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Sterling approves 15-year franchise with Mutual TeleCommunications; manager reports road, wastewater and payment-system updates
Summary
The commission approved a 15-year franchise ordinance allowing Mutual TeleCommunications to operate in Sterling right-of-way with a 5% franchise fee; City Manager Ian Hutcheson also reported completed roadway work for a KMW expansion, near-complete wastewater boring, and a temporary fix to the PSN online payment system requiring users to re-register.
The Sterling City Commission on Jan. 5, 2026, approved an ordinance granting a 15‑year franchise to Mutual TeleCommunications (MTC) to install and operate telecommunications infrastructure in the city's right-of-way, and heard city-manager updates on local infrastructure projects and the online payment system.
City Manager Ian Hutcheson described the franchise terms included in the ordinance drafted by MTC staff and reviewed by the city attorney. The franchise term is 15 years, expiring Dec. 31, 2041, and establishes a franchise fee equal to 5% of MTC's gross receipts from customers located within the city. The ordinance defines gross receipts to include recurring charges for telecommunications service and certain non-recurring charges such as installation and reconnection fees, while excluding revenues from unbundled network items, long-distance voice, wireless services and late fees. Hutcheson noted the city's average annual revenue from MTC over the past 10 years is $1,767 and that the 10‑year annual growth rate for franchise revenues is -1.3%.
The ordinance also permits the city to request MTC relocate its infrastructure in the right-of-way at no cost to the city to facilitate maintenance or construction that provides a public benefit; damages from MTC's failure to relocate would be assumed by MTC. Section 7 grants MTC limited authority to trim trees that obstruct infrastructure subject to applicable regulations. Commissioner Clint Bundy moved and Commissioner Todd Rowland seconded to approve the ordinance; the motion carried 5-0.
Hutcheson then updated commissioners on the KMW expansion roadway project, reporting the roadway is open from N. Broadway Ave. to Avenue U with remaining tasks limited to road and traffic signage, seeding and erosion control. He said boring on the west side of the college's Gleason Center was complete and the remaining boring was scheduled to finish Jan. 6, with final force-main connections and lift-station electrical testing to follow. Hutcheson also described a temporary fix to the city's PSN online payment system: users must re-register and manually enter monthly bills because PSN does not currently connect directly to the city's financial system; a future financial-system transition may change online-payment integration. Commissioner Rowland commended Electrical Distribution Superintendent John Wagerle for downtown holiday lighting work.
The ordinance and the infrastructure reports carry no immediate additional budget actions in the minutes; the commission approved the franchise ordinance by a 5-0 vote.
