HomeMy Public PortalAboutAB 08-188 Idaho Power Franchise FeesMcCALL CITY COUNCIL
AGENDA BILL
Number
Meeting Date
216 East Park Street
McCall, ID 83638
AB 08-188
September 25, 2008
AGENDA ITEM INFORMATION
SUBJECT:
Idaho Power Company
Increase in Franchise Fees
Approvals: Department/
Committee/Individual
Initials
Remarks
(Originator/
Support)
Mayor /Council
City Manager
Community Development
ra' 6.;..
Treasurer
Clerk, Deputy City Clerk
originator
Police Department
Public Works
Golf Operations
COST IMPACT: N/A
Parks & Recreation
FUNDING SOURCE: N/A
Airport
Library
TIMELINE: N/A
City Attorney
Grant Coordinator
SUMMARY STATEMENT:
Franchise fees allow local governments to collect fees on the sale of services from the utility providers. The
franchise fees are given to the City of McCall for undergrounding of utilities. For new projects,
undergrounding utilities are a requirement of McCall City Code; however, most of the utilities in the City are
still above ground.
The City currently has a 1 % Idaho Power franchise fee. Other communities such as New Meadows,
Ketchum and Eagle have increased the franchise fees to 3%. Idaho Falls is in the process of asking for the
increase to 3 %. In order to increase the Idaho Power franchise fees, the City needs to submit a letter of
interest to open the franchise agreement to renegotiate the 25 year agreement. The last agreement was
negotiated in 1995.
In 2008, the City used franchise fees to underground utilities along Lake Street from Mission St. to the
Yacht Club ($114,252), Roosevelt Street, and Railroad Avenue.
Attached is a summary of the Idaho communities and the amount collected from Idaho Power Franchise fees
and a draft letter of interest to Idaho Power.
RECOMMENDED ACTION:
Authorize the Mayor to sign the letter of interest to Idaho Power to increase franchise fees.
RECORD OF COUNCIL ACTION
Meeting Date
ACTION