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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012 ENROLLED
SENATE BILL NO. 273
BY SENATOR PEACOCK
AN ACT1
To amend and reenact R.S.33:4401 and to enact R.S. 33:4361(C) and R.S. 45:853, relative2
to franchise fees and similar charges of political subdivisions on certain public3
utilities; to provide for proper notice and explanation of such fees on billing4
statements sent to ratepaye rs within the political subdivision; and to provide for5
related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 33:4401 is hereby amended and reenacted and R.S. 33:4361(C) is8
hereby enacted to read as follows:9
§4361. Police jury may grant franchise for use of streets, roads and alleys outside10
municipalities 11
* * *12
C. Notwithstanding any law, rule, regulation, or order to the contrary,13
on or after January 1, 2013, the Louisiana Public Service Commission may14
require that whenever a parish governing authority imposes a franchise fee15
upon a public utility which the utility collects or recovers from the utility's16
consumers, the utility's monthly billing statement shall specifically and clearly17
include a separate line item for the applicable franchise fee, with the name of18
the parish imposing the fee, the total amount or rate of the franchise fee, and19
the total amount of the billing attributable to the fee.20
* * *21
§4401. Granting franchise to use streets for telephone, telegraph, electric light, water22
and gas system 23
A. The governing authorities of all municipalities may grant a franchise to24
any person to use and occupy the streets, alleys, and public places therein, and to25
obstruct the same or any part thereof, by constructing, maintaining, and operating (1)26
ACT No. 766 SB NO. 273 ENROLLED
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words in boldface type and underscored are additions.
poles, wires, and appurtenances for telephone, telegraph, and electric transmission1
and distribution systems and (2) pipelines, mains for a water or gas transportation2
and distribution system. These franchises shall not be exclusive, nor be for a longer3
period than sixty years and shall be subject to any terms, conditions and stipulations4
prescribed by the governing authorities of the municipalities. This section shall not5
apply to municipalities which are required under the provisions of their charter to6
hold referendum elections to grant or lease franchises.7
B. Notwithstanding any law, rule, regulation, or order to the contrary,8
on or after January 1, 2013, the Louisiana Public Service Commission may9
require that whenever a municipality imposes a franchise fee upon a public10
utility which the utility collects or recovers from the utility's consumers, the11
utility's monthly billing statement shall specifically and clearly include a12
separate line item for the applicable franchise fee, with the name of the13
municipality imposing the fee, the total amount or rate of the franchise fee, and14
the total amount of the billing attributable to the fee.15
Section 2. R.S. 45:853 is hereby enacted to read as follows:16
§853. Proper notice and explanation of franchise fees17
Notwithstanding any law, rule, regulation, or order to the contrary, on18
or after January 1, 2013, the Louisiana Public Service Commission may require19
that whenever a political subdivision imposes a franchise fee upon a public20
utility which the utility collects or recovers from the utility's consumers, the21
utility's monthly billing statement shall specifically and clearly include a22
separate line item for the applicable franchise fee, with the name of the political23
subdivision imposing the fee, the total amount or rate of the franchise fee, and24
the total amount of the billing attributable to the fee.25
Section 3. The Louisiana Public Service Commission is hereby urged and requested26
to study, including holding public hearings as deemed necessary, requiring public utilities27
to specifically and clearly include in the monthly billing statements issued to its consumers28
a separate line item for any applicable franchise fee, containing the name of the political29
subdivision imposing the fee, the total amount or rate of the franchise fee, and the total30 SB NO. 273 ENROLLED
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amount of the billing attributable to the fee. The commission shall report its findings to the1
legislature on or before February 1, 2013.2
Section 4. This Act shall become effective upon signature by the governor or, if not3
signed by the governor, upon expiration of the time for bills to become law without signature4
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If5
vetoed by the governor and subsequently approved by the legislature, this Act shall become6
effective on the day following such approval.7
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: