The Scottsbluff city council Monday evening authorized city staff to file a claim against ALLO Communications for about 8 years of overdue franchise fees.
In July, the company told Scotts Bluff County officials of an accounting error which caused more than $400,000 in franchise fees due to Scottsbluff, Gering and Terrytown to be send directly to county coffers.
In mid-August ALLO officials made a presentation to the Commissioners, asking them to return the misapplied funds to ALLO in two installments to lessen the impact on County finances, however the county has not taken action on that request.
City Attorney Kent Hadenfeldt told the council there has been no response in efforts to reach out to legal representatives from the county. A representative from ALLO also indicated the company has also received no response from the county.
Hadenfeldt expressed concern over the statute of limitations running out. And while there is some debate over what the statute of limitations is, he said at least filing a claim would stop the clock from ticking.
The action approved by the council Monday evening clears the way for Hadenfeldt’s office to move forward with whatever course of action it deems to be in the best interest of the city regarding the franchise fees.
Of the amount due to the three communities from the start of ALLO’s service at the end of 2010 through 2018, Scottsbluff is owed more than $318,000, Gering is due over $95,000 and about $67 is owed to Terrytown.