Dynamic Calculators Included in Recent FERC Exceptions Filing

Brighton, CO - United Power has filed two exit fee calculators in conjunction with its response to the Federal Energy Regulatory Commission (FERC) initial decision by Administrative Law Judge Renee Terry. These calculators may be used to assist FERC and others as they evaluate the impact of (1) United Power’s proposed balance sheet approach (BSA) incorporating the most recent available data and (2) certain modifications to the BSA proposed by FERC trial staff and adopted by the initial decision. 

The tools allow all 42 utility members to assess their exit fees from Tri-State Generation and Transmission Association (Tri-State) under (1) United Power’s as-filed BSA (“Appendix A”) and (2) the BSA implementing certain adjustments adopted in the initial decision (“Appendix B”). Working copies of the calculator tools, definitions, and descriptions can be found at www.unitedpower.com/powersupply.

The Appendix B fees are modeled based on FERC staff’s exemplary calculations previewed during the hearing process that were adopted in the initial decision, as well as publicly available data, such as Tri-State’s annual financial reports. Each of the 42 utility members can enter a desired departure date and select variables implementing the exit options available under the initial decision. The Appendix B model also calculates alternatives proposed by United Power in its concurrently filed exceptions brief (e.g., a principled 10-year revenue averaging option and transmission revenue adjustment that United Power describes in the brief). These alternatives improve upon the calculations reflecting the initial decision’s overarching principle that the exit fees should be based on the net costs Tri-State incurred to serve the exiting member.     

“We appreciate the hard work by FERC staff in proposing solutions for departure from our power supplier that are in most respects aligned with what United Power has consistently advocated as a fair outcome,” said Mark A. Gabriel, President and CEO of United Power. “By following United Power’s balance sheet approach, everyone can calculate their actual cost to depart. This is critical for future planning for our current power supplier and its utility members. Though the initial decision modifications present implementation questions and other obstacles that we challenge in our exceptions brief, we believe the decision’s principles chart a course toward members’ fair transition to competitive supply and open access.”

United Power has formally indicated its departure from Tri-State, effective May 1, 2024. Learn more about United Power’s departure plan at www.unitedpower.com/powersupply.

About United Power

United Power is a member-owned, not-for-profit electric cooperative, delivering electricity to homes, farms, and businesses throughout Colorado’s northern front range. The cooperative is one of the fastest-growing electric co-ops in the nation, and in June 2021 joined the elite ranks of cooperatives serving more than 100,000 meters. The 900-square mile service territory extends from the mountains of Coal Creek and Golden Gate Canyon, along the I-25 corridor and Carbon Valley region, to the farmlands of Brighton, Hudson, and Keenesburg. United Power is also a founding member of the NextGen Cooperative Alliance, which is dedicated to expanding the power supply and procurement options available to distribution co-ops and reforming the traditional generation and transmission business model. For more information about United Power, visit www.unitedpower.com or follow them on Facebook, Twitter, LinkedIn, YouTube, and Instagram.

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Historic Hotline School Faces Relocation Due to Commercial Development

Brighton, CO – United Power’s Board of Directors approved a $20,000 contribution to the Mesa Hotline School’s relocation fund at its regular meeting in August. Mesa Hotline School provides training and education to lineworkers at cooperatives, municipal electric utilities, and even investor-owned utilities like Xcel Energy. The school learned it must find a new site for its campus due to commercial development at its existing location. The cooperative’s contribution will help the school meet approximately 20% of its relocation costs. 

The Mesa Hotline School was formed in the 1960s at Mesa College following an inquiry from two cooperatives located on Colorado’s Western Slope, Empire Electric and Yampa Valley. Fast-growing local cooperatives needed a state-of-the-art facility that could provide the right kind of training and education for their lineworkers. The school enrolled its first class of 59 students in 1966. In the half century since, membership has grown from 15 members to nearly 80, representing electric utilities of all sizes throughout the country. In 2022, more than 100 instructors and volunteers helped provide training to approximately 600 lineworkers enrolled in the school’s various programs. 

“The Mesa Hotline School has had a mutually beneficial relationship with United Power for many years,” said Brent Sydow, United Power’s Vice President of Operations. “Working foremen from United Power have invested hundreds of hours at the school teaching courses to both young and experienced lineworkers, and our lineworkers and apprentices have received the highest level of training through the school’s programs and course selections.”

Courses include underground and overhead equipment training, high tension stringing, and simulated high voltage training. Industry vendors also conduct training classes to showcase the latest tools and technology. Additionally, United Power utilizes the school’s educational materials to help progress its apprentice lineworkers toward qualification for the journeyman certification. 

When the school received its notice about finding a new location, it began soliciting members for assistance. The relocation costs include site development, facility materials, training equipment, and more. The Mesa Hotline School launched a fundraising campaign this summer with the goal of raising $100,000 in preparation for its next class in May 2023. For more information about the hotline school, go to www.mesahotlineschool.com. 

United Power is a member-owned, not-for-profit electric cooperative, delivering electricity to homes, farms and businesses throughout Colorado’s northern front range. The cooperative is one of the fastest-growing electric cooperatives in the nation, and in June 2021 joined the elite ranks of cooperatives serving more than 100,000 meters. The 900-square mile service territory extends from the mountains of Coal Creek and Golden Gate Canyon, along the I-25 corridor and Carbon Valley region, to the farmlands of Brighton, Hudson, and Keenesburg. United Power is also a founding member of the NextGen Cooperative Alliance, which is dedicated to expanding the power supply and procurement options available to distribution co-ops and reforming the traditional generation and transmission business model. For more information about United Power, visit www.unitedpower.com or follow the cooperative on Facebook, Twitter, LinkedIn, YouTube, and Instagram.

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Commitment to Community Continues to Guide Cooperative Through Industry Changes

This October, United Power invites our members to join us in honoring National Co-op Month, a celebration of the commitment cooperatives have for their communities and their members. Cooperatives provide many of the same products and services you can get from for-profit businesses, but for uniquely different reasons. They were established as an extension of the local community to spur growth and development while also providing critical services necessary for a thriving city. It was the foundational commitment to community that fueled our founders to establish United Power and deliver the life-changing benefits of power to small rural areas northeast of Denver when larger investor-owned utilities would not. It guided our strategy in our infancy and continues to guide us as the electric industry enters an unprecedented period of change. 

This was never more evident than when we debuted Our Cooperative Roadmap (Roadmap)earlier this year. The Roadmap is a detailed action plan to respond to industry changes and modifications in energy usage as electrification becomes an even more essential societal fixture. It identifies four distinct but dependent priority areas the cooperative is addressing to maximize member benefit as technology evolves and the energy fuel mix shifts to more renewable resources. This includes the decision to exit our wholesale power supply contract, which becomes effective in May 2024, and will allow United Power to offer members more competitive rate options. More information on the Roadmap here. 

United Power has launched new program initiatives this year to acknowledge the changing energy needs of both the cooperative and our members. The redesigned summer cooling program, Smart Rewards, allows members to earn money back for enrolling in a demand response and control plan that helps us control costs which are then passed back on to the member. The cooperative also launched an all-new electric vehicle pilot program, United EV, which provides at-home charging solutions and wiring rebates for a small monthly fee. This includes the installation of a level 2 charger and all unit maintenance for the duration of your enrollment. For more information on United EV, click here. 

Although the cooperative continues to roll out new member programs, it hasn’t strayed from its roots as a proud supporter of local communities. United Power distributed more than $20,000 in scholarships to graduating seniors this year and sent two qualifying students for a weeklong leadership training experience in Washington D.C., known as the Electric Cooperative Youth Tour. We were also the presenting sponsor of the Adams County Fair in August and have sponsored well over two dozen other community fairs, festivals, parades, and other local events. We are committed to providing educational opportunities, like our safety trailer demonstration, and have many employees serving on local boards and councils. 

Cooperatives exist for you, our members, and to empower each city and town’s unique vision for their community. It is the cooperative way.