Edina City Council — Transcript

Wednesday, September 3, 2025

Story

Edina switches utility fees from flat rate to percentage-based model

Votes (1)

Implementation of New Utility Franchise Fee Structure

City Council previously directed staff to raise franchise fees to fund an additional $1 million per year for street reconstruction.

The city of Edina is changing its utility franchise fee structure for residential customers from a flat rate of $355 per month to 4% of the monthly utility bill, effective January 1st. This shift is motivated by a desire for greater equity, allowing customers to influence their fees through energy conservation, and to secure additional funding for community projects like sustainability, safer streets, and road reconstruction. The City Council previously directed this change as a preferred funding mechanism over taxes for street reconstruction.

Notable Quotes (2)

The shift to a percentage-based fee means customers will pay in proportion to how much energy they use, which is a more equitable approach.

Narrator [00:00]
Implementation of New Utility Franchise Fee Structure

That gives the residents those opportunities to reduce the fees. And that's what council really liked about this change from a flat rate to a percentage-based fee.

Unknown [00:01]
Implementation of New Utility Franchise Fee Structure
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Edina City Council - Edina Recorder