The bill amends Section 11-49-1 of the Code of Alabama 1975 to prohibit municipalities from imposing certain fees or charges on natural or manufactured gas utilities when granting consent to use public streets and places. Specifically, it inserts language that clarifies that any franchise fee, charge, tax, or other payment made by a natural or manufactured gas utility, which is under the general supervision of the Alabama Public Service Commission, cannot be increased after December 31, 2025, unless approved by a majority of the qualified electors in the municipality. Additionally, the bill makes technical revisions to update the existing code language.
The bill also clarifies that municipalities retain the right to charge franchise fees for the use of public spaces by electric suppliers and gas utilities, ensuring that these utilities are treated similarly to other service providers. It includes provisions that maintain the applicability of health, safety, and welfare regulations, as well as the requirement for utilities to repair and remediate municipal property damaged during their operations. The act is set to take effect on June 1, 2025.