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of two changes. He referred to page 2 of the Ordinance which grants to the company a limited
<br />Franchise Agreement, the date of operation to be indicated, executed June 4, 1999 with Fran and
<br />Sons. This ordinance allows for the company to operate at one specific property within the City
<br />of Mounds View, that is, Zep Manufacturing. He stated that if the company chose to add an
<br />additional location in the future, an amendment to the ordinance would be required. City
<br />Attorney Long stated that they had attempted to synchronize the ordinance with the Charter,
<br />noting that Minnegasco had commenced operations at the specified location over one year ago.
<br />He stated that due to delays of the League of Cities in attempting to draft a model ordinance for
<br />all cities, the process had taken until the present date to complete. He stated that the ordinance
<br />being considered, although not yet adopted, was the final draft, and had been reviewed by all of
<br />the engineers.
<br />Sarah Royals, representing her father, Raymond Royals, 5054 Eastwood Road, stated that her
<br />father, who was unable to attend the meeting due to his work schedule, opposed the granting of
<br />the franchise to Minnegasco.
<br />Milon Lubke, 2509 Hillview Road, an employee of Northern States Power, stated that his
<br />employer had provided great service to the community of Mounds View. He stated that, in his
<br />opinion, one company providing gas, and in this case electricity as well, allowed for a more clean
<br />operation within the community.
<br />John Theis, representing Northern States Power, stated that it would be their preference for the
<br />• City to allow Minnegasco to continue serving Zep Manufacturing by permit only. He added that
<br />the alternative would be to allow them to provide service to this location by limited permit, as
<br />proposed.
<br />Al Swintek, representing Reliant Energy Minnegasco, stated that they understood the concerns
<br />regarding the granting of the franchise, and stated that it was not their intention to extensively
<br />run gas lines within the roads of the City of Mounds View. He stated that this would not be cost
<br />effective, and would create an unnecessary duplication of service. He added that if they had
<br />wanted to do this, it would probably not meet the requirements of the new right-of--way
<br />management ordinances, or the permitting processes. He stated that they are also subject to
<br />Public Utility Commission rules regarding extended service, which would require cost
<br />effectiveness, and reiterated that this was not their intention. Mr. Swintek stated that they were
<br />interested, however, in providing service to customers who desired to receive service from them,
<br />provided that it would be cost effective and in alignment with the City's new right-of--way
<br />management and permitting processes. He stated that there are, at present, two customers who
<br />meet that criteria. One, he stated, was Zep Manufacturing, and the other, located directly across
<br />the street, was the Realife Cooperative. He stated that Minnegasco has an agreement with the
<br />Realife Cooperative, executed June 14, 1999 with Fran and Sons, the contractor who is
<br />constructing the project. He provided the Council with a copy of the agreement. He stated that
<br />he appreciated the responsibility of the Council in considering this request. He noted, however,
<br />that the Council has the authority to manage the rights-of--way and, in their opinion, if a customer
<br />meets the criteria and desires service from their company, they should be allowed to provide that
<br />. service. He stated that Minnegasco was aware that the ordinance under consideration was
<br />drafted to include the Zep Manufacturing location only. He added that it was hoped the Council
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