Cities extend Southeast Gas franchise agreements
Published 1:13 am Wednesday, November 22, 2017
Both the City of Andalusia and the City of Opp voted t his week to extend franchise agreements with Southeast Gas for 30 years.
The Southeast Alabama Gas District is owned by 14 cities, each of which have equal representation on the company’s board of directors. Per its agreement with those cities, it returns profits to the member municipalities.
The Andalusia City Council approved the agreement Tuesday.
The agreement gives Southeast Gas the right to acquire, construct, own, maintain, enlarge, extend, improve and operate a natural gas distribution system in each of the cities.
“It is basically the same language as old agreement,” Mayor Earl Johnson said.
The Opp City Council approved the agreement Monday night.
Opp Mayor Becky Bracke said that the city receives money back from Southeast Gas that sometimes means $100,000 a year.
These cities, which formed SEAGD in 1952, work in cooperation to provide their communities with natural gas service and numerous opportunities for economic growth. SEAGD also provides natural gas service to 21 franchise communities, including Ashford, Baker Hill, Brantley, Coosada, Cottonwood, Daleville, Gantt, Glenwood, Level Plains, Midland City, Montgomery, Napier Field, New Brockton, Newton, Newville, Opelika, Pike Road, Pinckard, Red Level, River Falls and Rutledge.