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1998-08-04 Packet
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1998-08-04 Packet
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Sales) were in attendance to give a presentation to request authorization to install NSP (Northern <br /> States Power) gas /electric lines. Mr. Wertish said Mr. Gerald Rehbein and Mr. Rick Carlson <br /> requested NSP to service their developments and then offered a thumbnail sketch of the proposed <br /> lines along 20th Avenue and Centerville Road. Furthermore, it is NSP's hope to provide <br /> customers with the choice of service. In any case, the existing lines are east of 35E, south of the <br /> movie theater and west of County Road J. <br /> The Council noted the city presently is serviced by Minnegasco. Also, neither the City Engineer <br /> nor the Public Works Director foresee the benefit two gas companies will provide the city. Mayor <br /> Wilharber inquired about franchise fees. Mr. Wertish replied NSP would like to be competitive <br /> with Minnegasco's rates and franchise fees would take them out of contention. <br /> Councilmember Buckbee questioned why Mr. Rehbein and Mr. Carlson requested NSP to serve <br /> the industrial area and the Parkview development. Ms. Tierney explained NSP offers different <br /> programs than does Minnegasco. NSP offers dual lines which are on both sides of the street, and <br /> winter construction options for developers. <br /> Mr. Wertish commented NSP would provide a benefit to the city by way of paying property tax <br /> on the lines within the right -of -way. The Council questioned NSP representatives about <br /> responding to a gas leak complaint and the confusion two servers present when responding. <br /> Councilmember Powers was mindful of competition but emphasized the safety factors. <br /> The following major points emerged from the Council's analysis of the request. In sum, the safety <br /> factor, the competence of Minnegasco, and that there is no benefit for the city. Mr. Wertish <br /> explained the reasoning for deregulation was to allow property owners their choice of service <br /> with the option to choose, such as, Mr. Carlson's and Mr. Rehbein's request to utilize NSP. <br /> Ms. Schmidt spoke on behalf of NSP and Minnegasco, as she explained their procedures when <br /> responding to a gas leak complaint. Foremost, whichever company responds to a gas leak <br /> complaint, the first thing both companies will do is to mitigate the situation regardless of whose <br /> gas line it belongs to. Then identify the owner of the gas line and precede as needed_ <br /> savor Wilharber moved and it was seconded to dew the NSP service franchise into Centerville <br /> Motion carried unanimously. <br /> NEW BUSINESS <br /> Local Performance Aid (LPAI <br /> Mr. March briefed the Council on the state program "Local Performance Aid" and its qualifying <br /> factors. In fact, there are several ways Centerville can qualify for the funds. Accordingly, the <br /> City will receive approximately $3,000 for complying with the state regulations. Mr. March <br /> recommended the Council approve the LPA application. <br /> 4 <br />
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