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Memphis council approves MLGW 2026 budget after heated comments over streetlight fee and tree-trimming contract
Summary
The City Council voted to approve Memphis Light, Gas & Water's 2026 operating and capital budgets after public criticism of a proposed streetlight fee increase and a controversial five-year tree-trimming contract; MLGW president Doug McGowan defended the costs and said system investments have cut outages by roughly half.
Memphis Light, Gas & Water's 2026 operating and capital budgets were approved by the Memphis City Council on Nov. 18, 2025, following public comment that criticized proposed fee increases and the utility's contracting decisions.
Three residents urged the council to reject the budget and delay a planned 4% electric rate increase and a separate streetlight fee increase. Christine Fox said she opposed the budget and called for an independent audit of a $228,000,000 five-year tree-trimming contract, arguing that MLGW spent far more than past years while some streetlights remain out. Glenda Hicks and Andrea Bell made similar pleas for delaying rate increases and spending reviews.
MLGW President Doug McGowan responded at length. He said the 2026 budget is smaller than 2025 and does not include new water or gas rate increases but does include the third increment of a previously approved electric increase. McGowan asked the council to approve a 17% increase to the streetlight fee (he said this equates to 76 cents per residential customer per month) to reflect inflation, additional costs such as electricity for security cameras installed by MPD, and the need to fund preventative maintenance. On the tree-trimming contract, McGowan said the cost rose because the prior contractor underperformed and the scope of debris and removal needs increased; he noted a 50% reduction in customer outage minutes following recent investments.
Council members debated and then voted by roll call; the motion to approve the MLGW budgets passed with recorded "yes" votes from present members.
The immediate outcome is approval of the budgets and the fee adjustments as presented. The public record includes repeated requests by residents for greater transparency on the tree-trimming contract and for independent review; McGowan said bid and invoice documents are publicly available. Further oversight or audit requests by council members or members of the public may follow in committee or through public records requests.
