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<br />CITY COUNCIL <br />AGENDA ITEM 3 B <br /> <br /> <br />STAFF ORIGINATOR: Jeff Karlson <br /> <br />MEETING DATE: February 25 , 2013 <br /> <br />TOPIC: Consider 2 nd Reading of Ordinance No. 0 6 -12, Granting a <br />Nonexclusive Gas Franchise to CenterPoint Energy <br /> <br />VOTE REQIURED: 3 /5 <br /> <br /> <br />INTRODUCTION <br /> <br />The C ity Council is being asked to consider the adoption of Ordinance No. 0 6 -12, g ranting a <br />n onexclusive g as f ranchise to C enterPoint Energy for a 20 -year period. The first reading of the <br />ordinance was approved on February 11, 2013. <br /> <br />BACKGROUND <br /> <br />The City’s 25 -year franchise agreement with Cente rPoint Energy expired on the same day as <br />Circle Pines/Centennial Utilities, which was March 31, 2012. The City was able to reach a <br />settlement with Centennial Utilities last October, which included a four percent franchis e fee. <br /> <br />The gas franchise with CenterPoint is nearly identical to Centennial Utilities’ except that <br />CenterPoint customers in Lino Lakes will not be charged a franchise fee; however, the City <br />Council reserves the right to impose a franchise fee with the co ndition that similar fees are <br />charged to other gas utilities. The only other gas utility operating in Lino Lakes is Xcel Energy. <br /> <br />R ECOMMENDATION <br /> <br />Staff is recommending : a doption of the 2 nd reading of O rdinance No. 0 6 -12, granting a <br />nonexclusive franchis e to C enterPoint Energy ; and (2) adoption of Resolution No. 13 -19 , <br />approving a summary of Ordinance No. 06 -12 for publication. <br /> <br />A TTACHM ENTS <br /> <br />Ordinance No. 0 6 -12 <br />Resolution No. 13 -19 <br />