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HomeMy WebLinkAbout6.r. Transitory Ordinance Relating to Gas PipelinesAGENDA ITEM: Transitory Ordinance Relating to Gas Pipelines AGENDA SECTION: Consent PREPARED BY: Jamie Verbrugge, City Administrator AGEN 0 6 ATTACHMENTS: Proposed Transitory Ordinance APPROVED BY: RECOMMENDED ACTION: Motion to adopt a Transitory Ordinance relati to gas pipelines; providing an exception to Ordinance No. XI.25, authorizing Xcel Energy to provide gas service to the Harmony, Harmony 2 and Harmony 3 subdivisions. 4 ROSEMOUNT CITY COUNCIL City Council Meeting: November 15, 2005 EXECUTIVE SUMMARY BACKGROUND The City Council adopted Ordinance No. XI.25 on May 17, 2005. That ordinance amendment requires that no permits shall be issued for the installation of gas pipes and mains to entities that do not hold a current franchise from the City of Rosemount. ISSUE Contractor Property Developers Company (CPDC), the developer of the Harmony residential subdivisions on the site of the former Brockway industrial properties, has an agreement with Xcel Energy to provide gas service to the subdivision Xcel Energy is currently negotiating a renewal of its expired franchise with City staff and the City Attorney. Although the parties have made positive progress m our negotiations, it is unlikely that a franchise agreement can be finalized and ratified m time for the Harmony project to proceed. The transitory ordinance will allow the service installation to continue in a timely fashion. SUMMARY The City Attorney and City Engineer have both reviewed the transitory ordinance and recommend its adoption. A TRANSITORY ORDINANCE RELATING TO GAS PIPELINES; PROVIDING AN EXCEPTION TO ORDINANCE NO. XI.25, AUTHORIZING XCEL ENERGY TO PROVIDE GAS SERVICE TO THE HARMONY, HARMONY 2 AND HARMONY 3RD SUBDIVISIONS THE CITY COUNCIL OF THE CITY OF ROSEMOUNT, MINNESOTA ORDAINS AS FOLLOWS: Section 1. PURPOSE. On May 17, 2005, the City Council adopted Ordinance No. XI.25. Ordinance No. XI.25 amended City Code Section 4-2 -1 by adding paragraph b, which provided that no permits would be issued for the installation of gas pipes and mains to entities that did not hold a current franchise from the City of Rosemount "City Prior to the adoption of that ordinance, Xcel Energy, which does not currently hold a franchise from the City, had entered into a contract with Contractor Properties Development Company to provide gas services to a development now described as the subdivisions of Harmony, Harmony 2" and Harmony 3' (the "Harmony Subdivisions in the City of Rosemount. Pursuant to that contract, Xcel Energy constructed gas service lines to sent a portion of the Harmony Subdivisions. Xcel Energy has represented to the City that its determination as to the feasibihty of serving the Harmony Subdivisions was based on providing services to the entire development, but no other facilities in the City. Xcel Energy has requested that it be allowed to complete providing gas services to the Harmony Subdivisions, notwithstanding the requirement of City Code Section 4 -2 -1, paragraph b, that it have a franchise with the City. The Council has determined that the purposes of Ordinance No. X125 will not be frustrated or compromised by the adoption of this ordinance and that it is reasonable and appropriate to authonze the extension of gas service by Xcel Energy to the remainder of the Harmony Subdivisions for the orderly completion of that development. Section 2. City Code Section 4-2 -1, paragraph b shall not apply to the installation by Xcel Energy of gas pipes and mains within, and servmg, the Harmony Subdivisions m the City of Rosemount. Section 3. This ordinance shall be in effect following its passage and pubhcation. Adopted this 15th day of November, 2005, by the City Council of the City of Rosemount. CITY OF ROSEMOUNT ATTEST. William H Droste, Mayor Linda Jentmk, City Clerk Published in the Rosemount Town Pages this day of 2005. CLL- 270852v1 RS220 -216 CITY OF ROSEMOUNT ORDINANCE NO.