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Resident warns council of potential legal exposure from right-of-way utility fees; asks for state opinion
Summary
A resident told the Pocatello council that the city's right-of-way/utility maintenance fees may mirror fees struck down elsewhere, urged the city to seek an attorney general opinion and warned of potential repayment exposure; a second commenter urged adherence to financial policies.
At the same council meeting that focused on fireworks safety, resident Heather Dislecone told the Pocatello City Council she believes the city has collected more than $11.5 million in "unconstitutional disguised tax fees" over the past decade and urged elected officials to seek an opinion from the Idaho attorney general or another neutral legal authority.
"You must make a decision quickly," Dislecone said, referencing litigation in other Idaho cities and telling councilmembers the city faces a choice between ceasing collection and risking a costly lawsuit. She cited the Lewiston case and said the city’s right-of-way maintenance utility fees resemble fees successfully challenged elsewhere; Dislecone told the council an adverse outcome could exceed $5 million in liability compared with roughly $1.7 million in annual revenue from those fees.
Why it matters: Dislecone framed the issue as a legal and fiscal risk that could require repayment and affect city finances and officials' legacies. She asked the council to weigh potential settlement costs, litigation exposure and the ethical duty to follow the Constitution.
Follow-up requests and related finance comment Steven Adams, another public commenter, urged council adherence to the city's financial management policies adopted in 2017, saying failure to follow those policies could harm the city's credit rating and future borrowing costs. Adams asked the council to ensure the city follows its own written policies "line upon line" to protect creditworthiness.
No formal action was recorded during the meeting on the utility-fee issue; councilmembers were asked to consider legal review. In public comment, Dislecone urged the council to "seek an opinion from the AG's office or another non biased party."
