Text: S05198                            Text: S05200
Text: S05100 - S05199                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index



Senate Amendment 5199

Amendment Text

PAG LIN
  1  1    Amend Senate File 2368 as follows:
  1  2    #1.  By striking everything after the enacting
  1  3 clause and inserting the following:
  1  4    "Section 1.  Section 364.2, subsection 4, paragraph
  1  5 a, Code 1997, is amended to read as follows:
  1  6    a.  A city may grant to any person a franchise to
  1  7 erect, maintain, and operate plants and systems for
  1  8 electric light and power, heating, telephone,
  1  9 telegraph, cable television, district telegraph and
  1 10 alarm, motor bus, trolley bus, street railway or other
  1 11 public transit, waterworks, or gasworks, within the
  1 12 city for a term of not more than twenty-five years.
  1 13 The franchise may be granted, amended, extended, or
  1 14 renewed only by an ordinance, but no exclusive
  1 15 franchise shall be granted, amended, extended, or
  1 16 renewed.
  1 17    Sec. 2.  Section 476.6, Code 1997, is amended by
  1 18 adding the following new subsection:
  1 19    NEW SUBSECTION.  22.  A public utility which is
  1 20 assessed management costs by a local government
  1 21 pursuant to chapter 480A is entitled to recover those
  1 22 costs.  If the public utility serves customers within
  1 23 the boundaries of the local government imposing the
  1 24 management costs, such costs shall be recovered
  1 25 exclusively from those customers.
  1 26    Sec. 3.  NEW SECTION.  480A.1  PURPOSE.
  1 27    The general assembly finds that it is in the public
  1 28 interest to define the right of local governments to
  1 29 charge public utilities for the location and operation
  1 30 of public utility facilities in local government
  1 31 rights-of-way.
  1 32    Sec. 4.  NEW SECTION.  480A.2  DEFINITIONS.
  1 33    As used in this chapter, unless the context
  1 34 otherwise requires:
  1 35    1.  "Local government" means a county, city,
  1 36 township, school district, or any special-purpose
  1 37 district or authority.
  1 38    2.  "Management costs" means the reasonable costs a
  1 39 local government actually incurs in managing public
  1 40 rights-of-way.
  1 41    3.  "Public right-of-way" means the area on, below,
  1 42 or above a public roadway, highway, street, bridge,
  1 43 cartway, bicycle lane, or public sidewalk in which the
  1 44 local government has an interest, including other
  1 45 dedicated rights-of-way for travel purposes and
  1 46 utility easements.  A public right-of-way does not
  1 47 include the airwaves above a public right-of-way with
  1 48 regard to cellular or other nonwire telecommunications
  1 49 or broadcasts service.
  1 50    4.  "Public utility" means a person owning or
  2  1 operating a facility used for furnishing natural gas
  2  2 by piped distribution system, electricity,
  2  3 communications services not including cable television
  2  4 systems, or water by piped distribution system, to the
  2  5 public for compensation.
  2  6    Sec. 5.  NEW SECTION.  480A.3  FEES.
  2  7    A local government shall not recover any fee from a
  2  8 public utility for the use of its right-of-way, other
  2  9 than a fee for its management costs.  A local
  2 10 government may recover from a public utility only
  2 11 those management costs caused by the public utility's
  2 12 activity in the public right-of-way.  A fee or other
  2 13 obligation under this section shall be imposed on a
  2 14 competitively neutral basis.  When a local
  2 15 government's management costs cannot be attributed to
  2 16 only one entity, those costs shall be allocated among
  2 17 all users of the public rights-of-way, including the
  2 18 local government itself.  The allocation shall reflect
  2 19 proportionately the costs incurred by the local
  2 20 government as a result of the various types of uses of
  2 21 the public rights-of-way.
  2 22    This section does not prohibit the collection of a
  2 23 franchise fee as permitted in section 480A.6.
  2 24    Sec. 6.  NEW SECTION.  480A.4  IN-KIND SERVICES.
  2 25    A local government, in lieu of a fee imposed under
  2 26 this chapter, shall not require in-kind services by a
  2 27 public utility right-of-way user, or require in-kind
  2 28 services as a condition of the use of the local
  2 29 government's public right-of-way.
  2 30    Sec. 7.  NEW SECTION.  480A.5  ARBITRATION.
  2 31    1.  A public utility that is denied registration,
  2 32 denied a right-of-way permit, that has its right-of-
  2 33 way permit revoked, or that believes that the fees
  2 34 imposed on such user by the local government do not
  2 35 conform to the requirements of this chapter may
  2 36 request in writing that such denial, revocation, or
  2 37 fee imposition be reviewed by the governing body of
  2 38 the local government.  The governing body of the local
  2 39 government shall act within sixty days on a timely
  2 40 written request.  A decision by the governing body
  2 41 affirming the denial, revocation, or fee imposition
  2 42 must be in writing and supported by written findings
  2 43 establishing the reasonableness of the decision.
  2 44    2.  Upon affirmation by the governing body of the
  2 45 denial, revocation, or fee imposition, the public
  2 46 utility may do either of the following:
  2 47    a.  With the consent of the governing body, have
  2 48 the matter finally resolved by binding arbitration.
  2 49 Binding arbitration must be before an arbitrator
  2 50 agreed to by both the local government and the public
  3  1 utility.  If the parties are unable to agree on an
  3  2 arbitrator, the matter shall be resolved by a three-
  3  3 person arbitration panel made up of one arbitrator
  3  4 selected by the local government, one arbitrator
  3  5 selected by the public utility, and one arbitrator
  3  6 selected by the other two arbitrators.  The cost and
  3  7 expense of a single arbitrator shall be borne equally
  3  8 by the local government and the public utility.   If a
  3  9 three-person arbitration panel is selected, each party
  3 10 shall bear the expense of its own arbitrator and the
  3 11 parties shall jointly and equally bear the cost and
  3 12 expense of the third arbitrator, and of the
  3 13 arbitration.  Each party to the arbitration shall pay
  3 14 its own costs, disbursements, and attorney fees.
  3 15    b.  Bring an action in district court to review a
  3 16 decision of the governing body made under this
  3 17 section.
  3 18    Sec. 8.  NEW SECTION.  480A.6  FRANCHISE ORDINANCE
  3 19 NOT SUPERSEDED.
  3 20    This chapter does not modify or supersede the
  3 21 rights and obligations of a local government and the
  3 22 public utility established by the terms of any
  3 23 existing or future franchise granted, approved, and
  3 24 accepted pursuant to section 364.2, subsection 4.  A
  3 25 city which collects a city franchise fee pursuant to
  3 26 section 364.2, subsection 4, under an existing or
  3 27 future franchise, shall not also collect a fee under
  3 28 section 480A.3.
  3 29    Sec. 9.  EFFECTIVE DATE.  This Act applies
  3 30 retroactively to January 1, 1998, and supersedes the
  3 31 provisions of any ordinances contrary to this Act in
  3 32 effect on or after that date." 
  3 33 
  3 34 
  3 35                               
  3 36 NEAL SCHUERER 
  3 37 
  3 38 
  3 39                               
  3 40 STEVE KING 
  3 41 
  3 42 
  3 43                               
  3 44 MICHAEL E. GRONSTAL 
  3 45 SF 2368.201 77
  3 46 mj/jl/28
     

Text: S05198                            Text: S05200
Text: S05100 - S05199                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index

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