Answers to some questions about providing services on SDCEA lines

We encourage you to review our policies, which outline our business practices and their rationale, on our website here: Bylaws, Rates & Policies – Sangre de Cristo Electric Association, Inc.

For some specific questions we’ve received recently:

Why does SDCEA have an engineering fee to create plans for a new or upgraded service?

At SDCEA, we strive to ensure that our policies support fairness and equity among our members. As a not-for-profit electric cooperative, general operating costs are shared across all members.

However, specific costs incurred for services beyond standard operations, such as creating a new or upgraded service plan for individual needs, are assigned to those requesting additional services. Costs for individual service changes are covered by those requesting them. Developers are also charged for developing new services in a subdivision, as are businesses for the design of and costs incurred in upgrading or installing a new service.

For engineering fee information, C-7-Extension-of-Service-Lines-and-Facilities-Permanent-Service.

For disconnection and reconnection information, please click here: C-14-Idle-Service-and-Line-Retention.

Why does SDCEA require a deposit for new accounts or transferring an account from one account holder to another?

SDCEA’s deposit policy is in place to ensure fairness and protect all our members from potential financial losses. When a service is transferred to a new owner, the deposit serves as a guarantee for payment and is refunded after a year with interest if the account remains in good standing. We understand that this may be burdensome, and we strive to ensure transparency by publishing all member policies, including those related to deposits, on our website. C-3-Security-Deposits

> There is a way to avoid paying a full deposit on a new account! If you’d like instead to sign up for a pay-as-you go option, please read about that program here: Prepay Metering Program Added by SDCEA – Sangre de Cristo Electric Association, Inc. You may call our office to sign up for this program or click it as an option when you sign up for service on our website.

Why does SDCEA trim or remove some of the trees on our system?

Thank you for sharing your concerns about tree cutting and the question about undergrounding overhead power lines. We understand that this is a sensitive issue, and we want to provide some context about our approach and responsibilities.

At SDCEA, our primary obligation is to ensure safe and reliable power for all our members. Maintaining clear rights-of-way around power lines is a critical part of that commitment. Trees and vegetation in contact with energized lines pose serious risks, including potential fire hazards or damage during storms—which could disrupt service, endanger lives, destroy property, have serious environmental impacts and affect members who rely on medical equipment.

Why not underground?

Regarding undergrounding existing overhead lines, the process can be complex and costly. For example, in the town of Buena Vista, undergrounding a main overhead line is estimated to cost $2-3 million per mile. In this specific case, we also need to work around existing infrastructure, such as water and sewer lines, and there are also private property impacts. These expenses could result in significant rate increases for all members.

In some cases, geographical challenges such as rocky or remote terrain make undergrounding unfeasible.

SDCEA applied for a grant to underground a portion of lines in Buena Vista last year. The project wasn’t eligible due to the area not qualifying as economically disadvantaged, nor is there an immediate critical need to replace existing overhead infrastructure.

It’s essential to understand that SDCEA is a non-profit electric cooperative formed under the Rural Electrification Act to provide electricity to rural areas. Decades ago, it was not profitable for electric companies to supply power to rural areas and rural areas often lacked the resources for private utilities to bring power their way. That is why electric cooperatives, like ours- SDCEA, were formed through the national Rural Electrification Act as not-for-profit independent entities, to deliver electricity to rural residents just as urban areas receive it. Rural areas like ours typically have about 8 services, possibly fewer, per mile, compared to urban areas like Denver with 32 or more services per mile. This makes system upgrades particularly impactful four our members on costs, as we have fewer services to spread payment of those costs to.

We appreciate your feedback and remain open to hearing your thoughts as we continue to strive toward the best solutions around this topic for our communities.

Are employees storing their personal tractors and trucks at SDCEA?

No. You will see employee vehicles parked around our building while we are at work. Our contractors may also store equipment at our facilities when not in use. If you have a specific example of something you are concerned about, please call our office toll-free, 844-395-2412.