City requests reconsideration of state commission ruling on acquisition process for possible local electric utility

The City of Boulder this afternoon asked the Colorado Public Utilities Commission (PUC) to reconsider an Oct. 29 decision that would delay the city’s efforts to acquire Xcel Energy’s equipment and facilities for the purpose of creating a local electric utility.

The application for rehearing makes clear that Boulder concurs with many of the findings the PUC made on Oct. 29. The city remains 100 percent committed, for example, to working with the PUC on issues that are within the Commission’s jurisdiction and making sure that Boulder’s efforts do not negatively impact service or reliability for Xcel’s remaining customers.

Modern electric turbine

Modern electric turbine

However, there are some issues with which the city does not agree. In its filing today, the city asserts that the Commission transcended the questions it was asked to consider and issued an overly broad ruling that overlooked the powers granted to the city by the constitution.  More specifically, the city argues that there are practical and legal reasons for the Commission to reconsider its conclusion that it has the authority to decide what assets Boulder can acquire. The city also explains more fully why it would be premature for the Commission to evaluate any transition plans until a condemnation proceeding has been initiated and discovery has been completed by the city.

“Boulder has no objection to, and in fact is eager to work with Commission staff to prepare the various plans necessary to make Boulder’s acquisition of the Public Service (Xcel) system that serves Boulder as cost-effective as possible, and to ensure that the electric system, both inside and outside of Boulder, is at least as safe and reliable as the current Public Service system,” Senior Assistant City Attorney Deb Kalish said in the filing. “However, Boulder has the constitutional and statutory right to determine which assets it will acquire and the timing of any condemnation action that may be filed.”

Heather Bailey, the city’s executive director for Energy Strategy and Electric Utility Development, said Monday that the PUC’s ruling with regard to these questions could have important implications.

“Boulder voters on Nov. 5 reaffirmed their desire to move forward with the creation of a local electric utility, provided that certain conditions can be met,” Bailey said. “Determining the order of the required proceedings – and the scope of authority for each deciding body – is essential to charting out both the timeline and necessary work plan for moving forward. We are hopeful that the PUC will consider the city’s arguments and help us gain clarity around these questions in a way that is consistent with Colorado law. We look forward to working with PUC staff and commissioners to address any concerns they have.”

The complete filing is attached to this press release.

–CITY–