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MidAmerican ballot language up in air

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.


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