Read more… - Rural Electric Convenience Cooperative
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Read more… - Rural Electric Convenience Cooperative
Volume 60, #1 January 2009 Page 2 November Board report Page 3 Helping you save money Pages 4-5 GobNob construction photos Page 6 News & Notes Page 8 Marathon water heaters GobNob wind turbine completed! Winter weather doesn’t stop construction crews e n a Loc ea EWT model chosen was the third Farmersville, Ill. has a new to be installed in the U.S. Most of landmark. the thousands of turbines now in The sleek, 230-foot tower on operation are part of large “wind farm” RECC’s GobNob wind turbine, projects that sell electricity into the sitting on a hill just a few hundred transmission grid. yards off Interstate 55, is a Capable of generating some monumental sight that can be seen electricity in winds as light as 4 mph, from up to 10 miles away. Oh, the EWT reaches full capacity in and it’s also a source of renewable about 26 mph winds. The generator energy for co-op members with automatically rotates on top no fuel costs, no pollution C the tower to face into and no greenhouse gas l l ofthe wind, and the blades’ emissions. pitch is adjustable to All of the operate as efficiently as electricity produced possible. by the wind The turbine tower turbine will be was erected before used by the 382 Christmas, but windy R consumers on e l conditions kept the blade RECC’s Farmersville newab assembly from going up until substation, and all RECC Dec. 28. Internal wiring was members will benefit from completed in early January to get the the savings in the co-op’s monthly turbine “online.” wholesale power purchases. The RECC President/CEO David turbine’s 900 Kilowatts is about 5 Stuva says the GobNob project is percent of RECC’s peak demand, the result of cooperation from many and it’s expected to generate about 2.6 million kilowatt-hours per year. people and organizations. “First of all, we’re grateful to the Illinois RECC’s board of directors and Department of Natural Resources staff have been pursuing the wind for granting a lease at the old Crown turbine project for two years. This I mine property,” he says. This is a is only the second turbine in the first for the state of Illinois, and it country to be owned and used by an individual co-op, and the (Continued on page 4) RECC’s GobNob wind turbine can be seen from miles around on top of the coal waste pile at the former Crown I coal mine just east of Farmersville. Rural Electric Convenience Cooperative 3973 W. State Route 104 P.O. Box 19 Auburn, IL 62615 217/438-6197 Fax: 217/438-3212 e-mail: [email protected] Board Of Directors Jimmy L. Ayers Chairman Chris Wilcox Vice Chairman John A. Beatty Secretary-Treasurer Cassie L. Eigenmann Asst. Sec.-Treasurer Thomas “Ted” Dowson Lee W. Marten Mel Repscher Erv Shores David E. White President/CEO David Stuva Rural Hilights (USPS 473-140) is published monthly for $3 per year by Rural Electric Convenience Cooperative Co. Publication Office, P.O. Box 19, Auburn, IL 62615. Periodical postage paid at Auburn, IL and at additional mailing offices. Postmaster: Send address changes to Rural Hilights, P.O. Box 19, Auburn, IL 62615. Dana Smith, editor 2 Board report Regular Board meeting November 24, 2008 The regular monthly meeting of the board of directors of Rural Electric Convenience Cooperative Co. was held at the cooperative headquarters at 5 p.m. on Nov. 24, with all members present. Also present were President/CEO David Stuva; Manager of Office Services Dean Fuchs; Manager of Operations and Maintenance Lou DeLaby; Field Engineer and Purchasing Agent Martin Hinton; Administrative & IT Specialist Sandy Lex; Senior Member Accounts Representative Shelley Crocks; AIEC Vice President of Engineering Carl Dufner and Attorney Jerry Tice. * The minutes of the Oct. 27 regular board meeting, and special meetings of Nov. 10 and Nov. 17, were approved as presented. * CEO Stuva called on Dean Fuchs and Shelley Crocks to present the delinquent account write-offs for the year 2007. Ms. Crocks reported management recommended writing off $8,356.28 in delinquent accounts, which represent .08 percent of the cooperative’s 2007 electric revenues * CEO Stuva introduced Carl Dufner from the AIEC, who reviewed the proposed electric rate changes for 2009. After discussion, the board agreed to defer final approval to a December board meeting. * CEO Stuva introduced Sandy Lex, who, along with Dean Fuchs, reviewed a proposed “whistle blower” amendment to the cooperative’s Ethics Policy. They explained the general nature of the policy would provide protection to co-op employees who report wrongful or harmful conduct by management or directors of the cooperative. They also noted that a record retention policy is required, which will be reviewed with the cooperative attorney. * The Prairie Power Report was given by Director White. * CEO Stuva reported that there had been no IMEA Directors Meeting since the last meeting of the cooperative. * The AIEC report was given by Director Beatty, the alternate RECC director to the AIEC board. * The Attorney’s Report was given by Attorney Tice. He noted no recent communication had been provided from the city of Taylorville regarding the co-op’s franchise request. President/CEO’s Report CEO Stuva reviewed the following reports which had either been mailed or distributed to all directors and attorney: Member and Public Relations, Job Training and Safety, Meters and Outages, Operations and Maintenance, Engineering and Construction, Cash Disbursements Summary, and Check Listing. The Board accepted the reports. Financial and statistical reports for October 2008 were reviewed and accepted. CEO Stuva also: * Reported that October 2008 kWh sales were 29 percent higher than October 2007, due to the grain drying season starting later. * Reported that the wind turbine is expected to be delivered on Dec. 15. Plans are being made for the crane to erect the turbine and other construction arrangements. Board Action The Board acted on the following: * Approved the application for, or reinstatement of, membership and electric service for 21 persons. * Approved delinquent account write-offs totaling $8,356.28 for the year 2007. * Approved the proposed “whistle blower” amendment to the cooperative’s Ethics Policy. * Approved an increase in the hourly fee paid to the Cooperative Attorney. * Voted to hold a special meeting on Dec. 18 at 6 p.m. to review the 2009 budget and other items. * Appointed delegates to meetings associated with the NRECA Annual Meeting in February 2009. * Approved a Resolution authorizing a loan from CoBank for the buyout from PPI and the purchase of the nine substations and associated transmission facilities serving RECC’s members. The meeting adjourned at 9 p.m. Special Board meeting November 10, 2008 A special meeting of the board of directors of Rural Electric Convenience Cooperative Co. was held at the cooperative headquarters at 6 p.m. on Nov. 10, with all members present except John Beatty. Also present were President/ CEO David Stuva; Manager of Office Services (Continued on page3) Dean Fuchs and Attorney Jerry Tice. Consultant Martin Blake participated by telephone. * The Board entered executive session to discuss RECC’s buyout negotiations with PPI. After the executive session ended, the meeting adjourned at 9:55 p.m. Special Board meeting November 17, 2008 A special meeting of the board of directors of Rural Electric Convenience Cooperative Co. was held at the cooperative headquarters at 5 p.m. on Nov.17, with all members present. Also present were President/CEO David Stuva; Manager of Office Services Dean Fuchs; Director of Member and Public Relations Dana Smith and Attorney Jerry Tice. * CEO Stuva presented Work Order Inventories for the period October 2007 through August 2008 totaling $1,407,189.41 for approval. He reported that RECC had a loan application pending with RUS and upon approval of the loan, RECC would be able to draw funds in 2009 to pay $1,126,711.91 of the foregoing work orders and draw additional funds of $553,800.00 to reimburse the general fund for previously approved work orders. The board approved the work orders for submittal to RUS. * CEO Stuva presented the 2009 Capital Expenditure Budget proposal for $20,000. He noted that one large truck replacement was being deferred for another year. The board approved the Capital Expenditure Budget as proposed. * CEO Stuva reviewed the process the cooperative has gone through in investigating, reviewing and negotiating its buy-out of the wholesale power contract with Prairie Power, Inc. The buyout cost as certified by PPI to RECC on Nov. 17 in the amount of $5,602,693.00 was reviewed. This includes the purchase of nine substations and 22.7 miles of transmission lines serving RECC members. RECC will be also required to pay $183,350.93 to reimburse PPI for its withdrawal costs as required by the PPI Withdrawal Policy. Attorney Tice reviewed the proposed Withdrawal Agreement and explained the procedures for financing the withdrawal, completing and signing the withdrawal agreements, and closing the transaction. After discussion, it was approved unanimously to accept the PPI payment and terms for withdrawal of RECC from PPI and termination of the wholesale power contract and transmission services agreement. The meeting adjourned at 8 p.m. We want to help you save money! Some members have a hard time believing that we’d like to help them reduce their monthly electric bills. After all, what business doesn’t want to sell more of its products? We do want to sell electricity, and each kilowatt-hour sold helps pay for the distribution system we use to deliver clean, efficient electric energy to more than 5,700 consumers. But unlike most businesses, “profit” is not our ultimate goal. Meeting the needs of our member-owners is what we’re really about. So, we help you determine the most efficient way to use energy at home or work. For tasks such as lighting, electricity is the obvious choice of energy, but are you using the best technology available? We’ve encouraged more efficient fluorescent lighting and highpressure sodium outdoor lighting for years, and last year we gave away more than 4,000 compact fluorescent bulbs to our members. For some tasks, such as water heating, you have a choice of fuels. We’ve promoted the most efficient electric water heaters, educated members on saving hot water, and taken advantage of the storage capability of water heater tanks by cycling the heater elements to reduce our peak demands in our Dual Meter and Peak Switch programs. This reduces the operating cost for the owner, and helps reduce our wholesale power costs, which benefits all members. For space heating, the proven efficiency of heat pumps and geothermal systems is saving energy and money for hundreds of co-op members. Equipment rebates and our Dual Meter rate make these systems even more affordable. Member programs RECC offers several programs to save money, with our products as well as others. Our Energy Resource Conservation Loans at 5 percent interest can be used for upgrades to high-efficiency electric heating systems, and to improve home weatherization. We also offer helpful information online and in print for home energy audits, appliance usage, home building ideas and much more. Allied programs including the PNG long distance service, DTN SpeedNet wireless Internet, and membership program for Air Evac Lifeteam offer more savings on services that are important to our rural area. Another unique program from RECC and other electric co-ops across the country is the Cooperative Connections card. This free card gets you discounts from many local, regional and national businesses. It even saves on prescription drug costs with discounts at most pharmacies on name-brand medicines. It’s all part of looking out for you, our members, for your energy needs and beyond. We really do want the best solution for you! 3 Construction completed advances their goal of promoting more renewable energy sources. Our turbine will not affect the seasonal hunting programs that the Department of Natural Resources offers at the site. “We also needed the financial assistance provided by the USDA Rural Development program, Illinois Department of Commerce and Opportunity and the Illinois Clean Energy Community Foundation. Their grants helped reduce our upfront expenses, and the remainder of the project cost was financed with (Continued from page 1) a zero-interest loan through CoBank, in the federal Clean Renewable Energy Bond program.” A dedication ceremony is planned at the GobNob site in February, with federal, state and local officials on hand to celebrate the project completion. Watch the local media for details, or check our Web site at www.recc.coop. Photos of the construction process are shown on pages 4-5 of this newsletter. GobNob… a reason to finally be glad we live on the windy prairie! The three 75-foot sections of tower were delivered a week before Christmas. A bulldozer was on hand to assist trucks up the hill, or when slipping on ice or mud at the top. 4 Each section of tower was lifted by a 550-ton crane, and bolted into place by the installation crews. The main crane takes about eight hours to assemble and disassemble, with its complex rigging and multiple cable pulleys. The nacelle sits on top of the tower, and will hold the generator and blade assembly. The generator, weighing 62,000 pounds, is prepared for lifting to the top of the tower. The three blades, each 80 feet long, are attached to the rotor hub on the ground. The blades were lifted to the generator just after dark on Dec. 28. Crews wait for the generator to be gently placed onto the nacelle, where it’s securely bolted in the vertical position. It’s a long way down on the 230-foot ladder inside the tower! There are two “floors,” at the tower joints, where workers can stop to catch their breath when climbing. Fortunately, most of the electronics are located at the bottom of the tower. 5 News & Notes News & Notes Equipment rebates still available We’re still offering rebates for high-efficiency electric heating systems, water heaters and electric ranges and clothes dryers! In addition to the cleanliness, safety and convenience of electric appliances, our rebates make them even more affordable. The list of rebates is found on page 7 of this newsletter. We also have information on super-efficient heat pumps and geothermal heating/cooling systems, along with a list of area contractors with many good installations under their belt. Give our office a call for more details, at (800) 245-7322. December bills may be higher Electric bills for December 2008 usage are out, and many members may see an increase from the previous month. First of all, it’s not due to the coming rate increases – that change won’t be seen until the February billing statements come out. The Christmas holiday is one frequent contributor to increased energy use due to decorative lighting, holiday cooking, more company – even kids being home from school means more TV and appliances being used. Last December was also pretty cold, which means the heating systems ran more and extra space heaters may have been used. Look at the actual kilowatt-hours used on your bill, and compare it to last year’s December usage instead of to your November bill. 6 Youth Day/Youth Tour plans RECC is sponsoring up to 10 area students for the popular Rural Electric Youth Day in Springfield on April 1, and a chance to win a free trip to Washington in June. The Youth Day program includes touring the Capitol, the new Abraham Lincoln Museum and other historic sites, and meeting with their state legislators. Two of those students will be selected to attend the Youth To Washington trip, June 12-19, with about 1,000 other young people from around the country. Any junior attending a high school in RECC’s service area is eligible for these expense-paid programs. Application request forms will be sent to our local schools later in January, or students can call our office. We will mail a complete application kit and background information directly to the student. The application includes a summary of the student’s school and civic activities and accomplishments, and a brief essay question pertaining to the rural electric program. Winter storm safety We “dodged an icicle” in midDecember when ice storms hit just north of us, while several of our sister co-ops suffered extended outages. Snow and ice storms are an inevitable part of the winter season, however, and they can lead to downed power lines and outages. Remember the following tips to stay safe and warm should you find yourself in the dark after a severe winter event: • Never touch a fallen power line, and assume all wires on the ground are “hot.” • In the event of an outage, an alternate heating source—such as a fireplace, propane space heater or wood stove—may be used. Extreme caution should be taken. • Plan to stay in an area of the home where the alternate heat source is located. • Fuel- and wood-burning heating sources should be vented. Be sure to follow manufacturer’s directions. • Make sure carbon monoxide detectors and smoke detectors are working properly. • Do not use a gas-powered oven for heating. A gas oven may go out or burn inefficiently, leading to carbon monoxide poisoning. • If you use a portable generator to power a heating source, be sure the generator is located outside your house for proper ventilation. Do not use a generator in an attached garage. • Never connect generators to power lines. The reverse flow of electricity can electrocute an unsuspecting utility worker. MEMBER RESPONSE PAGE Please send me information on services from RECC: _______Peak Switch _______New Home Energy Guidelines _______Dual Meter Heating Rate _______Surge Suppressor Lease _______Marathon Lifetime-Warranty Water Heaters _______Security Light Rental _______Co-op Power Plus™ Visa _______Long Distance Saving Rates _______Convectair Heaters _______DTN Wireless Internet _______AT&T Wireless Cellular Phone Savings Electric heating equipment rebates An electric heat rebate form must be completed. Minimum system sizes apply. • Geothermal System – $500/home • Air Source Heat Pumps – $500/home (with electric back-up) • Air Source Heat Pumps – $200/home (with gas back-up) Electric equipment rebate request Please include a copy of your sales receipt for your new electric equipment, purchased and installed within the past 12 months. _______Clothes Dryer, Electric Replacement – $25 _______Clothes Dryer, New Home or Gas Conversion – $25 _______Electric Range, Electric Replacement – $25 _______Electric Range, New Home or Gas Conversion – $25 _______Water Heater, Standard Warranty – $200 (less than 10-yr waranty) _______Water Heater, Life–long Warranty – $250 (10-yr or longer warranty) This water heater is for: _______New Home _______Gas Conversion _______Electric Replacement Member Name Account No. Mailing Address Town Phone Rural Electric Convenience Cooperative P.O. Box 19, Auburn IL 62615 Telephone: (800) 245-7322 (RECC) or (217) 438-6197 • www.recc.coop Normal office hours 8 a.m. to 4:30 p.m. 7 P.O. Box 19 Auburn, IL 62615 Marathon water heaters Rural Electric Convenience Cooperative proudly offers the Marathon water heater in 50 and 75 gallon models. Why Marathon? Because we believe, if you want your water heater to give you years of service, you must get one that will stand the test of time. Marathon offers a lifetime no-leak warranty, guaranteed to last as long as you own your home. This will save you the future expense of buying a replacement heater and paying to have it installed. With a plastic inner tank and outer casing, the Marathon will not rust or corrode. Marathons also are among the most efficient water heaters you can buy, with foamed-in-place insulation that surrounds the tank on the sides, top and bottom. For more information, please call our office at (800) 245-7322 or visit our Web site at www.recc.coop, and look under the “Services & Products” heading. Rural Electric Convenience Cooperative 8