MARCO ISLAND, Fla. — Residents and businesses on Marco Island could soon face a 3% increase on their electric bills as city leaders mull a plan to reinstate a franchise fee on utility provider LCEC.
City Council voted 4-3 to advance the measure during a first hearing. If passed in a second and final vote, the fee would take effect in fiscal year 2026 and appear as a line item on electric bills. The funds would go into the city's general fund as compensation for LCEC’s use of public infrastructure like roads and sidewalks.
WATCH AS CITY COUNCIL DEBATES PLANS TO EFFECTIVELY RAISE ELECTRIC BILLS FOR RESIDENTS:
Marco Island previously imposed a 5% franchise fee on electricity, but that was reduced to zero in 2009 and has remained that way ever since.
Some council members raised concerns about the impact on full-time residents.
“I don’t want this. I’m not supportive at all,” said Councilman Stephen Gray. “Our full-time residents — I don’t want to burden them in the summer. I was a little more open if you were going to do it for six months out of the year when everybody was here and the whole place was lit up," he added.
Others, like Councilwoman Darrin Palumbo, supported the measure, arguing the cost to residents would be minimal.
“Saying somehow we're unduly burdening our citizens for somewhere between 9 extra dollars over a six-month period or maybe 90 dollars — I don’t think is realistic,” he said. "I think it's fairly spreading burden across for pennies a day," Palumbo added.
The next and final vote on the measure is scheduled for Aug. 18.