History of LPEA

In 1939, when interest in developing a REA cooperative in La Plata County first began, there was no central station electric service offered to rural residents of La Plata, Archuleta, Mineral, or Hinsdale counties located west of the Continental Divide, except for a few consumers along the immediate route of the Pine River Power Company's interconnecting line between Bayfield and Ignacio. The thickly settled, highly developed farming community of Falfa had made efforts to obtain electric service from the Western Colorado Power Company, in Durango, but initial deposits for line construction were so high that the project had to be abandoned.

After a two-year period of canvassing, educating, planning, and organizing, the La Plata Electric Association, Inc. (LPEA) was incorporated on August 5, 1939. A loan was obtained from the Rural Electrification Administration (REA), and 188 miles of line were constructed to serve 350 people. Each member was required to purchase a share of stock in the cooperative for $5.00, which was the total cost of receiving service to each member. Compare this cost with the deposits demanded by the private utility, which ranged from $300 to $2,000 per consumer.

LPEA lines were energized on February 1, 1941; 157 customers received electric power at that time. The first annual meeting of the members was held September 2, 1941. In 1942, La Plata Electric borrowed funds from REA to purchase the Pine River Power Company facilities and to build 65 miles of extensions to 85 members. In order to obtain these funds the War Production Board and REA required that no new lines or construction would be attempted for the duration of the war. Due to scarcities of supplies and appliances, consumption of electricity was also limited. It was to be expected that the cooperative would not be able to operate in such a manner and to pay its own way. It was not until 1945 that La Plata Electric was able to show a margin of profit.

The generating plant on the Pine River was never operated by La Plata Electric. The old Pine River Power Company site was sold in 1946.

Facilities of the new Light and Power Company were purchased in 1947. This hydro generating plant in Pagosa Springs was continuously operated until December, 1963 when the transmission facilities were sold to Colorado-Ute. (La Plata Electric bought these facilities back from Colorado-Ute in 1977.)

La Plata Electric purchased power from the Western Colorado Power Company from 1941 until the fall of 1959. La Plata Electric Association, Inc. was one of the original four cooperatives that joined together in 1959 to start Colorado-Ute Electric Association, Inc., the generation and transmission co-op. In 1992, Tri-State Generation & Transmission Association bought portions of Colorado-Ute Electric Association and at present has 44 member rural utilities service systems. La Plata Electric is one of the member systems within the state of Colorado.

On April 30, 1975, La Plata Electric Association, headquartered south of Durango, Colorado more than doubled its customers. La Plata Electric purchased for $4.5 million all utility properties of the Western Colorado Power Company adjacent to the cooperative's service area. This included the western half of La Plata County, the Animas Valley, and the city of Durango. Overnight this small electric cooperative increased from 5,400 members to 12,700 member/customers. Most of the new customers were in the city of Durango.

Durango people were familiar with La Plata Electric because the cooperative had offices in downtown Durango for more than twenty years when the administrative office was moved from Ignacio in 1941 to Durango. New facilities south of Durango were occupied from 1962 until 1980. Because of the increase of personnel, cost effectiveness and more reliable service for its members/owners, the board of directors of La Plata Electric made the decision to build facilities in the Bodo Industrial Park. These facilities were opened on September 29, 1980.

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The following people executed the original Certificate of Incorporation of La Plata Electric Association, Inc. on August 5, 1939:

W. E. Tyner • James F. Gore • J. Fred Hill • George Morgan • Mildred Laurie
Edna M. Coppuck • E. E. Hively • Frank L. Gray • Betty Stock • J. H. Drury

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Superintendent, Managers and CEOs of La Plata Electric Association:

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La Plata Electric was under the jurisdiction of the Colorado Public Utilities Commission from 1961 until December 13, 1983, at which time the members voted to become deregulated from the PUC. Rate reductions were made in January, 1987 and January, 1995.

Since 1961, La Plata Electric has returned more than $15 million of patronage capital to its members/owners. The cooperative implemented a scholarship program in 1987 at Fort Lewis College, and a Vocational School/Junior College scholarship in 2000. Both are funded from unclaimed patronage capital refunds.

The co-op has been active in economic development within its service area, playing a major role in the construction of Bodo Industrial Park. Jobs from businesses in this park add significantly to our area's economy.

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