Christopher Franklin
Director at CNP
Board
About Christopher H. Franklin
Christopher H. Franklin, age 59, is an independent director of CenterPoint Energy, serving since 2022. He is Chairman, Chief Executive Officer, and President of Essential Utilities, Inc., bringing over three decades of regulated utility operating experience, and currently chairs CNP’s Safety and Operations Committee while serving on the Audit and Governance Committees . He holds a B.S. from West Chester University and an MBA from Villanova University .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Essential Utilities, Inc. | Chairman, CEO & President; prior roles since 1992 | 2015–Present; service since 1992 | Led regulated water, wastewater, and natural gas operations; utility operations, customer experience, and safety oversight |
| ITC Holdings | Director | 2011–2016 | Oversight of transmission-focused utility operations |
External Roles
| Organization | Role | Tenure | Notes |
|---|---|---|---|
| Essential Utilities, Inc. | Chairman | 2015–Present | Public company board leadership |
| University of Pennsylvania | Board of Trustees | 2015–Present | Non-profit governance |
| Franklin Institute of Philadelphia | Board | 2017–Present | Non-profit governance |
| Independence Blue Cross | Board | 2024–Present | Large health insurer board experience; cybersecurity and strategy relevance |
Board Governance
- Committee assignments: Safety & Operations (Chair), Audit, and Governance .
- Committee activity: In 2024, Audit (8 meetings), Human Capital & Compensation (4), Governance (11), Safety & Operations (3) .
- Independence: Board determined Mr. Franklin is independent under NYSE listing standards and CNP’s categorical standards .
- Attendance: In 2024 the Board met 13 times; each incumbent director attended more than 75% of Board and committee meetings .
- Governance structure: Independent Chair model; regular executive sessions of independent directors at each regular Board meeting .
Fixed Compensation
| Component | Amount | Notes |
|---|---|---|
| Annual cash retainer | $125,000 | Standard non-employee director retainer |
| Committee chair supplemental (Safety & Operations) | $15,000 | Safety & Operations Chair supplement |
| Audit Committee Chair (not applicable to Franklin) | $20,000 | Program detail; Duganier is Audit Chair |
| Governance Committee Chair (not applicable to Franklin) | $15,000 | Program detail |
| Independent Chair supplemental (not applicable to Franklin) | $185,000 | Program detail |
| Franklin – 2024 Director Compensation | $ |
|---|---|
| Fees earned or paid in cash | 135,220 |
| Stock awards (grant-date fair value) | 170,000 |
| Other compensation (charitable matching) | 50,000 |
| Total | 355,220 |
Performance Compensation
| Equity Award | Grant Date | Shares | Grant-Date Fair Value | Vesting | Plan Mechanics |
|---|---|---|---|---|---|
| Annual stock award (Outside Directors Plan) | May 1, 2024 | 5,798 | $170,000 | Immediately fully vested upon grant | Value set annually; shares by dividing cash value by FMV on grant date |
No performance metrics apply to director equity grants; awards under the Outside Directors Plan are time-based and vest immediately upon grant .
Other Directorships & Interlocks
| Company | Relationship to CNP | Potential Interlock/Conflict Considerations |
|---|---|---|
| Essential Utilities (water/wastewater/natural gas) | Unrelated utility segment; not a direct CNP supplier/customer | Board deemed Franklin independent; no related-party transactions in 2024 |
| Independence Blue Cross; University of Pennsylvania; Franklin Institute | Non-profit/health insurer | Governance Committee reviews conflicts; none reported for 2024 |
Expertise & Qualifications
- Utility industry, operations, and safety leadership; customer experience technology insights from CEO role at a public utility .
- Finance and accounting oversight via public company governance roles; risk management experience .
- Strategic planning in regulated environments; governance and committee leadership (Safety & Operations Chair) .
Equity Ownership
| Item | Value |
|---|---|
| Beneficial ownership (as of Feb 28, 2025) | 16,468 shares |
| Ownership % of outstanding | <1% |
| Director stock ownership guideline | ≥5x annual cash retainer (i.e., ≥$625,000 of stock value); 5-year compliance window for new directors |
| Hedging/pledging | Prohibited under Insider Trading Policy |
Insider Trades
| Date | Type | Shares | Price | Source |
|---|---|---|---|---|
| May 1, 2025 | Acquisition (director stock award) | 4,534 | $0.00 |
Governance Assessment
- Board effectiveness: Franklin’s chairmanship of the newly formed Safety & Operations Committee (established April 2024) aligns oversight with CNP’s GHRI and Systemwide Resiliency Plan, strengthening board focus on safety, reliability, emergency preparedness, and operations—critical for investor confidence in a capital-intensive, regulated utility .
- Independence and conflicts: Explicit Board determination of independence and absence of related-party transactions in 2024 reduce conflict risk; Governance Committee policies require proactive disclosure and recusal where appropriate .
- Engagement and attendance: Board/committee cadence and >75% attendance threshold met by incumbents in 2024, supporting robust oversight; regular executive sessions reinforce independent director influence .
- Director pay alignment: Cash retainer ($125k) plus equity award ($170k, immediately vested) is consistent with peer-aligned director programs; equity enhances alignment but immediate vesting reduces performance linkage, which is typical for director compensation and not a red flag at utilities .
- Signals: Strong shareholder say-on-pay support (93.4% in 2024) and formalized clawback, anti-hedging/pledging, and ownership guidelines indicate governance discipline; while these pertain to executives, they reflect board oversight quality .
RED FLAGS: None disclosed specific to Franklin. No pledging or related-party transactions; independence affirmed. The director equity grants are time-based (not performance-linked), but this is standard for directors and balanced by stock ownership guidelines and anti-hedging/pledging policies .