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