
Newton City officials and staff have been looking into establishing Franchise Fees as a way to generate additional city revenue, and public hearings on that issue will be held during tonight’s city council meeting.
The city is looking at adopting a 3% franchise fee initially, which would be added to electricity and gas bills, with a 1% increase in the fee each of the next two years.
Many communities have been charging franchise fees for several years. Mayor Randy Ervin says Newton has to seriously consider it as well now, due to parameters on property taxes cities are getting from the state legislature.
“We have to look at a franchise fee, and we are trying to look at the most sensible way to do it. Obviously, we want to use the franchise fee to pay down some bills so we don’t have to borrow as much money, which will benefit taxpayers in the long run.”
Mayor Ervin foresees money from franchise fees going to street repairs and big ticket equipment purchases. Tonight’s Newton City Council meeting, which will also include a presentation on staffing at the city-owned Westwood Golf Course, will begin at 6 p.m. at City Hall.

