Council approves 10‑year nonexclusive franchise with Encore Electric Delivery Co.

The Bruceville‑Eddy City Council approved a nonexclusive franchise agreement with Encore Electric Delivery Company on March 27, keeping a 4% fee payable to the city for electric delivery to customers within the service area and reducing the term length to 10 years as requested by council.

City staff said the draft agreement reflects earlier council direction to shorten a proposed 20‑year term to 10 years. The agreement includes a vegetation management provision (the city requested a termination clause tied to vegetation management but Encore declined that specific language), and Encore will continue to pay for right‑of‑way relocations except where the relocation is strictly aesthetic or where the city is the endpoint customer, staff said. Encore representatives explained the franchise payment is derived from a factor that preserves city franchise receipts following the state’s electricity deregulation framework; the factor does not automatically change each year but payments will vary with kilowatt‑hours delivered.

Council members confirmed the city attorney had reviewed the agreement, and the council voted to approve the franchise resolution, as presented.