Agenda Packets - 2008/10/13 - Laserfiche WebLink

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Mounds View City Council August 25, 2008 Regular Meeting Page 7 Richard Sonterre of 5060 Red Oak Drive addressed Council and said that he chairs the public 1 policy committee for the Chamber, and one of there concerns is that the tax is unfair, 2 unwarranted and they would like a phased elimination. 3 4 Hearing no further public comments, Mayor Marty closed the public hearing at 9:57 p.m. 5 6 Council Member Flaherty indicated that it is 4% for everyone whether they are a resident or 7 business owner. He then said that he would like the City to look at this annually and review to 8 see what happens if the City drops the franchise fee by .25% year by year. 9 10 Council Member Mueller said that times are tough all over and she would like to support the 11 businesses, however, there are needs that have to be funded so the City needs to come up with 12 other ideas as to how to make up for the difference in franchise fees. 13 14 Council Member Hull indicated that Council discussed this topic at a work session. He then 15 said that he would like to go down to 3.5% and slowly wean the City off this tax. He further 16 asked if it would be doable to come up with the $77,000 in the budget somewhere. 17 18 MOTION/SECOND: Stigney/Mueller. To Waive the Reading and Adopt Ordinance 811 an 19 Ordinance Implementing a Franchise Fee on CenterPoint Energy Natural Gas Operations within 20 the City of Mounds View and Approve the Ordinance Summary for Publication. 21 22 Council Member Stigney indicated that he would like to wean the City off this tax but it is not 23 going to be resolved at this meeting. 24 25 Council Member Flaherty would like to see it decrease to 3.75%.. 26 27 Mayor Marty indicated that he asked the business owners and concerned residents to work with 28 staff to see what they could come up with to run the City and pay for the street program instead 29 of using a franchise fee. 30 31 Mayor Marty noted that Staff discussed capping the fee because of increasing energy costs. 32 33 MOTION/SECOND: Marty/Hull. To Amend the Franchise Fee to 3.75% for the Year 2009. 34 35 Council Member Mueller said that the City is taking on two very ambitious street and utility 36 projects for 2009, and this may not be the right time to scale back on the Franchise fee. 37 38 Ayes – 3 Nays – 2(Stigney/Mueller) The Amendment carried. 39 40 ROLL CALL: Mueller/Flaherty/Hull/Stigney/Marty 41 42 Ayes – 4 Nays – 1(Stigney) Motion as amended carried. 43 44 45