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246381 t . � ('� ORIGINAL TO CITY CL6RK 4�f�j t� x CITY OF ST. PAUL couNCi� ' � OFFICE OF THE ITY CLERK F��E NO. COUNCIL RES TIO GENE F RM - PRESEN7ED BY `��s'` `�� ��/�i��� COMMISSIONE / � RESOLVED, that the Corporation Counsel of the City of Saint Paul is hereby authorized and directed to communicate with the proper officials of Northern States Power Company for the express purpose of exploring the possibility of negotiating an agreement between the City and said Company whereby that Company' s gross earnings tax due or to become due in the year 19'70 shall be paid monthly during 1970 and such taxes for the years following shall also be due, owing and payable on a current monthly basis. Reconsidered on November 25, 1969 Y�as I�ays ``�C>ARISON Pp 0 DALGLIS� . :. '�(�. Se� M ;'� ' Go�� �I�i F�R �,ocp�ta ,�� � �-P�,St• �SPRA�'KA �.'EDESC4 _ MR. PRESID�NT (BYR1�E� �0� � � 1969 COUNCILMEN Adopted by the Counci� 19— Ye Naqs NO� � �� �,�6� �arlson Disapproved and vetoed Nov. 24 , 1969 Dalglis il��w�1 19— � �1VIeredith ,_,_,� Tn Favor �- 2_ . �pr�� Mayor °�Against �Tedesco Mr. President, Bv�e _ � O • . , .< �p.tcwrc ro re�s coyrreowae Ci� O� �.. /�4s�V� PAUL �,�� NQ. �FICE OF THE CITY CLERK , COUNCIL RESOLUTION-G�ERAL FORM �R�sr�.,r COMMISSIONE� �I►*F Al6SOLYEa, t�at � C�s�a►ratis� �ea�t�tl +t# i�t 61t�r �t �1ti�att Paitl #�s 11s�1r�r a,ut#�ris�i � ti�r��4 t+m► �ie+ltt� ��t #Ia � oiiioials oi lt�s�urra St�at+�s !'e►wr C�r ferr t�a a�p�s�M �arpos� ; o! �laria� ti+r �os�iL�,li�r oi arr�oti.a�i�, � �t �1��► t� . Cit�r aqM �al��t C�s�► �r�+t�r '�a� C��1�r*� �r�a►�t �1.�r �c � �r to b�v�e +A� ia � y�ar i9',�0 sball � p�►ir� �athhiy darta� 19?Q aw! �reh tss� ios � rMr� lsllorris� s�ll a2ar '1�► �a� �►� aad ps�rabi• a� a crar�n� sa►sf�61r bssii. ��r�lM��It � � �,� � 1'�IrM � • � �� 1�'� � � !� . nt. �r t�t�► NOV 2 0 19G9 COUNCILMEN Adopted by the Coanc>> , ' �9_. Y '� car�son xa� NAV 2 0 1969 D�� ✓ Approv� 19— �/ Meredith Tn Favor � ./ Sprafk� �r / A on;nat ✓ T�P.8C0 Asr.President, Byrne � � � � ; � � �� . qUADRUPLICAT6 TO D�ARTMBNT 2��3R1 • • CITY OF ST. PAUL ��ENC�� NO OFFICE OF THE CITY CLERK COUNCIL RESOLUTION—GENERAL FORM PRESENTED BY COMMISSIONER DAT� ��a�.v�, �si t� �or�+aratfo� c�as•� �r tbe �ity �►r �at��►` F�a�i f• l�er�t�r autheris�l uut dlrt�t�d ia ,�aa�pu�iQat� �rit� th+r prsprrr otiiciair ai �iorthern Sf,ates Powwr Co�rpaa�► �'or t�� �rs��� p�egos� o� eacplorin� tAe p��,�i.t�ila[ty +�i na�otisii� a►�►. a�ra�ent betwesr� tlt� C#ty ana said f.�rapanr wher�by that ��11�'� �ro�� �arai�s tss dw or �o i��aar� ��� ia td� y�ar 19�0 �11 be �s�d so�l�l�r 0nri»a 19�0 aaA �tcd .taz�• sor tl�a yearr iollowi� sbia2l u2�a M Itae, cxin� a� paTable om a cnrreet 0cunthly basi�. i 1bM�ii�� e� 1�Aa� t3, 1'9i9 Y� �� CA�L80� �ll�.� 1�!!E �'� �A1� T�CO 1�. !lt�I�'!!' (�i� NOV Z � 1969 COUNCILMEN Adopted by the Counci� 19—. Yeas Nays f Carlson NOV 2 � ],�� Dalgliah �� Approved 19— �/ Meredith Tn Favor � Mayor S�,rafku fTedesco ASainst Mr. President, Byrne � �� .. / " � 246381 t��:S�tLr�'�►, trhat the� Carp�ratiqa Cou�at�el +ai th� C�ty of �ri�t� ��a�l i• h�rlla�► aa�ari��d a�rc! dir�ctM �b�a etr�xte�t• rrit,� tba prc>�ar ott2eisls o! �for�h�cs Stat�r Po�e�r C�p�a�r !ar tht as�r��� p�ur�de oi �splori� tb� poss3biltty �! n��otistinn� sn +�rs�rat b�tr�ea t�• City �►ad •siQ C�p�a�ty ���arr,b�► i�utt G�pa�►'a �ro�� s�arsfu�s t�r du�, �r to beco�a da• ftt iD�e ysar 19T4 il�21 be pait �o��Yl�r lb�t�ria� 197� - aud Aucti tq►a��s #ar tha yatr+r iollorin� sb�tll •l�o D�r �r�, o�rfa� and payaDle a� a curseot soAt61Y b�tsi�. � �MM�L�MM N MMr! � 1� Z� � � Mi�i� , 1�l� ��� . � , !� , Mr. � trn�t) AIAV.2 0 1969 �U 2 � 1959 i . �.'�� �J��;- , + . ' �`�j'iT✓— ` � f • " ���y:� N O R T H E R N 5 T A T E 5 P O•W E R C O M P A I� Y � � , 414 NICOLLET MALL , � � MINNEAPOLIS, MINNESOTA 55407 . LAW DEPARTMENT NOVeTI11J@Y' 2�, 1969 TELEPHONE 330-6600 DONALO e.nieLSOnI " AREA CODE 612 VICE PRESIOENT AND ' . GENERAL COUNSEL ARTHUR R.RENQUIST - . - ARLAN� O.BRUSVEN . . GENE R.50MMER5 � RALPH 5.TOWLER ' �AVIO G.MCGANNON . . ' JOSEPH D.BIZZANO.JR. ATTO R N EY6 . � � ;� Mr. Robert Eo 0'Connell � � � � � � €�� � Corporation Counsel 1��V2 �: �969 City of St. Paul GOP.PORATIO�J COU�IS�a! City Hall St. Paul, Minnesota Dear Mr. 0' Connell: As a result of our discussions concerning legal guidelines which should control any agreement to accelerate gross earn- . ings payments in St. Paul, we agreed on the following legal guidelines: l. Any agreement relating to acceleration of gross earnings payments should be by formal contract and should not be �- by informal agreement. '� 2. The f'ormal con'cract relating to gross earnings payments should be one of the conditions of the permit under which � NSP. operates in St. Paul. This can be accomplished by � amendment of the existing permit or adoption of a new � permit. � 3 . The provision of the permit which relates to gross earn- � ings payments should only cover that period for which the y permit authorizes NSP to conduct its utility operations � within the City of St. Paul, . �. The proper legal procedure for enactmerit of a contract relating to gross earnings payments would be for the Council to enact an ordinance amending the existing per- mit or adopting a new permit, which would then be subject to acceptance by NSP. If you �oncur, please sign below . � Very tru7�y ours, ;�-��. � ,. . ��.� �,;�:.:c_s..,�.�..�..�--�ti�� ARR:Pd A. R. RENQUI�ST APPROVED: f y l���/• �//� � � `_�'",�.�`(�r_. (� l _'C" 4' Y c.>.<: �Corporation Counsel 3 . � ' • �tTY pp ti�� . G , �QQ. ; . • � \�6�..���hc . , \-•► � OFFICE OF THE MAYOR CITY O� SAI�TT PAUL EXECUTIVE Dt:PARTMENT n ci --� � Thomas R. Byrns C/>-< �., blayor . ' �C� .�--. November 24 , 1969 �� „ c� r-; `�' r rn -V U'� N �7 .":f� ....:9 i��� � To the Members of the City Council • �' City of Saint Paul, Minnesota r �; � Gentlemen: Saint Paul City Council File 246381 was presented to me for signature Thursday afternoon, November 20 , 1969 . I find that it is necessary for me to veto this resolution. There are several reasons whv I must take this action which is �� u:,c�„�,�o;� ��. x�ec���t �:�ty �:ou;��:�I ;�i5 �oi•y . Dec:au5e ui Ene importance of these reasons , I wish to state them for you. 1. This resolution has , as its intent , the negotiation of a � payment to the City by Northern States Power Company of a sum of money to be used in the 1970 budget. It is true that this money rightfully belongs to the citizens of Saint Paul . However, I cannot emphasize too strongly that according to the contract between the City and Northern States Power Company, this payment is. not due until 1971. Any prepayment made by Northern States Power Company that would represent a cost to the company would in fact be a deprivation of benefit to the stockholders unless there would be the expectancy of some benefit for the company and the stockholders to be received at a future date. I assign no improper motives to anyone at this time . I do say that a conflict of interest situation (perhaps moral and ethical rather than legal) exists if we persist in pursuing this course of action. . 2 . .We have very serious legal questions that have not been clearly answered because there are those who would use this situation for ulterior motives . There are those who are more interested in defeating the proposal to be voted on December 9 than they are in helping our city . They hope to create an atmosphere of �� t ` Members of the City Council November 24 , 1969 ' Page 2 doubt and confusion. This confusion has worked to the detriment of the pending special election and it seems sure that this confusion is one of the objectives of those pushing so h ard to force Northern States Power Company to pay the city, and to force the city to accept this money from Northern States Power Company. .. The whole arrangement , as proposed thus far, depends on Northern States Power Company paying the city an extra $1. 2 million in 1970 and going on a current or pay-as-you-go status in 1971. The Utilities Committee of this council has stated that it is impossible to even think of renegotiating a new permit franchise while the electric rate hearing is in progress . Such a change would represent a tremendous financial loss to the City. The present permit franchise of Northern States Power Company expires on December 31, 1970 . I question that we can amend any cont ract to cover a pe riod of time with that cont ract th at is not covered in the terms of the original contract. Th us , in ��FF....+ �± �TT�Y1�f1+1�1 ic 11'nT!'14C't�i�ca }jOth tQ NPGElV� an early ...��...... y �. j.t+.��..... ...�J �.. �._.r payment in 197U and to change to tne monthly payment syste;l�� i;i 1971 simultaneously at this time. 3. I feel most strongly that this council will have abdicated totally its responsibility to provide sound leadership in the fiscal affairs of our city if this haphazard, windfall financing method is pursued. We have a sensible program to meet the needs of our city through 1971. We have strong hopes that the 1971 legislature will provide the only real solution--a statewide , or at least a metropolitan-wide ,Municipal Aid Program. If the December 9 proposal passes and if, despite all our efforts , there is no program forthcoming from the legislature , then we in Saint Paul will have an excellent base from which we can establish a program to levy on non-residents and corporations a fair share of the cost of providing all the amenities necessary in our city to ass ure them th at they can earn a living and carry on busir�ess in a safe , healthy urban environment. Meanwhile , we must balance an adequate budget for 1970 . Contrast the alternatives with the above program: a. We must live under a cloud of conflict of inte rest. b. We cannot act on future rate he arings . with public confidence. c. We cast a cloud of doubt on a corporate citizen of our community. d. We have multiplied the problems of the 1971 budget. e. We have not met the needs of the 1970 budget. � . _ • Members of �he City Council November 24 , 1969 Page 3 � Our comptroller, Joseph J. Mitchell, has repeatedly told us that nothing can be put into the budget unless we have the money in hand or we have an air-tight contract or legal procedure that will produce the money. What really is the situation in the light of the comptroller's position? Maybe Northern States Power Company will make a payment in 1970 . Maybe Northern States Power Company will make monthly payments in 1971. Maybe there will be another proposal to vote on in 1970 . " Maybe the proposal will be approved by the voters . . Maybe the hotel-motel tax will be in effect by April. i•iayve zne S�faze ie�i5ioi.ui�c ►�iii �vive oiir �i•�LI�r,�. Maybe we can enact a tax on the water users . Maybe we can enact a tax on telephone users . All of these "maybe's" do not add one penny of revenue to either the 1970 or the 1971 b udget. To risk the welfare of our city, to risk the jobs of many fine policemen, firemen, and other city employes , and to attempt to fool the citizens by creating false hopes are signs of irresponsibility and insensitivity that should not characterize a public body. I strongly urge all members of this council to reconsider the actions that have divided this council. Let us pull together to support the proposal th at is to be voted on December 9 , 1969 . This proposal h as been thoroughly studied and approved by the Charter Commission of Saint Paul, by this council, and by many civic groups . Let us not be afraid to let the people decide at the polls . Let us not try to confuse the issue in the mind of the voter. Let us act only to bring facts before the electorate. Let us carry out all the recommendations of the Charter Commission to present this proposal in a straight- forward fashion to ,the electorate. We have a legal obligation to do this according to law. F } ,+ . ► . � � , �, � Members of the City Council November 24, 1969 Page 4 � I am convinced that Council File 246381 does not meet these criteria. I have therefore vetoed Council File 246381. Sincerely, ' � THOMAS R. BYRNE � Mayor TRB:lmp . R s . � �