275646 WHITE - CITY CLERK �����
PINK - FINANCE
CANARY - DEPARTMENT . G I TY O F SA I NT PA U L COl1I1C11
BLU6 - MAYOR
File N
Council Resolution
Presented By
Referred o Committee: Date
Out of Committee By Date
Wf�REAS, The Northern States Power Company has filed an appli-
cation for a steam rate increase with the City Council of the City
of Saint Paul on August 22, 1980, pursuant to the terms of its
Steam Franchise, approved May 19, 1978, and issued to said Company
by the City of Saint Paul; and
WHEREAS, The Company has applied to the City for the adoption
of an interim steam rate increase in the amount of 20.5/ over and
above the revenues which would be obtained under the rates cur-
rently approved by the Council; and
WHEREAS, The Energy, Utilities and Environment Committee of
the Council considered Company' s interim rate increase proposal on
September 5, 1980, and approved an interim rate increase of 15/;
now, therefore, be it
RESOLVED, By the Council of the City of Saint Paul, that the
proper City officers and agents are authorized and directed to
enter into a contract with Northern States Power Company, a copy of
which is attachecl hereto, permitting the Company to charge interim
steam rates for bills based on meter readings on and after October
15, 1980, in the amount of 15/ over and above steam rates currently
being collected under the franchise, said interim rates to be sub-
ject to the condition that a refund of excess amount collected
from Company' s steam customers shall be returned to said customers
with interest as indicated on the contract, in the amount of 8.25%
per annum should said interim rates exceed the rates finally
approved by the Council pursuant to this rate increase application.
COUNCILMEN
Yeas Nays � Requestgd by Department of:
Hunt
Levine [n Favor
MadhleM�w `�'
snoweiter - _ A gai n s t BY
Tedesco
Wilson
Adopted by Council: Date SEP 1 6 198Q Fotm App ved by Cit ttor
Certified V s e Counc� ecre BY � � �'���
l' �,,�\�`�
ed by Ylayor: a S� 1 7 198D Approved by Mayor Eor Submission to Council
B BY
gi,�,.ts�l�D S E P 2 � �
. � GI�rY` OF SAINT PAUL ���Ac
,�:�. '±
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(( OFFIC�+ OF THE CITY COIINCIL ��D
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All 98'i i
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�`�4,:.. __ Da t e ; September 10, 1980
, �.�. -
COMMITTEE REPORT
T0 : Soint Paul City Council
FROM � Committee Ot1 Energy, Utilities and Environment
Joanne Showalter , choi�-man, makes the foliowing
report on C. F. [� Ordinance
❑ Resolution
[� Other
T I T L E : Application of Northern States Power Company for
an increase in steam rates
At its meeting of September 5 the Committee recommended
a 15 percent interim rate be established with the under-
standing that if the increase ends up being less than
that, the consumers will receive a refund with interest,
and if it ends up being more, the consumers will have to
pay the additional amount at the appropriate time.
CITY HAI.L SEVENTH FLOOR SAINT PAUL, bSINNESOTA 55102
, m�.�
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A G R E E M E N T
THIS AGREEMENT, Made and entered into this �� �� day of
September, 1980, by and between the CITY OF SAINT PAUL, a municipal
corporation of the State of Minnesota, hereinafter referred to as
"City", and NORTHERN STATES POWER COMPANY, a Minnesota corporation,
hereinafter referred to as "Company";
WITNESSETH:
WHEREAS, The Company has filed an application with the City on
August 22, 1980, for the setting of fair and reasonable steam rates,
and an investigation, examination and review are necessary to de-
termine the fairness and reasonableness thereof; and
WHEREAS, Pending a final determination of steam rates by the
City, an ordinance has been introduced into the City Council allow- �
ing the Company to collect interim rates effective on bills based
on meter readings on and after October 15, 1980;
NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:
That the amending ordinance referred to aboue, C. F. �1��0�(0 ,
by its terms, having allowed Company to collect interim steam rates
as specified in amended Appendix "A" attached thereto will take
effect on all bills based upon meter readings on and after October
15, 1980, pending final adoption of said ordinance and a final
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determination of said steam rates; that the basis for said billing
will be an 5.67/ rate of return on Company' s investment, as defined
in the application, which approximates a 15/ increase in any rev-
enue over and above that afforded by the franchise rates currently
in existence; that the Company shall commence billings pursuant to
the rates contained and amended in Appendix "A" to the above ordi-
nance upon meter readings on and after October 15, 1980, and that
the Company will proceed with such billing on condition that it re-
�.:fi'
fund any excess amount of said rates with interest at 8.25/ per
annum collected after October 15, 1980, over the rates as finally
established by the City Council.
C OF SAINT P
1
Approved as to Form:
` ' ' �`, By. Ma
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, (_��� ��" � . 'G . :'',�`--->
� Assi,stan City Attorney BY=
`,� Director, Fin n e and Manage ent
Services
NORTHERN STATES POWER COMPANY
By:
Sr. Vice P s den - C raorate 5ervices
By:
Secret
2.
� � s� �� �
^ � � � BT�NDARD RATE 6HEET VOLUME 5th Revised SHEET rvo. 66•2
FO RM 1 7•6 1 09 �
NORTHERN STATES POWER COMPANY Ra7E r�o.
INl'ERIM II�TPERRUPTIBLE STEAM SERVICE (Continued) Steam
Additional Charge for Use of Steam During CurtaiLnent: If customer fails tr�
curtail his use of steam when requested t�o do so by Com�any, he shall g�y in
addition to the above rate an amount of $13.00,per thousand pounds of steam
used in excess of the wlume t�o which customer was requested tA curtail.
Such payment, however, shall not preclude Co�any from shutting off
customer's supply of steam in the event of customers' failure t�o curtail his
use thereof when requested to do so.
�nergency Steam Service for Interruptible Steam Customers: F]nergency steam
service for interruptible steam customers during periods of curtailment m�y
be available if Gorr�any's ability tr� furnish such emergency service will rr�t,
in Co�any's judgment, oo�romise Co�any's ability tp provide firm steam
service tA its firm steam customers.
Emergency steam service to curtailed interruptible steam customers will be
approved by Coripany provided•
1. E�nergency steam service is requested by customer and such request is
confirmed in writing no later than 48 hours after the initial request. If
the i.nitial request is in writing, the 48 hour provision is fulfilled.
2. The emergency is in the nature of a breakdown of standby equipment
which oould not reasonably have been foreseen by customer.
The rate for emergency steam service shall be $9.00 per 1 000 pounds of
steam used during the emergency period. The emergency period shall end
when customer's standy equipment is repaired and customer has notified
Co�any or the end of the curtailment during which the emergency steam ser-
vice was requested.
Prom�t Payment Provision: A charge of 5$ will be added to net bill, oo�uted
at the rates shown above, which shall oonstitue a discount from gross
bill for payment within the disoount period.
Surcharge: A surcharge of 8.7$ will be included in the gross and net mpnthly
bills ao�uted under this rate schedule.
Term of Agreement: Interruptible Steam Service agreement shall be for a term
of not less than one year. Upon expiration of the term, agreement remains in
effect until terminated by at least thirty days' notice by either p�rty.
ISSUED EFFECTIVE
AUTHORIZED BY DATE
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� BTANDARD RATE SHEET VOLUME 5th Revised S-HEET No. 66•1
FO RM I 7-6 1 Oq
(substitute)
NORTHERN STATES POWER COMPANY RATE No.
II�PERIM II�TrERRUPTIBLE STEAM SERVICE Steam
Effective In: City of St Paul
Availability: Available on an interruptible basis t,o v�mnercial and
industrial customers that are located on portions of the Cort�any's steam
distribution system having adequate capacity t,o serve customer's interrup-
tible load without i►r�airing service t�o other customers. Extensions or
enlargement of the Co�any's distribution facilities required bo serve an
interruptible load will be made in accordance with the Co�any's General
Rules and Regulations. The tr�tal capacity of aTl interruptible customers
shall be limited t�o the excess capacity of Co�any's s�eam production plant
after service requirements t�o its firm customers are met.
Customer will agree to (1) curtail his use of steam whenever requested tA
do so by the Cor�any; and (2) provide necessary energy requirements
during curtailment from another source.
This rate will be in effect oonmencing with the meter reading of October
and ending with meter reading of May of the following year. During the
meter reading months of June through September, steam service will be
available under the steam service rate in effect at that time.
Character of Service: The delivery of steam hereunder shall be curtailed
upon request of Company. Such requests shall be made as far in advance as
possible.
Rate:
Per 1 000 lbs $5.59
Monthly Minimum Charge: The minimum bill for service rendered hereunder
shall be $20.00 per meter, the amount prorated for curtailment periods.
Fuel Clause: There shall be added t,o or deducted from the net mpnthly bill,
2.2� per thousand pounds of steam for the first whole one-half oent
increase above or decrease below $1.361 per million Btu and for each whole
cent change thereafter in the average v�st of fuel used during the
preceding twelve months by the steam production plant of l�brthern States
Power Co�any supplying steam t�o its St Paul distribution system and shall
include the wsts in FERC Account 501 - Fuel for Such Steam Production
Plant. �
(Continued on following sheet)
ISSUED EFFECTIVE
AUTHORIZED BY DATE
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A G R E E M E N T
THIS AGREEMENT, Made and entered into this day of
September, 1980, by and between the CITY OF SAINT PAUL, a municipal
corporation of the State of Minnesota, hereinafter referred to as
"City" , and NORTHERN STATES POWER COMPANY, a Minnesota corporation,
hereinafter referred to as "Company" ;
WITNESSETH:
WHEREAS, The Company has filed an application with the City on
August 22, 1980, for the setting of fair and reasonable steam rates,
and an investigation, examination and review are necessary to de-
termine the fairness and reasonableness thereof; and
WHEREAS, Pending a final determination of steam rates by the
City, an ordinance has been introduced into the City Council allow-
ing the Company to collect interim rates effective on bills based
on meter readings on and after October 15, 1980;
NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:
That the amer_ding ordinance referred to above, C. F. ,
by its terms, having allowed Company to collect interim steam rates
as specified in amer.ded Appendix "A" attached thereto wi11 take
effect on all bi11s based upon meter readings on and after October
15 , 1980, pending final adoption of said ordinance and a final
/`�
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determination of said steam rates ; that the basis for said billing
wi11 be an 5.67% rate of return on Company' s investment, as defined
in the application, which approximates a 15/ increase in any rev-
enue over and above that afforded by the franchise rates currently
in existence; that the Company shall commence billings pursuant to
the rates contained and amended in Appendix "A" to the above ordi-
nance upon meter readings on and after October 15, 1980, and that
the Company will proceed with such billing on condition that it re-
fund any excess amount of said rates with interest at 8.25% per
annum collected after October 15, 1980, over the rates as finally
established by the City Council.
CITY OF SAINT PAUL
Approved as to Form:
� ` /��/r` �l�,jC� ) -- By.
; / �,'!-j'f �L� / V�G` � ��t,• �, .��,�� Mayor
� � ,
Assi �an City Attorney By=
� Director, Finance and Management
Services
NORTHERN STATES POWER COMPANY
By:
Vice President-Division Operations
By:
Assistant Secretary
2 .
------ ._ ,' 67�NGa�U R�'E S.+E_� �� ..7 �/ �`!�
VOL�!M� 13tt1 F�?V1SE'G� SHEET NO 6�
FC.u. 17 �' . �
- • �SUf)���1tl1tC�
NORTHERN STATES PJWER CGMr ANY RATE No.
IIVI'ERIM STEAM SERVICE Steam
Effective In: City of St Paul
Availability: Available t�o oorrmercial and industrial customers for general
use oF Steam Service. Steam Service furnished from low pressure mains is
available from September 1 to May 31, inclusive; and Steam Service
furnished from high pressure mains is available the entire year.
Rate:
First 200 000 lbs of �ndensate per month @ $10.00 per 1 000 lbs
Next 300 000 lbs of oondensate per month @ $ 9.14 per 1 000 lbs
Next 500 000 lbs of �ndensate per rronth @ $ 8.15 per 1 000 lbs
Next 2 000 000 lbs of o�ndensate per month @ $ 7.48 per 1 000 lbs
Excess lbs of oondensate per m�nth @ $ 6.75 per 1 000 lbs
Monthly Minim�n Charge: $20.00 per meter
Fuel Clause: There shall be added tc� or deducted from the net mpnthly bill,
2.2� per thousand pounds of steam for the first whole one-half oent
increase above or decrease below $1.361 per million Btu and for each whole
cent change thereafter in the average o�st of fuel used during the
preceding twelve m�nths by the steam production plant of Ivorthern States
Power Company supplying steam to its St Paul distribution system and shall
include the o�sts in FERC Account 501 - Fuel for Such Steam Production
Plant.
Pro�t Payment Pravision: A charge of 5$ will be added to net bill, oor�uted
at the rate shown above, which charge shall oonstitue a disc�ount from gross
bill for payment within the dis�ount period.
Surcharge: A surcharge of 8.7� will be included in the gross and net mc�nthly
bills �r�uted under this rate schedule.
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� U� EFFcCT�VE
AUTHOP'Z�D Q'r DA _�
• 6-��.�,�-,�::.i Ra,-e 5,.:.,r � ���� ��
VOL!:'�•� St}1 1�V1Sf?� SHEET NC E,i. 1
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NOR7NERN STATES POWEft COMPANY RATE rvo.
I[Vl'ERIM II�(1'ERRUP'PIBLE S1EAh] SERVICE Steam
Effective In: City of St Paul
Availability: Available on an interruptible basis tr� o�rrmercial and
industrial customers that are located on portions of the Corr�any's steam
distribution system having adequate capacity t�o serve customer's interrup-
tible load without irnpairing service t,o other customers. Extensions or
enlargement of the Corr}�any's distribution facilities required tp serve an
interruptible load will be made in accordance with the Cor�any's General
Rules and Regulations. The tr�tal capacity of aTl interr�ptible customers
shall be limited tr� the excess capacity of Co�any's steam production plant
after service requirements tr� its firm customers are met.
Customer will agree to (1) curtail his use of steam whenever requested tr�
do so by the Corr�any; and (2) provide necessary energy requirements
during curtailment from another source.
This rate will be in effect o�mmencing with the meter reading of October
and ending with meter reading of l�Say of the following year. During the
meter reading rronths of June through September, steam service will be
available under the steam service rate in effect at that time.
Character of Service: The delivery of steam hereunder shall be curtailed
upon request of C�r�any. Such requests shall be made as far in advance as
possible.
�
Rate:
Per 1 000 lbs $5.59 '
Monthly Minimum Charge: The minimum bill for service rendered hereunder
shall be $20.00 per meter, the amount prorated for curtailment periods.
Fuel Clause: There shall be added tA or deducted from the net m�nthly bill,
2.2� per thousand pounds of steam for the first whole one-half oent
increase above or decrease below $1.361 per million Btu and for each whole
cent change thereafter in the average mst of fuel used during the
preceding twelve months by the steam production plant of Northern States
Power Co"mpany supplying steam tr� its St Paul distribution system and shall
include the oosts in FERC Account 501 - Fuel for Such Steam Production
Plant.
i
(Gontinued a� following sheet} j
J
ISSlJE3 EF�ECT!VE
/1UT-C;-<:_�D 6Y U:-.T. E
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vO_.U!�': �j�i: PF_'ViSf'c� Sr;EFT NC;. 66. 1
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NORTHERN STATES POWER COMPANY RATE rvo
I[Vl'ERLtit I�IIERE?C;�'I'iE3[�E S��tt S�,R�IICE (Continued) Steam
Additional Charge for Use oF Steam LUring Curtailment: If customer fails tr�
curtail his use oE steam when requested tr� d� so by Company, he shall pay in
addition to the above rate an amount of $13.00 per thousand pounds of steam
used in excess oF the wlume tr� which custorr�er was requested t,o curtail.
Such payment, however, shall not preclude Company from shutting off
customer's supply of steam in the event of customers' failure tr� curtail his
use thereof when requested t,o do so.
E�nergency Steam Service for Interruptible Steam Customers: �nergency steam
service for interruptible steam customers during periods of curtailment r�y
be available if Corr�any's ability tp furnish such emergency service will not,
in Corr�any's judyr�ent, compromise Cori�any's ability tc� provide firm steam
service tr� its firm steam customers.
Emergency stearn service to curtailed interruptible steam customers will be
approved by Company provided:
1. �nergency steam service is requested by customer and such request is
confirrned in writing no later than 48 hours after the initial request. If
the initial request is in writing, the 48 hour provision is fulfilled.
2. The emergency is in the nature of a breakdown of standby equipment
which oould not reasonably have been foreseen by customer.
The rate for emergency steam service shall be $9.00 per 1 000 pounds of
steam used during the emergency period. The emergency period shall end
when customer's standy equipment is repaired and customer has notified
Corr�any or the end of the curtailment during which ttle emergency steam ser-
vice was requested.
Prornpt Payment Provision: A charge of S$ will be added tr� net bill, cor�uted
at the rates shown above, which shall wnstitue a discount from gross
bill for payment within the disoount period.
Surcharge: A surcharge of 8.7$ will be included in the gross and net rronthly
bills o�mputed under this rate schedule.
Term of Pr�reement: Interruptible Steam Service agreement shall be for a tenn
of not less than one year. Upon expiration of the term, agreement rerrHins in
effect until terminated by at least thirty days' notice by either �rty.
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ISSUED EFFECTIVE
AIJTH=R 7EC P_Y pn ;E