Eversheds Sutherland Coop Law Blog
content top

Nevada Coop Approves Award of Patronage Capital

Valley Electric Association (VEA) members voted on Saturday in favor of a bylaw change that will allow half of the coop’s patronage capital to be paid out to current members. VEA’s current bylaw policy disburses patronage capital on a first-in, first-out payment system. Last year, the VEA board approved the payment of $2.14 million in patronage capital to previous members – all those who were members in 1990 and 21 percent of those who were members in 1991. That was after VEA realized a net margin of $2.7 million in 2010, which it considered a profit. The patronage capital is based on...
Continue Reading

Proposed Net Metering Amendment Controversial in Minnesota

A proposed amendment to Minnesota’s net metering law would allow utilities to pay wholesale, rather than retail, rates to small power generators producing less than 40 kilowatts. Many rural coops argue that the state’s current law forces other customers to subsidize the coops’ small generator customers and with significant rate implications. Opponents to the proposed amendment are concerned that a change to wholesale rates would stall or even deter customers from participating in renewable energy projects. Click here for more.
Continue Reading

Changes on the Horizon for the Nation’s Largest Coop

Two seats are up for grabs on the Pedernales Electric Cooperative Board of Directors, and six candidates are vying for the board positions.  Over the next few weeks, coop members will review annual board election procedures in addition to voting for candidates.  Also on the ballot is a referendum to determine whether an at-large electoral system should continue or a district-based process should be adopted.  The Austin American-Statesman has the full story.
Continue Reading

New Mexico Coop Board Seeks Dismissal of Recall Petition

An April 29 petition calling for the replacement of all but two members of the Kit Carson Electric Cooperative Board of Trustees faces dismissal after the Board filed a formal motion requesting a judge throw out the recall effort. The Board alleges the petition was signed under false pretenses by many of the signatories who believed it was a petition to prevent rate increases. Read the full story.
Continue Reading

Alabama Coop Makes Progress Restoring Power to Customers

According to The Daily Sentinel, Sand Mountain Electric Cooperative has been able to restore power to around 5,000 of its customers.   The coop continues to work with crews from around southeast to restore power for 2,300 more customers, but efforts may take up to five days.
Continue Reading

Cooperative Among Participants at Congressional Hearing on the Future of Hydropower Generation

The House Natural Resources Subcommittee on Water and Power held a hearing Wednesday to discuss the legal and regulatory barriers to increased hydropower generation. Consumers Power, Inc., an Oregon cooperative, was among the participants and noted concerns about overgeneration related to the rapid increase of wind being generated in the region. For CPI’s complete testimony, click here. The hearing’s press release provides additional information regarding the event.
Continue Reading

Old Dominion Introduces AC Cycling Program

Beginning in 2012, Old Dominion Electric Cooperative (Old Dominion) will offer an air-conditioner cycling pilot program to its 11 members in an effort to promote and manage demand-response activities. The project will run through May 2015 and provide incentive payments to participants during times of peak demand, at which time Old Dominion will cycle the customers’ air-conditioners. Read more.
Continue Reading

Petition to Recall a New Mexico Coop’s Board Members Filed

On April 29, members of the Kit Carson Electric Cooperative filed a petition to replace 9 of the 11 trustees sitting on the coop’s board, charging, among other things, “breach of fiduciary duty.” Opponents to the petition argue that some signatories were unaware of what they were endorsing. The Taos News has the full story.
Continue Reading

North Dakota, Montana Join Much of the Country in Struggle With Weather-Related Power Outages

Rural towns in Montana and North Dakota are expected to be left in the dark for weeks after an outage that started around midnight on Friday, according to Montana-Dakota Utilities. Utilities in the area, including several coops such as Mountrail-Williams Electric, have been working at a furious pace to keep up with the downed transmission lines caused by storms. More on the costs and efforts associated with these outages here.
Continue Reading

Local Commission Clarifies Coop Confidentiality Rules

According to an order issued by the New Mexico Public Regulation Commission, New Mexico’s Kit Carson Electric Cooperative can seek the protection of a confidentiality agreement with any entity seeking to review its records during the coop’s ongoing rate case. In the order issued last week, the Public Records Commission agreed that these records may contain commercially sensitive information and that even the coop’s members must sign confidentiality agreements. The Commission found that even in light of a New Mexico Supreme Court decision that coop members are entitled to review coop records...
Continue Reading

Summary Judgment Rejected in Coop Meeting Access Lawsuit

A judge rejected motions for summary judgment filed by both sides in a pending lawsuit filed by the Billings Gazette to make the meetings of Southern Montana Electric Cooperative open to the public and media. The judge found that there were outstanding issues of material fact, so summary judgment would be improper. The coop has allowed one reporter from the Billings Gazette to attend its meetings during the pendency of the suit. The Billings Gazette carries this story.
Continue Reading

New Campaign Finance Law Could Affect Georgia Coops

The Georgia Legislature has sent Senate Bill 160 to the state’s governor for consideration. The bill changes the state’s campaign finance laws by allowing public utility corporations to make contributions to political campaigns. Electric membership corporations, however, are still prohibited from making any contributions to political campaigns. Despite this restriction, the bill makes it clear that electric membership corporations may establish political action committees for the purpose of engaging in state political campaigns. See the full text of the proposed legislation...
Continue Reading

Coop Teams Up With Refuge to Supply Solar Power

Dairyland Power Cooperative and one of its 25 member cooperatives, Oakdale Electric Cooperative, are collaborating with the Necedah National Wildlife Refuge to bring renewable energy to local homes and businesses via a solar project on the refuge’s Visitor Center, which was funded through the American Recovery and Reinvestment Act. Dairyland has a power purchase agreement with the Necedah Refuge to buy all the renewable energy produced through the solar installation for distribution to coop members through Dairyland’s Evergreen program. Read more about the program here.
Continue Reading

Several Utilities Suing Tribal Group Over Power Line Access

Five utilities, including Minnkota Power Cooperative of Grand Forks, North Dakota, have filed a lawsuit in federal court arguing that the Leech Lake Band of Ojibwe has no authority to stand in the way of a high-voltage power line that would cross the band’s Minnesota reservation. The five coops are part of a joint initiative of 11 utilities called CapX 2020 that are supporting five high-voltage transmission projects throughout the state worth a total of $1.7 billion. The Leech Lake Band, which is appealing state approval of the 70-mile power line, maintains it retains inherent rights...
Continue Reading