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. . . ORDINANCE NO. 622 City of Mounds View County of Ramsey State of Minnesota An ordinance implementing a franchise fee on electric and natural gas utility companies for the operation of the utility within the City of Mounds View THE CITY OF MOUNDS VIEW ORDAINS: SECTION 1: PURPOSE Subdivision 1. The Mounds View 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 and electric services within the City of Mounds View. Subdivision 2. Pursuant to City Ordinance No. 517 and Ordinance No. 518, which are the Franchise Agreements ("Franchise Agreements") between the City of Mounds View (the City) and Northern States Power Company (the Company), a franchise fee of not more than four (4) percent of the Company's gross operating revenues may be imposed by the City at any time during the 20 year term of the Franchise. The franchise fee is paid as full compensation for the rights to transmit and furnish electric energy for light, heat, power and import, transport, sell and distribute natural gas for heating, illuminating and other purposes as outlined in Section 2 of Ordinance Nos. 517 and 518. Subdivision 3. Pursuant to Ordinance No. 605 effective December 13, 1997, the City imposed a franchise fee under the electric and natural gas Franchise Agreements in the amount of two and one-half (2.5) percent of Northern States Power Company's gross revenues, as defined in Section 4.2 of the Franchise Agreements, subject to a sunset on December 31, 1998. SECTION II. STATEMENT Subdivision 1. A franchise fee is hereby imposed in the amount of two and one-half (2.5) percent of gross revenues which franchise fee was being collected under Ordinance No. 605, and said franchise fee shall continue to be collected hereunder as though the sunset provision in Ordinance No. 605 were suspended until the effective date of collection of the franchise fee being imposed by Subdivision 2 below. Subdivision 2. A franchise fee is hereby imposed on Northern States Power Company, under its electric and natural gas Franchise Agreements in the amount of two and one-half (2.5) percent of the Company's gross revenues, as defined in Section 4.2 of the Franchise Agreements, commencing with the Company's March, 1999, billing month. On said commencement date, collection of the franchise fee being collected under Subdivision 1 terminates.