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AGENDA ITEM 3C <br />STAFF ORIGINATOR: Linda Waite Smith, City Administrator <br />MEETING DATE: October 9, 2000 <br />TOPIC: Public Hearing on Proposed Ordinance 15 -00 <br />Establishing a Meter Fee for Customers of Reliant <br />Energy Minnegasco <br />VOTE REQUIRED: 3/5 Vote <br />BACKGROUND: <br />The City's franchise agreement with Reliant Energy Minnegasco expired several years <br />ago. That agreement did not impose a franchise fee. In 1999 the City Council directed <br />staff to negotiate a new agreement and include a franchise fee with the intent of treating <br />all franchisees in the City consistently. The new agreement has been submitted to the <br />City Council as proposed Ordinance 14 -00. In conjunction with that agreement, <br />Ordinance 15 -00 establishes a meter fee equivalent to approximately 3% of the average <br />customer bill in each category of customers. Revenue from the meter fee will be <br />dedicated to road reconstruction. <br />In August, letters were sent to more than 3,400 customers of Reliant Energy Minnegasco <br />informing them of the proposed fee and ways they could provide feedback on the <br />proposal. The City Administrator received and documented for City Council review, 26 <br />phone calls from people opposed to the meter fee. <br />Ordinances require two readings and a public hearing. The public hearing for Ordinance <br />15 -00 is scheduled for 7:00 p.m., September 25. The first reading and the continued <br />public hearing are scheduled for 7:00 p.m., October 9. The second reading is scheduled <br />for October 23. <br />OPTIONS: <br />1. Open public hearing on Ordinance 15 -00 at 7:00 p.m. <br />Continue public hearing to October 9 at 7:00 p.m. <br />2. Delay the public hearing until a later date. <br />RECOMMENDATION: <br />1. Option 1 <br />Lws /franchise /feegreen <br />