‘Municipalization’ of electric utility would cost Cape taxpayers
To the editor:
In regard to the upcoming end of the LCEC franchise with the City of Cape Coral:
The City of Cape Coral signed a franchise agreement with LCEC and now it is coming to an end. The City is wanting to take on the service. I am opposed to this. It would mean that the costs paid by the ratepayers would go up. Why? The city would need to duplicate much of the service infrastructure now possessed by LCEC. New trucks, new buildings, new storage of materials. In addition, the city would bond the debt to pay for the present LCEC investment in Cape Coral. That would amount to a debt of over $4000 per person in the Cape. So the City would responsible for paying these bonds every month of every year till it was paid off. (if ever)
If you think that it will be cheaper, ask the ratepayers in other electric municipal systems in Florida. It’s not. Government is necessary for only things that private companies cannot do. Electricity is not that way. Say the City Council voted for municipalization and it took effect. Would you be upset if one of the following things was voted on and passed by the council:
* The City Council decides that City employees receive a lower price of electricity????
* The City Council decides that apartment dwellers receive a different rate of electricity???
* The City Council protects its “franchise” and says that no additional solar heating of pool water will be allowed?
* The City Council protects its “franchise” and says the only method of heating or cooling is electricity???
* The City Council decides to tax each property owner for their share of the bond buying out LCEC???
* The City Council agrees to use the Florida Municipal system and they are locked into a poor purchase of electricity?
* The City Council allows the infrastructure to deteriorate and finds that the only way to make improvement to the system is to tax each property owner???
I would ask that all citizens in Cape Coral ask their Council Member for referendum on this issue. Remember once the government has control of it, they will never let go.
John Groan
Cape Coral