Sheldon, Iowa — Discussion on the proposed franchise agreements with MidAmerican Energy again took center stage at Wednesday’s Sheldon City Council meeting. Several of the speakers opposing the agreements complained that the council was now trying to ‘ram this through’, and proposed that the matter be delayed for six months. Former Mayor Katricia Meendering pointed out that the idea of a franchise had been brought up in goal planning sessions as long as four years ago. It was again brought up in 2017 , and later discussed as a way of funding the increased costs of emergency services, where the cost of new equipment has gone up sharply.
Mark Reinders, representing MidAmerican Energy, stated that his company is in favor of franchises, noting that Sheldon is the only community served by MidAmerican that does not have a franchise. In addition to putting the current ‘handshake’ agreement into writing, he mentioned some of the specific features that are a benefit to the City. For example, if there is a situation where there was a possibility of litigation in connection with the utilities, only MidAmerican could be sued. The franchise agreement also makes it easier for the City to plan development, and requires the utility to bear the cost of moving utilities if needed for street expansion. In answer to questions, he said they do not expect a rate increase for ten years.
After much discussion, a motion was made to remove the fees from the proposed ordinance and move it on to its third reading with only the franchise agreements. This motion was passed with Council member Hindt voting against it. His stated reason was that the franchise fees would actually be paid by everyone with MidAmerican service, whereas, the only funding for the concerned budget items now comes from property taxes. The third reading of the ordinance, which will be held at the council’s September 4th meeting, will only contain the franchise agreement, due to the council removing the fees from the proposal.
In other business the council approved the Jinkinson 2nd Addition on East 9th Street. And they voted to approve the appointment of Kellie Einck to the Airport Commission. Commission member Rob Dixon had complained that her appointment was being made for ‘gender’ reasons, and he had proposed that Skip Tanner be re-appointed after the expiration of his current term. Mayor Geels explained that with the State Code requiring all cities to consider gender equity on all boards and commissions he has taken this into consideration on all the City Board and Commission appointments.
