ORDINANCE NO.13-09
<br /> CITY OF ELK RIVER
<br /> AN ORDINANCE OF THE CITY OF ELK RIVER
<br /> IMPLEMENTING A GAS ENERGY FRANCHISE FEE ON
<br /> CENTERPOINT ENERGY MINNEGASCO,A NATURAL
<br /> GAS UTILITY,A DIVISION OF CENTERPOINT ENERGY
<br /> RESOURCES CORPORATION,A DELAWARE
<br /> CORPORATION("CENTERPOINT ENERGY")FOR
<br /> PROVIDING GAS ENERGY SERVICE WITHIN THE CITY
<br /> OF ELK RIVER,MINNESOTA
<br /> The City Council of the City of Elk River hereby ordains as fol-
<br /> lows:
<br /> Section 1. Purpose. The Elk River City Council has deter-
<br /> mined that is in the best interest of the City to impose a fran-
<br /> chise fee on those utility companies that provide natural gas and
<br /> electric services within the City. Pursuant to Minnesota Stat-
<br /> utes,Section 216B.36 and Section 6.1 of the Franchise Ordinance,
<br /> the City has the authority and right to impose a franchise fee on
<br /> Company. The purpose of this ordinance is to establish such
<br /> franchise fees to tie paid to the City by the Company.The.fran-
<br /> chise fees will be used to partially fund the Cities cost to main-
<br /> tain the city street system.
<br /> Section 2. Definitions.
<br /> For the purposes of this Ordinance,the following capitalized
<br /> terms shall have the following ineanings:
<br /> 2.1 City. The City of Elk River,County of Sherburne,State of
<br /> Minnesota.
<br /> 2.2 Company. CenterPoint Energy Minnegasco("CenterPoint
<br /> ,, •
<br /> Energy),its successors and assigns.
<br /> 2.3 Franchise Ordinance. The franchise ordinance adopted by
<br /> the City on February 24,2003,City Ordinance No.03-005
<br /> 2.4 Notice. "Notice"means a writing served by any party or
<br /> parties on any other party or parties. Notice to Company shall be
<br /> mailed to CenterPoint Energy,Minnesota Division,Vice Presi-
<br /> dent,800 LaSalle Avenue,Minneapolis,MN 55402. Notice to
<br /> City shall be mailed to the City Administrator,City of Elk River,
<br /> 13065 Orono Parkway,Elk River,MN 55330.
<br /> Section 3. Gas Franchise Fee.
<br /> 3.1 Franchise Fee Statement and Schedule. A franchise fee is
<br /> hereby imposed on Company commencing with the July 2013
<br /> billing month,and in accordance with the following fee schedule:
<br /> Customer Classification Amount per Account per Month($)
<br /> Residential $4.00
<br /> Commercial/Industrial,Small Volume A $4.00
<br /> Commercial/Industrial,Small Volume B $16.00
<br /> Commercial/Industrial,Small Volume C $50.00
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<br /> Commercial/Industrial,Dual Fuel A and B $70.00
<br /> 3.2 Account Fee. This fee is an account-based fee and not a
<br /> meter-based fee. In the event that an entity covered by this
<br /> ordinance has more than one meter,but only one account,only ...-,c...) ;1,,t.,'Ea t... .,.. c....
<br /> one fee shall be assessed to that account. In the event any .) 09. : °
<br /> .4.. -.. 0 0 =
<br /> entities covered by this ordinance have more than one account,
<br /> each account shall be subject to the appropriate fee. In the event a) p.. B-4., PIZ
<br /> a question arises as to the proper fee amount for any account,the .-' a-2j'01 ° - c.)
<br /> highest possible fee amount shall apply. '-'7' el !.17,s1 i-."g ,...--
<br /> -0 s.,74= ...) )14
<br /> 3.3 Payment. Franchise fees are to be collected by the
<br /> Company and submitted to the City as follows: . - o a
<br /> $-, ,..,_ w ,-
<br /> January-March collections due by April 30. a >a) La,es>, 2 ...a.
<br /> April-June collections due by July 31. ° `Dagil-h4
<br /> July-September collections due by October 31. c...) ,I0 ›-• ›. 4 0D ,-1
<br /> October-December collections due by January 31.
<br /> 3.4 Record Support for Payment. The Company shall make - a a 5,
<br /> o- 4,•
<br /> each payment when due and,if requested by the City, shall cu a'0.4' a *Z
<br /> _ ..- na . 0 " rd
<br /> provide a statement summarizing how the franchise fee payment ..... ;-. d .
<br /> (ti -.• l
<br /> ..
<br /> sz rcl 0'V -4 a,
<br /> was determined,including information showing any adjustments ''' '8-8
<br /> ›'-■•• - a 0 .
<br /> to the total made to account for any non-collectible accounts, ,marn ate
<br /> refunds or error corrections. The Company shall permit the City, a g a 4
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<br /> .541:2
<br /> and its representatives,access to the Company's records for the
<br /> ,,..,°) .,..c.1.1) g.'41
<br /> purpose of verifying such statements. ,--• ;....•TJ a w-'-'• 0-010 ,..;
<br /> 3.5 Payment Adjustments. Payment to the City will be •--. > e ,.., a E-47a a
<br /> adjusted where the Company is unable to collect the franchise •0 a 61 - - .fee. This includes non-collectible accounts. • o:...-„.,5:$,1:,w 4
<br /> 2 a a .-1.4
<br /> 3.6 Relation to Franchise Ordinance. This ordinance is enacted 3-4 att*E' a a .2 2-4, - 4
<br /> 0-^' B tha t 0 °':.!. t' C.)
<br /> in compliance with the Franchise Ordinance and shall be ,...•,... a _ c., a a,„4„
<br /> ., - a)■■1 W CD "Ci ›),4
<br /> interpreted as such. •,•D ,.,-a ›,„..a a El cn to<4 le. 0,i,ti._)4.•...
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