Franchise fees are typically charged to companies to compensate cities for the use, regulation and maintenance of right-of-way. They can be charged based on number of access lines or gross receipts. Given the decreasing number of landlines, the city switched to a gross receipts fee structure with the new agreement – which is projected to bring in approximately $1,500 per month compared to the $1,100 per month collected currently.
Source: Derby Informer | News
