Agenda Packets - 1991/11/25 - Laserfiche WebLink

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Mounds View City Council Page Eighteen410 Regular Meeting November 25, 1991 Alice Frits stated that these items are necessary for all families. Those that are poor will have to cut back on gas and electricity and those that have the money will have heat and electricity. Those that are poor will have to suffer. John Krager, 8280 Pleasant View Drive stated that this will be more than just a fee that Mounds View gives to NSP to collect. Mr. Krager stated that administrative costs may not be charged directly, sooner or later there will be another cost. Mr. Krager stated that they will think of a way to get this money from Mounds View. Mr. Krager further stated that Mounds View will loose some tax base as some businesses will leave Mounds View to go next door where they won't have to pay a franchise fee. Mr. Krager stated that maybe one way to obtain revenues is to bill NSP for services that we aid them in to do their job. Dave Schwartz asked what services? John Krager stated public works help sometimes, police and fire. City services that have helped you. Dave Schwartz states NSP works with the City such as submits • permits for new installations and gas systems or electric utilities . NSP views they pay for these services in the $11 million in personal property tax NSP pays in addition to the real estate taxes also paid. Mayor Linke stated that this money goes to Ramsey County and the City does not see it. Dave Schwartz of NSP stated that the City of Mounds View received $18,485 in personal property tax back from the County, the school district received $72,016 in personal property tax, fiscal disparity was--$54,486 and--tams-ey—eounty—received—$47,452 . Dave Schwartz also explained that franchise fees are long term contracts with the City up to 20 years . Mr. Schwartz state that the fee provision is that the City may charge back to the rate payer from 0 to 4 percent. Mr. Schwartz said the City told NSP they had revenue problems and its up to the citizens to take or not take issue with it. Bill Frits, 8072 Long Lake Road stated that he thought he should earn that he can't convice the Council or anyone that they can't keep taxing people. This utility is nothing more than a method of laundering money by having NSP take it away from the taxpayers and give it to the City. Mr. Frits stated that NSP was just denied 3% on a rate increase. Mr. Frits asked when will this be billed to thill residents and how will that be billed.