Tag Archives: Pacific Gas and Electric franchise fees

City of Chico gets over a million a year in franchise fees from PG&E – oh excuse me – I mean, from PG&E ratepayers

11 Feb

After we found out about the fees Comcast pays to the city of Chico


several of us wondered about other utility companies and what they – meaning US, the RATEPAYERS -pay to operate here.  So I asked city of Chico clerk Debbie Presson.

thank you again,

I have had another question from readers – does PG&E pay the city a franchise or other license fee (not including the UUT), and if so, how much does the city receive in such fees from PG&E per year? 

 I’m pretty sure I know the answer to the first question but not 100 percent and don’t want to be accused of spreading misinformation. If you are not able to answer please forward my questions to someone who has the information on hand.

 Thank you, at your convenience, for your response – Juanita Sumner

To which she cheerfully responded:

Hi Juanita,

 I don’t believe that PG&E has a franchise agreement with the City…however, I will check with Administrative Services and have them get back to you.

 Have a great weekend.


No, no, no, that’s not right. I did further digging on my own.

From PG&E,


“Pacific Gas and Electric Company (PG&E) is paying property taxes and franchise fees of more than $337 million this spring to the 50 counties and 243 cities where the energy company owns and operates gas and electric infrastructure that serves 16 million Californians.”

“PG&E pays franchise fees to cities and counties for the use of public streets for its gas and electric facilities. The energy company submitted the fees to counties by March 31 and to cities by April 15.”

And, from Ch 7 news out of Redding,


“Chico$ 407,735.25      $ 201,282.46      $ 609,017.71 “

That’s for tax year 2011-12? Over a million dollars in franchise fees, plus the property tax paid to the county (also listed). 

The city of Chico gets roughly half of all property tax proceeds collected by the county of Butte.

So I guess I should have asked her, “how much money does the city of Chico get from PG&E. Period.” 

We’ll see what Administrative Services has to say.