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Mounds View City Council September 23, 2002 <br />Regular Meeting Page 9 <br />Council Member Thomas asked if there was an hin that Staff could oint to as a valid reason <br />Yt g P <br />for Council to consider overturning the recommendation of the Planning Commission. <br />Planner Atkinson indicated that Staff agreed with the Planning Commission that denial of the <br />request would be the most appropriate action for the City. <br />Council Member Marty commented that rezoning the two pieces in the middle would break up <br />the PUD. He then said that he concurs with the Planning Commission and Staff. <br />Mayor Sonterre closed the public hearing at 7:50 p.m. <br />MOTION/SECOND: Quick/Marty. To Approve Resolution 5850, a Resolution Denying the <br />Rezoning of Adjacent Properties Located at 2901 and 2925 Highway 10 from B-3 and R-1 to R- <br />3. <br />Ayes - 5 Nays - 0 Motion carried. <br />C. Second Reading and Adoption of Ordinance 703, Implementing a Franchise Fee <br />on Xcel Energy Electric and Natural Gas Operations within the City of Mounds <br />View for the Year 2003. <br />• Finance Director Hansen explained that this ws the second reading of Ordinance 703, an <br />Ordinance implementing a franchise fee on Xcel Energy electric and natural gas operations in the <br />City. He then explained that the Ordinance allows for a fee of 4% on the electric and natural gas <br />provided to residents and provides annual revenue to the City of approximately $380,000 to <br />$400,000. He further explained that half of that revenue is placed in the general fund and the <br />other half goes into the special revenue fund to be used as Council sees fit. <br />Finance Director Hansen indicated it was his recommendation that the City continue with this <br />revenue source, as it is better to have three revenue sources rather than two. <br />MOTION/SECOND: Quick/Marty. To Waive the Reading, Approve the Second Reading, and <br />Adopt Ordinance 703, Implementing a Franchise Fee on Xcel Energy Electric and Natural Gas <br />Operations within the City of Mounds View for the Year 2003. <br />Council Member Stigney asked whether the Ordinance sets the percentage at 4%. <br />City Attorney Riggs clarified that this Ordinance establishes the percentage at 4%. <br />Council Member Marty pointed out that of the 4%, 2% goes into the streets fund. <br />Finance Director Hansen clarified that 2% is placed in a special projects fund that can be used for <br />• streets, parks or whatever Council wishes to use it for. <br />ROLL CALL: Quick/Marty/Stigney/Thomas/Sonterre <br />