85-715 M�HI7E - CITV CLERK
PINK - FINANCE G I TY O F SA I NT PA U L Council
CANARV - DEPARTMENT File NO. �� `��
BLUE - MAVOR
. . ouncil Resolution
Presented By '
Referred To Committee: Date
Out of Committee By Date
WHEREAS, the City Council adopted on February 12 new fran-
chise ordinances permitting Northern States Power Company to
use streets and public property for supplying gas and electric
service, and those ordinances were subsequently approved,
published, and accepted by NSP; and
WHEREAS , NSP filed with the Minnesota Public Utilities
Commission on February 29 a request to increase its gas rates,
citing as reasons for its increase request competition with
No. 6 oil , competition with District Heating Development Company,
the City franchise fee, and the effects of energy conservation
in limiting gas sales; and
WHERERS, the City Council had no knowledge of the content
of NSP' s rate increase request when it adopted the franchise,
although the issues involved in the franchises are similar
to the issues raised in the request for increased rates; and
WHEREAS, NSP has refused to discuss the franchises further
with the City Council to compare information submitted during
the franchise negotiations with information submitted with
the rate increase filing and additional recent information;
and
WHEREAS , informa�ion which the City Council does have
is relevant to the NSP rate case and should become a part of
those proceedings ; now, therefore, be it
RESOLVED, that the City of Saint Paul will petition to
intervene in proceedings and hearings held with respect to
NSP ' s request to increase its gas rates, and will be a full
party to this rate case.
COUNCILMEN
Yeas ��ew ,� Nays Requested by Department of:
— Masa!?% �
In Favor
_ N�cos�a
c��� �
_ __ Against BY —
Sonnen �--
— Tedesco
— Wdson MAY 2 3 1985 Form Approved by City Attorney
Adopted by Council: Date —
Certified Y� •sed by Council Secretary y BY
g�, �- CJ'l�tc�.��
lappro y Mavor: D _ �MAY 3 0 1985 Approved by Mayor for Submission to Council
BY - BY
PUBLISNE� J��� 8��
-' � G� d`5 �/.c
4+`G�TTO� , CITY OF SAINT PAUL
o ya OFFICE OF THE CITY ATTORNEY
� ��������� '3 EDWARD P. STARR, CITY ATTORNEY
• ull 11 It +?
o� �Qe
�Q �..� 647 City Hall,Saint Paui,Minnesota 55102
612-298-5121
GEORGE LATIMER
MAYOR
May 24, 1985 _ ._
To : Council Members
Mayor Latimer
From: Phil. Byrne �'
Re: NSP Gas Rate Case
� Attached is a copy of the City' s Petition to Intervene in the 1985
Gas Ra.te case.
It will be extremely important to make a decision as quickly as
possible on the intervention, its scope, the primary interests
of the City in the case, and whether to retain outside counsel
and experts . The schedule , fixed by order of the administrative
law judge as the result of an earlier prehearing conference ,
provides that Intervenors ' testimony (ours) must be submitted
on or before Monday, July 1, 1985 .
Enc.
. � � � �- ��-_ ���
BEFORE THE MINNESOTA OFFICE OF
A.DMINISTRATIVE HEARINGS
400 Summit Bank Building
310 South Fourth Avenue
Minneapolis , Minnesota 55415
FOR THE MINNESOTA PUBLIC UTILITIES COMMISSION
780 American Center Building
150 East Kellogg Boulevard
St. Paul, Minnesota 55101
In the Matter of the Petition of MPUC Docket No . G=0Q2/GR-85-108 ; .
Northern States Power Company OAH Docket No . PUC-85-018-RD
for Authority to Change its
Schedule of Gas Rates for Retail PETITION OF THE CITY OF
Customers Within the State of S 0 I NE
Minnesota
The City of Saint Paul, pursuant to Minnesota Rules , parts
7830. 0600 and 7830.2200, hereby petitions for leave to intervene
in this proceeding as an interested party, being a municipality
in the area affected by the proposed new Schedule of Rates , and
in that it will be bound and adversely affected by the outcome of
this proceeding with respect to interests peculiar to itself as a
municipality. In support of its Petition, the City of Saint Paul
states as follows :
1. The City of Saint Paul is a home rule charter city,
within whose geographic territory and governmental. jurisdiction
Northern States Power Company operates pursuant to a franchise
granted by the City for the period from April l , 1985 to P�arch 31,
1996 (Ordinance No . 17210; Council File No. 85-36) . Said franchise
permits the Company to use streets and other public property for
the supply of gas for all purposes upon the condition of payment "
of a gross earnings franchise fee. Said franchise fee is based
. " � - ��� y��
-2-
on a lower percentage rate for large volume commercial and industrial
gas customers than for other customer classes . Such lower rate
permits more effective competition by the Company with other energy
suppliers not required to have a franchise within the City, and thus
preserves and maximizes the franchise fee as a revenue source for
the City. Said lower rate reflects a carefully negotiated balance
in franchise fee rates , taking into account state law benefits for
residential customers , city revenue expectations , and considerations
of fairness . Rate design changes either sought by the Company or
which may be approved in this proceeding for large volu�ne commercial
and industrial customers will have an adverse impact on the balance
of equities in the agreement negotiated in the current NSP franchise
within the City.
2. The City of Saint Paul has of recent years funded and
sponsored a number of major energy conservation initiatives , and
has adopted a significant policy position supportive of conservation
measures for all classes of customers , but particularly for residen-
tial customers . Rate design changes involving residential differen-
tial rates , standby charges and others will seriously and adversely
affect City policies and programs in promoting energy conservation.
3 . Service of all notices , orders , pleadings , communications ,
discovery documents and ma.terials , correspondence, and any other
documents with respect to this Petition and the proceeding herein
shall be, until further notice, made on the following:
. � � - � � ��- 7%
-3-
Edward P. Starr, Esq.
Ci:ty Attorney
647 City Hall
Saint Paul, Minnesota 55102
Attn: Philip B. Byrne
WHEREFORE, the City of Saint Paul respectfully requests that
it be permitted to intervene in this proceeding as a party with
full rights of participation as to all matters raised in the
Commission' s Order or subsequently determined appropriate for
consideration by the Co�ission or the Administrative Law Judge,
pursuant to the applicable rules and regulatio.ns of the Public
Utilities Commission and the Minnesota Office of Administrative
Hearings . It is specifically requested that such participation
include, but not ba limited to , the right to have adequate and
timely notice of all conferences respecting procedural matters , to
cross-examine all witnesses , to present evidence through witnesses
and exhibits , to participate in any oral arguments which may be held,
and to submit briefs to the Administrative Law Judge and Co�ission.
Dated this �¢� day of Ma.y, 1985 .
EDWAR.D P . STARR
City Attorney
.
�
By - ��
Phi ip B Byrne
Assistant City Attorney
647 City Hall and Court House
Saint Paul, Minnesota 55102
298-5121
Attorneys for Petitioner
City of Saint Paul
�Y�r 7i�
1 t�e re�son wny �the C; i -ty `nou ! c�± i n�tt�rvE�ne i n N5�'s g�s r��tE� casc�
c�n be summc�cl up i n two worcf�> : compet i �L i on ��nd conser v���t i on.
! IlE'.�E''. 3i'E� �r1C: 1"'Ed;�Ofl`.=i !��`Jf� (: 17�E",':i f"QY 1 't;S � O��t Clci� �i�9 � E?� � cal"1C� "tl"lf.'
�, i t.y ha� v i ta 1 t nt.�r���,t i n t�ot;r�� ;are���� .
N�:t="5 ,t�t�men�cs �bc�u�t ! c��s�r� ! ��r qe vo 1 ume g�s sa ! e�� c1�.iE:r �to
curnpr�t i 1�. i or� i nvo 1 vc�:; i#�i o i '! , OHUC, ;�nd t.h�:� C i ty fr�anch i �e� ff�e.
Wt•� �=��C r.ni s Gaunc� i ! t��:,vr; cc.:>n�, i r.;1�r�r�c:i �thF��,e ����rnE: i .°�sur�s.>. W� n��vc�
i r�f��r�rn�t i ori ��n e,�r_�i o'= �t:nf��;r:� i s�,uE�; , �:,nri our i nt�or-m<�t i ��n ��nc+.
c�_�r�c�:r�ns �nc�u 1 d bc: p�.,r•t c�r t:���«� rr�r�orr� i r� tr� i �, r�t� car_�E�.
.I I"1 1 a l,U U Il i_ 1 I �'1 U E�:. t'l c,t f l r�a:;C1 t.O C�l' i""r�ftl 1 (1 l�f'C7 U'F" 1,t�t:? (= 1 't y� i
i rivestrnentS I UI"1 C:'on:���rvt1-C 1 011 c�Il(:9 -CtIE' ext.er��t. �t.o W"11' C;II �tlC:���E:
conservat i c�n i nvestmen�s ri��vt �een jo i nt pro jer_ts wi �h NSP. 1 n
�ti� i � r�te e�s�, N��N cic�c.:ri ��. 1 o.:,�t ga� �a 1 es c�ue to c.on�,F.rvation ,
and ra i sed r��:es, espec i � �I 1 y to those rP� i aen�,i�� 1 c:on�umers who
r�dve been t��rcaet.ec� by consE�:rvat i an progr��r�s .
1 nterven i ng i n the� rat,e case y i ves us �n o�aportun i ty to ex�mi ne
�v�N's i nforrnat i on �nc� c I �� i m�, very c 1 ose 1 y. We hav� qu�st i ont�d
trie i nformat i on NSP ���v� u� on UHOC:, on #�i r�i 1 pr i ce�, and ��n��r
rnatters. Now I under,-t�nc� �tn�� t N5N n�s qone ta the Lec� i s 1 at:ure
�:o cut oft anyon�' s access L-o the �� �arge VO I UIT1E' customer
i nforma�t i on. l-h i s rat.F. ca�� rn�y b� tne �n I y good i nform�-t i on we
� nave to f i nU ou� wr-���t i � r��,:a 1 1 y go i ng an .
,'