Agenda - Council - 10/22/1996 - Laserfiche WebLink

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ORDINANCE #96-XX I I I I CITY OF RAMSEY ANOKA COUNTY STATE OF MINNESOTA AN ORDINANCE ESTABLISHING ELECTRIC AND GAS FRANCHISE FEES FOR THE CITY OF RAMSEY, MINNESOTA The City Council of the City of Ramsey ordains: SECTION 1. DEFINITIONS. The following terms shall have the meaning given them: "Companies" or "each company" means Anoka Electric Cooperative, a Minnesota cooperatiye, its successors and assigns, Midwest Gas, an Iowa corporation, its successors and assigr~s, Anoka Electric, a municipal electric distributor, its successors and assigns, and any other entity selling energy to customers in the City for any use related to heating, cooling, lighting and running machinery and appliances, provided that the City has the authority to require a franchise fee or impose a tax on each of the foregoing. "Gross revenues" mean all sums received by each company's sale of energy to its customerg within the corporate limits of the City, excluding any surcharge or similar addition tO each company's charges to customers for the purpose of reimbursing for each company ~he cost resulting from the franchise fee, and also excluding sales of energy to customeri golely for use as a fuel for vehicles. "CommerCial and industrial customer" means a customer so classified by each company except as defined below. I I I I o "Institutional customer" means a user of energy for purposes other than residential uses as defined balow or other than retail or wholesale trade or manufacturing or warehousing, including but not limited to churches, schools and government facilities. "Residential customer" means a user of energy in connection with the occupancy of a residential;dwelling without regard to how such user may be classified by the companies. ? SECTION 2. F~RANq~HISE FEE, Amount. :The City hereby imposes a franchise fee equal to the applicable percentage, hereinafter set forth, of the gross earnings of each company. Such fee shall not exceed any amount which each company may legally charge to its customers, prior to payment to the City, by imposing a surcharge equivalent to such fee in its rates for energy service. Each company may pay the City the fee based upon the surcharge billed subject to subsequent reductions ;to account for uncollectibles or customers refunds. Each company may add to its effectiv~ rate schedules a surcharge equal to the applicable franchise fee to reimburse each company for the cost of the franchise fee, but such surcharge shall be separately stated on energy ibills to customers within the City. The time and manner of collecting the francbse fee ~s subject to the mutual agreement of the City Council and the Utilities Board of Directors or Commission, which each company agrees to use its best efforts to obtain. The initial franchise fee imposed by this ordinance shall be in the amount of the percentage set forth b~low on that portion of gross revenues derived from sales to each company's customers based on the billing months for the applicable calendar quarter. Commercial_ and Industrial Customers 0% Residen ti al ~Customers 3 % Institutional Customers 0% ORDINANCE #96- Page 1 of 3 /71