Coeur d'Alene City Council approves 35-year franchise agreement with Kootenai Electric Cooperative

During the City of Coeur d'Alene City Council meeting on March 18, 2025, significant discussions centered around two key ordinances: the annexation of land and the renewal of a franchise agreement with Kootenai Electric Cooperative (KEC).

The council unanimously adopted an ordinance to annex specific portions of land in Kootenai County, designating it as R-12 residential zoning, which allows for 12 units per acre. This move is part of the city's ongoing efforts to manage growth and housing demands effectively. The ordinance also included a severability clause and provisions for publication, ensuring transparency and compliance with legal standards.

In a notable discussion, the council addressed the renewal of a franchise agreement with KEC, which had inadvertently expired in 2013. The previous agreement, established in 1978, allowed the city to charge a 5% franchise fee on KEC's gross operating revenue. The new agreement, which extends for another 35 years, maintains this fee structure, ensuring continued funding for city services, particularly road maintenance. The council highlighted the importance of this agreement, noting that the additional 2% above the statutory limit was crucial for infrastructure improvements, including those on Ramsey Road.

Council members expressed appreciation for the longstanding relationship with KEC, emphasizing the cooperative spirit that has characterized their partnership. The renewal of this agreement is expected to provide stability and support for the city's electrical infrastructure and services.

Overall, the meeting underscored the council's commitment to managing urban development and maintaining essential services for residents. The successful passage of these ordinances reflects proactive governance aimed at addressing the community's evolving needs. As the city moves forward, the implications of these decisions will likely resonate in future planning and development initiatives.