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Talks appear stalled between Alliant, nearby business owner

JANESVILLE — A compromise looks unlikely between the owner of Milton Propane and Alliant Energy going into Tuesday's Milton City Council meeting.

Alliant and American Transmission Co. have been in discussions with the city to expand their substation near High and Elm streets for about a year. But John Arndt wants part of that land for a rail spur leading to his nearby Milton Propane headquarters.

The city council seemed ready to vote on Alliant's proposal, which includes buying 2 acres next to the substation, when Arndt spoke up at the April 21 meeting. The council will take the issue up again Tuesday.

Alliant and ATC say the substation expansion is necessary to maintain reliable service to Milton and prepare for future growth.

But Arndt says the city has known for years that Arndt hopes to install an 850-foot rail spur next to his business in the next 10 years.

Alliant and ATC would have to move a planned control house 25 feet for Arndt to install his rail spur as he planned, he said.

If that doesn't happen, Arndt might have to cancel a planned expansion that would bring five new jobs to Milton, he said this week.

Alliant considered moving the control house but concluded it's not possible, said Greg Ardrey, senior project manager.

"Basically, we have things in the way, and once we try to accommodate that, then we wouldn't be able to manage the water on site, which we need to do by DNR (Department of Natural Resources) code," he said.

Alliant would like to find another compromise, but Arndt hasn't returned its calls in the last week, Ardrey said Thursday.

Arndt said he didn't see any point in contacting Alliant.

"The only call I got was that they couldn't move the (control house)," he said. "To me, it was a done deal."

The issue now rests with the city council, Arndt said.

"I'm waiting optimistically to have them tell me that Alliant didn't try hard enough to move (the control house) over," he said.

Proper notice?

One of the most contentious parts of the Alliant substation debate is John Arndt's accusation that the city didn't keep neighbors informed of Alliant's plans.

Arndt, owner of Milton Propane, made his accusation at the April 21 city council meeting.

City officials shot back at the May 5 meeting. Mayor Tom Chesmore waved a stack of public notices and agendas that were sent to neighbors or publicly posted. He and council member Dave Schumacher said Arndt was out of line at the April 21 meeting and in later comments.

"I'm really fed up with the way Milton has been put down by this business owner (Arndt)," Schumacher said. "It seems to me that somebody didn't do their due diligence and is trying to blame the city now."

Arndt was not present at the meeting.

Included in Chesmore's stack were notices from July 2008, March 2009 and April 2009 that were sent to Milton Propane and other neighbors.

Arndt acknowledged this week that he received the notices but said negotiations went on between July and March that he should have been told about, even though the city wasn't legally required to notify him.

"I'm not interested in the legal part," he said. "I'm interested in the good and bad and being nice to people."

The city still is interested in helping Arndt install his rail spur when the time comes, Administrator Todd Schmidt wrote in an e-mail to The Janesville Gazette.

"When the city receives a formal proposal from Milton Propane for a rail spur, we will certainly be willing to do everything we can to help facilitate the project and consider options to help Milton Propane grow and succeed," he wrote.