A Minnesota administrative law judge is recommending that Minnesota Valley Cooperative Light & Power Association keep supplying electricity to the Upper Sioux Community, even as the tribe moves ahead with a major solar-and-battery installation aimed at lowering energy costs at Prairie’s Edge Casino Resort.
In findings issued June 8, Administrative Law Judge Joseph C. Meyer determined that the proposed 2.5-megawatt solar array and 800-kilowatt battery storage system is designed to serve on-site needs rather than sell electricity into the grid. According to the ruling, the project is intended to offset roughly 30% of Prairie’s Edge power consumption.
The judge found that the tribe intends for “all power generated by the Project to be consumed or stored on its land” and not exported for sale.
Prairie’s Edge opened in 2003 on trust land within the reservation and operates continuously. The property includes a 160-room hotel and a 20,000-square-foot conference center. Court findings note that casino revenue supports a wide range of tribal government functions, including housing, education, health care, cultural preservation, veteran services, rehabilitation efforts and future economic development.
Dispute centered on Upper Sioux casino solar project
The disagreement began after the Upper Sioux Community hired Wolf River Electric in 2024 to develop the facility on tribal trust land near the casino. Minnesota Valley Cooperative, which serves about 5,250 members in western Minnesota, argued that projects exceeding 40 kilowatts could not simply offset a member’s own demand and instead would require power exports beyond the cooperative’s territory.
In November 2024, the cooperative sent a cease-and-desist notice warning that construction and operation must stop or the tribe “risks being disconnected from electric power service.”
The tribe responded that the project fell within its sovereign authority and maintained that the zero-export design complied with applicable laws and cooperative policies. After mediation efforts failed, the matter moved to the Minnesota Public Utilities Commission and was later referred for a contested case proceeding.
During the case, the cooperative, the tribe and the Minnesota Department of Commerce ultimately agreed that the facility qualifies as a behind-the-meter, zero-export distributed energy resource.
Meyer concluded that neither Minnesota law nor the cooperative’s Board Policy 323 allows the cooperative to impose size restrictions on a behind-the-meter, zero-export system. He also concluded that disconnecting service as a penalty for building or operating the project would conflict with the cooperative’s obligation to provide electricity.
The recommendation does not give the project an unconditional green light. Meyer cited unresolved engineering questions and found that an earlier system impact study did not accurately reflect the project’s final design. He recommended a new independent study and any resulting safety upgrades before service continues under the proposed framework.
The commission will ultimately decide whether to adopt, modify or reject the recommendation.
The case arrives as tribal gaming and development projects continue drawing attention across the US. In Montana, the Confederated Salish and Kootenai Tribes recently opened the 400 Horses Casino. In California, litigation involving the North Fork Rancheria has generated multiple court battles, including a lawsuit challenging casino-related issues and a separate federal ruling that temporarily paused tribal litigation connected to a Northern California casino dispute.
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