Fiscal Note
The anticipated fiscal impact is approximately $5,500. The resolution will result in an annual maintenance fee to Alliant Energy of $56,000; this fee will be offset by overtime and maintenance savings (approximately $50k). This agreement will relieve the City of capital and liability to replace poles and fixtures when they have reached the end of their useful life or are damaged.
Title
Authorizing City staff to negotiate and enter into an agreement with Alliant Energy for the transfer of ownership and maintenance of 1443 residential streetlights.
Body
WHEREAS, in 2010, Alliant Energy terminated the agreement that provided for Alliant to maintain 1443 City-owned, individually powered residential streetlights, and Alliant has agreed to the transfer of ownership of these streetlights and to maintain them at their current lowest annual facilities charge of $38.80 per pole, or a total of approximately $56,000 annually; and
WHEREAS, when a streetlight is reported out or damaged, often both an Alliant Energy crew and a City electrical crew are dispatched. Transfer of ownership will simplify streetlight repair in that only Alliant Energy crews will need to respond and will save City electrician time and materials - in 2014, Traffic Engineering repair costs for these poles was approximately $50,500; and
WHEREAS, transfer of ownership will reduce City exposure to liability, and Alliant will be responsible for replacement costs of any damaged streetlights as well as replacement of the pole and fixture when they have reached the end of their useful life.
NOW, THEREFORE, BE IT RESOLVED, that the Common Council of the City of Madison hereby authorizes the Mayor and the Clerk to enter into an agreement for the transfer of ownership of streetlights to Alliant Energy in a form approved by the City Attorney and the Risk Manager.