Boonville council approves sale of electric assets to Centerpoint, conditions include undergrounding program and homeowner reimbursements

The Boonville City Council voted May 19 to approve an ordinance authorizing an asset purchase agreement with Centerpoint for the city’s remaining electric utility assets.

City legal counsel Steve Unger told the council the property appraised at about $2.6 million under an original‑cost less depreciation method and that the negotiated transaction calls for payment in seven installments of $440,000 each. Unger said the first installment is due within 10 days of executing the agreement under the current draft but that Centerpoint has asked for some timing flexibility.

Unger said Centerpoint will perform undergrounding work for specified overhead lines and remove poles near the new pool project as part of the agreement. Property owners would remain responsible for burying the service line from their home to the now‑buried overhead lines, but the city’s program would reimburse owners up to $2,000 per service line if the work is completed within a specified timeframe; city staff estimated roughly 15 service lines may be affected.

The agreement delegates to Centerpoint coordination with communications providers when third‑party attachments exist and makes clear that some poles shown in the exhibit may not be owned by Centerpoint and could be removed from the project scope.

Councilors and the city’s legal team emphasized that the transaction remains subject to review and approval by the Indiana Utility Regulatory Commission (IURC) and that a final closing could take six months to a year after filings and regulatory review. Mayor Charles Wyatt and counsel said the agreement must be finalized promptly — the existing program agreement between the city and Centerpoint was expiring — and the mayor and legal team were authorized to finalize minor, non‑material changes to the draft agreement if necessary.

Mr. Phillips, speaking for the city’s legal team during the discussion, characterized the action as putting Centerpoint on notice that the city expects the agreement to be executed by Friday or the parties would evaluate alternatives.

The council approved first reading, suspended rules for immediate second reading and adopted ordinance 2026‑8 on final reading. Councilors noted some payment‑timing language could be adjusted before final execution if the change is not material to the city’s obligations.