Alabama Constitution Section 228 Maximum term of public utility franchises in cities and towns having population of six thousand or more

Alabama Constitution – Section 228

Title:
Maximum term of public utility franchises in cities and towns having population of six thousand or more

Full Text of Section 228:

"No franchise granted by any city or town in this state to any individual, company, corporation, or association for the right to use the streets, avenues, alleys, or public places of such city or town for the construction or operation of any street railway, gas works, electric light or power works, telephone or telegraph lines, or systems, or other public utility, shall be for a longer period than thirty years. This limitation shall apply to cities and towns having a population of six thousand or more, according to the last preceding federal census."

Explanation:

Section 228 limits the duration of public utility franchises granted by cities or towns with a population of 6,000 or more.

Key Points:

Applies to public utilities such as:

Street railways

Gas works

Electric light or power systems

Telephone or telegraph lines

Maximum term allowed: 30 years

Only applies to cities/towns with ≥6,000 population (based on the latest U.S. Census)

Purpose:

To prevent long-term monopolies and ensure cities/towns can re-evaluate and renegotiate utility agreements periodically. It helps maintain public oversight and flexibility in managing essential services.

 

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