HomeMy WebLinkAboutCity Council Workshop Agenda Packet 10-18-17Falcon Heights City Council Workshop
City Hall 2077 W Larpenteur Ave. 6:30 p.m.
AGENDA Wednesday, October 18, 2017
1)Ramsey County Sheriff’s Office -Law Enforcement Services2)Xcel – Franchise Fee3)Vacant Home Ordinance
If you have a disability and need accommodation in order to attend this meeting, please notify City Hall 48 hours in advance between the hours of 8:00 a.m. and 4:30 p.m. at 651-792-7600. We will be happy to help.
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REQUEST FOR COUNCIL DISCUSSION
Families, Fields and Fair __________________________
The City That Soars!
Item Ramsey County Sheriff’s Office – Policing Services
Description
Commander Rich Clark with the Ramsey County Sheriff’s Office will available
to discuss the propose agreement for law enforcement services and answer any
questions the Council may have for the transition from St. Anthony Police to
the County.
Staff is currently working with Commander Clark to make the transition as
smooth as possible and we are working on scheduling “Meet and Greet” open
houses after the contract has been approved by Council and signed.
Budget Impact Per the adopted 2018 Preliminary Levy and Budget.
Attachment(s) · Draft Agreement for Law Enforcement Services
Action(s) Requested Staff is looking for direction from Council to proceed forward with the
proposed agreement for policing services with the Ramsey County Sheriff’s
Office.
Meeting Date October 18, 2017
Agenda Item 1
Attachment Proposed Contract
Submitted By Sack Thongvanh, City Administrator
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REQUEST FOR COUNCIL DISCUSSION
Families, Fields and Fair __________________________
The City That Soars!
Item Proposed Xcel Franchise Ordinance and Fee
Description
Jake Sedlacek, Manger of Community Relations and Economic Development
will be available to answer questions that the Council may have to implement
a franchise fee for gas and electrical utilities for Falcon Heights.
Budget Impact The projected revenue from the franchise fee is estimated at $129,000. The City
Council will have to decide how to use the additional funds.
Attachment(s) · Letter from Xcel – Jake Sedlacek
· Franchise Fee Estimates from 2016
· Draft Xcel Electric Franchise
· Draft Xcel Electric Fee
· Draft Xcel Gas Franchise
· Draft Xcel Gas Fee
Action(s) Requested Staff is looking for direction on if and how to proceed with the gas and electric
franchise and fee.
Meeting Date October 18, 2017
Agenda Item 2
Attachment Document(s)
Submitted By Sack Thongvanh, City Administrator
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ELECTRIC FRANCHISE ORDINANCE
ORDINANCE NO. _______.
CITY OF FALCON HEIGHTS, RAMSEY COUNTY, MINNESOTA
AN ORDINANCE GRANTING TO NORTHERN STATES POWER COMPANY, A
MINNESOTA CORPORATION, ITS SUCCESSORS AND ASSIGNS, PERMISSION TO CONSTRUCT, OPERATE, REPAIR AND MAINTAIN IN THE CITY OF FALCON
HEIGHTS, 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. THE CITY COUNCIL OF THE CITY OF FALCON HEIGHTS, RAMSEY COUNTY,
MINNESOTA, ORDAINS:
SECTION 1. DEFINITIONS.
For purposes of this Ordinance, the following capitalized terms listed in alphabetical order shall have the following meanings:
1.1 City. The City of Falcon Heights, County of Ramsey, State of Minnesota.
1.2 City Utility System. Facilities used for providing non-energy related public utility service owned or operated by City or agency thereof, including sewer and water service, but excluding
facilities for providing heating, lighting or other forms of energy.
1.3 Commission. The Minnesota Public Utilities Commission, or any successor agency or agencies, including an agency of the federal government, which preempts all, or part of the authority
to regulate electric retail rates now vested in the Minnesota Public Utilities Commission.
1.4 Company. Northern States Power Company, a Minnesota corporation, its successors
and assigns.
1.5 Electric Facilities. Electric transmission and distribution towers, poles, lines, guys, anchors, conduits, fixtures, and necessary appurtenances owned or operated by Company for the
purpose of providing electric energy for public use.
1.6 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, 401 Nicollet Mall, 8th Floor, Minneapolis, MN 55401. Notice to the City shall be mailed to the City
Administrator, City Hall, 2077 Larpenteur Avenue West, Falcon Heights, MN 55113. Either party may change its respective address for the purpose of this Ordinance by written notice to the other
party.
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1.7 Public Ground. Land owned by the City for park, open space or similar purpose, which is held for use in common by the public.
1.8 Public Way. Any street, alley, walkway or other public right-of-way within the City.
SECTION 2. ADOPTION OF FRANCHISE.
2.1 Grant of Franchise. City hereby grants Company, for a period of 20 years from the
date passed and approved by the City, the right to transmit and furnish electric energy for light, heat,
power and other purposes for public and private use within and through the limits of the City as its boundaries now exist or as they may be extended in the future. For these purposes, Company may
construct, operate, repair and maintain Electric Facilities in, on, over, under and across the Public Grounds and Public Ways of City, subject to the provisions of this Ordinance. Company may do all
reasonable things necessary or customary to accomplish these purposes, subject, however, to such reasonable regulations as may be imposed by the City pursuant to ordinance and to the further
provisions of this franchise agreement.
2.2 Effective Date; Written Acceptance. This franchise agreement shall be in force and
effect from and after passage of this Ordinance, its acceptance by Company, and its publication as required by law. The City, by Council resolution, may revoke this franchise agreement if Company
does not file a written acceptance with the City within 90 days after publication.
2.3 Service and Rates. The service to be provided and the rates to be charged by Company
for electric service in City are subject to the jurisdiction of the Commission. The area within the City
in which Company may provide electric service is subject to the provisions of Minnesota Statutes,
Section 216B.40.
2.4 Publication Expense. The expense of publication of this Ordinance will be paid by City and reimbursed to City by Company.
2.5 Dispute Resolution. If either party asserts that the other party is in default in the
performance of any obligation hereunder, the complaining party shall notify the other party of the
default and the desired remedy. The notification shall be written. Representatives of the parties must
promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not
resolved within 30 days of the written notice, the parties may jointly select a mediator to facilitate further discussion. The parties will equally share the fees and expenses of this mediator. If a mediator
is not used, or if the parties are unable to resolve the dispute within 30 days after first meeting with the selected mediator, either party may commence an action in District Court to interpret and enforce this
franchise or for such other relief as may be permitted by law or equity for breach of contract, or either party may take any other action permitted by law.
SECTION 3. LOCATION, OTHER REGULATIONS.
3.1 Location of Facilities. Electric Facilities shall be located, constructed and maintained so as not to interfere with the safety and convenience of ordinary travel along and over Public Ways
and so as not to disrupt normal operation of any City Utility System previously installed therein. Electric Facilities shall be located on Public Grounds as determined by the City. Company's
construction, reconstruction, operation, repair, maintenance and location of Electric Facilities shall be
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subject to permits if required by separate ordinance and to other reasonable regulations of the City to the extent not inconsistent with the terms of this franchise agreement. Company may abandon
underground Electric Facilities in place, provided at the City’s request, Company will remove abandoned metal or concrete encased conduit interfering with a City improvement project, but only to
the extent such conduit is uncovered by excavation as part of the City improvement project.
3.2 Field Locations. Company shall provide field locations for its underground Electric
Facilities within City consistent with the requirements of Minnesota Statutes, Chapter 216D.
3.3 Street Openings. Company shall not open or disturb any Public Ground or Public Way for any purpose without first having obtained a permit from the City, if required by a separate
ordinance, for which the City may impose a reasonable fee. Permit conditions imposed on Company shall not be more burdensome than those imposed on other utilities for similar facilities or work.
Company may, however, open and disturb any Public Ground or Public Way without permission from the City where an emergency exists requiring the immediate repair of Electric Facilities. In such event
Company shall notify the City by telephone to the office designated by the City as soon as practicable.
Not later than the second working day thereafter, Company shall obtain any required permits and pay any required fees.
3.4 Restoration. After undertaking any work requiring the opening of any Public Ground
or Public Way, Company shall restore the same, including paving and its foundation, to as good a condition as formerly existed, and shall maintain any paved surface in good condition for one year
thereafter. The work shall be completed as promptly as weather permits, and if Company shall not
promptly perform and complete the work, remove all dirt, rubbish, equipment and material, and put
the Public Ground or Public Way in the said condition, the City shall have, after demand to Company
to cure and the passage of a reasonable period of time following the demand, but not to exceed five days, the right to make the restoration at the expense of Company. Company shall pay to the City the
cost of such work done for or performed by the City. This remedy shall be in addition to any other remedy available to the City for noncompliance with this Section 3.4, but the City hereby waives any
requirement for Company to post a construction performance bond, certificate of insurance, letter of credit or any other form of security or assurance that may be required, under a separate existing or
future ordinance of the City, of a person or entity obtaining the City’s permission to install, replace or
maintain facilities in a Public Way.
3.5 Avoid Damage to Electric Facilities. Nothing in this Ordinance relieves any person from liability arising out of the failure to exercise reasonable care to avoid damaging Electric Facilities
while performing any activity.
3.6 Notice of Improvements. The City must give Company reasonable notice of plans for improvements to Public Grounds or Public Ways where the City has reason to believe that Electric
Facilities may affect or be affected by the improvement. The notice must contain: (i) the nature and
character of the improvements, (ii) the Public Grounds and Public Ways upon which the improvements are to be made, (iii) the extent of the improvements, (iv) the time when the City will
start the work, and (v) if more than one Public Ground or Public Way is involved, the order in which the work is to proceed. The notice must be given to Company a sufficient length of time in advance of
the actual commencement of the work to permit Company to make any necessary additions, alterations or repairs to its Electric Facilities.
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3.7 Shared Use of Poles. Company shall make space available on its poles or towers for City fire, water utility, police or other City facilities upon terms and conditions acceptable to Company
whenever such use will not interfere with the use of such poles or towers by Company, by another electric utility, by a telephone utility, or by any cable television company or other form of
communication company. In addition, the City shall pay for any added cost incurred by Company because of such use by City.
SECTION 4. RELOCATIONS.
4.1 Relocation of Electric Facilities in Public Ways. If the City determines to vacate a Public Way for a City improvement project, or at City’s cost to grade, regrade, or change the line of any
Public Way, or construct or reconstruct any City Utility System in any Public Way, it may order Company to relocate its Electric Facilities located therein if relocation is reasonably necessary to
accomplish the City’s proposed public improvement. Except as provided in Section 4.3, Company shall relocate its Electric Facilities at its own expense. The City shall give Company reasonable notice
of plans to vacate for a City improvement project, or to grade, regrade, or change the line of any Public
Way or to construct or reconstruct any City Utility System. If a relocation is ordered within five years of a prior relocation of the same Electric Facilities, which was made at Company expense, the City
shall reimburse Company for non-betterment costs on a time and material basis, provided that if a subsequent relocation is required because of the extension of a City Utility System to a previously
unserved area, Company may be required to make the subsequent relocation at its expense. Nothing in this Ordinance requires Company to relocate, remove, replace or reconstruct at its own expense its
Electric Facilities where such relocation, removal, replacement or reconstruction is solely for the
convenience of the City and is not reasonably necessary for the construction or reconstruction of a
Public Way or City Utility System or other City improvement.
4.2 Relocation of Electric Facilities in Public Ground. City may require Company, at
Company’s expense, to relocate or remove its Electric Facilities from Public Ground upon a finding by City that the Electric Facilities have become or will become a substantial impairment to the existing or
proposed public use of the Public Ground.
4.3 Projects with Federal Funding. City shall not order Company to remove or relocate
its Electric Facilities when a Public Way is vacated, improved or realigned for a right-of-way project
or any other project which is financially subsidized in whole or in part by the Federal Government
or any agency thereof, unless the reasonable non-betterment costs of such relocation are first paid to Company. The City is obligated to pay Company only for those portions of its relocation costs for
which City has received federal funding specifically allocated for relocation costs in the amount requested by the Company, which allocated funding the City shall specifically request. Relocation,
removal or rearrangement of any Company Electric Facilities made necessary because of a federally-aided highway project shall be governed by the provisions of Minnesota Statutes, Section 161.46, as
supplemented or amended. It is understood that the rights herein granted to Company are valuable
rights.
4.4 No Waiver. The provisions of this franchise apply only to facilities constructed in reliance on a franchise from the City and shall not be construed to waive or modify any rights obtained
by Company for installations within a Company right-of-way acquired by easement or prescriptive right before the applicable Public Ground or Public Way was established, or Company's rights under
state or county permit.
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SECTION 5. TREE TRIMMING.
Company may trim all trees and shrubs in the Public Grounds and Public Ways of City to the
extent Company finds necessary to avoid interference with the proper construction, operation, repair and maintenance of any Electric Facilities installed hereunder, provided that Company shall save the
City harmless from any liability arising therefrom, and subject to permit or other reasonable regulation
by the City.
SECTION 6. INDEMNIFICATION.
6.1 Indemnity of City. Company shall indemnify, keep and hold the City free and harmless from any and all liability on account of injury to persons or damage to property occasioned by
the construction, maintenance, repair, inspection, the issuance of permits, or the operation of the Electric Facilities located in the Public Grounds and Public Ways. The City shall not be indemnified
for losses or claims occasioned through its own negligence except for losses or claims arising out of or
alleging the City's negligence as to the issuance of permits for, or inspection of, Company's plans or work. The City shall not be indemnified if the injury or damage results from the performance in a
proper manner, of acts reasonably deemed hazardous by Company, and such performance is nevertheless ordered or directed by City after notice of Company's determination.
6.2 Defense of City. In the event a suit is brought against the City under circumstances
where this agreement to indemnify applies, Company at its sole cost and expense shall defend the City
in such suit if written notice thereof is promptly given to Company within a period wherein Company
is not prejudiced by lack of such notice. If Company is required to indemnify and defend, it will
thereafter have control of such litigation, but Company may not settle such litigation without the consent of the City, which consent shall not be unreasonably withheld. This section is not, as to third
parties, a waiver of any defense or immunity otherwise available to the City and Company, in defending any action on behalf of the City, shall be entitled to assert in any action every defense or
immunity that the City could assert in its own behalf.
SECTION 7. VACATION OF PUBLIC WAYS.
The City shall give Company at least two weeks prior written notice of a proposed vacation of
a Public Way. Except where required for a City improvement project, the vacation of any Public Way, after the installation of Electric Facilities, shall not operate to deprive Company of its rights to operate
and maintain such Electric Facilities, until the reasonable cost of relocating the same and the loss and expense resulting from such relocation are first paid to Company. In no case, however, shall City be
liable to Company for failure to specifically preserve a right-of-way under Minnesota Statutes, Section 160.29.
SECTION 8. CHANGE IN FORM OF GOVERNMENT.
Any change in the form of government of the City shall not affect the validity of this Ordinance. Any governmental unit succeeding the City shall, without the consent of Company,
succeed to all of the rights and obligations of the City provided in this Ordinance.
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SECTION 9. FRANCHISE FEE.
9.1 Fee Schedule. During the term of the franchise hereby granted, and in lieu of any
permit or other fees being imposed on Company, the City may impose on Company a franchise fee by collecting the amounts indicated in a Fee Schedule set forth in a separate ordinance from each
customer in the designated Company Customer Class. The parties have agreed that the franchise
fee collected by the Company and paid to the City in accordance with this Section 9 shall not exceed
the following amounts.
Class Fee Per Premise Per Month
Residential $ 2.00
Sm C & I – Non-Dem $ 3.00 Sm C & I – Demand $ 21.00
Large C & I $ 200.00
Public Street Ltg $ 12.00 Muni Pumping –N/D $ -
Muni Pumping – Dem $ -
9.2 Separate Ordinance. The franchise fee shall be imposed by a separate ordinance duly adopted by the City Council, which ordinance shall not be adopted until at least 90 days after
written notice enclosing such proposed ordinance has been served upon Company by certified mail.
The fee shall not become effective until the beginning of a Company billing month at least 90 days
after written notice enclosing such adopted ordinance has been served upon Company by certified
mail. Section 2.5 shall constitute the sole remedy for solving disputes between Company and the City in regard to the interpretation of, or enforcement of, the separate ordinance. No action by the
City to implement a separate ordinance will commence until this Ordinance is effective. A separate ordinance which imposes a lesser franchise fee on the residential class of customers than the
maximum amount set forth in Section 9.1 above shall not be effective against Company unless the fee imposed on each other customer classification is reduced proportionately in the same or greater
amount per class as the reduction represented by the lesser fee on the residential class.
9.3 Terms Defined. For the purpose of this Section 9, the following definitions apply:
9.3.1 “Customer Class” shall refer to the classes listed on the Fee Schedule and as
defined or determined in Company’s electric tariffs on file with the Commission.
9.3.2 “Fee Schedule” refers to the schedule in Section 9.1 setting forth the various customer classes from which a franchise fee would be collected if a separate ordinance were
implemented immediately after the effective date of this franchise agreement. The Fee Schedule in the separate ordinance may include new Customer Class added by Company to its electric tariffs
after the effective date of this franchise agreement.
9.4 Collection of the Fee. The franchise fee shall be payable quarterly and shall be based
on the amount collected by Company during complete billing months during the period for which payment is to be made by imposing a surcharge equal to the designated franchise fee for the applicable
customer classification in all customer billings for electric service in each class. The payment shall be
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due the last business day of the month following the period for which the payment is made. The franchise fee may be changed by ordinance from time to time; however, each change shall meet the
same notice requirements and not occur more often than annually and no change shall require a collection from any customer for electric service in excess of the amounts specifically permitted by this
Section 9. The time and manner of collecting the franchise fee is subject to the approval of the Commission. No franchise fee shall be payable by Company if Company is legally unable to first
collect an amount equal to the franchise fee from its customers in each applicable class of customers by
imposing a surcharge in Company’s applicable rates for electric service. Company may pay the City the
fee based upon the surcharge billed subject to subsequent reductions to account for uncollectibles,
refunds and correction of erroneous billings. Company agrees to make its records available for inspection by the City at reasonable times provided that the City and its designated representative agree
in writing not to disclose any information which would indicate the amount paid by any identifiable customer or customers or any other information regarding identified customers.
9.5 Equivalent Fee Requirement. The separate ordinance imposing the fee shall not be
effective against Company unless it lawfully imposes and the City monthly or more often collects a fee
or tax of the same or greater equivalent amount on the receipts from sales of energy within the City by any other energy supplier, provided that, as to such a supplier, the City has the authority to require a
franchise fee or to impose a tax. The “same or greater equivalent amount” shall be measured, if practicable, by comparing amounts collected as a franchise fee from each similar customer, or by
comparing, as to similar customers the percentage of the annual bill represented by the amount collected for franchise fee purposes. The franchise fee or tax shall be applicable to energy sales for any
energy use related to heating, cooling or lighting, or to run machinery and appliances, but shall not apply to energy sales for the purpose of providing fuel for vehicles. If the Company specifically
consents in writing to a franchise or separate ordinance collecting or failing to collect a fee from
another energy supplier in contravention of this Section 9.5, the foregoing conditions will be waived to the extent of such written consent.
SECTION 10. PROVISIONS OF ORDINANCE.
10.1 Severability. Every section, provision, or part of this Ordinance is declared separate
from every other section, provision, or part and if any section, provision, or part shall be held
invalid, it shall not affect any other section, provision, or part. Where a provision of any other City
ordinance conflicts with the provisions of this Ordinance, the provisions of this Ordinance shall
prevail.
10.2 Limitation on Applicability. This Ordinance constitutes a franchise agreement between the City and Company as the only parties, and no provision of this franchise shall in any
way inure to the benefit of any third person (including the public at large) so as to constitute any such person as a third party beneficiary of the agreement or of any one or more of the terms hereof,
or otherwise give rise to any cause of action in any person not a party hereto.
SECTION 11. AMENDMENT PROCEDURE.
Either party to this franchise agreement may at any time propose that the agreement be
amended to address a subject of concern and the other party will consider whether it agrees that the amendment is mutually appropriate. If an amendment is agreed upon, this Ordinance may be
amended at any time by the City passing a subsequent ordinance declaring the provisions of the
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amendment, which amendatory ordinance shall become effective upon the filing of Company’s written consent thereto with the City Clerk within 90 days after the date of final passage by the City
of the amendatory ordinance.
SECTION 12. PREVIOUS FRANCHISES SUPERSEDED.
This franchise supersedes any previous electric franchise granted to Company or its
predecessor.
Passed and approved: _________________________, 2017.
______________________________________
Mayor
Attest:
________________________________
City Clerk
Date Published:____________________
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ORDINANCE NO. _______
AN ORDINANCE IMPLEMENTING AN ELECTRIC SERVICE FRANCHISE FEE ON NORTHERN STATES POWER COMPANY, A MINNESOTA CORPORATION, ITS SUCCESSORS
AND ASSIGNS, FOR PROVIDING ELECTRIC SERVICE WITHIN THE CITY OF FALCON HEIGHTS
THE CITY COUNCIL OF THE CITY OF FALCON HEIGHTS DOES ORDAIN:
SECTION 1. The City of Falcon Heights Municipal Code is hereby amended to include reference to the following Special Ordinance.
Subd. 1. Purpose. The Falcon Heights 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 Falcon Heights.
(a) Pursuant to City Ordinance ______, a Franchise Agreement between the City of Falcon Heights and Northern States Power Company, a Minnesota corporation, its successors and
assigns, the City has the right to impose a franchise fee on Northern States Power Company, a Minnesota corporation, its successors and assigns, in an amount and fee design as set forth in
Section ________ of the Northern States Power Company Franchise and in the fee schedule attached hereto as Schedule A.
Subd. 2. Franchise Fee Statement. A franchise fee is hereby imposed on Northern
States Power Company, a Minnesota Corporation, 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 NSPM _____________________, 2018 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.
Subd. 3. Payment. The said franchise fee shall be payable to the City in accordance
with the terms set forth in Section 9 of the Franchise.
Subd. 4. Surcharge. The City recognizes that the Minnesota Public Utilities Commission may
allow Company to add a surcharge to customer rates of city residents to reimburse Company for the cost of the fee.
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Subd. 5. Enforcement. Any dispute, including enforcement of a default regarding this ordinance will be resolved in accordance with Section 2.5 of the Franchise Agreement.
Subd. 6. 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 NSPM by certified mail. Collection of the fee shall commence as provided above.
Passed and approved: _____________________, 2017.
__________________________________
Mayor
Attest:
_____________________________________ City Clerk
SEAL
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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 $2.00 Sm C & I – Non-Dem $3.00
Sm C & I – Demand $21.00 Large C & I $200.00
Public Street Ltg $12.00
Franchise fees are 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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GAS FRANCHISE ORDINANCE
ORDINANCE NO. _______.
CITY OF FALCON HEIGHTS, RAMSEY COUNTY, MINNESOTA
AN ORDINANCE GRANTING TO NORTHERN STATES POWER COMPANY, A
MINNESOTA CORPORATION, ITS SUCCESSORS AND ASSIGNS, PERMISSION TO ERECT A GAS DISTRIBUTION SYSTEM FOR THE PURPOSES OF CONSTRUCTING,
OPERATING, REPAIRING AND MAINTAINING IN THE CITY OF FALCON HEIGHTS, MINNESOTA, THE NECESSARY GAS PIPES, MAINS AND
APPURTENANCES FOR THE TRANSMISSION OR DISTRIBUTION OF GAS TO THE CITY AND ITS INHABITANTS AND OTHERS AND TRANSMITTING GAS INTO
AND THROUGH THE CITY AND TO USE THE PUBLIC GROUNDS AND PUBLIC WAYS OF THE CITY FOR SUCH PURPOSES.
THE CITY COUNCIL OF THE CITY OF FALCON HEIGHTS, RAMSEY COUNTY, MINNESOTA, ORDAINS:
SECTION 1. DEFINITIONS.
For purposes of this Ordinance, the following capitalized terms listed in alphabetical order
shall have the following meanings:
1.1 City. The City of Falcon Heights, County of Ramsey, State of Minnesota.
1.2 City Utility System. Facilities used for providing non-energy related public utility
service owned or operated by City or agency thereof, including sewer and water service, but excluding facilities for providing heating, lighting or other forms of energy.
1.3 Commission. The Minnesota Public Utilities Commission, or any successor agency
or agencies, including an agency of the federal government, which preempts all, or part of the authority
to regulate Gas retail rates now vested in the Minnesota Public Utilities Commission.
1.4 Company. Northern States Power Company, a Minnesota corporation, its successors and assigns.
1.5 Gas. “Gas” as used herein shall be held to include natural gas, manufactured gas, or
other form of gaseous energy.
1.6 Gas Facilities. Pipes, mains, regulators, and other facilities owned or operated by
Company for the purpose of providing gas service for public use.
1.7 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, 401
Nicollet Mall, 8th Floor, Minneapolis, MN 55401. Notice to the City shall be mailed to the City Administrator, City Hall, 2077 Larpenteur Avenue West, Falcon Heights, MN 55113. Either party
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may change its respective address for the purpose of this Ordinance by written notice to the other party.
1.8 Public Ground. Land owned by the City for park, open space or similar purpose,
which is held for use in common by the public.
1.9 Public Way. Any street, alley, walkway or other public right-of-way within the City.
SECTION 2. ADOPTION OF FRANCHISE.
2.1 Grant of Franchise. City hereby grants Company, for a period of 20 years from the
date passed and approved by the City, the right to transmit and furnish Gas energy for light, heat, power and other purposes for public and private use within and through the limits of the City as its
boundaries now exist or as they may be extended in the future. For these purposes, Company may construct, operate, repair and maintain Gas Facilities in, on, over, under and across the Public Grounds
and Public Ways of City, subject to the provisions of this Ordinance. Company may do all reasonable
things necessary or customary to accomplish these purposes, subject, however, to such reasonable regulations as may be imposed by the City pursuant to ordinance and to the further provisions of this
franchise agreement.
2.2 Effective Date; Written Acceptance. This franchise agreement shall be in force and effect from and after passage of this Ordinance, its acceptance by Company, and its publication as
required by law. The City by Council resolution may revoke this franchise agreement if Company does
not file a written acceptance with the City within 90 days after publication.
2.3 Service and Rates. The service to be provided and the rates to be charged by Company for Gas service in City are subject to the jurisdiction of the Commission.
2.4 Publication Expense. The expense of publication of this Ordinance will be paid by
City and reimbursed to City by Company.
2.5 Dispute Resolution. If either party asserts that the other party is in default in the
performance of any obligation hereunder, the complaining party shall notify the other party of the
default and the desired remedy. The notification shall be written. Representatives of the parties must
promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not resolved within 30 days of the written notice, the parties may jointly select a mediator to facilitate
further discussion. The parties will equally share the fees and expenses of this mediator. If a mediator is not used or if the parties are unable to resolve the dispute within 30 days after first meeting with the
selected mediator, either party may commence an action in District Court to interpret and enforce this franchise or for such other relief as may be permitted by law or equity for breach of contract, or either
party may take any other action permitted by law.
SECTION 3. LOCATION, OTHER REGULATIONS.
3.1 Location of Facilities. Gas Facilities shall be located, constructed and maintained so as
not to interfere with the safety and convenience of ordinary travel along and over Public Ways and so as not to disrupt normal operation of any City Utility System previously installed therein. Gas Facilities
shall be located on Public Grounds as determined by the City. Company's construction,
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reconstruction, operation, repair, maintenance and location of Gas Facilities shall be subject to permits if required by separate ordinance and to other reasonable regulations of the City to the extent not
inconsistent with the terms of this franchise agreement. Company may abandon underground gas facilities in place, provided, at City’s request, Company will remove abandoned metal pipe interfering
with a City improvement project, but only to the extent such metal pipe is uncovered by excavation as part of the City’s improvement project.
3.2 Field Locations. Company shall provide field locations for its underground Gas
Facilities within City consistent with the requirements of Minnesota Statutes, Chapter 216D.
3.3 Street Openings. Company shall not open or disturb any Public Ground or Public
Way for any purpose without first having obtained a permit from the City, if required by a separate ordinance, for which the City may impose a reasonable fee. Permit conditions imposed on Company
shall not be more burdensome than those imposed on other utilities for similar facilities or work. Company may, however, open and disturb any Public Ground or Public Way without permission from
the City where an emergency exists requiring the immediate repair of Gas Facilities. In such event
Company shall notify the City by telephone to the office designated by the City as soon as practicable. Not later than the second working day thereafter, Company shall obtain any required permits and pay
any required fees.
3.4 Restoration. After undertaking any work requiring the opening of any Public Ground or Public Way, Company shall restore the same, including paving and its foundation, to as good a
condition as formerly existed, and shall maintain any paved surface in good condition for one year
thereafter. The work shall be completed as promptly as weather permits, and if Company shall not
promptly perform and complete the work, remove all dirt, rubbish, equipment and material, and put
the Public Ground or Public Way in the said condition, the City shall have, after demand to Company to cure and the passage of a reasonable period of time following the demand, but not to exceed five
days, the right to make the restoration at the expense of Company. Company shall pay to the City the cost of such work done for or performed by the City. This remedy shall be in addition to any other
remedy available to the City for noncompliance with this Section 3.4, but the City hereby waives any requirement for Company to post a construction performance bond, certificate of insurance, letter of
credit or any other form of security or assurance that may be required, under a separate existing or
future ordinance of the City, of a person or entity obtaining the City’s permission to install, replace
or maintain facilities in a Public Way.
3.5 Avoid Damage to Gas Facilities. Nothing in this Ordinance relieves any person from
liability arising out of the failure to exercise reasonable care to avoid damaging Gas Facilities while performing any activity.
3.6 Notice of Improvements. The City must give Company reasonable notice of plans for
improvements to Public Grounds or Public Ways where the City has reason to believe that Gas
Facilities may affect or be affected by the improvement. The notice must contain: (i) the nature and character of the improvements, (ii) the Public Grounds and Public Ways upon which the
improvements are to be made, (iii) the extent of the improvements, (iv) the time when the City will start the work, and (v) if more than one Public Ground or Public Way is involved, the order in which
the work is to proceed. The notice must be given to Company a sufficient length of time in advance of the actual commencement of the work to permit Company to make any necessary additions, alterations
or repairs to its Gas Facilities.
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SECTION 4. RELOCATIONS.
4.1 Relocation of Gas Facilities in Public Ways. If the City determines to vacate a Public
Way for a City improvement project, or at City’s cost to grade, regrade, or change the line of any Public Way, or construct or reconstruct any City Utility System in any Public Way, it may order Company to
relocate its Gas Facilities located therein if relocation is reasonably necessary to accomplish the City’s
proposed public improvement. Except as provided in Section 4.3, Company shall relocate its Gas
Facilities at its own expense. The City shall give Company reasonable notice of plans to vacate for a
City improvement project, or to grade, regrade, or change the line of any Public Way or to construct or reconstruct any City Utility System. If a relocation is ordered within five years of a prior relocation of
the same Gas Facilities, which was made at Company expense, the City shall reimburse Company for Non-Betterment Costs on a time and material basis, provided that if a subsequent relocation is required
because of the extension of a City Utility System to a previously unserved area, Company may be required to make the subsequent relocation at its expense. Nothing in this Ordinance requires
Company to relocate, remove, replace or reconstruct at its own expense its Gas Facilities where such
relocation, removal, replacement or reconstruction is solely for the convenience of the City and is not reasonably necessary for the construction or reconstruction of a Public Way or City Utility System or
other City improvement.
4.2 Relocation of Gas Facilities in Public Ground. City may require Company at Company’s expense to relocate or remove its Gas Facilities from Public Ground upon a finding by
City that the Gas Facilities have become or will become a substantial impairment to the existing or
proposed public use of the Public Ground.
4.3 Projects with Federal Funding. City shall not order Company to remove or relocate its Gas Facilities when a Public Way is vacated, improved or realigned for a right-of-way project or
any other project which is financially subsidized in whole or in part by the Federal Government or any agency thereof, unless the reasonable non-betterment costs of such relocation are first paid to
Company. The City is obligated to pay Company only for those portions of its relocation costs for which City has received federal funding specifically allocated for relocation costs in the amount
requested by the Company, which allocated funding the City shall specifically request. Relocation,
removal or rearrangement of any Company Gas Facilities made necessary because of a federally-
aided highway project shall be governed by the provisions of Minnesota Statutes, Section 161.46, as
supplemented or amended. It is understood that the rights herein granted to Company are valuable rights.
4.4 No Waiver. The provisions of this franchise apply only to facilities constructed in
reliance on a franchise from the City and shall not be construed to waive or modify any rights obtained by Company for installations within a Company right-of-way acquired by easement or prescriptive
right before the applicable Public Ground or Public Way was established, or Company's rights under
state or county permit.
SECTION 5. TREE TRIMMING.
Company is also granted the permission and authority to trim all shrubs and trees, including roots, in the Public Ways of City to the extent Company finds necessary to avoid interference with the
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proper construction, operation, repair and maintenance of Gas Facilities, provided that Company shall save City harmless from any liability in the premises.
SECTION 6. INDEMNIFICATION.
6.1 Indemnity of City. Company shall indemnify, keep and hold the City free and
harmless from any and all liability on account of injury to persons or damage to property occasioned by
the construction, maintenance, repair, inspection, the issuance of permits, or the operation of the Gas
Facilities located in the Public Grounds and Public Ways. The City shall not be indemnified for losses
or claims occasioned through its own negligence except for losses or claims arising out of or alleging the City's negligence as to the issuance of permits for, or inspection of, Company's plans or work. The
City shall not be indemnified if the injury or damage results from the performance in a proper manner of acts reasonably deemed hazardous by Company, and such performance is nevertheless ordered or
directed by City after notice of Company's determination.
6.2 Defense of City. In the event a suit is brought against the City under circumstances
where this agreement to indemnify applies, Company at its sole cost and expense shall defend the City in such suit if written notice thereof is promptly given to Company within a period wherein Company
is not prejudiced by lack of such notice. If Company is required to indemnify and defend, it will thereafter have control of such litigation, but Company may not settle such litigation without the
consent of the City, which consent shall not be unreasonably withheld. This section is not, as to third parties, a waiver of any defense or immunity otherwise available to the City and Company, in
defending any action on behalf of the City shall be entitled to assert in any action every defense or
immunity that the City could assert in its own behalf.
SECTION 7. VACATION OF PUBLIC WAYS.
The City shall give Company at least two weeks prior written notice of a proposed vacation of a Public Way. Except where required for a City improvement project, the vacation of any Public Way,
after the installation of Gas Facilities, shall not operate to deprive Company of its rights to operate and maintain such Gas Facilities, until the reasonable cost of relocating the same and the loss and expense
resulting from such relocation are first paid to Company. In no case, however, shall City be liable to
Company for failure to specifically preserve a right-of-way under Minnesota Statutes, Section 160.29.
SECTION 8. CHANGE IN FORM OF GOVERNMENT.
Any change in the form of government of the City shall not affect the validity of this Ordinance. Any governmental unit succeeding the City shall, without the consent of Company,
succeed to all of the rights and obligations of the City provided in this Ordinance. SECTION 9. FRANCHISE FEE.
9.1 Fee Schedule. During the term of the franchise hereby granted, and in lieu of any
permit or other fees being imposed on the Company, the City may impose on the Company a franchise fee by collecting the amounts indicated in a Fee Schedule set forth in a separate ordinance
from each customer in the designated Company Customer Class. The parties have agreed that the franchise fee collected by the Company and paid to the City in accordance with this Section 9 shall not
exceed the following amounts:
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Class Fee Per Premise Per Month
Residential $ 1.50
Commercial Firm Non-Demand $ 8.00
Commercial Firm Demand $ 75.00
Small Interruptible $ 50.00
Medium and Large Interruptible $ 100.00 Firm Transportation $ 15.00
Interruptible Transportation $ 15.00
9.2 Separate Ordinance. The franchise fee shall be imposed by a separate ordinance duly adopted by the City Council, which ordinance shall not be adopted until at least 90 days after written
notice enclosing such proposed ordinance has been served upon Company by certified mail. The fee
shall not become effective until the beginning of a Company billing month at least 90 days after written notice enclosing such adopted ordinance has been served upon Company by certified mail.
Section 2.5 shall constitute the sole remedy for solving disputes between Company and the City in regard to the interpretation of, or enforcement of, the separate ordinance. No action by the City to
implement a separate ordinance will commence until this Ordinance is effective. A separate ordinance which imposes a lesser franchise fee on the residential class of customers than the maximum amount
set forth in Section 9.1 above shall not be effective against Company unless the fee imposed on each
other customer classification is reduced proportionately in the same or greater amount per class as the
reduction represented by the lesser fee on the residential class.
9.3 Collection of the Fee. The franchise fee shall be payable quarterly and shall be based
on the amount collected by Company during complete billing months during the period for which payment is to be made by imposing a surcharge equal to the designated franchise fee for the applicable
customer classification in all customer billings for gas service in each class. The payment shall be due the last business day of the month following the period for which the payment is made. The franchise
fee may be changed by ordinance from time to time; however, each change shall meet the same notice
requirements and not occur more often than annually and no change shall require a collection from
any customer for gas service in excess of the amounts specifically permitted by this Section 9. The
time and manner of collecting the franchise fee is subject to the approval of the Commission. No franchise fee shall be payable by Company if Company is legally unable to first collect an amount equal
to the franchise fee from its customers in each applicable class of customers by imposing a surcharge in Company’s applicable rates for gas service. Company may pay the City the fee based upon the
surcharge billed subject to subsequent reductions to account for uncollectibles, refunds and correction of erroneous billings. Company agrees to make its records available for inspection by the City at
reasonable times provided that the City and its designated representative agree in writing not to
disclose any information which would indicate the amount paid by any identifiable customer or customers or any other information regarding identified customers.
9.4 Terms Defined.
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9.4.1 “Customer Class” shall refer to classes listed in the Fee Schedule and as defined or determined in Company’s gas rate book on file with the
Commission.
9.4.2 “Fee Schedule” refers to the Schedule in Section 9.1 setting forth the various customer classes from which a franchise fee would be collected if a separate
ordinance were implemented immediately after the effective date of this
franchise agreement. The Fee Schedule in the separate ordinance may include
new Customer Classes added by the Company to its gas tariffs after the
effective date of this franchise agreement.
9.4.3 Therm shall be a unit of gas providing 100,000 Btu of heat content adjusted for billing purposes under the rate schedules of Company on file with the
Commission.
9.5 Equivalent Fee Requirement. The separate ordinance imposing the fee shall not be
effective against Company unless it lawfully imposes and the City monthly or more often collects a fee or tax of the same or greater equivalent amount on the receipts from sales of energy within the City by
any other energy supplier, provided that, as to such a supplier, the City has the authority to require a franchise fee or to impose a tax. The “same or greater equivalent amount” shall be measured, if
practicable, by comparing amounts collected as a franchise fee from each similar customer, or by comparing, as to similar customers the percentage of the annual bill represented by the amount
collected for franchise fee purposes. The franchise fee or tax shall be applicable to energy sales for any
energy use related to heating, cooling or lighting, or to run machinery and appliances, but shall not
apply to energy sales for the purpose of providing fuel for vehicles. If the Company specifically
consents in writing to a franchise or separate ordinance collecting or failing to collect a fee from another energy supplier in contravention of this Section 9.5, the foregoing conditions will be waived to
the extent of such written consent.
SECTION 10. PROVISIONS OF ORDINANCE.
10.1 Severability. Every section, provision, or part of this Ordinance is declared separate
from every other section, provision, or part and if any section, provision, or part shall be held
invalid, it shall not affect any other section, provision, or part. Where a provision of any other City
ordinance conflicts with the provisions of this Ordinance, the provisions of this Ordinance shall prevail.
10.2 Limitation on Applicability. This Ordinance constitutes a franchise agreement
between the City and Company as the only parties and no provision of this franchise shall in any way inure to the benefit of any third person (including the public at large) so as to constitute any
such person as a third party beneficiary of the agreement or of any one or more of the terms hereof,
or otherwise give rise to any cause of action in any person not a party hereto.
SECTION 11. AMENDMENT PROCEDURE.
Either party to this franchise agreement may at any time propose that the agreement be amended to address a subject of concern and the other party will consider whether it agrees that the
amendment is mutually appropriate. If an amendment is agreed upon, this Ordinance may be
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amended at any time by the City passing a subsequent ordinance declaring the provisions of the amendment, which amendatory ordinance shall become effective upon the filing of Company’s
written consent thereto with the City Clerk within 90 days after the date of final passage by the City of the amendatory ordinance.
SECTION 12. PREVIOUS FRANCHISES SUPERSEDED.
This franchise supersedes any previous Gas franchise granted to Company or its predecessor.
Passed and approved: _________________________, 2017.
______________________________________
Mayor
Attest:
________________________________
City Clerk
Date Published:____________________
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ORDINANCE NO. _______
AN ORDINANCE IMPLEMENTING A GAS SERVICE FRANCHISE FEE ON NORTHERN STATES POWER COMPANY, A MINNESOTA CORPORATION, ITS SUCCESSORS AND
ASSIGNS, FOR PROVIDING GAS SERVICE WITHIN THE CITY OF FALCON HEIGHTS
THE CITY COUNCIL OF THE CITY OF FALCON HEIGHTS DOES ORDAIN:
SECTION 1. The City of Falcon Heights Municipal Code is hereby amended to include reference to the
following Special Ordinance.
Subd. 1. Purpose. The Falcon Heights 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 services within
the City of Falcon Heights.
(a) Pursuant to City Ordinance ______, a Franchise Agreement between the City of Falcon
Heights and Northern States Power Company, a Minnesota corporation, its successors and assigns, the City has the right to impose a franchise fee on Northern States Power Company, a
Minnesota corporation, its successors and assigns, in an amount and fee design as set forth in Section 9 of the Northern States Power Company Franchise and in the fee schedule attached
hereto as Schedule A.
Subd. 2. Franchise Fee Statement. A franchise fee is hereby imposed on Northern
States Power Company, a Minnesota Corporation, its successors and assigns, under its gas franchise in
accordance with the schedule attached here to and made a part of this Ordinance, commencing with the
NSPM _____________________, 2018 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 gas 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.
Subd. 3. Payment. The said franchise fee shall be payable to the City in accordance with the terms set forth in Section 9 of the Franchise.
Subd. 4. Surcharge. The City recognizes that the Minnesota Public Utilities Commission may allow Company to add a surcharge to customer rates of city residents to reimburse Company for the cost of
the fee.
Subd. 5. Enforcement. Any dispute, including enforcement of a default regarding this ordinance will be resolved in accordance with Section 2.5 of the Franchise Agreement.
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Subd. 6. 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 NSPM by certified mail. Collection of the fee shall commence as provided in above.
Passed and approved: _____________________, 2017.
__________________________________ Mayor
Attest:
_____________________________________ City Clerk
SEAL
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SCHEDULE A
Franchise Fee Rates:
Gas 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 $1.50 Commercial Non-Demand $8.00
Commercial Firm Demand $75.00 Small Interruptible $50.00
Medium and Large Interruptible $100.00
Firm Transportation $15.00 Interruptible Transportation $15.00
Franchise fees are 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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REQUEST FOR COUNCIL DISCUSSION
Families, Fields and Fair __________________________
The City That Soars!
Item Proposed Vacant Home Ordinance
Description
Falcon Heights City Council to review the enacting this article to help protect the
public health, safety, and welfare by establishing a program for the identification and
regulation of vacant buildings within the city. This article also determines the
responsibilities of owners of vacant buildings and provides for the administration,
enforcement, and penalties associated with the same.
The city council finds that vacant buildings are a major cause and source of blight in
residential and non-residential neighborhoods, especially when the owner(s) or
responsible parties of the building fails to actively maintain and manage the build to
ensure it does not become a liability to the neighborhood. Vacant buildings often
attract unauthorized inhabitance and conduct unlawful activities. Neglect of vacant
buildings creates a risk of fire, explosion, and flooding of the vacant building and
adjacent properties. Vacant properties often are used dumping areas for junk and
debris and are often overgrown with weeds and tall grass. Vacant buildings that are
boarded to prevent entry by non-owners discourage economic development and
lower appreciated of property values. There is a substantial cost to the city for
monitoring vacant buildings whether or not those buildings are boarded. This cost
should not be borne by the general taxpayers of the community. These cost should be
borne by those who choose to leave their property vacant.
Highlights
1. Establishes a requirement for vacant homes to registered with the City.
2. Creates definitions that articulate what vacant homes are and who is
responsible.
3. Requires owners or agents to register the building within 30 days.
4. Fees are determined by Council as an item on the fee schedule.
5. Requires a timeline or property plan for re-occupation of the structure or
demolition.
6. Owners that do not respond to requests for registration will be
administratively placed on the list. An assessment is issued for the fee.
7. Provides methods of inspections.
8. Provides for Appeals.
9. Property is to maintain an “occupied” appearance.
Meeting Date October 18, 2017
Agenda Item 3
Attachment Proposed Ordinance
Submitted By Sack Thongvanh, City Administrator
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Budget Impact There will be a change to the City’s Fee Schedule to account for the change in the
ordinance and the implementation.
Attachment(s) · Draft Vacant Home Ordinance
Action(s) Requested Staff is looking for feedback on the draft ordinance to address vacant property within
the community to protect the health, safety and welfare of all members of the
community.
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Article VI – Vacant Building Registration Ordinance
105-115 Purpose and findings.
(a) The Falcon Heights city council is enacting this article to help protect the public health, safety,
and welfare by establishing a program for the identification and regulation of vacant buildings within the
city. This article also determines the responsibilities of owners of vacant buildings and provides for the
administration, enforcement, and penalties associated with the same.
(b) The city council finds that vacant buildings are a major cause and source of blight in residential
and non-residential neighborhoods, especially when the owner(s) or responsible parties of the building
fails to actively maintain and manage the build to ensure it does not become a liability to the
neighborhood. Vacant buildings often attract unauthorized inhabitance and conduct unlawful activities.
Neglect of vacant buildings creates a risk of fire, explosion, and flooding of the vacant building and
adjacent properties. Vacant properties often are used dumping areas for junk and debris and are often
overgrown with weeds and tall grass. Vacant buildings that are boarded to prevent entry by non-owners
discourage economic development and lower appreciated of property values. There is a substantial cost
to the city for monitoring vacant buildings whether or not those buildings are boarded. This cost should
not be borne by the general taxpayers of the community. These cost should be borne by those who
choose to leave their property vacant.
105-116 Definitions. For the purpose of this section, the terms defined in this section have the meanings
given them and shall apply in the interpretation and enforcement of this article.
Abandoned property. Property that the owner has surrendered, voluntarily relinquished, disclaimed, or
ceded all right, title, claim, and possession, with the intention of not reclaiming it.
Compliance official. The city administrator and the city administrator’s designated agents authorized to
administer and enforce this section.
Building. Any roofed structure used or intended for supporting or sheltering any use or occupancy.
Owner or Property owner. The owner of record according to Ramsey County property tax records; those
identified as owner or owners on a vacant building registration form, a holder of an unrecorded contract
for deed, a mortgagee or vendee in possession, a mortgagor or vendor in possession, an assignee of
rents, a receiver, an executor, a trustee, a lessee, other person, firm or corporation in control of the
freehold of the premises or lesser estate therein. An owner also means any person, partnership,
association, corporation or fiduciary having a legal or equitable title or any interest in the property or
building. This includes any partner, officer or director of any partnership, corporation, association or
other legally constituted business entity. All owners shall have joint and several obligations for
compliance with the provisions of this section.
Responsible party. An owner, entity or person acting as an agent for the owner who has direct or
indirect control or authority over the building or real property upon which the building is located; any
party having a legal or equitable interest in the property. Responsible party may include but is not
limited to a realtor, service provider, mortgagor, leasing agent, management company or similar person
or entity.
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Vacant building. A building is vacant if no person or persons actually and currently conducts a lawful
business or lawfully resides or lives in any part of the building on a permanent, non-transient basis in
accordance with the city of Falcon Heights regulations.
105-117 Vacant Building Registration.
(a) Application. The owner or responsible party shall register a vacant building with the city no later than
30 days after the building becomes vacant. The registration shall be submitted on a form provided by
the city and shall include the following information supplied by the owner:
(1) The name, address, telephone number, and email address, if applicable, of each owner
and each owner’s representative;
(2) The names, addresses, telephone numbers, and email addresses, if applicable, of all
know lien holders and all other parties with any legal interest in the building;
(3) The name, address, telephone number, and email address, if applicable, of a local agent
or person responsible for managing or maintaining the property;
(4) The tax parcel identification number and street address of the premises on which the
building is situated;
(5) The date the building became vacant, the period of time the building is expected to
remain vacant, and a property plan and timetable for returning the building to
appropriate occupancy or use and correcting code violations and nuisances, or for
demolition of the building;
(6) The status of water, sewer, natural gas and electric utilities.
(7) The owner shall notify the compliance official within 30 days of changes in any of the
information supplied as part of the vacant building registration.
(b) Property Plan. The property plan identified above in section 105-117 (a) (5) shall meet the following
requirements:
(1) General provisions. The plan shall comply with all applicable regulations and meet the
approval of the compliance official. It shall contain a timetable regarding use or
demolition of the property. The plan shall be completed within 30 days after the building is registered.
(2) Maintenance of building. The plan shall identify the means and timetable for addressing
all maintenance and nuisance-related items identified in the application. Any repairs,
improvements or alterations to the property shall comply with building code provisions
and applicable city regulations.
(3) Plan changes. If the property plan or timetable for the vacant building is revised in any
way for any purpose, the revisions shall meet the approval of the compliance official.
(4) Demolition required. If a building has remained vacant for a period of 365 consecutive
days, and the compliance official has not approved an alternative schedule in the
property plan, the city may declare the building to be a nuisance and direct the owner
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to demolish the building and restore the grounds. If the owner does not demolish the
building and thereby eliminate the nuisance conditions, the city may commence
abatement and cost recovery proceedings for the abatement of the violation in
accordance with this code and Minnesota Statutes, section 429.101.
(c) Non-compliance and notification.
(1) If the owner does not comply with the property plan, or maintain or correct
nuisance violations, the city may commence abatement and recover its costs for
correction of those items in accordance with this code and Minnesota Statutes,
section 429.101. In the case of an absent owner and ongoing nuisance issues,
the city need not provide notice of each abatement act to the owner. A single
notice by the city to the owner is determined to be sufficient notice that it
intends to provide ongoing abatement until the owner corrects the violations.
(d) Exemptions.
(1) Fire damage. A building that has suffered fire damage is exempt from the
registration requirements for a period of 90 days after the date of the fire if the owner
submits a request for exemption in writing to the compliance official. An exemption
request for review by the compliance official shall include the following information
supplied by the owner:
(1) A description of the premises;
(2) The name and address of the owner or owners;
(3) A statement of intent to repair and reoccupy the building in an
expeditious manner and the time frame for completion;
(4) Actions the owner will take to ensure the property does not become a
nuisance for the neighborhood.
(2) Snowbirds. Those persons who leave their residential buildings on a temporary
basis for vacation purposes or to reside elsewhere during the winter season and
have the intent to return are exempt from the registration requirements.
Requests for “snowbird” exemption will be considered annually with proper
verification.
(e) Fees.
(1) The owner shall pay an annual registration fee. The registration fee will be in an
amount adopted by resolution by the city council. The amount of the
registration fee shall be reasonably related to the administrative costs for
registering and processing the registration form and for the costs of the city in
monitoring the vacant building site. The fee shall be paid in full prior to the
issuance of any building permits or licenses, with the exception of a demolition
permit. This fee is not to be used for abatement.
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(f) Waiver of Fees.
(1) The city may waive the registration fee if the owner or responsible party has
paid all past due registrations fees and all other financial obligations and debts
owed to the city that are associated with the vacant property and
demonstrates, to the satisfaction of the compliance official that:
(1) The property is re-occupied, with the exception of demolition,
within a period of 60 days; and either
(2) The owner or responsible party is in the process of demolition,
rehabilitation, or other substantial repair of the vacant building;
or
(3) The owner of responsible party has a plan for the demolition,
rehabilitation, or other substantial repair of the vacant building
in a period 30 days.
(g) Assessment.
(1) If the registration fee or any portion in not paid within 60 days after billing or
within 60 days after any appeal becomes final, the city council may certify the
unpaid fees against the property in accordance with Minnesota Statues, section
429.101.
(h) Issuance of registration.
(1) Upon completion of the registration process and payment of the fee, the city
will issue a Vacant Building Registration to the owner. The owner shall securely
post the registration on the vacant building on a side entrance door, where
possible, that is not generally visible from the public street. If no side entrance
door is available, the registration shall be securely posted on another available
entrance door.
(i) Failure to register.
(1) If the property is abandoned or the owner or responsible party fails to complete
the registration process, the property will be administratively registered as a
vacant property.
105-118 Change of Ownership
(a) A new owner(s) shall register or re-register a vacant building in accordance with subsection
105-117 within 15 days of any transfer of an ownership interest in a vacant building. The new
owner(s) shall comply with the approved property plan and timetable submitted by the previous
owner or shall submit any changes proposed to the property plan to the compliance official for
review and approval as required by subsection 105-117 of this section. For the purposes of this
section, a new owner is an “owner” as defined in subsection 105-116 who has purchased the
vacant building since its registration by the previous owner and has succeeded to all rights of
that previous owner.
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105-119 Inspections.
(a) The compliance official may inspect any vacant building in the city for the purpose of
enforcing and assuring compliance with this section and other applicable regulations. Upon the
request of the compliance official, an owner or responsible party shall provide access to all
interior portions of the building and the exterior of the property in order to complete an
inspection. If the owner or responsible party is not available, is unresponsive, or refuses to
provide access to the interior of the building, the city may use any legal means to gain entrance
to the building for inspection purposes. Prior to any re-occupancy, the owner or responsible
party shall request an inspection of the vacant building by the compliance official to determine
compliance with Chapter 105 Article III of this code and all other applicable regulations. All
application and re-inspection fees also shall be paid prior to building occupancy.
105-120 Maintenance of vacant buildings.
(a) The owner shall comply with and address the following items in the property plan, as
described in section 105-117 (b):
(1) Appearance – All vacant buildings shall be so maintained and kept that
they appear to be occupied. Personal property shall be stored and
removed from public view.
(2) Securing - All vacant buildings shall be secured from outside entry by
unauthorized persons or pests. Security shall be ensured by normal
building amenities such as windows and doors having adequate strength to
resist intrusion. All doors and windows shall remain locked. There shall be
at least one operable door into every building and into each dwelling unit.
Exterior walls and roofs shall remain intact without holes.
(1) Architectural (cosmetic) structural panels. Architectural
structural panels may be used to secure windows, doors and other
openings provided they are cut to fit the opening and match the
characteristics of the building. Architectural panels may be of exterior
grade-finished plywood or Medium Density Overlaid plywood (MDO) that
is painted to match the building exterior or covered with a reflective
material such as plexi-glass to simulate windows.
(2) Temporary securing. Untreated, exterior grade (CDX) plywood
or similar structural panels may be used to secure windows, doors and
other openings for a maximum period of 90 days.
(3) Artistic board-up. With prior approval of the compliance official,
artistic options may be utilized to secure a vacant building.
(4) Emergency securing. The compliance official my take immediate
steps to secure a vacant building at their discretion in emergency
circumstances.
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(3) Fire safety.
(1) Fire protection systems. Owners of non-residential vacant
buildings shall maintain all fire protection systems, appliances and
assemblies in operating condition and maintain underwriter laboratories
(UL) monitoring of all systems.
(2) Removal of hazardous and combustible materials. The owner of
any vacant building, or vacant portion thereof, shall remove all hazardous
materials and hazardous refuse that could constitute a fire hazard or
contribute to the spread of fire.
(4) Plumbing fixtures - Plumbing fixtures connected to an approved water
system, an approved sewage system, or an approved natural gas utility
system shall be installed in accordance with applicable codes and be
maintained in sound condition and good repair or removed and the service
terminated in the manner prescribed by applicable codes. The building’s
water systems shall be protected from freezing.
(5) Electrical - Electrical service lines, wiring, outlets or fixtures not installed or
maintained in accordance with applicable codes shall be repaired, removed
or the electrical services terminated to the building in accordance with
applicable codes.
(6) Lighting - All exterior lighting fixtures shall be maintained in good repair,
and illumination shall be provided to the building and all walkways in the
same manner as provided at the time the building was last occupied or as
otherwise provided in the approved vacant building plan.
(7) Heating - Heating facilities or heating equipment in vacant buildings shall
be removed, rendered inoperable, or maintained in accordance with
applicable codes.
(8) Termination of utilities - The compliance official may require that water,
sewer, electricity, or gas service to the vacant building be terminated or
disconnected. Prior to the termination of any utility service, the city will
provide written notice to the owner. No utility may be restored until
consent is given by the compliance official. Utilities may be discontinued at
the request of the owner or responsible party as part of the approved
vacant building property plan. The compliance official may authorize
immediate termination of utilities at their discretion in emergency
circumstances and provide subsequent notice to the owner or responsible
party.
(9) Signs - Obsolete or unused exterior signs and installation hardware shall be
removed. Holes and penetrations shall be properly patched and painted to
match the building. Surfaces beneath the signs that do not match the
building shall be repaired, resurfaced, painted or otherwise altered to be
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compatible with the building surfaces. All signs shall be maintained in good
condition and comply with the provisions of Chapter 113 Article VIIof this
code.
(10) Exterior maintenance – The owner shall comply with all applicable property
maintenance regulations and city codes.
(11) Removal of garbage and refuse – The owner of any vacant building or
vacant portion thereof shall keep the building and property free of all
garbage, refuse, litter, rubbish, swill, filth, or other materials.
(12) Loitering, Criminal activities - Loitering or engaging in criminal activities is
prohibited in the vacant building or on the real property upon which the
vacant building is located. The owner or responsible party shall not allow
these activities and shall take immediate actions to eliminate these
conditions upon notification by the city or upon discovery.
(13) Emergency abatement - The compliance official may authorize immediate
abatement of any public nuisance or correction of any maintenance item if
the compliance official determines that conditions exist that present an
imminent threat to the public health and safety in accordance with section
Chapter 105 Article III of this code.
(14) Other Codes - The property owner or responsible party shall comply with
all other city codes and applicable regulations.
105-121 No occupancy or trespassing
(a) No person may trespass, occupy or reside, on a temporary or permanent basis, in any vacant
building, registered or not, without the owner’s consent.
105-122 Vandalism or removal of items prohibited.
(a) No person may vandalize or remove items from a vacant building or the property upon which it is
located, including, but not limited to, appliances, fixtures, electrical wiring, copper, or other similar
items without the owner’s consent.
105-123 Appeal - Any person or responsible party aggrieved by a decision rendered under section
Chapter 105 Article VI may appeal to the city council. The appeal shall made be in writing, shall specify
the grounds for the appeal, and shall be submitted to the city administrator within ten business days of
the decision that is basis of the appeal.
105-124 Penalties - Any person or responsible party who violates the provisions of Chapter 105 Article VI
is subject to penalty as provided under Chapter 113 Article II of this code. Nothing in this section,
however, is deemed to impair other remedies or civil penalties available to the city under this code or
state law, including, but not limited to, Minnesota Statutes, sections 463.15 through 463.261.
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