Agenda - Council - 08/27/1996 - Laserfiche WebLink

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1996-97 SRA PROJECTS & ANTICIPATED PROJECTS To assist in the 1997 SRA Budget review process, the following is information describing the types of issues the SRA is currently addressing and those in which we believe the SRA will be involved to protect residential, business, and city govemment ratepayers of SRA members. Given the quantity of important issues, it is possible that the SRA will be required to focus only on two of three of these issues to stay within its budget constraints. These matters are in addition to the General budget item that usually carries the largest component of any SRA annual budget. The General category includes quarterly meetings, member and non- member communications and on-going identification of new issues that may arise. 1. CITY RIGHTS-OF-WAY CONTROL AND TELECOMMUNICATIONS CARRIERS. On February 23, 1996, US West filed a petition with the PUC requesting an order limiting city rights to control the rights-of-way. This petition seeks broad PUC authority and limits on cities. The SRA has intervened and will be working closely with the League of Cities and other interested public bodies to protect city authority to control and receive compensation for utility use of the public right-of-way. This issue will likely come before the 1997 legislature for comprehensive review and possible new law. The SRA and all Minnesota cities should regard this matter as vitally important. 2. MINNEGASCO GAS RATE INCREASES. The SRA has been successful in the administrative hearing portion of the 1995 Minnegasco rate increase petition advocating no recovery from ratepayers for Minnegasco's acquisition premium for the Midwest Gas assets. Minnegasco has been very aggressive in the t990s in seeking rate increases and the SRA is one of the few non-state agency parties to vigorously contest several of the more significant recovery requests. The SRA will continue to seek the lowest possible rates for SRA residents and businesses. 3. CITY WATER TOWER LEASES FOR WIRELESS COMMUNICATIONS. The Telecommunications Act of I996 has spawned numerous applications for wireless communication antennae on city water tower sites. The SRA has been very active in coordinating a League of Cities sponsored work group to establish a model site lease agreement for use by cities. Each lease will be influenced by the many market considerations such as lease payments, termination rights, interference issues and other matters. This group effort will greatly assist cities in their negotiations with cellular, PCS and other wireless communica- tions applicants. 4. ELECTRIC INDUSTRY DEREGULATION. The PUC is conducting an ongoing investigation into the deregulation of the electric utility industry. At issue for retail ratepayers will be the opportunities and burdens that will result when customers are able to purchase power from providers other than the franchised-provider in the service area, Cities also will be affected greatly as large customers with significant purchasing clout and as being forced to deal with potential negative consequences if certain residential customers are unable to benefit from de-regulation. J~4S103351 SU160-3 I