Annual Report To The Members: August 2013
Stable Rates, New Benchmarks Mark 2012-13 With Success
Gains in efficiency and stable wholesale energy prices continue to replace growth as a key measure of success, and helped us achieve our fourth consecutive year without a rate increase.
Rates. Since wholesale prices make up 70% of our costs, we continue to do what we can to manage the remaining 30% without sacrificing safety, reliability or the service you have come to expect from us.
We are pleased to be able to provide you with some of the lowest energy rates in the region, state and country as we seek to balance these costs with the environmental and community stewardship you also expect and deserve.
Resources. Your wholesale power suppliers, Central Electric Power Cooperative and Associated Electric Cooperative, Inc., continue their commitment to a diverse range of power generating resources to meet your needs affordably and responsibly. Coal, natural gas, hydro and renewable (wind) power are each important parts of your energy mix. (See Generation Capacity, Fuel Diversity.)
Ownership. While fighting for low rates on your behalf, your Board of Directors continues to make your ownership role in the cooperative a top priority. They set a new record this summer by authorizing a refund of $4.4 million to you, returning "capital credits'" which represent your ownership equity in the cooperative.
High standards. Our commitment to providing good value to you mirrors our dedication to achieving high standards among our industry peers. We celebrate our 10th anniversary as a member of Touchstone Energy, a national brand alliance of electric cooperatives dedicated to accountability, integrity, innovation and commitment to community.
Results. We are gratified by your satisfaction with our work to meet and exceed your expectations every day.
We are humbled that members responding to our 2012 survey collectively gave us a score of 92 as an American Customer Satisfaction Index (ACSI). This sets a new benchmark for us and is the highest score we've received during our 10 years working with the ACSI as a Touchstone Energy member. The electric industry ACSI of 76 and other national scores help put this remarkable member-assessment in perspective. (See ACSI Scores.)
Benefits. Our Touchstone Energy membership gives us access to a variety of other national cooperative and member programs. Its flagship member program, the Co-op Connections Card, helped Cuivre River members save more than $100,000 last year, another new benchmark. These benefits have nothing to do with your electricity, and everything to do with simply being a cooperative member.
Pennies. Through Operation Round Up, which you generously support, we not only work to meet your needs, but to address unmet community needs in the areas of health, youth, education, weatherization, community and emergency services.
Your efforts reached a $4 million milestone this summer. The historical value of grants approved since the program's inception in 1997 eclipsed $4,029,453 in June. One-hundred percent of your donations go to work to serve others. Your pennies make it possible to reach this milestone, as your small change truly changes lives. (See Small Change.)
Participation. Each year you have the opportunity to cast your vote to elect a Cuivre River member to be your voice on the Board of Directors. We welcome Dale Anderson of Lake Saint Louis, the director you elected upon the retirement of Glen Bray last year. Members' democratic participation in the election process is very important to our ongoing success.
Our growth in the number of individuals, families and businesses we added to our ranks this year is modest, but our membership is dynamic and our numbers are strong.
We appreciate the opportunity to serve you, and pledge our best efforts to meet and exceed your expectations.
Walter Gregory, Board President
Dan L. Brown, GM/CEO