87-423 � WHITE - GTV CLERK
PINK - FINAN�E G I TY OF SA I NT PA U L Council /� , /!�7
CANARV - DEPARTMENT FlIC NO• U � / "�
BLUE -MAVOR
; , , Council Resolution ;
Presented By 1 %
Referred To Committee: Date
Out of Committee By Date
MHEREAS, the Cou cil of the City of Saint Paul on July 17, 1986
adopted a Resolu ion, Council File No. 86-992, requesting that
the Minnesota De artment of Energy and Economic Development
(DEED) authorize the City of Saint Paul to enforce the State
standards for en rgy efficiency in rental housing in Saint Paul;
and
WHEREAS, the Cou cil of the City of Saint Paul on July 29, 1986
adopted Ordinanc No. 17379 expanding the acope of the Housing
Code to include nergy efficiency in order ta commence a program
of enforcement k own as the Saint Paul Rental; Energy Efficiency
Enforcement (SPR EE) ; and
WHEREAS, on Octo r 15, 1986, the Minnesota Public Utilities
Commission tMPUC) ordered the Northern States' Poper Company
(NSP) to spend 5 , 200 of its Conservation Improvement Program
(CIP) funds to pa for the audits necessary for the operation of
the SPREEE progra ; and ;
WHEREAS, on Octob r 21, 1986, DEED authorized� the City of Saint
Paul to enforce t e State standards for energ�y efficiency in
rental housing in Saint Paul; and
WHEREAS, it is no necessary for the City of Saint Paul to enter
into an agreement pith NSP for the disbursemerit of those funds
and to enter into an agreement with the Saint Paul Neighbor
Energy Conaortium (NEC) to provide the necess�ry sudits;
NOW THEREFORE BE T RESOLVED, that the appropriate city
officials are her by authorized to execute the attached
agreements on beh lf of the City of Saint Paul:
COUNC[LMEN Requested by Department of:
Yeas p�� Nays
Nicosia Community Services
Rettman �n Fevo[
Scheibel
�
Sonnen __ AgBillst BY
Tedesco �
Wilson •
Adopted by Council: Date ��� � � 1�7 Form App ved by Cit Attorney
�� ct
Certified Y• -s d ounc.il S cre BY �
Bp
Approv y ;Navor: Date APR � — ��7 Appr d by Mayor�'for b �Sion to Council
y _ By
PU�tlS ED NP� 1 1 1987
Community Services DE PARTMENT C�-'��a3 ND 3 219
.
Alice Bi�jani CONTACT
2 2- 73 PHONE
Maxch 16, 1987 DATE ' 1 e � e e
ASSIGN NUMBER FOR ROUTING ORDER Cli All Lo ations for Si nature :
2 Department Director , � Direc or of Management/Mayor
Finance and Management Servi ces Director �. City lerk
Budget Director 5 Counc 1
1 City Attorney
WHAT WILL BE ACHIEVED BY TAKING ACTION ON TH� ATTACHED MATERIALS? (Purpose/
' Rationale) :
This resolution will empower t e appropriat� City officials to e ecute the attached agreement
with NSP and the St. Paul Neig borhood Ener� Consortium (NEC) f r the performance of and payment
for audits for the St. Paul Re tal Energy Efficiency Enforcement (SPREE Program). These
organizations have agreed to t ese contractS as written.
�. ��
COST/BENEFIT BUDGETARY AND PE ONNEL IMPACT� ANTICIPATED: ��
'I`hese agreements axe necessary o arrange. fqr the orderly and le a1 performance of the audits
and transfer of funds to pay fo them. The 'funds to pay for the audits ($20,000) have been set
aside as part of NSP's Conserv ion Tmprove�ent Program (CIP) as ordered by the Minnesota Public
Utilities Commiss�,on (MPUC). i
FINANCING SOURCE AND BUDGET ACTIVITY NUMBER GHARGED OR CREDITED: (Mayor's signa-
, ture not re-
Total Amount of Transaction: quired if under
' $10,000)
Funding Source: i
Activity Number: '
ATTACHMENTS List and Number All Attachments :
l. Resolution ,
2. Council File no. 86-992 an 87-80
3. Ordinance no. 17379 �
4. MPUC order i
5. Deed authorization
6. NSP agreement
7. NEC agreement
DEPARTMENT REVIEW ' CITY ATTOR EY REVIEW
x Yes No Council Resolution Required? ! Resolution Required? Yes No
Yes No Insurance Required Insurance ufficient? Yes No
Yes No Insurance Attached ,
(SEE RE ERSE SIDE FOR INSTRUCTIONS)
Revised 12/84
��- ����-3
S INT PAUL RENTAL ENERGY EFFICIENCY
ENFORCEMENT (SPREEE) AGREEMENT
This Agreement, ffective as of the 15th day of October, 1986,
between Northern States Power Company (NSP) , �a Minnesota
corporation, and the City of Saint Paul (City) , a municipal
corporation unde the laws of the State of Minnesota.
WITNESSETH:
WHEREAS, NSP and the City are interested in the enforcement of
the state minim standards for energy consexlvation in rental
housing in the C'ty, and
WHEREAS, the Cit has commenced a program of enforcement of
those standards hich is known as the Saint P,aul Rental Energy
Efficiency Enfor ement program (SPREEE program) , and
WHEREAS, the Min esota Public Utilities Commission (MPUC) has
ordered NSP to p ovide $20,200 in Conservation Improvement
Program (CIP) fu s (hereinafter referred to as the SPREEE Audit
Fund) to pay for nergy audits to facilitate that program, and
WHEREAS, the City has entered into an agreement with the Saint
Paul Neighborhood Energy Consortium (Consortium) for the
performance of ne ded audits.
NOW THEREFORE, in consideration of the terms �nd conditions
stated herein, th parties agree as follows:
Article 1.
This Agreement sh 11 be effective from October 15, 1986 to
September 20, 198 , unless NSP notifies the City that it elects
to terminate this Agreement earlier after the occurrence of any
one of the follow ng events:
a. the MPUC or any court orders NSP to terminate this
payment rogram, or to make signific�nt changes which
material y effect the operation of this payment
program, or
b. NSP dete ines that the CitX failed to perform any of
its obli ations specified herein and such failure is
recogniz d by the MPUC to be a substantial violation of
this Agr ement.
NSP shall not be iable for any expenses committed by the City
following the te ination date or the date th� City was legally
notified of such ermination.
�r��.>- �:z 3
-2-
Article 2
NSP shall pay f r energy audits of residential rental property
which have been requested and authorized by the City in the
manner set fort in this Agreement.
Article 3 .
The City reserve the right to determine which and how many
residential rent 1 properties shall be audited. NSP's payment
liability for th's program shall not exceed $20,200 unless an
increase in expe ditures is ordered by MPUC.
Article 4.
No payment shall be made from the SPREEE Aud�t Fund to any party
for an audit mad without an Audit Authorization from the City.
(See exhibit A w ich is a copy of the Audit Authorization form
to be used. ) No shall any payment be made from the SPREEE
Audit Fund to an party for an audit made pri.or to the date on
the Audit Author zation.
Article 5.
The City may con ract or otherwise arrange for energy audits to
be performed on esidential rental property of any size in the
City by auditors ho are properly certified by the State of
Minnesota to per rm such audits (pursuant to MCAR 2.2307) . The
City or any perso with whom it subcontracts shall provide
audits that inclu e, at a minimum, reports of' compliance or
non-compliance wi h the state minimum standards for energy
conservation in r ntal housing as set forth in Minnesota
Statutes Section 16J.27 and the Minnesota Rules and comply with
the MPUC order da ed October 15, 1986 and with the standards for
Minimum Energy Co servation Standards audits as set forth in
Minnesota Statute Section 116J.27 and the Minnesota Rules. Any
party requested t provide audits shall also complete an
additional inspec ion to determine compliance or non-compliance
with the ordered orrections as well a consultation between the
auditor and the o ner at the property if such consultation is
requested. A cop of each audit shall be submitted to NSP with
the request for p yment as set forth in Articles 7 and 8.
� ���-y��
-3-
Article 6.
Information rega ding the identity of the complainant or the
contact person f r the property audited is private data and is
confidential inf rmation pursuant to state l,aw. This information
will not be made available to NSP.
Article 7.
If qualifying au its are performed through the Consortium at the
request of the C ty, NSP shall directly pay the Consortium for
the audits. NSP shall pay for audits billed' prior to
March l, 1987 at the following rate:
1 to 4 nits. . . . . . . . . . . . . .$90.00 pes heating plant
5 to 9 nits. . . . . . . . . . . . . $250.00 ,
9 or more nits. . . . . . . . . . . . .$160.00 plus $10.00 per unit;
and for audits b lled after February 28, 1987 at the following
rate:
1 to 4 nits. . . . .'. . . . . . . . .$95.00 per heating plant
5 to 9 nits. . . . . . . . . . . . .$255.00
9 or more nits. . . . . . . . . . . . .$165.00 plus $10.00 per unit.
Such payments sh 11 be made only if the following conditions are
met:
a. each au it request is confirmed by the Consortium's
submissi n of an Audit Authorization from the City,
b. the perf rmance of each audit is confirmed by the
Consorti m's submission of documentation of the audit,
which co sists of the audit worksheet and a list of
recommen ations,
c. the audi meets the standards set fo�th in Article 5.
of this greement,and
d. the docu entation required in a. and� b. of this article
shall be packaged and submitted to N$P on a twice
monthly asis by one invoice.
Article 8.
If the City contr cts or otherwise arranges for an audit to be
performed by a pa ty other than the Consortium, NSP shall
directly pay the ity at the following rate:
1 to 4 u its. . . . . . . . . . . . . .$95.00 per �heating plant
5 to 9 u its. . . . . . . . . . . . .$255.00 ,
9 or more units. . . . . . . . . . . . .$165.00 plus $10.00 per unit,
Such payments shal be made after the City submits to NSP
documentation of t e audit, which consists of the audit
worksheet, a list f recommendations, and the Audit
Authorization. Th s documentation shall be pa�ckaged and
submitted to NSP o a twice monthly basis by o�e invoice. The
City shall pay the auditor performing the audit with the funds
received from NSP. '
� �y-y� 3
-4-
Article 9.
Reviews of paym nts and the SPREEE Audit Fund balance shall be
scheduled at th ee month intervals. '
Article 10.
The City shall p ovide NSP on February 15, 1987 and September 1,
1987 a report wh'ch shall include, but not b+e limited to, the
addresses of the buildings for which services are being reported
and a summary of the energy savings expected. These reports
shall include al activity occurring before February 1, 1987
and August 1, 1 87, respectively.
Article 11. �
The City acknowl dges that pursuant to Minnesota Statutes
Section 216B.241 Subd. 2 and Minnesota Statutes Section 216B.16
Subd. 68 NSP has the right to recover the costs of CIP projects
in rates and tha the MPUC Rate Case Orders in Dockets
G-002/GR-86-160 nd G-002/M-86-165 issued January 27, 1987
provide for that recovery.
Article 12.
The City shall i demnify and hold NSP harmless against any and
all claims for oss, judgement, liability or expense, for
damage to any pr erty or for death or injury, to any person
arising out of o by reason of the SPREEE program and which is
caused by the act or omissions of the City's employees.
Article 13.
NSP shall indemni y and hold the City and the Consortium
harmless against ny and all claims for loss, judgement,
liability or expe se, for damage to any property or for death or
in�ury to any per on arising out of or by reas�on of NSP's
participation in he SPREEE program and which, is caused by the
acts or omissions of NSP's employees, agents, or assigns.
Article 14.
Any party authori ed to provide audits under �his program shall
indemnify and hol NSP harmless against any and all claims for
�-j,� �=7_ ��z ,�
-5-
loss, judgement liability or expense, for damage to any
property or for death or injury to any person arising out of or
by reason of th t party's participation in the SPREEE program
and which is ca sed by the acts or omissions of that party or
its employees, gents, or assigns.
Article 15.
If the parties utually agree on changes that would make the
program more ef ective, but which changes are not authorized by
the MPUC order r any court order, the parties shall jointly
petition the MP C to authorize these changes.
Article 16.
All notices, rep rts, and requests for payment from the City to
NSP shall be sen by United States mail, postage prepaid,
addressed to:
Manager, Community Conservd�tion Programs
Northern States Power Company
414 Nicollet Mall
Minneapolis, MN 55401
Article 17.
All notices, pa ents, and other correspondence from NSP to the
City shall be se t by United States mail, pos,tage prepaid,
addressed to: '
St. Paul Division of Public Health
Environmental Health
555 Cedar '
St. Paul, MN 55101
Article 18.
All notices, pa nts, and other correspondence from NSP to the
Consortium shall e sent by United States mai�, postage prepaid,
addressed to:
Neighborhood Energy Consortium
287 N. Snelling Avenue
St. Paul, MN 55104
��7-y�3
-6-
IN WITNESS WHE OF, the parties have executed this Agreement by
their respectiv duly authorized officers.
NORTHE TATES POWER CO Y
,.
BY= � Date:
Title:
CITY OF SAINT P L
BY� Date:
Title: Ma or
BY� Date:
Title: Director De artment of Finance �
and Mana ement Services
,
BY� '-� Date:��'/S'7
Title: Director De artment of Communit
Service
IN WITNESS THERE F, SAINT PAUL NEIGHBORHOOD ENERGY CONSORTIUM
confirms that it has received a copy of this Agreement:
By: Date:
Title:
� �7_y� _�
AGREEMENT
This Agreement, e fective as of the fifteenth day of October, 1986,
between the Saint Paul Neighborhood Energy Cor�sortium (NEC) , a
Minnesota non-pro it corporation, and the City of Saint Paul (City) ,
a municipal corpo ation under the laws of the State of Minnesota.
WITNESSETH:
WHEREAS, NEC and he City are interested in tl�e enforcement of the
state minimum sta dards for energy conservation in rental housing in
the City, and
WHEREAS, the City has commenced a program of enforcement of those
standards which i known as the Saint Paul Rental Energy Efficiency
Enforcement progr m (SPREEE program) , and �
WHEREAS, the Minn sota Public Utilities Commi�sion (MPUC) has ordered
NSP to provide $2 ,200 in Conservation Improvement Program funds to
pay for energy au its to facilitate that program, and
WHEREAS, The Sain Paul Neighborhood Energy Consortium (NEC) has
agreed to perform audits to facilitate that program, and
WHEREAS, the City has entered into an agreement with NSP to pay NEC
directly for the erformance of authorized audits.
NOW THEREFORE, in consideration of the terms and conditions stated
herein, the parti s agree as follows: '
Section 1.
This Agreement sh 11 be effective from October 15, 1986 to
September 20, 198 unless terminated for non-performance or
non-payment as pr vided for in Section 2 .
� � d�7—�t� 3
-2-
Section 2 .
The City may term nate this Agreement if NEC fails to provide audits
which do not meet the standards set forth in this Agreement, or
otherwise fails t meet the terms and conditions of this Agreement
and fails to reme y this alleged breach within 15 days of receiving
notice of same. he City shall not be held liable for any audit
expenses incurred by the NEC after the date of notification of such
termination or fo payment for any audits which do not meet the terms
or conditions of his Agreement.
Section 3 .
NEC shall, in a t mely manner, notify the City and NSP if NSP fails
to pay for any au horized audit. NEC may terminate this Agreement if
payment for an au it is not received within 30 days of its giving
notice to both th City and NSP of NSP's fail�ure to pay for an
audit.
Section 4.
NEC shall perform energy audits requested by the City. Such requests
and such performa ce shall be made in accordance with the standards
set forth in this Agreement.
Section 5.
NEC shall provide at a time specified by the City, an additional
inspection of eac property audited to determine whether or not any
ordered improveme ts have been made in accordance with state
standards.
Section 6.
Upon request from the owner of the structure �udited under this
program after Jan ary 31, 1987, NEC shall provide for a consultation
between the audit r and the owner at the property.
C%-- �7��3
-3-
Section 7.
Upon request of t e City Attorney, the auditor who performed the
energy audit of a property which is the subject of a court action
shall appear in c urt to testify to the facts relating to the energy
audit of that pro erty. NEC shall insure both the cooperation and
the appearance of the auditor at all related court proceedings.
Section 8.
An auditor shall ot enter any portion of a building without the
express permissio of a person authorized to enter therein.
Section 9.
Within 45 days af er the date on the Audit Authorization, NEC shall
submit to the Cit either a completed audit report or reasons why
such report is un vailable. See Exhibit A which is a sample of the
Audit Authorizati n form to be used.
Section 10.
The City reserves the right to determine which and how many
properties shall e audited. The City will not authorize payments to
NEC for audits ma e without authorization from the City or for audits
made previous to he date on the Audit Authorization.
Section 11.
The audits shall e performed by auditors who are propertly certified
by the State of M nnesota to perform such audits (pursuant to MCAR
2 .2307) . The aud t reports shall be submitted on forms which meet
the approval of t e City. The audit reports shall at a minimum
include reports o compliance or non-compliance with the state
minimum standards for energy conservation in �ental housing set forth
in Minnesota Stat tes Section 116J.27 and Minrlesota Rules and shall
comply with the M UC order dated October 15, 1986 and with the
standards for Min mum Energy Conservation Standards audits as set
forth in Minnesot Statutes Section 116J.27 and the Minnesota Rules.
One copy of each udit report shall be sent to the City and another
copy shall be sub itted to NSP with the request for payment.
�
C�,=- ��_��j
-4-
Section 12 . ;
Information regar ing the identity of the complainant or the contact
person for the pr perty for which an audit is requested is private
data and is confi ential information pursuant', to state law. NEC shall
keep this informa ion confidential and will not make it available or
release it to NSP or any other agency or person.
Section 13 .
The City agrees t authorize NSP to pay NEC directly for audits made
at the request of the Housing Code Section of� the Division of Public
Health. The requ sts shall be made in duplicate using the Audit
Authorization fo . The Audit Authorization shall be signed by the
Director of Envir nmental Health and shall include the following
information: add ess of the structure to be audited, number of
units, referring nspector, and referral date'. The Housing Code
Section shall als send the name, phone number, and address of a
contact person fo each property referred.
Section 14.
Payment for audit billed before March 1, 1987 shall be at the
following rate:
1 to units. . . . . . . . . . . . . .$90. 00 per heating plant
5 to units. . . . . . . . . . . . . $250. 00
9 or mor units. . . . . . . . . . . . .$160.00 plus $10. 00 per unit.
Payment for audit billed after February 28, 1987 shall be at the
following rate:
1 to units. . . . . . . . . . . . . . $95. 00 per heating plant
5 to units. . . . . . . . . . . . .$255.00 '
9 or mor units. . . . . . . . . . . . .$165.00 plus $10. 00 per unit.
Such payment shal authorized if the following conditions are met:
a. the C'ty's request of each audit is confirmed by an Audit
Autho ization from the City,
b. the p rformance of each audit is confirmed by
docum ntation of the audit, which consists of the audit
works eet and a list of recommendations,
c. the a dit meets the standards set' forth in Section 11. of
this greement, and
d. the d cumentation required in a. and b. of this section
is pa kaged and submitted to NSP on a twice monthly basis
by on invoice.
/��- �7 �"��
-5-
Section 15.
This Agreement sh 11 not prohibit the City from contracting or
otherwise arrangi g for energy audits to be performed by any party
other than NEC.
Section 16. ���
It is understood etween the parties that any auditor providing an
audit under the t rms of this Agreement is not an employee of the
City.
Section 17.
NEC shall provide and maintain the following insurance coverage
during the perfo ance of this Agreement: General Public Liability
Insurance (Broad orm) with a minimum limit o� $1,000,000 combined
single limit per ccurrence. NEC shall file �ith the City a
certificate of in urance which includes a cla�ise agreeing to give the
City 30 days writ en notice before change or cancellation of the
insurance.
Section 18. �,
The City shall in emnify and hold NEC harmless against any and all
claims for loss, udgement, liability or expense, for damage to any
property or for d ath or injury to any person arising out of or by
reason of the SP EE program and which is caused by the acts or
omissions of the ity's employees.
i
Section 19.
NEC shall indemni y and hold the City and the NSP harmless against
any and all claim for loss, �udgement, liability or expense, for
damage to any pro erty or for death or in�ury '�,to any person arising
out of or by reas n of NEC's participation in 'the SPREEE program and
which is caused b the acts or omissions of NEC's employees, agents,
or assigns.
,
�� �7-c�.� �'
-6-
Section 20.
If the City and N C mutually agree on changes that would make the
program more effe tive, but which changes are not authorized by the
MPUC order or the NSP contract, they shall jointly petition the MPUC
or NSP, as approp iate, to authorize these changes.
Section 21.
All notices, repo ts, and requests for payment from NEC to NSP shall
be sent by United States mail, postage prepaid, addressed to:
Manag r, Community Conservation Programs
North n States Power Company
414 Ni ollet Mall
Minnea olis, MN 55401
Section 22.
All audit reports, notices, and other correspondence from NEC to the
City shall be sent by United States mail, postage prepaid, addressed
to:
St. Pa 1 Division of Public Health
Enviro mental Health
555 Ce ar
St. Pa l, MN 55101
Section 23.
All notices, reque ts, payments, and other correspondence from the
City to NEC shall e sent by United States mail, postage prepaid,
addressed to:
Neighb rhood Energy Consortium
287 N. Snelling Avenue
St. Pa l, MN 55104
G�.���-y�`-�
-�-
IN WITNESS WHERE F, the parties have executed this Agreement by their
respective duly uthorized officers. ,
�
SAINT PAUL NEIGH ORHOOD ENERGY CONSORTIUM
'�� � �� � - � �.�� �
BY: 2-�y - s �, .✓�, _�, 'Date• } /3/�
Title: %%��C=C°c�' /��� - -/�/f�'c �' j�,``
�
CITY OF SAINT PA I
BY� Date•
Title: Ma or
BY� Date•
Title: Director e artment of Finance
and Mana ement Services
BY� Date:
Title: Director e artment of
Communit Services
IN WITNESS THEREO , Northern States Power Company confirms that it
has received a co y of this agreement: '
By' Date•
.
Title: '
, .v.�I T E - C i 7 r C::, .. �l -- �� 7 �`� �'i
. 'F'.•�i� �.� �IhA1.�E
--•-`.p' _ °::okTME'.' CiITY OF SA I I`'T �AUL Counci! / p/�
� � . File �10._ �(� ` / 7•7i
� Council Resolution
� �"'��
Presented By , � ✓O
► / �
t � �� ��
� Referred To Committee�: Date �+ ''Z�` �Lo
Out of Committee By ' Date
WHEREAS, the Co issioner of the Department of the Minnesota Department
of Energy and Economic Development (DEED) , pursuant to Minnesota
Statutes sectio 116J.27, subd. 4 (19g6) is empowered to authorize a
municipality, w th its �consent, to conduct inspections � of rentai
property Nithin ts jurisdiction for compliance with Minnesota Statutes
section 116J.27 subd. 3 and the regulations prornuigated pursuant
thereto; and
WHEREAS, any m nicipality which conducts an inspectians prograr shall
have authority under all subdivisions of Minnesota Statutes section
116J.30 to enfor e the provisions of section 11E�J.27. subd.3; now;�
therefore, he it -
RESOLVED, that th City of Saint Paul intends to clnduct inspections of -
rental property f r compliance with Minnesota Stat�tes section 116J.27,
subd. 3 and the r gulations promulgated thereto; aNd be it -
FURTNER RESOLVED that the City of Saint Paul may enforce the provi-�
� sions nf._section 16J.27; - subd. 3, provided that`3�00 per cent-of the -
penalties to be paid to the state treasury for violation of �section
11bJ.27, subd. 3 hall be paid to the City of Saint Paui ; and -be it -
FURTHER RESOLVED, that the proper City officiais are hereby authori2ed
to requ�st and ac ept the delegation of authority from the Commissioner �
of DEED to enforc the provisions of sectfon i16J.27, subd. 3. -
COUNCILMEN
Yeas a��W Nays Requested by pepartment of:
' Nicosis
a.=t�,,,, [n Favor
Sehsib�l
���•� Against By
7edesw
���`°� JUL 17 1�86
:ldopted hy Council: Date Form Approved City Attomey
Cci/ �d Pas c o cil Se ry gy �`�/[ S'
�,
�ppr�� • Mavor: Date `�1- ^� �� Appcoved by Mayor for Submission to Council
By 8
Y
PUBI(SH J U L 2 61986 �
^���t — CI iv CLERK � � r�.�� �� �
�'�NK — FINAN�E L�1`—'
C4NAqY — OEP4RTMENT CITY OF SAINT �L1UL COU�ICII �/� /�
e7l.VE —MAYOR FIIC �O.- / rtJ D
�
Council Resolut�on ;=- �
` i' �
Presented '�„� ` . �••
Referred To � `f 1 �.-��'��
Committee: Date
Out of Committee By Date
WHEREAS, the Councii of the City of Saint Paul qn July 17, 1986 �
adopted a Resolution Council File No. 86-992, requesting that the
MinnPSOta Department of Energy and Economic Development (DEED)
'authori^e �khe C�.ty o 5aint Paul to enforce the State standards for
energy efficiency in rental housing in Saint Paul; and
WHEREAS, the Council of the City of Saint Paul on July 29, igg6
adopted Ordinance No 17379 expanding the scope of the Housing Code to
include energy effic ency in order to commence a program of
enforcement known as the Seint Paul Rental Energy Efficiency
Enforcement �SPREEE) and �
.i
WHEREAS, on October 5, 1986, the Minnesota Publ,ic Utilities
Commission (MPUC) or ered the Northern States Power Company (NSp) to
�pend 520, 200 of its Conservation Improvement Program (CIP) funds to
pay far the audits n cessary for the operation of the SPREEE program;
and
WHEREAS, on October 1, 1986, DEED authorized the City of Saint Paul
to enforce-the State standards forr-energy efficiency in rental housing
in Saint Paul; and
4lHEREAS, it ie now n cessary for the City of Saint Paul to enter into
an agreement with NS for the disbursement of those funds and to enter
into an agreement wi. h the Saint Paul Neighbor Energy Consortium (NEC)
to provide the neces ary audits; '
hOW THEREFORE BE IT ESOLVED, that the appropriate city officials are
hereb}r authorized to execute such agreements on behalf of the City of
Sa�int Paul.
COUNCILSiEN �
Requested by Department of:
i cas Ftetcher Nays Community Services
Drew Ifl Favor
blasanz
Nicosia � /�
scneibe� _ Against BY —� , �o Ql.c> [�i'-� ^ �
Tadeseo
Ylilson
ldupted by Council: Date �� � � ��+ Form Approved by City Attorney
:ertified Ya s y n il Se ar� By �� � _�b
B� _ � �
,: : �
P�,
rove 1lavor: Date �''�'" `' " """ Appro y Mayor for Subm' sion to Gouncil
E3�• , ' By
_ � �i�r-' +.a..t� i ^ �l '� � ��� �
t �a� �!a! rJ
. � �'�_�7-ya 3
. Council ile No. 86-668 — Ordinance No. 17379 — By James Scheibel—
A.n rdinance amending Section 34.01(1) and Section 3�.02 oi the Saint Paul
Legislati e Code to permit inspections for energy efficienry as part of housing
mainten ce code eniorcement.
� The Co ot the City oi Saint Paul Does Ord'aia:
• SECTION 1 �
Secti n 34.01(1) of the Saint Paul Legislat�ve Code is amended to read as
tollows:
(1) E ablishes miniaium standards for basic equipment and facilities; for
light� v tilation, space heating and sa.nitary facilities; for satety from fire; for
space, and lxation; for saie and sa.aitary ma.intenance; ior cooking
equipme t; oi all dwellings and multiple dwelli.ngs now ia existence or hereafter
ia ezist ce; as ovell as energy efficiency in renta] dmellings and multiple
dwelli.n .
$ECTION 2
Secti n 34.02 of the Saint Paul Legislative Code is amended to read as
follows: "
� 34.02. Findings oi Council. There exist i.n the city of Saint Paul structures
used tor human habitation which are now, or may become in the future,
substand rd with respect to strvcture, equip�ment, maintenance, oz energy
efficienc . and further that such conditions, together with inadequate provision
tor light d air� insufficient protection agair�st iire hazards, lack oi proper
beating, 'tary conditi�s, and overcrowdu�g,constitute a menace to public
bealth, sa ety and welfare of its citizens. It is,furather found and declared that the
existence of such conditions, factors or charact!eristics adversely aifect public
bealth an safety and lead to the continuatioa,,,extension and aggravatioa of
urban bli t. It is furtber tound that adeQuate protection of public bealth, satety
and welfa therefore requires the establisb.ment and eaforcement of minimum
bousing s dards. , .
SECTION 3 �
Sectio 33.05(4) oi the Saint Paul Legislative Code is amended to read as
iollows:
(4)E ting buildiags.Within a reasonable time as tUCed by a written order oi
the divisi n oi housing and building c�de enforcemeat� every building except
sroups R- and M occupancies beretofor� erected shall have a certificat�e.r-oi
oocupaacy issued by the division a.nd posted oa the pre.mises. Before svch
�oertificate can be issued, such buildings shall be inspected by the division and
tound to oniorm to the requiremeats oi the buildi.a,g code at tbe time of
oonstrvcti n or at the time o!conversion to its present use a.nd to the provisions oi
the Safnt ul Legislative Code;except that energy efficiency sta.ndards in rental
dwellings d multiple dwellings �all be eaforced on complaint only. Nc
buildiag w ch is required to have a certiticate oi'oocupancy ahall coatinue to be
occupied thout such oertificate atter tbe time fued above has elapsed.
. �
� • ' . . " - �F.C'TZON 4 � .
� This � ce s�11 take eifect thirty �e�ps after �ts passa�e� aPPr�val and
publlcatio • or on Octotier 1. 1986; whichever is leter. � � �
Adopt by tbe Coundl July YA. 1�86. . . . ' _' . . - . . .. . •
�l'eas— uncilmm Drew.Niccsia,Rett,a1an�Scbeibel, Sonnea,Tedesoo—6. �
Naya —Qn ci3man Wilson— l. � . - •
_ . - . . ,
�:`- -Approv luly 11,3�86: .� • - � . - ' . . . ..
f ��' :'.- > .' . � . :�GEORGE i.ATII�ER, Mayor _ . . . ..�� . _ . � . ' -s , ..
,•.r.. ' � - ,"_�, �• •;. - .:1+':L.. .'Y���• i� ��V'V� :'T��.. . ,•- .rt -~� � �i . ,^" '
;;+� : . : . ,.:�, . � ; � . . . _ ., . . ;.:�r` . .-:_,: .= „�.-�^ _. _" , ..
:� �
� ������-� ��_
� � Uc7 /;<--
• BEFO E THE MIDTNESOTA PUBLIC UTILITIES CONMISSION -�--"�'"��'��""
� Harr Seymour Crump Chair -
i Barb ra Beerhalter . Commissioner
Cynt ia A. Kitlinski CQmmissioner
Robe t J. 0'Keefe Cpmmissioner
Darr 1 L. Peterson Commissioner
In the Hatter of the Issue Date: OCT 1 5 1986
Implementation of an
Energy Conservation Docket No. G-002/H-86-249
Improvement Program
for Northern States ORDER APPROVING NORTHERN STATES POWER CO�ANY•S
Power Company (NATURAL GAS UTILITY) CONSERVATION It�ROVEHENT
(Dtatural Gas Utility PROGRAH AND REQUIRING INFORHATIODTAL FILI�IGS
PROCEDURAL HISTORY
On Hay l, 1986� Nort ern States Power Company (NSP) filed its conservation
improvement program CIP) with the Hinnesota Public Utilities Commission
(Commission) for its natural gas utility pursuant �.o Hinnesota Rules� part
7840.0500. Notice o the filing was served on persons who participated in
NSP's last general r te case or Who participated in its CIP case or utility
renewable resource p'lot project (URRPP) case during tt►e preceding two years.
Comments on NSP•s CI were filed with the Commission on tiay 29. 1986. by the
Kinnesota Department of Public Service (DPS) ; on Hay 30, 1986, by the
Minnesota Department of Energy and Economic Development (DEED) , Ramsey Action
Program Inc. (RAP), nd the St. Paul Dieighborhood Energy Consortium (NEC) ; and
on June 2� 1986, by he City of St. Paul City Council Conservation Improvement
Yrogram Task Force ( t. Paul).
Proposals for altern tive CIP projects were submitted to the Commission on
tiay 28, 1986� by the EC; on Kay 30, 1986� by the 1�rin City Neighborhood
Housing Service (NHS); and on June 2� 1986. by St. Paul.
Responses to the co nts on alternative project proposals were filed oa
June 13. 1986� by th DEED and on June 16, 1986� by St. Paul and NSP.
Additional comments re submitted by St. Paul on July 14, 1986. and July 18,
1986.
The above comments� alternative proposals, and responses were submitted in
accordance with Kinne ota �les, part 7840.0900.
On July 2�, 1986. the ComQnission met to consider NSP•s p:oposed CIP.
alternative pro�ects roposals� and comments. At this meetit►g, interested
persons were given an opportunity to respond to Commission questions.
�TSP•s gas utility pro osed CIP oonsists of the following four projects: (1)
the Tool Lending Libr ry project, (2) the RAP project, ' (3) the DiEC project,
and (�) the Energy Se ource Center project. '
In its 1�Iay 1 filins, SP also proposed a project with the St. Paul Urban
League. This pro�ect proposal was later withdrawci by HSP. .
- 1 -
_ . . �% �y- ���
.,
In response to the C urt's remand, the Commission has begun rulemaking
proceedings to adopt interpretive rules for conservation improvement programs,
including the defini ion of "significant investment." See t+�UC Docket DIo.
/` G.E-999/R-85-847. H wever. the Commission does not understand the Court•s
� decision to prohibit it from considering applications by utilities for
approval of conserva ion programs under the criteria set fortt� by statute
while it is consider'ng interpretive cules. To read the Court remand
otherwise Would dela implementation of conservation programs that the
legislature t►as dire ted utilities to undertake. See Hinn. Stat. S 216B.241
(1984). In order to carry out the Legislature's directives concerning
conservation program by utilities, the Commission will proceed under its
procedural rules cur ently in effect. It will apply the facts to the
statutory law in eva uating programs proposed by utilities until its
interpretive rules a e adopted.
The Commission finds that the record in this proceeding is sufficiently
complete for the pu ose of selecting appropriate and reasonable CIP
projects. Therefore the Commission Will deny the requests for variances to
Hinnesota Rules� par 7840.0900. by NSP and St. Paul.
The Commission concl des that the following are appropriate projects to be
included in the DTSP atural gas utility•s 1986-87 CIP program:
1. the RAP proje t.
2, the NEC Energ Audit project,
3. tt�e ERC proje t,
4. the Twin City NHS project. and
5. the St. Paul ental Energy Conservation Standards Enforcement project.
The Commission finds that the RAP pro3ect. NEC project. and ERC projects are
previously approved rojects that deliver needed conservation services to
NSP•s residential cu tomers. These projects have several special features
that make them attra tive to the Commission. First, tt�ey employ an effective
combination of funds or other resources provided by the utility and various
public agencies or c �nunity groups. Second. they use an existing network for
the delivery of cons rvation services.
RAP combined its res urces with those of the utility and successfully
identified low-incom customers witt� the highest gas usage;'' this group has the
highest potential fo cost-effective energy conservation improvements but
lacks the means to ke the needed improvementa.
�1SP•s evaluation of he RAP project indicated that tt►e Company provided
approximately =400.0 0 to RAP for loans/grants in the 15 months from
, January 1. 1985, to pril 1. 1986. compared to ihe =925�000 tt►at was budgeted
for this pro�ect in he Commission•s January 11� 1985� CIP Order.
Hevertt�eless, the fi ing indicated that the full �15.000 in administrative
costs xas spent. Th administrative costs represented 7.5 percent of tt�e
total original proje t budget but exceeded 7.S percent of actual pro3ect
expenditures. There ore, for 1986-87. tt►e Commission aill approve
administrative fundi g of approximately 7.S peccer.t of the total proposea
project costs up to 37,500.
The Company will be equired to investigate and evaluate a less expensive '
� approach to home ene gy conservation -- the House Doctor approach as practiced
by tiinnegasco. If t e results of its investigation and evaluation demonstrate
that the House Docto approach would be a more cost effective alternative to
- 10 -
�� . C/-"- �7-�(�.3
,• .
total home weatheriz tion� NSP shall implement the House Doctor system as a
modification to the project with a budget in the range of ;50,000 to
C =100,000. If tt►e pr ject is modified, the total amount of the budget is not
to be increased. NS will be required to. explain and justify its decision in
its Kay 1. 1987, fil'ng.
NSP's proposal to co tinue funding the D1EC for energy! sudits and energy plans
�,rill be approved bec use these are activities that th� Commission t►as
previously approved nd because they appear to be effective at delivering
needed energy conser ation services. These activities make effective use of a
community organizati n tt►at provides special consideration to loK-income
customers. The Comm ssior► accepts the recommendation of DTSP that funding of
outreach payments of ;20 each and funding of energy conservation workshops and
seminars of �300 eac be discontinued. It does not a�pear that the 2.400
outreach payments ac ieved their purpose; only 225 persons attended workshops
and a majority of th 1�980 audits performed by NEC resulted fcom references
by NSP. The worksho s did not have sufficient attendance to warrant
continuation. There ore, the Commission will not approve the outreach project
or workshops. , � �
The Commission will pprove a new project proposed by�' St. Paul for Rental
Energy Conservation tandards Enforcement. This project appears promising for
several reasons. It will effectively combine resources of three
organizations; iti wi 1 be operated by the City of St. Paul with funding from
tt�e St. Paul Foundat on and �1SP. This project is targeted to renters, one of
the groups that is s ngled out for special consideration under Hinn. Stat. S
216B.241 (1984) . A1 0� St. Paul presented a feasible' project proposal with
the potential to ach eve significant energy savings w�th a modest investment
of DiSP funds.
The Commission will pprove tt►e D1HS project as a nea project. The Commission
accepts this project for the same reasons the DEED and St. Paul recommended
its approval as disc ssed above. NSP will be required to fund this project
and io work out any ecessary details with the DTHS. �iSP will be required to
submit to the Commis ion within 30 days a report on the negotiations or the
final contract agree to by DTSP and the NHS.
Each of the projects approveQ herein shall be approved to operate until
September 30. 1987, o ensure project continuity during the Commission•s 1987
CIP deliberation. '
The Commission will ot approve the Tool Lending Library pro�ect at this
time. There is no i dication that this project will be cost effective. The
, pro�ect costs appear to be unreasonably high compared to the benefits to �TSP;
the project costs an average of =30 per weatheri�cation tool loaned. •
The Commission finds that there may be a need for a ptoject to provide tools
for persons to insta 1 Weatherization and insulation �naterial but any sucD
project nuust be Qemo strated to be cost effective. The Commission is willinb
to consider a less e ensive Too2 Lending project based on a point schedule as
discussed by DiSP if t can be shown to be cost effective.
The NEC proposed tha the Commission require DiSP to p�y tt►e NEC over =1
million per year to lement and operate five conserVation projects. This
amount is greater th n the entire NSP proposed CIP program. For this reason,
tt►e Commission finds HEC•s request unreasonable. The Commission will not
approve the five pro ects proposed by the tiTEC for tt►e reasons discussed belm�r.
- 11 -
. ' _. �,r-_ � �- �� �
DEP TMENT OF ENERGY AND ECONOMIC DEVELOPMENT
�
In the Matter of uthorizing the City of
St. Paul to Condu t Inspections of Rental FINDINGS OF FACT
Property for Comp iance with Minn. CONCLUSIONS OF LAW
Stat. SS. 116J.27, subd. 3 AND ORDER
Pursua t to the authority vested in me pursuant to Minn.
Stat. SS. 116J.27, subd. 4, I hereby make the following:
FINDINGS
1. Th Commissioner of the Department of Energy and
Economic Developme t (hereinafter "Commissioner") , pursuant to Minn.
Stat. SS. 116J.27, subd. 4 is empowered to authorize a municipality,
with its consent, o conduct inspections of rental property within its
jurisdiction for c mpliance with Minn. Stat. SS. 116J.27, subd. 3 and
the regulations pr mulgated pursuant thereto.
2. An municipality which conducts an inspection program
shall have authori y under all subdivisions of Minn. Stat. SS. 116J. 30
to enforce the pro isions of section 116J.27, subdivision 3, provided
that 100 percent o the penalties for violation of section 116J.27,
subdivision 3 shal be paid to the municipality.
� C�� �k� ���
3. y adopting the Resolution attached hereto
� the City of St. aul consents to conduct inspections of rental
property for com liance with Minn. Stat. SS. ��116J.27, subd. 3, and the
regulations prom lgated pursuant thereto including, but not limited
to, Minnesota Ru es, Chapter 4170.
Base u on the fore oin findin s I make the follow'
P 5 g g . ing:
CONCLUSIONS '
l. T e Commissioner has statutory authority to authorize
the City of St. P ul to conduct inspections of rental property within
its jurisdiction or compliance with Minn. St�t.
SS. 116J.27, subd. 3 and the regulations promulgated pursuant thereto.
2. T e City of St. Paul has consented to conduct such
inspections.
ORDER
NOW, HEREFORE, IT IS ORDERED: '
l. T at the City of St. Paul is hereby authorized to
conduct inspectio s of rental property for compliance with Minn. Stat.
SS. 116J.27, subd 3 and the regulations'prom�lgated pursuant thereto,
including, but no limited to Minnesota Rules, Chapter 4170, within
its jurisdiction. _
� '.
2. hat the City of St. Paul, in conducting such an
\ inspection progr m shall have authority under all subdivisions of
Minn. Stat. SS. 16J. 30 to enforce the provis,ions of section 116J.27 ,
subd. 3 provided that 100 percent of the penallties for violation of
I
section 116J.27, subdivision 3 is paid to the, municipality.
DEPART2:Eh'T OF EPlERGI' AND ECONOMIC
DEVELOPMENT:
BY. �l.
.
Title: Commissioner
Date: �� �lr / ( �v
RULES
DJE-GH-3
x
� .
+•rr1TE - GITV CLERK .
�:N.K - FINANCE -
CANpRV - DEPARTMENT GITY OF SAINT� PAUL COIIlIC1I (//y
�LUE - MAYOR Flle NO. �7 y,Y./ �
�
Council Resolution `���-��='
� ;� � �
Presented y 'L,,,/ ��. �a'
Referred To � `�
Committee: Date � �'-����
Out of Committee By Date
WHEREAS, the Council of the City of Saint Paul on July 17, 1986
adopted a Resolution Council File No. 86-992, requesta.ng that the
Minnesota Department of Energy and Economic Development (DEED)
authori,�� the City o Saint Paul to enforce the State standards for �
energy efficiency in rental housing in Saint Paul; and
WHEREAS, the Council of the City of Saint Paul an July 29, 1986
adopted Ordinance Aio 17379 expanding the scope of the Housi.ng Cade to S'
include energy effic ency in order to commence a program of
enforcement known as the Saint Paul Rental Energy E�fica.ency
Enforcement (SPREEE) and
WHEREAS, on October 5, 1986, the Minnesota Public Utilities
Commission tMPUC) or ered the Northern States Power Company (HSP> to
spend 520, 200 0� its Conservation Improvement' Program tCIP) funds to
pay for the audits n cessary for the operation of the SPREEE program;
and
WHEREAS, on October 1, 1986, DEED authorized the City of Saint Paul
_ta enforce--the State standard� far energy efficiency in rental housing
in Saint Paul; and
WHEREAS, it is now n cessary for the City of Saint Paul to enter into
an agreement with NS for the disbursement of those funds and to enter
inta an agreement wi h the Saint Paul AIeighbor Energy Consortium tNEC)
to provide the neces ary audits;
NOW THEREF�RE BE TT ESOLVED, t1�at the appropriate city offi.cials are
hereby authorized to execute such aqreements an behalf of the City of
Satnt Paul.
I
COUNCILMEN - I
Requested by Department of:
�'eas F�etcher Nays Community Serviaes
°feW [n Favor
Maaanz
Nicoela
,...—
scnetbe� Against BY �� , /'�
Tedesco
Wilson
:>dopted by Council: Date
JA 2 2 ��i Form Approved by City Attorney
Certified Pa s y n il Se ar By a,.,,,_(� (_ _��
B�:
-a�prave fNavor: Date 4'� `�� �' ' �`� Appro y Mayor for Subm' sion to Gouncil "
$y ' gy
P�JL�J�;a� _�H I'v' .J � ��S