inside your co-op
Service charge to increase Rising costs force KEC to make tough decision on fees
Effective September 1, 2013, Kiamichi Electric Cooperative (KEC) must raise its basic consumer service charge by $2 per month. The increase applies to both commercial and residential accounts.
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The decision follows several years of significant increases in the cost of nearly every component required to build and maintain your electric co-op system. For example, standard wire used to bring electricity to homes and businesses climbed from $14 to $22 per 100 feet over the past 10 years; the price per electric pole jumped from $119 to $164. Meanwhile,global shortages of steel, copper and other metals more than doubled the price for transformers, meter loops and other components used to build and maintain your co-op electric system.
Kiamichi Electric CEO Jim Jackson said the co-op has tried to shield members from increasing costs by absorbing the expenses into day-to-day operations. "Unfortunately, it's no longer possible to do that without sacrificing the reliability of our electric service," he said.
A recent work study performed by Joplin- based engineering firm Allgeier Martin found that significant improvements to the KEC system are needed to meet future growth in demand. These improvements include replacing wire in some areas so that voltage can be maintained at acceptable levels. In other areas, voltage output must be increased, which will require extensive and costly upgrades in transformers and other equipment.
"By asking our members to shoulder some of the burden, we are taking
hen it comes to your electric bill, there's no sugarcoating the truth:
What Does My Service Charge Cover?
Ever wondered what your monthly service charge supports? It takes a solid infrastructure and great people to keep safe, reliable, and affordable power flowing to your home. Here’s how Kiamichi Electric’s service charge breaks down:
t a r n 1% BE SAFE .5%
24.5% e
Office Space, Warehouse
37% Fleet
operations Bob Owens, Manager of Operations Tony Nixon, Manager of Construction Kevin Davis, Manager of Engineering
5%
Interest, Taxes, Margins, Misc.
15% Other
Source: KEC 2011 Form 90
office services Crystal Butler, Chief Financial Officer Renae Taylor, Customer Service Supervisor Charlie Watkins, Chief Customer Service Representative Mandy Holy, Customer Service Representative Rashell Ward, Customer Service Representative Susan Conley, Customer Service Representative Jakiebeth Ben, Customer Service Representative Michael Cawley, Customer Service Representative
the best measure we know of to protect and maintain our electric system," Jackson added.
"Raising fees is never an easy decision for our board members to make," he noted. "After all, they're co-op members, too, and they pay the same as everybody else."
As the costs associated with maintaining your co-op system go up, members can help offset these rising costs by making energy efficiency a top priority. KEC offers services that can help such as free home energy audits, heat pump rebates, and energy-saving website such as
togetherwesave.com. For details on these services, please call your Kiamichi Electric Cooperative at 800-888-2731, or visit
www.kiamichielectric.org.
meter services Cindy Cockburn, AMR Systems Coordinator Brenda Saxon, Connects/Disconnects Rick Sheppard, Meter Technician
new services Jodie Miller, New Services Representative Wendy McCarley, New Services Assistant
accounting Kristi Vickers, Accountant Julie Guazdausky, Assistant Accountant
engineering Allen Littlejohn, Field Staking Technician Chris Alexander, Field Staking Technician
dispatching services Heather Ziverk, Dispatcher John Cook, Operations & Engineering Clerk
public relations/member relations (Includes Newsletter, Co-op Connections, Exede Internet, Energy Rebates, Safety, Youth and Operation Roundup) Todd Minshall, MR-PR Director
17%
Who to call at your co-op
Kiamichi Electric Cooperative is dedicated to providing excellent service for its members. The following employees are available to help you when you have questions regarding your electric service. Please call 800-888-2731 or 918-465-2338, or email questions to your co-op at
support@kiamichielectric.org.
administration Jim Jackson, Chief Executive Officer Linda Baldwin, Executive Assistant Sharla Blackledge, Management Assistant
Light Post | july-august 2013 | 3
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