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Commission to consider League of Oregon Cities request for telecom litigation support at next meeting

Oregon City Commission · October 27, 2025
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Summary

The League of Oregon Cities requested a contribution (3% of telephone franchise receipts) to help fund litigation over telecommunications franchise fees; staff and the city attorney recommended bringing the letter and numbers back on the next agenda for fuller review.

The commission received a letter from the League of Oregon Cities asking Oregon City to contribute 3% of the city's annual telephone franchise receipts to support litigation related to telecommunications franchise fees (the League requested $6,390 based on the city's receipts). Staff and the city attorney described a Ninth Circuit decision in a Washington case that has led some companies to withhold franchise fee payments; the League is coordinating a legal effort to challenge that interpretation.

City staff and the attorney recommended that the commission not make an individual commitment now but consider the League's request on the next agenda with fuller documentation and dollar amounts. "My suggestion is that you fund the Quest case and the league's participation because it's representing all of us, and don't do it individually," the attorney said, noting the expense of litigation and recommending a pooled approach rather than city‑by‑city action.

Commissioners asked for the League's letter and for staff to provide the specific numbers and deadline for a commitment; they asked city management to place the matter on the next meeting agenda so commissioners could review the letter and the potential fiscal exposure from unpaid franchise fees before deciding.