Approximately 1,100 people of all ages attended the 69th Annual Meeting of Farmers’ Electric Cooperative on June 5 at the Gary Dickinson Performing Arts Center in Chillicothe.
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Member-owners of the cooperative re-elected one member to the Farmers’ Electric board of directors and heard reports on the cooperative’s activities in the previous year, as well as information pertaining to electric rates in the future. FEC attorney Lloyd Cleaveland was also recognized by the board of directors for his years of service to the cooperative.
Re-elected to FEC’s board by acclimation was Ray Shields, Meadville. Shields is the board’s District 6 representative in Linn County.
“The days of cheap energy are probably gone forever,” noted Ron Cornett, FEC’s Board President, in his message to the members. “It will be wise to economize in the future.”
Cornett cited the increased expenses to the cooperative’s power supplier in generating electricity, including increased costs in purchasing coal, transporting the coal from Wyoming to the cooperative power plants at Thomas Hill and New Madrid, and materials in providing and maintaining the cooperative electrical grid across Missouri, as just a few reasons regarding rate increases that are occurring for FEC.
“These are costs that are beyond the control of the board,” Cornett said.
Cornett also discussed the increased environmental costs, due to changes in environmental regulations, that have cost the cooperatives in Missouri over $1 billion since the early 1990’s.
“Think about the energy you waste,” Cornett stressed. “The unnecessary trips you take in your automobile. Or, driving a truck instead of a car, or driving when you could have walked somewhere.”
Cornett urged the members in attendance to “winterize your homes, turn down your thermostats in the winter and turn them up in the summer. Again, be wise… economize.”
FEC’s Chief Executive Officer, Mike Sanders focused his remarks on electric rates and the need to become more energy efficient in the homes and businesses served by Farmers’ Electric.
“Rates are going up, as we’ve been telling you for the last three years,” Sanders said. “We will not have stable rates like we had for most of the last 15 years.”
“Nobody likes rate increases,” continued Sanders. “You don’t like them, the board doesn’t like them and the employees don’t like them. Yet, we are not alone in dealing with this issue. This is a nationwide problem.”
Sanders emphasized the cooperative was doing everything it could to minimize the rate increases to its members.
“However, we do need to meet certain financial requirements to satisfy our lenders and we do need to maintain our strong maintenance program, such as trimming trees, to provide you with reliable power,” Sanders said.
Sanders’ remaining remarks focused on the need of the membership to become more energy efficient.
“You can help us reduce the demand for electricity and to stabilize your electric bills by using it wisely,” Sanders said.
Sanders cited the use of compact fluorescent lighting, buying Energy Star appliances, adding insulation in the attics of homes, caulking around windows and doors, and adjusting thermostats in the winter and summer. He urged members to join up for the cooperative’s Switch Team, which allows the cooperative to control electric water heaters and air conditioners during peak usage times.
“This will help to reduce our cost of power, which, in turn, will help to keep your electric bills lower,” explained Sanders. “Reduce your energy usage between 4 p.m. and 9 p.m. on the hottest and coldest days of the year. This will make a difference.”
Sanders announced that the cooperative would be providing home energy audits for its members later in the year. Details on the home energy audits would be announced in future issues of the Rural Missouri magazine, Sanders said.
Guest speaker Don McQuitty, CEO of N.W. Electric Power Cooperative, Cameron, focused his presentation on current generating assets in Missouri that are owned by the rural electric cooperatives and the need for more generation in the near future. McQuitty specifically discussed the cost differences in the wide variety of generation facilities owned and operated by Associated Electric Cooperative, the power provider for FEC.
“It is much cheaper to generate electricity with coal than with gas,” said McQuitty.
The number cited by McQuitty showed coal to be two to three times cheaper in generating power than natural gas.
“This is why we need that new power plant down at Norborne,” McQuitty concluded.
Following the presentations by Cornett, Sanders and McQuitty, the cooperative’s attorney conducted the election of the Committee on Nominations for 2008. Elected to the committee were Kenneth Lee, Dennis Farmers, James A. Waters, Vernon Williams, Charlotte Miller, Judy Holcer and Dennis Widhalm.
At the conclusion of the committee elections, Cornett surprised Cleaveland with a unique plaque, citing Cleaveland’s 50 years of service to the cooperative. Cleaveland received a standing ovation from the large crowd in attendance.
Billy Campbell, Braymer, won the 52-inch big screen television. Ron Surber, Wheeling, won a 37-inch plasma television, donated by North Missouri Construction, Chillicothe. Over 70 prizes were given away at the conclusion of the business meeting.
The 2008 Annual Meeting will be held Tuesday, June 3.