Durango Transportation, Inc. v. City of Durango
Colorado Court of Appeals
824 P.2d 48 (1991)

- Written by Sean Carroll, JD
Facts
The City of Durango and the County of La Plata (defendants) signed an intergovernmental agreement (IGA) under which the city would provide transportation services between the city and other areas in the county. Durango Transportation, Inc. (DTI) (plaintiff) had a certification from the Colorado Public Utilities Commission (PUC) to operate a transportation system in the county. DTI sued the city and the county alleging that the IGA was invalid because the city did not have PUC authority to operate a mass-transit system outside of its municipal boundaries. DTI relied on the Colorado Constitution and implementing statute that allowed IGAs to cover only services “lawfully authorized to each” party. Although the city had authority to operate a transit system in the city, DTI claimed that it did not have such authority in other parts of the county. The Colorado Supreme Court remanded the case to the Colorado Court of Appeals.
Rule of Law
Issue
Holding and Reasoning (Davidson, J.)
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