WHEREAS many British Columbia communities have franchise agreements with utility companies that involve the payment of franchise fees to municipalities, providing an important revenue stream; AND WHEREAS the assent of electors was received when the original agreements were entered into: THEREFORE BE IT RESOLVED that the Union of BC Municipalities request that the Province of BC amend the Community Charter by adding a clause stating that Section 221 does not apply to extensions or renewals of agreements entered into prior to 1979 with the electors assent.
MINISTRY OF COMMUNITY, ABORIGINAL AND WOMENS SERVICES Section 22 of the Community Charter recognizes that agreements which provide a full or partial monopoly to provide a service within a municipality carry with them significant public interest issues. As such, assent of the electors is considered appropriate for such agreements. Amendments to that section are therefore not currently under consideration by the Province. It is our understanding that some renewals of existing franchise agreements are currently being negotiated amongst the local government and private sector partners to the agreements and that discussions amongst the parties include whether or not the agreements need to specify franchise provisions. The Ministry of Community, Aboriginal and Womens Services would be pleased to work with the Union of British Columbia Municipalities to undertake a study of the effect of franchise provisions under such agreements, particularly in light of the regulatory framework set out under the Utilities Commission Act.