PUEBLO, CO — The Pueblo City Council has voted 6-1 to place a pivotal question on the city’s May 6 ballot that could reshape the future of the city’s utility services. The ballot question will ask voters whether the city should cancel its franchise agreement with Black Hills Energy and take over the generation, transmission, and distribution of electricity if a feasibility study determines it is possible.
The question reads: “Should the City of Pueblo cancel its franchise agreement with Black Hills Electric and acquire the generation, transmission, and distribution assets of Black Hills Electric, if determined feasible?”
If the measure is approved by voters, the city’s long-standing partnership with Black Hills Energy could come to an end, making way for a municipal electric utility system. Proponents of the move argue that a municipal system could result in lower utility rates and better control of local energy resources. They also express frustration with Black Hills Energy’s recent announcement that it intends to raise utility rates by 14%, a proposal that has drawn criticism from many residents.
At a city council meeting on Monday, one Pueblo resident voiced strong opposition to Black Hills Energy’s practices. “Black Hills exploits this community,” they said. “I think they are predatory.”
Supporters of the municipal takeover contend that moving to a local utility system would allow for more accountability and the potential for reduced costs for residents. However, opponents, including some residents and representatives from Black Hills Energy, caution that the full financial implications of such a transition are unknown.
Campbell Hawkins, a representative from Black Hills Energy, spoke against the proposal, warning that replacing the existing system with a municipal utility could end up costing more. “The city doesn’t know how much a government utility takeover would cost, and there is no guarantee electric bills would go down,” he said.
City officials are still awaiting the results of a feasibility study, which will examine whether a municipal utility is practical and whether it could indeed lower electricity rates for Pueblo residents.
Pueblo Public Works Director Andrew Hayes offered a balanced perspective at the meeting, emphasizing that the city would only proceed if the study confirms the viability of the project. “There’s a lot of room for the city to be able to proceed if there’s a feasible project going forward, and if there isn’t? Then the project is dead there,” he said.
For now, Pueblo residents must wait for the results of the feasibility study, which could ultimately determine whether the city moves forward with the transition or abandons the idea altogether. As the May ballot approaches, the question of whether to break ties with Black Hills Energy and establish a municipal utility remains one of the most debated issues in the city.
