House File 307 - IntroducedA Bill ForAn Act 1relating to the procedures for granting a waterworks or
2sewer services franchise by a city and including effective
3date provisions.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1   Section 1.  Section 364.2, subsection 4, paragraphs a and b,
2Code 2017, are amended to read as follows:
   3a.  A city may grant to any person a franchise to erect,
4maintain, and operate plants and systems for electric light
5and power, heating, telegraph, cable television, district
6telegraph and alarm, motor bus, trolley bus, street railway or
7other public transit, waterworks, sewer services, or gasworks,
8within the city for a term of not more than twenty-five years.
9When considering whether to grant, amend, extend, or renew a
10franchise, a city shall hold a public hearing on the question.
11Notice of the time and place of the hearing shall be published
12as provided in section 362.3. The franchise may be granted,
13amended, extended, or renewed only by an ordinance, but no
14exclusive franchise shall be granted, amended, extended, or
15renewed.
   16b.  Such an ordinance shall not become effective unless
17approved at an election. The proposal may be submitted
18by the council on its own motion to the voters at any city
19election. Upon receipt of a valid petition as defined in
20section 362.4 requesting that a proposal be submitted to the
21voters, the council shall submit the proposal at the next
22regular city election or at a special election called for
23that purpose before the next regular city election. However,
24the city council may dispense with such election as to the
25grant, amendment, extension, or renewal of an electric light
26and power, heating, waterworks, sewer services under section
27357A.23,
or gasworks franchise unless there is a valid petition
28requesting submission of the proposal to the voters, or the
29party seeking such franchise, grant, amendment, extension, or
30renewal requests an election. If a majority of those voting
31approves the proposal, the city may proceed as proposed. The
32complete text of the ordinance shall be included on the ballot
33if conventional paper ballots are used. If an optical scan
34voting system is used, the proposal shall be stated on the
35optical scan ballot, and the full text of the ordinance posted
-1-1for the voters pursuant to section 52.25. All absentee voters
2shall receive the full text of the ordinance.
3   Sec. 2.  EFFECTIVE UPON ENACTMENT.  This Act, being deemed of
4immediate importance, takes effect upon enactment.
5EXPLANATION
6The inclusion of this explanation does not constitute agreement with
7the explanation’s substance by the members of the general assembly.
   8Current Code section 364.2 authorizes cities to grant,
9by ordinance, franchises for certain specified functions and
10services undertaken within the city. Such franchises may be
11granted for a term of not more than 25 years. This bill adds
12sewer services to the list of functions and services for which
13a city may grant a franchise.
   14An ordinance granting a franchise does not become effective
15until approved at election. A city may, however, dispense with
16such election as to the grant, amendment, extension, or renewal
17of an electric light and power, heating, or gasworks franchise
18unless there is a valid petition requesting submission of the
19proposal to the voters, or the party seeking such franchise,
20grant, amendment, extension, or renewal requests an election.
   21This bill adds a sewer services franchise granted under
22Code section 357A.23 and a waterworks franchise to the list of
23franchises for which the election is not required unless there
24is a valid petition or request from the party seeking such
25franchise, grant, amendment, extension, or renewal.
   26The bill takes effect upon enactment.
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