Cleveland council reportedly backs Dry Valley eminent-domain effort

Cleveland City Council reportedly approved support for Cleveland Utilities’ effort to use eminent domain to acquire Volunteer Energy Cooperative facilities and electric service rights on two parcels along Dry Valley Road.

The action was considered during a special-called council meeting on Friday, July 24, 2026, at the Cleveland Municipal Building. The city’s meeting agenda identified the measure as Resolution 2026-64 and described the proposed acquisition as involving VEC electric utility facilities and service rights within Cleveland city limits.

What the resolution concerns

The resolution supports Cleveland Utilities Authority’s exercise of eminent-domain powers in the name of the City of Cleveland. The city’s meeting notice and agenda confirm that the matter was scheduled for consideration, but they do not establish the vote’s outcome. Mix 104.1 reported July 27 that the council approved the action.

The City of Cleveland’s Cleveland Utilities page says the utility board may exercise eminent-domain rights in the city’s name with City Council consent. The page also describes the utility’s responsibility for operating, extending and servicing Cleveland’s electric distribution system.

Why Cleveland Utilities is pursuing the action

According to the Mix 104.1 report, Cleveland Utilities says the action is needed to provide electric service to property that has been annexed into Cleveland. The dispute involves who should provide service and control the related facilities and service rights on the two Dry Valley Road parcels.

VEC disagrees with Cleveland Utilities’ interpretation of Tennessee law, Mix 104.1 reported. The report said the disagreement could ultimately be decided by the courts. No court filing or ruling was identified in the available sources.

Potential cost and customer impact

If the transfer moves forward, Mix 104.1 reported that state law may require Cleveland Utilities to compensate VEC for the value of the facilities and 10 years of projected revenue from affected customers. The amount, valuation process and payment timing have not been established in the available records.

For residents and property owners near Dry Valley Road, the immediate issue is not a confirmed change in electric service. The council’s reported action supports Cleveland Utilities’ legal strategy, but it does not show that the facilities have already changed hands or that Cleveland Utilities has begun serving the parcels.

What to watch next

The next steps could include execution or filing of the resolution, a legal action or court ruling, valuation and compensation proceedings, and additional announcements from Cleveland Utilities or VEC. Any change in electric-service responsibility could also affect future customers and development plans tied to the affected property, although the available records do not identify a specific development project.

The Cleveland Utilities board-minutes archive lists a July 24, 2026 agenda but does not yet show approved minutes for that meeting. Until a signed resolution, approved council record or court document becomes available, the reported approval should be treated separately from the official agenda, which confirms that Resolution 2026-64 was scheduled for consideration.

Sources

• Cleveland City Council July 24, 2026 Special-Called Session Agenda
• Mix 104.1 report on the Cleveland City Council vote