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Waukee council approves second reading of 2% utility franchise fee after public comment
Summary
After extended public comment, the Waukee City Council approved the second reading of an ordinance to impose a 2% franchise fee on electricity and natural gas to be collected locally, replacing a 1% local-option sales tax on utilities; staff said the fee will generate roughly $900,000 annually and keep one-time utility-sale proceeds for infrastructure.
Mayor Clark and city staff opened the meeting to a sustained public comment period on a proposed franchise fee after the city sold its gas utility. Residents raised concerns about timing, transparency and whether proceeds from the utility sale should cover ongoing shortfalls.
City Administrator Brad (staff) presented the staff analysis and examples, saying staff recommended a 2% franchise fee on electric and gas utilities and that the fee would replace the existing 1% local-option sales tax on utilities. "Staff is recommending consideration of 2% franchise fee on electric and gas utilities," he said, and presented sample household calculations showing a net average annual impact of roughly $16 per household once the lower MidAmerican rates are factored in. Brad said the fee is…
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