Bhasker: Court should dismiss PRC fines against SEC

While the New Mexico Supreme Court ruled against Socorro Electric Cooperative (SEC) in its case against the Public Regulations Commission (PRC), Socorro Mayor Ravi Bhasker said he hopes the Supreme Court will drop the fines leveled against the co-op.

When the co-op rejected the PRC’s findings, the PRC fined the board $1,000 a day for not following its ruling. As of last week, the fines had accumulated to more than $866,000 while the SEC awaited the court’s decision.

“The city is not in favor of the fine,” Bhasker said during a council meeting last week. “Frankly, the users will be the ones paying the bill.”

Bhasker’s remarks chided the SEC’s decision to take the case to the Supreme Court. “It ended up costing us (SEC membership) a lot of money. They’ll have to get it out of somewhere, and they’re not going to get it out of the trustees who made the mistake of going to the Supreme Court.”

Now that the decision has been made, Bhasker informed the city council, SEC’s General Manager Joseph Herrera spoke to New Mexico Public Radio the day after the Supreme Court’s decision. Herrera stated the Co-op will have to investigate raising rates three to four times its original ask of $1.2 million.

Aside from the fine, the Co-op also has accumulated legal fees for fighting the RPC ruling. “Lawyers are not free,” Bhasker said. “So the money that they spent fighting this case and taking it to the Supreme Court thinking they’re going to win, will cost the Co-op a lot of money in legal fees. If they had just ceased and desisted and said, ‘we’re not going to do that’ because the PRC said it’s not acceptable, they would have saved SEC’s users a lot of money”

Unfortunately, with the co-op facing the PRC fine and legal fees, Bhasker said he wanted the city’s administration to go “on record” saying to the courts not to level the $866,00 fine against SEC.

Solar project moves ahead

ICAST (International Center for Appropriate and Sustainable Technology) recently was hired by the city in April to help find solar grants for a projected city-owned solar farm in the city’s industrial park area.

ICAST’s mission is to provide economic, environmental, and social benefits to under-served communities in a manner that builds local capacity.

In Socorro, ICAST will help pursue various grants and incentive opportunities to reduce the cost of a solar utility project for Socorro. While during research for the solar project, the ICAST also will look for grant opportunities for developing the city’s electric grid.

One of those opportunities was explained by City Clerk Polo Pineda to councilors during last week’s meeting.

The city has applied for a $4 million grant through the IRS’s 20% ITC Bonus Program for qualified solar facilities in low-income communities.

Socorro qualifies as a low to moderate income community with 58 percent of the city’s residents living below the poverty level.

According to Pineda, the city should hear something in late August or September if the grant is awarded. The funds will come directly to the city for its 5 MW Solar and Energy Storage Project.

Solar Farm Help

One of the ideas presented by Mayor Bhasker was if the city’s solar farm came to fruition and if the co-op is interested in working with the city, the city could sell them solar power that would help decrease their rates. “That’s if Tri-State would allow us to do that,” said Bhasker. “We’d be open to a compromise or at least talk about the possibility of buying solar power from us in the near future.”

Bhasker noted he is perfectly willing to meet with them (SEC). But he wants the meeting to be above board and have complete “sunshine” on the meeting. “I don’t want them to tell you that we can do this in a back room in an executive session. Although it would be considered negotiations, I’d rather talk about the issue in public,” he said.

As to whether the SEC can buy solar from a local community municipality, the mayor said that’s something that still is evolving. “Maybe Tri-State needs to look into stuff like that.”

In other business, council:

• Approved a lease agreement with Daymen and Pat Castagnetto for 2.6 acres in the Industrial Park for $4,144 per year for the duration of the lease agreement. The lease agreement specifies that they may only use the property for the auto body shop and the family residence. All other vehicles on the property must be blocked from the public’s view.

• Received a copy of the New Mexico Supreme Court’s ruling against the Socorro Electric Co-op.

• Was notified of the city will advertise for a position of Senior Center Director. The director will be responsible for personnel management of staff and volunteers and shall work with the city council.

• Approved a business license for Casa Pasa LLC from Caballo, N. M. Owner Laurie Chavez operates a porta potty and septic service business.