Agenda - Council - 06/23/2020 - Laserfiche WebLink

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• Collected Fees will be deposited into a committed fund - "Pavement Management Program Fund" • Annual review by City Council of franchise fees collected, funds expended and balance remaining in Pavement Management Program Fund • Rebate Program - Discussed below • A 5-Year sunset term on all ordinances to allow a thorough review of revenues versus expenditures, to consider other potential funding sources in the future, and to make adjustments as desired or needed. A rebate program is proposed that will return the annual franchise fee to those have been assessed since 2015. The rebate program will apply to those currently paying an assessment on a street reconstruction or overlay project that was levied, starting in 2015 (first year of city's Pavement Management Program), or who paid their assessment upfront (prepaid) and would otherwise still be paying an assessment. The rebate would be capped at the lesser of the annual assessment amount or annual franchise fees paid. The rebate is no longer eligible if a property has been sold since the assessment was levied. Homeowners will need to apply for the rebate annually. See attached franchise fee rebates summary Notification: Public Hearing notifications for July 14, 2020 will be published in the Anoka Union on June 26 and July 3, and July 10,2020. Letters were also sent out to Connexus Energy, Centerpoint Energy & City of Anoka Electric on June 11, 2020 notifying them of the city's intention of adopting a franchise fee. Observations/Alternatives: The following is the Proposed Franchise Fee Adoption Schedule: May 12, 2020 WS Consensus of Council directed staff to bring forward franchise fee option. June 9, 2020 WS Council reviews draft ordinances with proposed franchise fee rates and terms. Consensus was a $7 per month per utility for residential and commercial properties would be charged a fee for each respective utility based on meter size (if more than one meter, largest meter would be used to determine fee. June 11, 2020 Letters to Connexus Energy, City of Anoka, and Centerpoint Energy notifying of intention of City to introduce a Franchise Fee Ordinance. June 23, 2020 CC Motion Calling for a Public Hearing on the Proposed Franchise Fee Ordinances. June 26 . July 10, 2020 Public Hearing Notice Posted in Anoka Union. July 14, 2020 First Reading of Proposed Franchise Fee Ordinances followed by Public Hearing. July 28, 2020 Adoption of Franchise Fee Ordinances. July 29, 2020 Connexus Energy, City of Anoka and Centerpoint Energy notified by Certified mail adoption of Ordinances. July 31, 2020 Posting of adopted Ordinances in Anoka Union. September 28, 2020 Franchise Fee Ordinances become effective. October 1, 2020 or January 2021 1st monthly franchise fee billing received by Ramsey residents.