Pueblo city leaders vote ‘yes’ on study looking at benefits of city-owned utility

PUEBLO, Colo. (KRDO) - Pueblo city leaders have voted in favor of a study that looks at the benefits of ending the city's contract with Black Hills Energy and forming a new city-owned utility.

The vote came after an announcement from Black Hills Energy that they intend to raise rates again.

Leaders said the decision aims to protect Pueblo consumers from a nearly 20% increase in their bills. 

This study will cost the city around $150,000. City council president, Mark Aliff, said that number is worth it in comparison to what consumers will have to pay with the increase.

"There's nothing in my opinion that's keeping Pueblo down more than our energy costs. It's responsible legislation to say we have an opportunity in August to maybe grab a hold of our future," Aliff said.

Black Hills Energy said the city hasn't told them about their plans, but they're hoping to create solutions to help customers save money.

"The City of Pueblo has not contacted Black Hills Energy about plans to conduct a municipalization feasibility study. The last time the City proposed a government utility takeover, nearly 76 percent of Pueblo voters rejected it as too costly and too risky. We are focused on offering solutions for our customers, including helping them use less energy through weatherization and rebates on energy efficiency products and services, and on connecting customers who need help paying their energy bills with sources of support they need. We remain committed to serving Pueblo for years to come." 

Black Hills Energy

In the meantime, city leaders said a change must be made to save residents from another increase.