The Colorado Public Utilities Commission last week dismissed formal complaints filed against Tri-State Generation and Transmission Association by two of its members, saying it lacked legal jurisdiction to rule on the proceeding.

In a 3-0 vote during a deliberations meeting Thursday, the PUC determined that FERC’s August order affirming its exclusive jurisdiction over Tri-State pre-empted it from acting on exit-fee disputes raised by La Plata Electric Association and United Power (19F-0620E, 19F-0621E).

Tri-State and two of its largest members have been battling before the PUC and in district court over the amount of fees to leave the G&T cooperative. Tri-State claimed FERC jurisdiction last year by accepting non-utility member MIECO, a natural gas trader. It subsequently proposed a contract-termination payment methodology that FERC accepted in August. (See FERC Affirms its Jurisdiction over Tri-State G&T.)

The PUC said the order reversed an earlier FERC decision allowing the complaints to proceed at the state commission.

The Colorado commission found it also did not have jurisdiction to determine whether Tri-State’s admission of MIECO is proper under state law because the question is “a matter of corporate law, not public utilities law.” It suggested that United continue pursuing its pending case in Adams County District Court challenging MIECO’s membership.

“That court is where the question of MIECO’s membership should be answered,” the PUC said. “Because [FERC] dismissed the formal complaints without prejudice, the PUC will be ready to adjudicate the exit fee questions if United Power prevails.”

Tri-State CEO Duane Highley said in a statement that the cooperative was “pleased” with the PUC’s decision, and that “questions of Colorado corporate law are a matter for the state courts.”

Tri-State has 42 utility members and 45 overall in its four states but has been troubled in recent years by member complaints about high rates and its slow embrace of renewable energy. It reached an exit agreement with Delta-Montrose Electric Association earlier this year. Kit Carson Electric Cooperative was the first to leave Tri-State in 2016.

The cooperative has responded to those complaints by announcing its Responsible Energy Plan, designed to transition Tri-State to clean energy resources and reduce rates. (See Tri-State Increases Members’ Self-supply Options.)

Last week, Tri-State said it has filed for FERC approval of its community solar program. Gunnison County Electric Association will be the first member to participate in the program, which the cooperative said provides additional flexibility for its members’ community solar projects.