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262342 . WHI7E� - CITY CLERK jjj111A � PINK .+��FINANCE ��� ,�t61ERY-�AYORTMENT L./ GITY OF SAINT PALTL F le ci1N0. �,,,•�1,� _ � i Ordin�nce ordinance N 0. rJ�`f 7� �. . Presented By _ Referred To ` Committee: Date Out of Committee By Date An administrative ordinance gr.anting to Northern States Power Company, a corporation organized under the laws of the State of Minnesota, its successors and assigns, a franchise to use the streets and other public proper- ty located in the City of Saint Paul for the purpose of conducting and supplying gas for all purposes for a term extending from January l, 1974 to December 31, 1974, prescribing rates which the Company may charge for such service, and determining the amount which the Company shall pay to the City for the use and occupancy of its streets and other public property,� THE COUNCIL OF THE CITY OF SAINT PAUL DOES OR.DAIN: Section 1. Northern States Power Company, a corporation organized under the laws of the State of Minnesota, hereinafter designated as "Company", being a public service corporation supplying gas for� all , purpose� within the City of Saint Paul under Ordinance No. 15317, which shall expire on December 31, 1973, is, together with its successors and assigns, hereby g�ranted a franchise to use the streets and other public property located in such City for such purpose for a term extending� from January l, 1974 to December 31, 1974. Section 2. The franchise g�ranted herein shall extend to the' Company' s use of all streets and public property now being used by the Company in connection with such s�rvice and of such other streets and public property as may from time to time be designated by the City Council. �Such fran- chise to use the streets and other public property located in such City � shall include such use for the purpose of erecting�, installing, maintaining, Ye����,COUIVCILMEN Requested by Department of: �� 'N�ays Hunt . Konopatzki In Favor Levine Meredith Against BY � Roedler Tedesco Mme.President Butler Form Approy�d by•City Atxorne�_ •�• Adopted by Council: Date � ; r, I' � C e r t i f i e d P a s s e d b y C o u n c i l S e c r e t a r y - " B y '� ,� �f By � Approved by Mayor: Date Approved by Mayor for Submission to Council By. By ., .. Page 2. bvd lvo ��f-1�- � � ��� � . �:"<,�+� ' i T� t� and operating gas mains, and all other necessary appurtenances used in conducting, distributing, and supplying gas for public and private use and for the purpose of conducting said gas to and through said City. Section 3. In locating its gas facilities, the Company shall in no way unreasonably interfere with the safety and convenience of or- dinary travel along and over said streets and public property nor in- terfere with other uses to which such places may be put by t.he City of Saint Paul, and in the event it shall become necessary during the te�n of this franchise to remove or relocate the physical property of the Company located within or upon any of the streets or public pro- perty in the City of Saint Paul, because of such interference or use by the City, or as a result of any public improvement undertaken by the City, the Company shall, when so advised by the Council, remove and relocate said facilities without cost to the City of Saint Paul, and shall place the streets or public property in the same condition as they were prior to said removal or relocation. Any relocation or removal of the Company' s facilities made necessary because of the extension through or into the City of a Federally-aided state trunk highway, included within the National System of Interstate Highways, shall be governed by the provisions of Minnesota Statutes 1971, Sec- tion 161.46. Section 4. �he Company, in the installation, maintenance, and operation of its facilities, shall be subject to such reasonable regu- lations as may be provided by the Council, and no gas mains and gas service appliances shall hereafter be installed or laid by the Company, except upon application to the Department of Public Works or other persons designated by the City Council, and written pernnission there- for granted by said department or person, subject to approval, however, by the Council by resolution. Section 5. During the term of the franchise hereby granted, the Company shall pay into the treasury of the City of Saint Paul a yearly franchise fee of 8%, the monetary amount of which is to be measured by the Company' s gross earnings during 1974 and the payment of such amount to be made in quarterly installments on or before the 30th day of April, July and October of said year, and on or before the 30th day of December of said year, so that the April 30 payment of the franchise fee shall be 8/ of the amount of the gross earnings of the Company during the three-month period of January, February and March of 1974, the July 30 payment of the franchise fee shall be 8/ of the amount of the gross earnings of the Company during the three-month period of April, May and June of 1974; the October 30 payment of tl�e � • Page 3. 6� NO (5��'1 y- . - . �?���, �� <9� �ran�hise fee shall be 8% of the amount of the gross earnings of the ,, �Company during the three-month period of July, August and September of 1974; and the December 30 payment of the franchise fee sh all, if necessary, be based on a reasonable estimate of the gross earnings of the Company during the period from October 1 through December 31, 1974, and shall be appropriately adjusted by an additional payment by the Company or a refund by the City of Saint Paul when actual gross earnings for such period have been determined by the Company. The amount of the franchise fee shall be allowed as an operating expense to the Company, and in calculating such amount, "gross earn- ings" shall be held to mean and include all sums received by the Company from the sale of gas distributed and used within the city limits of the City of Saint Paul. Section 6. The Council continues the schedule of rates now in effect, and contained in Appendix A attached hereto and made a part hereof. Such rates shall remain in effect and continue in force un- til changed as provided herein. Section 7. At any time the Council may review the operations of the Company, and not more often than once in 1974, it may, upon its initiative, or shall, upon the petition of the Company, prescribe rates to be charged by the Company under this franchise. If there is a dispute between the Council and the Company over the adoption of prospective rates, an examination of those rates shall be conducted in a public hearing before a qualified hearing examiner upon ten (10) days ' published notice in the official newspaper. The hearing examiner shall be selected by mutual agreement of the Company and the Council within twenty (20) days after the filing of said petition. If any selection is not made within said twenty (20) day period, then the hearing examiner shall be selected by the Council from a list of three nominees recommended by the Chief Judge of the District Court of Ramsey County. Z'he hearing examiner shall at the conclusion of the hearing make recommendations to the City Council which in turn shall review the record and prepare an ordinance setting reasonable rates to be charged by the Company with ten (10) days ' published notice of a public hearing on said final adoption of said ordinance to be given in the official newspaper. Should the City Council and the Company agree to setting rates without requiring the hearing be- fore the hearing examiner and the rates to be charged are increased under such agreement, such setting shall be by ordinance, with ten- (10) days ' published notice of a public hearing on its final adoption to be given in the official newspaper. In setting the rates to be . . Pag e 4. �y� � I,SGf�C� , � . . . ��� . �� . ,, charged, the Council shall thereby include in such determination revenue sufficient to provide a fair and reasonable return to the Company and to cover its reasonable costs and operation expenses allocable to the City. The prescription of the rates shali be made within 150 days after the filing of the petition, and should it appear within 100 days after such filing that the Council will be unable to prescribe rates within said 150-day period, the Company may request the Council to authorize the schedules of rates proposed by Company in its petition to become effective as interim rates on all bills computed from regular meter readings after said 150-day period, subject to the obligation by Company to refund to its customers any increases in rates collected under such interi.m rates which are in excess of the lawful and reasonable rates as finally de- termined. There shall be included in Company' s rate schedules purchased gas adjustment clauses which automatically provide for billing adjustments to offset increases or decreases in the purchase cost of gas to Com- pany due to revisions in the town border rates under which natural gas is purchased. Section 8. 'I'he Company may withdraw any rate schedule which has been superseded, may revise any existing rate schedule, or establish other rate schedules, providing the rates thereunder shall be reason- able and no existing customer shall be required to pay higher rates for the same extent of service received prior to the revision or es- tablishment. Within ten (10) days after the filing of such withdrawal, revision, or new schedule by the Company, the City Clerk shall give published notice of such filing. The withdrawal, revision, or new schedule shall take effect sixty (60) days after written notice thereof has been filed by the Company with the City Clerk and with the Public Utility Rate Expert unless the Council or any customer shall initiate by resolution or petition during the interim period a review of the filing, whereupon a public hearing shall be conducted upon ten (10) days ' notice �ublished beforehand in the official newspaper. After the hearing, the Council shall by resolution adopt, modify, or reject the withdrawal of superseded rates, revision of existing rates, or establishment of new rates. Section 9. The Company shall file with the City Clerk and with the Public Utility Rate Expert or other person designated by the Council copies of all rate schedules, charges, forms of contracts or agreements for the sale of g�as, and rules and regulations pertaining thereto, which shall be kept open by City officials for public in- spection. Within ten (10) days after the filing of such rules and . •'" , Page 5. Ord2 �a IS���"' V � � ���� • ~ � . '��Ff�� regulations or amendments thereto, the City Clerk shall give published notice of such filing. Such rules and regulations and amendments thereto which may be filed from ti.me to time by the Company shall be reasonable, and the Council may, upon its own initiative, or upon petition by any customer, filed with the City Clerk within fifteen (15) days of publication of the notice, review such rules and regu- lations and amendments thereto and after a public hearing, enact a resolution revising such rules and regulations and amendments thereto which it shall deem unreasonable. Section 10. For the purpose of assisting the Council in the regulation of the activities and rates of the Company as provided in this franchise, a Public Utility Rate Expert with an adequate staff as full-time employees shall serve to perform the duties that such regulation necessitates. If the Council determines that the Public Utility Rate Expert should be from the City Attorney' s staff, then the City Attorney shall assign the Rate Expert to it with the concurrence of the Council. Section 11. The Company shall pay the City during the term hereof an annual amount of $95, 000, payable on May l of 1974, of which sum $25, 000 sha11 be used to pay part of the annual salary of the Public Utility Rate Expert, his assistant or assistants, clerical help, travel, outside accountants, engineers, and office expenses. The remainder shall be held in trust and shall be avail- able for payment of hearing examiner, outside accountants, attorneys, advisors, and consultants ' fees and costs, transcripts, and other costs reasonably related to a rate hearing or rate filing initiated upon petition of the Company during 1974. At the end of 1974 after all expenses incurred have been paid but no later than May 1 of 1975, the City shall refund to the Company any amounts not expended as above provided. The amount of such payment or payments shall be allowed as an operating expense of the Company in the City of Saint Paul. Section 12. The Company shall file during each month with the Public Utility Rate Expert, and such other person designated by �he _._ City Council, a report of the number of customers, sales and revenues by classes of servicesfor the preceding month based upon its utility operations within the City of Saint Paul. The Company shall also file with the Public Utility Rate Expert, or other person designated by the City Council within three months after January l, 1974, a complete detailed statement, on forms to be approved by said Rate Expert or other person, covering the utility , •� , , Page 6. � No 15�{'�1� ,. ' • ,�'���►�� . �., operations within the City of Saint Paul for the preceding year in- cluding all revenues, expenses, and plant investment, together with such breakdown and analysis of operating statements as the said rate expert may request. �I'he Public Utility Rate Expert, or other person designated by the City Council, shall have the right to re- quire additional infornnation concerning operations under this ordinance from time to time in such form as may be prescribed by said rate expert or other person. Any person or persons designated for that purpose by the Council shall have the right, at all reasonable times and upon reasonable notice, to examine the books of account, records, vouchers, disbursements, rates, revenues, contracts, purchases, sales and other transactions bearing on and relevant to the rates Company charges and the service it provides to its customers in the City of Saint Paul. � Section 13. Before this ordinance shall be finally adopted by the Council, a public hearing shall be held upon ten (10) days ' published notice in the official newspaper, and after said hearing the Council may pass this ordinance, revise or amend the same. The Company shall bear the costs of publication of the franchise ordinance and shall make a sufficient deposit with the City Clerk to guarantee publication before the ordinance is passed. Section 14. 'I'he Company shall indemnify and save the City whole and harmless from any and all c laims for injury or damage to persons or property occasioned by or arising out of the construction, maintenance, operation, or repair of said transmission and distribu- tion system or by the conduct of the Company' s business in the City. Section 15. The Company shall, within thirty (30) days after the passage, approval, and publication of this ordinance, file with the City Clerk of said City its written acceptance thereof in form to be approved by the City Attorney and therein shall agree to abide by, keep and perform all the terms, limitations, conditions and provisions of this ordinance. Section 16. �his franchise herein granted shall not be exclusive nor irrevocable but may be terminated and forfeited after notice and hearing for any breach or failure by Company to comply with any of the terms, limitations, or conditions hereof. WHITE - CITY CLERK � � P�NK �.- FINANCE CANqRY - DEPARTMENT GITY OF SAINT PAIIL COU11C11 � ���� BI,.UE -MAYOR File NO. � � . Ordin�nce Ordinance N0. �5�7'7 ,. . Presented By Referred To Committee: Date Out of Committee By Date Page 7. Section 17. This ordinance shall take effect and be in force after the public hearing prescribed in Section 13 and thirty (30) days after its passage, approval, and publication, and upon its acceptance, as provided in Section 15 hereof. COUNCILMEN Requested by Department of: Yeas $i'tl�r Nays K�on�opatzki �� In Favor Levine � b Against BY � Tedesco Mme.President HR� Hi7Tl'� �+ Adopted by Council: Date oyT � � 19� Form Approved by City Attorney `, Certif' sed by C i retary BY ;�S '. Approv by yo • Date ^ Approved by Mayor for Submission to Council By BY �t1Bt�s�i� NOV 1�1fi 197� �.. . , .; . : . - ��� . . �,��� , � Northern States Pawer Company (Minn) Gas Utility - City of St. Paul RATE SCAEDULE FOR GENERAI, SERVICE Availability Available to any residential, commercial, or industrial customer for general use of natural gas service. Rate First 2 000 cu. ft. per month @ $2.07 per Mcf Next 3 004 " " " " @ 1.07 " " PIext 5 000 " �� n n @ 1.00 " n . Next 390 000 " " " " @ .96 " " ' Next 400 000 " " " „ @ .94 " ►' Next 1 200 000 " " " " @ .91 " " EXC@SS �r n n �� @ .89 n n Purchased Gas Adjustment In the event there is a change in the town border rate under which Company purchases gas sold under the above schedule, there shall be added to or deducted from the monthlp bi11 computed accordin.g to the " above schedule the product of the monthly consumption and the amount per Mcf to the nearest 0.1� by w'hich the average annual town border purchase cost per" Mcf to Com�any, based on the number of days use of the contract demand neces- sary to serve the total General Service requirements, is more or less than the average annual town border purchase cost per Mcf computed on the same basis and on town border rates consisting of a demand charge of $3,410 per Mcf per month and a commodity charge of 30.08C per Mcf. In the event the totaZ variation is a positive amount, such amount will be multiplied by 1.087. The average annual town border purchase cost per Mcf shall be computed with the use of the billing demand units and annual voluines of natural gas pnrchased from Northern Natural Gas Company for resale to General Service gas customers served by Company in its Minnesota service area, adjusted to reflect normal temgeratures, for the calendar year preceding the change 3n the towt� border rate. In the event a refund is received by the Company from Northern' Natural Gas Campany attributable to the cost of gas which has been sold by the Companp under the foregoing purchased gas adjustment clause, such attributa�aie refund, multiplied by the factor 1.087, together with interest thereon, received b� the Company will be applied as a reduction in the purchased gas adjustment until the amount of sneh attributable refund and interest has been expended. Such unit reduction will be extended over a period not to exceed twelve months. Monthly Minimum Ghar�e $2.15 Heating Value Natural gas with a nominal heating value Qf 1000 Btu per cubic foot. . ,�- , '. l�� . . - . � � . . . � . 4 . . . • A� . .t4 ' , . . . ...���(� . Sy . 1 . � . . . . . ' �,'�� . � Northem States Power Company (Minn) Gas Utility - City of St Pau1 RATE SCHEDULE FOR INTERRUPTiBLE SERVICE Availabilitv Available on aa inte�rruptible basis to a co�ercial or industria� customer whose maximum hourly requirements are in excess of 1000 cubic feet and � who wi11 agree (1) to curtail his use of gas whenever requested by Company, (2) to provide a=ed maintain suitable and adequate standby facilities, and (3) to have available at all times sufficient standby fuel to maintain continuous plant operation during periods of curtailment in the delivery of gas sold hereunder. . If customer agrees to confine the use of natural gas under this rate to the months of April through October in any calendar year, requirements (2j and (3) above shall not apply. Character of Service Delivery of gas hereunder shall be subject to curtailment . whenever requested by Company, such requests to be made as far in advance as . possible. Rate Priority Rate Monthly Maximum Day Mcf Manthly Requirements Classi- Per Minimum Requiremen�s for at least six months _ _ _... fication Mcf Charge (See Note 1} each year (See Note I) "� AA $.74 $ 51.50 More than 1000 cu. ft. per hour but less than 50 Mcf per day A .58 - 155.00 50 Mcf or more but ` less than 200 Mcf BB _ .56 ; � 310.00 200 Mcf or more _ B .54 _ 620.00 . �� '� �t �� 5 000 to 9 999.9 C .51 ` ` 1 445.00 �� n ��' " , 10 000 to 19 999.9 , ' . D ' :48 � 2 685.00 " " " " 2� 000 to 49 999.9 E ":�4 6 09D.00 ' " " " '► 50 U00 to 199 999.9 F .41 10 325.00 More than 12 0�0 Mcf 200 000 and more Purchased Gas Adiustment In the event there is 'a change in the town border ra�e - under which Company purchases gas sold under" t�}e above scYte.dule, there sha11 be added Co or deducted from the monthly bill cbmputed according to the above schedule the product of the monthly consumption iri Mr� and the amount per Mcf to the nearest 0.01� by which the town� border co�odity charge varies from 30.08� per Mcf. In the event the tota2 variation is a positive amount, such amaunt will be multiplied by 1.087. ` Any revision in the purchased gas adjustment due to a change in the town border . rate shall become effeGtive on bills based on regular meter readings on and after 3U days from the effective date of the change in the tawn bnrder rate. (Conttnued nn fnllnc,ino Qi�,onr1 e . . . . . . . . . . . . - . � � . . ..' . � . � . ' . . . ' . . � .. . ��� � . Northern States Power Company (Minn) ����� Gas Utility - City of St. Paul '" RATE SCHEDULE FOR INTERRUPTIBLE SERVICE (Contd) In the event a refund is received by the Company from Northern Natural Gas Com- �_.___. _ _ �any attributable to the cost of gas which has been sold by the Company under the ' foregoing pu chased gas adjustment clause, such attributable refund, multiplied by the factor 1.087, together with interest thereon, received by the Company will be applied as a reduction in the purchased gas adjustment until the amnunt - of such attributable refund and interest has been expended. Such unit reduction will be extended over a period not to exceed twelve months. Monthly Minimum Charge If in any month customer does not use the minimum amount provided for herein bacause of Company`s failure to deliver gas wholly or in part, the monthly minimum charge shall be reduced proportionately to the amount of curtailment during such month. Where custamer agrees to discontinue the use of service during the period from November 1 to March 31, inclusive, each year, the monthly minimum charges hereunder will be waived during said period. Prompt Payment Provision A charge of S% on the first $25.00 monthly plus l% on the remainder will be added to net monthly bill, computed at the rate schedule , shown above, which charge shall constitute a discount fror.i gross bill for pay- ment within the discount period. Unit of Measurement The unit of ineasurement shall be a cubic foot of gas at an absolute pressure of 30 inches of inercury, and a temperature of 60 degrees Fai�renheit. Heating Value From 975 Btu to 1025 Btu (inclusive) per cubic foot. If in any month, the arithmetic average of hourly total heating values of the gas is less than 975 Btu per cubic foot, the volume of gas,measured hereunder during such period shall be decreased for billing purposes in pro�ortion to the decrease below 975 Btu per cubic foot. Priority Classification C1ass AA sha11 have first priority. Curtailmenfi shall begin with Classification F and progress to Classifieation AA. � Term of Agreement Service agreement shall be for a term of not less than one year. Upon expiration of term, Agreement continues in force until te�rminaCed ' by at least thirty days' written notice by either party. Note 1: Applies to estimated requirements until actual requirements have been ascertained. Note 2: The above rate schedules for interruptible service are also subject to Company`s contraet with Northern Natural Gas Company from whom the gas contemplated to be sold hereunder will be purchased. . , „ ` ' .. j �� , ,���� � . �,� Northern States Pawer Company (Minn) Gas Utility - City of St. Paul RATE SCHEDULE FOR GAS YABD LIGHTING SERYICE Availability Available to any residential, commercial or industrial customer for unmetered gas yard lighting when such customer is using gas serviee at the sa�e location for other purposes. Metered gas yard lighting service will be billed on the applicable rate schedule. Rate $1.70 per lamp per month Special Terms and Conditions 1. Customer shall pay for the entire cost of installation including the piping from the service to the yard light. Company shall own and maintain the piping from the service to the yard light. Customer shall own and maintain the yard light. 2. The gas lamp may be either a single or double ma.ntle installation. 3. The �orifice will be sized to a ��71 drill size. 4. Pressure will be set at 4 inches water colum. S. Yard lights with larger orifices or pressures higher than 4 inches water colu� will not be permitted on this rate schedule. . . , .. . . d� . � � ^ J . . � " . . �. � . . . ��� . . . �' , . � � � � . � ��� Northern States Power Company (Minn) '� Gas Utility - City of St. Paul _ . RATE SCI�DULE FOR LARGE GENERAL SERVYCE ,,. Availability Available to co�nercial and industrial customers with requirements of 50 Mcf or more per day. Rate Demand Charge $4.26 per Mcf per month of Billing Dema.nd -plus- Commodity Charge � First 2 000 Mcf per month @ $.61 per Mcf Next 3 000 " " " @ .54 " " Next 15 000 �� �� ,� @ .49 �► �� Next 30 000 �� �� �r @ .46 �� �� EXCOSS n �i n @ �� i� n Purchased Gas Adiustment In the event there is a change in the town border rate under which Company purchases gas sold under the above schedule, there shall be added to or deducted from the monthly bill computed according.to the above schedule the sum of (1) the product of the monthly billing demand and the amount per Mcf to the nearest 0.1� by which the town border demand charge varies from $3.410 'and, (2) the product of the monthly co�sumption in Mcf and : the amount per Mcf to the nearest O.OlG by which the town border commoditp R, charge varies from 30.08� per Mcf. In the event the total variatian is a positive amount, such amount will be multiplied by 1.087. Montnly Minimum Char�e The Demand Charge Prompt Payment Provision A charge of 5% on the first $25.QO monthly plus 170 on the r+emainder wi11 be added to net monthly bill, computed at the rate schedule shown above, which charge shall constitute a discount from gross bill for paymeat within the discount period. Determination of Billin� Demand The demand in Mcf for billing gurposes shall be the greatest daily consumption in Mcf during the mantl� for which bi11 is rendered, but in no event sha11 the demand to be billed be considered as less than the daily deaiand in Mcf Company agrees to deliver as specified in the contract between Company and customer, nor less than the demand previously billed hereunder. Heating Value Natural gas with a nominal heating value of 1000 Btu per cubic foot. Note: Gas consumed under this rate schedule must be separately metered from customer's other firm gas requirements. . , PueLis�� NOV 10 1973 . .. risp N O R T H E R N 5 T A T E 5 P O W E R C O M P A N Y MINNEAPOLI8. MINNESOTA 53401 � 2� v 2b � �_ � � �= To the Honorable Mayor and ";; `�; -�r- � Members of the City Council �,;4 "" ;� ��, � v Saint Paul, Minnesota z� �; . -� c� __;, rn r.,.� Gentlemen: The undersigned, Northern States Power Company, does hereby accept and agree to abide by, keep and perform all of the terms, limitations, conditions and provisions of Council File No. 262342, being Ordinance No. 15474, adopted by the Council on October 26, 1973, and approved by the Mayor on November 1, 1973. N�THERN S TES POWER OOMPANY By � .� � Division M er �a ti �• > ssistant Secretary APP ED.-�-S TO FO RM: City Att ney : � t ,�z��-�- -; ' p: � � ,� .iv ^ .: iu�4�'��,�' � �, � % � L ' :7' I ` � u.. � ! � _.;_ �,fl= 4 ,�� '__" &}' .. . �. � November 12, 1973 Mr. Thomas A. Connelly, ]�9.v. N�r. Narthern States Power Compai�y 36o wa�asha st. St. Paul, Minnesota :ve�r Sir: Enclosed is a capy of Ordinance No. 1�+7�+� Council Fil� No. 262342, Gas �e.nchise, wli3ch w�s adopted by the City Council on Octc�ber 26� �.g73. 4�e call your special attention to Section 15� thereof, whicl� r�qui.res th� fi13n,� of a written acceptance with the City Clerk, in a form ap�roved by the Git,y Attorney� within th3rty days �fter the p�ssage, approval and publication of the ordinance. Also enclosed is a bill in the amount of $168.30 to cover the cast of publica�tion of the ordinance. Yours very tru],Y, City Clerk �� Enc�.