Map It

Map City Services

Enter an address:
(e.g., 410 S Fifth Street)


Metro Newsroom

Council members to reduce LG&E Franchise Fee

Wednesday June 4, 2014

For Immediate Release:
Louisville Metro Council
Contact: Tony Hyatt 574-4137 / 526-3622

Louisville - At their regular council meeting this Thursday, Metro Council members will offer a plan to reduce the 3% LG&E franchise fee proposed by Mayor Fischer in his 2015 budget.

The Council members include, President Jim King (D10, Sponsor), Budget Committee Vice Chair, Kelly Downard (R16, Sponsor), Mary Woolridge, David Tandy, David James, Tina Ward-Pugh, Rick Blackwell, Vicki Welch, Cindi Fowler, Dan Johnson, Madonna Flood, and David Yates who will propose a fee ranging from a minimum of 1.5% to a maximum of 2%. The reduction in fees will reduce the LG&E franchise fee by $1.8 million dollars which reduces the cost to LG&E customers from $1.50 to $1 per month.

The $3 million in funds derived from the franchise fee will be dedicated in their entirety to the hiring of 96 new police officers, payment of police overtime, the creation of a real time fully staffed crime center, added costs associated with Metro’s Home Incarceration Program and the prosecution of crimes. The 96 new police officers will be used to fill vacancies currently existing throughout the Metro area with 15 of the officers being assigned to downtown Louisville. To prevent the loss of any of the public protection measures proposed by the Mayor, the Council will amend the proposed 2015 budget by transferring $1.8 million from its capital account to its operating accounts.

The proposed reduction will be incorporated into an amendment to be offered at the meeting. The amendment will also provide a requirement that Metro Government offer the franchise to LG&E through a bidding process and that the Mayor execute a temporary franchise agreement with LG&E for up to one year while the City and LG&E negotiate a long term franchise agreement.

LG&E will be required to obtain a certificate of need from the Public Service Commission prior to bidding on the franchise. At that time, any citizen may request a public hearing on the franchise and LG&E’s tariff sheet that allows LG&E to assess its customers for the fee paid to Metro.