What Iowa City voters will read on
the November 2005 ballot as far as electricity is concerned
has yet to be decided.
And, apparently, what they vote on might not even be
what they would get.
Residents will have their say on whether the city should
enter into a franchise agreement with MidAmerican Energy,
but details of that franchise remain a point of contention
among Iowa City councilors. That sets up a scenario where
voters could be asked to endorse or oppose meaningless
contract language that would be rewritten after the election.
Officials with the energy company have offered to negotiate
a new franchise agreement with the city and present the
details of that proposed contract to voters on the 2005
ballot. If the city opts not to negotiate before the election,
MidAmerican officials said they will use the language
of their last franchise agreement with the city on the
ballot.
MidAmerican Energy's 15-year franchise agreement with
the city expired in November 2001. The City Council chose
to investigate developing a municipally-owned electric
utility. Last year, the city entered into a joint feasibility
study with 19 Iowa communities to determine possible savings
of a city-owned system. Latham & Associates, the Cedar
Rapids-based firm that conducted the study, reported that
Iowa City could save about $61.5 million over a 25-year
period.
Based on those findings, residents also will have the
opportunity to vote during the November 2005 election
on whether the city should move forward with a municipal
electric utility. That comes after Citizens for Public
Power, a grassroots community group, filed a petition
with more than 1,200 signatures in January requesting
the issued be placed on the ballot.
During their informal meeting Monday night, city councilors
debated whether the city should negotiate a contract with
MidAmerican before the election but ultimately decided
to hold off in making a decision.
"We've got to stay out of it," Councilor Connie Champion
said, adding that if the city comes to terms with MidAmerican
on a proposed franchise agreement for the purpose of the
election, it appears the city has taken a position in
supporting that unsigned contract. "I think if we negotiate,
the public will think we are endorsing that, and we are
misleading them."
City Manager Steve Atkins said that if the staff negotiated
the agreement, the council would have to support several
policy decisions, meaning the city would have to back
portions of the proposed franchise agreement.
Councilor Regenia Bailey agreed with Champion and suggested
MidAmerican put its best franchise offer to the voters
without entering into negotiations.
"MidAmerican should give it their best shot," she said.
But other councilors argued that having a negotiated
franchise agreement would give residents more clarity
about what they are voting on.
"I would feel it appropriate to have a franchise on the
ballot as an option for voters," Mayor Ernie Lehman said.
Councilor Bob Elliott agreed but suggested the council
decide at a later meeting on whether to instruct staff
to begin negotiating with MidAmerican Energy.
"I'd like some time to think about it," he said.