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0001, <br />MEMO TO: MAYOR AND CITY COUNCIL/ T \ <br />FROM: CLERK -ADMINISTRATOR/ ll <br />DATE: OCTOBER <, 1985 <br />SUBJECT: PROPOSED ELECTRICAL AND NATURAL GAS RATE INCREASE <br />Attached please find a copy of a letter received by Mayor Linke <br />from St. Paul Councilman William Wilson outlining his concerns <br />regarding the proposals by Northern States Power to increase <br />electrical and ,laturai gas rates as presri.Led to the Minnesota <br />Public Utilities Commission. <br />Also attached to this memorandum please find a copy of a memo <br />from Energy Coordinator Rita Docken to myself providing addi- <br />tional detail on the proposed rate increases. At first blush <br />it would appear that the proposed rate increases are justified <br />since NSP has not had a rate increase on either of these two <br />utilities since 1981. At the same time the rate increases are <br />substantial, however, it is unlikely that the Public Utilities <br />Commission will be approving them at the level initially <br />requested. <br />At the present time the Utilities Commission has begun the <br />process of considering the proposed increases and several <br />organizations including the City of St. Paul have filed with <br />the Commission to intercede in the increase jrocess Corsidering <br />the City'E general lack of knowledge and experience in this area <br />and the. fact that many organizations, such as the Suburban Rate <br />Authorita, and the Minnesota Public IntereEt Research Group, will <br />be interceding, it would appear irapproprir.te for the City of <br />Mounds View to take any action on th4.s item at this time other <br />than possibly the adoption of a reaol-ltion supporting the actions <br />of the City of ;t. Pacl and other interested organizations. <br />Staff would request Council direction on this matter at this time. <br />DFP/mjs <br />Attachments: <br />