Georgia Senate Establishes Study Committee for Franchise Fees on Electric Utilities


Senate Resolution 424 establishes the Senate Study Committee on Franchise Fees to examine and make recommendations regarding the imposition and distribution of franchise fees by electric utilities, particularly in unincorporated areas of Georgia.

The resolution states:

[M]unicipalities lease their rights of way under franchise agreements to electric utility providers and receive significant compensation in return, including from within many unincorporated areas of this state; and . . . the right for an electric utility provider to utilize county rights of way to reach its customers has economic value that is not currently being recognized for the benefit of the county and its unincorporated area residents . . . .

[T]the unprecedented growth of large load electricity customers necessitates a reconsideration of the assessment and allocation of municipal franchise fees for electric services within unincorporated areas of this state . . . .

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