A judge has ordered Pensacola to refund $18-20 million to natural gas customers for illegal franchise fees charged since 2011 and to stop these fees immediately.
Pensacola Must Refund Up to $20 Million to Gas Customers
According to the report of WKRG News 5, a judge has ordered the City of Pensacola to refund between $18 million and $20 million to people who paid for natural gas. This decision came after a lawsuit claimed the city wrongly charged customers a fee called a “franchise fee” for using its land to deliver gas. The city must also stop charging these fees right away.
Pensacola Energy, the city’s gas service, had been adding a 6% franchise fee and a 10% public services tax to customers’ bills. The judge ruled that these extra franchise fee charges were illegal and must be refunded. However, the refunds will only cover charges from 2011 because of Florida’s four-year limit on such claims.
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Refund Process for Pensacola Gas Customers Customers to Begin – New Website and Claims System in Development
Dr. Frank’s lawyers will now set up a system to help customers get their franchise fee refunds, which might take a few months. A new website will be created to make the refund process easier, but it might be hard to find former customers who have moved. The city is being asked to ensure all eligible people get their money back.