Press "Enter" to skip to content

RPS Purchase Power Agreement Update

By Marty Mayfield

KRTN Multi-Media

 

The Raton City Commission and RPS board took part in a special joint board meeting on February 12thto discuss the purchase power agreement and take action on a couple of proposals.

In that special meeting RPS and the City Commission approved the request to Twin Eagle asking for their approval to assign Raton’s position on the purchase power contract to Guzman. RPS must receive approval from Twin Eagle for Guzman to assume that position on the contract. Twin Eagle did not give their consent for Guzman to take over Raton’s position on the contract, so Raton remains on the contract at this time.

Also, during that meeting the board and commissioners postponed the approval of the consent and assignment of the Twin Eagle portion of the contract to Excel Energy. The reason for the postponement was due to language within the consent that the City and RPS did not agree with.  According to Board President Kathy McQuery the following reasons are;

  1. Relief for Twin Eagle in any responsibility or liability following consent by City… at no recourse for harm to City
  2. The acknowledgment that City / RPS had no unresolved disputes….at which RPS has expressed on numerous occasions such as running time of local generation / proposed buyout of contract / rate relief.

The two boards authorized Council (Stelzner, Winter, Warburton, Flores, Sanchez & Dawes PA) to enter into and take appropriate action to prosecute or defend legal action against Twin Eagle in regards to the Consent Assignments.

With that authorization and following discussion with Twin Eagle; Council took the following action on…

 

February 15, 2019         City of Raton vs Twin Eagle Resource LLC

Filed with the 8thJudicial District Count

Complaint for Breach of Contract, Declaratory Judgment, and  

                                                Intentional Interference with Contract

            February 21, 2019         Twin Eagle Resource LLC

Filed answer to complaint with 8thJudicial District Count

Twin Eagle Resource Management LLC Answer and Counterclaims for Declaratory and Other Relief

The City and RPS’s Council has drafted a response to Twin Eagles Counterclaim but has not yet filed it in court.  The City & RPS’s Council is continuing discussions with Twin Eagle’s Council for a resolution in the best interest for both parties.

 

C 2005-2018 KRTN Enchanted Air Radio