Sample of Franchise Agreement
FRANCHISE AGREEMENT
This agreement is made and entered into as of this _______ day of __________________, ________ by
and between the (municipality) a (state) Municipal Corporation with offices
at (address) and (Franchisee) a (state) business
corporation with its principal offices at (address) .
WHEREAS, any providers of (service) or facilities in the Public Right-of-Way
will be required to obtain a license or franchise, which may be granted only by the municipality as (give
statute/legal information that gives municipality right to issue franchise agreement) .
WHEREAS, the (municipality) is concerned that the construction of new utility facilities by
multiple firms may have an adverse impact upon the community unless facilities are constructed pursuant
to an overall plan that manages the use of Public Right-of-Way.
WHEREAS, the Franchisee has requested a franchise from the (municipality) to authorize the
use of the Public Right-of-Way for the Franchisee to construct, install, maintain and operate its (description
of items in Right-of-Way) and related facilities for (purpose of being in Right-of-Way) .
WHEREAS, the (municipality) is authorized to and should establish standards for
occupancy of the Rights-of-Way by utility facilities and other uses that are consistent with and recognize
the (municipality’s) duties and jurisdiction; and
WHEREAS, the (municipality’s) standards included in this ordinance are designed to:
A. Acknowledge that Right-of-Ways are a unique and limited resource;
B. Understand that Right-of-Ways are critical to the travel and transport of persons and
property;
C. Promote the ideal that Right-of-Ways are intended for public purpose and not be managed
and controlled;
D. Adequately reimburse the (municipality) for occupancy of the Rights-of-
Ways by Facilities;
E. Fully protect the public and the (municipality) from any harm caused by
private commercial use of Rights-of-Way, including, but not limited to, reducing the risk of
loss of service or personal or property injury from errant excavation;
F. Protect the regulatory authority of the (municipality) in a manner consistent
with federal and state law; and
G. Otherwise protect the public interest in and promote the development and coordinated use of
utilities and public services entities to the enhancement to the health, welfare and general
economic well being of the municipality; and
H. Promote the entry of utility service providers on a competitively neutral manner, maximize
the available space for such providers by requiring coordination, collocation and planned
construction of infrastructure in the Rights-of Way.
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