Summary:
EPCOR Water Arizona ("EPCOR") is a water company that provides potable water and wastewater services to portions of the City of Peoria. These services are governed by a Certificate of Convenience and Necessity (CC&N) granted by the Arizona Corporation Commission (ACC). In order to distribute water to it's customers, EPCOR must obtain permission from Peoria to use its rights-of-ways and easements. That permission is granted through a franchise agreement. Per Article XII, Section 1, of the City Charter, no franchise may be granted "without approval of a majority of the qualified electors residing within its corporate limits voting thereon."
In 2010, the voter's approved the original franchise agreement under Arizona-American Water Co. (now EPCOR) for a term of 15 years. That franchise is set to expire on September 7, 2025 and EPCOR desires to renew said franchise so it can continue to provide water and wastewater services to its approximately 2,200 customers within the Peoria city limits.
EPCOR is a well-established water and wastewater privately owned utility that has existing major infrastructure investments in Peoria and anticipates serving growing areas such as North Peoria Gateway. The franchise agreement conveys to Grantee (EPCOR) the right and privilege to construct, maintain, and operate within the present and future public rights-of-way (including, but not limited to streets, alleyways, highways, and bridges) in the Franchised Area in Peoria, Arizona, a potable water delivery system and a wastewater collection system, together with certain appurtenances (including, but not limited to transmission mains, distribution and collection mains, service lines, fire hydrants, meters, and equipment for its own use) for the purpose of supplying potable water to City, its successors, the inhabitants thereof, and all individuals and entities within or beyond the limits thereof (collectively, the “Served Population”), and for collecting wastewater from the Served Population, in each case for all purposes for which it is duly authorized by its Certificates of Convenience and Necessity. For purposes of this Franchise, the “Franchised Area” shall consist of those portions of the area within the then effective borders of City that are also within the boundaries of any Grantee’s then effective CC&N, as granted by the Arizona Corporation Commission. All such transmission mains, distribution and collection mains, and service lines shall be located underground unless otherwise approved by City nor in any manner which would adversely affect or interfere in any way, as determined by City in its sole discretion, with City’s use of the public rights-of-way for its intended use.
This question would appear on the November 5, 2024 General Election ballot. The General Election is a coordinated election through Maricopa County. Also consistent with the Charter, "the council shall require, before calling any such election, that the estimated expense thereof shall be first deposited by the applicant for such franchise with the city clerk." The estimated cost of a city-wide election coordinated through Maricopa County is $111,325. EPCOR has made that deposit with the City.
The term of the agreement is 25 years. This is a non-exclusive franchise.