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Denver council rejects Xcel Energy franchise and companion airport agreements after weeks of debate

August 11, 2025 | Denver (Consolidated County and City), Colorado


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Denver council rejects Xcel Energy franchise and companion airport agreements after weeks of debate
Denver City Council declined on Aug. 11 to refer a proposed 20‑year franchise agreement with Public Service Company of Colorado (Xcel Energy) to the ballot and also rejected related operating and energy‑infrastructure companion agreements, following several hours of discussion and public testimony.

Council members debated whether the package gives the city sufficient enforceable commitments on reliability, data sharing, community outreach and assistance for customers who struggle to pay energy bills. Multiple council members said they had not seen enough negotiation with neighborhoods and raised concerns that the agreement leaves many commitments as exploratory rather than mandatory.

The council first voted on Council Bill 25‑09‑22, the proposed franchise referral. Councilmember Hines moved the bill to final consideration. The motion failed, 6–7. Councilmembers Kevin Flynn, Romero Campbell, Amanda Sawyer, Faith Torres, Paul Watson and Council President Sandoval voted in favor; seven colleagues voted no. Later votes on the airport operating agreement (Council Bill 25‑09‑87) and a companion energy and infrastructure resolution (Council Resolution 25‑11‑49) also failed, leaving the city with no new franchise or airport operating pact with Xcel.

Councilmembers and community speakers pressed Xcel and city negotiators for specific performance measures, data access, and more robust commitments on assistance programs. Councilmember Stacy Gilmore said the agreement did not secure terms she deemed sufficient for the city’s Far Northeast neighborhoods and raised concerns about infrastructure planning around Denver International Airport and large proposed private projects there. Councilmember Chris Parady and others pointed to reliability data showing customer outages and call center performance problems in Colorado and urged stronger, enforceable data sharing and performance metrics. Councilmember Heather Lewis described constituent concerns in communities near the airport and asked that the city demand better coordination among the airport, the city and Xcel.

Xcel officials said they had invested in preliminary design work and right‑of‑way studies for large projects and defended their ability to serve Denver International Airport. Robert A. Kenney, president of Public Service Company of Colorado, said Xcel could serve the airport and had planned substations to do so. Grace Lopez Ramirez, an Xcel spokeswoman, said the company began broad community outreach after it briefed council in June and had been working on right‑of‑way and easement issues for potential long feeders and other infrastructure required for large industrial customers.

City staff and the mayor’s office described a companion “energy and infrastructure” agreement that would set up an advisory structure — including city, airport and Xcel representatives and a community seat — to pursue cooperative projects and reporting. John McGrath from the city attorney’s office said the companion agreement would be a binding contract with duties of good faith and specified meeting cadences. But multiple council members and several advocacy groups said the language left too many obligations as “explore” or “consider” rather than “shall” and asked for concrete metrics on reliability, service quality and data sharing.

Councilmembers and staff debated how much the agreement would protect customers who rely on federal and state assistance programs. Negotiators added a fallback payment clause under which Xcel would pledge up to $250,000 a year to replace certain low‑income energy assistance dollars if those state or federal sources were reduced. City staff said Denver historically administered roughly $8.3 million a year in local energy assistance programs; advocates called the $250,000 fallback insufficient given the scale of need.

Councilmembers also raised procedural issues: several said community stakeholder groups and registered neighborhood organizations were briefed only after most negotiations were concluded and asked for more time and transparency. Councilmember Gilmore and others noted a string of high‑profile local infrastructure and development concerns — including power commitments for a proposed Swire Coca‑Cola project at the airport — and said the city needed clearer guarantees before locking in a 20‑year franchise.

With the franchise referral defeated, councilmembers and the administration said negotiations between the mayor’s office, Xcel and the airport could continue, and the city retains the option to reopen the agreements in future sessions. Xcel and city negotiators suggested the agreements could be reworked and resubmitted. Some council members said they would continue pressing for a shorter term, clearer data‑sharing provisions and measurable performance standards; others said they supported retaining a formal seat at the table with Xcel while pursuing additional changes.

The council’s votes leave the current franchise in place until it expires, and the city’s ability to win the stronger, enforceable commitments some council members sought now depends on renewed negotiation or future electoral action.

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