HomeMy WebLinkAbout7D Electric Service and Gas Service Franchise Ordinance Renewal with Xcel Energy�
EN HILLS
Request for Council ActYon
�
Prepared By: James Lehnhoff, �
Community Development Director Council Meeting Date: November 30, 2009
Electri� Service and Gas Service Franchise Ordinance R�newa{ with Xcel Energy
Budget�d Amount: Actual Amount: Funding Source:
NIA NIA NIA
Recommendation:
Motion to approve Ordinance 2009-014 and a summary of Ordinance 2409-014 for fhe Na#ural Gas
Franchise Ordinance with Xcel Energy as proposed in fhe Navember 30, 20Q9, memo ta the City Councif.
Motion to appro�e Ordinance 2009-015 and a summary of Ordinance 2q09-015 for the Electric
Distribution and Transmission FrancE�ise Ordinance with Xcel Energy as proposed in the November 30,
2009, memo to the Cify Council.
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Sup�ortinq Documents:
1. [Vovember 30, 2009, Merno to the City Council
2. Ordinance 2009-094, Electric Distribution & Transmission OrcEinance and Summary of Ordinance
3. O�dinance 20Q9-Q15, Gas Distribution 5ystem Ordinance and Summary of Ordinance
4. Ordinance 263 —�lectric Distribution and Franchise Ordinance {expirecf}
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EN HILLS
MEMORANDUM
DATE: Novernber 30, 2009
TO: Honorabl� Mayor and City Cauncil Memb�rs
Ron Maorse, City Administrator
FROM: James Lehnhoff, Community Development Director
Jerry Filla, City Attomey
SUBJECT: Xcel Gas and Electric Franchise Agreement Renewal
Requested Action
Motion to approve Ordinance 2009-014 and a sumrnary of Ordinance 2009-014 %r the Natural
Gas Franchise Ordinance v�rith Xcel Energy as proposed in the Novernber 30, 2009, memo to the
City Council.
Mo�ion to approve Ordinance 2009-015 and a summa�ry of Ordin.azace 2009-015 for the Elec�ric
Distribution and Transrnission Franchise Ordinance �vith Xcel Energy as proposed in the
November 30, 2009, memo to the City Council.
Back�round
Xcel Energy is the natura� gas and electric service provider to properties in the City of Arden
Hills. Ordinance 262, the na#ural gas franchise ardinance, and Ordinance 263, electric
distribution ar�d transmission franchise ordinance, were approved by the City on September 24,
1989. Both oxdinances had twenty year terms that expired on September 24, 20Q9. City staff
and the City Aitorney have been working with Xcel to prepare updated franchise ordinances for
review. While the franchise agreement is structured as an ordinance, it is legally considered a
cantract that requires approvai from both parties. Despite the short lapse in. tlae fra�nchise
agreement, the City is not without protection because the right-of-way ordinance regulates vvork
that would be completed within the right-of-r�vay.
Accarding to the League of Minnesota Cities, the primary puzpose of these franchise ordinances
is to provide uniform provisions that incorporate the broad municipal statutory franchise rights
that exist in Minn�sota Statutes and rules from the Minnesota Public Utilities Commission
City Council Meeting
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CC Report - Xcel Gas and Electric Franchise Agreements.doc
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(MPUC) inta an ordinance ar agreement for each service. The franchise agreements also provide
the City an opportunity to negotiate and charge a franchise fee, which is discussed in further
detail in the below section.
It is important to note that the franchise agreernents anly apply to the use of public rights-of-vvay
and public property, which includes public roads, parks, and trails. Eleciric or gas lines that
cross private property are subject to the regulatzans in the underlying private easernent.
�xoposed Chan�es
The draft ordinance is based on the League of Minnesota Cities (LMC} model ordinance, updates
proposed by Xcel, and language provided by the City Attorney. While there is some flexibility
in the language of the ordinance, much of it is guided by existing State stat�tes and rules.
Despite one ordinance being for natuxal gas service ar�d the other for eIectrical se�tvice, the
provisions of the two ardinances are iden�ical. Both ordinances are propased to ha�e tvventy
years terms.
Since the structure of the new and old ordinar�ces has changed, it is not possible to provide a
direct, black-line comparison of the new and old ordinances. However, the notable changes or
additions in the new ardinance are as follows:
Section 1— Definitians — A definition of "Comrnission" far the Minnesota �'ublic Uriliries
Coininissian was added. A defitut�on for "Electric Faciliiies" and "NatuYal Gas Facilit�es"
was added to more clearly define what facilities axe owned by Xcel.
Sec�ion 2.5 — Dispute Resolution — This }�rovision was updated to include the option of
mediai�on before taking action in Disirict Caurt. This section is based off the modeI
ardinance from the LMC.
Section 2.6 — Cantinua�ion of Franchise — The n�w ordinance wi11 a1low the continuation
of the new ordinance for be#ween 90 days and one year after its expirat�on to help provide
continuity between the expiration of the new ordinance and the approval of the next
ordinance. This flexibiIity alIows for addi�ional time for negotiation if needed.
Section 3.1 — Location of Facilities �-- The new ordinance requires Xcel io remove
abandoned facilities if ihose abandoned facilities interfere with a public improvement
project. The prevzous ordinance was silent on the issue of abandoned facilities.
Section 3.2 and 3.3 — Street Openings and Restoratian — T'hese two sections include ihe
req�irezxzent for work conducted in the pu�lic way or on public grounds, states that a
permit and fees may apply, and states t1�e restoration requirements. These activi�es are
further regulated by the City's right-of-way ordinance (Section 3b0 of the City Code).
CiEy Council Meeting
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The old ordinance was less clear on this requirernent, and the praposed language is based
on the LMC model ordinance.
Section 3.4 — Perfortnance Security — This new section states that a perforn�ance security
is not xequired for day �a day op�rations, but the City may require such a secuz-ity if a
City project is contingent upon the timely completion of an Xcel project.
Section 4.1 — Reloca�ion in Public Ways — 7`his section requires Xcel to relocate utilities
in txte right-of-vvay far City projecis. Similar requirements were in the previous
ordinance but have been updated to refer to the regulations in Minnesota Rule 7819.3100,
which states:
7819.310Q RELOCA710N OF EXISTING FACILITI�S.
Subpart 1. Requiremenf.
A right-of-way user shall prorr3ptly and at its own expense, wifh du� regard for seasonal
warking conditions, permanently rerno�e and relocate its facilities in the right-of-way
w�en it is necessary #o pre�ent interference, and not merely for con�enience of ihe lacai
government unit, in connection with: (1) a preser�t ar future local ga�ernmeni use of the
right-of-way for a public project; (2} the public healtf� or safety; or (3) the safety and
con�enience of tra�el over the righ#-of-way.
Subp. 2. Exception.
Natwithstanding subpart 1, a right-af-way user is nat required to remove or relocate its
facilities from a right-af-way that has been �acated in fa�or of a nango�ernmental eniaty
unless and until the reasonab[e costs io da so are first paid to the right-o%way user.
Section 4.2 — Relocation in Pubtic Grounds — This section specifically applies to
relocating utili�ies for public projects that are on public property, which is different than
the public right-of-way. The issue of relocating utilities on the public ground was not
addressed in the previous ordinance. The new lang�age is based on the LMC model
ordinance.
Secfion 5— Tree Trimming — This sectzon was in the previous ordinance but a provision
specifically requiring Xcel to promptly cleanup and remove all debris related to the
trirnrning activities was added.
Section 9— Franchise Fee — The previous ordinance did not address the City's abiIity to
colleci a franchise fee from Xcel. The updated ardinance reflects the City's ability to add
a franchise fee at a Iater date. The fee and the process for callec�ing the fee wouid be
nego�iated in a separate ordinance. Arden Hills has not imposed a franchise fee on gas
and electric services in the past. When a city collects a franchise %e, the utility company
typicaily includes a line on the biil to the customer that states the fee is imposed by the
city, and the cost is passed directly io residents. The fee can be a flat fee per customer or
a percentage of gross revenues. Having this provision in the ordinance allows the City to
readdress a franchise fee in the future if the City determines the fee is necessary.
City Council Meeting
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Recommendation
Staff and the City Atto�ney recommend approval of both franchise agreements. I� changes are
rnade to the propased ordinance, it wiIl require approval from Xcel before the ordinance can be
publisYted and put into effect.
The City Attorz�ey and a representaiive from Xcel Energy will be in attendance ta answer
que stions.
Attachments
A. Ordinance 2009-014, Electric Distribution & Transtnission Ordinance and Summary of
Oxdinance
B. Ordinance 2009-015, Gas Distribution System Ordinance and Sumrrzary of Ordinance
C. Ordinance 263 — Electric Distnibution and Franchise 4rdinance {expired)
City Council Meeting
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Attachment
�rdinance 2009-014,
E�ectric Distribution &
Transmission �rdinance and
Summary of Qrdinance
Novembez 30, 2009, City Council Meeting
CITY OF ARDEN HYLLS
COUNTY OF RAMSEY
STATE OF MINNESOTA
SUMMARY OF ORDINANCE N4. 2009-014
On the 30th day of Nov�mber, 2009, the Arden Hills City Council adapted Ordinance
No. 20Q9-014, and by at leas� fou�r/fifths affirmative votes pursuant to Mixu�. Siat. §412.191,
Subd. 4, directed that a sumrnary of Ordinance 2009-014 be published.
Ordinance 2009-014 is a 20-year franchise agxeement granting Northern Sta#es Power
Company, DIB/A Xcel Energy, permission to consiruct, operaie, repair and maintain their
electric distribuiion �ystem for the purpose of furnishing electric energy for public and private
use within the City of Arden Hills.
A full copy of Ordinance 2009-014 is available for inspection by any person during
regular business hours at the office of the City Administrator, 1245 West Highway 96, Arden
Hills, Minnesoia 55112. The Qrdinan.ce is also available onlin� at http://www.ci.arden-
hi�ls.mn,us.
CITY OF ARDEN HTLLS
RAMSEY COUNTY, M�NNESOTA
ORDINANCE NO. 2009-014
AN ORDINANCE GRANT�NG TQ NORTHERN STATES POWER
COMPANY, A MiNNESOTA C�RPORATION, D/B/A XCEL ENERGY, ITS
SUCCESSORS AND ASSTGNS, PERMISSiON TO CONSTRUCT, �PERATE, REPAIR
AND Mi�INTAIN IN THE CITY OF ARDEN HILLS, MINNESOTA AN ELECTR�C
DISTRIBUTION SYSTEM AND TRANSMYSSTON LINES, INCLUDING
NECESSARY POLES, LINES, FIXTURES AND APPI7RTENCES �OR THE
FURNISHING OF ELECTRIC ENERGY TO THE CITY, ITS iNHABITANCE AND
OTHERS, AND, TO USE THE PUBLIC GROUNDS AND PUBLIC WAYS O�' THE
CITY F�R SUCH PURPOSES.
THE ARD�N HILLS CITY C�UNCIL ORDAINS:
SECTION 1. DEFINITIONS.
For purposes of this OYdinance, the following capitalized terms listed in alphabetical order
shal� have the foilowing meanings:
1.1 C�. The City of Arden Hills, County oE Rarnsey, State of Minn.eso�a.
1_2 Ci Utili S stem. Facilities used for providing pubiic utility service owned
or operated by City or agency thereof, including sewer, storrn sewer, water service, street
lighting and txaffic signals, hut excluding Facilities for providing heating, Iighting, or other
£orrns of energy.
1.3 Commission. The Minnesota Public Utili.ties Commission, or any successor
agency ox agencies, inc�uding an agency of the £edezal gavernmen�, which preempts ali o�
part of the authority to regulat� elect�ic retail rates no�r vested in the Minnesota Public
Utilities Commission.
1.4 Corn au . Northern States 1'ower Company, a Minnesota corporation,
d/b/a Xcei Energy, its successors and assigns including all successors or assignees that
own or operate any paxt ox paxts of the Electric Facilities subject to this franchise.
�.5 Electric Facilities. Electric txansmissian and distribution towers, poles, lines,
guys, anchors, conduits, fixtures, and necessary appurtenances owned or operated by
Company far the purpose of providing electric eneYgy for public or private use.
1.G Notice. A written notice sexved by one paxty an the other party referencing
one or tnore provisions of this Ordinance. Notice to the Company shall. be txaailed to the
General Counsel, 414 Nicollet Mall, Fifth Floor, Minneajaolis, Minnesota 55401. Natice to
the City shall be mailed ta the Citp Administrator, City Hall, 1245 West H;tghway 96, A�den
Hills, �Iinnesota 55112. Either party rnay change its tespective addxess for the purpose of
this Ordinance hy �vritten notice to the othe� party.
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1.7 Public Ground. Land owned ar otherwise cont.�olled by �lie City for park, open
space or similar publ�c p�pose, which is held for use in common b� the public.
1.8 Public Way. Any street, allep or othex public right-of-way wit�un the City.
SECTION 2. ADOPTION OF FRANCH�SE.
2.1. Grant of Franchise. City �exeby gxants Coznpa�y, £ox a period of 2Q yeats �rom
the date this Oxdinance is passed and approved by �1ie City, the right to ttansmit and funush
electric energy for light, heat and power for public and pri.vate use wirhui and through the lunits of
the City as its bounci�ies now exist or as they may be extended in the future. For these put�oses,
Corri�any may construct, opezate, repaix and �ai.c�tain Eiectric �'aciliizes in., on., over, u�dex and
across the Public Ways and Public Grounds, subject to the provisians o£ this Oxdinance. Company
map do ail reasonable �gs necessary or customary to accoxnplish these purposes, subject
however, to such reasonable regulat�ons as may be itnposed by the City pursuant to orc�nance or
perrr�it xequirenr�ezzts and to the further provisions of this €rar�chise agreement.
2.2. Effec�ve Date; Written Acce�tance. Tl�is franchise shall be in force anci effect
£rom and aEter the passage of this Oxdinance and publicat€on as required by law and its acceptance
by Coinpany. If Company does not file a written acceptance with the City within 6Q days a£ter the
date the City Coun.ci.t adopts this Ordinance, the City Council by resol�#ion may revo�e this
franchise or seek its enforcement fn a competent jurisdiction.
2_3. Service, Rates and Area. T�e service to he provided a�d the rates to be charged
by Com�ar�y for electeic service izk City axe subject to th.e jurisdiction of the Co��.n�ission. The axea
�vithul the City in which Company may provide elec�tic servace is subject �o rhe provisions of
IV�innesota Statutes, Secrion 216B.40.
2.4. Publication Exuense. City shall pay the expense of publication of t1�is Ordinance
and shall be reimbursed by Company.
2.5. Disput� Resolution. If eithe� party asserts that the other party is in defa�lt in the
perfarmance of any obligation here�nder, the complauung party shaIl notify the other party of the
deEault and the desired rernedy. The noti%cation shall be written. Represenratives a#� the parties
must prompdy meet and attempt in good faith to negoti.ate a resolution of the dispute. Tf' the
dispute is not resolved witlun t�uYtp (30) days of the date of written Notice, the parties may jointly
setect a znediator to Facilitate further discussion. The parties wil� equaIly share the fees and expenses
of ti�is mediator. If a mediatoY is not used or if the parties axe unable to resolve the dispute witivza.
30 days after first meeting with the selected mec�iator, either pa�ty may cammenc� an action in
District Court to interpret and enfotce thi.s ftanchi.se ox £o� such o�lier �elie£ as may be pernutted
by law ar eq�ry-
2.6. Continuation of Fra�chise. If the City and the Company ate unable ta agree on
the terxns of a new f'ranchise by the time tlus fYanchise expires, t�his iranchise will retnain in effect
until a new franchise is agreed upon, ar untii 90 days after rhe City ar the Company serves wri�en
Nauce to thE other party of its intention to allow the franchise to expire. However, in no event
s�a31 this Franchise continue for more than one year afte� the expiration of the terms set forth in
Section 2.1.
SECTiON 3. LOCATION, OTHER REGULAT�QNS.
3.3.. Locatiot� of Facilities. Elect�ic Facilities shall be located, constructed, and
maintained sa as not to izzterfere with the safety and convenience of ordinary rravel along and over
Public Ways and so as not ta disrupt or interfere with the norma� operation of any City Uti�ity
Syste�n. Electric Facilities may be loca�ed on P�blic Grounds as detertni.�ied by the C;ity. Co�apaz�y's
construction, reconstruction, operation, repatr, t�ia.intenance, locatior� and re�ocation of Electric
Facilit�es shall be subject to othex reasonable reguiations of the City consistent with authoriry
granted the City to manage its Public Ways and Public Grounds under state law, to the extent not
inconsistent with a specif�c term of this Fxanc�se agreement. Company n�ay abandon umd�rgxound
Elec�ic Facilities in place, pxovided at Ciry's reques�, Company at its own e�ense, temoves
abandoned metal conduits ox concrete encased conduit or othex Faciiities inte�fering �rith a City
improvement �roject, but only to th.e extent such conclu.it is uncovered as part of rhe City's
�tnptovexnent project.
3.2. Street O e' s. Company shall not open or c�isturb the surface of any T'ublic
Way or Pub�ic Ground for any puzpos� without first having obtained a permit f�om the City, if
xequi�red by a sepa�ate orclinance for which the City �nay itnpose a reasonable fee. Pernzit
conditions iinposed on Company shall not be rnore b�densome than those ixx�posed on other
ut�iries for similar facilities ar work. Companp may, however, open and disturb the surface of any
Publ�c Way or �'ublic GYound without a pernut if {i) an emergency exists requiriug the im��eciiate
repaix of Elect�ic Facilities and (u) Company gives ielephone notice to the City befare, if reasonably
possible, conunencement of the emergency repair. Within two business days a£ter commen.cuzg rhe
xepair, Company shall apply fo� any requixed perinits and pay any �equired fees.
3.3. Restotation. �fter undertaking any work req�iririg the opening o£ az�y Public Way,
the Campa�y shaii restore the Public Way in accordance �xrith Minnesota Rules, part 7819.1100 and
applicable City orc�nances consisten.t urith law. Company shaIl restore Public Ground to as good a
condition as foxmerly existed, and sha�l r�aintain the surface in good condition for six (6} months
rhereaftez. AIl work shall be com�leted as �rorr�ptly as weather permits, and if Company shalt no�
protnp�ly pezEorm and complete the work, xemove aIl dirt, rubbisi�, equipment and zriatetial, and
put the Public Ground ir� the said candition, the City shall have, afte� de�nand to Company to cute
and the �assage of a reasonable period of time following the dernand, but not to exceed five d.ays,
the right to make the resto�ation bf the Public Gxound at the expense of Companp. Company shall
pay to the City the cost of such work done fo� or perfo:rn�ed by the Ci.ty. Thi.s remedy sha�l be in
addition to any othe� remedy available to fhe Cit:y fo� noncompliance with this Section 3_3.
3.4 Peyrforanance Security. City hereby waives any requiceznen�, in the no�al cou�se
of Company operations, for Company ro past a co�st�uction }�exformance bond, certificate of
insuranee, letter of cred.it or any other form of security ox assurance that rnay be required uz�dez a
separate existing or future orclina.nce of �1ie City, of a person ox en�ity obtainil�g the City's
pertnission to install, replace or mau�tain facilities in a Public Way or rhe Pub�ic Gxound.
Notwithstanding the fa�egoing, the City xeserves tlie night to require a perfortnance bond for new
insrallati.on, replacexnent, ar repairs, when the Company's coznpletion of its worl� is requ�red in
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oYder for rhe City to proceed with its work �o� construciing a public improvement to the Public
Way.
3.5. Shared Use of Poles. Company shall make space available on its po�es or towers
fo� City fire, water �t�lity, police or other City faci�ities whenever such use will not interfere with
the use of such poles or tawexs by Campa�tiy, by another electric utility, by a telephone utiIity, or by
any cable television com�any or othe� form of communication company. Zn addition, the City shall
pay fox any added cost incuYred by Company because of such use by City.
3.6. Avoid Damage to Electric Facilities. Nothu�g in this Orclinance relieves any
pexson, including Co�npany, f�om liabi.li.ty arising out oF the faiiure to exe�cise reasonable care to
avoid daxnaging Elect�ic Faci�ities or other persons or pxoperty while pexforming any activity.
3.7. Notice of Im rovements to Stxeets. The City rnust give Company reasonable
written Not�ce of plans fox impxovements to Public Ways whete the City has reaso� to be�ieve that
Electric Faciliti�s may affect or be affected by the itnprovement The notice m�st contain: (i) tiie
nat�xxe and characte� of th� improvements, (u) the Public Ways upon which the improvem.ents are
to be made, (iii) the extent of the improvements, (iv) the time when the City wili start the work,
and (v} if rnore than ane Public Way is involved, the oxd�r in which the work is to proceed. The
notice must be given to Company a sufficient length o£ titne, considering seasonai working
canditions, ian advance of the actual commencement af the wark to permit Company to make any
additions, aiteratians ox repairs to its Electric Facilit�es the Company deems n.ecessary.
3_S Ma��ing Inforrna#ion. The Company must promptly provide mapping
informat�on fox any of its underground Electric Facilities in accordance cv~ith Minnesata Rules parts
7819.4000 and 7819_41.00
SECTION 4. FACILITIES RELOCATION.
4.1. Relocation in Public Ways. The Company shall comply with Minnesota Rules,
part 7$193100 and applicable City oxdinances consistent with law.
4.2. Relocaiiox� iEn Public Grounds. City may requixe Compan� at Company's expense
to relocate or remove its Electr.ic Facilities from Public Grounc� upon a finding by City that the
Etectric Facilities have beco�ne or will become a substanttal unpairment to the existing or proposed
public use of the Public Gxound. Such relocation shall camply with applicable orclinances
consistent wi.#h law.
4.3 P�ojects with Fedetal Funding. Relacatian, removal, ar rearrangement o£ any
Electric Facilities made necessary because of the extension into ox through City af a fed�rally-aided
high�vay project shal.l be governed by the p�ovisions of Minnesota Sta.tutes Section 161.4G. It is
expressly understood that the rig�it hexeis� granted to Campany is a valuable property right City
shall not order Company to �emove or relocate its facilicies withaut campensation �uhen a Public
Way is vacated, improved or re-aiigned because of a renewal ox a redevelopment plan which is
financially subsidized in urhole ar iz� pa�t by the Fedetai Government ot any agency thereof, unless
the reasonable Non-betterment Costs of such relocation are paid ta Company. The City is
obiigated to pay Corr�pany, however, only £ox those portions of its xelocatian costs for which City
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has xeceived federal funding specifically allocated foY relocation costs in. the atx�ount �equested by
the Company.
�.4 No Waivet. Bp entering this or any prior fras�chise agxeernent with the City,
Company does not waiv� its rights undex an ease:tx�ent or prescxipti.ve right or Stat� oz Co��r
permit.
SECTION 5. TREE TRIMMING.
Unless otherwise p�ovided in any pern�it o� other �easonable regulation required by the City under
separate ordinance, Cotz�pany xnay tri.m a91 trees and shrubs ir� the I'ublic Ways and Public Grounds
of City to the extent Company finds necessary to avaid interference with #he proper canstruction,
operation, repair and maintenance of any Electric Faci}ities instaIled �e�eunder, provided that
Co�npany shall hold the City hari��less from any liability arising the�ef�otn. The Company shall
prompdy cieanup and remove all de6ris related to the rrimming activities.
SECTION 6. INDEMNIFICATION.
6.1. Indernnity af Cx�. Company shall indemnify and hold the City ha�less fxom any
and al� liability, on account of 3njury to persons or da�age to p�opetty occasianed by the
construction, maintenance, re�air, inspection, the issuance o�' pern�its, or rhe operation of the
Eleckric Faciliries located in the Public Ways and Public Grounds. The City shal.l not be
indet�nnified for losses oz claitns occasioned through its own negligence except for losses or ciaims
arising out of or alleging �ie City's negligence as to the i.ssuanc� of permits £ot, oz inspection of,
Co�npany's plans or work.
G.2. Defense� Zn the event a suat is brought agait�st the City undex
circumstances where this agreement to indeii�ni£y applies, Company at its sole cos� and expense
s�aL� defend the Ciry in such suit if written notice rhereof is promp�ly given to Com�any vcritivn a
period tvherein Company is not prejudiced by lack of such natice. If Company is Yequired to
indemnify and defend, it w�il thexeafter have control of such l�tigation, but Company may not settie
such lit�gation without the consent of the City, which consent sha.i� not be ur�easonably withheld.
This section is r�ot, as to third paxties, a�craiv-er of any defense or irnt�iunity oYherwise available to
the City; and Company, in defending any action on behalf of the City shall be enti�led to assert in
any action every c�.eEense ox izntnunity that the City cou�d assert ir� its own behalf. This franchise
agreement shall not be inter�reted to eanstitute a wai.vex by the City o£ any of its de£enses o£
uiv.nunity o� litnitations on liability under Minnesoha Statutes, Chap�e� 4G6.
SECTION 7. VACATION OF PUBLIC WAYS.
The Ci�r shall give Cotnpany at least two meeks pxiox written r�otice of a proposed vacation of a
Pu�lic Way. The City and the Company shall con�ply �rith Minnesota Rules, 7819.3200 and
applicabie ordinances consistent with law. Except whexe xec�uired sole�y for a City improvement
project, the vacation oi any Public Way, after the installation of Elecrsic Facilibies, slaa.11 not operate
to deprive Company of its rights to ope�ate and maintain such Electric �'acilities, until the
reasonable cost of re�ocatirag the same first paid to Company. In no case, however, sha� the Cs.ty
be liable ta Com.pany fox failuxe to specifi�ally p�eserve a right-of-way, under Mii�nesota Statutes,
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Section 1G0.29. In acco:rdance with Muznesota Rules, Part 7$19.3200, if rhe city's oxder directing
vacatian of the Public Way daes not �equite relacation of the Company's E}ectric Facilities to
prevent inte�ference �urirh a current public impxovement, the vacation proceedings sh�alJ �at be
deemed to deprive Company of its right to continue to use the right-of-way of the £ottner Public
Way £or its Electric Facili#ies insta.11ed prs.or to such oxder of vaca�ioa.
SECTiQN 8. CHANGE iN FORM 4F GOVERNMENT.
Any change in the form of gavernment of the City shall not affect the validiiy of this Ordinaace.
Any govexiunent.al unit sueceeding the City shall, without the consent of Co:mpany, succeed to all
af the tights and obligations o� the City provided in this �rdinance.
SECTiON 9. FR.ANCHISE FEE
9.1 At the �ime af adopting this franchise, the City does not desire to impose a
franchise fee on the Company. If the City seeks a franchise fee from the Company, the City
shatl notify Company in writing oisuch intent to rnodify this franchise ag�-eerr�ent and impose a
franchise fee which shall be by separate ordinance. Promptly therEa$er, City and Company
shall negot�ate in good faith nr�utuatiy acceptabie te�nnns, conditions and amount oF such fe�. If
City and Company are unable to agree on any term or condition oif the fee, all dzsputes shall be
resolved pursuant to Section 2.5 of ihis ordinance. The parties do not waive hereby, any righ.ts
they have under iaw.
SECTYON 10. PROVISIONS OF ORDINANCE.
10.1 Severab'rIity. Every sectian, provision, or part of this Ordinance is declared
separate fro�n every other sec�ion, provision, or part; and if any section, provision, or part shall
be h.el�. inva�id, i� shali not affect any other section, provision, or part; provi.ded, however, if
any provision is held invalid, the parties agree to negotiate in good faith to substitute, to the
exter�t reasonably possible, arriended provisions that validly carry out the primary purpose of
the invalid provisions. Whare a provision of any otl�er City ordinance conflicts with the
provisions of this Ordinance, the provisions of this Ordinar�ce shall prevail.
10.2 Limitateon� on AUplicabilitY. This Ordinance constitutes a franchise agrEement
between the City and Company as ihe only parties and no provision of this fraxichise s�all in
any way int�re to the �enefit of any third person (including the public at large) so as to
constituie any such person as a t�iird party beneficiary af the agreement or of any one or anore
of the terms hereof, ar oth.erwise give ri.se to any cause of actian in any persan not a party
hereto.
fi
SECTION 11. AMENDMENT PROCEDURE.
Eithe� paxty to this fYanchise agreement may at any tinne pro�ose that the agreement be
amended. This ��dinance may be aanended at an� time by the Ci�y passing a subsequent ordinance
declari�ig tihe provisions of the amendment, which amendatory ordinance shall becorne e£fective
upo� the filing of Company's written consent thereto mith rhe City Clerk with�n sixty (60) days
after the effective date of the amendatory ordinance.
�'assed and approved:
5tanley Harpstead,
Mayor of the City of Arden Hills, Minnesota
Attest:
City Clexk, Arden Hills, Min.nesota
XCEL APPROVAL DATE: , 2009
PUBLICATION DATE: Published on the _ c�ay of , 2009.
EFFECTIVE DATE: This Oxdinance shall be effect�ve on the day of
. 2009.
Version 4
7
Attachment
Ord�nance 2009-015,
Gas Distribution System �rdinance and
Summary of Qrd�nance
November 30, 2009, City Council Meeiing
CITY OF ARDEN HILLS
C4UNTY OF RAMSEY
STATE OF MINNES4TA
S[TMMARY OF ORDINANCE NO. 2009-OIS
On the 30#h day of November, 2009, the Arden Hi11s City Council adopted Ordinance
No. 2009-015, and by at least four/fifths affirmative votes pursuani io Minn. Stat. §412.191,
Subd. 4�, directed that a summary of Qrdinance 2009-015 be published.
Ordinance 2009-015 is a 20-year franchise agreement graniing Norther� States Power
Company, DB/A Xcel En�rgy, pertnission to consiruct, operate, repair and maintain a gas
distribution systearn for the purpose o£tx'ansmitting and clistributing natural gas far public and
private use within City of Arden Hills.
A full copy o� Ordinance 2009-015 is available for inspection by any person during
regular business hours at the office of the City Administratar, 1245 West Highway 96, Arden
Hills, Minnesota 55 ��2. The Ordinance is also available online at http://�c�v.ci.arden-
hills.mn.us.
CITY OF ARDEN HILLS
R.AMSEY COIiNTY, MINNESOTA
ORDINANCE NO. 2009-015
AN ORDiNANCE GRANTING TO NORTHERN STATES POWER COMPANY, A
MINNESOTA CORPOR.ATION, D/B/A XCEL ENERGY, TTS SUCCESSORS AND
ASSIGNS, PERMISSION TO ERECT A GAS DISTRIBUTION SYSTEM FOR THE
PURPOSES OF CONSTRUCTING, OPE1tATING, REPAIRING AND MAINTAINING �N
THE CITY OF ARDEN HILLS, MINNESOTA THE NECESSARY GAS PIPES, LTNES AND
Al'�'URTENCES FOR THE TRANSMISSiON OR DISTRIBUTION QF GAS TO THE CITY
AND ITS ZNHABITANCE AND OTHERS, AND TRANSMITTING G�.S INTO AND
THROUGH THE CITY AND, TO USE THE PUBLIC GROUNDS AND PUBLIC WAYS OF
THE CITY FOR SUCH PURPOSES.
THE ARDEN HILLS CITY COUNCIL ORDAINS:
SECTION �. DEFINITIONS.
For purposes o� this Q�dinance, the fol�owing capitalize�. terms listed in alphabet�ca] order
shall have the following tneanings:
1.1 City. The City af Arden Hills, County of Ramsey, Srate of IVlinnesota.
1.2 City Utility System. Facilities used for providing public utility service owned or
o�erated by City or agency thereof, iz3.cluding sewer, stortn sewer, wate� senTice, st�eet �ighting and
traffic signals, �ut exclucling facili�ies far providizxg heating, lighting, or other forms of enexgy.
13 Commission. The Minnesota Pub�ic Util'tties Con�nission, or ar�y successor agency
ox agencies, including an agency of the f�detal government, which preempts all or part of the
authoz-�.ty to regulaxe gas retaii rates n.ow vested in the Minnesota Public Utilities CoantY�ission.
1.4 Cornpany. Norrhern States Power Compan3T, a M�uiesota corparatio�, d/b/a Xcel
Energy, iYs successoxs and assigns including all successoxs ox assignees that own or operate any part
o� parts of the Gas Facilities subject to this franchise.
1.5 G�s Facili#ies. Gas transznission and distrib��ion pipes, lines, ducts, fixt�ares, and
all necessary equipment and appuYtenances awned or operated by the Company fo� the puipose of
providing gas energy for public or private use.
1.6 Notice. A written notice setved by one parry on the other party referencing one o:r
more pzovisions af this Ordinance. Notice to the Company shall be mailed to the General Caunsel,
414 Nicollet Mall, Fifth Floox, Minneapolis, Minnesota 55401. No�ice to the City shall be mailed
to the City Ad�ninistratar, City Hall, 1245 West Highway 96, Arden Hills, Ivlin.r�esota 55112. Eithe�
�
party may change its respective address for the p�rpose oF this Oxdinance by written notice to t1�e
othez party.
1.7 Pub�ic Gro�d. Land owned or otherwise conrrolled by the City £ox park, open
space oY sit�iiar public p�pose, which is heid For use in common by the public.
1.$ Public Way. Any st�eet, alley or other public right-of-way witnin the City.
SECTION 2. ADOPTION OF FR.ANCH�SE.
2.1 Grant of Franchise. Ciry hereby grants Company, for a period o£ twenty (20) years
from the date this Otdinance is passed and approved by rhe Ci�y, the ri�ht to impart, manufac�e,
distribute and sell gas for public and pi-i.vate use within and through the limits of the City as its
bo�ndaries now exist or as tliey may be extended iz� the future. For these purposes, Cornpany may
constr�ct, operate, �epaix and rnai�tain Gas �'acilities in, on, aver, under and acxoss the Puhlic
Ways and Public Grounds, subject to the provisions of rhis Ordiaance. Compaz�y may do all
reasonable things necessary or customary to accomplish these purposes, subject however, to such
reasanable regulatians as may be zmposed by the City pursuant to ordinance ar �ernzit
tequirements and to the fixrrher provisions of this franchise agreement.
2.2 Effectrve Date; Wtitten Acceptance. This franchise shall be in force and ef%ct
fYorx� and afte� the passage of this �rdinance and pub�cat�on as req�ed by law and its acceptance
by Co�npaay. If Companp does not fiie a�rritten acceptance with the City witivz� 60 days after the
date the City Council adopts this Ordinance, the City Council by resolution may revoke this
franchise or seek its enfoxcement in a court of competent jurisdiction.
2_3. SErvice and Gas Rates. The service to be providec! and the rates to b� chaxged by
Company far gas service in City are subject to the jurisdiction of the Corxir�iission.
2.4. Publication Ex�ense. Ciry sha�l pay the expense of pub�ication of this �Ydinance
and shall be reimbursed by Company.
25. Dis�ute Resolx�tion. If eithct party asserts that the othex party is in defauit in rhe
performance of any obligation hereunder, the corr�plai�ing party shall notify the other party of the
default and the desired remedy. The no�ificati.on shall be written. Representat�ves o£ the pa�ties
rnust p�ornptly meet and attempt in good faith to negotiate a resatution of the dispute. I£ th�
dispute is not resolved within thirty {30) days of the date of written Notice, the parties r�ay jointly
select a rr�ediato� to £acslitate fi�rther discussion. The par�ies will equally share rhe %es and expenses
of this mediator. If a mediatar is not used oz i.f the parties are unable to resolve the dispute �rithin
30 days afte� f�st meeting vcrith the selected mediato�, either party may comrn.ence an acrion in
District Coutt to interpret and enforce this franchise ar for such other relie£ as rnay be pertnitted
by law or ec�uity.
2.G. Continu.ation of Franchise. If the City and the Company a�� unable to agree on
�he terms of a new franchise by the time this franchise expires, �s franchise will xemain in effect
uniil a�ew franchise is agreed. upon, or un� 90 days after the City or the Co:mpany serves written
2
Nofice to the othet par�y of its inten�ion to allocv� the franchise to expire. However, in no event
shall this Franchise continue fof moxe than one year after the expiration o£ the ter�s set farth in
Sec�ion 2.1.
SECTION 3. LOCATION, OTHER REGULATIONS.
3.1. Location of Facilities. Gas Faci3ities sha�l be located, constructed, and maintain.ed
so as not to iriterfe�e with the safety and convenience of ozdinary travel along and over Public
Ways and so as not to dzszupt oz iz�terfe�e with the normal operation of any City i..j�ty System.
Gas Facilities may be located on P�biic Grounds as determined by the City. Company's
construction, reconstruction, opeYation, repaix, rx�.aiz�tenance, locatian and relocation oi Gas
Facil'tties shall be sub}ect to otlier zeasonable �eguiarions of' the City consistent with authority
gxanted the Ci�y to mar�age its T'ublic Ways and Public Grounds under state law, to the extent not
inconsistent wirh a specific terrn of this franchise agreement. Corz�pany may abandon underground
Gas Fac�ities in place, provided at City's xequest, Campany at its own expense, rernoves
abandoned Gas Facilities or other Facili�es �nte�fering with a City improvement project, but only
io the extent such Gas �'acilities are uncovered as part of the City's improvement project.
3.2. Street O�enings. Company shaIl not open or distuxb the surface �f any Public
Way ox Public Ground fox any purpose without ��st �aving obtained a permit from the Ciry, if
required by a sepaxate ordi�ance, fa� which the City maq isnpose a reasonable fee. Permit
conditians imposed on Company shall not be rnore burdensome than those imposed on other
utilit�es for similax facitities or work. Cor�pany �n.ay, howeve�, open and dtsturb the surface of any
Public Way or Public Ground wi#hout a permit i£ (i) an emergency e�cists req��icig the itaunediate
repair of Gas Facilities and (ii) Company gives telephone notice to the City be�ore, if reasonably
possible, commencement of the emexgency xepair, if reasonably possible. Within two business days
after commencing the repair, Company sha�t apply for any Yequired pextr�ts and pay any required
fees.
3.3. Res#oration. After undertaking any work requ.u-izkg the opening of any Public Way,
the Company shall restore the Public Wa�r in accordance with Minn�sota Rules, paft 7819.1100 and
applicable City ordina�ces consistent with Iaw. Companq shall restore Public Ground to as good a
condition as forrnerly existed, and shaIl maintain the surface in good condition for six (6) months
thereafter. All work shall be completed as prompdy as weather �etmits, and if Company shall not
prorn.pdy perform and complete the woxk, temove all ditt, rubbi.sh, equip�ient and material, and
put the �'ublic Graund in the said condi.tion, the City shail hav�e, after dernand to Company to cure
anc� the passage o£ a�easonab3e pe�i.od af �e following the demand, but not to exceed five days,
the right to rnake the :restotation o£ the Public Ground at �he e�cpense of Company. Company sha]I
pay to the City the cost of such work done for or perforn�ed bp the C�.ty. This remedy shall be in
addition to any other xemedy available to the City fo� noncompliance with this Section 33.
3.4 Performanee S�curity. City hereby waives ar�y reqwErem.ent, ir� the �oxmal course
oF Company operations, for Company ta past a canst�ction �erformance bond, certificate o�
insu�ance, letter of credi� or any othet forrn of security or assurance that may be required under a
separate existing or future orc�inance of the City, of a person or entity obraining rhe City's
permission to install, xeplace ar ma�ntain iae�ities in a Puhlic Wap ar the Public G�ound.
�
Not�vithstanciing rhe foregaing, the City xeserves the right to require a performance bond for new
installa�on, �eplacemen�, or repairs, when the Company's comple�ion of its wo�k is required in
ordex for the Czty ta proceed with its work for canstructing a public itnprovement ta the Public
Way.
3.5 Avoid Damage to Gas,, Facilities. The Company �nust rake reaso�able measures
to prevent rhe Gas Facilities from causing damage to persons or property. The Cornpany must take
reasonable meast�res ta p�otEct the Gas Facilities from damage that could be inflicted on the
�acilities by persons, property, or the eJ.ements. The Company must rake protective measures when
the City perfo�:tns work near the Gas Facilities, i£ given �easonable not�ce by the City of such work
prior to i.Ys cotrimencement.
3.6 Notice of Improv-ements to Str�ets. 'I'he City must give Company �easonabie
written Notice of �1ans for improvements to Public Ways wheze the Citp has reason ta believe that
Gas Faciiities ma� affect or be affected by the improvement. T�e notice must conta.in: {i} the
nature and character of tihe imp�ovezx�ents, (�i) the Public Ways upon which the impYoven�ents are
to be made, (iu) the extent of the impravements, (iv) the time cxrhen the City w�]� start the work, and
(v} if more than one-Public Way is involved, the order in which die work is to praceed. T`lxe notice
zn�st be given to Company a sufficient lengrh oi time, constder:uig seasonal urorking conditiozzs, in
advance of the act�xal commencement of the work to permit Campany to make any additions,
alterations or repaiYs to its Gas Facilities the Company deems necessary.
3.7 Ma i Info�mation. The Company must pxompdy p�ovid� complete and
accurate rzaapping information fox a�y of its Gas Facilities in accordance with the �equirements of
Minnesota Rules Parts 7819.4000 and 7819.4100.
SECT�ON 4. RELOCATTONS.
4.1. Relocation iri Public Ways. The Con�pany shall comply wirh Minnesota Rules,
paxt 78193�00 and app�ca�le City ordinances consistent with law.
4.2. Relocation in Public Grounds. City xnay �equire Company at Cotn.pany's expense
to xelocate or rem.ove its Gas Fac�i�ies irom Public Ground upon a finding by City that the Gas
Fac,�lities have becorne or will become a substantial irnpairn�ent to the existing or praposed public
use of �ie Public Gtownd. Such rel�cation shal� comply with applicable city ordinances consistent
with law.
4.3. P�ects with Federal Fundin�. Relocation, �emoval, or �earrangement of anp
Cotx�.pany Gas Facilities made necessary because o� the extension into or �hrough City of a
federally-aided highway project shall be governed bq the ptovisions of Minnesota Statutes 5ection
1G�.46. It is expressly understoad that the right herein granted to Company is a valuable property
right. City shal� not order Company to temove or relocate its facilities without compensation when
a Pub�ic Way is vacated, i�npxoved or �e-aligned because of a tenewal ox a redeveloprnent plan
�which is financially subsidized in whole or in part by the Fede:ral Governmen� ar any agency
rhexeof, unless the r�asonable Non-betterment Costs o£ such relocation ate paid to Co�npany. The
4
City is obligated to pay Company, ho�vever, only foz those portians of its telocation costs �'or
which City has received federal funding sp�ci�ically allocated fot relocation costs in ehe a�naunt
requested by the Company.
4.4 No Waiver. By entering this or any prior €�anchise agxeerzaent wi.th the City,
Company does not �craive its rights under an easement or p�esctiptive right ox State or County
permit.
SECTION 5. INDEMNIFICATION.
5.1. Yndernnity of Cit�. Co�pany shall indemni£y and hald the City hai7i�iess from any
and al� liability, on account of injury to persons or damag� to propezty occasioned by the
constnict�on, maintenance, repair, inspection, the issuance o£ permits, or the operacion of the Gas
Facilities Iocated in the PubLic Ways and Public Grounds. The City shall not be indemnified for
losses ox claims occasion.ed thxough its own negligence except for losses or cla.i�nns aris�ng out of or
alleging rhe City's neg3igence as to rhe issuance of perrnits for, or inspection of, Cotnpany's plans or
work.
5.2. Defense of Citv. In the event a suit is b�ought aga�nst the City undes
circumstances urhere this agreement to indemnify appiies, Co!tz�pany at its soie cost and expense
shall defend the City ir� such suit if written notice th�reo£ is prompdy given to Company within a
period whe�ein Corn.pany is not prejudiced by lack o£ such notice. If Company is req�ed to
indemziify and de£end, it will thezeafter I�ave con�oi of such lit7gation, but Company map not setkte
such lit�gation witliout the consent of the City, which consent shall not be unreasonably withheld.
This section is not, as to third parties, a waiver of any defense oz :it���xzunity otherwise available to
the City; and Comgany, in defending any action. on behalf of the Ci�y, shall be entit�ed to assert in
any action every de£ense or i.�r�r�lunity that �1ie City could asse�t in its ow� behal£ This franchise
agreement shall not be interpxeted to constilute a waiver 3�y the City af any of its defenses of
i�ninunity ox limitations on liability under Minnesota. Sratutes, Chapter 456.
SECTION G. VACATION OF PUBLIC WAYS.
The City shall give Com�any at least two weeks priar written norice of a proposed vaca�ion
oE a Public Way. The City an.d the Company sha11 cornplp �arith Minnesora Rules, 7819.3200 and
app�icable ordizaan.c�s consistezat with law. Except where required solely for a City irnprovement
�roject, the vacation of any �'ublic Way, after the insta�lation of Gas Facilities, shall not opezate to
deprive Company of its rights to opexate and maintain such Gas Facilities, until the reasonable cost
o£ relocating the same fi�st paid to Cornpaz�y. In na case, hawever, shall the City be liable to
Co�npany far faalute to specifically preserve a rigbt-of way, under Minnesota Statutes, Secuon
160.29. In accordance with Minnesota. Rules, Part 7819.3200, if the city's order dixecting vacation
of t-he Public Way does not require relocation of the Company's Gas Facilities to pxevent
interference �u�th a cu.trent public improvement, �.ie vacation proceeciings shaIl not he deerned to
deprive Campany of its rig�t to contin�e to use the �ight-of-way of the former Public Way for its
Gas Faci�ir�es installed prior to such order of vacation.
5
SECT�ON 7. CHANGE IN FORM OF GOVERNMENT.
Any change in the fonn of government of the City shal� not af£ect the validity of this
Ordinance. Any governmental unit succeeding the City sl�all, without the consent of Cotripany,
succeed to all of the �ights and obligarions of the Ciry p�ovided in this Ordinance.
SECT�ON S. FRANCHISE FEE.
8.1. At the time o� adopting this franchise, the City does not desire to impase a
franchise fee on the Company. If the City seel�s a f�anchise fee Ffom the Com�any, the City shall
natify Company in wxiting of such intent to modify #his franchise agreement and impose a
fxanchise fee which shall 6e by sepatate ardinance. Promptly rhereafter, City and Company skall
negotiate in good faith mutually acceptable terms, conditions and a�ount of such fee. If City and
Con�pan.y are unable to agree on anp term or condition of the fee, al1 disputes shall be �esoived
��rsuant to Section 2.5 of this oxdizi.ance. The pazties do not wazve hexeby, any z�ghts they have
under la�ar.
SECTION 9. PROVISIONS OF ORDINANCE.
9_1. Sevezabilitv. Every seciion, provisi.on, or part of this Ordirnance is declared
separate from every otheY section, pxovision, ax part; and if any sect�on, pzovision, or part shall be
held invalid, it shaIl not affect any orher sect�on; provision, or part; psovided however, if any
pxovision zs held in.va�d, the parties agxee to negotiate in good faith to substitute, to the extent
reasonably possible, a�nended provisions that validly carry out �he p�aty pu�pose o£ the invalid
provisions. Wl�ere a p�ovision of any other City otdinance conflicts with the provisians of this
O�dinance, the pxovisions of rhis Orditiance shali p�evai.t.
9.2. Li�itation on A�licabi�itv. Th.zs Orcii.nance consritutes a franchise agreement
be�e�n rhe City and Campany as the on�y parties and no provision of this frYanchise shall in any
vvay inu�e to the benefit of any third person {including the public at large) so as to constitute any
suc� person as a third party beneficiary of the agreement or of any one or more of �ie te�ms
hexeof, or oYherwise give rise to anY cause of action in any person not a patty hereto.
SECT�ON 10. AMENDMENT PROCEDURE.
Ei.ther party to this ftanchise agreement may at any tune propose that the agreement be
amended. This Ordinance n�y be amended at any ti�ne by tlie City passzng a subsequent o�dinaz�ce
declaring the provisions of the amendment, urhich amendatory ordinance shall hecome eifective
upon the f�iing of Company's written consent �-hexeto with the City Clerk urithin sixty (60) days
after rhe effecti�e date of the amendatory orc�inance.
Passed and appYoved
Stanley Harpstead,
Mayor of �he City of Arden Hzl.ls, Minnesota
6
Attest:
City Clerk, Arden Fiills, Mulnesota
XCEL .APPROVAL DATE; _ _ . 2009
PUBLICATI�N DATE: Published on thc _ day of , 2009.
EFFECTIVE DATE: Tl�is Orc�inance slzall he effec�v� o� the day of
. zoa�.
�
_ _ _ __ _ __ _ _ __ _ . .
Attachment
Ordinance 263
Electric Distr�bution and
Franchise Ordinance (expired)
November 30, 2009, Ciiy Council Meeting
i
_ �
r �
0
C�TY O�' ARD�N 1��LLS, RA�SEY COUN�X, M�NNESQTA
Electric Distzzbu�ion a�d Transmission Franchise
Term: 20 Years Expires: 5epte�zber 24, 20�4
_ .��0.r�j Y �D
FE8 - � 2�D3
ClrY pF Rt�13�nr titLL$
1. Ordinanee No_ 263, passed and approved Sep�ember 25� Z989, grants
Northe�n S�ates Pawer Got�tp�ny, its suceessars and assigns, a
2� yeaz f�anchise_
2_ �xcerpts of Minutes of Reg�,cl�r Meeting, tie�d September 25, 19gg,
at which ozdinance No_ 263, was int�aduce�, read, passed and
adopted.
3. Az�nters' Affidavit of Publication of Ordinance No. 263, in the
NEW BRIGHTON B[FLLETIN, 4ctober 4, �9$9.
4. Acceptance of (7rdinance No, 263, by Northezn S�ates Fower Coinpany
Octoher 10, 1989, and Gertification by the Cit� Clerk that the
Acceptance was fi�ed �n that office onE November 6, 1989.
G
'�a
OI2�INANCE NO. 2b3
AN �Al?�NAAFCE GRAi�ITI�TG TO iJOR�iERN STA�ES POG7ER
CaI�AN`t: A liINNESOTA GORPORATION, IT� SiICCESSORS
AND AS5xGNS, pERMISSION TO CONSi1ZI�CT, QPERP,TE,
REPAIR AAID MAxi�i�AIt7 �N THE C�TY QF ARB�i SILLS ,
MINNESOTA, AN �CTRZC �?�STR�BUT�QFI SYSTEM AN�]
Ti2ANSMISSIOI+I LINES, iNCLUDIPiG NEGESSARY FOL£S , POL.E
LINES, FIX�ES ANL} APPUR�ENA�ICES, F'QK T'HE
F[)RNISHING UF F.I.ECTRIC �,OEitGY TO THL� CITY AND i�'S
���TAN�S. AND OT�iERS, ANi) TQ USE TEiE PUBiIC WAYS
13PID PU$LIC GROUNDS QF SAIb CITY F�it SUGH PURpt7SE5 _
THE CiTY COLJI3C�L OF THE CITY ARDEN HiL.IS, �AkiSEY C�UI�TiY, MIhiNESDTA, DOES
ORDA�N:
SECTIOII 1 _ ne�initions
Subd. 1_ Tn this Ordinance "Ci.ty" means Che City af A�den Hi�ls,
County o£ Ratnsey, 5tate of Mixt�esota.
Subd. 2. "CiLy Utility Sy'stem" refers ta the facilities used �or praviding
any public utility servi.ce owned o� operated by City or agency thereof,
inc�.uding se�re� and water service.
Subd. 3. TMCompany" msans Noz�hern States Power Company, a Minnesota
corporation, its suceessors ant3 asszgns_
Subd_ 4. "I�TO�iC@n eneans a isri.txng sezved by any party or �arCies on any
other party or parties. Notzre to Company shall ha ma��ed to the Area Office
Manager thereof at Z740 E. Coun�y Rd_. E_, Wttite $ear Lake, Minnesota� 5511�.
�ia�ice �o Ci.ty sha�� be mai�eci ta Clie Ci�y Ciezk.
Scibd. 5. "Public grounds" �ttearis city parks and squares as well as land
he�c� by ti�e Czty for Che purposE p� open space_
Subd_ 6. "puhlic ways° means st�-eets, aveztues, alleys, parkways, wa�kways
-and other �u�ixc rights of way witIz�n the C�ty_
5T�CTION 2. GranC of Fxanchise
Caty hereby grants Company, for a period of 2£} years fro�t the date hereof,
the right to transrait and f�rnish e�ectric energy for Iight, hea�, power and
other purposes �or ptfblic and private use wi.thzn and through the �imits of City
as its boundarzes now exist o7r as they tuay be extended z� the £uture. Fpr these
purposes, Company �ay construct� oparate, regair and maintain e�ecCric
distribtxtfon system and e�.ectsic Cransmission lines, inclu�ing po��s, pole
Zines, duet lines, £ixtu�es, and any other necessary appurtenances in, on, aver,
under and acrass the publ.ic ways and gublie gzounds of CiCy_ Company may do aIl
reasonable �hings necessazy or cusCamary to accomplish cizese purposes, subjecL,
however, to the further pro�isions o£ this ;E'ranchise.
1
SE�TiON 3_ ResCrictio�s
5ubd_ 1. Campany fa�ilities ��cluded in such electric d�stributzon system,
transmission �ines and appurtenancas �hgreto, s�a�l he �oca[ed and constructed
so as �a� Co in�ex�ere with the sa�ety and conveaience of ordinary travel along
and over said pub�ic ways_ Comgany's canstzuetion, operaCion, repair,
mafn�enance and �ocatzon of such �aczl3ties shaii be subject to such reasonabie
regt��at�ans as �uay be imposed by City pursuant to charter, ordina�ce ar staCute_
Subd_ 2. Company shall not consCruct any new instal�atzons within o�
ugon any public grounds w�t�out raceiving th� priar written consent o� an
authorized representative o£ City for eac� such insta��ation_
Subd_ 3. Company sha�1 pzovide ffeld l�ca�ions for a1� its undergzound
fac��zties when requested by City wi�hYn a reasonable period o� time. The
period of ti�e will be considered reasanable zi it comgares favorably with the
average Cime required by the ci�ies in the County Ca �ocate munic�paZ
underground faCiliti�s £or Company. ('iCaunty" refers to the County in which
City is Located.)
SECTI�N 4, Tree Trimnnine
Company is a�sa gzanted the permission ar►d author�ty to trim a�l trees and
sl-►rubs in Che public ways and p�blic grounds of City inCerferi.ng w�th �he proper
const�uction, ope�ation, zepair and pnaintenance of any poles, pole lines, and
�ixtuzes or appurtenar:�as installed in pursuance of Lhe ae�Chosity hereby
gzan�ed, pravided ihat Conapany shal2 save City harm�.ess from any liability in
the premises.
SECTIOi3 5 , Ser�rice Rates
The servzce Co be pravided arcci the �a�es to be �harged by Coatpany for
e�ectric servica in C�ty are subject tg the jurasdicti.an of the Pub�zc Utilzties
�ousra.issi.an of this 5tat� �i i�s Si?.ic_ZSSD� ageney.
SECTiO�I 6. Relocatin�
Subd. 1. Whenever City sha3�i grade. regrade a�r cliange tl�e line ai any
public way, or cons�ruc� or reconstruct any Ciiy utili�y sys�em therein and
-shall, in the propex axerci.se of its poZice povrer, and wi[h due regard to
seasonab�e workir�g conditiflrts , whezt necessary, and after appro�ra� of its final plans
have been obCained� order Company ta reiacate pexinanent�y i�s �ines, servzces and
attter property located in said publzc way, Company shall reloeate its facilities at
its v�rn expense. City sha��, g�ve Compaxty reasonable natice af plans �a grade,
regrade or cizange the line a� any pu3�lic way or to canstruct or reconstruct any City
utility syste� thezei.n. Howe�rer, afCar Company has so reloca�ed, if a subsequent
relocation or zelocatiotts sh'a3.1 be ozde�ed 'c.ri�ttin ten (1�) yea�-s frorn and after
first reloCatiox�, City shall reimburse Company for such nari-betterment re�ocation
expense which Company may incur on a time and ma�erial basis; grovided, if
snbsequent reZoca[ions are �equired because of the extension �f City u�ilities
to p=ev3.aus�� uatserved areas, Co�upany may �ie requX�ed to re�ocaCe at its own
expense at art}r time,
►
2
r
5ubd. 2. Nor_hing cantaS.ned in this frar►chise sha�k requixe Compa.ny to
relacate, remvve, replace or recannect at i.�s own expense its £a�i�ities where
such relocation, remaval, rep�acement or reconnec�ion zs �or conveztience and nnt
of nacessity in the canstruction or recons�ruction of a Gity utS.lity system ar
extension thereo�.
Subd. 3_ Any reiocaCion, remaval, or rearrangemen� of any Company
�aci��ties utade necessary because of the ex�ension into or through City of a
federai�.y aided highway project siiail �e governed by the provisions af Minnesota
Statutes Sectian �Si_46 as supplemental or amended; and further, �t is e�tgr�ssl�
understood that t�e right kierein granted �o Company is a vaivable propez�y rzg�t
and City sha�� no� order Campany to remove ar �eloca�e its facilities without
compensaCfars when a gubli.c way is vacaCed. improved or re-ala�gned because of a
renewal or a rede`relapmert� p�an whzc� is financial.�y suhsidized in whole vr in
part by t$e Federal Goverrt�aent or any agency the�eof, unless the reasonable
non-betterment costs af such relocation and the �.ass and expense resu�tix�g
�haxe£rom are firsC paid ta Gomparry.
Subd. 4. Notiiing con�tained he7rein shal� reZieve any person, persotts or
corporations f�om �iai�ility arising ou� of the �azlure �a exercise reasartable
care to avoid ixtjt.iring Company's faci.l�.�ies whi3e pe��o�ing any wark connected
with grading, regradi�g, oz chartging ti�e iine of any public way, or with the
construction or recons�ruction af any Gi�y utiiity systeu�.
SECTZQN 7. Iademnification
�ompany shall indemnify, keep and hoZd City free and harm�ess �rom any and
all liahiiity on aecount of injury to persans oY damage ta property accasioned
by Cha construct�o�, main�enance, repair or operation of Company's elec�ric
faci�i�ies Zocated in, on, aver, under, or across the pub3��c ways and publzc
grounds of City, unYess such in,�ury or da,mage grows out of.the neg�igence of
C�ty, its employees, or agents, or results from the performance in a proper
manner of acts reasonably deemed hazardous h�r Com:pany, �ut sueh performance is
:�etiertYieless or�ere4' ar dirac��d by Ci4y after nr��ice o� Companyrs
determination. In the event a suit sha].J. h� braught agai�nst City ander
czrcumst�ncea where the above agreement to indemnify app�ies, Campany at its
sole cost and expense shal� 8e£end City z.n such suit if wri�ten notice �hereof
is promptly given to Company within a pe�iod wherein Company is nat pra,}udiced
by �ack of such notice. If such atoLice is tiot reasonably givers as hereinbefore
_provided, Gompany shall have no duCy to i�tdemnlify nor defer►d. If Co�any is
required to inde�nzfy and defend, i� will thereafter �►ave comp�eCe control of
suett iitigatiort, but Gompany may naC settle such li�igaCiori wi�haut the consent
of GiCy, wlzicli eo�ent stiall not be unreasonably witY:}teld_ Tt�i.s section � is no�,
xs to Chird pa��ies , a wai.ver of asxy defense ar im�¢uni.ty aCherw�se a�ra3�able to
Ci�y; and �ompany, in defending any action on beha�f of CzCy shall be
aritit�ed t� assert zn any action every de£ense or i�unity that Ci�y could
assert in �.ts own behalf.
3
:
SECT�(?N $. Vacativn of Public Wa s
Ttie City shal3. g��cre the Company' at least two weeks' priox written noti,�e og a
proposed �racati.on of a p�.rl�lic way. Except where requ�red solely far a City
�mpravemen� project, the vacation of any pubZic vray, a�ter the insta�lation of
eiec�ric facilities, s�ia�l not apezate to deprive Company of its r�ghts to operate
and maintain such eiectzical facalities, unti� the reasonable cost of reiocating ttie
same and the loss aud expense resulting from such reZocation are �irst paid to
Con�pany. In no case, howevex�, sha11 City be liable ta the Coargany for £ailure �o
specifical�y preserve a right-of-way, under �iinnesota S�at�tes, Sectian 160,29.
SEC�ION 4. ilrit��n Acce tance
Company shali� if it accegts this ordinance and the rigI��s and obiigatxons
hereby gzanted, fi�e a wr��tien acceptance af the rigttts hereby g�anted with the
CiLy Clerk witl�zrt ninety (90) days aftar the iinal passage and any required
publieation of thzs ardinance.
S�CTFON �4. �rovisions af flrdinance
Subd_ 1. Every section, provisi.on, or part of this ardinance is
dec�.ared segaxa�e from every other sectiorY, proviszon or parC; and if any
section, provision ar paxt sha�l he held inualid, it sha11 not affect any
oCher seetion, �rovision or part_ Where a pzavisian o£ any other City
nrdix�ance confiicts with ttze provisions of this ordinance, the pro�isi.ons of
this ordinanCe shal� prevai�.
5���. 2. If either party (C�ty o� Companyj asserts that the other
party is in default in perfoxmance o£ any obiigation heraunder, the
camplaining pa�tp shal� not3fy the othex party of the de�'ault and the
desired x-emedy_ The natificatS.qn sha7.1 be written. �f the dispute is not
reso�ved wi�i�tin 30 days of the wriCten na�ice, either party may commence an
action �.ti Dist�ic� Gou7�� to inte�ret and exsforce this £xanchise or fo;� such
other re�ief as may permztted by law os egui�.j► for breach of contract, or
either pazty may take ariy other actian pezmztted bp law.
Subd. 3. This ordinance constiLutes a franchise ag�reeueent between the
GaLy and the Comgany as the oniy garties azid no provision vf t3iis francha�se
s�a1Z ire any way inure to the bene£it of any third person {inc��di.ng the
p�blic at large) so as [o constitute any such person as a third party
beneficiaxy of the agreement or of any one or more af the terms hereof, oz
otherwise gzve zzse �o any cause o� action in at�y person not a pazty
he�e�o.
SECTIO�I �1 _ P�xblication Ex ense
�he expense of atxy� pub3.i.cation o� this f�anchise ordinance requzred by �aw
sha1� b� paid by Company_
4
��C��� �2. Effective �ate
�his ord�nance is effective as pravided by statute ox charter, and upo�
aeceptance by Company as provided �n Sectivn 9.
�assed and appraved: 5eptembes 25 , 19 89
. ,"
Mayor
A�test_
/G ��
u City C�.erk�A-��
5
EXCER�'�S 0�` MIN�TTES OF �tegtY�ar -I�EETI1�iG
OF TIiE CITi� CQUNC�i.
iiF �HE
CITY flF ARDEN H�LLS, RAMSEY CDUN�'Y, 2�Z�+IATESOTA
Sept. 25 , I989
A r�g���x meEting of the City Councz� of the Gity of Arden Hzlls,
Mir�nesota, duly ca].led, corivened, and heJ.d in accordance witi-� ��w, was
ca��ed to order by Mayor Sa�her on �he 25 day of 5eptember ,
'�.9 84 at o'clack P.m, at the Council Chambe� zn said City. ��
� 7:30 �
Tha �a��owing mem�ers, cot�stituti�tg a legal quorum were pxesenC: .
t�ayor Thomas R. Sather
Counci�inembers: JoAnn Growe Nancy �iansen and Paul t�a�ane �.
�
F
3
§
S
!
5atizer E
6T i��� intzoduced a certain Ordznar�ce Na. 2b3
entz. t�ed= .
AI3 ORD�NANCE GRANTXNG T� NOR'THERN STA'£ES P4WER
CQMPAN�Y, A MINNESaTA CQRPORATION, ITS SUCCESSC�RS
AND ASSIGNS, PERMISSION TD C�i�iSTR[JC�, QPERATE,
REPAiR AND 1NAII4i�AIN IN THE CI�3C aF ARDEid RILLS ,
MIIdNESOTA, AI3 E�.,�CTRIE BISTit�$UTIE3N SYSTEhF
AND Tf�AI+TSM�SSTpN LINES, FNCLL�IIING NECESSARY POLES,
P()I.E LINES, P�X'F[]RES ANl? APPTxRT�1�ANC�3, FOit THE
-- �'URi�iISHING OF EI..ECTE�IC ENEI2GY 'r0 THE CITX, AN� ITS
INIIA$�TANTS , AND DTHER3 ,�RND TO US� �HE PUBI„IG
WAYS ANLf piJEI.iC GROUNDS OF THE CI�C �'QR SilC�i PL1RP05E5 _
and an mot�on made, seconded, and duly adopted, the above-en�it�ed C3rdinance
was read. �
1'hereaf�er a�ozzan was made by Council��tt I�ansen and seconded
by Gouncilut�x Growe that �%e above-entitled Ordinance be adopt�d
as read arld �tc its ent�7rety_
On roll ca3.1 the vote was as follows:
AY�5 a��
�AY� none
z
The Mayor then decZared said motian du�y carried and the above-ent�t�ed
�rdinance d�1y passed and adop�ed, and ordered the City C�.erk to publish the
same in acco�dance with the law i.n such case made and p�avided_
I DO HEitEBY CERT�Fy tha� g� City Glerk of t}te City of Arden Hi1Is,
Itamsey County� Mi.nttesata, and that � am custodian of z�s recorcts, that the above
is a true and correct copy of a par� of the�mirnstes of Che regniar
meeting of the City Council of said C�ty }�eld orf Sept. 25 ,�g$9.
City �rk
�
.�
.�f�i�xv`t� �af �uh�"t�c����or�
� II� ��ri��t�
�g.
��� p� ��p�
�
�
, being duly sworn, on oatf� says tf�at.
hefshe is ti�e pub�ishar or authorizec# agertt and einployee of ti�e pubtisher of the newspaper
known as , a�d has Tul1 kr�owiedge of the iacis which
are stated below:
(A) The newspaper has complied wifh ali of ttra sequ�rements constituiing qualitication as
a quafi�ed newspaper, as provided 6y �rlinnesota Statute 33�A.02; 331A_O7, and other applicable
taws, as amerided.
(B) "T'he printed
whech is attached was cui frnm the cn[umns of said newspaper, and was printed anc3 pu�lished
once each wesk, for __._...__.�._ successive'wee3cs; it was firs# pubfisk�ed on W�!'d i4S��� the
4�..�_ day of �L",�. , i9 8Q__ _, and was thereatter prinied at�d pubiished an every
to and incfuding , the day of , 39 ; and printed
beiow is a copy of the Fower case alphabet #ram A to Z, both iriclusive, which is hereby
aEkno�,rledged as [�e➢ng the size and kinct of type used in the camposiiior� and publication of the
ri0i1G0:
����P9�sluvwryx
/
� L�.��C�1� r / / / �
Sulascrit7ed and sworri Ya beiore rne on
this ��h--� day of ���, �g _$�.
iVotary Public
'Alpi�abet shpWd be in the sarrse size and kind oi type as the notice.
d\ a•ts•7�FsYh ii}:1Ct�4�f5P1.F:l>'.1`�'7�Ai P30?:vi����'_ _
:' _ .r:.,�._ �l;.I`_L;�L k?e_�.i�t'�'.���-.�� .,.",
r .;.� �.� .�:�;?,�; � - . -.--T:-�-''' - RATE 11�iFORMA"I'IOEV
y - ' ' f4 }� , R = ' ` ;''.,
: -�'�.F�,6°r i;»�=�:__'.' _ .; � `', •1
:. �'� a=c==4 Ftiy CG:f1Y::55iGrt�C: a1lES .day 7. tS3: `:
� � �f3iY3Jlh9+�^SC4s:�6�POiv*6�3'�8iSP6v-.`?�=f�d
�`1�qwest classified rate paid by
commercial users for comparabie space _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ $10.31 per col. inch
(2) IVlaximum rate allowed by faw far [he above maiter . . . . . . . . . . . . . . . . . . $7,p4 per Col. ii1Ch
(9) Flate actualky ct�arged for the a#xave matter _ _ . . . . . _ _ _ _ _ _ _ _ _ _ _ _ _ _$
per col. inch
t188
. •�•. �
ACGEPTANCE OF ORDiHAHCE k0. 2G3
CiTY OF ARD�N Hi�CS, RABSFY CQ�NTY, M{NMESpTA
ACCEPTAHCE Of fRAhCNISE_
�k�REAS, the Clty Councit of the City of Arden Hi[[s, Ramsey Gounty, �irinesota,
on #he 25th day of Sept.ember, 1989, passed and adoptad Ordinance Ro_ 263 eniitled=
AH 08DIHA�CE GRAHTYRG i0 �OR7H�RH S7Ai�S POWER
GOiiPAMY, A#IHNE$aTp CpRPOkAT.IOH, IFS SUCLESSORS
ANfl AS5[GHS PERyiSS1pN TO COKSTRUCT, OPERATE,
REPAiR k�D RAIkiR[k IN 7HE C�TY OF ARDEH NILIS,
MINH�5QIA, AN ELECiRFC n1S7RI6UTIaH SYSi�H
ANQ TRAHS�ISSIOH LINE5, iHCiUpIHG NECESSARY PO�ES,
LIHES, �iXTllRES AND APAURF£HAHEES, FOR T8E
FURNISNl�G OF ELECTRIC EHERGY IO ;8E CIiY, IF5
F�8A8FTA#iS, AHp piHEAS� AHD IO �SE THE PUBLIC
P�BLIC WAYS AN� PUBLIC GROUHDS OF TRE CITY FOR
SUCH PURPOSES.
ahich Ordinance uas uas duly p�6[is�ed according to iau on the 4th day of octo6er, 7989,
in the HEW SRIGHiON B�LLETIH, a neuspaper printed and �ublisked in the City of Neu 8righta�,
Hinnesora� County of Ramsey, and State of Rinnesota� and uhich Ordinance is �ot effective
unCess accepted sn wr[ting by NSp Company.
NO� iHEREFORE, Nort�ern States Aouer Cpmpa�y, a�innesota CarporatSon far itseif
and 'sts successors and assigRs, does hereby accept all the ter�s a�d ca�ditio�s o{
said Ordina�ce.
I� �iTNE55 uHER�OF, �orthern States Po�er Company has caused this documenC to be
exeCuYed in its corporate name by its duly avthorized persons and its corporate sea[ to
to be hereto affixed Lhis � day af i� Tq�
Att korthern States Power Company
B ���
Y
agsistaRt Secretary Vice president, Eiettric t tity pperations
i 00 REREBr CEitTFFY that t am City G[erk of the
C4ty oi Arden flit[s, Ramsey [ounty, Ninnasata,
and that I am wstodiarr of its records, thet the
faregoing is a tr�e and carrect copy of tisat certain
Acceptance 6y NorEE�ern Siates PoHer Company of
Ordinance No_ 263 af Arden Hi[Is� tsinnesota, as fiied
in my office.
DATED this �� day of � �q�
' `City Cier��