TRAVERSE CITY — Traverse City Light & Power, a city-owned utility, may be purchased by Cherryland Electric Cooperative, according to The Leelanau Enterprise.
TCL&P has a stake in a number of power-generating facilities and owns the transmission and distribution lines. It is also responsible for billing customers.
In a memo, Cherryland stated a number of benefits of purchasing TCL&P, including the elimination of some duplicative distribution lines — there are areas where one company’s lines run across the street from the other’s — increased customer base, and a distribution of Cherryland profits to Traverse City residents.
City officials believe a sale could lower city property taxes, perhaps by as much as half, according to The Enterprise.
“I’d like to cut taxes for downtown businesses, and my next door neighbor, too,” Mayor Michael Estes told The Enterprise.
“Cherryland makes bid to purchase T-C utility,” Leelanau Enterprise, April 14, 2008