Washington Supreme Court Holds King County Can Charge Franchise Compensation to Utilities Using County Rights-of-Way

The Washington Supreme Court Dec. 5 held that King County may charge franchise compensation to public and private utilities for using the county’s rights-of-way. King County enacted an ordinance requiring electric, gas, water, and sewer utilities to pay franchise compensation based on an estimate of the franchise’s value, and barring utilities from using the rights-of-way if they cannot agree on a franchise compensation amount. Local utilities sued, arguing the charge was an unlawful tax. The trial court granted the utilities’ motions for summary judgment and denied the county’s. The supreme court reversed and remanded, holding: 1) King County may charge ...