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Elgin council receives first presentation on proposed natural gas franchise from C Energy
Summary
Council heard the first of three required presentations on an ordinance to authorize a natural gas utility to operate in Elgin rights of way. C Energy representative David Oliva described plans to serve the city’s west side; no vote was taken.
At its Aug. 19 meeting, the Elgin City Council heard the first of three required presentations on an ordinance that would grant a natural gas company the right to operate and sell service in the city’s public rights of way.
The presentation by David Oliva, a representative of C Energy, introduced the company’s plan to extend natural gas service to the west side of Elgin. The council did not vote on the ordinance; city staff and the city attorney said state and local notice requirements and the council’s charter require three presentations and newspaper publication before a final vote can occur.
Oliva told the council C Energy is “a natural gas utility. With natural gas, there is no CCN protection as there is with electricity,” and said the company sees “a very big need for gas on the West Side of the city.” He said the company intends to build from Manor toward Elgin’s west side and that, if it picks up customers inside the city limits, it would seek a franchise to use public rights of way. Oliva said the company would pay a franchise fee that could be up to 5 percent, but that the exact fee is a matter for the council to set.
A city staff member explained the ordinance in the council packet had been reviewed by the city engineer and city attorney and said technical questions about contract language could be directed to those reviewers or to the vendor. Another staff member explained the city charter requires three presentations and publication in the newspaper before the council may adopt a franchise ordinance; the staff member said the council will have additional opportunities for public comment at future meetings.
Council members asked for references and were told C Energy is working with other Central Texas jurisdictions and would leave references with staff. The item will return to the council for additional presentations and public comment, with a timeline noted in meeting materials that staff said would culminate in a vote on Sept. 16.
