MANTORVILLE, Minn. (KTTC) -- After months of debate, Mantorville City Council voted in favor of implementing a franchise fee Monday night.
The vote was split 3-2.
This means that every month residents in Mantorville will pay an extra $4.
$2 dollars will be added to electric bills, and another $2 on gas bills.
It will then be distributed back to the city.
Mantorville is five years past due in upgrading its sewer plant.
The money, which could generate up to $30,000 per year, will help fund the multi-million dollar project.
"You want to put it on your tax and have that tax number be compared to other cities' tax numbers? Or do we want to find other ways to bring in that income?" Mayor Luke Nash asked at the city council meeting.
There is no limit as to how high the franchise fee could get.
It's one reason why Deputy Mayor Chuck Bradford voted against it.
"I don't think this is the right time for the city to be implementing new taxes on our citizens. Our citizens are either looking at wage freezes or in some cases wage reductions," Bradford said.
Mantorville City Council will now draft an ordinance.
It will then take at least 60 days for the city to adopt the franchise fee and another 60 days before residents actually see a change in their electrical and gas bills.
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