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HomeMy WebLinkAbout3.g. SPUC Contribution Funding Formula RESOLUTION #672 A RESOLUTION AUTHORIZING CERTAIN PAYMENTS FROM THE SHAKOPEE PUBLIC UTILITIES COMMISSION 1 J TO THE CITY OF SHAKOPEE WHEREAS, the Shakopee Public Utilities Commission has historically contributed from its resources to the City of Shakopee General. Fund, and WHEREAS, the City of Shakopee has considered the adoption of a franchise fee to be imposed upon all energy providers within the City, although its action thereon has not been completed, and WHEREAS, the Shakopee Public Utilities Commission believes it would be beneficial to the City and the Utilities Commission to • establish a basis for the payment of an amount to the City which would be equivalent to a franchise fee on its electric services revenues, utilizing some of the factors under consideration by the City, and • WHEREAS, the Shakopee Public Utilities Commission has determined that this approach to the contribution to the City will Permit the Commission to achieve an equitable balance between support-of the City's General Frund and maintaining rates that are fair to the Commission's customers and which will sustain. the Commission's ability to provide reliable electric service at a competitive price, and WHEREAS, the Commission desires to confirm the basis of the transfer to the City from water operations is unchanged by this Resolution, NOW THEREFORE BE IT RESOLVED, that the following contributions from the electric and water utility operations shall be made by the Shakopee Public Utilities Commission to the General Fund of the City for the year 2002 and subsequent years, until such further action as may be taken by the Shakopee Public Utilities Commission: Payment on Electric Gross Sales Residential _ $$ SS Commercial Industrial SS Customer Late Fees Total Gross Electric Sales $$ Times 2.71% 0.0271 Payment to City from Electric Operations SS • Payment on Water Gross Margin Water Sales SS Total Gross Water Sales' SS Less Cost of Energy for pumping: $$ Gross Water Margin $$ Times 23.77% 0.2377 Payment to City from Water Operations $$ • • • • BE IT FURTHER RESOLVED, that energy for street lighting and the cost of Maintenance and operation of street lights will continue to be donated to the.City of Shakopee consistent with the past practices of the Shakopee Public Utilities Commission. BE IT FURTHER RESOLVED, that the payments due to the City pursuant to the foregiong schedule and the determination of gross sales shall be based on the corresponding figures contained in the audited financial statements of the Shakopee Public Utilities Commisiion for the year 2002 and thereafter. Until those figures are available, monthly payments shall be made to the City commencing in January 2002 and each month thereafter equal to one- twelfth (1/12) of the annual payment due, estimated on the basis of the gross sales figures reflected in the audited financial statements of Shakopee Public Utilities Commission for the year 2000, rounded down to the nearest $1,000. Upon the availabaility of the audited financial statements for the year 2002, a determination will be made if an over or under payment has been • made for the year 2002 and that difference will be remitted to the City of Shakopee or refunded to the Shakopee Public Utilities Commission. This procedure shall be followed in subsequent years, substituting the appropriate year under consideration. BE IT FURTHER RESOLVED that the following Resolutions of the Shakopee Public Utilities Commission shall be repealed, effective on the date of the adoption of this Resolution: Numbers 193, 272, 385 and 553 and, effective upon completion of the last payment due in respect to year 2001, Number 409. BE IT FURTHER RESOLVED, that the payments and services authorized to be provided hereunder are subordinate to the obligation of the Shakopee Public Utilities Commission to timely pay principal and interest upon its outstanding bonds and is further subject to reconsideratiion in the event of unforeseen events which may adversely affect the utility operations or the best interests of the utilities customers of Shakopee Public •Utilities Commission. BE IT FURTHER RESOLVED, that all. things necessary to carry out the terms and purposes of this Resolution are hereby authorized and performed. Passed in regular session of the Shakopee Public Utilities Commission this 3rd day of December, 2001. Commi) 1,144.. Predident: Joan Lynch ATTEST: 4111111 Commissi 'n 8e ; to y: Jerry Fox • ... :et ?iii y . A't "{�- 1•.- _. • a"L'.... • ' •' ' ,t '� �.Y 'ti y+T �k mss. _ "' 1 � f .r • - r f � . Y'�... �.�•RC -� . .r.. G..siM..� '.4 . Y,.". -! .}-_ .�i rl. �_F...x _ I �..1: t 1 • 3 5 • CITY OF SHAKOPEE Memorandum TO: Mayor and City Council and Shakopee Public Utilities Commission `i. FROM: Mark McNeill, City Administrator SUBJECT: Franchise Fee Discussion DATE: September 6, 2007 INTRODUCTION: • The purpose of this memorandum is to provide general background information on implementation of a franchise fee in Shakopee, and to determine whether there is sufficient interest to pursue this further. BACKGROUND: • In September, 2000, the City of Shakopee held a public information meeting regarding the possible implementation of a franchise fee which would be applied to all utilities operating within the City. At the meeting, several large users that are served by utilities other than SPUC made their case for this being an added cost of doing business which would reduce their competitiveness. • The intent of the proposal was to be revenue neutral. In other words, if a franchise fee were enacted, SPUC would reduce their rates so that there would be no net change on SPUC users. SPUC was not able to make that commitment at the time. $875,000 was the amount that the franchise fee would raise; it would have reduced SPUC's transfer to $343,000 annually. However, it was noted during testimony at the 2000 meeting that 6 industries would have made up 50% ofthe difference (industries which had not been directly contributing previously). The City used Attorney Jim Strommen of Kennedy and. Graven to assist in that research. I recently spoke with him to see if anything had changed in the industry over the past seven years regarding this issue. He said that at the time of the 2000 discussion, it was a very difficult time for implementation of franchise fees. While utilities are still not currently in favor of franchise fees, they were significantly more opposed to them at that time. This was in the era before Enron, and rolling power outages in California. The assumption of utilities, and the public at large in 2000 was that there would be "wheeling ", and a general ability to purchase power anywhere; a franchise fee would raise overall rates. Obviously, the situation has changed since that time. In addition, Mr. Strommen also noted that because of reductions in State aids and other sources of funding, the public seems to be a bit more accepting of franchise fees as one of the components ofthe funding of government. • Implementation: Whatever is enacted for one utility will need to be enacted for all utility users — in j Shakopee, that would include Xcel Energy, MVEC, and Centerpoint Energy, Shakopee is unique in that it has four providers, twice as many as is usual. Because a franchise fee • needs to be negotiated with each utility, the process is more complex. There are two ways of enacting a franchise fee: 1. Meter Fee: This is a fixed charge, typically $1 to $2 per residential customer, and a higher flat fee for commercial/industrial users. 2. Percent of Gross Revenue: Typically 1 or 2% Commercial and industrial users (and the utility companies) prefer the meter fee — its more predictable, and generates less revenue than the percent of gross revenue. The percent of gross revenue is more complicated due to demand charges. Because these are a "pass- through" fee, the utilities typically will list these charges as a separate line item showing a "City Franchise Fee ". In 2000, there were only a few major industrial users that would have been impacted by this, and according to testimony at the meeting, those "six" consumed as much energy as the rest of SPUC's residential customers combined. That has changed somewhat with the subsequent growth of the residential component of Shakopee. It should also be noted that one of the companies with concerns in 2000 — Rahr Malting — might not be subject to large parts of a franchise fee (if at all) within the next year to due their KODA energy project. Other major users have rec; ntly had issues with bankruptcy. Another one was not opposed in 2000, but requested advance notice to build the franchise fee into their budget. ACTION REQUIRED: Following discussion, SPUC and City staff will ask for direction as to whether this is an issue that is of interest and more research is desired, or whether no action contemplated at this time. Mark McNeill City Administrator MM:th CITY OF SHAKOPEE Memorandum TO: Mayor and City Council FROM: Mark McNeill, City Administrator • SUBJECT: Franchise Fee Cities DATE: September 11, 2007 • As follow up to the Monday night joint meeting with SPUC, I am providing an attachment which show the Xcel cities that have an electric franchise fee. As shown, about 2/3 of these have a flat fee enacted, the balance are based on a percentage of use. When Councilor Lehman asked whether this would be something that would be applicable to SPUC customers, I responded in the negative — SPUC has already set their fees to allow for the equivalent franchise fee from SPUC customers. However, in . thinking further about that, depending on this is structured, the Council could add a franchise fee for SPUC customers as well, should there be the desire to do that. But as this would be applicable to all energy users, Centerpointe Energy (Minnegasco) customers would also see this as a line item. Most of those customers are also SPUC ratepayers as well. Also, in order to "level the playing field" and to generate the sorts of dollars that would be needed to fully off -set what SPUC's transfer had been in 2001, the City would probably need to go with an increase which is based on percentage, rather than a flat fee. In other words, a flat fee such as those shown on the attachment would likely not be an issue for the large users, but it also wouldn't generate any where near what the percentage has been. As stated at the Monday night meeting, two of the remaining large customers have recently gone through bankruptcy proceedings. This will not help their situation. The issue of payment in lieu of taxes for the Blue Lake Peaking Plant would likely impact the franchise fee discussion with Xcel. For your information. • • . • ' Xcei Energy Sheet 1 of 6 Minnesota Electric Service- City Fees Updated 06/01/2007 • FRANCHISE FEES A franchise fee as designated will be included in the customers' monthly bills computed under the indicated customer classes effective in the }- • following Minnesota communities: • - Indicates fee is not applied (U) indicates unincorporated community e otS i i rf y . 0 _ _•._ rn a ? Y o a O'a a >, .a z . ro� m L .c o.v v , n:.� c '' i nn . m asE a s-° �Ec -� cEE d c w { �' ,m E o E - a , ' 3 a� o o . o o m x C v ,,.x ' wz rn a t Paz �c o w t wn, Afton $2.00 $2.00 $5.00 $5.00 $1.00 $1.00 $1.00 0 1/2 0 05 : . 08/16/ 2024. I • Baker (U) a $3.25 $3.25 - - • - - . Brooklyn Center $1.48 $3.00 $20.00 $96.00 $12.00 $12.00 $12.00 02/2004• ,;,12/08/2023 Coon Rapids b 4.0% 4.0% 4.0% 4.0% - - - 0711992 01/13/2012;:, Cottage Grove $125 $125 $625 $25.00 $2.50 $0.63 $6.25 01/2007- 1170412023; Deephaven $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 '04/2002 • '4 311/2012 Dilworth $1.75 $4.00 $14.00 $91.00 - $4.00' $14.00 1%1999 X05/.10/201 a 2L2 1 Excelsior $2.50 $2.50 $2.50 $2.50 82.50 82.50 $2.50i22005x 018/2Q1Z Faribault ° $1.35 $1.60 $32.00 $280.00 - - - 01 6f:1108/20242T Goodview $2.75 $3.00 $25.00 $110.00 $25.00 $2.50 $10.00 0 0 Grant $2.35 $2.00 $14.00 $75.00 $2.00 $2.00 $2.00 02/ • Hopkins $1.00 $2.00 $9.00 $63.00 - - - 41E0 1 -2/31/200 ; Little Canada d $1.75 $400 $24.00 3.75% $15.00 $1.00 $7.00 1 0/ 2 003 2/3112 ; . . ' Mahtomedi $1.30 81.38 $14.40 $110.28 812.71 $0.63 814.84 0 1/2 ▪ 0051 1101/0 8 /2024 Maplewood $0.50 $1.00 $6.00 $45.00 $0.50 $0.50 $0.50 0112005c, '1 2/31/2009 s ?':• 3.0% i F >100 kW at 3 _ ' I ' "A i. : t ma c. 5.0% 5.0% 5.0% primary or t higher voltage � -- , • Minneapolis o <100 kW at <100 kW at 5.0% 5,0% 5.0% 01/2005 12/31/2014 effective secondary secondary 5 01/1994 voltage voltage >100 kW at ' secondary voltage f 3. Minnetonka $2.00 $2.00 $2.00 $2.00 - $2.00 $2.00 05/2005 08/09/2018 Monticello $1.95 85.50 $3100 $190.00 812.00 $12.00 $31.00 06/2007 05/31/2027=; Mound $2.00 $2.00 $2.00 $2.00 $2.00 $2.00 $2.00 1112003 12/31/2008-- Mounds View 4.0% 4.0% 4.0% 4.0% 40% 4.0% • 4.0% 01%200 - 5. 12/31/2007 <. $0.0023 $0.0023 $0.0016 $0.0009 $0.0023 $0.0023 $0.0016 l _ New Brighton 01/2003 Nl25 ? per kWh per kWh per kWh per kWh per kWh per kWh per kWh c, New Hope $1.50 $4.50 $9.00 $3600 $4.50 $4.50 $4.50 0 1200 12!082011 Newport $0.50 81.00 $600 $50.00 $4.00 $1.00 $5.00 2pD7(f11812026 Oakdale p 7. � -, $0.50 $1.00 $6.0 $50.00 $4.00 81 $5A0 l 2_ 004' P4D/27/2023 $0.0016 per kWh Customer peak demand less than 100 kW in calendar year �JO 3 Cifif �' Owatonna 01/2003 •4,4101/2022„ $00014 per kWh Customer peak demand greater than 100 kW in calendar year - - <. Prior Lake $1.50 $5.00 $10.00 850 - - - 07120 ` 0 Richfield $1.65 $5.10 $11.33 $73.65 - - - 0112006 103/12/2027:' j • • • . . . • Xcel Energy Sheet 2 of 6 Minnesota Electric Service-City Fees Updated 06/0112007 • • 3 -�' - c am. o� - ro - - o tl .g. a - . a c . E R ci. m 5-' o •r m ar a • -' - = I ,r. . ,� w .._ '� ... x9 V ++ 'a' - �t]._0 _3 t, i w i"- 4 H m v, -t mE��`- -a- .�2''- - n $ U Ey gal-snit-R.0 Er m a -m _ -m E o - 5 c, rnz c .�n zr E a'nu m wo Robbinsdale 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 06/2007• 07/01/2009, Sartell' 82.50 52.50 52.50 52.50 52.50 82.50 52.50 0 X 31/2 00 3.0% Customers who purchase 550,000 or less in calendar year Sauk Rapids 06/2003 06%15/2023: p 1.5% That part which exceeds 550,000 in calendar year y <. .. South St. Paul g 3.0% 10% 10% 3.0% - - - 07/2000 06/30/2015 St Cloud h 3.0% 3.0% 3.0% 3.0% - - - 07/1987 06/3012007.;` 2% purchase _ # s <$100,000 in calendar year ` St. Joseph $1.00 $1.75 510.00 58.00 51.00 $10.00 02%2004 1t9/2023 °: _ 1.5% ' _ • that part s >$100,000 in _ i. ., - calendar year s §' ' "` - . St. Louis Park 51.25 54.00 810.00 565.00 - 54.00 510.00 .011 2004! 02/15/20 r St. Michael 52.50 $2.50 $2.50 510.00 510.00 52.50 , $10.00 't:02/200:474 2/0 0 8 St. Paul ' See fee schedule in Franchise Fee Notes. 41/21(2,64 0 t..,------ 13 6 - St. Paul Park 51.50 52.00 525.00 5335.00 510.00 $1.00 $5.00 08/2005 0511512025x,- Stillwater $2.00 $2.50 $18.00 $125.00 54.00 $2.00 $18.00 w 1=• 06/30/2015' Watertown 52.00 53.50 $15.00 $50.00 - 512.50 520.00 62 07 E 7102027x: West St. Paul 1 526% 5.26% 5.26% 526% - - - i 6 6 6 - = '` � White Bear Lake 1.5% 1.5% 1.5% 1.5% 1.5% 1.5% 1.5% 05/. `' 05/01/20. 8 4.0% Customers who purchase 5100,000 or less in calendar year M ` ` Winona 06/20 X 1 1.5% That part which exceeds $100,000 in calendar year f a:=- FRANCHISE FEE NOTES a Baker: Represents a city fee collected to cover energy usage and maintenance on community street lighting. ' • • ° Coon Rapids: The franchise fee excludes rate schedules for highway lighting, municipal street lighting, municipal water pumping, municipal fire sirens, and municipal sewage disposal service. Faribautt: The franchise fee excludes invoices to the city for street lighting and municipal pumping. a Little Canada: The franchise fee shall not exceed $2,400 in any calendar year for the large commercial and industrial customer class. • Minneapolis: The franchise fee for the residential customer class will change to 4.5% effective January 1, 2013. ' Sartetl: Effective with January of the respective years, the monthly franchise fee will be as follows: • • 2007 and 2008 $2.50 • 2013 and 2014 $3.25 • 2019 and 2020 54.00 • 2009 and 2010 $2.75 • 2015 and 2016 53.50 • 2021 and 2022 $4.25 • 2011 and 2012 $3.00 • 2017 and 2018 53.75 • 2023 $4.50 g South St. Paul: The franchise fee excludes rate schedules for highway lighting, municipal street lighting, municipal water pumping, municipal traffic signals, municipal fire sirens, and municipal sewage disposal service. n St. Cloud: The franchise fee for residential heating customers will be 1.5% during the months of November - April. The franchise fee excludes rate schedules for municipal street lighting, traffic signals, water pumping, and municipal sewage disposal service. i . ' i 1 Xcel Energy Sheet 3 of 6 Minnesota Electric Service - City Fees Updated 0610112007 { ' 1 St. Paul: The monthly franchise fee will be as stated below. The residential service franchise fee will be as stated except during the months of November - April when there will be no fee. The fee shalt not exceed $620,000 during any calendar year from any large commercial and , • industrial customer qualifying for service on the Competitive Market Rider. The schedules below show the meter, energy, and demand factor for each year of the St. Paul franchise and for each of the customer classifications. Cus tomer C _,_3 Meter Factor Monthly C per Acco Start Date 1 -Nov 2006 1 -Nov -2008 1- Nov -2010 1- Nov -2012 1- Nov -2014 End Date 31 2408' 31- Oct -2010 , 31-Oct -2012 31-Oct -2014 31-Oct -2016 Residential (May- October) ` $2 63<E $2.70 $2.77 $2.84 $2.91 Small Commercial & Industrial • "�� $3.09 $3.22 $3.35 $3.48 Non- Demand � $2 96�: � , . Firm Secondary$2 9 $$33:0099 3.09 $3.22 $3.35 $3:48 Firm Primary _ 96 $3.09 $122 $3.35 $3.48 Interruptible Secondary E .2, $3.09 $122 $3.35 $3.48 . . Interruptible Primary $2 9 - $3.09 $3.22 $3.35 $3.48 Large Commercial & Industrial Special 5' $5.11 $5.18 $5.25 $5.32 Firm Secondary r 5.0 $5.11 $5.18 $5.25 $5.32 Firm Primary t $ 04- $5.11 $5.18 $525 $5.32 Firm Trans. Transf. 5.104a` $5.11 $5.18 $5.25 $532 Interruptible Secondary x$50 $5.11 $118 $5.25 $5.32 Interruptible Primary 0X 34s = $5.11 $5.18 $525 $5.32 Interruptible TT -$5.04 $5.11 $5.18 $5.25 $5.32 Standby Service :.None None None None None Public Street & Highway Lighting Ns=--- • `'. $6.81 86.88 $6.95 $7.02 Small Municipal Pumping Non - Demand d $2:96 ": $3.09 $3.22 $3.35 $3.48 Demand Secondary s e w $ 2 9 6 4e $3.09 $3:22 $3.35 $3.48 Demand Primary , $2'96': $3.09 $3.22 $3.35 $3.48 Large Municipal Pumping Demand Primary (Sec cust) $2 96 _ $3.09 $3.22 $3.35 $3.48 Fire and Civil Defense Siren Service 4 $2 96 $3.09 $3.22 $3.35 $3.48 Start Date 1- Nov -2016 1- Nov -2018 1 -Nov -2020 1- Nov -2022 1- Nov -2024 • End Date 31- Oct -2018 31- Oct -2020 31- Oct -2022 31 -Oct -2024 31- Aug -2026 Residential (May - October) $3.03 $3.15 $3.27 • $3.40 $3.54 Small Commercial & Industrial Non - Demand $3.62 $3.76 $3.91 $4.07 $4.23 Firm Secondary $3.62 $3.76 $3.91 $4.07 $4.23 Firm Primary $3.62 $3.76 $3.91 $4.07 $4.23 interruptible Secondary $3.62 $3.76 $3.91 $4.07 $4.23 interruptible Primary $3.62 $3.76 $3.91 $4.07 $4.23 Large Commercial & Industrial Special $5.53 $5.75 $5.98 $6.22 $6.47 Firm Secondary $5.53 $5.75 $5.98 $6.22 $6.47 Firm Primary $5.53 $5.75 $5.98 $6.22 $6.47 Firm Trans. Transf. $5.53 $5.75 $5.98 $6.22 $6.47 Interruptible Secondary $5.53 $5.75 $5.98 $6.22 $6.47 Interruptible Primary $5.53 $5.75 $5:98 $6.22 $6.47 Interruptible TT $5.53 .$5.75 $5.98 $6.22 $6.47 Standby Service None None None None None Public Street & Highway Lighting $7.30 $7.59 $7.90 $8.21 $8.54 Small Municipal Pumping • Non - Demand $3.62 $3.76 $3.91 $4.07 $4.23 Demand Secondary $3.62 $3.76 $3.91 $4.07 $4.23 Demand Primary $3.62 $3.76 $3.91 $4.07 $4.23 • Large Municipal Pumping Demand Primary (Sec cust) $3.62 $3.76 $3.91 $4.07 $4.23 Fire and Civil Defense Siren Service $3.62 $3.76 $3.91 $4.07 $4.23 • i Xcei Energy Sheet 4 of 6 Minnesota Electric Service - City Fees Updated 06/01/2007 _ Customer Class 4 Energy Factor Monthly Charge per kWh Start Date t ov 2006 . 1-Nov-2008 1-Nov-2010 1-Nov-2012 1-Nov-2014 End Date 4$1 Oct 2008 31- Oct -2010 31- Oct -2012 31-Oct -2014 31 -Oct -2016 Residential (May - October) $,9,0094 $0.0095 $0.0096 $0.0097 $0.0098 ll s Small Commercial &lndustrial g. . Non-Demand ,, ... ,- .$01004 - 0A_,1_ $0.0040 $0.0040 $0.0040 $0.0040 Firm Secondary 0018 - ,`. $0.0018 $0.0018 $0.0018 $0.0018 Firm Primary $0 0018V ` $0.0018 $0.0018 $0.0018 $0.0018 Interruptible Secondary s:$o 001Bri.,; $0.0018 $0.0018 $0.0018 $0,0018 Interruptible Primary $0 _ ; $0.0018 $0.0018 $0.0018 $0.0018 Large Commercial & Industrial Special 0028 $0.0028 $0.0028 $0.0028 80.0028 Firm Secondary $ 0 0 00 St $0.0013 $0.0013 $0.0013 $0.0013 Firm Primary 0 3 $0.0013 $0.0013 $0.0013 $0.0013 Firm Trans. Transf. , 141 , 10$0: 1 0 . M.: $0.0013 80.0013 $0.0013 80.0013 Interruptible Secondary 0013 $0.0013 $0.0013 $0.0013 $0.0013 Interruptible Primary $0 09,, $0.0013 $0.0013 $0.0013 $0.0013 interruptible 71 $0 001.3 ' $0.0013 $0.0013 $0.0013 $0.0013 �0 , Standby Service None None None None None Public Street & Highway Lighting -'5 $0,00 : . $0.0040 $0.0040 $0,0040 $0.0040 Small Municipal Pumping a Non - Demand • . 0 0040 $0.0040 $0.0040 $0.0040 $0.0040 Demand Secondary PF $Q00 f $0.0018 $0.0018 $0.0018 $0.0018 Demand Primary ,$08Q $0.0018 $0.0018 $0.0018 $0.0018 Large Municipal Pumping Demand Primary (Sec cust) $0 e01;$f, $0.0018 $0.0018 $0.0018 $0.0018 - Fire and Civil Defense Siren Service ,,. 008 $0.0018 $0.0018 $0.0018 $0.0018 Start Date 1- Nov -2016 1- Nov -2018 1- Nov -2020 1 -Nov -2022 1 -Nov -2024 End Date 31- Oct -2018 31 -Oct -2020 _ 31- Oct -2022 _ 31 -Oct -2024 31- Aug -2026 ' Residential (May - October) $0.0102 $0.0106 $0,0110 $0.0115 $0.0119 Small Commercial & Industrial Non - Demand • $0.0042 $0.0043 $0.0045 $0.0047 $0.0049 Firm Secondary $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Firm Primary $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Interruptible Secondary $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Interruptible Primary $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Large Commercial & Industrial Special $0.0029 $0.0030 $0.0031 $0.0033 $0.0034 Firm Secondary $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 !� Firm Primary $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 • Firm Trans. Transf. $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 Interruptible Secondary $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 Interruptible Primary $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 • Interruptible TT $0.0014 $0.0014 $0.0015 $0.0015 $0.0016 Standby Service None None None None None Public Street & Highway Lighting $0.0042 $0.0043 $0.0045 $0.0047 $0,0049 Small Municipal Pumping Non - Demand 80.0042 $0.0043 $0.0045 $0.0047 $0.0049 Demand Secondary • $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Demand Primary $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Large Municipal Pumping Demand Primary (Sec cust) $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 Fire and Civil Defense Siren Service $0.0019 $0.0019 $0.0020 $0.0021 $0.0022 • . . • Xcel Energy Sheet 5 of 6 Minnesota Electric Service - City Fees Updated 06/01/2007 Customer Class � _ . Demand Facto�� nthly Charge per kW = - Start Date 1146:0005 1- Nov - 2008 1 -Nov- 2010 1 -Nov -2012 1- Nov -2014 End Date ;:i31 D7 = 31- Oct -2010 31- Oct -2012 31- Oct -2014 31- Oct -2016 Residential (May - October) =a N • orte r None None None None . , Small Commercial & Industrial :. Non - Demand None _. None None None None Firm Secondary -1 10 :; $1.10 $1.10 $1.10 $1.10 Firm Primary $1 06 ':, }: $1.06 $1.06 $1.06 $1.06 Interruptible Secondary $1 10 $1.10 $1,10 $1.10 $1.10 Interruptible Primary $1 06, $1.06 $1.06 $1.06 $1.06 Large Commercial & Industrial Special None, ;, None • None None None Firm Secondary 1r $1.10 $1.10 $1.10 $1.10 1. • Firm Primary a '06 - $1.06 $1.06 $1.06 $1.06 • Firm Trans. Transf.'CD _ _ $1.06 $1.06 $1.06 "$1.06 Interruptible Secondary $0 -81P. $0.81 $0.81 $0.81 $0.81 Interruptible Primary 071V $0.71 $0.71 $031 $0.71 Interruptible TT �0 51 $0.54 $0.57 $0.60 $0.63 Standby Service __= ,s,$0."30_�� _ $0 "33 $0.36 $0.39 $0.42 Public Street & Highway Lighting _`'° one_ None None None. None Small Municipal Pumping t. =- Non - Demand Non.. None None None None Demand Secondary 1 10 $1.10 $1.10 $1.10 $1.10 Demand Primary ftl 06: $1.06 $1:06 $1.06 $1.06 Large Municipal Pumping ere '�: Demand Primary (Sec cust) 1 0 $1.06 $1.06 $1.06 $1.06 Fire and Civil Defense Siren Service 106Y? $1.06 $1.06 $1.06 $1.06 . Start Date 1-Nov-2016 1- Nov -2018 1- Nov -2020 " 1- Nov -2022 1- Nov -2024 End Date 31 -Oct -2018 31- Oct -2020 31- Oct -2022 31 -Oct -2024 31- Aug -2026 Residential (May - October) None None None None None Small Commercial & Industrial • Non - Demand None None None None None Firm Secondary $1.14 $1.19 $1.24 $1.29 $1.34, Firm Primary $1.10 $1.15 $1.19 $1.24 $1.29 Interruptible Secondary $1.14 $1.19 $1.24 $1.29 $1.34 Interruptible Primary $1.10 $1.15 $1.19 $1.24 $1.29 Large Commercial & Industrial Special None None None None None Firm Secondary $1.14 $1.19 $1.24 $1.29 $1.34 Firm Primary $1.10 $1.15 $1.19 $1.24 $1.29 , Firm Trans. Transf. $1.10 $1.15 $1.19 $1.24 $1.29 Interruptible Secondary $0.84 $0.88 $0.91 $0.95 $0.99 Interruptible Primary $0:74 $0.77 $0.80 $0.83 $0.86 Interruptible TT $0.66 $0.68 $0.71 $0.74 $0.77 Standby Service $0,44 $0.45 $0.47 $0.49 $0.51 Public Street & Highway Lighting None None None None None Small Municipal Pumping `•. Non- Demand None None None None None Demand Secondary $1.14 $1.19 $1.24 $1.29 $1.34 Demand Primary $1.10 $1.15 $1.19 $1.24 $1.29 Large Municipal Pumping Demand Primary (Sec cust) $1.10 $1.15 $1.19 $1.24 $1.29 ; Fire and Civil Defense Siren Service $1.10 $1.15 $1.19 $1.24 $1.29 ' West St. Paul: Represents a city fee derived from the sale of electricity within the city pursuant to city code Ordinance No. 702 approved on December 29, 1966. The fee excludes rate schedules for municipal street fighting, water or sewage pumping, or other municipal services'. . • 1. h • • i Xce! Energy Sheet 6 of 6 Minnesota Electric Service — City Fees Updated 06/01/2007 ' I CITY SALES TAX A city sales tax add-on to the state sales tax is applicable in general to customers subject to the state sales tax. Community City Sales Tax Effective Date Mankato 0.5% April 1, 1992 Minneapolis 0.5% February 1, 1987 Owatonna $0.005 April 1, 2007 Sartell 0.5% January 1, 2003 11 Sauk Rapids • 0.5% January 1, 2003 St. Augusta 0.5% January 1, 2003 St. Cloud 0.5% January 1, 2003 • St. Joseph 0.5% January 1, 2006 St. Paul 0.5% September 1, 1993 Waite Park 0.5% January 1, 2006 . Hennepin County $0.0015 January 1, 2007 • • • I • • i • I S3 Shakopee Public Utilities Commission Payment in Lieu of Taxes and Free Service to City of Shakopee Cost History TOTAL COSTS PILOT, PILOT PILOT Maintenance Free Service Electric Water Free of Street & Maintenance Year Transfer Transfer Service Lights of Street Lights 2000 727,102 366,736 47,597 (7,491) $ 1,133,944 2001 727,102 446,703 54,353 10,136 $ 1,238,294 2002 492,262 438,281 49,871 76,734 $ 1,057,148 2003 534,344 534,025 53,982 4,960 $ 1,127,311 2004 593,115 532,725 40,498 140,681 $ 1,307,019 2005 741,847 584,850 46,434 146,140 $ 1,519,272 2006 858,898 677,999 50,082 103,290 $ 1,690,269 2007 987,031 704,809 93,931 128,282 $ 1,914,053 2008 1,021,293 651,924 130,135 33,450 $ 1,836,802 2009 905,441 726,200 189,761 43,617 $ 1,865,019 2010 975,175 816,350 197,882 59,982 $ 2,049,389 2011 (Budget) 963,307 840,380 192,948 46,347 $ 2,042,982 Total 9,526,917 7,320,982 1,147,474 786,130 $ 18,781,503 M: \2011 \PILOT and Free Service Payment History 6/1/2011