New Xcel Energy Franchise Agreement Referred to November Ballot

New Xcel Energy Franchise Agreement Referred to November Ballot

Published on July 28, 2026

Denver City Council voted Monday to refer a franchise agreement between the City and County of Denver and Xcel Energy to the November ballot, giving Denver voters the opportunity to decide on a modernized 20-year partnership that will support reliable energy delivery and service to Denver residents and businesses.

The proposed agreement is the result of extensive negotiations between the City and Xcel Energy and reflects years of collaboration to ensure the partnership delivers meaningful benefits for Denver residents, businesses, and neighborhoods while positioning the city to meet the energy needs of the future.

"This is about securing a stronger partnership and better deal for Denverites," saidMayor Mike Johnston. "The proposed agreement makes it easier for people to heat and cool their homes with clean energy, requires Xcel to shoulder the cost of relocating utility lines to deliver services to residents, and puts millions toward helping low-income Denverites with their utility bills. We're grateful to City Council for advancing this measure and look forward to giving Denver voters the opportunity to make the final decision this November."

"When we started this process over a year ago, I tasked the administration and Xcel with bringing back stronger agreements that were more responsive to community and council input and priorities," said Councilwoman Amanda P. Sandoval. "These agreements meet the moment and I look forward to Denver voters having the opportunity to weigh in at the ballot box."

Denver and Xcel Energy have partnered for decades to provide the infrastructure that powers homes, businesses, schools, hospitals, and public facilities across the city. The current franchise agreement that outlines each organization's role in providing these services is set to expire December 31, 2026. The new franchise agreement requires voter approval, and would:

• Preserve $34 million annually of critical franchise fee revenue that supports essential city services and energy assistance programs.

• Continue the City's ability to coordinate utility and transportation infrastructure projects, reducing costs and minimizing disruptions to residents.

• Ensure the City continues to enjoy underground electric infrastructure where it provides the greatest community benefit.

• Support safe, reliable, and resilient energy service for Denver's growing population.

• Strengthen collaboration on affordability, energy assistance, and grid modernization.

"Denver's energy needs are evolving as our city grows," saidAmy Ford, Director of Denver's Department of Transportation and Infrastructure (DOTI). "This agreement creates a stronger framework for coordinating infrastructure investments, improving reliability, supporting economic growth, and minimizing disruption to Denverites."

Guided and informed by a community working group, the franchise agreement is supported by a bound, formal Energy Partnership Agreement between Denver and Xcel Energy that:

• Creates a process for innovative pilots that advance Denver's energy reliability, affordability and sustainability goals

• Secures shareholder contributions to fund affordability initiatives

• Funds energy resource navigators to connect eligible Denverites with utility bill assistance, rebates, and energy-saving programs

• Establishes a good neighbor commitment and dedicated funding to ensure new energy infrastructure is compatible with local neighborhood design

• Increases transparency and community oversight via public reporting and a community advisory group

"Denver residents made their priorities clear, and this agreement reflects them," saidElizabeth Babcock, Director of Denver's Office of Climate Action, Sustainability and Resiliency (CASR). "It ensures community oversight, unlocks programs that lower energy costs, and ensures Xcel meets the climate, affordability, and reliability expectations of Denverites."

If approved by voters, the new franchise agreement would take effect on January 1, 2027, following additional regulatory approvals by the Public Utilities Commission.

Residents can learn more about the proposed agreement, review frequently asked questions, and access educational materials by visiting the city's Denver-Xcel Partnership webpage.

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