In addition to the City’s power to buy, construct, lease, maintain, operate and regulate public utilities, and to manufacture, distribute and sell the output of such utility operations, the City shall have such further powers as may now or hereafter be granted under the Constitution and Laws of the State of Texas.
The Council shall have the power by ordinance to grant, renew, extend and amend, by mutual agreement, all franchises of all public utilities of every character operating within the City. No franchise shall be for an indeterminate period and no franchise shall be granted for a term of more than thirty (30) years from the date of the grant and no franchise shall be exclusive.
All ordinances granting, renewing, extending or amending a public utility franchise shall be read at two (2) separate regular meetings of the Council, and shall not be finally passed until thirty (30) days after the first reading. No such ordinance shall take effect until thirty (30) days after its final passage. After the first reading and before final passage, the full text of such ordinance shall be published once each week for two (2) consecutive weeks in the official newspaper of the City, the cost of publication to be borne by proponent of the franchise.
No public utility franchise shall be transferable except with the approval of the Council expressed by ordinance. The term “transferable” as used herein shall not be construed in such a manner as to prevent the franchise holder from pledging said franchise as security for a valid debt or mortgage.
No value shall be assigned to any franchise granted by the City in fixing reasonable rates and charges for utility service within the City and in determining the just compensation to be paid by the City for public utility property which it may acquire by condemnation or otherwise.
Each grant, renewal extension or amendment of a public utility franchise, whether so provided in the ordinance or not, shall be subject to the right of the council:
(a) 
To forfeit by ordinance at any time any franchise for the failure of the holder to comply with all terms of the franchise, such power to be exercised only after notice and hearing, and a reasonable opportunity to correct the default.
(b) 
To require such expansion and extension of plant and facilities as are reasonably necessary to provide adequate service to the public.
(c) 
To establish reasonable standards of service and quality of products and prevent unjust discrimination in service or rates.
(d) 
To impose reasonable regulations to insure safe, efficient and continuous service to the public.
(e) 
To examine and audit at any time during regular business hours the records and accounts of any such utility which are relevant to the City’s right of regulation, and to require and prescribe annual and other reports, including reports on operations within the City.
(f) 
To require such compensation and rental as may be permitted by the Laws of State of Texas, including the right to establish minimum annual fees to maintain the franchise in force.
(g) 
To prescribe the form of accounts kept by each utility; provided, however, that any utility which shall keep its accounts in accordance with the uniform system of accounts for said utility prescribed by the National Association of Railroad and Public Utility Commissioners, the Federal Power Commission, the Federal Communications Commission, the Railroad Commission of Texas, their successor or successors, shall be deemed in sufficient compliance with this paragraph.
The consent of abutting and adjacent property owners shall not be required for the construction, extension, maintenance or operation of any public utility; however, nothing in this Charter or in any franchise granted thereunder shall ever be construed to deprive any such property owner of any right of action for damage or injury to his property as is now or may hereafter be provided by law.
All extension of public utilities within the City shall become a part of the aggregate property of the public utility, shall be operated as such, and shall be subject to all the obligations and reserved rights contained in this Charter and in any original grant hereafter made. The right to use and maintain any extension shall terminate with the original grant and shall be terminable at the same time and under the same conditions as the original grant.
All franchises heretofore granted are recognized as contracts between the City and the grantee. The contractual right as contained in any such franchises shall not be impaired by the provisions of this Charter, except the power of the City to exercise the right to eminent domain in the acquisition of utility property is in all things reserved. Also, the general power of the City to regulate rates, within the limitations of Section 13.11 and services of a grantee, shall include the right to require proper and adequate extension of plant and service and the maintenance of the plant and fixtures at the highest reasonable standard of efficiency. Every grant, renewal or extension of a franchise hereafter shall be subject to all the terms and conditions contained in this Article whether or not they are listed or referred to in the grant, extension or renewal. Nothing in this Article shall operate to limit in any way the discretion of the Council or the electors of the City in imposing terms and conditions as may be reasonable in connection with any franchise grant.
Accounts for each public utility owned or operated by the City shall be kept in such manner to show the true and complete financial results of such City ownership and operation. All assets and liabilities shall be appropriately subdivided by classes, depreciation reserve, other reserves and surplus. Also, revenues, operating expenses including depreciation, interest payments, rental and other disposition of annual income shall be included. The accounts shall show as nearly as possible the cost of any service furnished to, or rendered by, such utility to any City department; The Council shall have an annual report made by a Certified Public Accountant and shall publish such report showing the financial results of City ownership and operation, giving the information specified in this Section and such other data as the Council may require.
The Council shall have the full power to regulate in accordance with applicable laws of the State of Texas and the United States of America the rates of every public utility operating in the City. If no State law is applicable, the Council shall have full power to regulate by ordinance, after notice and hearing, the rates of every public utility operating in the City and shall have the right to employ expert advice and assistance in determining a reasonable rate and equitable profit to the public utility. Notice of any proposed increase in utility rates and service cost shall be given through publication of the proposal in one (1) issue of the official newspaper of the City at least ten (10) days prior to the date of the public hearing on such proposal. The notice shall state the time and place of the hearing, the name of the proponent and a comparison of the existing schedule of rates and charges with the proposed schedule, the cost of the notice to be paid by the proponent. The Council shall have the renewal thereof, or as a condition precedent to any hearing concerning rates and service of any public utility operating within the City, that the proponent seeking the rate or service change pay the reasonable cost of the service of a rate consultant chosen by the Council. No notice need be given nor public hearing held where the change in rates or service charges is solely one of reduction.
The Council shall have the authority to sell and distribute water, and to sell and provide for sewer services, and any other utilities and services to customers outside the limits of the City of Atlanta under such terms, conditions, and charges as determined by the Council.