HomeMy WebLinkAbout1963 02-25 CCM Regular Session I
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Minutes of the Proceedings of the Village
Council of the Village of Brooklyn Center
In the County of Hennepin and State of
Minnesota
February 26, 1963
The Village Council met in Regular Session and was called to order
by Mayor Gordon Erickson at 7 :3S P. M.
Roll Call: Mayor Gordon Erickson, John Leary, Phil Cohen, Henry
Dorff and Howard Heck were present.
The invocation for the Council meeting was offered by Rev. John
Breitholtz of Brooklyn Center Baptist Church.
Motion by Howard Heck and seconded by Henry Dorff to approve the
minutes of a special meeting of February 18, 1963 as recorded. Motion
carried.
The bills having been audited motion was made by Henry Dorff and
seconded by Phil Cohen to order paid the bills set forth in the schedule
attached to these minutes and made a part thereof. Motion carried.
Member Henry Dorff introduced the following resolution and moved
its adoption:
RESOLUTION DETERMINING ULTIMATE SOURCE OF WATER
_SUPPLY FOR THE BROOKLYN CENTER WATER SYSTEM
WHEREAS, the Village Council of the Village of Brooklyn Center
realizes that a safe adequate source of water is essential to the future
welfare of the Village of Brooklyn Center and
WHEREAS, the Village Council in 1961 determined that it was to the
best interest of the Village to review the design of the Village Water System
and to determine the most economical and reliable source of water supply and
WHEREAS, the review of this matter has consisted of the following
actions by the Village Council:
1. The firm of Black & Veatch, consulting engineers, of Kansas City,
Missouri,was commissioned to complete a water system study which reviewed
the existing water system and prepared preliminary designs which would
permit the furnishing of treated water to all parts of Brooklyn Center and study
possible sources of supply which would be reliable for long range planning.
2. The firm of Black & Veatch was also commissioned to prepare a
feasibility report of the financing of possible sources of water supply.
3. The Village Council met with representatives of the City of Minn-
eapolis to discuss the basis on which water can be purchased from the City
of Minneapolis.
4. Village representatives explored with neighboring communities the
possibility of the joint purchase of water from the City of Minneapolis.
S. The Village Council and representatives of the Village consulted
with the Minnesota Department of Conservation the U.S. Army Corp of
Engineers and T. G. Evenson, bonding consultant for the Village of Brooklyn
Center and
WHEREAS, the Village Council has considered the information gained
from the above sources and other information pertinent to the matter, and has
determined that the use of water from the IMIssissippi River and the use of
well water on a interim basis is the most economical source of water supply
and its reliability is equal to or greater than any other source available and
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WHEREAS, such plan offers the advantage of stage construction of
water facilities, thereby making it possible to adjust the burden of financing
the facilities to the ability and the desire of the citizens-of Brooklyn '
Center to assume such additional financing obligations necessary for the
construction of a treatment plant.
NOW THEREFORE, BE IT RESOLVED, that the Village Council of the
Village of Brooklyn Center determine that all planning and design of the Village
Water System be based upon the use of the Mississippi River as the ultimate
source of water supply.
The motion for the adoption of the foregoing resolution was duly seconded by
member Howard Heck and upon vote being taken thereon the following voted
in favor thereof: Gordon Erickson, Henry Dorff, John Leary, Howard Heck
and Phil Cohen and the following voted against the same: None whereupon
said resolution was declared duly passed and adopted.
Member Howard Heck introduced an ordinance GRANTING TO THE
MINNEAPOLIS GAS COMPANY A CORPORATION ORGANIZED UNDER THE LAWS
OF THE STATE OF DELAVTARE, ITS SUCCESSORS AND ASSIGNS, PERMISSION
TO USE THE
STREET
AND
PUBLIC PLACES IN THE VILLAGE OF BROOKLYN
CENTER FOR THE CONSTRUCTION MAINTENANCE
AND OPERATION OF A
SYSTEM OF MAINS, PIPELINES AND OTHER FACILITIES FOR THE MANUFACTURE,
DISTRIBUTION AND SALE OF GAS, SUBJECT TO CERTAIN TERMS AND COND-
ITIONS, AND PRESCRIBING THE RATES TO BE CHARGED THEREFOR, AND RE-
PEALING ALL ORDINANCES, OR PARTS OF ORDINANCES INCONSISTENT HERE-
WITH. A copy which is attached hereto.
The motion for the adoption of the foregoing ordinance was duly seconded by
member John Leary and upon vote being taken thereon the following voted in
favor thereof: Gordon Erickson, John Leary, Howard Heck, and Henry Dorff
and the following voted against the same: Philip Cohen, whereupon said
ordinance was declared duly passed and adopted.
Motion by Howard Heck and seconded by Henry Dorff to appoint
Phil Cohen to the Board of Directors of the Gas Rate Regulatory Authority.
Motion carried.
Member John Leary introduced the following resolution and moved
Its adoption:
RESOLUTION AUTHORIZING JOINT AND COOPERATIVE AGREEMENT
RELATING TO ESTABLISHMENT OF SUBURBAN RATE AUTHORITY
BE IT RESOLVED, by the Village Council of the Village of Brooklyn
Center, Minnesota:
1. It is hereby determined to be necessary and expedient to the
public health, safety, prosperity, convenience and general welfare of
the Village of Brooklyn Center and its citizens and residents to enter
into a joint and cooperative agreement with other suburban municipal
corporations for the formation of the Suburban Rate Authority to facilitate
study, consideration, administration and negotiations relative to the rates,
services and other matters concerning the distribution of natural gas in this
municipality under a proposed uniform Suburban Franchise for the Minneapolis
Gas Company.
2. The said agreement, a copy of which is attached hereto and made
a part hereof, is hereby approved and adopted, and the mayor and clerk and
all other appropriate officials of this municipality are hereby authorized and
directed to execute said agreement on behalf of -this municipality and to take
the steps outlined in said agreement necessary to effectuate it, and the
clerk is hereby authorized and directed to send a certified co of
copy this duly res-
olution an a uly executed copy of said agreement to th
I ' Sr a village manager
of the Village of Richfield, Minnesota.
3. The first member of the Board of Directors of the Suburban Rate
Authority, established by said agreement, from m this municipality i shall P ty be
Philip Cohen, who shall serve without compensation, provided, however,
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such member of the Board of Directors may be paid his actual expenses necess-
arily incurred in the performance of his duties.
Adopted by the Village Council this 25th day of February, 1963.
The motion for the adoption of the foregoing resolution was duly seconded
by member Henry Dorff and upon vote being taken thereon, the following
voted in favor thereof: Gordon Erickson, Henry Dorff, John Leary and Howard
Heck and the following voted against the same: Philip Cohen whereupon
said resolution was declared duly passed and adopted.
Member Philip Cohen introduced the following resolution and moved
its adoption:
RESOLUTION RELATING TO A BILL FOR AN ACT, SPONSORED BY THE
CITIZENS LEAGUE OF MINNEAPOLIS AND HENNEPIN COUNTY TO
ESTABLISH A COUNTY COURT SYSTEM FOR ALL OF HENNEPIN COUNTY
AND ALSO RELATING TO A BILL FOR AN ACT, SPONSORED BY THE
HENNEPIN COUNTY SUBURBAN MUNICIPAL JUDGES' ASSOCIATION
TO ESTABLISH A UNIFIED COURT SYSTEM FOR ALL OF HENNEPIN
COUNTY LYING OUTSIDE THE CITY OF MINNEAPOLIS
WHEREAS, the Bill for an act to establish a County Court System,
for all of Hennepin County, will abolish the Municipal Court of the Village
of Brooklyn Center and will abrogate to a large extent the local autonomy
and cause substantial expense and undue hardship to its citizens, police
department and prosecuting attorney's office thereof; and
WHEREAS, the bill for an act to establish a unified Court system for
all of Hennepin County , lying outside of the City of Minneapolis, will
confirm and keep in operation, the Municipal Court of said Village of
Brooklyn Center and will otherwise provide for substantial improvements in
the functions and operations of said Court in cooperation with other Courts
in said area;
NOW, THEREFORE, BE IT RESOLVED, by the Village Council of the
Village of Brooklyn Center that the Council oppose the proposed legislation
by the Citizens League to establish a County Court System for all of Henn-
epin County
AND
BE IT FURTHER RESOLVED, by the Village Council of the Village
of Brooklyn Center that it will support legislation to establish a Unified
Court System for all of Hennepin County, lying outside the City of Minn-
eapolis, and all as per the bill for such an act sponsored by the Hennepin
County Municipal Suburban Judges Association.
Passed and adopted this 25th day of February 1963.
The motion for the adoption of the foregoing resolution was duly seconded by
member Howard Heck and upon vote being taken thereon, the following voted
in favor thereof: Gordon Erickson, Henry Dorff, Howard Heck, John Leary
and Philip Cohen, and the following voted against the same: None, whereupon
said resolution was duly passed and adopted.
Motion by Howard Heck and seconded by Phil Cohen to instruct the
administrator to send a letter of commendation to the Police Dept. and the
Junior Chamber of Commerce regarding the recent medical emergency involving
the use of the resuscitator donated by the Junior Chamber of Commerce.
Motion carried.
Motion by Henry Dorff and seconded by John Leary to adjourn. The
Village Council adjourned at 12 :35 A. M.
Mayor
A ,
rk
VILLAGE OF BROOKLYN CENTER
UNIFORM SUBURBAN FRANCHISE !
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FOR
MINNEAPOLIS GAS COMPANY
i
November 9, 1962
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AN ORDINANCE
GRANTING TO THE MINNEAPOLIS GAS COMPANY, A
CORPORATION ORGANIZED UNDER THE LAWS OF THE
STATE OF DELAWARE, ITS SUCCESSORS AND ASSIGNS,
PERMISSION TO USE THE STREETS AND PUBLIC PLACES
- IN THE VILLAGE OF BROOKLYN CENTER FOR THE CON -
STRUCTION,.MAINTENANCE AND OPERATION OF A SYSTEM
OF MAINS, PIPELINES AND OTHER FACILITIES FOR THE
MANUFACTURE, DISTRIBUTION AND SALE OF GAS, SUB -
JECT TO .CERTAIN TERMS AND CONDITIONS, AND PRE-
SCRIBING THE RATES TO BE CHARGED THEREFOR, AND
REPEALING ALL ORDINANCES, OR PARTS OF ORDINANCES,
INCONSISTENT HEREWITH.
Whereas, the Minneapolis Gas Company, a corporation organ-
ized under the laws of the State of Delaware, owns property used
and useful.in the manufacture, distribution and sale of gas in
the Village of Brooklyn Center and is operating said property in
said Village; and
Whereas, the Village Council of the Village of Brooklyn
Center on the 9th day of April, 1947, adopted an ordinance grant -
ing.a franchise to the Minneapolis Gas Company,,its successors
and assigns, for the manufacture, distribution and sale of gas
in said Village for a period of twenty (20) years; and
Whereas, meetings have been held between representatives
of the Minneapolis Gas Company and the Village Council of the
Village of Brooklyn Center relative to a revision of the fran-
chise previously granted; and
Whereas, the Minneapolis Gas Company, as and for
consideration and compensation for the rights and privileges herein
granted, has agreed to surrender its present franchise ordinance
� and has agreed, during the term hereof, to continuously supply
ti gas service to the inhabitants of the Village, as provided in
this franchise ordinance, and has agreed to perform.contractual
obligations set forth in said franchise ordinance, and has agreed
to pay to the Suburban Rate Authority for the use and benefit of
the Village the amount provided in Section 18; and
Whereas, the Village Council of the Village of Brooklyn
Center in cooperation with other municipalities of the suburban
area,,has determined that it is desirable and to the advantage
of the consumers of gas in the Village of Brooklyn Center that a
new franchise should be granted by said Village to said,Company
upon the terms and conditions expressed herein and that the
previous franchise hereinabove referred to should be- repealed
and.all rights and privileges of the Company thereunder surrendered
and cancelled except as hereinafter provided.
NOW, THEREFORE, THE VILLAGE COUNCIL OF THE VILLAGE OF
BROOKLYN CENTER DO ORDAIN AS FOLLOWS:
Section 1. In this ordinance the terms "Municipality
J
"Municipal.Council" and "Municipal Clerk" shall mean respectively,
the Village of Brooklyn -- Center, the Council of the Village of Brooklyn
Center and the Clerk of the Village of Brooklyn Center.' If at any
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time the powers of the Municipality, the Municipal Council or the
Municipal Clerk shall be transferred to any other authority, board,
officer or officers, then and in such case such authority, board,
officer or officers shall have the rights, powers and duties here-
in referred to or prescribed for the Municipality, the Municipal
Council and the Municipal Clerk respectively.
The term "Company" shall mean the Minneapolis Gas Company,
its successors and assigns, and the words "streets and public
places" shall mean the streets, avenues, alleys, parkways, roads,
squares, parks, bridges, viaducts and public places in the
Municipality.
The term "gas" as used herein shall be held to include
manufactured gas, natural gas, reformed natural gas, a mixture of
natural gas and manufactured gas, or other form of gaseous energy.
The term "one thousand cubic feet" of gas where used in
this ordinance is 1,000 cubic feet of gas measured at temperature
and pressure existing at the point of metering, or, when corrected,
at 60 F and 14.5 pounds per square inch, absolute.
The term "suburban area" shall include the cities of
Bloomington, Columbia Heights, Crystal, Fridley, Hopkins, Robbins
dale, St. Louis Park and Wayzata; the villages of Brooklyn Center,
Brooklyn Park, Deephaven,A Edina, Excelsior, Golden Valley, Green-
wood, Hilltop, Maple Grove, Minnetonka, Morningside, New Hope,
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Osseo, Plymouth, Richfield, St. Anthony, Shorewood and Woodland;
; and the area of Fort Snelling.
Other municipalities or area adjacent to or near the City of
Minneapolis the or h suburban area may be included in the Po y "suburban
area" for rate- making purposes, subject to the provisions of
Section 12.
The term "Suburban Rate Authority" shall mean an organiza-
tion consisting of one member appointed by the Municipal Council
of each Municipality in the suburban area adopting this ordinance
and existing for the purpose of administering the rate provisions
of this ordinance. It is empowered to employ consultants and
others and shall adopt such rules, regulations and bylaws as will
enable it properly to perform the functions herein provided for.
Section 2. There is hereby granted to Minneapolis Gas
Company, its successors and assigns, for a period extending to
January 1, 1983, from and after the acceptance of this ordinance
by the Company, and waiver of rights by said Company required by
Section 27 hereof, and subject to the terms, conditions and limita-
tions herein stated, the right to manufacture, import, transport,
sell and distribute gas for heating, illuminating and other pur-
poses within the limits of the Municipality as the boundaries
L thereof now exist or as they may be extended in the future, and
for that purpose to establish the necessary facilities and equipment
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and to maintain a manufacturing plant, gas mains, service pipes
and any other appurtenances necessary to the manufacture, sale
and distribution of gas in and along the streets and public places
.
of said Municipality, and to do all things which are reasonable,
necessary or customary in the accomplishment•of this objective,
subject, however, to the further provisions of this franchise.
Provided, however, that before said Company shall establish any
plant in said Municipality for the manufacture of gas, the approval
of the Municipal Council of the location thereof, in the exercise
of a reasonable discretion by said Council, shall be first ob-
tained by said Company.
If the right or privilege to manufacture, purchase,
transport, mix, distribute or sell gas in annexed territory, shall
be owned or controlled by the Company at the date of annexation,
said right or privilege shall, from and after the date of annexa-
tion and during the balance of the term hereof, be exercised and
controlled by the provisions of this ordinance. The Company agrees
to manage its plant and operations in a reasonably efficient and
economical manner. The Company also agrees to use due diligence
in the matter of the issuance of long -term debt to assure reason-
able cost of such debt, provided, however, that this should not
be construed as requiring competitive bids on new debt issues.
Section 3. The Company shall charge, demand, collect
and receive just and reasonable rates,. charges and compensation
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Section 3
as hereinafter provided. The altering, amending or revising of
any rates made by the Company to obtain compliance with this ordi-
nance shall be by the Suburban Rate Authority. The said Suburban
t Rate Authority exists for the purpose of reviewing gas rates made
by the Company and undertaking appropriate action thereon as in
this ordinance authorized.
Nothing in this ordinance shall prevent the power herein
given to the Suburban Rate Authority to alter, amend or revise
Company rates from being hereafter delegated, by law, to some
other governmental authority.
From and after the effective date of this ordinance, the
Company shall charge, demand, collect and receive not to exceed
the following rates for gas supplied to each customer at one
location in the entire suburban area, including the Municipality,
for each month, except as said rates shall be-changed or modified
as hereinafter provided, viz:
First 300 cu ft or less $2.00
Next 3,700 cu ft 1.43 per M
Next 26,000 cu ft 1.10 per M
Next 130,000 cu ft 1.00 per M
Next 140,000 cu ft 1.00 per M
All over 300,000 cu ft .90 per M
The rates above specified are called "B1ockRates ".
The rates permitted by this ordinance, except as to natural
gas furnished industrial customers, are for natural gas having a
monthly average total gross heating value of not less than 950
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Section 3
British Thermal Units per cubic foot, and shall continue, subject
to adjustment as herein provided.
Bills shall be rendered at rates permitted by this ordi-
nance; provided, however, that when a bill is not paid within
ten (10) days after a bill is delivered or mailed to a customer,
the Company may charge, demand, collect and receive the amount
thereof plus ten per cent (10%). The Company may require any
consumer of gas to deposit with it a reasonable amount as security
for payment of gas used or to be used by said consumer. The Company
shall pay interest on the deposit at the rate of six per cent
(6%) per annum.
(a). The said rates shall remain in force and effect and
be adjusted from time to time, as hereinafter provided. In order
to avoid undue discrimination between customers the Company may,
at the time specified in this section and subject to review in
the same manner as is provided in said ordinance, adjust the
Block Rates either by changing the number and size of the blocks
or by changing the price variation between the blocks, or both,
or by changing the rate form, by submitting at the time of filing
the adjusted Block Rates material and data supporting the desir-
ability for such change or changes and the reasonableness thereof.
Provided, the Company shall make a rate structure study at least
once in each five years hereafter. Provided, further, that the
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Section 3
Block Rates for any other type of gas furnished in place of
natural gas may be revised by agreement between the Suburban
Rate Authority and the Company.
Nothing erein shall prevent the Company fr t
g p om establish-
ing from time to time during the term hereof lower rates than
the rates hereby permitted, and, in addition to the rate schedules
contained in this section, from establishing, changing or dis-
continuing load building, inducement or competitive rates, pro-
vided that such rates shall be reasonable for consumers within
different classes of service and that a lesser rate to one class
of consumers shall not impose an undue burden of cost upon con-
sumers in other classes.
The Company shall have the right to.contract for the sale
of as for industrial use on an interruptible basis requiring
g P 4 g
the customer to have standby equipment for use upon notice by
the Company. The Company's rules, regulations, schedules or con-
tracts for curtailin g interruptible tible as service shall be uniform
u
g
as applied to each class of interruptible customers.
(b). The Block Rates specified in this section shall re-
main in force and effect until January 31, 1963. In the month
of January, 1963, and thereafter in the month of January of each
year during t
y r u ng he remaining period coveredby this ordinance, the
Company shall decrease the Block Rates, and may increase the
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Section 3
same, sufficient to permit and enable the Company to realize
Actual Net Earnings equal to the Allowable Annual Return, as pro-
vided for in Section 4, for each calendar year of said remaining
period.
Increases or decreases in the Block Rates to be made at
or about the end of each of the above mentioned calendar years
shall be based upon forecasts for the ensuing calendar year of
j the rates required to
q permit and enable the Company to realize
Actual Net Earnings during said calendar year sufficient to pro-
duce the Allowable Annual Return us past unabsorbed deficiencies
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therein,'or less past unabsorbed overages therein, as the case
may be, which may occur after January 1, 1963, under the terms
of this ordinance.
The Company shall file with the Suburban Rate Authority,
on or before January 10 of each year, the aforesaid forecasts,
together with the Block Rates which are proposed to be effective
on bills rendered after January 31 of that year.
Provided, however, in order to minimize or prevent ex-
cessive fluctuations in the Block Rates, the Company may addi-
tionally once during a calendar year, but not prior to July 15
thereof, adjust the Block Rates in the same manner as provided
{ above for the adjustment of said Block rates at or about the end
of each calendar year.
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Section 3
in making increases or decreases in the Block Rates here-
under, fractions of one -half (1/2) cent or more shall be counted
as one cent and fractions of less than one -half (1/2) cent shall
be disregarded so far as the current period is concerned.
(c). The Company agrees not to make any change in rates
permitted or required by this ordinance either by altering the
I
classification thereof, or otherwise, until after twenty (20)
days' notice of any such change has been given to the Suburban
Rate. Authority. Such notice shall be deemed to have been given
when a written statement of any change, or changes, in such rates,
signed by the Company, shall be filed with the Suburban Rate
Authority. The Company shall furnish such information, reports
and statements relating to any such changes which may be required
by the Suburban Rate Authority. Any change in rates made pursuant
to the terms of this ordinance shall be made effective as soon
as practicable after the expiration of each calendar year, sub-
.
ject to the proviso in Subsection 3(b). Provided, that before any
rate established by the Company for any new class of consumers
shall become effective, the Company shall give•ten (10) days'
similar notice to the Suburban Rate Authority of the establish-
ment of said rate, which may be altered, amended or revised within
ten (10) days thereafter as in this section provided. The filing
of any notice with the Suburban Rate Authority, as required by
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Section 3
this ordinance, shall be deemed notice to this municipality.
(d). The Company agrees that any change in rates made
by the Company, not in accordance with this ordinance, may be
altered, amended or revised, so as to conform to the provisions
of this ordinance and according to the terms thereof, by an
engineer, auditor or accountant of the Suburban Rate Authority
duly appointed for such purpose. The engineer, auditor or c
Y PPo p p g ac oun -
tant so appointed shall be qualified and experienced in public
utility regulatory matters and an employee of the said Suburban
j Rate Authority. Any such alteration, amendment or revision shall
I
be made by order, stating the reasons therefor, duly served on
the Company within twenty (20) days after notice of such proposed
rates shall be given by the Company, as in this ordinance pro-
vided. The Company shall have the right to a prompt hearing and
review of such alteration, amendment or revision in the courts
of the State of Minnesota, if proper application is made therefor
within thirty (30) days after notice of such alteration, amend-
ment or revision, and if such hearing and review is applied for,
then until such alteration, amendment or revision shall be finally
sustained or altered by such courts, the rate made by the Company
shall remain in effect for the period as provided in this ordinance.
At the time of making the application for review the Company shall
file with the Clerk of Court a corporate undertaking requiring it
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Section 3
to refund, rebate or comply with such other relief as said
courts may order. At the hearing provided for herein on the
issue or issues raised by the aforesaid order the court shall
consider all evidence which may be relevant and proper.
(e). The Company agrees that when no change in an exist-
ing rate is proposed at the time of a rate filing, the said Subur-
ban Rate Authority shall have the power to alter, amend or revise
the said existing rate in the manner provided in Subsection 3(d),
if the said existing rate is not in accordance with the provi-
sions of this ordinance. The right of the Company for court re-
view in such instance shall also be the same as provided in Sub-
section 3(d).
(f) The Company shall not charge, demand, collect or re-
ceive a greater or less or different compensation for any service
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or similar service rendered, or to be rendered, than the rates
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and charges applicable to such service in effect at the time for
consumers in the same class, nor shall the Company refund or remit
in any manner or by any device any portion of the rates or charges
so specified. The Company shall not offer, extend to, or accept
from any person or corporation any form of contract or agreement
for.service that is not regularly and uniformly applicable to all
persons and corporations receiving the same or like service. The
Company shall not extend, afford or use any rule or regulation,
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or any privilege or facility that is not regularly and uniformly
applicable to all persons and corporations receiving service
under the same or like conditions, except as provided in Sub-
section 3 (a) hereof.
Section 4. It is the purpose of this ordinance to insure
that the consumer shall pay only a fair, just and reasonable rate
and that such rate will ermit the Company t m ke e
p o u a r
return on the capital investment ap inv s ment in the business, as hereinafter
i
defined in this Section, under an economical and efficient manage-
ment of the same.
(a). As used in this ordinance, "allowable annual return
shall mean the amount computed by application of the "allowable
rate of return" to the "allowable rate base" as defined in accord
ance with the provisions of Subsections (b) , (c) , (d) , (e) , (f)
II� and (g)
(b). The "allowable rate of return" shall be 6 -1/2%
during calendar years when the Company's average cost of long -term
debt capital at the beginning of the current year is not less p g g y than
0 0
3 -1/2% nor greater than 4 -1/2 %. Long -term debt shall consist of
all debt due over one year after date of issue. The average cost
of long -term debt shall be the weighted average effective cost of
} the outstanding long -term debt at the beginning of the current
year. The effective cost of each debt issue shall be computed
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Section 4
by dividing the product of the interest rate and principal amount
issued by the net proceeds of the issue. The net proceeds of an
r issue shall consist of the principal amount plus any premiums re-
ceived, less any discounts and issuance expense, and less call
premiums when any refunding of an issue results in a lower effect-
ive cost of debt. Whenever there is a decrease in the Company's
average cost of Lon -term debt capital °
9 g p 1 below 3 -1/2/ or an increase
above 4 -1/2 %, the "allowable rate of return" of 6 -1/2 9 /6 shall be
decreased or increased by 50°� of such decrease or increase. There-
.
after, any contra move in the average cost of long -term debt cap-
ital will required the reverse adjustment in the "allowable rate
of return". No change in the allowable rate of return' shall be
made unless the decrease or increase in the average cost of long-
term debt capital shall equal at least 1/10 of one percentage
point, and in no event shall the decrease or increase in the
"allowable rate of return" be other than in multiples of 1/20 of
one percentage point.
(c). The "allowable rate base" shall be the sum of the
"fair value of the suburban area utility plant" used and useful
in the public service as provided in Subsections (d), (e) and (f)
and working capital as provided in Section 5, less average con-
tributions in aid of construction and average cash advances for
construction, as reflected on the Company's books.
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Section 4
(d) The "fair value of the suburban area utility plant"
shall be the sum of 50% of the average original plant cost in-
cluding the current year net additions, less depreciation per
books, computed on a monthly basis, and 50% of the "reproduction
cost new" plant as defined in Subsections (e) and (f), less depre-
ciation. Depreciation of the "reproduction cost new" plant shall
be computed by the use of the ratio of the book depreciation re-
serve to the original plant gross cost, plus three (3) percentage
points.
The 50% weighting of the "reproduction cost new" plant
shall be used as long as the Company's ratio of debt capital does
not exceed 60% at the beginning of the current year. If it ex-
ceeds 60% the 50% weighting of the "reproduction cost new" plant
I
will be decreased by one percentage point for every one percentage
point increase in the debt capital ratio above 60%. In such event
the 50% weighting of the original plant cost will be increased by
each percentage point that the weighting of "reproduction cost
new" plant is decreased.
(e). "Reproduction cost new" shall consist of the sum of
the following amounts:
(1) The original cost at the beginning of the
preceding calendar year of all plant classified as
Intangible Plant, Land and Land Rights, and General
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Section 4
Plant, excluding Structures and Improvements.
(2) The original cost at the beginning of the
preceding calendar year of all other plant trended
to reflect the Handy - Whitman Index of Public Utility
Construction Costs (North Central Division) as of
July 1 prior to the current calendar year. Each plant
account shall be trended by use of the following indexes:
Plant Account Index
All Manufactured Gas Produc- Total Construction
and
t
ion Plant excluding Land Equipment .(Manufactured
and Land Rights Gas)
Distribution Plant
Structures and Improvements Structures and Improvements
Mains - Steel Mains - Steel
Mains Cast Iron Mains - Cast Iron
Pumping and Regulating Mechanical Equipment exclu
Equipment sive of Gas Holders
Services Services
Meters Meters
Meter Installations Meter Installations
House Regulators House Regulators
House Regulator Installa- House Regulator Installa-
tions tions
Other Property on Customers' Structures and Improvements
Premises
General Plant
Structures and Improvements Structures and Improvements
Any new Plant Account which may hereafter be established
shall be trended in accordance with the appropriate Handy-
Whitman Index.
(3) The original cost of the gross plant additions,
-16-
Section 4
less retirements, installed in the preceding calendar
year.
(4) The original cost of the gross plant additions,
less retirements, installed during the current calendar
year averaged on a monthly basis.
(f). At the end of each five -year interval the con-
struction cost trends experienced by the Company since the adop-
tion of this ordinance shall be compared with the appropriate
Handy- Whitman Index. If after such comparison, the difference
between the Handy - Whitman costs and the Company's experience is
15 %, or less, of the total "reproduction cost new" plant, the
Handy- Whitman Index costs will be used s d for the succeeding five
years. If the difference exceeds 15 %, the parties agree to ad-
just the Handy - Whitman costs to reflect Company experience.
In the event the Handy- Whitman Index of Public Utility
Construction Costs (North Central Division), or its successor,
is no longer available, another similar Index mutually agreeable
to the Company and the Suburban Rate Authority will be used.
(g). As used in this ordinance, "Actual Net Earnings"
of the Company shall consist of the balance remaining after deduct-
ing from the gross revenues of the Company from the manufacture,
purchase, mixture, transportation, distribution and sale of gas
sold in the said suburban area during the calendar year of 1963,
-17-
Section 4
and each calendar year thereafter, the following operating and
maintenance costs and expenses connected with the manufacture,
purchase, mixture, transportation, distribution and sale of gas
sold in the said suburban area during such calendar periods:
(1) Production Expenses, including ost of purchased
g P
gas,
(2) Distribution and Utilization Expenses;
I
(3) Customers' Accounting and Collecting Expenses;
(4) Sales Promotion Expenses;
(5) An item to cover "Administrative and General
Expenses" which shall be the just, fair and reasonable
cost to the Company of all of the sub- accounts that are
included in such Administrative and General Expenses, but
the aggregate of "Administrative Salaries" and "General
Incidental Expenses" classified as in the present practice
of the Company in these accounts shall not exceed in any
I
calendar year three per cent (3 %) of the annual gross
I
revenue, including contributions, gratuities and donations
I
not to exceed three - tenths of one per cent (3/10 of 1 %)
of the annual gross revenue.
(6) All taxes and governmental impositions of every
nature actually paid by the Company directly to govern-
mental tax collecting agencies or accrued in accordance
-18-
i
i
i
I
1
Section 4
with general acceptable accounting principles. Any tax
other than an ad valorem tax which may hereafter be law-
fully authorized and thereafter separately imposed by any
municipality shall be added only to the bills of the cus-
tomers within such municipality.
(7) An annual allowance, beginning January 1, 1963,
for depreciation of depreciable property owned by the
Company and used and useful in rendering gas service in
the suburban area for each calendar year during the term
of this ordinance of an amount designed to recover the
original cost of such depreciable property over the esti-
mated average service -life of each group of property on a
straight -line basis, computed by application of the annual
depreciation rates, now used by the Company in recording
depreciation on the books of the Company to the original
cost of depreciable property included in each of the major
property classifications and properly chargeable to depre-
ciation expenses. Provided, however, such annual deprecia-
tion rates may be revised periodically so as to reflect all
factors bearing on the amount designed to recover the orig-
inal cost of such depreciable property over its estimated
average service -life;
(8) All other actual and proper classes of mainte-
nance and operating expenses of the Company;
-19-
I
Section 4
(9) An item to cover taxes, depreciation and return
on any plant not included in the suburban area Allowable
Rate Base, but which is used and useful in rendering
public service therein. A credit item (deduction from
expenses) to cover taxes, depreciation and return on any
plant included in the suburban area allowable rate base,
but which is properly allocable to rendering service out-
side the suburban area, subject, however, to the provi-
sions of Section 1.
(10) Annual allowance for amortization of extra-
ordinary property losses resulting from change in type
of gas, unusual obsolescence or unforeseen property damage.
Appropriate items may be amortized or accrued according
to accepted accounting practice and, except as otherwise pro-
vided in this ordinance for specific items, the actual experience
of the Company shall be the determining factor in support of the
amounts and rates of amortization or accrual for such items, as
such experience gives a definite guide.
All expense items, whether charged directly and entirely
in a calendar year or amortized or accrued over a longer period,
all revenue items and all balance sheet items shall be, at all
times, recorded by the Company in substantial accordance with
the Uniform System of Accounts for Gas Utilities of the National
-Z0-
Association of Railroad and Utility Commissioners, except as
otherwise provided in this ordinance and except that installment
and carrying charges will be credited to gross merchandise sales.
The allocation of the Company's operating expenses and
Plant within and without the suburban area shall be made by the
Company in accordance with a formula that reasonably reflects the
costs as they occur for rendering service within and without the
said area. Any change in such formula made in any rate filing
will be specifically referred to in a separate communication
filed with the Suburban Rate Authority at the time of the rate
filing.
When there is a balance in the account for cumulative
overage in excess of the allowable return, such balance shall be
credited with interest computed at the current prime interest
rate. Net refunds (after taxes) from any supplier shall be
credited to such account. Overages in such account may be used,
by mutual agreement, in such manner as will minimize or prevent
violent fluctuations in rates, notwithstanding the provisions of
Subsection 3(b).
Section 5. The Company shall be entitled to fair and
adequate working capital in an amount determined as follows:
As used in this ordinance, "working capital" shall mean
an amount applicable to the suburban area for the calendar year
-21-
of 1963, and for each calendar year thereafter, equal to the
annual average funds invested by the Company during such calendar
years in materials and supplies on hand, merchandise accounts
receivable, prepayments and deferred charges properly chargeable
to operations, plus a cash fund equal to ten (10) days' average
daily operating expenses and taxes, plus one - eighth (1 /8) of the
annual operating expenses and taxes, less credits for the annual
average of accrued taxes and purchased gas accounts payable.
The working capital computed in accordance with the fore-
going formula shall be included in the allowable rate base as pro-
vided in Subsection 4(c).
Section 6. The Company shall file with the Suburban Rate
Authority printed schedules which shall be kept open for public
inspection, showing all rates, charges, compensation, forms of
contracts or agreements made, established or enforced or to be
enforced with customers in the suburban area, together with all
I
rules and regulations relating to rates, charges or services
rendered or to be rendered and all privileges allowed and facil-
ities afforded by the Company to its customers in the suburban
urea. The Suburban Rate Authority shall have the right at any
reasonable time to inspect, examine and audit the accounts, books,
records, reports, contracts, documents and papers of the Company.
The said Suburban Rate Authority may appoint or designate the
-22-
i
person or persons to make such inspection, examination or audit.
Section ?e The Company shall at all times keep, maintain
and preserve for the suburban area proper and accurate engineer-
ing, accounting, financial and statistical records, relating to
the construction, cost, maintenance and operation of its property
which at all times shall show correctly and in detail all its
financial transactions, including all of its receipts and dis-
bursements and the particulars thereof, and all data needful for
the preparation of the statements and reports hereinafter provided
for
The Company shall, each month, prepare and file with the
Suburban Rate Authority the following:
i
(a) A detailed statement of all assets and liabilities
of the Company as of the close of the preceding month;
(b) A detailed statement showing source and application
of revenues of the Company from the sale of gas and of by- products
and from all other sources for the preceding month and year, up
to and including the preceding month; also all expenditures of
the Company during said year; all dividends and interest paid;
the cost of all materials used in the manufacture of gas, all
operating expenses, taxes and salaries; the cost of all repairs
and of all property, real or personal, by it purchased, acquired,
constructed or installed; said statements shall be so prepared as
-23-
I
to show the net income of the Company from its regular business
and from all other sources and the use or disposition of said
income.
The Company shall also, from time to time, furnish monthly
operating and financial reports and such other information, re-
ports and statements regarding its property and business, and
the conduct thereof, as the Suburban Rate Authority may require.
All information, reports and statements furnished to the Suburban
Rate Authority by the Company shall be certified by the President,
Secretary or other proper officer of the Company.
Section 8. The provisions of this ordinance relative to
allowable annual return, allowable rate of return, allowable
I'I rate base and accruing annual depreciation rates fixed under the
provisions hereof and other requirements shall be considered as
conditions hereof, but no such provisions, nor any matter, fact
or thing herein contained shall be construed as an admission
either by the Municipality or the Company in connection with any
proceeding for the acquisition of the Company's property, or any
part thereof, under eminent domain or condemnation proceedings, or
in connection with any proceeding for the valuation of the Company's
property, or any part thereof, during or after the termination
hereof, or in connection with any proceeding for the fixing of
rates after the termination hereof, to any of which proceedings
the Municipality shall be a party.
-24-
Section 9. In determining "allowable annual return ",
"allowable rate of return" and "allowable rate base" under
Section 4 hereof, the books and records of the Company, and its
L'
predecessors, made and kept prior to the passage of this ordi-
nance, shall be used insofar as necessary in applying said
Section 4.
Section 10. The books of account shall contain an ac-
count that may be designated "
y as Reserve for Depreciation of
Utility Plant", or similar term, which shall show at all times
as nearly as may be the unexpended or unused balance of accumulated
charges to operating expenses on account of depreciation, replace-
ments, renewals or retirements. When any property is abandoned
or removed, withdrawn, retired from, or is not used and useful
in the public service for any cause, the actual original cost
shall be credited to the appropriate capital account, and such
amount plus the cost incidental to said abandonment removal,
o al,
withdrawal or retirement shall be charged to said reserve, sub-
ject, however, to the provisions of the following paragraph. The
salvage value received and any other amounts recovered from said
property shall be credited to said reserve.
When a substantial segment of the Company's utility property
is required to be abandoned and retired from service because of
change of type of gas, or unusual obsolescence, or unforeseen
-25-
property damage and such property is riot fully covereca by the
depreciation reserve or other reserves or by insurance, then the
unrecovered balance of such property shall be credited to the de-
preciation reserve or other appropriate reserve and be charged to
a deferred charge account designated as "Extraordinary Property
Losses ". Charges to said deferred charge account shall be amor-
tized by charges to operating expenses as provided for in Section 4.
If the original cost is not shown by the books and records
of the Company or its predecessors, such amount shall be estimated
and a record shall be made by the Company showing the facts upon
which said estimate was based, the manner in which it was deter-
mined and the person by whom it was made, and said estimated
amount, together with removal costs and salvage value, or other
amounts received or recovered from said property, shall be ac-
counted for in the manner as hereinabove provided.
I
Section 11. The Company shall at all times keep, main-
tain and preserve all the books, records and accounts of the
Minneapolis Gas Light Company, a corporation organized under the
laws of the State of Minnesota, and the Minneapolis Gas Light
Company, a corporation organized under the laws of the State of
Delaware, the predecessors of the Company, and such books, records
and accounts shall at all reasonable times be open to inspection
and examination by the Suburban Rate Authority, as provided in
-26-
Section 6, in respect to the books, records and accounts of the
Company.
I
The Company shall set up, keep and maintain at all times
at its general offices, accurate books of account, showing among
other things as nearly as may be the actual original cost of the
property owned b the Company within the suburban area. For this
P Y P
Y Y
purpose, the books and records of the predecessor companies
(Minneapolis Gas Light Company of Minnesota and Minneapolis Gas
Light Company of Delaware) may be used without prejudice to the
Suburban Rate Authority in any proceeding where the actual original
cost may be an issue. All property added shall be entered on the
books at its actual original cost.
Section 12. The Company agrees to lay such of its mains
and pipes as come within its requirements for service as soon as
reasonably possible to do so. The Company shall give reasonable
notice to the municipal engineer of plans to lay mains in any part
of the Municipality. The laying of such mains shall not unduly
interfere with established municipal planning. Extensions of serv-
ice beyond the borders of the suburban area as herein defined shall
not collectively cast any undue burden on the customers in said
:• suburban area.
Section 13. The council of the Municipality shall have the
right to make such reasonable rules and regulations as may be
_27-
necessary to provide adequate and proper service. The Munici-
pality shall have the power to provide for the inspection, examina-
tion and ascertainment of the accuracy of any and all gas meters
used or intended to be used for measuring and ascertaining the
quantity of gas supplied by the Company and to inspect, examine
and ascertain the accuracy of recording pressure gauges and of
all apparatus for testing and proving the accuracy of gas meters.
Section 14. The Company shall not open or disturb the
surface of any street or public place for any purpose without
first having obtained a permit so to do from the proper Municipal
officials, for which permit the Municipality may impose a reason-
able fee to 'be paid by the Company. The mains, services and other
property placed in the streets and public places pursuant to such
permit shall be located in the streets or portion of the streets
and public places as shall be designated by the Municipality.
The Company shall, upon completion of any work requiring the open-
ing of any street or public place, restore the same, including the
paving and its foundations, to as good condition as formerly, and
shall exercise reasonable care to maintain the same for two (2)
years thereafter in good condition. Said work shall be performed
-, with due diligence and if the Company shall fail promptly to
perform and complete the work, to remove all dirt and rubbish and
to put the street or public place in good condition, the
-28-
Municipality shall have the right to put the street or public
place in good condition at the expense of the Company; and the
Company shall, upon demand, pay to the Municipality the cost of
such work done for or performed by the Municipality, together
with ten per cent (10°x) additional as liquidated damages. Not-
withstanding the foregoing provisions of this section, the
Company may open and disturb the surface of any street without
a permit where an emergency exists requiring the immediate repair
of a gas main or gas service. The Company in such event will re-
quest a permit not later than the second working day thereafter.
Section 15. Whenever the Municipality shall grade, regrade
or change the line of any street or public place or construct or
reconstruct any sewer or water system therein and shall, in the
proper exercise of its police power, and with due regard to
seasonable working conditions, order the Company to relocate
permanently its mains, services and other property located in
said street or public place, the Company shall relocate its facil-
ities at its own expense. In construing this paragraph, the ob-
ligation of the Company to relocate its facilities shall be as
applicable to water systems as it is to sewer systems. The Munic-
ipality shall give the Company reasonable notice of plans to grade,
regrade or change the line of any street or public place or to
construct or reconstruct any sewer or water system therein.
-29-
The Company may be required to relocate its facilities at
its own expense where grade changes are made by the Municipality
for improved drainage or improved traffic conditions, provided,
however, if a subsequent relocation or relocations shall be ordered
within ten years from and after the first relocation the Munci-
pality shall reimburse the Company for such non - betterment reloca-
tion expense which the Company may incur on a time and material
basis. Provided, however, nothing in this ordinance contained
shall deprive the Company of its rights under Section 161046,
Minnesota Statutes.
Nothing contained in this section shall require the
Company to remove and replace its mains or to cut and reconnect
its service pipe running from the main to the customer's premises
at its own expense where the removal and replacement or cutting
and reconnecting is made for the purpose of a more expeditious
operation for the construction or reconstruction of said sewer or
water system; nor shall anything contained herein relieve any
person, persons or corporations from liability arising out of the
failure to exercise reasonable care to avoid injuring the Company's
facilities while performing any work connected with grading, re-
�► grading or changing the line of any street or public place or
with the construction or reconstruction of any sewer or water
system.
-30-
Where the Municipality orders the Company to relocate any
of its facilities, the Company shall proceed with such reloca-
tion. If such relocation is done without an agreement first being
I
made as to who shall pay for the relocation cost, such relocation
of the facilities by the Company shall not be construed as a
waiver of its right to be reimbursed for the relocation cost.
If the Company claims that it should be reimbursed for such re-
location costs, it shall notify the Municipality within ten (10)
days after receipt of such order.
Section 16. The Municipality shall give the Company reason-
able written notice of plans for street improvements where paving
or resurfacing of a permanent nature is involved, which notice
shall contain the nature and character of the improvements, the
streets upon which the improvements are to be made, the extent of
the improvements and the time when the Municipality is going to
start the work, and, if more than one street is involved, the order
in which this work is to proceed. Paving or resurfacing of a perma-
nent nature refers only to Portland cement concrete or high type
bituminous concrete.
The notice shall be given to the Company a sufficient length
# of time, considering seasonable working conditions, in advance of
the actual commencement of the work to permit the Company to make
any additions, alterations or repairs to its facilities deemed
necessary by it.
-31-
i
In cases where streets are at final width and grade, and
the Municipality has installed underground sewer or water mains
and service connections to the property line abutting the streets
prior to a permanent paving or resurfacing of such streets, and
the Company's main is located under such street, the Company may
be required to install gas service connections prior to such
paving or resurfacing, whenever it is apparent that gas service
will be required during the five years following the paving or
resurfacing.
Section 17. All mains, services, governors and other
property and facilities shall be so located, constructed, installed
and maintained as not to endanger or unnecessarily interfere with
the usual and customary trade, traffic and travel upon the streets
and public places of the Municipality. The Company shall keep
and maintain all of its property in good condition, order and re-
pair, so that the same shall not menace or endanger the life or
property of any person. The Municipality shall have the right to
inspect and examine at any reasonable time the property owned or
used, in part or in whole, by the Company for the purpose of manu-
facturing, distributing, furnishing or selling gas in the suburban
area.
Section 18. The Company agrees to pay to the Suburban Rate
Authority, effective January 1, 1963, not less than $30,000.00 per
-32-
L
year to be allowed as an operating expense to the Company and
which shall be used to secure compliance with this ordinance, and
for such other purposes relating to the Company's purchased gas
costs and gas supply as the Suburban Rate Authority shall deem
necessary. The amount of such annual payment shall be subject to
possible revision by the Suburban Rate Authority and the Company,
not oftener than once in five (5) years, if mutually agreed to.
Section 19. The Company shall at all times provide and
furnish an adequate, safe and continuous supply of gas to the
Municipality and its inhabitants, subject, however, to the further
provisions of this section. The Company sells and distributes
gas throughout its entire distribution system. The natural gas
distributed by the Company is furnished by the pipeline system
owned and operated by Northern Natural Gas Company, a "natural
gas company" under the Federal Natural Gas Act, which subjects
said Northern Natural Gas Company to the jurisdiction of the
Federal Power Commission.
The Company shall not be liable to the Municipality or
its inhabitants, nor shall the Municipality, or any inhabitant
who is a customer of the Company, be liable to the Company here
' under by reason of the failure of the Company to deliver, or of
the Municipality or a customer to receive, natural gas as a re-
sult of acts of God, or the public enemy, inability of pipeline
-33-
supplier to furnish an adequate supply due to an emergency, an
order or decision of a public regulatory body or other acts
'beyond the control of the party affected.
Whenever any of the occurrences named above take place,
the Company shall have the right and authority and it shall be
its duty to adopt reasonable rules and regulations in connection
with limiting, curtailing or allocating extensions of service or
supply of gas to any customer or prospective customer, and with-
holding the supplying of gas to new customers, provided that such
rules and regulations shall be uniform as applied to each class
of customers; classifications of customers shall be reasonable
and shall be nondiscriminatory as between municipalities in the
suburban area.
If service is temporarily suspended because of any of the
reasons set forth above, occurring through no fault or negligent
act on the part of the Company, such suspension shall not be made
the basis of any action or proceeding to terminate this franchise.
The quality of the gas sold in the suburban area shall be the same
as that sold to the Company's customers in the City of Minneapolis.
i
The pressure at which gas is supplied and the method and
manner of testing the heating value, quality, purity and pressure
of the gas supplied, shall be in accordance with accepted national
. J
standards.
-34-
Section 20. The Company shall indemnify, keep and hold
the Municipality free and harmless from liability on account of
injury or damage to persons or property growing out of the negli-
gent construction, maintenance, repair and operation of its prop-
erty, and in the event that suit shall be brought against the
Municipality either independently or jointly with the Company on
account thereof, the Company, upon notice to it by the Munici-
pality, shall defend the Municipality in any suit at the cost of
the Company, and in event of a final, judgment being obtained
against the Municipality, either independently or jointly with
the Company, the Company shall pay such judgment with all costs
and hold the Municipality harmless therefrom.
Section 21. Nothing herein shall be construed to limit
the right of the Municipality to acquire the property of the
Company under any act of the legislature now or hereafter exist-
ing, nor under any provisions of law now existing or hereafter
adopted. In the event the Municipality should desire to acquire
the property of the Company by the exercise of eminent domain, as
herein set forth, the Company agrees that its value for the pur-
pose of such acquisition shall not include any amount for the
value of any right, privilege, franchise or grant from the State
of Minnesota or the Municipality, for good will, or for future
profits, and that in determining said value no regard shall be
-35-
had to the amounts of stocks, bonds and other obligations of the
Company.
Section 22. The rights and privileges hereby granted
are not exclusive and the Municipality expressly reserves the
right to grant like rights and privileges to other persons or
corporations.
Section 23. If the Company shall be in default in the
performance of any of the material terms and conditions of this
ordinance and shall continue in default for more than ninety (90)
days after receiving notice from the Municipality of such default
Y g P Y ,
the Municipal Council may, by ordinance duly passed and adopted,
terminate all rights granted under this ordinance to the Company.
The said notice of default shall be in writing and shall specify
the provisions of this ordinance in the performance of which it
is claimed that the Company is in default. Such notice shall be
served in the manner provided by the laws of Minnesota for the
service of a summons and complaint in a civil action. The reason-
ableness of any ordinance so passed declaring a forfeiture of the
rights and privileges granted by this franchise ordinance shall be
subject to review by a court of competent jurisdiction.
Sdction 24. Any change of the form of government of the
Municipality as authorized by the State of Minnesota shall not
affect the validity of this franchise. Any municipal corporation
-36-
succeeding the Municipality shall, without the consent of the
Company, succeed to all the rights and obligations of the Munic-
ipality provided in this franchisee
Section 25o Except as herein otherwise specifically
provided, whenever notice is to be given to the Company, such
notice in writing, addressed to the President, Vice President,
Secretary or Treasurer of the Company and delivered at the
Minneapolis office of the Company shall be service of such
notice; and whenever notice is to be given to the Municipality,
I
such notice, in writing, addressed to the Municipal Clerk and
delivered at his office, shall be service of such notice; and
whenever notice is to be given to the Suburban Rate= Authority,
such .notice, in writing, addressed to such Suburban Rate Author-
.
ity and delivered to its office or to one of the members of its
governing body, shall be service of such notice.
Secton.26 An ordinance entitled "Granting to
Minneapolis Gas Light Company, its successors and assigns, the
right to manufacture, import, transport, sell and distribute
gas for heating, illuminating and other purposes in the Village
F of Brooklyn_ Center, and.to use the streets, avenues and alleys
a
thereof for that purpose ", passed on the 9th day of April, 1947,
is hereby repealed.
-37-
Section 27. This ordinance shall be null and void unless
the Company shall, after the publication thereof and prior to
April 1, 1963,.file with the Municipal Clerk a written,,accep
tance of the same and an _agreement on its part, signed and acknowl-
edged in its behalf under its corporate seal by its duly authorized
officers, to surrender.all rights and privileges under the ordi-
nance described in Section 26, and to comply with,.abide by, keep
and perform all of the terms, conditions and requirements herein
contained upon its part to be complied with or performed, and
that the Company will not contest the validity of this ordinance
or of any rate or rates which are in accordance with the terms
hereof, except as herein expressly provided.
P P Y P
Section 28. The expense of the publication of this ordi-
nance shall be paid by the Company.
Section 29. If this ordinance is not adopted by March 1,
1963, by municipalities in which 66 -2/3% of the customers of the
Company in the suburban area are located, the Municipal Council
may revoke the same. The Company agrees to file with the Municipal
Clerk, on or' before March 15, 1963,,a sworn statement showing`
the total number.of customers in the suburban area.and the total
number of customers in municipalities in which the ordinance has
been adopted. If this ordinance is revoked the provisions of this
ordinance shall be without prejudice to either party in any subse-
quent proceeding.
-38-
Section 30 Three years after January 1, 1963, either
the Company or the Suburban Rate Authority may request a review
of the question of whether the rate formula contained in Sections
4 and 5 accomplishes the purpose expressed in the first sentence
of Section 4. Such review may be initiated by making a written
request therefor to the other party during the month of January,
1966. Thereupon, the Suburban Rate Authority and the Company
shall review and discuss such question with each other, thoroughly
and in good faith,for a period not to exceed six months. Any
change in said rate formula shall be prospective in operation
only and shall be made by amendment to Sections 4 or 5 Any
such amendment to be effective must be adopted before December 1,
1966, by municipalities in which 66 -2/3/ of the customers of the
Company in the suburban area are located and accepted.in writing
by the Company in the form provided in Section 27 prior to
January 1, 1967. In the absence of any such amendment, so adopted
and accepted, the rate formula contained in Sections 4 and 5 shall
be and remain in effect during the balance of the term of this
franchise.
Section 31. If any section, paragraph, subdivision, clause
or provision of this ordinance shall be adjudged invalid or uncon-
stitutional, the same shall not affect the validity of this ordi-
nance as a whole, or any part or provision, other than the part so
-39-
decided to be invalid or unconstitutional.
Section 32. This ordinance shall take effect and be in
force from and after January 1, 1963, and after its publication
T
i
and its acceptance by the Company subject to the provisions of
Section 29® `L
Passed the S'day of 1963.
ayor
ATTEST
C k
e
v
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Ir
The bills audited and ordered paid at the meeting of February 25, 1963
PARK FUND
1113 Howe Inc. Park Maint. 849.42
1114 The Thomas Co. Lub. Oil 49.00
1115 Clydes Pure oil Fuel for tractors 58.54
1116 Coca Cola Bottling Concessions 68.80
1117 Foote Lumber Felt floor covering 9.70
1118 Wm. Hannay Insurance 34.56
1119 Hardware Mutual " 209.48
1120 Mpls Gas Co Utilities 4 2.63
1121 Northern States Power Is 74.05
1122 Northbrook Hardware Shop supplies 13.73
1123 Vill of B.C. General Fund Equip. usage 38.50
1124 Post Publishing Ad 2.25
1125 Vill of B.C. Public Util Utilities 9.63
1,460.29
PUBLIC UTILITIES FUND
1716 City of Crystal 4th Quarter sewer rental 817.50
1717 Charles Perkins Corn. Meter deposit refund 1.00
1718 Hardware Mutual Insurance Premium audit 197.75
1719 Johnson Bros Plumbing Excess Meter deposit refund 57.39
1720 Lee Electric Final Pmt. time totalizers 202.50
1721 Northbrook Hardware Paint, brushes, tools 16.53
1722 Northbrook Hardware Stamps 90.00
1723 Northern States Power Utilities 124.40
o device & alarms stems 18.00
1724 Northwestern Bell T�Aephone Waning e y
1725 Postmaster, City of Mpls Reimbursement of permit 30.08
1726 Ray Johnson Meter deposit refund 20.93
1727 James MacInday " 7.90
1.,58
LIQUOR FUND
2062 American Linen Supply Laundry service 12.59
2063 Distillers Distributing Liquor inventory 1,831.74
2064 Famous Brands " 35.55
2065 Griggs Cooper 5,497.05
2066 Gross Industrial Service Maint service 1150
2067 Wm. Hannay Insurance 3.19
2068 Hardware Mutual 83.71
2069 Lynn Johnson Liquor Inventory 776.05
2070 Minneapolis Gas Co Utilities 12.95
2071 National Cash Register Co Maint contract #1 store 53.40
2072 Truman Nelson December mileage 9.94
2073 Old Peoria Co Liquor inventory 764.88
2074 Ed Phillips & Sons 2, 4 81.85
2075 F.W. Woolworth Ring Binders 19.0
11.,58
SPECIAL ASSESSMENTS
707 ard, Peterson, Levere Lefler etc Legal service 500.00
708 Lindquist, Fraser & Magnuson " 1 095.00
1,59 .00
GENERAL
6580 Vill of B.C. Payroll Fund Reimbursement 21,026.39
6581 Vill of B.C. General Fund Camden bank deposit 70.58
6582 Wm Hannay Insurance 49.68
6583 Hodne Associates Legal 5 24.09
6 Joseph Donovan License plates 3 5 .00
6585 Vill of B.C. Petty Cash Reimbursement 41.8
21 1
6586 International Salt Co Ice Control 293.56
6587 Ken Ray Chevrolet Maint shop stock 262.91
6588 Miller -Davis Co Court supplies 36.48
6589 Northbrook Hardware Matl council room 15.48
6590 Pittsburgh Plate Glass " 39.32
6591 Reinhard Bros Maint shop stock 16.28
6592 The Thomas Co " 192.50
6593 Public Work Equipment " 7.98
6594 Wm. Ziegler " 27.36
6595 James Johnston Salaries 350.00
6596 T. L. Willard " 50.00
6597 John Leary " 100.00
0VZ
GENERAL FUND CONTINUED
6598 Howard eck Salaries 100.00
6599 Phillips Cohen " 100.00
6600 H1 Al Dorff " 150.00
6601 Gordon Erickson 120.00
6602 Richard E. "berg 25.00
6603 Albinsons Engr. supplies 16.13
6604 M. Donald Blom Bonds 82.50
6605 Bob Knowles Ford Co Maint stock & truck repair 1$8.30
6606 Brooklyn Printing & Adv Supplies 187.50
6607 Don Clark Rec. membership 30.00
6608 Cook Paint Court counter 9.00
6609 C.F. Coyer & Associates Fire equipment 709.67
6610 City Treasar er, Cit,,, of Mpls Board of prisoners 72.00
6611 Crown Rubber Stamp Court supplies 2.95
6612 Dolan Mood Products Court room materials 91.00
6613 Paul Felegy Mileage & meals police meet 63.61
6614 Fleet Supply St. Dept Maint 18.62
6615 Genuine Parts Co Maint shop stock 128.68
6616 G.T.C. Auto Parts Stock 127.66
6617 Gross Industrial Sery Mops fire dept 1.80
6618 Eastmas Kodak Stores Clerks office supplies 88.20
6619 Wm. Hannay Insurance 6.38
6620 Ken Ray Chevrolet Maint shop:;stock 7.36
6621 The League of Minn. Mun. Municipal off. directory 3.00
6622 Hardware. Mutual Insurance 3,4 77.33
6623 LeVahn Bros Bldg. repair a maint. 7.00
6624 Leef Bros Shop rags 1.82
6625 Mpls Blue Printing Co Engr. equipment 31.25
6626 Miller -Davis Engr. supplies 17.50
6627 Minn Municipal Judges 1963 dues 5
6628 Motor Parts Sery Truck repair 27.19
6629 Northbrook Hardware Fire dept supplies 1.57
6630 Northern Automotive Co Maint shop 9.06
6631 Northern States Power Utilities 153.71
6632 Elmer N. dldenn Maint. shop stock 40.98
6633 Police Shoot Commission Police training 8.00
6634 Post Publishing Adv1 15.75
6635 Reinhard Brothers Stock 76.50
6636 Rite Sheet Metal Co Bldg. d Maint g. aint 30.00
6637 Sears Roebuck & Co Court & fire dept supplies 35.91
6638 A. J. Spanjers Co Bldg. remodeling 7.50
6639 Ed Ryan, Sheriff Henn Cty Board of prisoners 15.00
6640 Robert Schultz Referee hockey 5.00
6641 H. R. Toll Co Maint shop supplies 7.65
6642 Vill of B.C. Park Fund Reimbursement of due to 27.65
6643 D. Wood Police training rei.mb. 4.25
6644 R. Beach It 4.25
6645 L. Goga ti 4.25
6646 R. Handy it 4125
6647 Williams Maint shop stock 20.48
6648 Vill of B.C. Public Utilities Utilities 11.03
6649 Vill of B.C. Payroll To be made later - --
6650 Minneapolis Gas Co Utilities 21.12
7, 792.26