BOULDER - The city of Boulder has asked a judge to dismiss a lawsuit filed by Public Service Co. of Colorado, an Xcel Energy Inc. (NYSE: XEL), according to filing in in Boulder County District Court.
 
Boulder's request for the lawsuit to be dismissed follows a decision made by the Boulder City Council to approve an acquisition of Xcel Energy Inc.'s distribution system serving Boulder. The court filing made by Boulder on Thursday contends that Xcel must have filed its challenge within 28 days of the city council's Aug. 20, 2013 decision to acquire the system by eminent domain if good faith negotiations fail.

"The Aug. 20, 2013 decision was quasi-judicial in nature and therefore would have been subject to review under (Colorado law), but the time in which to bring such a challenge has long since passed," reads Boulder's response to Xcel's lawsuit.

Xcel is reviewing the motion but is confident that its lawsuit is appropriate and the city's creation of a municipal utility in May was premature, according to an email statement issued by Xcel spokeswoman Michelle Aguayo.

Boulder spokeswoman Sarah Huntley said in an email that city officials had no comment.
 
Public Service Co. of Colorado filed the lawsuit against the city earlier this month. The Xcel company contends Boulder overstepped its authority when it established a municipal utility.
 
The company has requested an order striking down the ordinance the Boulder City Council passed last month creating the utility.

Boulder also contends in its filing that Xcel failed to show that the ordinance passed May 6 by city council broke the law.

Boulder has sought to increase its share of electricity generated from renewable sources while decreasing carbon emissions that lead to climate change. Xcel does not want to sell its assets, contending that it can help Boulder reach its goals of a cleaner energy mix faster and more economically than the city can do on its own.