Spring 2014 Still have your fork? Volume 30 • Number 2 Second Quarter 2014 ANNUAL MEETING May 15, 2014 ctr ele ic ive rat pe o co Upcoming Mark your calendars to eat cake at the 75th Annual Meeting: • Thursday, May 15, 2014 Inside CELEBRATE AND EAT CAKE! § Commemorate our 75th annual meeting As promised at the 2013 Central Rural Electric Cooperative annual meeting, we will eat cake! CREC is celebrating its 75th anniversary annual meeting Thursday, May 15, at the Payne County Expo Center, in Stillwater. CREC met in November 1938 to complete a mission and a vision ... to provide power to central rural Oklahoma. Meet our Youth Tour finalists, page 3 Visit www.crec.coop www.SmartEnergySource.com www.nesi-ses.org www.facebook.com/CentralRural www.twitter.com/CentralRural www.pinterest.com/CentralRural Through innovative and proactive leadership, CREC has exceeded this mission and is taking steps in moving forward to be the next generation cooperative that will work to empower members while still providing affordable, reliable electricity. During the last 75 years, electric cooperative leaders learned that collaboration and partnerships will advance the energy industry and provide proactive energy-related solutions. Members attending the annual meeting will learn how CREC is Building Our Energy Future Together and about the potential consolidation with Canadian Valley Electric Cooperative. CREC will feature special entertainment by LinkUnion, an American band that 1 Smart Energy Source partner plays a mixture of folk, rhythm and blues, jazz and gospel music. A time capsule commemorating the past 75 years will be displayed, and members will have the opportunity to record a video message about CREC that will be included in the time capsule prior to the burial. Registered CREC members in attendance will receive a $10 credit on their June electric bill, $20 restaurant gift card and 75th anniversary commemorative items. Various prizes will be given away, and the business meeting will conclude with a grand prize drawing for a 42-inch LED television. Watch your mail for the official annual meeting notice. 75th CREC Annual Meeting Thursday, May 15 Payne County Expo Center, Stillwater • 5 p.m. - registration begins • 5:30 p.m. - live music begins • 6:30 p.m. - registration closes • 6:45 p.m. - business meeting begins On May 15, CREC members will celebrate a milestone anniversary at the 75th Annual Meeting. While 75 years may seem like a long time to some, others remember 1938/1939 like it was yesterday. In the electric industry, much has Thoughts changed during the last 75 years, but at the same time, much remains the same. This paradox of from CEO old/new, change/same is dependent on how you David Swank see the things around you – your perspective. This year, as we celebrate our first 75 years, we are also looking forward to building the next 75 years. Perspective is an interesting concept to ponder. It’s why one thing looks right to one person and wrong to another. I am reminded of a quote from former Apple CEO Steve Jobs who said, “a lot of people in our industry haven't had very diverse experiences. So they don't have enough dots to connect, and they end up with very linear solutions without a broad perspective on the problem.” While he was obviously speaking of the electronics industry, I think his wisdom can apply to many different industries. The electric industry is no exception. New regulations, political pressures, disruptive technologies, and compliance and environmental issues – these are just a few of the many current issues that have the potential to threaten the reliable and affordable electric service you have come to expect from your electric cooperative. While celebrating our 75th anniversary, we cannot allow ourselves to get caught up in the paradigm of “this is how we’ve always done it.” This “status quo” mentality would be devastating to a cooperative in the fast pace, ever changing environment we are in today. I can assure you that the leadership of CREC is not narrow-minded when it comes to our perspective. Your board and management are committed to courageous leadership and innovative thinking that leads to building a broader perspective. Our perspective will be a strength as we face the difficult issues before us. In 2013, CREC engaged in two initiatives that I believe will shape the future of our organization. First, CREC began talks with a neighboring cooperative, Canadian Valley Electric Cooperative, about a potential consolidation. The boards of trustees have been conversing for the past year and a half and an initial evaluation showed a significant cost savings ranging between $14 million to $42 million in savings over a 10-year period, depending on your perspective. Second, the bylaws were adopted and board members were selected for the NESI-SES Association. The association is a collaboration of Oklahoma State University’s National Energy Solutions Institute and Smart Energy Source, an initiative CREC has been involved in for several years with OSU, Guernsey and Tri-County Electric Cooperative. While the two initiatives may sound different, I believe they are similar. Both are collaborative efforts offering real solutions to the issues we are facing. I will address these initiatives in more detail at this year’s Annual Meeting. As we look to 2014 and beyond, I urge you to broaden your perspective. The past is significant and should be remembered, but let’s not be afraid to step out of our comfort zone as we work to build our future. We hope to see you May 15. BUILDING OUR energy FUTURE TOGETHER www.BuildingOurEnergyFutureTogether.com Talks of the potential consolidation between Canadian Valley Electric Cooperative and Central Rural Electric Cooperative continue between the two boards and management as the Cooperative Finance Corporation completes the feasibility study. Recently, the CEOs and board presidents from the two cooperatives sat down to answer questions about the consolidation. View the interviews at, http://www. BuildingOurEnergyFutureTogether.com. We encourage you to continue to visit the website and follow, engage and participate in social media conversations by using #BOEFT to learn more about the two cooperatives and the possible consolidation. CREC’s official newsletter, REsource, is published four times a year. Phone: (405) 372-2884 or (800) 375-2884 E-mail: editor@crec.coop Web: www.crec.coop CREC Board of Trustees: Gary McCune - President - District 1 Raymond Nettles - Vice President - District 6 Bill Davis - Secretary/Treasurer - District 7 Stu Preston - District 2 Carol Dvorak - District 3 Len Tontz - District 4 Mark Pittman - District 5 Clyde Habben - District 8 R.A. Stults - District 9 REsource Editors: Larry Mattox - Director of Communications Courtney Arnall - Communications Specialist Joe Gray - Communications Specialist CREC's Youth Tour top six: (back from left) Aaron Matheson, Joseph Barrows and Niki Shoemaker; (front from left) Robin Porter, Vanessa Mena and Brenna Griffith. Adventure awaits CREC youth Central Rural Electric Cooperative recently awarded and recognized six area students with trips and scholarships through the CREC Youth Tour program. The CREC Youth Tour is a two-part competition open to all service area high school juniors. This year, students submitted a letter written to the Environmental Protection Agency expressing their concerns over a recent regulation that outlawed coal as a fuel source for next generation power plants, which will raise energy costs for everyone. A panel of judges selected the top six students to compete in the final portion of the competition. The top six students presented their letters to the panel of judges and a packed room of parents and CREC special guests on April 1. states in Washington, D.C., June 14-19, 2014, in the annual Youth Tour sponsored by rural electric cooperatives. The itinerary for Oklahoma students includes Smithsonian museums; national monuments, like the Jefferson and Lincoln memorials; the United States Capitol; the Supreme Court; and the Arlington National Cemetery. The students will also meet with Oklahoma’s congressional delegation. Two area high school students were selected to represent CREC on the all-expense-paid electric cooperative Youth Tour to Washington, D.C., this summer, while the remaining four each received a $250 postsecondary education scholarship. Glencoe High School student Aaron Matheson, son of Jimmy and Jennifer Matheson; and Perkins-Tryon High School student Niki Shoemaker, daughter of Tina Peyton and Danny Shoemaker; were selected as CREC’s Washington, D.C., delegates. Scholarship recipients were Glencoe High School students Joseph Barrows, son of Christopher Barrows; Brenna Griffith, daughter of Hoyt and Stacie Griffith; Vanessa Mena, daughter of Cassie McLain; and Robin Porter, daughter of David and Pamela Porter. Aaron and Niki will join approximately 70 students from across Oklahoma and more than 1,000 students from 41 CREC Washington, D.C., delegates Aaron from Glencoe High School and Niki from Perkins-Tryon High School will leave June 14, to partake on an experience that will give them leadership skills that will last a lifetime. 3 CREC - agribusiness of the year Innovative, forward thinking and advanced are a few words Calvin Oyster, Stillwater Chamber of Commerce agriculture committee member, used to describe Central Rural Electric Cooperative when he presented CREC board president, Gary McCune with the 2014 Stillwater Chamber agribusiness committee's Business of the Year award. The award was presented at the Payne County agriculture appreciation banquet. “It is an honor to accept this award on behalf of the board and staff of CREC,” McCune said. “As a cooperative, CREC is owned by its members. Although the demographics of our members have changed over the past 75 years, our commitment to service has not. Thank you for recognizing the contributions CREC makes to rural Oklahoma.” CREC has served farms and ranches in Payne County and the surrounding area since 1938. CREC began by providing power to 141 farms. CREC has since grown to a company with more than $100 million in assets that serves more than 20,000 meters in seven central-Oklahoma counties. 4 “CREC’s roots are in agriculture,” said David Swank, CEO of CREC. “Seventy-five years ago, we began serving the rural areas around Stillwater and other central-Oklahoma towns. Today, our membership is much more diverse: rural, urban, residential and commercial with a large load of oil and gas.” Oyster spoke to some of CREC’s major initiatives including the NESI-SES Association. The association is a collaboration of Oklahoma State University’s National Energy Solutions Institute and Smart Energy Source, an initiative CREC has been involved in for several years with OSU, the engineering firm Guernsey and Tri-County Electric Cooperative. The association is built on three principals critical to finding solutions to our nation’s current energy challenges: collaboration, collective intelligence and business analytics. “CREC is proud of its past, but it is the future that excites us,” Swank said. “I believe CREC has the opportunity to be a pioneer in the future of the electric industry just as the generations before us led the charge to electrify rural America 75 years ago.” For more information on CREC or the NESI-SES Association, visit, http://www.crec.coop, or http://www. nesi-ses.org. NESI-SES Association - solution focused Energy industry leaders gathered at the Henry Bellmon Research Center on the Oklahoma State University campus March 17, for the official launch of the NESI-SES Association, a membership organization consisting of utilities and energy-related organizations from across the nation dedicated to finding solutions for the energy industry. The collaboration, unique in its nature, is at the forefront of leading the energy industry in progressive research and relevant solutions. “The National Energy Solutions Institute and SES partnership is, I think, going to transform how we do business in Oklahoma,” said OSU president Burns Hargis, “I think it will make our energy industry even more efficient and more effective.” New members of the association were recognized including the Oklahoma Association of Electric Cooperatives, Guernsey, Tri-County Electric Cooperative, CREC and half a million dollar contributor, CoBank. CoBank is a Colorado-based bank that focuses exclusively on serving vital industries in rural America, a member of the Farm Credit System and serves as the funding bank for Farm Credit associations. CoBank CEO Bob Engel addressed energy leaders and described the importance reliable, affordable energy brings to the rural industries CoBank serves. “It really is vital that the U.S. maintain its leadership position across the entire spectrum of energy,” Engel said. “We are really confident that the work that is going to be produced by the NESI-SES Association in the coming years really will help us achieve that broader goal.” It is a broader goal based on three key principles – collaboration, collective intelligence and business analytics. David Swank, NESI-SES Association and CREC CEO, said collaboration is key to discovering solutions. Gary Clark, NESI-SES Association board president and OSU vice president and general counsel; Burns Hargis, OSU president; Bob Engel, CoBank CEO; Stephen McKeever, Secretary of Science and Technology for the state of Oklahoma and NESI Director; and David Swank, NESI-SES Association CEO and CREC CEO. “Our research can be far better if we bring together collective information,” Swank said. “The better the information, the better the research.” NESI director Dr. Stephen McKeever said his organization’s goal is to attempt to answer today's energy questions. He agreed collaboration is the most important aspect in finding new and better solutions. tions Center on OSU’s campus was also announced, and construction is expected to be complete later this spring. For more information on the NESISES Association, visit http://www. nesi-ses.org or follow the association on Twitter, @ NESI_SES. “We have to work in collaboration,” McKeever said. “The key is to not work in isolation. In order to provide solutions to the industry, we need the industry to be working with us to tell us what those issues are and to lead us to the right solutions.” Currently, the NESI-SES Association is working with the Oklahoma Corporation Commission on a distributed energy resources/microgrid study and a new way of system planning for utilities and oil and gas producers called the Capacity Infrastructure Model. The building of an Energy Research Opera- OSU President Burns Hargis, addresses energy stakeholders at the event. 5 Connecting you to savings Remember to use the Co-op Connections Card at the below retailers and vendors to receive special savings for Central Rural Electric Cooperative members. Call the CREC office at (800) 375-2884 to request a card today and to learn more. • Pure Nutrition, Stillwater • GNC, Stillwater • Texas Road House, Stillwater • Flynnagins Footwear, Stillwater • The Photo Shoppe, Perry • A1 Septic, Stillwater • Johnny's Rib Shack, Guthrie • Lazy E Arena, Guthrie • Moore Laundry, Chandler • SJA Photography, Drumright • Coffee Cup Cafe, Luther • Cimarron Trails, Perkins • ProFlowers (Perfect for Mother's Day!) • LifeLock Benefit Solutions • Wyndham Garden • Omaha Steaks • Sam's Club • Office Depot • Direct TV • Lands' End • Orbitz • Sprint • Hertz Call before you dig April marks the seventh annual National Safe Digging Month. Remember to stay safe, and call 811 or go online to submit a web ticket at least 48 hours before digging any project. Oklahoma Gov. Mary Fallin issued a proclamation designating April as Safe Digging Month in Oklahoma. Call Okie encourages area residents to visit, http://www.CallOkie.com, for more information about 811 and the call-beforeyou-dig process. Visit, http://www.connections.coop, for more local and national savings. Lighting a path to a cure § CREC is raising funds for the American Cancer Society The American Cancer Society strives to create a world with more birthdays, and Central Rural Electric Cooperative is joining efforts by raising funds to go toward the society’s initiatives and CREC will have a walking team in the American Cancer Society Relay For Life on June 6, 2014, at Stillwater High School. CREC has initiated many internal fundraising efforts and would like to extend some of these opportunities to members and service area communities. Those interested can participate by purchasing a commemorative-themed T-shirt for $10 or by making an online donation at: http://tinyurl.com/CRECrelay. T-shirts will also be available for purchase at the 75th annual meeting. Relay For Life teams were asked by American Cancer Society event coordinators to pick a team name based on a television show. The CREC team name is Friday Night Lights, and a special T-shirt design has launched to 6 commemorate not only this event, but also another CREC milestone. CREC is celebrating 75 years of bringing affordable, reliable power to central Oklahoma and the 75 on the back marks this attainment. Many have been affected by cancer in some way, and a Relay For Life event gives us the power to fight back. This is an opportunity to honor cancer survivors, remember those we have lost and help raise funds for the American Cancer Society. The American Cancer Society helps people take steps to reduce their risk of cancer or find it early, when it is easiest to treat. They provide free information and services to cancer patients throughout their journey. The organization is investing in crucial research to prevent, treat and ultimately cure all cancers. Thank you for joining our efforts. Your participation is appreciated. Front $10 Back Order forms are on, http://www.crec.coop, and shipping is free. Call Courtney Arnall at (405) 533-4204 if you have questions. www.crecfoundation.org The Central Rural Electric Cooperative Foundation distributed a total of $14,174 to individuals and organizations throughout CREC’s service area during the 2014 first quarter. • Stillwater CARES, Inc. - $1,500 Stillwater Habitat for Humanity received a $1,000 foundation grant for an educational program, which was accepted by (center) Matt Keys SHH board president. Mark Pittman (left), CREC trustee; and Calvin Oyster, CREC Foundation director presented the check. • Ripley High School - $750 • Noble County 4-H Archery Shooting Sports - $2,000 • Stillwater Public Schools - $975 • First Baptist Church, Tryon - $500 • Luther Public Schools - $3,000 • Town of Langston - $1,500 • Morrison High School - $1,000 • Luther Senior Citizens - $1,199 • Three individuals received funds totaling $1,750 The foundation is accepting applications. Completed applications are due by the 15th prior to the month of the board meeting. Board meetings are slated for: Kendra Barnes (center), Carney High School teacher accepted a $2,000 grant from Buddy Habben (left), CREC trustee; and Dennis Delano (right), CREC Foundation director. • Thursday, May 29, 2014 • Thursday, Aug. 14, 2014 • Thursday, Nov. 13, 2014 If you are currently enrolled in the Operation Round Up program, thank you for your generous contributions and support. Call a CREC Advantage Representative at (405) 372-2884 or (800) 375-2884 if you would like to enroll in Operation Round Up or make a donation to the CREC Foundation. Find applications and learn more about the foundation at, http://www.crecfoundation.org. Stillwater CARES, Inc. received a foundation grant, which was accepted by executive director, Quinn Schipper (right) and presented by Mark Pittman (left), CREC trustee. 7 PRE-SORTED STD U.S. POSTAGE PAID STILLWATER, OK PERMIT NO. 191 3304 S. Boomer Rd. P.O. Box 1809 Stillwater, OK 74076 Smart Energy Source partner Building a Culture of Excellence Between the lines § Spring cleaning delivers safe, reliable power Spring gives us a chance to thaw out after a chilly winter. I take advantage of longer daylight hours by doing a little spring cleaning and yard work, but the seasonal shift isn’t all good news. The rapid change from harsh, cold air to warmer temperatures can trigger severe weather. CREC maintains our rights-of-way (ROW) to protect our lines and keep power flowing safely to your home. ROW maintenance keeps tree limbs and other obstacles away from high-voltage power lines. by Gary McCune, President, CREC Board of Trustees Our workers' and members' safety is our primary concern. Properly maintained ROW keeps our crews safe when restoring service and maintaining our system. Ensure trees are clear of power lines to keep your family safe. Power lines are a constant part of our landscape. We work hard to keep our ROW clear, but we need your help. Don’t plant trees or tall vegetation under power lines. 8 If severe spring weather blows through, a well-maintained ROW leads to fewer outages and a faster response time. When trees do fall, crews are able to restore service more quickly than they could with poorly maintained areas. As a not-for-profit company, CREC strives to keep costs affordable for you, our members. Maintaining our ROW is an important part of controlling costs as a clean ROW helps reduce line loss, which saves all members money. Safety, reliability and cost: this is why we believe in ROW ‘spring cleaning.’ If we compromise on one of these areas, it impacts the others. We aren’t willing to compromise at CREC. Maintaining our ROW is a priority for your safety, comfort and pocketbook.