theadanews.com - Ada, Oklahoma

June 5, 2013

City wants election on agreement

Eric Swanson Staff Writer adanewsreporter@cableone.net
www.theadanews.com

Ada —

Later this summer, voters will decide whether a Houston-based energy company can continue supplying natural gas to Ada residents.

Ada City Council voted 4-0 Monday to renew the city’s franchise agreement with CenterPoint Energy Resources Corp., doing business as CenterPoint Energy Oklahoma Gas. Councilman Guy Sewell was absent.

CenterPoint’s current franchise agreement with the city is expiring and must be renewed, said City Manager Cody Holcomb.

“The agreement will expire in 25 years, and it does allow CenterPoint to supply gas and use the public right of ways for its distribution, as you stated,” he said. “And as you also stated, the franchise fee paid by CenterPoint will remain at 2 percent of gross collections.”

Roberta Taylor, area manager for CenterPoint Energy in Ada, said the natural gas distribution system is a joint venture between CenterPoint and Oklahoma Gas and Electric (OG&E). 

The agreement authorizes CenterPoint to continue operating the system and pay a franchise fee, which equals 2 percent of gross sales.

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