Press Release: PRECorp files complaint against City of Gillette

SUNDANCE, Wyo.– On Tuesday, March 12, 2013, Powder River Energy Corporation attorney Mark Hughes filed a complaint with the District Court in Gillette of the 6th Judicial Circuit, to

reclaim PRECorp’s right to provide electrical service to the CAM-PLEX event facilities, RV parks, and fire station, and to declare that the City of Gillette has no right to serve any area outside of its municipal boundaries.

Founded in 1945, Powder River Energy Corporation (PRECorp), is a member-owned, not-forprofit electric cooperative comprised of approximately 28,000 meters in northeastern Wyoming and southern Montana. The cooperative’s service territory is spread across more than 16,200 square miles of Campbell, Crook, Johnson, Sheridan, and Weston counties in northeast Wyoming.

The CAM-PLEX is located on 1,100 acres outside of the Gillette city limits, and inside PRECorp’s legally-certificated service territory. In 1992, Gillette city officials obtained permission to provide electrical power to the CAM-PLEX. At that time, the PRECorp Board allowed the special permission, based upon the city’s projected annexation of the property into the city limits.

The city has not annexed any of the CAM-PLEX property into the city, but continues to sell power to the CAM-PLEX.

In the complaint, PRECorp seeks the following:

A court hearing on this matter;

A court ruling declaring the Campbell County Joint Powers Board is a separate legal

entity from the City of Gillette;

Acknowledgment of PRECorp’s right to serve the CAM-PLEX and declare the City of

Gillette has no right to serve any area outside its municipal boundaries; and,

A court order requiring the City of Gillette cease and desist from continuing to

provide electric service within PRECorp’s service territory, including the CAM-PLEX,

RV Park, and fire station.

The city and PRECorp attempted to resolve the ongoing matter in 2012, with PRECorp offering

an opportunity to allow the city to sell electricity to the CAM-PLEX, and reimburse PRECorp for

the right to serve inside the certificated territory. The city council ratified the agreement in

January 2013.

The council voted on Monday, February 25, to abandon that agreement.

In response, the PRECorp Board of Directors on Tuesday, February 26, revoked the city’s

authority to serve the CAM-PLEX property. This began the process where the city will transfer

the service back to PRECorp or annex the areas in which it provides electric service.

PRECorp CEO Mike Easley stated: “It is unfortunate that PRECorp had to take this step to

make certain that the City of Gillette would cease its practice of providing electrical service

outside of its municipal boundary. PRECorp very much appreciates its ongoing positive working

relationship with both Campbell County and the CAM-PLEX and hopes for a swift resolution to

this matter so that the CAM-PLEX does not have uncertainty regarding its electric service

provider.”

For more information on this matter, go to “Company and News” at www.precorp.coop.