08-13-1997 Council Agenda - Laserfiche WebLink

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of the public rights -of -way from those who obtain revenue or profits from such use. This reimbursement is provided for and defined in this ordinance as the "user fee." (1) Public Interest and Welfare. The City Council finds that it is in the public interest to provide for the payment of a user fee by all persons who use and occupy the right -of -way for operating their businesses. This provides equity by requiring all users of the right -of -way to pay compensation apportioned equally among them all for the value and benefit of using such right - of -way. To ensure such fair treatment, this Chapter exempts franchise holders which pay franchise fees to the City on the date of adoption of this Chapter from the payment of a user fee. (2) Legislative Power. In these situations, the City Council desires to exercise its lawful police power and common law authority, and all statutory authority which is available to it, including, but not limited to, the powers conferred on it under Minn. Stat. §§ 216B.36, 222.37, 237.16 and 300.03, (410.09) and 412.211, subdivisions 6, 23 and 32'. The Council finds and determines that the public interest will be best protected by adopting this Chapter conferring the right to occupy the right -of -way in return for payment as authorized by law. (3) Computation of User fee. (See attachment.) (4) Not a Rate. The City Council finds and determines that the user fee authorized by this Chapter is not and is not intended to be a rate as that term is defined in Minn. Stat. § 216B.02, subd. 5. Such user fee is not a fee for a service that is provided to the customer of a person using the right -of -way, but is rather a fee paid for the right of that person to operate in the public right -of -way, and to maintain the equipment of a utility in the right -of -way in II. Section 1.02 of the model ordinance should include a subparagraph (jj) defining user fee as follows: (jj) "User fee" is the sum of money, payable to the City, by a person using or occupying the right -of -way; provided, however, that the City may at its option provide, at any time by ordinance or by amendment thereto, for a greater or different fee applicable to all such persons in an amount and by a method of determination as may be further provided in such ordinance or amendment thereto. III. The model ordinance is changed to add a new Section 1.06 to read as follows:[existingSection 1.06 and all subsequent sections must be renumbered] Sec. 1.06. Grant of Right; Payment of user fee. Any person required to register under Section 1.05, which furnishes utility services or which occupies, uses, or places its equipment in the right -of -way, is hereby granted a right to do so if and only so long as it (1) timely pays the user fee as provided herein, and (2) complies with 'Language in parentheses is appropriate only in cities with home rule charters. Page 91