Wednesday, October 3

To Franchise or Not to Franchise

Iowa City has been without a contracted franchise agreement with MidAmerican Energy for six years. Do we need one, given that MidAmerican by law has to provide it anyway and it seems to work fine? On the other hand, is it fair to expect a company to upgrade services without a reasonable commitment? The jury is out.

The Gazette Reports

Locals packed the City Council meeting room here last night to question how a franchise agreement with MidAmerican Energy Co. would benefit Iowa City.

"When I look at the six-page franchise agreement, I ask, 'Where's the beef,' '' said Peter Hansen, a University of Iowa professor. "I don't see that many benefits to the city.''

The council's public hearing centered on two ordinances that would grant MidAmerican Energy electric and natural gas franchises for at least 10 years.

The city could renew the franchises for 10-year and 5-year increments, up to 25 years.

Those opposed focused on how the city has fared just fine without a franchise for six years, and expressed concern the agreement would smother the city's opportunities to pursue renewable and alternative energy sources.

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