HomeMy WebLinkAbout5.d. Approve NSP Gas Franchise ;�
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June �6, 1989 ITBM S. d.
T�: Mapor Hoke
Councilmembers: Napper
Oxborough
Walsh
Wippermann
FROM: Stephan Jilk
Administrator/Clerk '. 1
RE: Northern States Power - Natural Gas Franchise
For several months we have been in negotiatian with
representatives of Northern States Power Companp for the purpose
of negotiating a franchise which would a1Zow their operation a£ a
natural gas utilitp in the City of Roaemount. This is their
first franchise for the operation of such a utility in the Citp.
On Monday, the 12th of this month the Rosemount Utility
Commission considered a proposed ordinance allowing this
franchise. Following this review they adopted a motion to
recommend to you that this franchise be approved. A copq of the
franchise is attached for your review and consideration.
The ordinance presented here grants the approval for NSP to
operate the utility for a period of fifteen years from the date
of adoption. It provides for training for city fire department
and city public warks people in handling emergency situation with
regards to the gas utility where appropriate and the
establishment of an emergeneq telephone number for easier access
to the company' s service department in case of an emergeney.
This telephone number is separate from the general service numb�r
providing more meaningful access to the company by emergency
personne�.
In addition to the ordinance the company has commitCed to a
minimum payment of $lOQO per year to the City for economi.c
development purposes in 13,ne with some o� the things Dakota
Electric agreed to.
I wi11 surely concur with the recommendation of the Utility
Commission and ask that you approue the franchise as presented .
lj
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� ORDINANCE N0.
AN ORDINANCE GRANTING TO NO�tTHERN STATES POWER
COMPANY, A MINNESOTA CORPORATION, ITS SUCCESSORS
- AND ASSIGNS, PERMISSION TO ERECT A GAS
DISTRIBUTION SYSTEM FOR THE PURPOSE OF
INSTALLING, ENLARGING, OPERATING, REPAIRING AND
MAINTAINING IN THE CITY OF ROSEMOUNT, MINNESQTA,
THE NECESSARY GAS PIPES, MAINS AND APPURTENANCES
FOR THE TRAIVSMISSiON OR DISTRIBUTION OF GAS TO
TO SAID CITY AND ITS INHABITANTS AND OTHERS
AND TRANSMITTING GAS INTO AND THROUGH SAID
CITY AND TO USE THE PUBLIC WAYS AND PUBLIC
GROUNDS OF SAID CiTY FOR SUCH PURPOSES.
THE CITY COUNCIL OF THE CITY OF ROSEMOUNT, DAKOTA COUNTY, MINNESOTA, DQF..S
ORt)AIN: �
SECTION l. �efinitions
Suhd. 1. In this Ordinanee "City" means the City of Rosemount, County
of Dakota, State of Minnesota.
Subd. 2. "City Utility System" refers to the facilities used for providing
any public utility service owned or operated by City or agency thereof, including
sewer and water service.
Subd. 3. "Company" means Northern States Power Company, a Minnesota
corporation, its successors and assigns.
Subd. 4. "Gas" as used herein shall be held to include natural gas,
manufactured gas, or other form of gaseous energy.
Subd. S. "Notice" means a writing served by any party or parties on any
other party or parties. Notice to Company shall be mailed to the Vice President,
Gas Utility, thereof at 825 Rice Street, St. Paul, Minnesota 55117. Notice to city
shall be mailed to the CITY CLERK.
Subd. 6. "Public grounds" means city parks and squares as well as land
held by the City for the purpose of open space.
Subd. 7. "Public ways" means streets, avenues, alleys, parkways, walkways,
and other public rights of way within the City.
Subd. 8. "Gas System" means all mains, pipes, and all other equipment
appurtenances and equipment for the transmission, distribution and sale of
natural gas in the City.
SECTION 2. Grant of Franchise
City hereby grants Company, for a period of 15 years from the date
hereof, the right and privilege of erecting a gas distribution system and
using the public ways and public grounds of City for the purpose of
installing, operating, repairing, and maintaining, in, on, over, under, and
aeross the same, all gas pipes, mains, and appurtenances, usually,
conveniently, or necessarily used in connection theXewith, for the purpose of
the transmission of gas, or the distribution of gas, for public and private use
within and through the limits of City as its boundaries exist or as they
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may be extended in the future. Company may also do all reasonable things
necessary or customary to accomplish these purposes sub,ject, however, to
the further provisions of this franchise.
SECTION 3. Restrictions
Subd. l. All gas pipes, mains, regulators, and other property and
facilities shall be so located, constructed, installed, and maintained as not to
endanger or unncessarily interfere with the usual and customary trade, traffic,
travel upon, and use of public ways of City. In installing, repairing, and
maintaining, removing, or replacing said gas pipes, mains, and appurtenances,
Company shall, in all cases, glace the public ways, in, on, under, or aeross which
the same are Iocated in as good condition as they were prior to said operation.
Subd. 2. Company shall not construct any new or modified installations
within or upon any public grounds without receiving the prior written consent of
an suthorized representative of City for each such new installation.
Subd. 3. Company shall provide field Iocations for all its underground
facilities when requested by City within a reasonable period of time. The period
of time will be considered reasonable if it compares favorably with the average
time required by the Cities in the County to locate municipal underground
facilities for Company, ("County" refers to Dako�a County in which City is located.j
Subd. 4. Before Company constructs any new structure or converts any
existing structure for the manufacture or storage of gas, Company shall first
obtain the approval of the structure and the location thereof from City. Such
approval by City shali not be unreasonably withheld.
Subd. 5. After undertaking any work requiring the opening of any public
� way or public ground, the Company shall restore the same, includi.ng paving and
its foundation, to as good condition as formerly existed, and shall maintain
the same in good condition foz two (2) year� thereafter, the work shall be
completed as promptly as weather permits. I� the Company shall not promptly
perform and complete the work, remove all dirt, rubbish, equipment and material
and put the public way or said public ground in the said condition, tk►e City
sha�l have, after demand to the Company to cure said condition and the
passage of a reasonable period of time following the demsnd, but not to
exceed 5 days, the right to make the restoration at the expense of the
Company. The Company sha11 pay to the City the cost of such work done for or
performed by the City including its administrative expense and overhead.
This remedy shall be in addition ta any other remedy avai7.able to the City.
SECTION 4. Service. Rates
The service to be provided and the rates to be charged by Company for gas
distribution or transmission service in City are sub�ect to the jurisdiction of the
Public Utilities Commission of this State or its successor agency.
SECTION 5. Relocati�
Subd. 1. Whenever City shall grade, regrade, or change the line of any
public way, or canstruct or reconstruct any City utility system therein and
shall, in the proper exercise of its police power, and with due regard to
seasonable working conditions, when neeessary order Company to relocate
permanently its mains, services, and other property located in ssid public way,
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Company shall relocate its facilities at its own expense. City shall give
Company reasonable notice of plans to grade, regrade or change the line o€ eny
public way or to construct or reconstruct any City utility system therein.
However, after Company has so relocated, if a subsequent relocation or
relocations, shall be ordered within ten (10) years from and after first
relocation, City shall reimburse Company for such non-betterment relocation
expense which Company may incur on a time and material basis; provided, if
subsequent relocations are required because of the extension of City
utilities to previously unserved areas, Company may be required to relocate
at its own expense at any time.
u d Nothing contained in this frenchise shall �equire Company to
relocate, remove, replace, or recannec� at its own expense its fecilitiss where
such relocatian, removal, replaeement, or �reconnection is for convenfence and
not of necessity in the construction or reconstruction of a City utility sysCem
or extension thereof.
�ubd. 3. Any relocation, removal, or rearrangement of any Company
facilities made necessary because of the extension into or through City of a
federally aided highway pro�ect shall be governed by the provisions of Minnesota
Statutes Section 161.46 as supplemented or amended; and further, it is
expressly understood that the right herein granted to Campany is a valuable
property right and City shall not order Company to remove or relocate its
facilities without compensation when a public way is vacated, improved or
realigned because of a renewal or a red�velopment plan which is Einancially
subsidized in whole or in part by the Federal Government or any agency
thereof, �unless the reasonable non-betterment costs of such a relocation and
the loss and expense resulting therefrom are first paid ta Company.
�ubd. 4. Nothing contained herein shall relieve any person, persons or
corporations from liability arising out of the failure to exercise reasonable
care to avoid in�uring Company's facilities while performing any work connected
with grading, regrading, or changing the line of any public way} or with the
construction of any City utility system.
SECTION 6. Indemnification
Company shall indemnify, keep, and hold City free and harmless from any
and all liability on account of in3ury to persons ar damage to property
occasioned by the canstruction, maintenance, repair, or operation of Company's
gas facilities located in, on, over, under, or across the public ways and
public grounds of City, uriless such in�ury or damage grows out of the negligence
of City, its employees, or agents, or xesults from the performance in a proper
manner of acts reasonably deemed hazardous by Company, but such performance is
nevertheless ordered or directed by City after notice of Company's
determination. In the event a suit shall be brought against City under
circumstances where the above agreement to indemnify applies, Company at its
sole cost and expense shall defend Gity in such suit if written notice thereof
is promptly given to Company within a period wherein Cornpany is not pre�udiced
by lack of such notice. If such notice is not reasonably given as hereinbefore
provided, Company shall have no duty to indemnify nor defend. If Company is
required to indemnify and defend, it will thereafter have complete control of
such litigation, but Company may not settle such litigation without the consent
of City, which cansent shall not be unreasonably withheld. This seetfon is not,
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as to third parties, a waiver of any defense or immunity otherwise available to
City; and Company, in defending any action on behalf of City shall be
entitled to assert in any action every defense or immunity that City could
assert in its own behalf.
SECTION 7. Vacation of Publie Wavs
The City shall give the Company at least two weeks' prior written
notice of a proposed vacation of a public way. Except where requized solely
for a City improvement pro,ject, the vacation of any public way, efter the
installation of gas facilities, shall not operate to deprive Company of its
rights to operate and maintain such gas facilities, until the rea�onable
cost of relocating the same and the loss and expense resulting from such
relocation are first paid to Company, In no case, however� sha21 City be
Ziable to the Company for failure to specifically preserve a right-of-way,
under Minnesota Statutes, Section 160.29.
SECTION 8. Written Accevtance
Company shall, if it accepts this Ordinance and the rights and
obligations hereby granted, fil.e a written acceptance of the rights hereby
granted with the City Clerk within ninety (90) days after the final passage and
any required publication o£ this Ordinance.
SECTION 9. Prov�sions of Ordinance
Subd. 1. Every section, pro�ision, or part of this ordinance is
declared separate from every other section, provision, or part; and if any •
section, provision, or part shall be held invalid, it shall not affect any
other section, provision, or part. Where a provision of any other City
ordinance conflicts with the provisions of this ordinance, the provisions of
this ordinance shall prevail.
Subd. 2. If either party (City or Company) asserts that the other
party is in default in performance of any obligation hereunder, the
complaining party shall notify the other party of the default and the desired
remedy. The notification shall be written. If the dispute is not resolved
within 30 days of the written notice, either party may commenec� an acti.on in
District Court to interpret and enforce this £ranchise or for such other
relief as may permitted by law or equity for breach of contract, or either
party may take any other action permitted by law.
Subd. 3. This ordinance constitutes a franchise agreement between
the City and the Company as the only parties and no provision of this
franchise shall be in any way inure to the benefit of any third p�rson
(including the public at large) so as to constitute any such person as a
third party beneficfary of the agreement or of any one or more of the terms
hereaf, or otherwise give rise to any cause of action in any person not a
party hereto.
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Section 10. Safety Training
The Company shall provide annually, the first of which within 90
days from the adoption and acceptance of this franchise, training for
employees of the City, basic response and awareness techniques as to the
sa£e operation and maintenance of the Company system. The purpose of this
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trainirtg is to assist the City Public Works Department and the City Fire
Department in response to incidence requiring their assistance relating to
the Gompany's facilities in the City.
Section 11. Emer,g,ency �esponse Telephone Number
The Company shall provide a 24 hour emergency telephone number
providing access to the Company by the City for emergency response
purposes. This telephone number must be separate from the general service
response telephone number and must provide meaningful access to the
Company for emergency response.
SECTION 12, Publicatio,�► Ex,pense
The expense of any publication of this franchise Ordinance required by
law shall be paid by Company.
SECTION 13. Effective Date
This Ordinance is effective as provided by statute or charter, and upon
acceptance by Company as provided in Section 8.
Passed and approved: � 19
Mayor
Attest:
City Clerk
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EXCERPTS OF MINUTES OF MEETING -'
OF THE CITY COUNCIL
OF THE
GITY 4F ROSEMOUNT� DAKqTA COUNTX� l�IINNESOTA
, 19
A meeting of the City Council of the City of Rosemount,
Minnesota� auiy called, convened� and held in accordance with law� was called to
order by Mayor on the day of , 19 � at
o'clock _.m. at the Council Chamber in said Ci t y. —"
The following members* constituting a legal quorum were present:
Councilmember introduced e cextain Ordinance No.
entitled: .
AN ORDINANCE GRANTING TO NORTHERN STATES POWER
COMPANY� A MINNESOTl� CORPORATION� ITS SUCCESSORS
AND ASSIGNS, pERMISSION TO ERECT A GAS DISTRIBUTION
SYSTEM FOR THE PURPOSE OF INSTALLING, ENLARGING� ,
OPERATING� REFAIRING AND NAINTAINING IN THE CITY OF
ROSEMOUNT, MINNESOTA, THE NECESSARY GAS PIPES�
� MAINS AND AppURTENpNCES FOR TfiE TRANSMISSION UR
DISTRIBUTION OF GAS TO SAID CITY AND ITS INHABITANTS
AND OTHERS AND TRANSMITTING GAS INTO AND THROUGH SAID
CITY� AND TO USE THE PUBLIC WAYS AND PUBLIC GROUNDS
OF SAID CITY FOR SUCH PURPOSE.
and on motion made� seconded� and duly adopted, the above-ent�.tled Ordinance was
read.
Thereafter a motion was made by Councilmember and seeonded
by Councilmember that the above-entitled Ordinance be adopted
as read and in its �ntirety.
On roll call the vote was as fallaws: �
AYES:
NAYS:
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The Mayor then declared said motion duly carried and the above-entitled
Ordinance duly passed and adopted� and ordered tl�e City Clerk to publish the
same in accordance with the law in such case made and provided.
I DO HEREBY CERTIFY that I am City Clerk of the City of Rosemount,
Dakota County, Minnesota, and that I am custodian of its records� that
the above is a true and correct copy of a part of the minutes of the
meeting of the City CounciT of said City h�ld on
. 19_
City Clerk