Indiana Code

Ind. Code § 8-1-2-86 (2026)

Second utility serving same area; declaration of public convenience and necessity

✓ current as of May 2026

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Sec. 86. (a) No license, permit, or franchise shall be granted to any person, copartnership, or corporation to own, operate, manage, or control any plant or equipment of any public utility in any municipality where there is in operation a public utility engaged in similar service under a license, franchise, or permit without first securing from the commission a declaration, after a public hearing, of all parties interested, that public convenience and necessity require such second public utility; provided, that any municipality may purchase, condemn, and operate, or construct and operate, a utility in such municipality for the purpose of transportation, production, transmission, delivery, sale, and furnishing of heat, light, water, and/or power to such municipality, and/or the public in and within six (6) miles of the limits of such municipality, without the consent of said commission, although there is operating in said municipality a public utility engaged in a similar service under a license, franchise, or indeterminate permit.

(b) Any permit, license, or franchise in existence on May 1, 1913, which shall contain any term whatsoever interfering with the existence of a second public utility is hereby declared to be against public policy and is hereby amended in such manner as to permit a municipality to grant a license, franchise, or permit for the operation of such second public utility pursuant to the provisions of this chapter.

Formerly: Acts 1913, c.76, s.97; Acts 1933, c.190, s.9. As amended by P.L.59-1984, SEC.38.

Notes of Decisions

Cited in 3 cases, 1978–1994 · leading case: Watson Rural Water Co. Inc. v. Ind. Cities Water Corp., 540 N.E.2d 131 (Ind. Ct. App. 1989).

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Watson Rural Water Co. Inc. v. Ind. Cities Water Corp., 540 N.E.2d 131 (Ind. Ct. App. 1989). · cites it 4× “Clearly, the provisions of I.C. § 8-1-2-86(a) cloak the Commission with the jurisdiction to decide issues bearing upon the propriety of granting Watson a certificate under such circumstances.”

Indiana & Michigan Elec. Co. v. City of Anderson, 376 N.E.2d 114 (Ind. Ct. App. 1978). · cites it 2× “First, that the *414 lánguage of Ind. Code 8-1-2-86 limits its operation to a situation not present here.”

Csl Utils., Inc. & Csl Cmty. Ass'n, Inc. v. Jennings Water, Inc., 16 F.3d 130 (7th Cir. 1994). “), and that the Indiana Utility Regulatory Commission must issue certificates of construction to CSL authorizing the new facilities, see Ind. Code § 8-1-2-86 (1988). According to Jennings, the granting of these permits and certificates amounts to the “granting of a franchise.”

— Ind. Code § 8-1-2-86(a) — 1 case

Watson Rural Water Co. Inc. v. Ind. Cities Water Corp., 540 N.E.2d 131 (Ind. Ct. App. 1989). “Clearly, the provisions of I.C. § 8-1-2-86(a) cloak the Commission with the jurisdiction to decide issues bearing upon the propriety of granting Watson a certificate under such circumstances.”

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.