TCID scraps plan to get into retail electric business

The irrigation district in Fallon is now negotiating with Sierra Pacific Power Co. on a lease for the utility company to again take over operation of the district's electric system.

When Sierra Pacific's 30-year lease to operate the system expired last July, TCID members voted not to renew it. Instead, the district planned to take over the system itself.

But since then, the district has lost about $500,000 in revenue that it used to receive under the former lease agreement with Sierra Pacific.

The irrigation district's plan was also hindered when the state Public Utilities Commission denied its application last year to supply power to about 9,600 customers in the mostly rural area.

District officials also worry that a long court challenge over the electric system could further drain district revenues.

"Right now we're just trying to look at our different options," said TCID Board President Ernie Schank. "We either work something out with them or we fight in court for three or four years."

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