On December 16, 2019 the Shakopee Public Utilities Commission adopted Resolution No. 1261 which unilaterally and without prior discussion or agreement modified the method of calculating the Commission's payment to the City's General Fund. That action abrogated a long-standing agreement between the City and SPUC.  Prior to that action, since 1950, any modification was either 1) by action of City Council, 2) by agreement, or 3) by state mandate.

The action contemplated by the resolution is to reject the unauthorized changing of the formula implemented by SPUC Res. No. 1261, request that SPUC rescind Res. No. 1261, and if SPUC fails to do so by March 31, 2020 authorizes and directs the City Attorney to initiate legal proceedings to have Res. No. 1261 determined null and void.