United Power Files Complaint Against Tri-State In District Court Alleging They Violated Their Bylaws and State Statute to Admit Non-Utility Members
Brighton, CO – Today United Power filed a complaint in Adams County District Court, alleging that Tri-State Generation and Transmission violated Colorado State Statutes and their own Articles of Incorporation and bylaws to add a greenhouse, a cattle ranch, and a natural gas supplier to their membership. The addition of these non-utility entities allowed the power cooperative to seek oversight from the Federal Energy Regulatory Commission (FERC), temporarily suspending a year-long effort by United Power to establish a reasonable buyout cost to leave the cooperative. United Power has been battling their power supplier to receive a buyout number with the goal of providing lower cost power to its membership.
“It is our belief that a favorable ruling in District Court would force FERC to reconsider their decision to allow Tri-State to be FERC jurisdictional,” stated Bryant Robbins, acting CEO at United Power. “This would allow the Colorado Public Utilities Commission (CoPUC) to affirm the decision of Administrative Law Judge Robert Garvey who, on July 10, 2020, ruled that Tri-State had discriminated against United Power and adopted United Power’s approach for calculating a fair, reasonable, and non-discriminatory exit fee.”
Tri-State’s questionable legal maneuvers opened the door for it to bypass the CoPUC and brought the organization under regulation from FERC. Tri-State is anticipating that the move will allow it to avoid the buyout methodology that was initially accepted by the CoPUC. In a hearing last month, the CoPUC found that it did not have jurisdiction to decide whether Tri-State’s corporate maneuvers were legal, but it invited United Power to return once the issue had been decided.
“This announcement should come as no surprise to anyone, especially Tri-State. This filing and subsequent ruling should determine, once and for all, whether Tri-State is lawfully FERC regulated. We feel strongly that it will be determined that they are not,” stated Robbins. “It is our hope that the District Court will recognize the importance of a quick decision on this matter. We also remain hopeful that ongoing discussions with Tri-State on possible solutions to our issues will be productive.”
United Power is a member-owned, not-for-profit electric cooperative delivering electricity to more than 95,000 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.
###