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ARDEN HILLS CITY COUNCIL MEETTNG MINUTES FEBRUARY 11,2002 5 . Councilmcmbcr Larson stated the Commerce Department told him that a 35.5 and 65 KV line could be a distribution line. He noted therc is a seven-point test. Mr. Wertish respondcd Xcel uses a 34.5 as a distribution line. Councilmember Larson stated it is not clear to him that this cost would fall to the residcnts of Arden Hills since there is not a dircct gain to having that linc installed. He noted ifthis is a transmission line, then the issue of who pays is a morc complicated question. He added he docs not feel he could support any option, but to require Xcel to place the linc underground linc. He stated that given the way this has unfoldcd in that the City was not given the opportunity to discuss the project ahead oftimc, he is concemed. He qucstioned why the City should have to pay Jor removal ofthc current line when they were given no input on thc project. He notcd he is sorry that work has gone into line, but is not sure that this should become the City's responsibility. . Councilmembcr Aplikowski stated she does not understand why part of this line is to be placed underground and some of it above ground. She noted she did not undeTStand why Arden HilJs must pay fm this line, but Shorcview does not need to make any payment at all. She added she knows the electric lincs bcnefit of all. Mr. Wertish responded he empathized with the comment that this line did not benefit Arden Hills. He stated the electricity for Arden Hills passes through other communities and Arden Hills does not pay for changes in those lines. He noted the systcm is integrated. He addcd that if there is strong winds or a St01111, they could shift the load and serve the parts that are out because lines are out. He stated the system is built to be redundant. He noted there is no room in thc right of way and putting the lines above ground has a much lower cost. He added Xccl must keep costs down as much as possiblc to protect the overall rate paycrs. He statcd the requester of underground lines should pay for it when it is done as an aesthetic improvement only. He notcd this concept has bcen supported for ycars. Mayor Probst stated there is a set of lines on thc east side now. Hc noted Xcel is choosing to run the lines above ground of the west sidc, which is in Arden Hills. Mr. Wertish rcsponded they do not want to have two feeders on the same pole. Mayor Probst stated they might bc at risk from a car, but the weather would be the same on both sides of the street. Councilmember Grant stated this is a major grid and a transmission feeder. He asked if there were some voltage point above which Xce1 does not transmit the cost back to a city. Mr. Lynch asked at what KV rate docs the cost not come back to a city. Mr. Wertish responded that ifthe cost to put thc line in is for the public good, it is spread out. He stated the gencral rate base picks up that cost. . Mr. Lynch asked at what load does Xcel tap into the local community for contribution. Mr. Wertish responded 34.5 is the highest distribution voltage. He stated voltage is like pressure. He noted the more robust it is thc more efficient it is.