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Alliant Energy franchise renewal
(Clinton) -- Regular franchise renewal proposal does not include a franchise fee, but does include the provisions if the city wanted to implement one over the life the deal.
A franchise agreement with Interstate Power Company to provide electric and natural gas service to the community is due for renewal. That renewal is being forwarded to the council for consideration by the Internal Operations Committee – while there is section concerning a franchise fee it is not implemented in the proposal.
A franchise fee is attached to the utility bill as revenue that comes to the city, not the utility company.
Nicole Dunkel-the account manager for Interstate,doing business as Alliant Energy-told the committee the agreement is due for renewal by December of 2013.
City Attorney Jeff Farwell says by state law the franchises are for 25 years and are non-exclusive.
Farwell says the section on a franchise fee was included in case the city wanted to implement one sometime within the next 25 years. The city attorney says it was put in now “instead of going back tp amend the franchise agreement if it were to come up.” He added that it’s ”at zero which means we don’t have one.”
The committee had other concerns that were not directly part of the agreement. Dunkel said she would try to have answers to the issue of repairing street light, the old Allied Steel property and future ideas for use and competitive rates for economic development.
Written 8/21/2012 by Dave Vickers - KROS News
