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City considers electricity and gas fees to broaden revenue baseCity considers electricity and gas fees to broaden revenue base City considers electricity and gas fees to broaden revenue base by Kristine Goodrich he Arden Hills City Council is T discussing enacting franchise fees month fee on their electricity bills and month fee on their electricity bills and Currently, property tax collections are not to help fund street, trail, and park $1.75 per month on their gas bills. Fees for $1.75 per month on their gas bills. Fees for generating enough revenue to accomplish improvements. The monthly fees would businesses and other non-residential propbusinesses and other non-residential prop many of the priorities in the Citys Capital - be charged to all electricity and gas users erties would depend on their size and type erties would depend on their size and type Improvement Plan. in the City. For residential users, the fees of service. Councilmembers have asked of service. Councilmembers have asked under consideration would total $4.75 a an Xcel Energy representative to prepare an Xcel Energy representative to prepare Many cities have franchise fees, includ - month. The cost for non-residential users more detailed information about how the more detailed information about how the ing Shoreview, Mounds View and New Citys non-residential Brighton. The objective - tion as determined by Xcel Energy. properties will be is to broaden the citys impacted, especially revenue base. The fees Councilmembers have been discussing the Community members who would Community members who would businesses and organi are charged to all users, - like to share comments and/or like to share comments and/or zations. including tax-exempt over the last several months in workshop hear more about the proposed hear more about the proposed properties. By broaden- meetings. They will hold public hearings franchise fees are invited to franchise fees are invited to The proposed fees ing the revenue base about the proposal in February, and they participate in a public hearing. participate in a public hearing. would generate ap with franchise fees, the - plan to make a decision after considering The Council will hold hearings The Council will hold hearings proximately $439,000 City would not need to input from residents. If approved, the fees during its meetings on February during its meetings on February annually for the City. rely solely on increased would commence no earlier than January 10 and February 24. Residential customers property taxes to gener - 2015. Xcel Energy would collect the fees would supply 38 per ate revenue for City - as part of its bills and reimburse the City. cent of those revenues. improvements. Cities are permitted to use the revenues Cities are permitted to use the revenues After talking about both the Citys long- More information about the franchise fees term capital needs and the impact on com have established three spending priorities: have established three spending priorities: proposal will be posted on the City website - munity members, the Council is consider expanding and maintaining the City trail expanding and maintaining the City trail and will be presented at the February pub - - ing the following fee schedule: Residential system, improving and maintaining parks, system, improving and maintaining parks, lic hearings. electricity users each would pay a $3 per and improving and maintaining roads. and improving and maintaining roads. Bethel University looks to expand by Susan Cathey B ethel University, an Arden Hills pansion of its leased Red Fox Road facili pansion of its leased Red Fox Road facili - institution for 40 years, continues to ties. This proposed use included general ties. This proposed use included general grow and to look for space for expansion. and administrative spaces, nine classrooms and administrative spaces, nine classrooms The universitys 2012 Campus Master and specialized teaching facilities for its and specialized teaching facilities for its Plan stretched the limits of on-campus physician assistant program. space for undergraduate programs, and many classes in the College of Adult & A new opportunity arose for Bethel this A new opportunity arose for Bethel this Professional Studies and Graduate School past summer when Country Financial past summer when Country Financial are currently held in other locations in approached the University with an offer approached the University with an offer Arden Hills and elsewhere. to sell the property at 2 Pine Tree Drive, to sell the property at 2 Pine Tree Drive, currently only 35 percent occupied. The currently only 35 percent occupied. The In June of this year, the City approved a location and the single large building in location and the single large building in and conditions for a sale, assuming Bethel zoning code amendment and conditional a setting of woods and wetlands seemed a setting of woods and wetlands seemed could obtain the necessary City approvals use permit allowing Bethel to lease up ideal for an east campus for Bethel and ideal for an east campus for Bethel and to 26,000 square feet in the 2 Pine Tree on July 26, the University and the property on July 26, the University and the property Drive building as a replacement and exowner agreed in principle on the terms owner agreed in principle on the terms - Continued on page 3