONSTRUCT,
OPERATE, REPAIR AND MAIN-
TAIN IN THE CITY OF EDEN State of Minnesota
PRAIRIE,MINNESOTA,AN ELEC
TRIC DISTRIBUTION SYSTEM
AND TRANSMISSION LINES, )SS.
INCLUDING NECESSARY POLES, County of Hennepin
LINES, FIXTURES AND APPUR-
TENANCES, FOR THE FURNISH-
ING OF ELECTRIC ENERGY TO
THE CITY, ITS INHABITANTS,
AND OTHERS,AND TO USE THE Laurie A. Hartmann, being duly sworn, on oath says that she is the authorized agent of the
PUBLIC GROUNDS AND PUBLIC publisher of the newspaper known as the Eden Prairie News and has full knowledge of the facts
WAYS OF THE CITY FOR SUCH herein stated as follows:
PURPOSES AND AN ORDINANCE
(FRANCHISE FEE ORDINANCE) (A) This newspaper has complied with the requirements constituting qualification as a legal
IMPLEMENTING HI ELECTRIC newspaper,as rovided b Minnesota Statute 331A,02,331A.07,and other applicable laws,as
SERVICE FRANCHISE FEE ONP Y PP
NORTHERN STATES POWER amended.
COMPANY,A MINNESOTA COR-
PORATION,D/B/A XCEL ENERGY, (B)The printed public notice that is attached to this Affidavit and identified as No.3�3
ITS SUCCESSORS AND ASSIGNS, was published on the date or dates and in the newspaper stated in the attached Notice and said
FOR PROVIDING ELECTRIC SER- Notice is hereby incorporated as part of this Affidavit.Said notice was cut from the columns of
VICE WITHIN THE CITY OF EDEN the newspaper specified. Printed below is a copy of the lower case alphabet from A to Z, both
PRAIRIE inclusive,and is hereby acknowledged as being the kind and size of a used in the composition
Summaries: y g g type P
This Franchise Ordinance and publication of the Notice:
grants Northern States Power
Company, d/b/a Xcel Energy(the abcdefghijklmnopgrstuvwxyz
"Company") a franchise to con-
struct,operate,repair and maintain �' ; „ 44K4"'�
an electric distribution system and
transmission lines for the furnish-
ingof electric energy in the City of 4- Laurie A.Hartmann
Eden Prairie and to use the public
grounds and public ways of the City
For such purposes. The ordinance Subscribed and sworn before me on
regulates among other matters the
location of facilities, street open-
ings and restoration obligations.
The ordinance further allows the
City to impose on the Company a this day of_ 2012
franchise fee which the Company j
will collect from users. I/
The FEanchise Fee Qrrlinance JYMME JEANNE7E BARK
implements commencing in August, �� NOTARY PUBLIC-MINNESOTA
2012 an electric service franchise MY COMMISSION EXPIRES 01/31/13
fee on the Company for providing
electric energy within the City.The No �Nc'
Franchise Fee schedule is:
Class Amountpermgnth
Residential $2.50
Sm C&I-Non-Derr $3.00
Sm C&I-Demand $10.00
Large C&I $45.00
Effective Date: This effective RATE INFORMATION
date of the franc ise Ordinance
shall be from and after passage of Lowest classified rate paid by commercial users for comparable space...$31.20 per column inch
the Franchise C)r in nce, its ac- Maximum rate allowed by law for the above matter...................................$31.20 per column inch
ceptance by the Company and its Rate actually charged for the above matter...............................................$12.59 per column inch
publication. The effective date of
the Franchise Fee OrdtiaaRpg shall
be after its publication and ninety
(90)days after the sending of writ-
ten notice enclosing a copy of the
adopted Branchi e FItDsdinance to
the Company by certified mail.
Nancy Tyra-Lukens,Mayor
ATTEST: Kathleen Porta,City
Clerk
(A full copy of the text of this
Ordinance is available from City
Clerk.)
(Published in the Eden Prairie
News on Thursday, June 28, 2012;
No.3353)