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Mounds View City Council Page Three ~egular Meeting August 24, 1992 Naja Werner, 2765 Sherwood Road, asked what is the difference between this franchise agreement and the franchise agreement that is being proposed. Mayor Linke explained that now inspections can be performed on Northern States Power and also, Northern States Power has to get permits to do work in the City. Orduno stated that the this franchise is the same as the current franchise other than it contains new language with regards to permits. The new part of the agreement is the payment schedule. Bill Frits, 8072 Long Lake Road, stated that if the City gives NSP the franchise that gives them a monopoly to give gas and electric to anyone in Mounds View. Mayor Linke stated that it is a non-exclusive franchise with Northern States Power but for practical purposes it is exclusive. Bill Frits asked how much of the City is on tax increment financing. Mayor Linke responded, 2~. ill Frits asked how Everest and Sysco will be affected. Will those businesses also pay Northern States Power and will those funds be returned to the City? Mayor Linke stated that those businesses will pay to NSP and the funds will be returned to the City. Mayor Linke also explained that this is not part of homeowner's property tax. This franchise will add 4~ on the resident's electric bill. This is a fee but it could be considered as a tax. Naja Werner asked Northern States Power if residents would have in a decision, where the neighborhood is older and cable has to be replaced, overhead or underground. Mr. Dave Schwartz, Northern States Power representative, stated that when NSP renews areas it normally does overhead to overhead. Schwartz stated that to convert a home to underground would take an electrician. Residents would definitely have a say. Joe Foss, 8358 Knollwood Drive, presented some environmental concerns to the Council and the public. A general discussion followed regarding environmental issues regarding individual communities as well as global communities. Mayor Linke stated that this franchise is a document that addresses Northern ~tates Power to provide electricity to the City of Mounds View and that it s simply a26Xdocumentif operation.