Agenda - Council - 12/08/1992 - Laserfiche WebLink

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ORDINANCE 092- CITY OF RAMSEY ANOKA COUNTY STATE OF MINNESOTA AN ORDINANCE ESTABLISHING ELECTRIC AND GAS FRANCHISE FEES FOR THE CIT~ OF RAMSEY, MINNESOTA The City coUnCil of the City of Ramsey ordains: SECTIONI. i DE?INITIONS. The following terms shall have the meaning given them: , 1. "ComPanies" or "each companyI' means Anoka Electric Cooperative, a Minnesota eoop!}rafiv~, its successors and assigns, Midwest Gas, an Iowa corporation, its successors and as~ign~,, Anoka Electric, a municipal electric disu'ibutor, its successors and assigns, and a~ ot~er 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 authoriiy tolreqmre a franchise fee or impose a tax on each of the foregoing. 2. "Groins'. revenues" mean all sums received by each company's sale of energy to its custc~ers Within the corporate limits of the City, excluding any surcharge or similar addino~ to gach company's charges to customers for the purpose of reimbursing for each company tt~e cost resulting from the franchise fee, and also excluding sales of energy to custom6rs solely for use as a fuel for vehicles. 3. "Coramerei~l and industrial customer" means a customer so classified by each company except as dafined below. 4. Insnttitmn~l customer" means a user of energy for purposes other than residential uses as defined below or other than retail or wholesale trade or manufacturing or warehousing, including btit not limited to churches, schools and government facilities. 5. "Residential customer" means a user of energy in connection with the occupancy of a residontial dwelling without regard to how such user may be classified by the companies. SECTION 2.! ' FRANCHISE FEE. 1o Amount. The City hereby imposes a franchise fee equal to the applicable percentage, hereiriafter Set forth, of the gross earnings of each company. Such fee shall not exceed any amountlwh{ch each company may legally charge to its customers, prior to payment to the Cay, by ~mpos~ng a surcharge eqmvalent to such fee in its rates for energy service. Each compariy rn~.y pay the City the fee based upon the surcharge billed subject to subsequent reducti6ns i~ account for uncollectibles or customers refunds. Each company may add to its eff...~tiveirate schedules a surcharge equal to the applicable franchise fee to reimburse each ~o~npa~a~ y for the cost of the franchise fee, but such surcharge shall be separately stated on eneggy bills to customers within the City. The time and manner of collecting the franchise fe9 is subject to the mutual agreement of the City Council and the Utilities Board of Diteetor~; or Commission, which each company agrees to use its best efforts to obtain. The initial f~anchise fee imposed by this ordinance shall be in the amount of the percentage set forth below on that portion of gross revenues derived from sales to each company's customers biased on the billing months for the applicable calendar quarter. Commea'ei~ and Industrial Customers % Residcrttial Customers % Insfittlfibnal!Customers % ORDINANCE g92- Page 1 of 3