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Council renews Duke Energy electric franchise; franchise fee set at 6%
Summary
Council held final reading and adopted ordinance renewing Duke Energy's municipal electric franchise agreement and confirmed the standard 6 percent franchise fee.
The City Council held a public hearing and adopted Ordinance 10-55 on Aug. 12 renewing a franchise agreement that grants Duke Energy the right to occupy city streets and rights-of-way to provide electric service.
A Duke Energy representative thanked the city for the business relationship and asked council to approve the renewal. Councilors asked about franchise fees and were told the fee is 6 percent, described during the hearing as standard across many municipalities.
Action taken: The ordinance was read by title and adopted on final reading after a public hearing; roll-call votes recorded council approval. Councilors praised Duke Energy's storm response earlier in the season.
Context: Franchise agreements authorize utility access to municipal rights-of-way in exchange for fees and conditions; the ordinance includes standard severability and an effective date. The franchise negotiation and approval were limited to the terms presented in the ordinance and the vote did not bind the city to other facilities or easements beyond standard franchise rights-of-way.
