April 19, 2024

Council OKs parking ban near TPI

Electric, gas franchise fees fail to move forward

After several month of preparation and discussion, the electric and natural gas franchise fees failed to garner any additional interest on its third reading at the city council meeting Monday.

The fees would have been a surcharge on all electric and natural gas customers bills in Newton and would help fund road repairs and other infrastructure needs.

“It kind of came down to three reasons why I didn’t do anything tonight. One was the county and school effect that this franchise fee would have and how that could create more problems. Number two was the business burden. We have seen cities that were able to tailor made it to make it a little more reasonable so that way the business wouldn’t take on the majority of the burden of this franchise fee,” Jeff Price, council member said. “Also, the retail or the economic development portion of that, too. Right now, I think we are in the point where we need all of the ammo that we can have, and I do think that this may have hindered that a little bit.”

The funds raised by the franchise fee were pitched as a funding source for various infrastructure needs in the city.

Mayor Mike Hansen agreed with Price that it is not the right time for Newton to move forward with a franchise fee, but that it was good to be able to talk with citizens as well as with the business community to see what was going on in the community. He said the infrastructure improvements were recognized by TCI community

In other business, the council adopted an ordinance for no parking along North 33rd Avenue East between East 19th Street North and East 28th Street North. TPI asked the city and county to get rid of the parking on the shoulders because of the high semi-truck traffic along the road that jeopardized safety for employees.

Property tax rebates for the Iowa Speedway were also adopted in the amount of $454,332.11 and paid from the Speedway-Prairie Fire TIF District fund. The city agreed to rebate all property taxes above $990,000 to the Speedway.

A change in the Newton Housing Initiative Incentive Program for 2015 hopes to build interest to bring a home builder to the Newton area. Previously, the builder would receive reimbursement on the second year on its construction interest and utilities if the house had not sold. Now, the construction reimbursement will begin from the time a building permit is issued. As before, the builder would be reimbursed up to $10,000.

In other business:

• The council approved the purchase of 1608 First Ave. W. for the D&D Program at the price of $20,000.

• Professional services from Shive-Hattery of West Des Moines were approved for the demolition of the former WaterWorks garage at 216 N. Third Ave. W. and the Newton Seed Store building at 224 N. Third Ave. W. for $19,150.

Contact Jamee A. Pierson at 641-792-3121 ext. 6534 or jpierson@newtondailynews.com.