Loading...
264421 --- WH17E - CITY�LERK # .. � ��� �.. PINK � ar R�o� NCE • GITY OF SAINT PAZTL Council � �.."YIjI �1I�ORTMENT w . , t File N 0. ` . � � Ordin�nce Ordinance N�. � /� Presented By Referred To Comtriittee: Date Out of Committee By Date An administrative ordinance granting 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 property located in the City of Saint Paul for the purpose of con- veying and supplying steam for all purposes for a term extending from January 1, 1975 to December 31, 1984, pre,-r scribing rates which the Company may charge for such ser- vice, and determining the amount which the Company4shall pay to the City for the use and occupancy of its streets and other public property. i �� THE COUNCIL OF THE CITY OF SA�'!' PAUL DOES ORDAIN: ' Section l. Northern States Power Company, a corporation organized under the laws of the State of Minnesota, hereinafter designated as "Com- pany", being a public service corporation supplying steam public utility � service for all purposes within the City of Saint Paul under Ordinance No. _ 15473, which e�p ired on Becember 3T, 1974, is, together with its successors � and assigna, hereby granted a franchise to use the streets and other public property located in such City for such purpose for a term extending from January l, 1975 to December 31, 1984. Section 2. The franchise granted herein shall extend to the Company' s use of all streets and public property now being used by the Company in connection with such service 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 constructing, maintaining, and COUIVCILMEN � Yeas Nays Requested by Department of: �j �msx Christensen � �4ax��ak�t Hozza ' In Favor • Levine ��� Sylvester Against BY �c Roedler Tedesco Mme.President � Hunt Adopted by Council: Date Form Approv City Att rney _ Certified Passed by Council Secretary Y By Approved by Mayor: Date Approved by Mayor for Submission to Council By . . � : � � . - � ��4���. - -2- operating a system of pipes, subways and manholes with all other neces- sary appurtenances for carrying on the business of conveying steam to consumers for all purposes. Section 3. In locating its steam facilities, the Company shall in no way unreasonably interfere with the safety and convenience of ordinary travel along and over said streets and public property nor interfere with other uses to which such places may be put by the City of Saint Paul, and in the event it shall�become necessary during the term of this franchise to remove or relocate the physical property of the Company located within or upon any of the streets or public property 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 be- cause 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, Section 161.46. Section 4. The Company in the installation, maintenance, and opera- tion of its facilities shall be subject to such reasonable regulations as may be provided by the Council, and no pipe or pipes or other appur- tenances shall hereafter be installed or laid by the Company upon the streets and public property of the City, except upon application to the Department of Public Works or other persons designated by the City Coun- cil, and written permission therefor granted by said department or per- son. 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 1975 and each of the subsequent years, and the payment of such amount to be made in quarterly installments on or before the 30th day of April, July and October of 1975 and of each sub- sequent year, and on or before the 30th day of December, 1975 and of each subsequent year, so that the April 30 payment of the franchise fee shall . . � . - . � ��442�. , , -s- �. ►-�o• t5�y� be 8/ of the amount of the gross earnings of the Company during the three- month period of January, February and March of each year, the July 30 payment of the franchise fee shall be 8/ of the amount of the gross earn- ings of the Company during the three-month period of April, May and June of each year; the October 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 July, August and September of each year; and the Decem- ber 30 payment of the franchise fee shall, if necessary, be based on a reasonable estimate of the gross earnings of the Company during the per- iod from October 1 through December 31 of each year, and shall be appro- priately 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. 'I'he amount of the franchise fee shall be a1lQwed as an operating expense to the Company, and in calculating such amount, "gross earnings" shall be held to mean and include all sums received by the Company from the sale of steam distributed and used within the City limits of the City of Saint Paul. Section 6. The rates contained in Appendix "A" attached hereto and made a part hereof are effective on all bills based on meter readings on and after January 1, 1975, and shall remain and continue in force until chariged as provided herein. Section 7. At any time the Council may review the operations of the Company, and not more often than once in each year, it may, upon its initiative, or shall upon the petition of the Company, prescribe rates to be charged by the Company under this franchise. Tf 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 hear- ing 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. The 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 within ten (10) � . ' � � ` ��' ���4��,. -• -4- 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 before 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 charged, the Council shall thereby include in such determination revenue sufficient to provide a fair and reasonable return to the Com- pany and to cover its reasonable costs and operation expenses allocable to the City. The prescription of rates shall be made within 150 days after the filing of the petition. In the event the Council is unable to prescribe rates within said 150 days the Company may put the sche- dule of rates as proposed by the Company in its petition into effect 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 interim rates which are in excess of the lawful and reasonable rates as finally de- termined. Section 8. The Company may withdraw any rate schedule which has been superseded, may revise any existing �-ate 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 estab- lishment. Within ten (10) days after the filing of such withdrawal, revision, or new schedule by the Company, the City Clerk shall give pub- lished 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 unless the Council or any cus- tomer 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 published beforehand in the official newspaper. After the hearing, the Council shall by resolution adopt, modify, or re- ject the withdrawal of superseded rates, revision of existing rates, or establishment of new rates. Section 9. The Company shall file with the City Clerk copies of all rate schedules, charges, forms of contracts or agreement for the sale of . . - ' ..� _ , . ;��44�� � -5- p,� . Y1C�. 1�?�1� steam, and rules and regulations pertaining thereto, which shall be kept open by City officials for public inspection. Within ten (10) days after the filing of such rules and 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 time 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 regulations and amendments thereto and after a public hearing set upon ten (10) days ' notice published in the official news- paper, enact a resolution revising such rules and regulations and amend- ments thereto which it shall deem unreasonable. Section 10. For the purpose of assisting the Council in the regu- lation of the activities and rates of the Company as provided in this franchise, the office of the City Attorney shall designate an individual of its staff to serve to perform the duties that such regulation neces- s itates. Section 11. The Company shall pay the City during the term hereof an annual amount of $15, 000 payable on May 1 of each year herein, which sum shall be used to pay that part of the annual salary -of the individual designated by the City Attorney, his assistant or assistants, clerical help and office expenses, outside accountants, hearing examiner, attor- neys, advisors, and consultants' fees, reasonably related to the regu- lation of the Company, its rate schedules, and other matters and opera- tions under this franchise. 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 any per- son designated by the City Council, a report of the number of customers, sales and revenues by classes of service for the preceding month based upon its utility operations within the City of Saint Paul. The Company shall also file with any person designated by the City Council, within three months after January 1 of each year, a complete de- tailed statement on forms to be approved by said person, covering the utility operations within the City of Saint Paul for the preceding year, including all revenues, expenses and plant investment, together with such breakdown and analysis of operating statements as the said person r ' � , .,. . . �.. ��4421 -6- may request. The said person designated by the City Council shall have the right to require additional information concerning operations under this ordinance from time to time in such form as may be prescribed by said 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 th is 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. The Company shall indemnify and save the City whole and harmless from any and all claims for injury or damage to persons or property occasionect by or arising out of the construction, maintenance, operation, or repair of said transmission and distribution system or by the conduct of the Company' s business in the City. Section 15. Every section, provision, or part of this ordinance is declared separate from every other section, provision, or part; and if any section, provision, or part shall be held invalid, it shall not affect any other section, provision, or part. �---°- Section 16. The Company shall have the right to promulgate, from time to time, such rules, regulations, terms and conditions governing the conduct of its business, not in conflict with this franchise ordi- nance, as shall be reasonably necessary to enable the Company to exercise its rights and perform its obligations under this franchise ordinance, and to assure safe, adequate and continuous service to its customers. The Company' s obligation to provide service shall be limited to serving steam at existing premises receiving such service and reasonable expan- sions thereof, provided that such service can be rendered with steam production facilities presently operated by the Company. Other premises WH17E — CITY CLERK �64421 PINK �- FIN,nNCE • ' � � GITY OF SAINT PALTL Council CANA,RY;—O�PARTMEN T BI,�U�1�� ,�-� N�„pYOR File NO. � ti • • 0/ indnce Ordinance N 0. t 5"�y a _ Presented By Referred To Committee: Date Out of Committee By Date -7- located on steam mains may be served pursuant to rules and regulations of the Company which protect service to existing premises and reasonable ex- pansions thereof. Said rules, regulations, terms, and conditions shall be filed with the City Clerk. Section 17. 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 per- form all the terms, limitations, conditions, and provisions of this or- dinance. Section 18. This 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 the terms, limitations, or conditions hereof. Section 19. This franchise is subject to cancellation on December 31, 1978 a d on December 31 of each y,ear thereafter by the service of "�i�rQg r�o►" -two year written notice by the Company upon the City, , • Section 20. 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 pro- vided in Section l7 hereof. COUNCILMEN " Yeas Nays Requested by Department of: �na�tx Christensen f�a¢�a�rat�a� Hozza � In Favor Levine � Sylvester Q Against BY Roedler Tedesco Mme.President 87�F]�F Hunt Adopted by ncil: Date NOV 2 6 1914 Form Approved by City Attorney Cert' ' d y Cou c' cretary BY By Approve ayor;.=�Date Approved by Mayor for Submission to Council By � � _ PuB�isHEO pEC 1974 �, � � . orco • r�o . 1 s�y a D�rthern States Power Company (Minnesota) Heating Utility - City of St Paul PROPOSED RATE SCHEDULE FOR STEAM SERVICE Availabilitv Available to co�nercial 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 condensate per month @ $5.10 per 1000 lbs Next 300 000 " " " " " @ 4.45 " " " Next 500 000 " " " " " @ 3.90 " " " Next 2 000 000 " " " " " @ 3.40 " " " EXCeSS u n �t n n Cd 2.90 �� �� n Prompt Payment Provision A charge of 5% will be added to net bill, computed at the rate shawn above, which charge shall constitute a discount from gross bill for payment within the discount period. Monthly Minimum Charge $15.00 net per meter. Fuel Clause There shall be added to or deducted from the net monthly . bi11 computed according to the above schedule $.02 per thousand pounds of steam for each whole cent by which the cost of fuel is more or less, respectively, than $.50 per million Btu. The cost of fuel shall be the average cost of fuel used during the preceding twelve months by the Steam Production plant of Northern States Pawer Company supplying steam to its St Paul distribution system and shall include the costs in FPC Account 501 - Fuel for such Steam Production plant. _ c F a��+�ai .. . , , . . ,,, . , D'�rthern States Power Company (Minnesota) Heating Utility - City of St Paul PROPOSED RATE SCHEDULE FOR STEAM SERVICE Availability Available to coffinercial 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 availabl'e the entire year. Rate First 200 000 lbs of condensate per month @ $5.10 per 1000 lbs Next 300 000 '.' " " " " @ 4.45 " " " Next 500 000 " " " " " @ 3.90 " " " Next 2 000 000 " " " " " @ 3.40 " " " EXC233 n n �� �� n � 2.9� n n n � Prompt Payment Provision A charge of 5% wi11 be added to net bill, camputed at the rate shown above, which charge shall constitute a discount from gross bill for payment within the discount period. Monthly Minimum Charge $15.00 net per meter. ' Fuel Clause There shall be added to or deducted from the net monthly bill computed according to the above schedule $.02 per thousand pounds of steam for each whole cent by which the cost of fuel is more or less, respectively, than $.50 per million Btu. The cost of fuel shall be the average cost of fuel used during the preceding twelve months by the Steam Production plant of Northern States Pawer Company supplying steam to its St Paul distribution system and sha11 include the costs in FPC Account 501 - Fuel for such Steam Production plant. pUgLISHED QEC�7 197� . N(iTICE OF HBAlCiNti ON I � PiT�SI,I� i9'X'A.'I�'Y !'iANCItIS$ NOTICE TB I3�8E9Y QIV�1'T ThBt a 1 publia hear9ng w!ll be heili ott th�, �at iozoo o�a m th Saint I�aul City Council Ciiambeie,"�I'iail and Court Iiou� ' 'Safnt Paul. egota, the put'yose o� the public hearing being,to cenbider� Lhe ado�i on� oi'sn o�dffianoe granting a franch�se to the Northesn States Power f�ompµ�Y►y in ga�'d to!atepm serpice, Caunc�}1 P'91e.#2B4421,.1'he trencl'+i4e be- fore the Council outtfnss Ehe conditions ti»der wl�ich the NOrffiern$tates Povver Comgany is to be entitlpd,to use.Ehe City straats� and pub1lc pJ�Ices,tor the conduct Gf pit�cy.msYeam.buein�ea�caud Pre-. soribe Rlse, d ���h Ptrio¢ryt�inge for such use ur�x�g from Jsauary 1, 1876,to December SL, 1984. ThSe notica la giveti puretik3nt to � 3ectlon 18A� and.9ection lfi.l� oR the ��aint atii t'�tY f Chaater. �and �ny �n- P��tY 4PP�'utd be}3�8td bef re tYte C Goutzcil pt the-time.and glace,reclted above. , Dated at 8't.Paul M{a�ksspote�,this 24th day of�October, 19'�4; Rb�,Y�l�,g I {October�, 3674) ?. �. _ � .+,r �L:, y g� �y ����y� f / 4> � 9 ` .. �'r �� 1 a f'� 1 �� *�'��j�y�� � . . . ' �� \ .. }' ��� z:.l �it (��,��qCS . � . ' 1 , ., '',. ���� A ����� , . . .�1 � . . � . . . 'fc ���� , +r � :,y G�._ - �; '� �r ,� � , � �,� �;; F f . . _. . ' .. .. � .. . {� ,.�� ,� �. �. i- � � . . . - �� -. � . � f�. F .. - ri � 32 . . . �� . , . ..',. , .. . .� '. , .:, �_ { . . , . � j�l'. � . . ��'< - . . . .. . . . � y�..'.. . 'f�k k:tx4: y r . so- . _ � � >i_ � Sr ;„ ,� � � � .. . . . .. .. . . . � . . '�, ��T }, _.A j ���... � .. .� � � . ' � . . . . ' . . 7, ���'. _ .. .. . � . . . � ���' • ' � � {���L'�, a✓ �' , ' �: i � z �`+.� �� � � x , t ` � ` - _ � _ 1' RS:..4 h��. . . . . _ t ' # t�� h l� - . � , . . . r ... . .. � ��� : / . bF . l �.� P } ' . �, ��� � r r� � , �. ':� �, ��f.. � . .3� � � a , � . '' . ��' �f ,E�! _ ,';i �, <��k��: � . � t�� � �� ��Y,. . . .1 . . �� . . �. . . � � u '�t4� : .. . � � ' . . . . � � .. � .. �� ' � , ' � � � � a ...� . . ' .. � . �' , � t,., �. .. " . . ' . _. , . M�.�: .. . � �1' ':� / � � . , '... ..,.,.' . . ' r . ,�. 'f ��t: ' ' �*s �� A� �8� ,� , ! / �; x�2;= ��1't.�'S �+l��S �!M�1':�70•. .�,. , Y �� ; t . � � � 3f�? 1+hkba,l� S�. ��/ � � . � t� � - , �� � �� � < . . . 3�.: �'su2� l�tesot+� . ��: �: ,�.�: . : . . . .. . } �<; , , �-4 �fd�"'S�Y`� . / ' �; ��:� d � � �y�: . , , . , �, ,; , , . ,- ' . ` . �/ 1q�r , ' � `_ � ��t F • `�� ` . � . ` '..� �'�N�A ....� � i!� �� ���i. � � �� � • � i ... 1 a+ff�t� . ' � , ` '�D �1"'��M� ���F�1N�1' �'.�'. �M � , �1�tl� � r ,r ,�,�}r !, �g�,'. �ftDAv�r�-;s�u� �LthiR t�e C�'�yI ta��` &c#1�tP P�l'� +� b�,II #,O �ii�► � ���� '` ,. � ot $�►5.&3 '� e�r+� � 8o�rt tit �raD�i�t�t� ��,�'di�' , i.�„��� .. 1 .. . ,.. - � �� . .,. � .. :. a� 4 , . . ;.���. t�.. . �'Q�l y+pli�",'�'�fi�'+��1i'1 �'iQ ��"�'� 1'� l�� ,.t �. �+�` . ' s 3' �a za / �p �K�M�qA� Of '�! �! � ��AQ� 1� 0!'�� 1�«'� � r; ��t#. � �►i �` jw�l�:'�►t��♦ �! Av�} � l���rd� �IN��. ` , x�,�- . ��ta '";' °.: � . . . �a . .1 j r' '�i- �. � ' � , � .� � . � _ r . a. t, � r . - C- �`f �� , '_ .� ,, , Y4�"� i�i'�.i � �, ,,�, , , - .` . ., . .. " \.-., , . - � 1 �'E- 1 . . .� . . . . . �� . .. . � • . J. . . .. . • , �� .!'� . ,. �. � "'� .x. �; � .. . .. . � . �p��. � �' � �1 / y i� 1 > -'�v 1 f F'�� `�1 R � .. . . . . -- ' . , f({ F - . ' ', 1 ' � ..� � � �,, ' .��� . . {/.4� � ... ���k � � �� � �� � #C M -v f�+�y��+� {�y i� `i � . V'•'�"� � . � . � - ... "� , �}' �� � • s�r� , .�ry ,� ,... , _ , : � , ., , � � , �� , � � a : � . } � ` I Y� , . , . � _.� .. ��. . . . . .. .�� � � - �,� � . 1' ~``' '� ���� E � a J } ( .. . . F} , .3 � i � . .' . � � . . . .' 'Y� � . !� �} : 4"�l ; k d i i� I. ,., . . � .. : . � � .. . ,. ,�j . . Y� ��� •�� . . , . . ' . CX� . . . .. . ... . . � �f .-� . ��, �t . � Y� J . . . . . .� .. ..� . . . . .. . , �� . . �'��:•... ... , . . .. . . � 1 � � � 4 �,. �� � ,..� , � - , � _��� � , , , . „ _ , ,� . ., , � :, � .,. � � > \ : ` ..- ' , i . � � � � , � ��� ���: � � �� � , �. ? � ��. � � - ..� � . � % "�� ,r�'�fi�.�y.1�'' .. � . � ,. . � �:. .. � . . . �.. . . . . . . ., � , . , � . . . .., ,..�a_ _ � ' . �64��� ' CITY OF �AINT PAUL ��, r.b , � „�J..��a � OFFICE OF THE CITY COIINCIL �w�s RUBY HUNT �O1II�WO�` pcta�er 21 , 1974 T0: Cit� Council Mem6ers� City Cler[c FROM: Ru6y Hunt, Chairman �� Council Utilities Committee SUBJECT: Ordinance granting NortF�ern �tates Po�er Company a franchise for steam operation in St. Paul from January 1 , 1975 to Decem6er 31 , 1984. The Utilitie� Committee, at a meeting on pctober 17, 1474, reviewed the above ordinance and recommend�d approval o�F same to tE�e City Council , Hrith t[�e proviso that the question of tfie time period required for cancellation notice in Section 19 6e 6roug�it to tf�e attention of the Council to be resolved during tfie Council hearing process. RH/rs CITY HALL SEVENTH FLOOR SAINT PAUL, MINNFSOTA 55102 612/298-5378 O ' � s _ �� l� . A�+lENDMENT TO STEAMM FRANCHISE _- prdinance C. F. No. 2a4421 Delete Section Z9 thereof, and �ubstitute the following: Section �.9. This franchise is subject to cancella- tionc on DecembEr .::3.1,,: 1978..'� and �5an •Decembe�r 31 ;t��Y=each year ' . . . � �. . , �. . � , ..�. . . 1 .. ..,�' ,f PJ��, . � . .� � � . th8reafter by �he service of three years written notic� by - . ;.t , _ , : ; ; y . ;�.. the Company upori "the Crty o�t or b'efore''l��fieii�ber '�1, 1978, and on or before�=�ecembe� 31 �f� ea�'tr year fiher�after. _ c.F ���4a i -. ,� i,�17 � AMENDMENT TO STEAM FR.ANCHISE Ordinance C. F. No. 204421 Delete Section 19 thereof, and Substitute the following: Section 19. This franchise is subject to cancella- • tion on December 31, 1978, and on December 31 of each year thereafter by the service of three years prior written notice by the Company upon the City. . f, �6 AI�IENDMENT TO STEAM FRANCHISE Ordinance C. F. No. 204421 Delete Section l9 thereof, and Substitute the following : Section 19. This franchise is subject to cancella- tion on De�ember 31, 1978, and on December 31 of each year thereafter by the service of three years written notice by the Company upon the City on or before December 31, 1978, and on or before December 31 of each year thereafter. � risp � � ,. : w � ` NORTHERN STATES POWER COMPANY MINNEAPOLI8. MINNESOTA SD401 December 16, 1974 To the Honorable Mayor and Members of the City Council Saint Paul, Minnesota Ladies and Gentlemen: The undersigned, Northern States Power Company, does hereby accept and agree to abide by, keep and perfarm all of the terms, limitations, conditions and provisions . ` ���1 of Council File No. 2��21, being Ordinance No. 15742, adopted by the Council on November 26, 1974, and approved by the Mayor on December 2, 1974. NORTHERN S TES POWER CO PANY , / J '%i By � ��� Division Mana ,- �� And �� 'r �4 ` .� �� l� +`-W�'�-1 sistant Secretary APPROVED FORM: . City At ey ' ��- � . . � ��'..� • , '. n�-:� r• .`"1 `�,-� $ �_P, $, �a �a '°�<�a�'"'�f"`�'�"�'���"� i 1 t_.. j � �', � i: �� •�. � r �� � � 3 ��4�'.{� ��,;F'�` `� � '� • 1 .� T . ,J =r t' .�,` ��' �� � t � �� ♦a ' .I � � � b��� � � � i r _ � � ;' � ���;.1 �� ;� 7 �,.�I - ' � . . . .._} � l` , *i S �j,`�k�� 4,.L ° ,� � � � �.,�. .; - .� � <': � � �� � ��� �� f �' '',� .' , . �� , � � �� �' �� � �� ;. . - �� y� �, .� �y . � r.d � .��, ft{ 7� �� ' ,,7ro���. � ° t � k �!l 1 i� k� - � . i� . . - � 6�J �t r ���� �'� � , � � � . . . � ,���� �� �r t � ��.. . i ' . � . � � - �� � �4 _ �L � � . . . � � � . , �' � ��.��� � ' � ¢ ti� . . . . `� �<.� /� - ..iF � � � � � � ' � i '�� �d� 7 � ��!+�r r��,. ' - . �� � �' �` � .. � � . y.'' , � ���� ;�_i r +�". � •, 1. • � , � .� , ' .. _ . ..... ... , . . :, � . r��- - Q; . . . � - 1.� ':�G .+Y° 'bw� 1� . , _'/.� A t % .. � - . � y �,..�^� � _ .� � . � . ' . � k� � � � � � � E - . � � ,�f ' - ,� i x 3 ��� - � . �. ��.����+ ,�',:. ��� x�'D��r � � 5�' . . � � ; � � � ,Q� . , . . < { F �yZyii¢� ,� ' � ��� . i _ G: � f 1k �t , . . s: ' +r �t '�* � .F .. . .� � � �� �� � . - � � � � � '�,��r•��ti�. �- '' �� t �, �;' �K� �'� ��� �✓ . i�. _. � . � _ . � � � i �� �,- ; � . . . .. . , tb'- Y. �Q - . ' � d"T&'. � F� y 1 : . � ' � l. �. ' i a % / 4 ! „~ � i � � {4'' F� 1'.,�.^ Z �' "�����►','��� �� �<� �'"� - �: `� _� , ' _ , , "� f��; < � � � � . . � �:�.. �� r� � t:. r � � . � ' � ' � � L�4' t . . C:. �T' J �:*i .. i .� _ � � r'_ > �u.. . -� ..�� . ` ' � . `r # A . - . .. - �1 . ' ..! A ��S, . � x �: { � '1� � '1� '�'�� �0�� ���f�� � '' �d.}�i� F�1 � . y ��;, 4 :����� �'.��r� ���� t , � � E� �: ;� ...: �1 �� �'� �MI���#'": `T�` � �': ����� � r ' �#� �?�.����. � ��� � ` r �� �F� ., . ° � '' "� "'e r���. �3 � 4 x . � -. ` ,. F( � 1 � '� �9 �; ����' . / g - . . . - �",. r���3 ` I ., i' '� � .. S? 1 .a� ��.� t ; .� ,.����� '~�� � . j .f k � r v� �� �?,� b � 4 �q � 'r � '� ,� �� � � � t r.� ��' � � � ,- �� ` � , ' ,,•:��� ��'` � �� — u�s� � }�,.� � � � � ;� �� _ , � ` ` ^ � m - � , , \ . , '.. ;. .. �i • , . � ��� , .:� � . r',�`� � � '� �"<���,�� �.t �a^� �} y � !` ��' _ � m. . �i. � � N.� �r ; ��� � 4� ,: , , r ; t� . � _ . - ��� � , : , ��� � 1.. , , :. , • � � . . ". �- .. F � ��.. �- ' : . ; ' cv°' .��� x: . � �;.j..� � r � r � '� � ����� }�� ; j � �.. �� 4 :xY . �� . _ bA. � _ . . � �� {- � � �.l t �+'�y" "�r, a�. _ �� ��. � .� � Y � � . :, .. " , � .. .,., �� ;��� . ,....�� - .,' , :. f. <:. ��� .. -.' .,'� .�'� ��a,�:. :� y , 7 � � � ,._ _ .. . . . .. .°r _ � , .. � . ... t•. . . . . � . .:� , .,,. _. . . �...__ . .. . . .. _r4t.f.,�-�+'.�� , " . . �S� . • � Nsp �° � �- � u � N O R T H E R N 5 T A T E S P O W E R C O M P A N Y SAINT PAUL, MINNESOTA 55102 October 18, 1974 The Honorable Mayor and Council of the City of Saint Paul City Hall and Court House Saint Paul, Minnesota 55102 Despite attempts to control costs, Northern States Power Company's steam heat utility operations in the City of Saint Paul continue to incur substantial financial losses. Our efforts to control expenses have been offset by increases in the costs of labor, materials and supplies, taxes, interest, and other operating costs. Pursuant to 5ection 7 of Ordinance No. 15473, NSP petitions the Council of the City of Saint Paul to review its steam utility operation and to prescribe new and reasonable rates. Attached is our proposed schedule of rates for steam heating service which would increase our revenues approximately 40%a, or about $575, 000 per year based on normalized 1973 sales, This increase will begin to recognize the impact of infla- tionary trend in costs but will still provide an inadequate rate of return. Also enclosed are supporting schedules showing the na.ture of the operating expenses and the investment in plant in service used and useful in providing steam heating utility service within the City of Saint Paul. We would appreciate your early consideration of this application so that we can continue to provide quality steam heating service. Very trul yours, � Q Thoma s A. C onnelly Division Manager encls � r � �� " � � °1 �µ � . t�.�,�� ..�,}�� t. . i r J: �.� „i�;,.:,.iY�.AEt.�:Y'...� 4,,. ��V , � � � Northern States Power Company (Minnes�ta) Schedule 1 Heating Utility - City of St Paul PROPOSED RATE SCH�DULE FOR STEA�tiI SLR��ICE Availability Available to cammercial and industrial customers for general use of steam service. Steam service furnished fram low pressure mains is available from September 1 to May 31, inclusive; and steam service furnished from �igh pressure mains is available the entire year. . Rate First 200 000 lbs of condensate per month @ $5.39 per 1000 lbs Next 300 000 " " " " " @ Li.,7 j " " �� Next 500 000 " " " " " @ !�.09 " '� �� Excess " '� �' �� �� i �� ri r� @ 3.6�+ . P.rompt Pay ment Provision A charge of 5% will be added to net bill, computed at the P.ate shown above, which charge shall constitute a. discount from gross bill for payment within the discount period. rionttzlv i�iinimum Charge $15.00 net per meter. Fuel Clause There shall be added to or deducted from the net monthly bill computed according to the above schedule $.02 per thousan3 pounds of steam for each whole cent by which the cost of fuel is more or less, respectively, than $.50 per million Btu. The cost of fuel shall be the average cost. of fuel used during the preceding twelve months by the Steam Production plant of Northern States � Power Company supplying steam to its St Paul distribution system and shall include the costs in FPC Account 501 - Fuel for such Steam Production plant. . . . Northern States Power ComPati�� (MinLiesota) Schedule 5 . Heating Utility - Ci�y of St. Paul NET OPERATING INVESTMENT Year End 1973 � � � 1�73 „ Plant in Service Production $4 98�J 700 Distribution 1 190 800 . General 10 600 Common 56 400 - Total 6 238 500 Reserve for Depreciation ' Production 1 619 OQO Distribution 380 600 General G 000 Common � 9 600 ' Total !2 O15 200 i�et Plant in Service 4 223 300 Deduc t: Contributions in Aid of Construction 12 000 Accumulated Deferred Income Taxes 543 100 Add Othe� Capital Requiremerits: • � Cash Working Capital 79 900 Average Fuel on Fiand 3 700 . - � Net Operating Investment $3 751 800 , . . � . . - Northern States Power Company (Minnesota) Schedule 4 Heating Ltility - City of St Faul tricor�lE STATEMENT ` Year End 1973 . 1973 Normalized and Annualized Present P.roposecl Actua]. Rates Rates Operating Revenue � " Heati.ng Revenue $ 1 1!+5 000 $ 1 436 600 $ 2 O11 200 Ut.her Revenue �•500 2 500 2 500 Total Operating Revenue 1 147 500 1 439 1Q0 2 013 700 Operating Expenses ' Production: Fuel 491 200 534 500 . 534 500 Other 375 6O0 375 600 375 600 Distribution 67 800 67 800 67 800 .Customer Accounti.ng 13 700 13 700 13 700 Administrative & General 94 200 9!E 200 94 200 1'axe s: ' Real Estate & Personal � ' Property 248 Z00 248 200 248 'L00 Gross Earni.ngs 31 S00 ' 1.'�!+ 9C►0 � Lb0 900 Social Security & Other 17 600 17 600 17 b00 Federal and State Inceme . 0 0 49 900 lleferred Income 54 700 54 700 54 70U Prov for Depreciation 201 000 201 000 201 000 Total Operating Expenses 1 655 800 1 722 200 1 81$ 100 � Net Operating Income -508 �300 -2$3 100 195 600 � Number of Customers Winter Summer - i9�z i2i Zo 1973 121 20 . . . , � ' N Northern States Power Company (Minnesota) Schedule 3 Heating Utility - City of St Paul COMPARISON OF MONTHLY BILLS ON PRESENT AND PROPOSED FiA.TES Monthly Consumption =,- l. 000`s Pounds Present Rates Proposed Rates 5 $ 19.75 $ 26.95 10 39.50 53.90 15 59.25 80.85 20 79.00 107.80 25 98.75 134.75 � 50 197.50 269.50 100 395.00 539.00 200 . 790.00 1 078.00 300 1 f35.00 1 549.00 . 400 1 480.00 � 2 020.00 500 1 825.0� ' 2 !+91.00 I 000 3 325.00 4 536.00 3 000 . 8 525.00 11 816.00 5 000 12 925.00 19 096.00 Above billings based on a fuel � , co�t of $.SO per million Btu; • zero fuel clause adjustment � . • .. ., , � . Northern States Power Company (riinnesota) Schedule 2 Heati:ig tltility - City of �t Paui SUMMARY OF PRESENT AND PROPOSED RA'�ES Present Rate First 200 M lbs @ $3.95 per �i ib ' Next 300 " " @ 3.45 " " " . � Next 500 �� �� @ 3.00 " " " Next 2. 000 " " @ 2.60 " " !" ' Excess " " @ 2.20 " " " . Minimum Charge $10.85 P'roposed Rate � ' - First 20� M lbs @ $5.39 per N ?b , Next 300 �� �� (d 4.71 �� �� �� Next 500 �� �� � 4.09 �� �� �� i E�,:eess, n �i @ 3.64 ii �i n • " Minimum Charge $15.00 Fuel Clause (Present and Proposed Rates) Base cost per million Btu $.50 . Adjustment per M lbs per whole cent variation from Base � $.02 • � e • � . � ' �. . • , i , , � � lst _ �� � � 2nd �� 3rd� ' ��� Adopted � � Yeas Nays (I I �� CfiRISTENSEN HoZ� 2644�� �� � ROEDLER � SYLVESTER TEDESCO PRESIDENT (H[JNT)