Eversheds Sutherland Coop Law Blog
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Montana County Sues Over Fire Allegedly Caused by Coop

Seeking to recover over $600,000, Stillwater County, Montana, has brought suit against Beartooth Electric Cooperative for recovery of the county’s fire related costs. The negligence claim is based on the coop’s alleged failure to properly maintain its transmission lines. The Billings Gazette has more.
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No Climate Change Tax Break for South Dakota Coops

Due to the structure of South Dakota’s tax system, coops are concerned that they will be taxed on the costs of the upgrades that may be required by climate change laws.  South Dakota legislators voted against a measure that would have provided for an exemption for such upgrades.  Aberdeen News has the full story.
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Governor’s Support of Vermont Electric Cooperative’s Wind Project Leads to Protests

Peter Shumlin, Vermont’s new governor, announced his support for the $150 million wind project several weeks ago, but opponents continue to argue that the project’s benefits do not outweigh its environmental costs.  On the other hand, supporters argue that the project will provide tax relief and clean power for 20,000 homes.  See Bloomberg for more on this story.
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New Hampshire Electric Cooperative Chooses Smart Meter Provider

New Hampshire Electric Cooperative, the largest public cooperative utility in New England, has chosen Elster EnergyAxis® Smart Grid technology for its upcoming smart grid project. It plans to install more than 84,000 smart meters through the end of 2012. PR Newswire has the full story.
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Georgia Legislature Proposes Law That Would Require Open Board Meetings

According to the Atlanta Journal-Constitution, a bill was introduced to the Georgia House of Representatives that would require cooperatives to open their board meetings to the public.  Two of the bill’s sponsors represent counties served by Cobb EMC, the coop whose CEO was recently indicted on racketeering and theft charges.
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Basin Electric Power Cooperative Rating Downgraded by Fitch

Fitch Ratings downgraded Basin Electric Power Cooperative to ‘A+/F1’; Outlook Stable based in part on declining profits from its subsidiary, Dakota Gasification Company.  Although Basin continues to show strength in many areas, Fitch expects that Basin’s board will vote to increase rates to stabilize its financial condition.  See Business Wire for more. 
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Montana Senate Votes to Block City From Converting Its Utility to a Cooperative

Electric City Power, the electric utility serving the City of Great Falls, Montana, has been operating at a loss, and the city is looking for a way to get out of the electricity business.  The city is considering a solution that involves converting Electric City Power to a cooperative, but if the bill passed by the Montana Senate becomes law, the city will have to consider other options.  The Great Falls Tribune has the full story. 
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New CEO Named at Pedernales Electric Cooperative

The Austin Business Journal reported today that R.B. Sloan Jr. was named as the new CEO of Pedernales Electric Cooperative.  Sloan hails from Virginia where he served as a utilities director for the City of Danville.  Sloan is the fourth person to serve as CEO of the troubled coop since 2008 when General Manager Bennie Fuelberg resigned. 
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Coop’s Fuel & Compliance Manager Speaks to House Subcommittee on Coal Combustion Residue Regulation

Leonard Hopkins of  Southern Illinois Power Cooperative spoke to a House subcommittee regarding the beneficial uses that the coop has found for its coal combustion byproducts.   Mr. Hopkins is concerned that labeling coal combustion residue as hazardous will undermine the coop’s practice of recycling the residue for use in products like cement and fertilizer blends.   The NRECA has a copy of Mr. Hopkins testimony.
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Conflict at Jemez Mountains Electric Cooperative Over Bill at Hooters Restaurant

In the past, the Jemez Mountains Board of Trustees has criticized General Manager Wayne Sowell’s handling of internal audits and the decision to use outside legal contractors.  The Board of Trustee’s most recent complaint relates to a bill from a business dinner at a Hooters restaurant.  Some board members view the expense as an imprudent use of the coop’s funds.  The Rio Grande Sun has the full story.
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USDA Announces $204 Million Loan Guarantee for PrairieWinds SD 1 Project

Basin Electric Power Cooperative is to receive a guarantee of 60% of its $340 million dollar PrairieWinds SD 1 project from the USDA’s Rural Utilities Service.   For details see the US Department of Energy’s EERE News.
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Arkansas Supreme Court Dismissed Capital Credit Suit for Lack of Jurisdiction

The court ruled that the Public Service Commissions has exclusive jurisdiction over coops’ capital credit practices. This ruling benefits cooperatives because it is usually harder for plaintiffs’ lawyers to recover large fees before a state’s utility commission. See Electric Co-op Today for more on this story.
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Documentary to Investigate Carroll Electric Cooperative Corporation’s Use of Herbicides Near Transmission Lines

According to the Arkansas Times, local filmmakers are taking aim at Carroll Electric’s use of herbicides, which critics claim poses a threat to local crops and water supplies.  The film also highlights the corporate governance issues involved in how the coop makes decisions about its herbicide use.
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National Action Plan Coalition Case Study Showcases the PowerCentsDC Smart Grid Program

The National Action Plan Coalition was formed to implement DOE and FERC’s National Action Plan on Demand Response and Smart Grid.   PRNewswire has the story on how this broad-based coalition of stakeholders worked together to successfully implement a smart grid program in the District of Columbia.
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