The 50-year-old franchise agreement, signed in 1970, expires on January 17, 2021. Cities have many purchasing opportunities to meet their energy goals. An emerging trend is for municipalities to incorporate energy goals into their franchise agreements with an electricity service provider or use these agreements as an entry point to negotiate other clean energy agreements with the energy provider. Cities in 40 states have the option to pursue franchise agreements, with 10 states excluded from this option (due to the majority of public utility or public administration), or prohibited. Cities may be excluded or excluded from franchise agreements, but may still set a deductible fee. For example, both Tennessee and Nebraska have the authority to assess franchise fees, but because their states are made up of majority utilities, they are less likely to do so. Siegele said that by changing the agreement, the city can ask the franchisee to encourage the development of a large number of programs, from solar power to micro-grids. Changes, he said, can also be made to the franchise fee, which could transfer the costs of payers to distribution company shareholders, as well as the city`s climate action plan to align it with the agreement. However, states may limit the power of municipalities to pursue these objectives through a franchise. When Minneapolis negotiated its franchise renewals in 2014, for example, state law excluded similar requirements in the contract. The revenue from the city franchise in Minneapolis was used as partially appropriate subsidies for energy improvements for residential or commercial customers, to purchase loans for customers in green areas (with below-average household incomes) and to attempt new methods of collective engagement.

States in the dark allow cities to manage their own franchise agreements and set franchise fees. Hellorange states do not allow cities to manage their own franchise agreements, but it does allow cities to set the franchise fee. Orange-banded states do not allow cities to manage franchise agreements and franchise fees. Light blue states allow cities to manage their own franchise agreements, but the state sets the franchise fee.