HomeMy WebLinkAboutOrdinance 963ORDINANCE NO. 963
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
AN ORDINANCE CONTINUING A FRANCHISE FEE ON CENTER POINT
ENERGY NATURAL GAS OPERATIONS WITHIN THE CITY OF
MOUNDS VIEW
THE CITY OF MOUNDS VIEW ORDAINS:
SECTION 1. The City of Mounds View Municipal Code Appendix D is hereby amended
to include reference to the following Special Ordinance.
Subdivision 1. Purpose. The Mounds View City Council has determined that it is
in the best interest of the City to impose a franchise fee on those public utility companies
that provide natural gas and electric services within the City of Mounds View.
a. Pursuant to City Ordinance No. 962, which is the Franchise Agreement
("Franchise Agreement") between the City of Mounds View (the "City") and
CenterPoint Energy (formerly Reliant, formerly Minnegasco), its successors and
assigns, a franchise fee of not more than four (4.0) percent of CenterPoint Energy's
gross operating revenues may be imposed by the City at any time during the 20
year term of the Franchise in amount and fee designs as set forth in Section 2.1 of
the CenterPoint Energy Franchise.
Subd. 2. Franchise Fee Statement. A franchise fee is hereby imposed on Center
Point Energy under its natural gas Franchise Agreement in the amount of four percent
(4%) of Center Point Energy's gross revenues, as defined in Section 9 of the Franchise
Agreements commencing with Center Point Energy's January 2020 billing month.
Subd. 3. Payment. The said franchise fee shall be payable to the City in
accordance with the terms set forth in Section 9 of the Franchise.
Subd. 4. Surcharge. The City recognizes that the Minnesota Public Utilities
Commission may allow each said utility company to add to its effective rates for the utility
service on which the public utility gross earnings fee is imposed, a surcharge to reimburse
such utility company for the cost of the fee.
Subd. 5. Proof of Company Gross Revenues. Center Point Energy shall make
each payment when due and shall quarterly furnish a complete and correct statement of
gross revenues for said quarter. Center Point Energy shall permit the City and its
designated representative free access to the company's records for the purpose of
verifying such statements.
Subd. 6. Enforcement. Any dispute, including enforcement of a default regarding
this ordinance will be resolved in accordance with the Franchise Agreement.
Subd. 7. Effective Date of Franchise Fee. Notwithstanding the effective date of
this ordinance and notwithstanding any contrary provisions in Section 9 of the Franchise,
the effective date of the fee collected under Subdivision 9 of this ordinance is the later of
ten (10) days after the publication and after the sending of written notice enclosing a copy
of this adopted ordinance upon Center Point Energy by certified mail.
Subd. 8. Sunset Clause. This ordinance shall automatically sunset on December
31, 2021.
SECTION 2. This ordinance takes effect as provided herein.
Read by the City Council of the City of Mounds View this 26th day of August, 2019.
Read and passed by the City Council of the City of Mounds view this gth day of September,
2019.
Publication Date: September 17, 2019
Carol A. Mueller, Mayor
ATTEST:
Brian Bee Assis ant City Administrator
(SEAL)