UNITED POWER TO MOVE FORWARD WITH LAWSUIT AGAINST POWER SUPPLIER
Brighton, CO - Yesterday the Colorado Public Utilities Commission (CoPUC) dismissed without prejudice United Power and La Plata Electric’s complaint against Tri-State. The Commission acknowledged that the decision on whether Tri-State lawfully admitted the three non-utility partners, an action that allowed them to claim that the Federal Energy Regulatory Commission (FERC) had exclusive jurisdiction over their rates, was a corporate law matter and should be decided by the courts. In May United Power filed a case against Tri-State in Adams County courts asserting that Tri-State fraudulently induced United Power to champion a 2019 Bylaw amendment to permit partial requirement membership. The admission of three non-utility members allowed Tri-State to apply for oversight with FERC, effectively setting aside the months of work by the CoPUC and suspending the administrative law judge’s ruling that favored a buyout methodology developed by United Power.
“We know the PUC was put in an awkward position of having to rule on a corporate law decision,” stated interim CEO, Bryant Robbins. “We greatly appreciate the hard work of both the Commission and their staff. The need of having the District Court hear the case was not unexpected. We will continue to move forward in our efforts to lower the rates of the 97,000 meters that we serve.”
In November of 2019, United Power filed a complaint with the Colorado Public Utilities Commission (PUC) seeking a fair buyout charge. This summer, United Power received a favorable ruling from the Administrative Law Judge (ALJ) assigned by the PUC to hear the case. Then on August 28th, FERC reversed an earlier decision and determined they have sole jurisdiction over the exit fee matter, even while acknowledging that they have not determined that Tri-State’s proposed methodology represented a “just, reasonable and nondiscriminatory exit charge”.
“While we are disappointed that the commission is unable to rule on this issue, we believe our case in Adams County will show that the non-utility members were unlawfully added according to both State Statutes and their own bylaws,” stated Robbins.
United Power is a member-owned, not-for-profit electric cooperative delivering electricity to nearly 97,000 meters at homes, business, and farms in Colorado's north central front range. For more information about the cooperative, visit www.unitedpower.com or follow them on social media at facebook.com/unitedpower or twitter.com/unitedpowercoop.