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ARDEN HILLS CITY COUNCIL — OCTOBER 28, 2024 10 <br />levy increase. She stated the City has funding from the State that has a timeline and she did not <br />want to see the City miss out on the $6 million in grant funding if the project were pushed out. <br />She commented further on how project costs would only continue to increase if the project were <br />pushed out into the future. <br />Mayor Grant explained this fee would run for 15 years and some Council in the future would <br />make a decision about the franchise fee. He reported everyone in the community would pay <br />equally for this fee. He was hopeful that the PiE program would be able to offer assistance to <br />those living within the mobile home community. He stated when considering the fairness, he <br />stated all people in the community who use the fire department would be collectively paying for <br />the fire department. He indicated he would support this franchise fee so long as a specific fund <br />was set up for all franchise fees. He explained he was uncertain what the interest rate would be for <br />the bonds, but he hoped the franchise fees would assist with paying off the bonds early. He stated <br />he did not recall how he voted on a franchise fee in the past, but noted with this franchise fee, the <br />City had a public safety need and these funds would be dedicated to a specific purpose. <br />Councilmember Monson stated she could support Option A4 moving forward. <br />Mayor Grant reported he supported Option A4 as well. <br />MOTION: Councilmember Holden moved and Councilmember Monson seconded a <br />motion to Adopt Ordinance 2024-012 for implementation of Electric <br />Franchise Fee Ordinance, based on Option A4, which includes a residential <br />rate of $3 per month, small commercial and industrial at $22 per month and <br />lame commercial and industrial at $329 per month and authorize publication <br />of a Summary Ordinance of 2024-012; and to Adopt Ordinance 2024-013 <br />renewal of Electric Franchise Agreement Ordinance with Northern States <br />Power and authorize publication of a Summary Ordinance of 2024-013. <br />A roll call vote was taken. The motion carried (4-1 Councilmember Fabel <br />opposed). <br />MOTION: Councilmember Holden moved and Councilmember Monson seconded a <br />motion to Adopt Ordinance 2024-014 for renewal of Gas Franchise <br />Agreement Ordinance with Northern States Power and authorize publication <br />of a Summary Ordinance of 2024-014. <br />The motion carried (5-0). <br />Mayor Grant explained this Ordinance was necessary to allow both the gas and electric franchise <br />agreements with Northern States Power to expire at the same time (15 years from now). He <br />reiterated that no franchise fee would be charged for gas services. <br />Councilmember Monson reported for clarification that every City has a franchise agreement in <br />place with gas and electric service providers. <br />The motion carried 4-1 (Councilmember Fabel opposed). <br />