HomeMy WebLinkAbout2003-23 12-08 CCOCITY OF BROOKLYN CENTER
Notice is hereby given that a public hearing will be held on the 8 day of December 2003, at
7:00 p.m. or as soon thereafter as the matter may be heard at City Hall, 6301 Shingle Creek
Parkway, to consider a natural gas franchise fee ordinance. Auxiliary aids for handicapped
persons are available upon request at least 96 hours in advance. Please notify the Deputy City
Clerk at 763 -569 -3300 to make arrangements.
ORDINANCE NO. 2003-23
AN ORDINANCE IMPOSING A NATURAL GAS FRANCHISE FEE ON
CENTERPOINT ENERGY MINNEGASCO'S OPERATIONS WITHIN THE
CITY OF BROOKLYN CENTER
THE CITY COUNCIL OF BROOKLYN CENTER, HENNEPIN COUNTY, MINNESOTA,
DOES ORDAIN AS FOLLOWS:
SECTION 1. The City Code is hereby amended to include the following Special
Ordinance.
Subd. 1. Purpose. The Brooklyn Center City Council has determined that it is in the best
interests of the City to impose a franchise fee or equivalent fee on those public utility companies
that provide gas or electric services within the City. Pursuant to City Ordinance No. 2003 -06, a
Franchise Agreement between the City and CenterPoint Energy Minnegasco
("CENTERPOINT"), the City has the right to impose a franchise fee.
Subd. 2. Franchise Fee. A franchise fee "Fee is hereby imposed on CENTERPOINT
under its natural gas Franchise as set forth in the fee schedule attached hereto and incorporated
herein by reference as Exhibit "A" commencing with the CENTERPOINT January 1, 2004
billing month.
This fee is an account -based fee on each premise and not a meter -based fee. In the event that an
entity covered by this ordinance has more than one meter at a single premise, but only one
account, only one fee shall be assessed to that account. If a premise has two or more meters
being billed at different rates, the Company may have an account for each rate classification,
which will result in more than one franchise fee assessment for electric service to that premise.
If the Company combines the rate classifications into a single account, the franchise fee assessed
to the account will be the largest franchise fee applicable to a single rate classification for energy
delivered to that premise. In the event any entities covered by this ordinance have more than one
premise, each premise (address) shall be subject to the appropriate fee. In the event a question
arises as to the proper fee amount for any premise, the Company's manner of billing for energy
used at all similar premises in the city will control.
Subd. 3. Payment. The Fee shall be payable to the City in accordance with the terms set
forth in the Franchise.
Subd. 4. Surcharge. The City acknowledges that CENTERPOINT may choose to add
the full amount of the Fee as a customer surcharge to reimburse the Company for the Fee.
CENTERPOINT shall provide to the City a copy of the proposed customer bill line item
describing the Fee thirty days before the first bill collecting the Fee is sent to customers.
ORDINANCE NO. 2003-23
Subd. 5. Proof of Customer Usage. CENTERPOINT shall make each payment when
due and shall quarterly furnish a complete and correct statement of gross operating revenues for
said quarter. CENTERPOINT shall permit the City and its designated representative reasonable
access to the company's records for the purpose of verifying such statements.
Subd. 6. Enforcement. Any dispute, including enforcement of a default regarding this
ordinance will be resolved in accordance with the Franchise.
SECTION 2. This ordinance shall become effective after adoption and upon thirty (30)
days following its legal publication.
Adopted this 8 day of December, 2003.
ATTEST:
City Clerk
Date of Publication: December 18, 2003
Effective Date: January 17, 2004
ORDINANCE NO. 2003 -23
EXHIBIT A
CENTERPOINT ENERGY GAS FRANCHISE
FEE SCHEDULE
Class Fee Per Premise
Residential $1.48 per month
Commercial A $1.53 per month
Commercial Industrial B $5.00 per month
Commercial Industrial C $20.00 per month
SVDF A $50.00 per month
SVDF B $96.00 per month
LVDF $96.00 per month