Ju , 2020 Board Book · 7/28/2020 · Attendees were Dan Dutton, Bill Pascoe, Arleen Boyd, Jim...

BEC BOARD OF TRUSTEES

Dan Dutton, President District 1—Rockvale, MT to Clark, WY [email protected] 406-425-0897

Bill Pascoe, Vice President District 6—Absarokee, Columbus, Nye [email protected] 406-560-2075

Arleen Boyd, Secretary/Treasurer District 5—Absarokee, Columbus, Fishtail, Roscoe [email protected] 406-328-6645

Roxie Melton District 2—Boyd, Columbus, Joliet, Roberts [email protected] 406-426-0135

Jim Neu District 3—Red Lodge, Roberts [email protected] 310-567-9418

Richard Nolan District 4—Luther, Red Lodge, Roberts [email protected] 406-425-2269

Ralph Lewis District 7—Big Timber, Columbus, Greycliff, Molt, Rapelje, Reed Point [email protected] 406-321-1768 ______________________________________

Kevin P. Owens, PE General Manager PO Box 1110 1306 Broadway Ave N Red Lodge, MT 59068-1110 [email protected]

Beartooth Electric Cooperative, Inc.

July 28, 2020 Board Book

Beartooth Electric Cooperative, Inc. Regular Board Meeting

Tuesday, July 28, 2020 | Noon

Zoom Meeting: https://zoom.us/j/98684551255 Call in: 253-215-8782

Meeting ID: 986 8455 1255, Personal ID: #

Agenda

• Call Meeting to Order & Roll Call

• Pledge

• Visitor Comments

• Approve Agenda

• Approve Minutes

• June 30, 2020 Board Meeting • July 8, 2020 Special Board Meeting

• Committee/Trustee/Attorney Reports • Finance Committee (Dan Dutton) • Risk Management Committee (Arleen Boyd & Bill Pascoe) • Bylaw Committee (Arleen Boyd) • Policy Committee (Roxie Melton) • Communication Committee (Richard Nolan) • Treasurer’s Report (Arleen Boyd)

CONSENT AGENDA (Items 7-9, shown in blue)

• Membership Connections and Cancellations, Capital Credit to Estates, Registers, Reports, and Summary of Disbursements

• Financials – Brad Prophet • 2020—Draft June Financial Statements

https://zoom.us/j/98684551255

• Staff Reports • General Manager Report—Kevin P. Owens • Member Communication & Services Report—Kaaren Robbins • Line Superintendent Report—Eric Elton

• New Business

• Resolution Bank Signatures—Motion • Trustee Policy TP205 Meetings and Compensation—Discussion • General Manager Evaluation—Discussion • Habitat for Humanity—Motion • MECA

- 2020 Annual Meeting - Standing Committee Members - Board Director Certification - MECA Voting Credentials

• Unfinished Business

• RUS/FBB Refinancing—Motion • FERC PURPA Update-—Bill Pascoe • FERC Net Metering Update—Kevin P. Owens

• Upcoming Meetings • BEC Bylaw Committee Meeting | August , 2020 | TBD | • BEC Finance Committee Meeting | August 20, 2020 | 2:00 PM | ZOOM:

https://zoom.us/j/91343250155, Call-in: 253-215-8782, Meeting ID: 913 4325 0155, Meeting ID: 913 4325 0155, Personal ID: #

• BEC Finance Committee Meeting | August 25, 2020 | 11:00 AM | ZOOM: https://zoom.us/j/93552206953, Call-in: 253-215-8782, Meeting ID: 935 5220 6953, Personal ID: #

• BEC Policy Committee Meeting | August , 2020 | TBD | • BEC Risk Management Committee Meeting | August , 2020 | TBD | • BEC Regular Board Meeting | BEC Video Conference | August 25, 2020 | Noon |

https://zoom.us/j/93552206953, Call-in: 253-215-8782, Meeting ID: 935 5220 6953, Personal ID: #

• Executive Session

• Executive Action

• Adjourn




Beartooth Electric Cooperative Regular Board Meeting

Tuesday, June 30, 2020 | Noon ZOOM MEETING

Minutes

Beartooth Electric Cooperative will be referred to as BEC herein. The Glossary of Terms and Acronyms website link is https://www.beartoothelectric.com/wp-content/uploads/BEC_Glossary_2020.pdf

1. Call to Order: Board President, Daniel Dutton, called the meeting to order at 12:00 p.m.

2. Pledge of Allegiance

3. Roll Call Board Present via video conference: Presiding: Daniel Dutton,

Arleen Boyd, Daniel Dutton, Roxie Melton, Bill Pascoe, Dick Nolan, Jim Neu, and Ralph Lewis Counsel: Larry Martin, Legal Counsel Staff: Kevin P. Owens, General Manager Eric Elton, Line Superintendent Brad Prophet, Accountant Kaaren Robbins, Member Communication & Services Visitors: Jo Ann Eder, Habitat for Humanity Workforce Housing POC Frank Willett, Finance & Risk Management Committee Member

4. Visitor Comments

Jo Ann Eder presented the current Habitat for Humanity Helena and Red Lodge Area Community Foundation (RLACF) home construction project in the Spires with a request for sponsorship from BEC. General Manager Owens will follow-up with Jo Ann and the Habitat for Humanity and RLACF team to discuss the opportunity and define BEC’s role and responsibility.

5. Approve Agenda MOTION A motion was made by Arleen Boyd and seconded by Roxie Melton to accept the June 30, 2020, agenda with edits. Motion carried. Voting was unanimous.

https://www.beartoothelectric.com/wp-content/uploads/BEC_Glossary_2020.pdf

6. Approve Minutes

• April 26, 2020 Board Meeting MOTION A motion was made by Ralph Lewis and seconded by Richard Nolan to accept the minutes of the April 26, 2020, regular board meeting as presented. Motion carried. Voting was unanimous.

• May 2, 2020, Board Meeting

MOTION A motion was made by Arleen Boyd and seconded by Roxie Melton to accept the minutes of the May 2, 2020, regular board meeting as presented. Motion carried. Voting was unanimous.

• June 5, 2020, Special Board Meeting MOTION A motion was made by Ralph Lewis and seconded by Jim Neu to accept the minutes of the June 5, 2020, special board meeting as presented. Motion carried. Voting was unanimous.

• June 18, 2020, Special Board Meeting MOTION A motion was made by Ralph Lewis and seconded by Roxie Melton to accept the minutes of the June 18, 2020, special board meeting as presented. Motion carried. Voting was unanimous.

7. Committee/Trustee/Attorney Reports • Finance Committee (Daniel Dutton & Julie Lindgren)

MINUTES OF FINANCE THE COMMITTEE MEETING 2:00 pm, 06/25/2020 (ZOOM) Attendees: Arleen Boyd, Frank Willett, Julie Lindgren, Dick Nolan, Roxie Melton, Jim Neu, Kevin Owens, Kaaren Robbins, Dan Dutton. Kevin Owens indicated that the Northwestern Energy transmission rate charge to BEC (2019-2020 actual) was $4.832/kW. The 2020-2021 true up rate will be $4.021/kW (June 1, 2020, to June 1, 2021). The current pass-through charge to BEC members is $0.003616 per kWh. The new Northwestern transmission rate will result in a reduction in the pass-through to BEC members of $0.002019 per kWh ($123,463 July 2020 to July 2021). No action is required by the Board. Dutton reported that the 2019 update of the BEC Strategic Plan indicated that the Board would address Equity Management Issues and establish policies (with numerical guidance ranges) to help better run the coop going forward. To this end, the Finance Committee has taken on the task to ‘Develop an Equity Management Policy.’ In developing this policy, the Committee will focus on a) Establishing Financial Targets, e.g., equity percentage range,

TIER ratio, debt service coverage, cash reserves, immediate cash liquidity, etc. and b) Capital Credits. The Committee will examine the current BEC Capital Credits practices and consider and implement changes to how BEC allocates and retires patronage capital. New ways, member options, and timing of Capital Credit payout will be considered to reflect the changing demographics and needs of BEC members and to make it fair and meaningful to all members. The initial focus of the Committee will be on the establishment of financial targets part of the policy. However, some effort will be given to collecting ideas and data to support the capital credits part of the policy. The final policy will reflect not only metrics and methodologies but also the rationale for how the metrics and methods were arrived at. Currently, BEC’s equity as a percentage of total assets (April 30, 2020) is 44.49%. The capital credits allocation is based on margins, less non-operating margins. The Board approved a 5% allocation in April, and the retirement is scheduled for November in the 2020 budget for $444,051. Many ideas were put forth by the attendees, and Dutton will cobble these together and send out to Committee and Board members. All were encouraged to submit additional ideas for distribution before the next meeting. Kaaren Robbins will request copies of the ‘Capital Credits Task Force Report’ (NRECA) and ‘Considering Equity Management’ (CFC) for distribution. The next non-Board Finance Committee meeting is at 2:00 PM, Wednesday, July 22, 2020 (ZOOM).

• Risk Management Committee (Arleen Boyd & Bill Pascoe) RISK MANAGEMENT COMMITTEE MEETING, June 15, 2020, 10 AM Committee attendees: Bill Pascoe, Frank Willett, Jim Rodgers, Dan Dutton, Arleen Boyd. Board and member participants: Dick Nolan, Ralph Lewis, Bruce Austin, Jim Movius, Gary Thompson, David Peterson (later phone input), Kevin Owens, Kaaren Robbins.

Agenda • Meeting objectives and process – Arleen Boyd • Introduction – Bill Pascoe • Background. Why we can make the changes – Kevin Owens • Presentation – Russ Schneider • Report. Russ Schneider (with Bill and Kevin) • Points and questions – Group, Russ, Bill, Kevin Owens. (Arleen

intro/chair) • Recommendation Discussion. Arleen chair/record. Bill lead

discussion

- Add periods with no system charge? - What periods? - Timing/implementation?

The meeting convened at 9:30. Objective to review report and slides prepared by Russ Schneider outlining calculated impacts of possible Amendments to the rate design proposal recommended to the Board and scheduled for a vote at the June 30 board meeting.

Bill Pascoe noted: The new report shows alternatives for maintaining a revenue-neutral approach while allowing times when system demand charges would not be applied. Data collected and compared now (15% of meters) is much higher than that available when the initial report to the Board was done, and much more data will be available by April 2021 when a change would go into effect; demand units now are different from those in the COSA; the current report shows higher KW demand than averages in the COSA, generating greater revenue; with greater average demand the rate design can be implemented as revenue-neutral without collecting system charges all hours seven days a week to assess the 15-minute monthly peak for each member; limiting hours will require more data since limiting hours for system charges may have a negative impact on revenue – need to rerun numbers for a proposed alternative, not in the presentation list – with 10 substations additional numbers will need to be done by April 2021 when bills will have changes in effect.

Kevin Owens reported: NorthWestern Energy coincident demands that BEC is billed do not normally occur on Sunday, so there is no cost for BEC if member system charges are not applied on Sunday; he was not focused on capacity calculations to drive the alternatives; members have said that they do not want to change how/when they use energy for family chores to reduce system charges; Sunday without system charges could allow members to do high energy chores without charges; the charts in Russ’ presentation show peak use time comparisons clearly and some hours and days have low energy use while others show high BEC member coincident peaking.

Russ: Good data now at BEC; member use 7:00 A.M. to 9:00 P.M. account for 96.7% of residential demand at BEC; BEC and NWE have very similar coincident peaking with, new data, new demand estimates indicate $126,000 more revenue collected than calculated based on COSA demand numbers; peak hours 7:00-9:00 morning and evening for BEC close to NWE 7:00-9:00 morning and 4:00- 7:00 P.M.; highest days Tuesday and Wednesday. Russ Schneider’s Slide -- Takeaways and Opportunities • All peak hour scenarios result in reduced system charge

revenue compared to the base

• All peak hour scenarios have less impact on revenue than the indicated higher demand levels

• Provides the opportunity to make peak hour only system charge without raising rate components

• Potential to keep proposed rates, but add detail on applicable hours Still advisable to follow the implementation process and data checks

Bill Pascoe: proposal for two consensus proposals was approved by committee and group unanimously: • System charge hours limited for residential and small

commercial members with the impact on revenue calculated and workable for members and the co-op.

• BEC will run a revenue check in Q4, 2020, to verify meter data and confirm that adding full implementation of the system charges is revenue neutral for each class. The Board could adjust the system charge hours or rates, then if there is a significant variance from revenue neutrality. The process of examining the revenue impact of the rate design charges would be part of the BEC budget and planning process each year.

Discussion of what hours and days the system charges should be applied Kevin: Days -- Monday-Saturday best -- Sunday no charge due to no NWE coincident charges. Times 7:00 A.M. through 9:00 P.M.

Bill: prefer 7:00 A.M. through 9:00 P.M. 7 days per week to secure revenue collection for substation peaks, but open to limiting times in off-peak hours to allow members greater flexibility to control their system charges. Including all days and most hours allows for eliminating some system charge times later – Adding times is more complicated than reducing. Carve out early afternoon hours O.K., but not Sundays.

Jim Rodgers: Sunday peak hours look higher than three other days – would keep Sunday in. Bill supports general 7:00 A.M. until 9:00 P.M. – Limiting to 7:00 A.M. – 9:00 A.M and the same hours in the evening allows members the flexibility to tweak activity and does not require doing chores at midnight.

Dan Dutton: Prefer Monday through Saturday 8:00 A.M. through 7:00 P.M. – giving people a break after 7:00 P.M. works for members. It can change later if advisable.

Jim Movius: Simple is good – revenue-neutral O.K. but not a primary objective – more revenue is safe for the coop, and every year BEC may change revenue based on needs. Look hard at opening a break in the day, like options E, J, and P.

Dick Nolan: Prefer every day but Sunday – hours based on calculations, no preference

Bruce Austin: Charges 7days per week, two hours in the evening (4;00- 6:00) one in the morning ending at 8:00. Hits peak demand times and help members and small businesses manage system charges.

Ralph Lewis: Agree with Bill – agree with Bruce on 7-day billing Gary Thompson: It is all about fairness -- supports alternative J strongly (7-11:00 morning and 4-8:00 evening) David Peterson – (phone input) Approves some choice for members based on calculations that show revenue close to the assumptions and data discussed for the vote to do the rate change. Keep it simple, so changes can be made later if necessary. Next steps: Group And Russ agreed that Russ would run alternative Q data. Kevin noted that all scenarios could work according to the data, and we could we can look at other options like Q.

• Bylaw Committee (Arleen Boyd) The Bylaw Committee will next meet in July 2020. The meeting information will be distributed once set.

• Policy Committee (Roxie Melton) The Policy Committee will document the policies for review in 2020 and take policy revision requests required by staff. A meeting will be scheduled following these actions.

• Communication Committee (Richard Nolan) Kaaren Robbins will provide a review during the Member Communication and Services report scheduled in the Consent Agenda.

• Treasurer’s Report (Arleen Boyd) Treasurer Boyd stated there was no Treasurer’s report for June

2020.

CONSENT AGENDA (Items 7-9, shown in blue)

8. Membership Connections and Cancellations, Capital Credit to Estates, Registers, Reports, and Summary of Disbursements

9. Financials—Brad Prophet

• Accountant Brad Prophet presented the draft May 2020 financials.

10. Staff Reports

• General Manager’s Report—Kevin Owens - Following the 30-Day Notice approved by the Board at the April

28 Board Meeting, a significant amount of time has been spent working with EES/GDS and Staff to look at further refinements to the proposed rate design. As various options were reviewed, several showed merit for further discussion, Bill Pascoe joined the discussion and added additional comment and recommendations that the team should further explore. EES/GDS prepared a summary document of all of the options with associated revenue implications. This document was brought forward to the Risk Management Committee for further discussion to reach consensus with a recommendation to the Board to be made at the June 30 Board Meeting. I fully support the recommendation being brought forward that is representative of feedback received from members balanced with meeting the objectives of the rate design effort.

- Bill Pascoe and I have stayed engaged in the NWE FERC rate case.

The process has been slow and arduous, but we are making progress. Bill’s involvement in this matter has been invaluable to BEC members as well as the entire group of interveners. • NWE has made its annual adjustment to its transmission

rates that were approved by FERC, effective July 1, 2019. BEC has reviewed the new annual adjustment, effective June 1. The new proposed rate will be presented to the Finance Committee on June 25, with a recommendation to be brought forward to the June 30 Board Meeting.

- Of particular note is a change in priorities for our line crews for the rest of the year. The mapping of our electric distribution system was initially seen as a five-year project when it was started last year with the assistance of HELI, LLC. The objective of this effort is to thoroughly inventory our System to build a database of all structures and equipment. Each structure will be inventoried, grid coordinated, connectivity and phasing confirmed, photo logged, etc. The immediate benefit will be a verified account of the plant. The GIS information will be the foundation of our Outage Management System, Mapping/Staking, Engineering, Customer Information, Asset Management, System Analysis, etc. The impact of COVID-19 on our line crews allowed them to put a full-court press for several weeks to get our System inventoried. This project now has a very high likelihood of being completed by the end of the year. As a result, the pole replacement project may not meet its target of 200 poles. However, the system inventory project has identified approximately 70 poles in need of immediate replacement.

- Facility Projects • An architect was engaged in providing a security upgrade

design to the front office pay station/receptionist. Design/construction documents will be finalized by the end of June, and bids will be solicited in July.

• A commercial roofing contractor has been hired to conduct leak repairs on the metal roof seam running the length of the west roof exposure. The contractor will also repair the east roof joint with the loading dock roof. There is no seal left on this joint, and it creates quite a shower, which has led to icing conditions on the loading dock.

• A contractor has been hired to drill an irrigation

well/pump for landscaping purposes on the west lawn area. - A landscape plan has been submitted to an irrigation

design/ materials supplier. This firm will provide a final design and materials list. Bids will be solicited in July from recommended irrigation companies.

• Communication and Member Services Report—Kaaren Robbins - August Billing Insert

• The August newsletter will feature the results of today’s Rate Design direction and the implementation calendar, bill assistance programs, etc. Content is requested by July 10.

- August Billing Insert

• The August bill insert will include pullout information from our rate design newsletter content as well as the coop calendar, bill assistance programs, etc.

- July Billing Memo

• Bill Assistance messaging.

- Member eNewsletter (NOTE: open rates have doubled with the move to a Constant Contact platform over the previous MailChimp platform) • July 10 – Rate Design, Board Meeting Highlights • July 24 – Board Meeting (July 28)

- Website

• Rate Design calculator in production—work will continue based on today’s rate design board action.

• Updates performed regularly with new information.

- Youth Programs • Beartooth Electric Scholarship and BEC MECA candidate checks

mailed in June. • Possibility? Youth Tour was canceled for 2020 due to the

COVID-19 pandemic. Some co-ops are taking the funds for the youth tour and awarding their selected candidate with a

scholarship. Board thoughts will be requested during the June meeting.

- NEW Billing Statement Development

• The new statement format, design, and programming can commence with the Rate Design direction upon today’s board action. Based on this timeline, the new statement launch is anticipated on the October statement (September billing).

- 2020 Annual Meeting

• Comments, suggestions?

- Electronic Forms Development • A new New Construction Application is in development as

well as identification of other form needs.

- Facebook • Content follows board meeting information, press releases,

and RM

- BEC Membership Application • Work will be able to begin after the Annual Meeting and the

approval/non-approval of updated and amended bylaws.

- BEC New Member Welcome (email & hard copy package) • Work in progress-awaiting membership application

- Shares du Soleil

• Will provide at the meeting.

- Operation Round Up • Operation Round Up received $122.89 billed on 6/5/2020. 203

Accounts and 187 Customers. • Operation Round Up received $115.13 billed on 5/6/2020. 202

Accounts and 186 Customers.

- Residential Home Energy Assistance Program (formerly LISD/LIDD) • Total Energy Assistance Discount Accounts for May 2020

billed on 6/5/2020. WY: $48.89 and MT: $252.58 = Total $301.47. The total number of accounts is 47.

• Total Energy Assistance Discount Accounts for April 2020 billed on 5/6/2020. WY: $64.77 and MT: $358.66 = Total $423.43. The total number of accounts is 47.

- BEC Cares COVID-19

• Four members have applied and been approved for BEC Cares COVID-19 Assistance. The total amount awarded to date is $641.55 of the $5,000 account.

- MT LIEAP • MT LIEAP provided additional COVID-19 assistance for 18

members totaling $3,846.00.

- NISC Enterprise System Update June 2020 • SmartHub is not reporting Net-Metered accounts correctly.

Jim and I are working on this issue from both the Aclara and NISC sides. Aclara’s net-meter info (generation, consumption, net now appears to be reporting the NISC correctly). However, the daily gaps in reporting continue. NISC is now working on the net-meter info feeds to correct the SmartHub reporting. This has been a long process and will take a bit more time to complete.

• SYSTEMS UPDATE - Installed Systems

• ABS • Customer Information System (CIS) • CashRegister • Remitlus • SmartHub • Engineering & Operations (E&O) • Automated Meter Information (AMI) • Work Management Solutions (WMS) • Docuvault • Meter Data Management System (MDMS) • Mapwise-Mapping/Mapwise-Staking

- OMS

• BEC went live with OMS the week of March 23. • Horizon (BEC’s after-hours dispatch service is testing an

internet interface that allows them to enter right into the AppSuite System as they are not a MultiSpeak ready organization. Due to the overwhelming Horizon need to cover closed business phone calls-this is delayed.

• A few loose ends are work in progress to be 100% operational.

- Prepay • Implementation has been delayed with kick-off now scheduled

for April 2021.

- OTHER • Billing Statement Programming

- The next steps will progress upon rate design board approval.

• Line Superintendent Report—Eric Elton CONSTRUCTION, OPERATIONS & MAINTENANCE - The Red Lodge crew has been working on new services and

mapping. They have also completed a 3 mile overhead to underground conversion in the Butcher Creek area.

- The Columbus crew is also putting in new services, and they too are mapping. To date, we are at 76% of the mapping of the whole System.

- We did lose more riverbank this spring from the high water. After the water recedes, we can look at the Columbus East crossing. (We do know the river was flowing around the line change that we completed last summer). The Columbus Crew had to move one river crossing pole back at Reed Point do to the river washing the bank away.

- Marty sees a large number of calls for new services again. Covid-19 doesn’t seem to be slowing down our work and people building this summer.

- We are in the process of having the .5 acres subdivided off for the new Columbus East Substation. There is a good chance we may end up with most of if not all the steel and buss for the substation thanks to Lower Yellowstone. They are taking several subs out of service in 2020 and 2021. (HDR is confident that they can engineer the steel into our new sub).

- We installed 15 new services in April and May.

- There was a total of 41 outages system-wide in April and May.

- We had 914 individual consumers out of power at some point in April and May for 3760 minutes. Northwestern Energy did have one of our substations out of service on 5/07/20.

EDUCATION, SAFETY & LOSS - THE next MECA safety meeting is July 1.

- No lost time accidents to report for April and May.

TRUCK, TOOLS & EQUIPMENT - The bucket truck in Columbus is back in service.

MOTION A motion was made by Jim Neu and seconded by Richard Nolan to accept the Consent Agenda as presented. Motion carried. Voting was unanimous.

10. New Business • Consideration of Adjustments to the 2020 Budget

- No adjustments are required.

• Corporate Attorney Process Review - President Dutton and Trustee Pascoe will conduct the review.

• Trustee Policy TP205 Meetings and Compensation

- President Dutton reviewed the policy and expense reporting dates.

• NEW Transmission Rate Decrease

MOTION A motion was made by Bill Pascoe and seconded by Richard Nolan to reduce the energy charge by $0.001786 p/kWh for all rate classes to pass-through the decrease in NEW’s transmission rate beginning with July 1, 2020 consumption. Motion carried. Voting was unanimous.

11. Old Business • Rate Design | May 7, 2020 Member Notice Action

The Beartooth Electric Cooperative (BEC) Board of Trustees notified co-op members that it would vote on proposals to adjust rates for all customer classes at the June 30, 2020 Board meeting. The action taken is the following motion: MOTION

A motion was made by Bill Pascoe and seconded by Richard Nolan to, a) adopt the rates as listed in the Member Notice dated May 2020 for all rate classes beginning April 2021; b) reduce the rates in the Member Notice dated May 2020 to reflect the NWE transmission rate reduction of $0.001786 p/kWh effective July 1, 2020; c) limit the System Charge billing hours for the Residential and Small Commercial rate classes to 7:00 AM to 10:00 AM and 4:00 PM to 8:00 PM, seven days a week; and d) commit to conducting a revenue-neutral check of all rates by the end of 2020 to ensure they are revenue neutral as intended. If rates are not revenue neutral, the Board may consider an adjustment before the April 2021 implementation date. Motion carried. Voting was unanimous.

• 2019 Form 990 | Discussion / Acceptance President Dutton reviewed the April 2020 board meeting discussion and the subsequent legal reporting responsibility presented by Council regarding the 2019 Form 990. He then called for acceptance of the 2019 Form 990.

MOTION A motion was made by Dan Dutton and seconded by Arleen Boyd to accept the 2019 Form 990 as prepared by Accountant Prophet and submitted to the IRS. Motion carried. Voting was unanimous.

President Dutton then called for a motion regarding the website posting of the 2019 Form 990.

MOTION A motion was made by Arleen Boyd and seconded by Bill Pascoe to post on the Beartooth Electric website the 2019 Form 990 as submitted to the agency. Motion did not carry. Voting was 2-Aye, 4-No.

President Dutton called for any other motions regarding the 2019 Form 990.

MOTION A motion was made by Richard Nolan and seconded by Ralph Lewis to post the 2019 Form 990 as the current practice on the website identifying Trustee remuneration with a note that employee information is available upon request. Motion carried, which required a tie-breaking vote by President Dutton. Voting was 4-Aye, 3-No.

12. Upcoming Meetings • BEC Bylaws Committee Meeting | Date TBD • BEC Finance Committee Meeting | July 22, 2020 | 2:00 PM |

https://zoom.us/j/99095046794, Meeting ID: 990 9504 6794, Personal ID: #, 253 215 8782

• BEC Risk Management Committee Meeting | Topic: Irrigation Rates. Date TBD

• BEC Regular Board Meeting | ZOOM Meeting | July 28, 2020 | Noon

13. Executive Session

• No Executive Session Required.

14. Executive Action

• No Executive Action Required.

15. Adjourn


` President Dutton moved, and Richard Nolan seconded to adjourn the meeting at 3:23 PM. Motion carried. Voting was unanimous.

ATTEST: __________________________________ Arleen Boyd, Secretary

Minutes of Special Board Meeting (Zoom)

July 8, 2020, 8am A special Board Meeting was held at 8am on July 8, 2020, to modify an action taken at the June 30, regular Board Meeting to reduce BEC rates to reflect the recent decrease in NEW’s transmission rates. Attendees were Dan Dutton, Bill Pascoe, Arleen Boyd, Jim Neu, Dick Nolan, Roxie Melton, Ralph Lewis.

Two motions were put forth by Bill Pascoe and voted on. Each passed unanimously.

Motion #1—At its June 30, 2020 meeting, The Board approved a reduction of $0.001786/kwh to the energy charge for all classes effective July 1, 2020 to pass on a reduction in the rates BEC pays to Northwestern Energy for transmission service. This motion, if approved by the Board, would rescind the Board action described in the previous sentence and instead approve a reduction of $0.001726/kwh to the energy charge for all classes effective July 1, 2020 to pass on a reduction in the rates BEC pays to Northwestern Energy for transmission service.

Motion #2—This motion, if approved by the Board, would direct staff to take steps to break out the transmission component of the energy charge (currently $0.009524/kwh)on member bills no later than when the new bill format is implemented.

Thanks, Dan Dutton. July 23, 2020.

MINUTES OF FINANCE COMMITTEE MEETING (ZOOM)

2:00 PM, JUNE 22, 2020 Attendees: Dan Dutton, Kevin Owens, Arleen Boyd, Frank Willett, Dick Nolan, Bill Pasco, Jim Neu, Ralph Lewis, Roxie Melton, Brad Prophet, Kaaren Robbins.

Red Lodge Area Community Foundation (RLACF) has partnered with Statewide Habitat for Humanity to build four all electric homes in the Spires development served by BEC. Kevin has been working with the development team on the electrical components of one of the homes, including a 3.9 KW solar array which will be net metered. Participating in this project will provide BEC with a unique opportunity to partner with RLACF and Habitat for Humanity to educate members on the latest electrical technologies to improve the energy efficiency of a home. The cost to BEC to participate in this project is estimated at $27,500-32,500. Funding would be through the use of escheated funds from unclaimed capital credits which is earmarked for educational purposes. The consensus of the committee was to recommend funding and participation in the project. Dutton will prepare a motion for board consideration and vote at the June 25, Board Meeting.

With interest rates a unprecedented levels this past Spring, the Board directed staff to look into re-pricing BEC’s current loan portfolio. Staff reached out to both CoBank and CFC to develop a loan re-pricing proposal inclusive of all loans from CoBank, CFC and RUS/FFB for a winner take all RFP. Initial proposals were not encouraging and the project was put on hold due to the COVID-19. Action on the Cushion of Credit is not needed until 2023. Since putting the project on hold, loan rates have continued to fall and NRECA has lobbied Congress hard to include electric cooperatives in CARE type legislation. If this happens, RUS/FFB loans would be refinanced with appropriate Treasury Rates. Staff estimates $2.2 million in interest savings could be realized by BEC over the next 20 years. Consensus of the committee was to have staff continue to pursue re-pricing BEC’s current loan portfolio and, if financially attractive, present a package to the Board for consideration. Dutton will prepare a motion for Board consideration and vote at the June 25, Board Meeting.

In the development of an Equity Management Policy, one of the financial targets that will be examined and set is the desired cash reserve. Currently, it is targeted at $500,000. Reserves to cover three month operating costs and power costs would be about $2.1 million. The philosophy behind this number for the past 6-7 years has been to return cash to members as capital credits and rate reductions and use $4 million in line of credit options to finance emergencies. No consensus has been reached by the committee for recommendation to the Board. No consensus has been reached on the target range for equity as a percent of assets. The current target is 40-45%. Suggestions are on the table for 40-50%. We want to examine KRTA data for the state. TIER ratio and Debt Service were discussed. We want to look at KRTA and hear what the bankers suggest for ranges. The modified debt service goes away in March 2023. No forecast Compass model scenarios are planned before the next meeting.

Arleen will contact Seth Hart at CoBank for a possible presentation at the next committee meeting.

Brad reminded the Committee that the Board needs to vote on the capital credit disbursement at the October Board meeting.

Next scheduled meetings are August 20, 2020, 2:00pm and August 25, 2020, 11:00am prior to the Board Meeting to review 2Q financials.

Thanks, Dan Dutton. 7/23/2020

Risk Management Committee – July 22, 2020 -- 10:30

Agenda:

• Irrigation Class Rates/Rate design • Risk Management Focus 20-21

Committee Attendees: Bill Pascoe, Frank Willett, Walter Clapp, Dan Dutton, Arleen Boyd. Attendees: Russ Schneider, Dick Nolan, Ralph Lewis, Jim Neu, Jim Movius, Kaaren Robbins, Kevin Owens

Notes on Rate Design Discussion

Russ Schneider from EES Consulting presented information to the committee on historic loads for the irrigation class and on how revenues have compared to cost of service for the irrigation class in recent years. One take-away from this presentation is that the irrigation class has paid less than the full cost of service for many years. After some discussion, the committee (with one dissenting opinion) agreed to recommend to the Board that irrigation rates be increased to the full cost of service over 5 years. Based on the BEC COSA Model this recommendation would result in total annual revenue increases of approximately $20,000 per year or 5% per year for 5 years for the irrigation class.

Russ also presented a number of ideas for different rate designs that could be considered for the irrigation class. Kevin Owens suggested looking at separate classes for small and large irrigators. Other ideas were solicited from the committee, but none was offered, suggesting that Russ’s list was pretty comprehensive. Russ, Kevin and Bill Pascoe will work together to identify some possible rate designs to be analyzed and presented to the committee.

Next step Plans for Risk Management Committee

The committee reviewed a list of suggestions from committee members for 2020-2021 risk management focus along with the implementation of the new rate design for residential and small commercial member classes and analysis of potential rate design changes for the BEC irrigation class. There was discussion of how the committee’s risk management and due diligence analyses combine to help meet the fiduciary duty to examine decisions fully before committing resources.

Initial Committee Suggestions for focus 2020-2021

• Review of co-op, utility Industry and general corporate trends regarding risk management implementations – Jim Neu, Jim Movious and Arleen Boyd will identify potential sources for information and a presentation on current and emerging developments

• Conservation programs for members with benefit/impact analyses – There was agreement that members are very interested in this and BEC sees it as a point for

strategic planning and analysis. The committee will gather and review information (Pascoe, Owens, Boyd)

• Forecast and analysis of technology developments and revenue thresholds for significant impact of BEC member generation (net metering and other) – and possible expansion of co-op programs over time

• Climate change – Industry trends and potential impact on power supply and forecasted plans. Climate change is a topic of examination and concern throughout the utility industry. Committee will help BEC gather and review information.

• Catastrophic Risk – A committee member (Walter Clapp) raised the topic. Boyd and Neu volunteered to prepare an outline with Clapp defining the issue for the committee.

Longstanding committee objective were briefly discussed.

• Provide due diligence and risk evaluation to support fiduciary responsibilities of board, staff and committees for current and forecasted BEC action

• Define and examine alternatives and potential impacts/risks of forecasted investments and activities

• Review developing industry trends with potential impact on BEC • Help incorporate member concerns into analyses

Meeting adjourned at 1:30 pm

BEARTOOTH ELECTRIC COOPERATIVE, INC.RISK MANAGEMENT COMMITTEE MEETING

I R R I G AT I ON R AT E H I STORY A N D R AT E D ES I G N CO N S I D E R AT I O N SJ U LY 2 2 , 2 0 2 0

R U S S S C H N E I D E R , S E N I O R A N A LY S TR U S S . S C H N E I D E R @ G D S A S S O C I A T E S . C O M

570 Kirkland Way, Suite 100 Kirkland, WA 98033 Phone 425-889-2700 Fax 425-889-2725 www.eesconsulting.comKirkland, WA Spokane, WA Whitefish, MT Portland, OR LaQuinta, CA

mailto:[email protected]

Agenda1. Irrigation Load History

2. Irrigation COSA History

3. Current COSA Collection vs. Other Members ◦ BEC Modified Approach◦ EES Minimum System◦ EES 100% Demand

4. Rate Design Principles◦ Irrigation Rates Generally◦ Irrigation Rate Designs ◦ BEC’s Current Rate Design

◦ Pros and Cons◦ Areas for Improvement

5. Discussion and next steps

2

Irrigation Load History

3

Irrigation Peak Demand History

4

Irrigation Member Growth and Avg

5

COSA Results

6

Rate Class Revenues at Current Rates

Net Revenue Requirement

Revenue Neutral

Difference

Revenue Neutral

Cost Ratio

COSA CY 2015 - Minimum System

Irrigation $481,541 $702,694 -$205,262 65.2%

COSA CY 2015 100 Percent Demand

Irrigation 481,541 916,394 -422,815 50.0%

COSA CY 2016 - Minimum System

Irrigation 443,427 450,217 -70,810 81.0%

CY 2016 - 100 Percent Demand

Irrigation 443,427 573,214 -68,594 63.6%

COSA CY 2016 with 2017 Rates - Minimum System

Irrigation 413,543 450,217 -22,614 88.5%

COSA CY 2016 with 2017 Rates - 100 Percent Demand

Irrigation 413,543 573,214 -148,462 69.5%

CY 2020 - Minimum System

Irrigation 353,373 381,916 -28,544 92.5%

CY 2020 - 100 Percent Demand Approach

Irrigation 353,373 471,179 -117,807 75.0%

CY 2020 – BEC Modified COSA Approach

Irrigation 353,373 471,424 -118,052 75.0%

2020 COSA Results

And

Modified Results Using 5-Year Average kWh and Kw

7


Net Revenue Requirement Difference Revenue to

Cost Ratio

Revenue Neutral

Revenue to Cost Ratio

CY 2020 - Minimum System

Irrigation $353,373 $381,916 -$28,544 92.5%

CY 2020 - 100 Percent Demand Approach

Irrigation 353,373 471,179 -117,807 75.0%

CY 2020 – BEC Modified COSA Approach

Irrigation 353,373 471,424 -118,052 75.0%


Net Revenue Requirement Difference Revenue to

Cost Ratio

Revenue Neutral

Revenue to Cost Ratio

CY 2020 - Minimum System – 5 Year Average

Irrigation 395,785 413,114 -17,328 95.8%

CY 2020 - 100 Percent Demand Approach – 5 Year Average

Irrigation 395,785 501,787 -106,002 78.9%

CY 2020 – BEC Modified COSA Approach – 5 Year Average

Irrigation 395,785 505,484 -109,698 78.3%

Summary of Historical ResultsIrrigation as a rate class is under-collecting compared to cost of service under all approaches

The current amount of under-collection is between $18,000 and $118,000 overall◦ Only 122 members to collect this amount ◦ Best practice to mitigate annual impacts

With kWh focused rate changes this will likely increase due to portion of system charge costs

It is not uncommon for EES studies to see irrigation under-collecting based on historical preferences ◦ Role of irrigation members in rural electrification◦ Historical contribution of irrigation members to capital improvements◦ Active participation of irrigation members in cooperative governance◦ View that because of these factors under-collection were acceptable

Should under-collection continue? ◦ Policy decision of governing body

8

Rate Setting ConsiderationsRate setting is an art - Not a science

Existing rate levels and design

Member feedback

Utility goals and objectives

Regulatory constraints/requirements

Cost of service (COSA) results

Provides COSA unit costs for energy, demand and facilities charges for each rate class

Move toward COSA rates when it is within good utility practice for rate setting

9

Rate Design Scorecard

10

Rate Design Scorecard Current Rates Option 1

Option 2

Option 3

Option 4

Member PerspectiveRates should foster fairness and equity Rates should be comparableRates should be affordable Rates should be understandableRates should be stable, predictableRate should be cost-based

Rate Design Scorecard Current Rates Option 1

Option 2

Option 3

Option 4

Utility Steward PerspectiveRates must fully recover the utility’s revenue requirementRates should allow for sufficient funds to cover needed capital improvements to maintain and preserve the value of the systemRates should be fair and equitable and send proper price signals Rates should promote good customer serviceRates should promote economic efficiency Rates should provide for revenue stability and predictabilityRates should be simple and easy to administer

11

COSA Unit Costs (Min Sys)

COSA Unit Costs (100%

Demand)

COSA Unit Costs (Min Sys)

5-year avg

COSA Unit Costs (100%

Demand)5-year avg

BEC Modified

COSA Approach

BEC Modified

COSA Approach5-year avg

7/1/2020 RATE

4/1/2021 RATE

Base (/month)* $169.48 $139.16 $186.71 $156.39 $110.35 $127.57 $121.80 $121.80

Energy (/kWh) $0.03739 $0.03739 $0.03739 $0.03739 $0.04752 $0.04752 $0.043077 $0.039881

Transmission (/kWh) $0.009524 $0.009524

Energy (/kWh/total) $0.03739 $0.03739 $0.03739 $0.03739 $0.04752 $0.04752 $ 0.052601 $ 0.049405

Demand (/kW-mo) $20.35 $29.27 $18.61 $26.52 $28.05 $25.19 $12.40 $13.14

Irrigation COSA Unit Cost – Results

Common Areas of Interest – Irrigation Rates1. Seasonal or Year-round rates?

2. Demand or System Charge Billing?◦ Seasonal Peak◦ Annual Peak◦ Ratchet Demand◦ Contract Demand

3. Billing on Horsepower vs. KW vs. KVA?

4. Power Factor Penalty?

5. Base Charge Billed Monthly or Once a Year?

6. On-Peak or Off-Peak kWh and/or kW Charges?

7. Whether to have a separate irrigation class or group with commercial classes?

8. Whether to have more than one irrigation class for small or large irrigators?

9. What is an irrigation account, do golf courses and municipal watering count?

10. kWh vs. kW vs. Base charge mix

12

Next Steps and Areas of Inquiry for the Committee

13

BYRON ANDERSON PENNIE & RANDY MCGRAILADAM BAIRD STEPHEN & CHRISTINA MERRITTJORDAN BROCK ERNEST MILLERJIM CARR MOON GLOW, LLCMARY & TOM CASE JACQUI MORINJAMES CHRISTENSEN PHILIP & KATHLEEN NENNINGERJENNIFER CLARK ZACH NICODEMOUSCARMEN COTRELL MICHAEL ORTIZCOX SIMMONS ERL TRUST MARTHA PECKROBERT CRESAP II JIM & DONNA PEDRAZZILARRY DANIELS RUSSEL PHELPSGARY EPPING SHELI PLENGEFULLERTON REVOCABLE TRUST VIRGINIA RAINESSTACI & RYAN GRIMM ALON REDMANLEE ANN HARRISON TIM & KAREN SHEAJT & BROOKE HEAPS ROBBY & DAWN SMYREMOSES & MATTIE HERSHBERGER CHARLES SPENCERJACE KEMPH JULIANA STEVENSSCOTT KIEKOVER MATT & DANIELLE UNDERHILLCASEY KIRCHER ROY & KRISANNE WARDKATRINA KRUEGER WOLF AUTO CENTERMARK LIEBELT DUANE YOUNGRENJIM MAJERUS

ALTISOURCE SINGLE FAMILY INC KEN MCNABBBABETE ANDERSON MRS O M FULLERTONMARTIN BRATT JERRIE & JUDY NELSONSTEVE BRYANT STEVE & TAMMY NOVAKOVICHJANET COX KATHLEEN OSTRUMRONALD CROSBY BRIAN & NICOLE PAYNEESTEVAN & MARY DELEON TRAPPER PAYNEWILLIAM DOWDELL III ROBERT PERRETTHOMAS EASTLICK WALTER PIPKINRANDY & GAIL HARMON KRISTEN ROBERTSJULIE HAWKINS JOHN ROBINSONMARIAH & LEVI HINDERAGER ROBERT SALINASHOLMGREN TRUST LARS STENERONDI ISRAEL DAVID STERZERDANIEL LIPE PAM & SCOTT STODDARDKATY LOVE MARTHA UPSON

MRS O M FULLERTON $2,852.01 $1,557.96 $1,294.05

July 28, 2020JUNE 2020

MEMBERSHIP CONNECTIONS

MEMBERSHIP CANCELLATIONS

CAPITAL CREDITS Capital Credits Allocated

Discounted Refund to Member

Retained by Co-Op

MYRTLE HALVORSON $709.43 $519.33 $190.10AGNES SILLIVAN $423.11 $371.31 $51.80MARTHA UPSON $2,407.41 $1,086.67 $1,320.74TOTALS $6,391.96 $3,535.27 $2,856.69

GrandTotals:

Tot ActiveAmt

ActiveAcct

Tot InactiveAmt

InactiveAcct

ActiveCredit Amt

ActiveCrd Acct

Inactive Credit Amt

InactiveCrd Acct

ActiveDebit Amt

ActiveDeb Acct

InactiveDebit Amt

InactiveDeb Acct

30 Day .00 0 666.77 7 .00 0 .00 0 .00 0 666.77 7

60 Day .00 0 582.40 7 .00 0 .00 0 .00 0 582.40 7

90 Day .00 0 1,740.05 7 .00 0 .00 0 .00 0 1,740.05 7

Current .00 0 463.67 26 .00 0 -560.30 5 .00 0 1,023.97 21

Total AR .00 0 3,452.89 31 .00 0 -560.30 5 .00 0 4,013.19 26

Budget Due .00 0 .00 0 .00 0 .00 0 .00 0 .00 0

Total Bill Amt Curr Bill Amt Total Bill Past Total AR Current AR 30 Day 60 Day 90 DayGrand Totals: $3,452.89 $463.67 $2,989.22 $3,452.89 $463.67 $666.77 $582.40 $1,740.05

Beartooth Electric Co-Op.,Inc.

07/20/2020 04:01:47 pm OPEN BALANCE REGISTER Page: 1

Total Bill Amt Curr Bill Amt Total Bill Past Total AR Current AR 30 Day 60 Day 90 Day

28019 coop.nisc.cis.batch.module.support.openbalanceregister.OpenBalanceRegisterMainBO sfletche

Accumlated provisions set aside for Uncollectable Write-Off accounts as of June 30, 2020, is $58,607.28.Capital Credits to be applied with General Retirements, if not paid.

DATE CITY DISCONNECTED RECONNECTEDJune 2019 FISHTAIL June 24, 2019 June 24, 2019

RED LODGE June 24, 2019 June 25, 2019ROBERTS June 24, 2019 June 24, 2019ABSAROKEE June 24, 2019 June 24, 2019BELFRY June 24, 2019 June 24, 2019

July 2019 RED LODGE July 30, 2019 August 5, 2019ROBERTS July 30, 2019 July 30, 2019POWELL July 30, 2019 August 12, 2019

August 2019 BELFRY August 22, 2019 August 23, 2019BRIDGER August 22, 2019 August 22, 2019GREYCLIFF August 22, 2019 still disconnectedJOLIET August 22, 2019 May 6, 2020NYE August 22, 2019 August 26, 2019POWELL August 22, 2019 August 22, 2019ROBERTS August 22, 2019 August 22, 2019

September 2019 FISHTAIL Sept. 19, 2019 Sept. 19, 2019ROSCOE Sept. 19, 2019 Sept. 19, 2019ROSCOE Sept. 19, 2019 Sept. 19, 2019COLUMBUS Sept. 19, 2019 Sept. 24, 2019ROBERTS Sept. 19, 2019 Sept. 27, 2019BOYD Sept. 19, 2019 Sept. 24, 2019

October 2019 NO DISCONNECTS

November 2019 NO DISCONNECTS

December 2019 NO DISCONNECTS

January 2020 NO DISCONNECTS

February 2020 NO DISCONNECTS

March 2020 NO DISCONNECTS

April 2020 NO DISCONNECTS BECAUSE OF COVID-19

May 2020 NO DISCONNECTS BECAUSE OF COVID-19

June 2020 ABSAROKEE June 30, 2020 June 30, 2020

COLUMBUS June 30, 2020 June 30, 2020

BRIDGER June 30, 2020 June 30, 2020

BRIDGER June 30, 2020 June 30, 2020

ROBERTS June 30, 2020 June 30, 2020

POWELL June 30, 2020 June 30, 2020

FISHTAIL - Remote June 30, 2020 June 30, 2020

ROBERTS - Remote June 30, 2020 July 9, 2020

ROBERTS - Remote June 30, 2020 June 30, 2020





COLUMBUS - Remote June 30, 2020 June 30, 2020

COLUMBUS - Remote June 30, 2020 June 30, 2020

Notices went out with Past Due Balances due 6/29/2020.

Delinquent accounts were called 6/15/2020.

DISCONNECT NON PAY

According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB

control number. The valid OMB control number for this information collection is 0572-0032. The time required to complete this information collection is estimated to average 15 hours per

response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.

BORROWER DESIGNATION

MT0019

PERIOD ENDED

FINANCIAL AND OPERATING REPORT June 30, 2020

BORROWER NAME

INSTRUCTIONS-See help in the online application BEARTOOTH ELEC COOP INC

This information is analyzed and used to determine the submitter's financial situation and feasibility for loans and guarantees. You are required by contract

and applicable regulations to provide the information. The information is subject to the Freedom of Information Act (5 U.S.C. 552)

CERTIFICATION

We recognize that statements contained herein concern a matter within the jurisdiction of an agency of the United States and the making

of a false, fictitious or fraudulent statement may render the maker subject to prosecution under Title 18, United States Code Section 1001.

___X___ All of the obligations under the RUS loan documents have been fulfilled in all material respects.

_________ There has been a default in the fulfillment of the obligations under the RUS loan documents. Said default(s) is/are

specifically described in Part D of this report.

7/22/2020

DATE

7/22/2020

DATE

YEAR-TO-DATE

ITEM LAST YEAR THIS YEAR BUDGET THIS MONTH

(a) (b) (c) (d)

1. Operating Revenue and Patronage Capital................................... 4,500,800 4,549,116 4,449,175 716,824

2. Power Production Expense............................................................... 0 0 0 0 3. Cost of Purchased Power............................................................... 1,673,947 1,730,665 1,768,247 251,421

4. Transmission Expense..................................................................... 2,258 2,197 2,708 366

5. Regional Marketing Expense………………………………………….. 0 0 0 0

6. Distribution Expense-Operation...................................................... 555,777 701,460 541,036 100,215

7. Distribution Expense-Maintenance................................................. 289,265 244,689 290,667 68,359

8. Consumer Accounts Expense.......................................................... 161,693 152,489 159,559 27,594

9. Customer Service and Informational Expense............................... 62,241 54,258 62,570 8,729

10. Sales Expense................................................................................. 3,988 5,419 3,702 850

11. Administrative and General Expense........................................... 642,958 621,353 636,440 97,498

12. Total Operation and Maintenance Expense (2 thru 11)................. 3,392,127 3,512,530 3,464,929 555,032

13. Depreciation and Amortization Expense........................................ 540,127 561,242 554,008 94,195

14. Tax Expense - Property and Gross Receipts.................................. 0 0 0 0

15. Tax Expense - Other......................................................................... 919 1,048 1,406 119

16. Interest on Long-Term Debt............................................................ 302,707 275,682 279,525 44,563

17. Interest Charged to Construction - Credit...................................... 0 0 0 0

18. Interest Expense - Other.................................................................... 768 708 600 121

19. Other Deductions............................................................................. 900 900 900 150

20. Total Cost of Electric Service (12 thru 19).................................... 4,237,548 4,352,110 4,301,368 694,180

21. Patronage Capital and Operating Margins (1 minus 20)............... 263,252 197,006 147,807 22,644

22. Non Operating Margins - Interest................................................... 64,140 42,628 41,455 6,726

23. Allowance for Funds Used During Construction.............................. 0 0 0 0

24. Income (Loss) from Equity Investments........................................ 0 0 0 0

25. Non Operating Margins - Other................................................... (3,331) 7,412 1,019 66

26. Generation and Transmission Capital Credits............................. 0 0 0 0

27. Other Capital Credits and Patronage Dividends............................. 32,562 38,310 32,000 274

28. Extraordinary Items.......................................................................... 0 0 0 029. Patronage Capital or Margins (21 thru 28)..................................... 356,623 285,356 222,281 29,710

Rev 2010

BRAD PROPHET, ACCOUNTANT

DRAFT

KEVIN P. OWENS, GENERAL MANAGER

PART A. STATEMENT OF OPERATIONS

RUS Financial and Operating Report Electric Distribution

PERIOD AND RENEWALS HAVE BEEN OBTAINED FOR ALL POLICIES.

DURING THE PERIOD COVERED BY THIS REPORT PURSUANT TO PART 1718 OF 7 CFR CHAPTER XVII

(check one of the following)

DRAFT

UNITED STATES DEPARTMENT OF AGRICULTURE

RURAL UTILITIES SERVICE

ELECTRIC DISTRIBUTION

We hereby certify that the entries in this report are in accordance with the accounts and other records of the

system and reflect the status of the system to the best of our knowledge and belief.

ALL INSURANCE REQUIRED BY PART 1788 OF 7 CFR CHAPTER XVII, RUS, WAS IN FORCE DURING THE REPORTING

USDA - RUS BORROWER DESIGNATION

MT0019

FINANCIAL AND OPERATING REPORT PERIOD ENDED

PART B. DATA ON TRANSMISSION AND DISTRIBUTION PLANT

YEAR-TO-DATE YEAR-TO-DATE

ITEM LAST YEAR THIS YEAR ITEM LAST YEAR THIS YEAR

(a) (b) (a) (b)

1. New Services Connected 26 46 5. Miles Transmission 15.21 15.21

6. Miles Distribution-

2. Services Retired 23 28 Overhead 1,307.01 1,307.33

7. Miles Distribution-

3. Total Services in Place 6,666 6,737 Underground 501.72 501.24

4. Idle Services 8.Total Miles Energized

(Exclude Seasonal) 425 415 (5 + 6 + 7) 1,823.94 1,823.78

PART C. BALANCE SHEET

ASSETS AND OTHER DEBITS LIABILITIES AND OTHER CREDITS

1. Total Utility Plant in Service.................................................34,102,600 30. Memberships................................................................... 0

2. Construction Work in Progress........................................... (66,544) 31. Patronage Capital............................................................. 8,113,343

3. Total Utility Plant (1 + 2).......................................................34,036,056 32. Operating Margins - Prior Years...................................... 0

4. Accum. Provision for Depreciation and Amort.................. 17,009,302 33. Operating Margins - Current Year..................................... 197,006

5. Net Utility Plant (3 - 4)...........................................................17,026,754 34. Non-Operating Margins................................................... 613,454

6. Non-Utility Property - Net.................................................... 0 35. Other Margins and Equities............................................. 237,651

7. Investments In Subsidiary Companies............................... 0 36. Total Margins and Equities (30 thru 35)............................. 9,161,454

8. Invest. In Assoc. Org. - Patronage Capital....................... 434,279 37. Long-Term Debt - RUS (Net).......................................... 385,575

9. Invest. In Assoc. Org. - Other - General Funds................. 0 38. Long-Term Debt - FFB - RUS Guaranteed......................... 6,236,870

10. Invest. In Assoc. Org. - Other -Nongeneral Funds.......... 283,452 39. Long-Term Debt - Other - RUS Guaranteed....................... 0

11. Investments In Economic Development Projects............ 0 40. Long-Term Debt - Other (Net).............................................4,836,178

12. Other Investments.............................................................. 0 41. Long-Term Debt - RUS - Econ. Devel. (Net)........................ 0

13. Special Funds.................................................................... 0 42. Payments-Unapplied 1,313,600

14. Total Other Property and Investments (6 thru 13)........ 717,731 43. Total Long-Term Debt (37 thru 41-42)...................................10,145,023

15. Cash - General Funds....................................................... 625,575 44. Obligations Under Capital Leases-Noncurrent.................................... 0

16. Cash - Construction Fund - Trustee.................................. 1 45. Accumulated Operating Provisions................................... 0

17. Special Deposits................................................................ 0 and Asset Retirement Obligations

18. Temporary Investments.................................................... 616,177 46. Total Other Noncurrent Liabilities (44+45)......................... 0

19. Notes Receivable (Net)...................................................... 0 47. Notes Payable.................................................................. 0

20. Accounts Receivable - Sales of Energy (Net).................. 790,905 48. Accounts Payable........................................................... 501,079

21. Accounts Receivable - Other (Net)................................... (11,370) 49. Consumers Deposits........................................................ 43,145

22. Renewable Energy Credits.......................................... 0 50. Current Maturities Long-Term Debt................................... 0

23. Materials and Supplies - Electric and Other.................... 273,653 51. Current Maturities Long-Term Debt-Ec.Dev...................... 0

24. Prepayments....................................................................... 95,560 52. Current Maturities Capital Leases..................................... 0

25. Other Current and Accrued Assets................................... 2,818 53. Other Current and Accrued Liabilities................................ 726,992

26. Total Current and Accrued Assets (15 thru 25)............... 2,393,319 54. Total Current and Accrued Liabilities (47 thru 53)................1,271,216

27. Regulatory Assets.............................................................. 352,627 55. Regulatory Liabilities...................................................... 0

28. Other Deferred Debits......................................................... 107,630 56. Other Deferred Credits................................................... 20,368

29. Total Assets and Other Debits (5+14+26 thru 28)............20,598,061 57. Total Liabilities and Other Credits

(36+43+46+54 thru 56).......................................................20,598,061

PART D. NOTES TO FINANCIAL STATEMENTS

THIS SPACE IS PROVIDED FOR IMPORTANT DISCLOSURE NOTES TO THE FINANCIAL STATEMENT CONTAINED IN THIS REPORT.

(A SEPARATE SHEET MAY BE USED IF ADDITIONAL SPACE IS NEEDED.)

RUS Financial and Operating Report Electric Distribution Rev 2010

ELECTRIC DISTRIBUTION June 30, 2020

CFC Line of Credit Balance as of 6/30/2020 = $0

CoBank Line of Credit Balance as of 6/30/2020 = $0

Contributions-In-Aid of Construction received through 6/30/20 totaled approximately $19,247,550

BORROWER DESIGNATION BORROWER DESIGNATION

MT019

PERIOD ENDED RUS USE ONLY PERIOD ENDED RUS USE ONLY

INSTRUCTIONS - See RUS Bulletin 1717B-2 INSTRUCTIONS - See RUS Bulletin 1717B-2

CONSUMER

CLASSIFICATION SALES JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER TOTAL

AND

REVENUE DATA (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (Contains a thru l)

a. No.Consumers Served 5,666 5,663 5,685 5,686 5,695 5,715 a.#Consumers 0 0 0 0 0 0

1. Residential Sales b. kWh Sold 5,885,882 5,538,805 5,274,821 4,751,307 3,694,003 3,671,368 1. Residential Salesb. kWh Sold 0 0 0 0 0 0 28,816,186

(excluding seasonal) c. Revenue 711,157$ 680,880$ 676,014$ 627,158$ 530,285$ 526,920$ (excluding seasonal) c. Revenue -$ -$ -$ -$ -$ -$ 3,752,414$

a. No.Consumers Served a.#Consumers

2. Residential Sales - b. kWh Sold 2. Residential Sales -b. kWh Sold 0

Seasonal c. Revenue Seasonal c. Revenue -$

a. No.Consumers Served 0 0 0 123 123 124 a.#Consumers 0 0 0 0 0 0

3. Irrigation Sales b. kWh Sold 0 0 0 50,509 273,798 632,594 3. Irrigation Salesb. kWh Sold 0 0 0 0 0 0 956,901

c. Revenue -$ -$ -$ 21,334$ 54,639$ 92,031$ c. Revenue -$ -$ -$ -$ -$ -$ 168,005$


4. Comm. And Ind. b. kWh Sold 946,791 894,994 856,734 730,401 620,085 626,608 4. Comm. And Ind.b. kWh Sold 0 0 0 0 0 0 4,675,613

1000 kVa or Less c. Revenue 97,460$ 93,513$ 93,524$ 81,852$ 73,588$ 75,463$ 1000 kVa or Lessc. Revenue -$ -$ -$ -$ -$ -$ 515,399$


5. Comm. And Ind. b. kWh Sold 183,600 113,100 102,000 201,000 245,400 207,600 5. Comm. And Ind.b. kWh Sold 0 0 0 0 0 0 1,052,700

Over 10000 kVa c. Revenue 13,801$ 9,778$ 9,286$ 20,631$ 22,374$ 19,795$ Over 10000 kVac. Revenue -$ -$ -$ -$ -$ -$ 95,666$


6. Public Street and b. kWh Sold 6. Public Street and b. kWh Sold 0

Highway Lighting c. Revenue Highway Lightingc. Revenue -$


7. Other Sales to b. kWh Sold 7. Other Sales tob. kWh Sold 0

Public Auth. c. Revenue Public Auth. c. Revenue -$


8. Sales for Resale - b. kWh Sold 8. Sales for Resale -b. kWh Sold 0

RUS Borrowers c. Revenue RUS Borrowersc. Revenue -$


9. Sales for Resale - b. kWh Sold 9. Sales for Resale - b. kWh Sold 0

Others c. Revenue Others c. Revenue -$

10. TOTAL No. Consumers (lines 1a - 9a) 6,146 6,146 6,169 6,293 6,302 6,322 10. TOTAL No. Consumers (lines 1a - 9a) 0 0 0 0 0 0

11. TOTAL kWh Sold (lines 1b - 9b) 7,016,273 6,546,899 6,233,555 5,733,217 4,833,286 5,138,170 11. TOTAL kWh Sold (lines 1b - 9b) 0 0 0 0 0 0 35,501,400

12. TOTAL Revenue Received From Sales of 12. TOTAL Revenue Received From Sales of

Electric Energy (lines 1c - 9c) 822,418$ 784,171$ 778,824$ 750,975$ 680,886$ 714,209$ Electric Energy (lines 1c - 9c) -$ -$ -$ -$ -$ -$ 4,531,483$

13. Transmission Revenue 13. Transmission Revenue -$

14. Other Electric Revenue 14. Other Electric Revenue -$

15. kWh - Own Use 46,808 52,133 38,057 29,485 12,331 7,834 15. kWh - Own Use 0 0 0 0 0 0 186,648

16. TOTAL kWh Purchased 7,665,124 7,300,974 6,833,144 6,029,889 5,476,710 5,422,331 16. TOTAL kWh Purchased 0 0 0 0 0 0 38,728,172

17. TOTAL kWh Generated 0 0 0 0 0 0 17. TOTAL kWh Generated 0 0 0 0 0 0 0

18. Cost of Purchases and Generation 332,263$ 315,407$ 303,187$ 273,838$ 254,548$ 251,422$ 18. Cost of Purchases and Generation -$ -$ -$ -$ -$ -$ 1,730,665$

19. Interchange - kWh - Net 0 0 0 0 0 0 19. Interchange - kWh - Net 0 0 0 0 0 0 0

20. Peak - Sum All kWh Input (Metered) 20. Peak - Sum All kWh Input (Metered) o Coincident x Non-Coincident 15,827 15,395 13,453 13,323 12,015 12,363 o Coincident x Non-Coincident 0 0 0 0 0 0 15,827

RUS Form 7 (Rev. 6-94)

Line Losses 7.85% 9.61% 8.22% 4.43% 11.52% 5.10% 7.85%

Line Losses plus Transmission Losses 11.08% 12.78% 11.43% 7.77% 14.62% 8.42% 11.08%

Red Lodge Heating Degree Days 1,118 1,168 1,054 838 486 229 4,893

Current Month YTD 1,118 2,286 3,340 4,178 4,664 4,893 4,893 4,893 4,893 4,893 4,893 4,893

+/- Percentage vs. 2019 History Current Month YTD -1% -11% -8% -2% -5% -5% -7% -8% -13% -26% -36% -44%

+/- Percentage vs. 15 Yr. Ave. Current Month YTD -5% 2% 9% 12% 13% 15% 15% 13% 8% -5% -19% -33%

Red Lodge Heating Degree Days History (2019) 1,132 1,437 1,067 625 660 240 79 75 329 944 1,032 1,091 8,711

Current Month YTD 2019 History 1,132 2,569 3,636 4,261 4,921 5,161 5,240 5,315 5,644 6,588 7,620 8,711

Red Lodge Heating Degree Days History (15 Yr. Ave.) 1,179 1,067 830 639 407 131 17 44 214 601 897 1,238 7,264

Current Month YTD 15 Yr. Ave. 1,179 2,246 3,076 3,715 4,122 4,252 4,270 4,313 4,527 5,129 6,026 7,264

December 31, 2020

PART R. POWER REQUIREMENTS DATA BASE

LINE

ITEM

NUMBER

USDA - RUS USDA - RUS

FINANCIAL AND STATISTICAL REPORT MT019 FINANCIAL AND STATISTICAL REPORT

December 31, 2020

BEARTOOTH ELECTRIC COOPERATIVE, INC.

COMPARATIVE BALANCE SHEET

June 30, 2020

CURRENT YEAR LAST YEAR DIFFERENCE

ASSETS AND OTHER DEBITS

-----------------------

TOTAL UTILITY PLANT IN SERVICE $34,102,600.23 $33,529,247.81 $573,352.42

CONSTRUCTION WORK IN PROGRESS -66,544.42 283,170.23 -349,714.65

TOTAL UTILITY PLANT $34,036,055.81 $33,812,418.04 $223,637.77

-------------------- -------------------- --------------------

ACCUMULATED PROVISION FOR DEPRECIATION -$17,009,301.89 -$16,345,719.83 -$663,582.06

-------------------- -------------------- --------------------

NET UTILITY PLANT $17,026,753.92 $17,466,698.21 -$439,944.29

-------------------- -------------------- --------------------

INVEST. IN ASSOC. ORG.-PATRONAGE CAPITAL $434,279.19 $436,039.32 -$1,760.13

INVEST. IN ASSOC. ORG. NON-GENERAL FUNDS 283,451.49 285,417.76 -1,966.27

-------------------- -------------------- --------------------

TOTAL OTHER PROPERTY & INVESTMENTS $717,730.68 $721,457.08 -$3,726.40

-------------------- -------------------- --------------------

CASH - GENERAL FUNDS $625,574.81 $487,509.09 $138,065.72

CASH - CONSTRUCTION FUND - TRUSTEE 1.00 1.00 0.00

TEMPORARY INVESTMENTS 616,177.37 975,489.98 -359,312.61

-------------------- -------------------- --------------------

TOTAL CASH ON HAND $1,241,753.18 $1,463,000.07 -$221,246.89

NOTES RECEIVABLE $0.00 $0.00 $0.00

ACCOUNTS RECEIVABLE SALES OF ENERGY (NET 790,905.22 710,631.19 80,274.03

ACCOUNTS RECEIVABLE - OTHER (NET) -11,370.39 -13,335.39 1,965.00

MATERIAL AND SUPPLIES - ELECTRIC & OTHER 273,652.58 252,050.55 21,602.03

PREPAYMENTS 95,560.61 131,137.69 -35,577.08

OTHER CURRRENT AND ACCRUED ASSETS 2,817.73 4,195.79 -1,378.06

-------------------- -------------------- --------------------

TOTAL CURRENT AND ACCRUED ASSETS $2,393,318.93 $2,547,679.90 -$154,360.97

-------------------- -------------------- --------------------

OTHER DEFERRED DEBITS $460,257.23 $624,166.44 -$163,909.21

-------------------- -------------------- --------------------

TOTAL ASSETS AND OTHER DEBITS $20,598,060.76 $21,360,001.63 -$761,940.87

==================== ==================== ====================

LIABILITIES AND OTHER CREDITS

-----------------------------

MEMBERSHIPS $0.00 $0.00 $0.00

PATRONAGE CAPITAL 8,113,342.87 8,255,301.54 -141,958.67

OPERATING MARGINS- PRIOR YEAR 0.00 0.00 0.00

OPERATING MARGINS- CURRENT YEAR 197,005.91 263,252.11 -66,246.20

NON-OPERATING MARGINS 613,453.84 498,270.47 115,183.37

OTHER MARGINS AND EQUITIES 237,651.65 210,231.60 27,420.05

-------------------- -------------------- --------------------

TOTAL MARGINS AND EQUITIES $9,161,454.27 $9,227,055.72 -$65,601.45

-------------------- -------------------- --------------------

LONG-TERM DEBT -RUS (NET) $385,575.04 $413,459.72 -$27,884.68

LONG-TERM DEBT-FFB-RUS GUARANTEED 6,236,870.46 6,438,571.73 -201,701.27

OTHER LONG-TERM DEBT (NET) 4,836,177.57 5,861,360.60 -1,025,183.03

ADVANCE PAYMENTS UNAPPLIED-RUS LOANS -1,313,600.37 -1,748,986.45 435,386.08

-------------------- -------------------- --------------------

TOTAL LONG-TERM DEBT $10,145,022.70 $10,964,405.60 -$819,382.90

-------------------- -------------------- --------------------

NOTES PAYABLE $0.00 $0.00 $0.00

ACCOUNTS PAYABLE 501,078.66 379,366.38 121,712.28

CONSUMERS DEPOSITS 43,145.00 105,952.00 -62,807.00

OTHER CURRENT AND ACCRUED LIABILITIES 726,992.35 653,140.67 73,851.68

-------------------- -------------------- --------------------

TOTAL CURRENT AND ACCRUED LIABILITIES $1,271,216.01 $1,138,459.05 $132,756.96

-------------------- -------------------- --------------------

OTHER DEFERRED CREDITS $20,367.78 $30,081.26 -$9,713.48

-------------------- -------------------- --------------------

TOTAL LIABILITIES AND OTHER CREDITS $20,598,060.76 $21,360,001.63 -$761,940.87

==================== ==================== ====================

Financial Information June 2020

Actual Budget 2019 Actual Budget 2019

Operating Revenue $4,549,116 $4,449,175 $4,500,800 $716,824 $693,558 $650,486

Cost of Power $1,730,665 $1,768,247 $1,673,947 $251,422 $271,383 $230,566

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

$5,000,000

Revenue & Cost of Power - 2020

Actual Budget 2019 Actual Budget 2019

Admin. & Gen. $621,353 $636,440 $642,958 $97,498 $96,837 $97,082

Cust. Serv. $212,167 $225,831 $227,922 $37,173 $36,662 $40,144

Oper & Maint $948,346 $834,410 $847,301 $168,940 $176,967 $187,110

$-

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

$1,600,000

$1,800,000

$2,000,000

Operating Expenses - 2020

YTD

JUNE

$-

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

$400,000

$450,000

$500,000

Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec

YTD Cumulative Margins - 2020

Actual Budget 2019

$(100,000)

$(50,000)

$-

$50,000

$100,000

$150,000

$200,000

$250,000


Monthly Margins - 2020

Actual Budget 2019

YTD

JUNE

Financial Information Through June 2020

change date in header

Ratios: December 31, 2019 and June 30, 2019 & 2020YE

2019 6/30/19 6/30/20

Quick Ratio * 1.35 1.90 1.59

Current Ratio 1.67 2.24 1.88

Equity as a % of Net Utility Plant 51.15% 52.83% 53.81%

Equity as a % of Total Assets** 43.05% 43.20% 44.48%

Net TIER *** (YTD) 1.80 2.18 2.04

Jan-Sept 15Oct 14-Dec14 DSC **** 1.18 1.22 1.15

Modified DSC w/o COC Loan 1.71 1.79 1.67

719257.7 234820.8

Cash & Investments 730,226 1,430,932 1,241,753

437917.9 150497.7 Receivables 883,749 751,172 779,535

579696.8 1,613,975 2,182,104 2,021,288

582413.5 176335.9 Less Payables (584,138) (463,197) (501,079)

1037024 Liquidity 1,029,837 1,718,907 1,520,209

2.33 Other Payments Due: Due $

2.79 906045 RUS Loan Payment 7/31/2020 4,126 (from COC account)

FFB Loan Payment 9/30/2020 116,285 (from COC account)

CFC Loan Payment 7/31/2020 151,677

Note: Received are payments received through July 15, 2020 CoBank Loan Payment 7/20/2020 58,207

* Quick ratio=measures the ability of a company to use its cash and short-term/demand deposits to extinguish current liabilities immediately

** Equity Target - 40%*** Net TIER=Times Interest Earned Ratio (TIER) means the ratio of a

borrower’s net income (after taxes) plus interest expense,all divided by interest expenseNet TIER Target = RUS Covenant = 1.25 (met 2 of 3 years)

**** DSC=Debt Service Coverage is a measurement to generate sufficient funds

to cover principal and interest of long-term debt on an annual basis

DSC Target = 1.25 (RUS Covenant = 1.25, met 2 of 3 years)

3,500,000

4,000,000

4,500,000

5,000,000

5,500,000

6,000,000

6,500,000

7,000,000

7,500,000

8,000,000

8,500,000


Monthly kWh Sales

2020 2020 Budget 2019

$-

$20,000.00

$40,000.00

$60,000.00

$80,000.00

$100,000.00

$120,000.00

30 Days 60 Days 90 Days Total Past Due

June Aged Past Due Accounts Receivable

2020 2020 Received 2019 2019 Received

$-

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$70,000

$80,000

$90,000

$100,000

July 2020 June 2020 May 2020 Apr 2020 Mar 2020 Feb 2020 Jan 2020

Delinquent Listing - Payments received thru 07/15/2020 - Over 30 Days

Customer Information System Payments Received Balance Due


SIMPLIFIED CASH FLOW

As of June 30, 2020

Black = creates cash

Red = uses cash

Thousands (000s) Actual Budget*

CASH FROM OPERATIONS

Margins 285.4$ 222.3$

Add back Depreciation 561.2 554.0

Add back Regulatory Asset Amortization 70.5 70.5

Cost from retirement of assets (poles, etc.) (58.0) (61.4)

Cash from Operations 859.1 785.4

Uses of Cash in Operations

Change in Ending Receivable Balance 104.2 -

Change in Ending Inventory Balance (3.5) -

Change in Ending Prepaid Expense Balance 10.6 -

Reduction of (payment for) other Current Assets 5.3 -

Change in Ending Accounts Payable Balance (83.1) -

Accrual/(payment) of other Current Liabilities 160.6 -

Cash created by (used in) operations 194.1 -

Capital Spending

Utility Plant (281.3) (562.7)

Construction Work in Progress 157.3 -

Other Property & Investments 24.6 -

Cash (used in) Capital Spending (99.4) (562.7)

Increase of debt (borrowing) - -

New debt -

Pay down of debt (631.0) (630.4)

Advance Payments Applied (CofC) 220.6 255.5

Other creation (use of) cash (Estate Retirement) (25.3) (15.0)

General Retirement - -

Other Deferred Credit (6.5) (54.2)

Change in cash from all activities 511.6 (221.3)

Cash and Investments beginning 730.2 730.2

Change in cash 511.6 (221.3)

Cash and Investments ending 1,241.8 508.9

Payroll 789.4 769.5

Benefits 516.5 527.6

Total 1,305.9 1,297.1

*Note: Monthly Budget is 85 Overtime hours per month. June 2020 had 165 hours of Overtime

Bank of Red Lodge - Checking

1/1/2020 2/1/2020 3/1/2020 4/1/2020 5/1/2020 6/1/2020 7/1/2020 8/1/2020 9/1/2020 10/1/2020 11/1/2020 12/1/2020 Totals

Beginning Balance 260,323 193,048 219,981 376,817 319,376 481,932 529,497 273,624 338,359 358,489 120,580 (67,984) 260,323

Transfers In 200,000 50,000 100,000 9,914 359,914

Transfers Out - (101,412) (200,000) (301,412)

Receipts 847,595 795,969 862,562 805,905 947,786 831,336 712,641 799,114 733,812 654,990 631,385 724,974 9,348,069

- - - - - - - - - - - - -

Payment

Payroll

Employees (76,282) (83,191) (76,562) (73,964) (76,171) (78,223) (115,500) (77,000) (77,000) (77,000) (77,000) (115,500) (927,110)

Taxes (38,218) (37,016) (36,625) (40,128) (37,071) (38,911) (57,000) (38,000) (38,000) (38,000) (38,000) (57,000) (455,751)

R&S/401k (56,288) (56,878) (55,826) (57,156) (39,383) (40,108) (39,000) (39,000) (39,000) (39,000) (39,000) (39,000) (483,352)

Loans

RUS* - - - - - - - - - - - - -

CFC (151,664) - - (151,677) - - (151,677) (151,677) (455,031)

FFB* - - - - - - - - - - - - -

CoBank (58,219) (58,224) (58,218) (58,213) (58,211) (58,213) (58,219) (58,219) (58,219) (58,219) (58,219) (58,219) (640,395)

Insurance

Group (65,027) (14,703) (14,715) (64,646) (14,959) (14,703) (65,027) (14,703) (14,703) (65,027) (14,703) (14,703) (312,592)

General - - - - - - - - - - - (83,000) (83,000)

WC (24,476) - - - - - - - - - - - -

A/P (230,919) (168,154) (150,468) (105,517) (154,318) (120,435) (200,000) (200,000) (200,000) (200,000) (200,000) (200,000) (1,898,892)

Power (411,522) (345,603) (310,771) (301,302) (277,214) (240,859) (280,090) (305,456) (284,759) (261,976) (254,917) (282,767) (3,145,716)

Property Taxes - - - (8,444) (124,346) - - - - - (136,110) - (268,900)

New Truck - (53,122) - - - - (53,122)

Other (2,254) (2,144) (2,541) (2,300) (2,146) (2,233) (2,000) (2,000) (2,000) (2,000) (2,000) (21,364)

Total Payments (1,114,870) (819,035) (705,727) (863,346) (783,818) (593,684) (968,513) (734,379) (713,681) (892,900) (819,950) (850,190) (8,745,224)

Ending Balance 193,048 219,981 376,817 319,376 481,932 529,497 273,624 338,359 358,489 120,580 (67,984) (193,200) 921,669

*Beg Sept 2018 Pd thru COC 1/31/2020 2/29/2020 3/31/2020 4/30/2020 5/31/2020 6/30/2020 7/31/2020 8/31/2020 9/30/2020 10/31/2020 11/30/2020 12/31/2020

First Interstate Bank - Savings

Beginning Balance 344,362 157,296 170,620 233,344 248,067 275,461 287,082 287,082 287,082 287,082 287,082 287,082 344,362

Transfers In - -

Transfers Out (200,000) (50,000) (15,000) (265,000)

Receipts 12,933 63,325 62,724 14,723 27,394 26,621 207,719

Total Payments - - - - - - - - - - - - -

Ending Balance 157,296 170,620 233,344 248,067 275,461 287,082 287,082 287,082 287,082 287,082 287,082 287,082 287,082

All Other Accounts

Beginning Balance 125,542 130,394 130,456 130,854 218,236 219,277 425,174 425,174 425,174 425,174 425,174 (18,877) 125,542

Transfers In 1,412 215,000 216,412

Transfers Out - (9,914) (9,914)

Receipts/Payments 4,852 63 398 87,382 (371) 811 93,134

Total Payments/Gen.Retire - - - - - - - - - - (444,051) - (444,051)

Ending Balance 130,394 130,456 130,854 218,236 219,277 425,174 425,174 425,174 425,174 425,174 (18,877) (18,877) (18,877)

TOTAL ALL ACCOUNTS 480,737$ 521,058$ 741,015$ 785,679$ 976,670$ 1,241,753$ 985,880$ 1,050,615 1,070,745 832,836$ 200,221$ 75,005$

1/31/2020 2/29/2020 3/31/2020 4/30/2020 5/31/2020 6/30/2020 7/31/2020 8/31/2020 9/30/2020 10/31/2020 11/30/2020 12/31/2020


Accounts Payable

Check Register

06/16/2020 To 07/15/2020

Bank Account: 15 - BANK OF RED LODGE GENERAL FUND

Check / Date Pmt Vendor Name Reference Amount

Tran Listed Type

39 6/17/2020 WIRE PAYROLL PAYROLL 39,828.84

40 6/17/2020 WIRE NRECA 401k PENSION PLAN 9,573.56

41 6/17/2020 WIRE NRECA 401k PENSION PLAN LOAN REPAYMENT 942.26

42 6/17/2020 WIRE NATIONAL RURAL ELEC COOP ASSOC R & S PLAN 18,517.58

43 6/17/2020 WIRE INTERNAL REVENUE SERVICE FEDERAL WITHHELD TAXES & FICA 16,795.80

44 6/18/2020 WIRE MORGAN STANLEY CAPITAL GROUP INC. POWER BILL 159,825.05

45 6/18/2020 WIRE DEPARTMENT OF ENERGY POWER BILL 9,041.04

46 6/18/2020 WIRE COBANK PRINCIPAL & INTEREST 58,212.50

47 6/19/2020 WIRE NATIONAL RURAL ELEC COOP ASSOC CBA FLEX PAYMENTS TO EMPLOYEES 517.80 48 6/24/2020 WIRE NATIONAL RURAL ELEC COOP ASSOC CBA FLEX PAYMENTS TO EMPLOYEES 643.45


50 6/30/2020 WIRE NORTHWESTERN ENERGY TRANSMISSION BILL 71,993.13


52 7/1/2020 WIRE NRECA 401K PENSION PLAN LOAN REPAYMENT 1,027.71


54 7/7/2020 WIRE NATL RURAL ELECTRIC COOP ASSC GROUP BENEFITS PLAN 1 27,737.28

55 7/7/2020 WIRE NATL RURAL ELECTRIC COOP ASSN GROUP BENEFITS PLAN 1 ADMIN FEES 2,238.30

56 7/7/2020 WIRE NATL RURAL ELECTRIC COOP ASSC GROUP BENEFITS PLAN 2 18,837.96

57 7/7/2020 WIRE NATL RURAL ELECTRIC COOP ASSN GROUP BENEFITS PLAN 2 ADMIN FEES 1,512.93

58 7/10/2020 WIRE US BANK MONTHLY CORPORATE CREDIT CARD STATEMENT 3,283.06

59 7/13/2020 WIRE NATIONAL RURAL ELEC COOP ASSOC R & S PLAN 18,517.58



62 7/15/2020 WIRE NRECA 401k PENSION PLAN LOAN REPAYMENT 1,125.12


10293 6/19/2020 CHK A Y SUPPLY PROPANE 43.00

10294 6/19/2020 CHK AMERICA FAMILY LIFE INSURANCE CO PAYROLL DEDUCTION INSURANCE 270.92

10295 6/19/2020 CHK BORDER STATES ELECTRIC SUPPLY MATERIAL 41,169.54

10296 6/19/2020 CHK DANIEL DUTTON BOARD FEE & OTHER MEETING 375.00

10297 6/19/2020 CHK FARMER BROS CO COFFEE & TEA 101.75

10298 6/19/2020 CHK JACK HENRY & ASSOCIATES ACH PROCESSING FEES 79.00

10299 6/19/2020 CHK KEN'S I-90 UNIT #7 R&R THERMOSTAT 398.93

10300 6/19/2020 CHK LOCAL UNION 44 UNION DUES 1,203.40

10301 6/19/2020 CHK MONTANA CSED SDU MONTANA CSED 194.76

10302 6/19/2020 CHK MONTANA DEPT OF REVENUE MT WITHHELD TAXES 3,132.00

10303 6/19/2020 CHK MONTANA RAIL LINK 1 YR COLUMBUS O/H WIRELINE XING 100.00

10304 6/19/2020 CHK MORRISON MAIERLE SYSTEMS CORP FEMA GRANT ASSISTANT ON NEW COLUMBUS SUB 6,278.80

10305 6/19/2020 CHK NISC ASP, H/W SUPPORT, AMS & MISC 13,023.95

10306 6/19/2020 CHK RICHARD T NOLAN BOARD FEE & OTHER MEETING 375.00

10307 6/19/2020 CHK ONE CALL LOCATORS, LTD BILLABLE TICKETS - MT & WY 6,898.35

10308 6/19/2020 CHK WILLIAM A PASCOE BOARD FEE & OTHER MEETING 375.00

10309 6/19/2020 CHK QUILL CORPORATION OFFICE SUPPLIES 155.70

10310 6/19/2020 CHK REPUBLIC SERVICES #892 GARBAGE DISPOSAL 215.66

10311 6/19/2020 CHK RONNING AUTO TRUCK TRACTOR SERVICE UNIT #56 & #58 OIL CHANGES, & UNIT #59 REPAIRS 877.00

10312 6/19/2020 CHK STILLWATER ABSTRACT & TITLE CO, INC. NEW COLUMBUS SUBSTATION TITLE SEARCH 500.00

10313 6/19/2020 CHK WYOMING DEPT OF REVENUE WY SALES & USE TAX 1,719.81

10314 6/19/2020 CHK MEMBER Unclaimed Capital Credits 355.31

10315 6/19/2020 CHK MEMBER Check Rewrite 53.70

10316 6/19/2020 CHK MEMBER INACTIVE REFUND 163.58

10317 6/19/2020 CHK MEMBER INACTIVE REFUND 23.10


10319 7/2/2020 CHK ANDERSON SERVICE INC. UNIT #9 CUTOVER TO NEW CHASSIS 14,370.00

10320 7/2/2020 CHK ASPLUNDH TREE EXPERT CO. TREE TRIMMING 30,248.00

10321 7/2/2020 CHK CENEX FUEL 1,423.14

10322 7/2/2020 CHK CENTURYLINK RL FAX LONG DISTANCE 3.62

10323 7/2/2020 CHK CENTURYLINK COLUMBUS SHOP INTERNET 619.02

10324 7/2/2020 CHK CHARTER COMMUNICATIONS RL INTERNET 154.97

10325 7/2/2020 CHK CITY OF RED LODGE ANNUAL BUSINESS REGISTRATION 50.00

10326 7/2/2020 CHK ECOLAB PEST ELIM DIV RL & COLUMBUS PEST CONTROL 197.26

10327 7/2/2020 CHK FELT, MARTIN, FRAZIER & WELDON, P.C. MONTHLY ATTORNEY STATEMENT 3,348.75

10328 7/2/2020 CHK GDS ASSOCIATES, INC. RATE STUDY 2,827.50

10329 7/2/2020 CHK JAMES GROOMS MILEAGE REIMBURSEMENT TO LINEMAN SCHOOL 301.88

10330 7/2/2020 CHK HORIZON COMMUNICATIONS CALL CENTER 912.37

10331 7/2/2020 CHK RALPH LEWIS APRIL & MAY BOARD FEES & OTHER MEETINGS 750.00

10332 7/2/2020 CHK LINECO LINEMAN INSURANCE 14,703.00

10333 7/2/2020 CHK MAID IN COLUMBUS LLC CLEANING COLUMBUS SHOP 200.00

10334 7/2/2020 CHK ROXIE S MELTON FEB,MAR,APR,MAY & JUNE BOARD FEE, MILEAGE, OTHER MEETING 1,512.20

10335 7/2/2020 CHK METLIFE PAYROLL DEDUCTION INSURANCE 25.00

10336 7/2/2020 CHK MONTANA CSED SDU MONTANA CSED 194.76

10337 7/2/2020 CHK MONTANA DEPT OF REVENUE MT WITHHELD TAXES 3,042.00

10338 7/2/2020 CHK MONTANA ELECTRIC COOP ASSN., INC. GENERAL&SAFETY DUES, RM & COMMUNICATIONS 8,029.19

10339 7/2/2020 CHK MONTANA MOBILE MONTHLY OFFICE SHREDDING SERVICE 45.00

10340 7/2/2020 CHK NEMONT NYE TWACS MODEM 150.65

10341 7/2/2020 CHK NRECA ANNUAL DEFERRED COMPENSATION ADMIN FEE 250.00

10342 7/2/2020 CHK KEVIN P OWENS MONTHLY AUTO ALLOWANCE 400.00

10343 7/2/2020 CHK PURCELL SAND & GRAVEL WORK ORDER TOP SOIL 500.00

10344 7/2/2020 CHK RED ROOSTER RANCH SPRAYING, LLC 9 SUBSTATIONS & RL YARD WEED SPRAYING 5,000.00

10345 7/2/2020 CHK STILLWATER COUNTY ROAD DEPT EASEMENT 150.00

10346 7/2/2020 CHK CONSTANCE S TEACHOUT MILEAGE REIMBURSEMENT 31.63

10347 7/2/2020 CHK TOWN AND COUNTRY SUPPLY ASSO. FUEL 1,126.31

10348 7/2/2020 CHK TRACTOR & EQUIPMENT CO. UNIT #36 PARTS 360.72

10349 7/2/2020 CHK UTILITIES UNDERGROUND LOCATE ANNUAL MCA BILLABLE TICKET FEE 154.40

10350 7/2/2020 CHK VERIZON WIRELESS SUBSTATION TWACS MODEMS 1,159.94

10351 7/2/2020 CHK MEMBER UNCLAIMED CAPITAL CREDITS 50.39

10352 7/2/2020 CHK MEMBER MAY 2020 ESTATE RETIREMENT 302.52


10354 7/2/2020 CHK MEMBER MR REFUND 250.00

10355 7/2/2020 CHK MEMBER APRIL 2020 ESTATE RETIREMENT 6.32


10357 7/2/2020 CHK MEMBER MAY 2020 ESTATE RETIREMENT 2,079.90


10359 7/2/2020 CHK MEMBER APRIL 2020 ESTATE RETIREMENT 1,382.67

Check Register

06/16/2020 To 07/15/2020

Bank Account: 15 - BANK OF RED LODGE GENERAL FUND

Check / Date Pmt Vendor Name Reference Amount

Tran Listed Type



10362 7/2/2020 CHK MEMBER MR REFUND 250.00

10363 7/10/2020 CHK A&S HEATING AND COOLING INC ANNUAL HVAC MAINTENANCE PLAN 545.00

10364 7/10/2020 CHK BEARTOOTH ELECTRIC OPERATION ROUNDUP INC TRANSFER FUNDS TO OPERATION ROUND UP 245.62

10365 7/10/2020 CHK COOPER POWER SYSTEMS LLC EDGAR SUB TWACS JUNCTION BOX 2,396.72

10366 7/10/2020 CHK STEPHANIE FLETCHER JUNE FITNESS REIMBURSEMENT 37.44

10367 7/10/2020 CHK HELI LLC POWER LINE INSPECTION 936.45

10368 7/10/2020 CHK PIONEER UTILITY RESOURCES, INC. MONTHLY WEBSITE MAINTENANCE & HOSTING 210.00

10369 7/10/2020 CHK SUMMERS MCNEA & COMPANY PC ANNUAL MEETING & BALLOT COUNTING 4,000.00

10370 7/10/2020 CHK TERRELL'S OFFICE MACHINES, INC. KYOCERA MAINTENANCE 209.70

Total Payments for Bank Account - 1 : (103) 777,420.12

Total Voids for Bank Account - 1 : (0) -

Total for Bank Account - 1 : (103) 777,420.12

Paste in A1 to N24

30.0%

32.0%

34.0%

36.0%

38.0%

40.0%

42.0%

44.0%

Jul-Dec2017

2018Budget

2018 YTD 2019Budget

2019 YTD 2020Budget

2020 YTD June 2020 May 2020 Apr 2020 Mar 2020 Feb 2020 Jan 2020

37.4% 37.3% 37.0%

37.6%38.2% 39.7%

38.0%

35.1%

37.4%

35.9%

38.9%

40.1%40.4%

Power Costs as a Percentage of Revenue

General Manager Report July 2020

Month/Year Energy WAPA Morgan Stanley Imbalance Transmission Total Cost Cost per

MWh Jun-19 5,385 $10,309 $166,776 $6,679 $46,803 $230,566 $42.82

Jul-19 5,983 $11,288 $177,870 ($419) $74,810 $263,549 $44.05

Aug-19 6,573 $11,681 $208,446 ($7,584) $69,834 $282,377 $42.96 Sep-19 5,139 $9,885 $164,383 ($6,725) $73,668 $241,212 $46.94 Oct-19 6,336 $8,973 $200,413 $7,204 $64,598 $281,188 $44.38 Nov-19 7,115 $10,977 $216,597 $4,552 $79,186 $311,312 $43.75 Dec-19 7,846 $12,579 $257,156 ($18,942) $78,022 $328,815 $41.91 Jan-20 7,943 $12,338 $259,396 ($15,766) $76,295 $332,263 $41.83 Feb-20 7,566 $13,209 $236,357 ($6,224) $72,064 $315,407 $41.69

Mar-20 7,081 $10,420 $225,262 ($6,455) $73,960 $303,187 $42.82 Apr-20 6,248 $11,180 $193,116 ($3,972) $73,514 $273,838 $43.83 May-20 5,676 $9,041 $173,514 $1,092 $70,901 $254,548 $44.85 Jun-20 5,619 $10,309 $171,113 $0 $70,000 $251,422 $44.74

12 Month

Total 79,125 $131,881 $2,483,622 ($53,239) $876,854 $3,439,118 $43.46

Note: NorthWestern (Imbalance and Transmission) are estimates as we have not received the invoice for June Note 2: Imbalance adjustment for June is estimated at $5,000.00 due to Morgan Stanley.

• Intervention in the NWE FERC rate case continues. At this stage, Bill Pascoe has been

taking the lead on representing BEC interests.

• An additional Board Meeting was held by conference call to review the transmission rate adjustments discussed at the June 30 Meeting. New rates for all classes were approved effective July 1, 2020, and April 1, 2021. A revenue analysis will be reviewed in late 2020 to finalize the April 1, 2021, rates. The staff has moved forward with decoupling NWE transmission rates on the member bills. This will show up on member bills next month.

• Work has begun again on the irrigation rate class. Russ Schneider (EES) provided an overview of the irrigation class at the July 22 Risk Management Meeting. This review will serve as a foundation for any rate changes to be made to the irrigation class.

• There has been much talk around town from realtors, insurance agencies, well drillers, etc. that have noted a significant influx of new residents to our area. The impact of the COVID-19 virus in major urban centers and the civil unrest in many cities has caused people to look for an alternative living space in our service territory. Many locals lament that homes and properties are being purchased sight unseen for remarkable prices. BEC has noted that web-based applications for new service (inclusive of renters, buyers, and new construction) appear to be significantly up from early COVID-19 impact assumptions. Web-based applications have reached 150 through July 21. Sixty-six of these are for new construction; 64 in Montana, 2 in Wyoming.

• Red Lodge Area Community Foundation (RLACF) approached BEC to support its affordable housing initiative at the Spires housing development. The staff has developed a proposal for BEC involvement that will be reviewed by the Finance Committee at their July 22 meeting with a recommendation to the Board at their July 28 meeting.

• NRECA continues to push Congress for cooperative financial relief measures in the fourth COVID 19 relief package. The proposed changes will have a significant impact on cooperatives, particularly BEC. Refinancing opportunities were discussed at the Finance Committee on July 22 with possible Board action at the July 28 meeting. Letters requesting support from our delegation were sent on July 21, attached

• Final drawings for improving security at the front reception desk have been finalized and will be put out to bid in mid-August.

• The irrigation well has been completed. Bids are due July 24. In the event these bids are two expensive, the installation of the irrigation system may be delayed until next year. The addition of the well has provided significant benefits already. The pressure is up, and three spigots at the well-head improve watering with multiple hoses. In addition, we are no longer paying for city water to irrigate the front lawn.

• Roofing repairs will be scheduled as fill-in work at the end of a week by the contractor.

4 Red Lodge Area Community Foundation 2020 Summer Newsletter

For the first time since filling out pre-

qualification forms and submitting loan

applications for the Mutual Self-help Home

Building program, future homeowners Tanya

Hay and Terry Sue Johnson-Rogers get to see

site plans and designs for their new homes.

Watching the 2 families explore the site

plans was like watching present opening at

Christmas-time. There were exclamations

“…we know what we’re getting for Christmas

this year – furniture!”

Helena Area Habitat for Humanity (HAHFH)

visited Red Lodge to conduct it’s first in-person

“Build Family Meeting” at Lions Park on May

27 to begin preparing them for eventual build

activities in the Spires subdivision where

they already have new addresses assigned!

Morgan Marks explained how each household

is required to help build their homes putting in

20 hours/week. This is done to offset building

costs and in lieu of making a large down

payment toward the mortgage.

Habitat for Humanity Construction Managers,

Mark Leland for Helena, and Andrew Ray

for Red Lodge, were also present for the

Build-Family Meeting ahead of the Site Plan

review scheduled the same evening with the

City Planning Board. The Board’s feedback

report was reviewed and discussed with Mark

Leland representing HAHFH. The Board

approved site plans and designs with few

amendments captured for the record. As soon

as a build permit is issued, Habitat intends to

begin building by bringing in local area sub-

contractors as a priority.

It has been a long road getting to this point

with meetings, pre-purchase counseling and

Homebuyers Education classes along the way,

but Terry Sue and Tanya were determined to

stick to the sometimes bumpy pilot project

as partners RLACF, Helena Area Habitat for

Humanity, and Trust Montana continued to

work out details of the project.

More good news is there’s room to build 6

new homes altogether and applications are

still accepted on a rolling basis (for the next

4 homes). Many 2019 applicants continue to

prepare for eventual loan applications so they

qualify for the next build cycle (Spring 2021).

There’s no limit to the number of applications

accepted. If you or someone you know may

be interested in this Mutual Self-help home

building program, please, call Theresa Whistler

at 908-872-5596 or email [email protected].

WORKFORCE HOUSING

It’s Almost Time to Build!

Theresa Whistler

Red Lodge Area Community Foundation 2020 Summer Newsletter 5

...we know what we are getting for Christmas this year—furniture!”

BEC Member Communication & Services | NISC Systems

Board Report July 28, 2020

- September Rural Montana Newsletter

• The August newsletter will feature the results of today’s Rate Design direction and the implementation calendar, bill assistance programs, etc. Content is requested by August 10 at the latest. Committee needs?

- August Billing Insert

• The August bill insert will include estate planning information obtained from the NRECA Retirement Workshop, Power Restoration fill-in-the-blank, Co-op calendar, and as space provides bill assistance programs, utility poles are not bulletin boards ad.

- August Billing Memo

• New Bill Statement Energy Unbundled.

- Member eNewsletter (NOTE: open rates have doubled with the move to a Constant Contact platform over the previous MailChimp platform) • August 10 –Board Meeting Highlights • August 24 – Board Meeting (Aug 28)

- Website • Rate Design calculator in production—it’s set up and working. Now adding design

elements. Try it out here https://www.beartoothelectric.com/electric-service/bill-comparison-calculator/

• Updates performed regularly with new information.

- Youth Programs • Next up is 2021 Scholarships with applications released in October 2020.

- NEW Billing Statement Development - DESIGN CHANGE 1: Current bill statement with energy decoupled

• The energy decoupling and new rate changes are complete. The statement is now in final testing, both programming and bill print. The new statement will be launch with the July billing (August bill statement).

DESIGN CHANGE 2: New bill statement design launch • The new statement format and design programming are in progress. The new

statement launch is set for September billing (October bill statement). •

- 2021 Annual Meeting Preliminary Agenda Items • Bylaw Amendments? • Trustee Elections – Districts 4 & 6, and the remaining term of District 3 • Habitat for Humanity Concept Home – BEC sponsored energy efficiency project. Based

upon today’s board vote, the next steps will be developed.

- Electronic Forms Development • The identification of online form needs is reviewed monthly.

- Facebook

• Content follows board meeting information, press releases, and RM

- BEC Membership Application • Requested policy review in summer 2020.

- BEC New Member Welcome (email & hard copy package)

https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.beartoothelectric.com%2felectric-service%2fbill-comparison-calculator%2f&c=E,1,8TNK1N72I7HBvhKEsf6n3Esag0a1zIZuHhC6-7HymLccbssKV7MZeexi9MRXPILvlXNo9xD2iLNffIwMkkQGV_GppGhJtyEk_wS4E3BlLbN0OB6mpNGXRNBV_Ppj&typo=1

https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.beartoothelectric.com%2felectric-service%2fbill-comparison-calculator%2f&c=E,1,8TNK1N72I7HBvhKEsf6n3Esag0a1zIZuHhC6-7HymLccbssKV7MZeexi9MRXPILvlXNo9xD2iLNffIwMkkQGV_GppGhJtyEk_wS4E3BlLbN0OB6mpNGXRNBV_Ppj&typo=1

• Work in progress-awaiting membership application

- Shares du Soleil • Total generation: 46.34 MW • Total Earnings: $2,600.93 USD • Total CO2 Savings: 102,183 miles driven

24.67 tons of coal 632 trees planted

- Operation Round Up

• Operation Round Up received $122.73 billed on 7/8/2020. 206 Accounts and 189 Members.

- Residential Home Energy Assistance Program (formerly LISD/LIDD)

• Total Energy Assistance Discount Accounts for June 2020 billed on 7/8/2020. WY: $41.43 and MT: $243.63 = Total $285.06. The total number of participating accounts is 47.

- BEC Cares COVID-19 • One new incomplete application was received in July.

- MT LIEAP

• MT LIEAP provided additional COVID-19 assistance for 18 members totaling $3,846.00.

• SYSTEMS UPDATE - NISC Enterprise System Update June 2020

Jim and I continue to work with both Aclara and NISC on reporting discrepancies. Aclara implemented numerous report changes without consultation, which disrupted the Meter Data Management (MDM) program and SmartHub. Currently, I am awaiting a detailed report from Aclara of the requested information, including What data is being pulled? How often? What data is being reported? How? When? How are channels programmed and reported? etc. Once received, the task of reprogramming/mapping this data to NISC will immediately occur. Several NISC team members are standing by to assist with these tasks. This has been a long process and will take a bit more time to complete. It was requested of Aclara to make no changes independently without discussion and planned implementation.

- Installed Systems

• ABS • Customer Information System (CIS) • CashRegister • Remitlus • SmartHub • Engineering & Operations (E&O) • Automated Meter Information (AMI) • Work Management Solutions (WMS) • Docuvault • Meter Data Management System (MDMS) • Mapwise-Mapping/Mapwise-Staking

- OMS • Horizon (BEC’s after-hours dispatch service is testing an internet interface that allows

them to enter right into the AppSuite System as they are not a MultiSpeak ready organization. Due to the overwhelming Horizon need to cover closed business phone calls-this is delayed.

• A few loose ends are work in progress to be 100% operational.

- Prepay • Implementation has been delayed with kick-off now scheduled for April 2021.

2801901234567890000050000000050000112520180

7BEARTOOTH ELECTRIC COOPERATIVEPO BOX 1110RED LODGE, MT 59068-1110

JOHN DOEJANE DOE123 ANY STRED LODGE, MT 59068

NNNN

Previous Account BalancePayments ReceivedBalance Forward

New Charges/Adjustments due by 10/31/2020

$102.76-$102.76

$0.00$119.53

Your Bill Total Amount Due

$119.53Your Account Bill Date 10/03/2020

Account NumberNameService Address

0123456789JOHN DOE & JANE DOE123 ANY STRED LODGE, MT 59068

Usage (kWh) History

Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

9669 11756 9529 8095 9289 6351 4797 8372 6744 3738 6245 8374n Previous Year

10214 7336 7616 11232 12560 3924 3067 6002 7461 10604 5094 2063n Current Year

Last Month

This Bill

949kWh

764kWh

PO Box 1110Red Lodge, MT 59068-1110

Continued on back

Bill DateAccount NumberBalance ForwardNew Charges/Adjustments due by 10/31/2020

Total Amount Due

Amount Enclosed

10/03/20200123456789

$0.00$119.53

$119.53$_____________________________

8 5 19 15 37 53 78 82 93 61 40 28vA Temerage p

. . . ..

.. . .

..

.

.

Message CenterBEC introduces a new bill design to help improve the customer experience. This new bill was re-designed to be friendlier, easier to understand, and more informative.

Look to this section of your bill each month to read important updates, new events, rules and regulations and other exciting information happening in and around Beartooth Electric.

BEC's free mobile app gives you a fast, convenient way to report power outages and tells you when we estimate we will restore your power. You can also track your energy use and pay your BEC bill. Our award-winning app is free to download and is available for both iOS and Android.

Monthly Peak Demand (kW)

Usage Period: Current Read: Usage:Meter Number:09/04/20 - 10/03/20 34324 949E12345678

Previous Read:33375

Next reading 11/04/2020

Bill DetailsRate:New Charges/Adjustments

E01 Residential

Base ChargeSystem Charge

Energy Charge Transmission Charge

New Charges/Adjustments due by 10/31/2020

Moonthly6.0 kW @ $0.00 (billing @ $2.00/kW begins 4/2021) 949 kWh @ 0.081134 949 kWh @ $0.009524

$33.50 $0.00

$77.00$9.03

$119.53

Jan24

Feb25

Mar16

Apr29

May24

Jun30

Jul26

Aug23

Sep31

Oct28

3.900 4.8004.800 5.100 6.0005.500 6.8007.600 7.4007.500

7.600

8.500 8.600

Nov16

Dec19

Oct 25

8:13 am 10:19 am 8:30 am 5:50 pm 9:32 am 12:32 pm 8:05 am 7:48 am 6:26 pm 7:02 pm 5:26 pm 5:52 pm 8:19 am

Did you know we accept ACH and Debit payments along with Discover, MasterCard and VISA credit cards?You can also sign up for other convenient services like paperless billing and automatic payment options. Please visit our website at www. beartoothelectric.com /My BEC/ Payment & Billing Options for more information.To pay by phone please call the 24/7 SecurePay line at 888-395-5293 or call 406-446-2310 during regular business hours.For your convenience, you may pay your electric bill in person at the BEC Red Lodge Office: 1306 Broadway Ave N, Red Lodge.

10%

25%

10%10%

30%

15%

Daybreak4am to 8am

Late Night12am to 4am

Night8pm to 12am

Evening4pm to 8pm

Afternoon12pm to 4pm

Morning8am to 12pm

My Energy Use Snap ShotHere's some information on your energy usage over the past service period and how it breaks down at different times during the day. For more details visit your account at beartoothelectric.com.

Billing & Payment Options

On May 1, 2019, NorthWestern Energy (NWE) filed a revision to its Montana Open Access Transmission Tariff

with the Federal Energy Regulatory Commission (FERC) to increase transmission rates 53.8% to all Montana transmission customers. FERC allowed NWE to implement its proposed rate increase on July 1, 2019, while it considers objections from intervenors, including BEC. FERC is expected to make a final decision on NWE’s proposed transmission rates sometime in late 2020.

This substantial transmission rate increase hit BEC’s bottom line with $250,000 in additional annual expenses. BEC absorbed the increased costs from July 2019 through February 2020. BEC’s financial forecast showed the need for increased revenue to make up for the increased costs. At the February 2020 board meeting, the Board approved a motion to address the financial impact of NWE’s, 53.8% transmission rate increase. The Board action implemented a cost pass-through revenue increase of 2.8% ($250,000) by raising BEC’s electric rate $0.003616/kWh on all rate classes (residential, small commercial, large commercial, industrial, and irrigation), effective March 1, 2020. (The monthly impact to the average residential member using 800 kWh per month was $2.89.)

According to NWE’s Montana Open Access Transmission Tariff filing, an annual true-up of transmission costs and revenues would occur every June 1. As a result of this latest true-up,

effective July 1, 2020, all BEC rate classes will see a new transmission kWh rate of $0.009524, a reduction of $.001726 per kWh.

At the June 30, 2020, board meeting, the Trustees passed the following two motions.

Motion #1 – At its June 30, 2020 meeting, the Board approved a reduction of $0.001726/kWh to the energy charge for all classes effective July 1, 2020, This is a direct pass-through of transmission costs from NWE, currently embedded in the energy charge for all rate classes.

Motion #2 – This motion, approved by the Board, directed staff to take steps to break out the transmission component of the energy charge (currently $0.009524/kWh) on member bills no later than when the new bill format is implemented.

BEC members will see the energy (kWh) and transmission (kWh) charges unbundled on their August billing statement. In addition to communicating the cost of transmission on each billing statement, this change will allow NWE’s annual transmission rate changes to be more transparent.

For additional information, call Kevin Owens, general manager at (406) 446-2310, or contact any member of the Beartooth board of trustees.

official newsletter of the beartooth electric cooperative

beartoothelectric.com | August 2020

INSIDEthis issue...

NWE TRANSMISSION PASS-THROUGH

CHARGE

RATE DESIGN THAT MAKES A DIFFERENCE...

2021 MEMBER

CALENDAR PHOTO CONTEST

coconnectsnnectsBEARTOOTHBEARTOOTH

6

5

7

O

Announcement

NWE TRANSMISSION PASS THROUGH CHARGE—New Lower kWh Rate—New Bill Statement Presentation

Billing Statement-New Detail of Electric Charges Section

www.beartoothelectric.com • Beartooth Electric Cooperative • 5

n May 2020, the Beartooth Electric Cooperative (BEC) Board of Trustees notified co-op members that it would vote on proposals to re-design rates for all customer classes at the June 30, 2020, Board meeting.

The proposed rate adjustments were the result of a rate design review process conducted by the Board and BEC’s Risk Management Committee that had been underway since October 2018. The proposed rates were not intended to generate additional overall revenue for BEC. Instead, the proposed rates were designed to provide more equity among members within a rate class and provide more financial stability for BEC. The re-design was to produce the same amount of revenue from each rate class as the current rates assuming normal weather conditions.

Most notable was the introduction of 3-part rate design for residential and small commercial members. A System Charge was proposed to be calculated during all hours, 7 days a week.

Rate Design Member Notice

RATE DESIGN-THAT MAKES A DIFFERENCE...

RATE CLASS BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

RESIDENTIAL $33.50 $0.129957 NA

SMALL COMMERCIAL $33.50 $0.127957 NA

LARGE COMMERCIAL $111.65 $0.081889 $12.40

INDUSTRIAL $218.25 $0.081889 $12.40

IRRIGATION $121.80 $0.071140 $12.40

2010 8/2015 3/2016 8/2016

BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.119426 NA

$33.50 $0.120194 NA

$111.65 $0.075126 $12.40

$218.25 $0.076326 $12.40

$121.80 $0.064439 $12.40

BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.103160 NA

$33.50 $0.101408 NA

$111.65 $0.062778 $12.40

$218.25 $0.065797 $12.40

$121.80 $0.057036 $12.40

BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.095775 NA

$33.50 $0.091080 NA

$111.65 $0.053653 $12.40

$218.25 $0.060625 $12.40

$121.80 $0.054111 $12.40

10-YEAR RATES 5%kWh

Members Prompt Questions & A New Direction

A rate study helps identify the needs of the cooperative, promote continuity of financial health, ensure equitable rates among all classes of consumer-members, and determine adequate recovery of future costs.

Rate Design

The Board made adjustments to the initially proposed rate design at the June 30, 2020 board meeting. This adjustment was made upon further input from members, Risk Management Committee, and staff looking for a balance between members’ desires to manage their electricity bills by shifting energy use throughout the day and BEC’s need to stabilize revenues, reduce system loading and reduce Northwestern Energy transmission charges during daily peak energy use periods. Consequently, with a recommendation from the Risk Management Committee, the Board voted to approve the proposed rates but limit the hours for calculating the System Charge for the residential and small commercial classes to 7 AM to 10 AM and 4 PM to 8 PM daily. In providing these time of use windows, the Board felt that they were addressing the desires expressed by members to manage their electricity bills by shifting energy use activities outside of the periods when BEC substations incur their highest demands and NWE typically assesses transmission delivery charges to BEC.

1 1 1 1

Feature Article

NWE Transmission Peak Charges Daily By Hour.

I

10%kWh

5%kWh

5% Residential5% All Rate Classes10% Residential, Lg Business & Industrial

12.7% Sm Business, 5% Irrigation

6 • Beartooth Electric Cooperative • www.beartoothelectric.com

...MORE CONTROL OF YOUR ENERGY BILL!

7/2017 7/20203/2020

BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.088768 NA

$33.50 $0.083438 NA

$111.65 $0.048254 $12.40

$218.25 $0.055744 $12.40

$121.80 $0.050711 $12.40

BASE CHARGE

ENERGY CHARGE

(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.092384 NA

$33.50 $0.087054 NA

$111.65 $0.051870 $12.40

$218.25 $0.059360 $12.40

$121.80 $0.054327 $12.40

BASE CHARGE

ENERGY CHARGE

(kWh)

NWETRANSMISSION

CHARGE(kWh)

SYSTEM CHARGE

(kW)

$30.00 $0.072618 $0.009524 $2.00

$30.00 $0.069835 $0.009524 $2.00

$150.00 $0.039881 $0.009524 $11.83

$1,000.00 $0.039881 $0.009524 $13.30

$121.80 $0.039881 $0.009524 $13.14

4/2021

BASE CHARGE

ENERGY CHARGE

(kWh)

NWETRANSMISSION

CHARGE(kWh)

SYSTEM CHARGE

(kW)

$33.50 $0.081134 $0.009524 NA

$33.50 $0.075804 $0.009524 NA

$111.65 $0.040620 $0.009524 $12.40

$218.25 $0.048110 $0.009524 $12.40

$121.80 $0.043077 $0.009524 $12.40

.003616 kWhRevenue Increase

NWE Transmission Pass-Through Charge REVENUE NEUTRAL .001726 kWh

Revenue DECREASENWE Transmission Pass-Through Charge

1 1 1 1

New Rates Will Be In Effect April 2021. What’s Next?October 2020New Bill Statement Design—BEC will implement a new bill statement design incorporating the new System Charge, measured in kW. There will not be an actual charge on the statement for the System Charge until April 2021. In addition to the System Charge line, members will receive a 13-month kWh usage history graph, kW usage graph, and time of peak energy usage graph delivering at-a-glance energy information each month.

Online Rate Calculator—To assist member’s understanding of the new System Charge, a rate calculator will be available on the BEC website. The calculator will feature a drop-down menu for each rate class, easy entry of kWh and kW usage with a results chart of new rate charges. Now is the time to start managing your energy use prior to implementation on April 1, 2021.

Fall 2020BEC will run a revenue check-in during the fourth quarter of 2020, to verify meter data and confirm that adding full implementation of the system charge is revenue neutral for each class. The Board could adjust the system charge hours or rates if there is a significant variance from revenue neutrality.

2021 LaunchThe new rates will launch in April 2021. Beginning in 2021, BEC will release tips on how to lower your energy bill, reminders of System Charge hours, and much more.

If you have any questions, please contact General Manager Kevin P. Owens at 406-446-2310. Thank you.

October 2020New Bill Design

October 2020Online Rate Calculator

2021Launch Materials

CHECK THE HOUR—BEFORE USING POWER LEVEL YOUR LOAD

0%5% Residential, Lg Business & Industrial

6.5% Sm Business, 2.5% Irrigation

5%kWh

kW

“ The vast majority of members will see relatively

small changes to their bill.

www.beartoothelectric.com • Beartooth Electric Cooperative • 7

Beartooth Electric Cooperative, Inc.PO Box 1110, 1306 Broadway Ave NRed Lodge, MT 59068406-446-2310 | 800-472-9821email: [email protected]: www.beartoothelectric.com

fconnect with us !

Beartooth Electric Cooperative will produce an annual calendar featuring photos of our local area taken by Co-op members. The calendar will be direct mailed to members at the Co-op offices in December 2020.

Photos submitted should depict wildlife, scenery, people, activities or anything that represents our unique lifestyle in our special corner of Montana. 14 photos will be selected and featured in next year’s calendar. Members selected to be featured in the calendar will receive a $25 bill credit, and their name will be published in the calendar. The Cover Photo grand prize

Photo submission requirements:We will accept members’ photo submissions online from August 1 through September 15, 2020, at [email protected].

To enter, you must be a member of the Co-op and a nonprofessional photographer. Each member may submit up to 6 photos for consideration. Please do not submit more than 6 photos as they will be disqualified from consideration.

Photo(s) must be:• High resolution (300 ppi)• Horizontal format• JPG, TIFF or PNG

Photo Orientation:Since our calendar is in a horizontal format, we cannot accept photos in vertical orientation. Please crop your photos to a horizontal orientation before submitting.

Panoramic Photos:As you can see below, a panoramic photo is too wide for the entire image to fit in the calendar image frame, and we don’t want to exclude any part of your beautiful photo! Please crop any panoramic image to your favorite composition before submitting.

2021 Member Calendar

Sunrise on the Service AreaPhoto By: Kaaren Robbins, Member Communication & Services

8 • Beartooth Electric Cooperative • www.beartoothelectric.com

1. Be Smart with Your ThermostatIt feels good to blast the AC after getting home from a workout, time spent outside, or just a generally sweltering summer day. But it probably won’t feel so good later when you see that your utility bills have skyrocketed. Keep in mind that for every degree you raise your thermostat above 72º, you save up to 3% of your cooling

expenses. Try setting your thermostat to 78º, or as high as your comfort allows.

When you’re away from home, set the temperature even higher or, if it’s not too hot, turn it off altogether so you don’t waste air conditioning on an empty house. If you install a smart or programmable thermostat, you won’t have to go through the trouble of manually changing the temperature each time you leave. These thermostats will automatically adjust your home’s climate control while you’re away.

2. Keep the Sun Out and the Cool Air In The summer sun is great for tanning, great for your mood, and great for beaches, picnics, and sunsets. However, it’s not so great if you want to keep your house cool. Sunlight coming through your windows will heat up your home, causing you to spend more on air conditioning. Try drawing the blinds during the hottest parts of the day,

especially if your windows are facing south. You can open your windows again at night when it gets cool; this will allow you to turn off your air conditioning. Just don’t forget to close them again in the morning to trap in the cool air.

Also, if you’re planning to invest in landscaping, keep in mind that trees provide great natural shade. Strategically placed shrubs, trees, and vines can block sunlight from your windows, roof, and walls, saving you $100 – $250 per year in cooling costs.

3. Keep Your Home Easy & BreezyAnother easy way to cut down on cooling costs is by using fans. Ceiling fans are great for cooling an entire room, and many homes already come equipped so there’s no purchase necessary. Even if you don’t have one, portable fans are inexpensive and readily available at any home goods or big-box store. A good fan will allow you

to raise your thermostat 4º while maintaining the same level of comfort. If you don’t mind the light breeze, go ahead and lower the temperature on your AC because fans can be very effective.

4. Consider LED LightingAfter you’ve blocked out the sun, you might find yourself turning on more lights than you normally do. Be careful which lights you choose, though, because incandescent bulbs actually turn 90%

of the energy they use into heat. Consider replacing your incandescent bulbs with LED bulbs, which operate at a lower wattage and produce only half as much heat. LED bulbs also use 75% less energy and last 50 times longer than traditional bulbs, saving you money on electricity and replacement costs.

5. Use the BarbequeTrying to cook in a hot, steamy kitchen can be unbearable, especially when it’s hot and steamy outside as well. Kitchens are full of heat-producing appliances: ovens and stoves can raise your kitchen’s temperature up to 10º. To save yourself the sweat (and the higher utility bills), try using the microwave whenever possible

since it uses just one-third the energy that an oven does and produces only a fraction of the heat. Another great way to take the heat out of the kitchen is to cook outdoors. Pop some burgers on the grill or invite some friends over for a barbecue. You can enjoy the great weather while you avoid raising the temperature in your home.

6. Wash with Cold or Warm WaterAvoid using hot water whenever possible. Because 90% of the energy used by your washing machine goes toward heating the water, doing your laundry on either the cold or the warm cycle will save you a tremendous amount of electricity. When you’re done, take advantage of the warm weather and dry your clothes outside

instead of putting them through the dryer. You’ll both save energy and avoid raising the temperature of your home with heat-generating appliances.

(Hint: the same logic applies to dishes as well. Use cold water and let them air dry instead of running them through the drying cycle.)

7. Keep Track of Your ElectronicsWhen you place heat-generating devices such as lamps or TVs near air-conditioning thermostats, you can trick them into thinking the room is hotter than it really is. Your thermostat will sense the heat from these devices and spend extra energy trying to cool the house down. Be mindful of where your thermostats are and try to

keep electronics away from them. Devices like computers, curling irons, hair dryers, stereos, and televisions heat up your house as well, so make sure they’re turned off when they’re not being used.

.

Seven Ways to Save Energy in the Summer

Most people expect higher energy costs in the summer. We crank up the air conditioning to get out of the sun; the kids are home from school and spend all day on their electronics; and, when you finally convince them to play outside, you find yourself washing extra loads of bathing suits, beach towels, and muddy clothes. The warm weather comes with a price. But, with a little preparation, you can manage your energy use wisely and cut down on your bill. Here are 7 tips that will help you use less energy this summer.

BEARTOOTH BULLETINJULY 2020

4 8 22 25 28 31

JULY BILLING STATEMENTSUSPS AND EBILL

FINANCE COMMITTEE MEETINGZOOM | 2:00 PM

AUTO PAY PROCESSING

BOARD OF TRUSTEES MEETING | NOONZOOM MEETING

BILL PAYMENT DUE

CO-OP CALENDAR: July 2020

[email protected]

www.beartoothelectric.com

PO Box 1110, 1306 N Broadway AveRed Lodge, MT 59068

/beartoothelectricf

Connect with Us!406-446-2310

Planning & Organizing the BEC Website ContentWebsite design is much like a restaurant menu—categorized for easy selection. That philosophy was taken to heart when designing the new site for our members. The Communication Committee participated in a content management exercise--every possible content page was identified on a yellow post-it note and placed on the white board. Each page was

discussed, discarded or kept, and if kept assigned a category. We narrowed the website categories to five, rather self explanatory areas: 1. Electric Service, 2. Account & Billing, 3. Community, 4. Education & Safety, and 5. My BEC to keep the search for desired information fast and easy.

My BEC TabIf you visit the BEC website to locate anything BEC, start

New Website Know-How—The Powerful My BEC Tab

The new BEC website is a powerful member tool. We’ve loaded just about everything we could think of to make member availability just clicks away. If you cannot locate what you’re looking for, please give us a call, and we’ll direct you right to it. If the process requires a redesign, we’ll do that too! We hope you give the new website a try.

By Kaaren Robbins, Member Communication & Services

MY BEC—

When ZOOM Meetings are scheduled, participation details are available on the meeting tab listed under the Events section of our home page at www.beartoothelectric.com.

Everything and anything BEC is just two clicks away at My BEC.

MY BEC

your search on the My BEC tab. Featuring 18 defined areas, your BEC data is organized for easy access and no more than two-clicks away.

If you have any website questions or comments, please call us at 406-446-2310. Enjoy your new BEC website.

INDEPENDENCE DAY

BOARD REPORT

By: Eric Elton, Line Superintendent

July 28, 2020

CONSTRUCTION, OPERATIONS & MAINTENANCE

• The Red Lodge crews are working on new services and still mapping. • The Columbus Crew is doing the same. • I did travel to Lower Yellowstone. They have one substation that seems like

it will work well for our new Columbus East Sub. They are happy to let us have it if we take all the steel down. I spoke with the surveyor on July 23, and we should have a recorded survey on the substation property. The next step is to put the recorded survey in the lease and get it signed.

• To date, we are at 85% on the system mapping and inventory. • The temporary transformer was moved out of the Nye substation on July 16.

(Our substation transformer has been in service since October). • We installed 10 new services in June. • There was a total of 17 outages system-wide in June. • We had 260 individual consumers out of power at some point in June for 2170

minutes. Northwestern Energy did have two of our substations out of service on 6/16/20. (Please see attached breakdown sheet).

EDUCATION, SAFETY & LOSS

• THE next MECA safety meeting is August 4. • No lost time accidents to report for June.

TRUCK, TOOLS & EQUIPMENT

• All equipment is in good working order.

JUNE 2020 OUTAGE SUMMARY REPORT

Da

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Aff

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RU

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Cause of Service Interruption (RUS Designation

1730A-119)

Su

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OH/ URD

Cu

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Inte

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06/01/20 55 2 690 Fuse blown/turkeys Absarokee OH 110

06/04/20 180 2 590 Lightning hit transformer Roberts OH 360

06/05/20 270 8 300 Faulted URD cable Absarokee URD 2160

06/07/20 260 10 590 OCR open/burned primary wire/lightning Red Lodge OH 2600

06/09/20 150 6 300 Broken jumper Nye OH 900

06/14/20 35 2 590 Fuse blown/lightning Columbus OH 70

06/21/20 90 20 300 Bad underground Columbus URD 1800

06/21/20 90 2 690 Fuse blown/squirrel Absarokee OH 180

06/21/20 30 30 420 Tree fell on line and broke pole Red Lodge OH 900

06/22/20 85 5 690 Fuse blown/raccoon Nye OH 425

06/22/20 75 1 690 Fuse blown/birds Roberts OH 75

06/22/20 60 3 690 Fuse blown/birds Edgar OH 180

06/25/20 85 1 999 Fuse blown/unknown Belfry OH 85

06/27/20 210 164 420 Tree through line Absarokee OH 34440

06/28/20 235 2 300 Faulted URD cable Reed Point URD 470

06/28/20 80 1 590 Fuse blown/lightning Luther OH 80

06/28/20 180 1 300 Faulted URD cable Edg/From URD 180

TOTALS 2170 260 45015

06/16/20 30 936 000 Transmission/insulator Red Lodge OH/URD 28080

06/16/20 70 785 000 Transmission/insulator Belfry OH/URD 54950

TOTALS 100 1721 83030

RUS CODE KEY June YTD Substations

000 Power Supply 2 11 4 Absarokee

001 Power Supply w/Truck 0 0 2 Belfry

110 Planned Outage 0 2 2 Columbus

300 Equipment 5 16 2 Edgar/Fromberg

420 Tree Growth/Trimmimg 2 13 1 Luther

440 Trees Ice/Snow 0 1 2 Nye

500 Transformer 0 1 3 Red Lodge

590 Weather 4 39 1 Reed Point

690 Animal 5 15 2 Roberts

790 Public Caused 0 9

999 Unknown 1 4

{Member Minutes } NWE Major Event Planned All Other Totals

MONTH - June 83,030 0 0 45,015 108,635

YTD 510,490 0 365 380,860 891,715

Delivery Point Analysis

Final June 2020 Days in month 30

Load Factor

Demand Energy Demand Energy Purchased Demand Energy Energy Energy Demand Energy

kW kWh kW kWh % kWh kWh kW kWh Line Loss Line Loss Line Loss Line Loss

Last Year Last Month 2 Months Past

2020 2019 June 2020 June 2019 May 2020 Apr 2020

Absarokee 1,502 699,613 1,337 669,139 64.7% 12.3% 4.6% 667,496 617,322 4.6% 7.2% 10.0% 3.6%

Belfry 2,255 996,140 2,225 1,044,530 61.4% 1.3% -4.6% 939,652 964,304 5.7% 8.3% 12.9% 4.7%

Columbus 2,307 910,879 1,718 805,975 54.8% 34.3% 13.0% 843,695 703,661 17.20 2,440 7.1% 10.3% 14.1% 5.9%

E. Rosebud 124 43,167 125 38,007 48.4% -0.8% 13.6% 40,094 32,004 7.1% 9.6% 15.5% 11.2%

Edgar 1,360 515,161 956 376,823 52.6% 42.2% 36.7% 484,482 341,751 6.0% 10.5% 13.3% 5.1%

Luther 445 231,284 471 225,639 72.2% -5.6% 2.5% 216,745 209,897 6.3% 7.0% 11.2% 4.4%

Nye 1,151 524,975 1,227 536,175 63.4% -6.2% -2.1% 508,649 485,934 3.1% 8.0% 9.4% 4.2%

Red Lodge 1,301 672,095 1,434 699,764 71.7% -9.2% -4.0% 646,066 642,312 45.00 5,394 3.1% 9.0% 9.7% 3.5%

Reed Point 426 208,282 406 196,800 68.0% 4.8% 5.8% 195,033 177,934 6.4% 9.3% 12.0% 5.4%

Roberts 1,493 620,736 1,191 541,344 57.7% 25.3% 14.7% 596,258 491,347 3.9% 6.9% 10.5% 3.0%

Totals 12,363 5,422,331 11,090 5,134,195 60.9% 11.5% 5.6% 5,138,170 4,666,466 62.20 7,834 5.10% 8.53% 11.52% 4.43%

Note: Above represents kWh purchased information received from NWE based at the new loss percentage rate. It is not clear yet whether they corrected the Sold to BEC kWh to reflect the new loss percentage number or the old loss percentage number.

Chart reflects Distribution losses only. NWE charges 2.8% transmission losses for delivery over their system plus. Metering takes place on the low side of all substation transformers with the exception of Columbus Substation. 1%

transformer losses are added to all low-side metering, 3.8% cumulative transmission losses at all delivery points except Columbus which is 2.8% transmission losses.

Load Factor = It can be derived from the load profile of the specific device or system of devices. Its value is always less than one because maximum demand is always more than average demand. A high load factor

means power usage is relatively constant. Low load factor shows that occasionally a high demand is set. To service that peak, capacity is sitting idle for long periods, thereby imposing higher costs on the system.

Electrical rates are designed so that customers with high load factor are charged less overall per kWh. This process along with others is called load balancing or peak shaving.

Purchased Sold Own Use

2020 2019 2020 vs. 2019 2020

TOTALS YTD

Feb Apr May Jul Sep Dec

Light & Heavy Duty Trucks 27,097 25,055 27,186 24,585 21,304 0 0 0 0 0 0

10,845 13,685 13,538 13,471 27,586 0 0 0 0 0 0

2.50 1.83 2.01 1.83 0.77 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

847 1,075 2,070 2,151 1,382 0 0 0 0 0 0


Backhoes, Trailers & Chipper 4,451 2,929 3,356 3,303 3,478 0 0 0 0 0 0

21 5 0 5 295 0 0 0 0 0 0

211.95 585.82 #DIV/0! 660.63 11.79 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

159 55 46 77 31 0 0 0 0 0 0


2020 FLEET TOTALS

Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

31,548 27,984 30,542 27,888 24,782 0 0 0 0 0 0

2019 FLEET TOTALS


28,675 36,873 27,303 29,905 29,841 31,882 26,493 28,760 29,605 27,465 30,112

2018 FLEET TOTALS


42,363 33,162 28,214 27,305 29,151 30,267 26,469 26,391 26,341 26,808 28,265

2017 FLEET TOTALS YTD

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

32,170 33,652 30,919 27,090 26,658 24,831 27,059 26,864 28,942 28,665 37,678

2016 FLEET TOTALS


26,493 27,256 24,639 24,154 23,896 27,516 26,877 25,866 23,664 29,801 33,964Total: 24,995 319,120

Total: 32,540 357,069

YTD

Jan Total

YTD

Jan Total

Total: 37,243 361,978

YTD

Jan Total

Total: 26,138 353,052

YTD

Jan Total

Total: 29,288 172,033

Gallons of Gas 160 527

HPG 0.0 0.7

Hours 33 359

Cost Per Hour 136.5 61.3

MPG 9.1 10.3

Total: 4,504 22,021

Cost Per Mile 2.05 1.64

Gallons of Gas 1,327 8,852

Total

Total: 24,784 150,012

Miles 12,068 91,193


Fleet Management

Expense Totals

JUNE 2020

Jan Mar Jun Aug Oct Nov

BOARD RESOLUTION

Beartooth Electric Cooperative, Inc.

Setting Forth Bank Signatories

WHEREAS, Beartooth Electric Cooperative, Inc. pursuant to Bylaws the annual election of Board officers was held on May 2, 2020. NOW THEREFORE BE IT RESOLVED, that the Board of Trustees of Beartooth Electric Cooperative, Inc. hereby appoints the following persons to sign on the bank accounts, effective immediately and upon completion of necessary banking documents of the Cooperative at The Bank of Red Lodge and First Interstate Bank for all existing accounts. Daniel Dutton President William Pascoe Vice President Arleen Boyd Secretary/Treasurer Kevin P. Owens General Manager I, Arleen Boyd, Secretary/Treasurer of Beartooth Electric Cooperative, Inc., do hereby certify that the above is a true and correct copy of a resolution adopted at the meeting of the Board of Trustees on July 28, 2020 at which a quorum was present and voted. (Seal) _______________________________________ Arleen Boyd Secretary/Treasurer DATE ______/______/2020

TRUSTEE POLICY NO. 205 1. SUBJECT: TRUSTEE MEETINGS AND COMPENSATION

2. OBJECTIVE:

To state the general policy of Beartooth Electric Cooperative, Inc. (BEC) for Trustee attendance at meetings, establish the per-diem, expense, and compensation practices.

3. POLICY:

3.1 Trustee Attendance at Meetings

3.1.1. Trustees are expected to attend all regular and special Board meetings in person. If Trustees are occasionally unable to attend a meeting, Trustees may attend by phone/video conferencing. Also, attendance is required at the annual meeting of members and encouraged at other member meetings that may be called. Trustees who fail to attend the annual meeting, without cause or absence approved by the Board President, will be penalized $250, which may be deducted from that Trustee’s per diem for attendance at any subsequent meeting. Non-attendance at the annual meeting also precludes payment if a Trustee calls into the post-annual Board meeting and the election of officers.

3.1.2. Trustees may be elected or appointed to represent BEC at national, regional, state,

and special meetings. They are also required to seek training, as approved by the Board President, to develop and improve skills that will help them better serve the membership. Trustees will attend the NRECA Director Training within the first full (3-year) elected term.

3.2 Trustee Compensation

Attendance at meetings: BEC will pay each Trustee the sum of two hundred and fifty dollars ($250) for attendance at the monthly Board meeting. For other meetings of the Board or meetings relating to BEC operations or business, approved by the President, BEC will pay each Trustee the sum of one hundred twenty-five dollars ($125) per day for meetings within BEC service territory which require the attendance of a minimum of two (2) hours but no more than (8) hours. For any such meetings requiring the attendance of eight (8) hours or more, each Trustee shall be paid two hundred and fifty dollars ($250) per day.

TRUSTEE COMPENSATION

Activity Duration Stipend Approved By

BEC Annual Meeting & election of officers in person Not Applicable $250 President

BEC Annual Meeting & election of officers by phone Not Applicable $250 President

Failure to attend Annual Meeting & Election of Officers without Cause or approved by the President Not Applicable -$250 President

BEC monthly board meeting in person Not Applicable $250 President

BEC monthly board meeting by phone Not Applicable $250 President

BEC special board meetings, committee meetings or member meetings 2 hours up to 8 hours $125 President

BEC special board meetings, committee meetings or member meetings 8 hours or more $250 President

Meetings of organizations to which BEC is a member (MECA, NRECA, NWPPA, CFC, etc.) 2 hours up to 8 hours $125 Board

Meetings of organizations to which BEC is a member (MECA, NRECA, NWPPA, CFC, etc.) 8 hours or more $250 Board

Other meetings representing BEC 2 hours up to 8 hours $125 Board

Other meetings representing BEC 8 hours or more $250 Board

Trustee training 2 hours up to 8 hours $125 Board

Trustee training 8 hours or more $250 Board

Travel time for meetings outside BEC service territory Roundtrip, overnight stay out of service area $125 Board

3.3 Non-BEC Board/Committee meetings 3.3.1 The BEC Board may authorize a Trustee to serve on another Board of Trustees or

Directors or a committee of another Board that relates to the business or interests of BEC. The Trustee shall be reimbursed for the Trustee’s actual and reasonable expenses for attending such meetings pursuant to Section 3.4 below unless reimbursement is provided by the organization.

3.3.2 Trustees will be compensated for such service, according to Section 3.2.

3.4 Board Travel 3.4.1 Board travel should be via the lowest cost alternative consistent with safety and

reasonable convenience. Neither luxury nor sub-standard modes of transportation and accommodations should be used.

3.4.2 Board members may choose alternative modes of transportation or travel routes for

personal reasons beyond that required for BEC business purposes. In such instances, BEC will reimburse as business-related expense travel as provided in paragraph 3.4.1. Board members must submit proper documentation to substantiate such expenses.

3.4.3 Trustees are expected to keep receipts for actual and reasonable expenses incurred

for travel, lodging, and meals while on BEC business, as provided for in paragraph 3.2, 3.3, and 3.4 above.

3.4.4 If travel time related to BEC business as provided for above, is more than six (6)

hours round trip, the Trustee may be paid a total of $125 plus mileage with approval of the President.

3.5 BEC Provided Computer

BEC will provide each Trustee a computer and a BEC email address for the purpose of conducting BEC business and storing BEC documents. The computer will be maintained and protected from malware, and cyber intrusion by BEC and will be the property of BEC. The computer and BEC email address should be used for BEC business only. A Trustee will return the BEC computer to BEC at the expiration of the Trustee’s service.

3.6 Reporting Requirements

Each Trustee will be required to submit a monthly expense report with copies of receipts detailing reimbursable expenses and fees due for that month. Reports not submitted within 90 days of activities will not be considered for reimbursement. The Board President will approve each expense report. The secretary/treasurer will approve the President’s expense report, and the President will approve the General Manager’s expense reports.

3.7 Issuance of BEC Credit Card

Trustees may be provided with a BEC credit card to cover reasonable and necessary business expenses. Each Trustee will be responsible for seeing that expense reports concerning the use of such credit card with itemized receipts attached are delivered to the BEC office on a monthly basis.

3.8 Insurance

3.8.1 BEC Trustees are insured for up to $50,000 Accidental Death and Disability, per the policy.

3.8.2 BEC Trustees are insured for up to $100,000 Business Travel Accidental Death

and Disability, per the policy.

3.8.3 BEC will maintain Manager, Officer and Trustee (D&O) liability insurance up to

a level of $5 million aggregate and a Fiduciary Limit of $1,000,000

3.9 Board Compensation Information Availability

Management will maintain records detailing the fees paid to BEC Trustees and will make this information available to any member upon request.

4. RESPONSIBILITY: It shall be the responsibility of the Board President to ensure this policy is evaluated annually or as needed.

Adopted: 11/25/2014 Attest: /s/ Julie Lindgren Revised: 02/28/2017; 1/7/2020 Board President Reference: LV205, BEC II-C-2, C-3, C-4 Review Date: January 2022 Attest: /s/ Arleen Boyd Secretary/Treasurer

59TH ANNUAL MEETING MONTANA ELECTRIC COOPERATIVES' ASSOCIATION

OCTOBER 5 - 7, 2020 HERITAGE INN, GREAT FALLS ~ MONTANA

AGENDA (Preliminary)

“The Power of Trust”

Monday, October 5

8:00 a.m. – 4:00 p.m. Directors Course 2:00 p.m. MECA Annual Meeting Registration Opens Convention Area

3:00 p.m. Resolutions Committee Meeting American-Britain-Canadian Rooms

3:30 p.m. Member Services Committee Meeting Lewis & Clark Room

4:00 p.m. METSPool Executive Committee Meeting Lewis & Clark Room

4:30 p.m. METSPool Board Meeting Lewis & Clark Room

Tuesday, October 6

8:00 a.m. Safety and Loss Control Committee Meeting American-Britain-Canadian Rooms

8:30 a.m. Legislative Committee Meeting American-Britain-Canadian Rooms

9:10 a.m. Power Supply Committee Meeting American-Britain-Canadian Rooms

10:10 a.m. Communications Committee Meeting American-Britain-Canadian Rooms

10:55 a.m. Tribal and Cooperative Issues Committee Meeting American-Britain-Canadian Rooms

Education & Training Committee Meeting Lewis & Clark Room

12:00 p.m. Lunch with Guest Speaker - Mike Rayburn Convention Area

1:40 p.m. Audit Committee Meeting American-Britain-Canadian Rooms

2:10 p.m. ACRE Committee Meeting American-Britain-Canadian Rooms

2:30 p.m. – 4:00 p.m. MECA Board Meeting American-Britain-Canadian Rooms

6:00 p.m. ACRE Reception & Auction Convention Area

Wednesday, October 7

7:30 a.m. Group Breakfast – Memorial Service and Top Communication Award Winners

8:30 a.m. Convening of Annual Meeting American-Britain-Canadian Rooms

8:30 a.m. Pledge of Allegiance

8:35 a.m. Official Notice, Proof of Mailing, Roll Call, Consideration of Minutes

8:40 a.m. President’s Report

8:55 a.m. CFC

9:05 a.m. CoBank

9:15 a.m. Federated

9:25 a.m. Keynote Address – Robert Bryce

10:25 a.m. Panel Discussion – Statewide CEOs

11:25 a.m. NRECA Update

11:45 a.m. Congressional Delegation

12:00 p.m. Awards Lunch

1:30 p.m. Business Session

MECA Board Reorganization Meeting

2:15 p.m. Adjourn

59th MECA Annual Meeting

Heritage Inn ~ 1700 Fox Farm Road ~ 1-800-548-8256 Great Falls, MT

October 5 ~ 7, 2020

Directors ~ Managers ~ Employees

Registration Fee: On or before September 11, 2020 ~ $200

After September 11, 2020 ~ $225

Cooperative/Company: ________________________________________________

Please register the following individuals: Events participant will attend: (please circle) (B = Breakfast, L = Lunch, R = Reception)

_____________________________________ Tuesday L R Wednesday B L







Payment Method

______ Enclosed is my check made payable to MECA ______ Bill My Cooperative ______ Please charge my ____ Visa ____ Master Card ____ Discover Credit Card Number _____________________________________ Expiration Date __________ CVV#_______ Signature (as on card) ___________________________________ Amount $_________________ Cancellation Notice No charge for cancellations received by phone, fax, or e-mail, on or prior to September 11, 2020.

Cancellations received after September 11, 2020 and no-shows will be billed the entire amount.

Mail, e-mail or fax to: Montana Electric Cooperatives’ Association

Attn: Lea Potoczny P.O. Box 1306, Great Falls, MT 59403

[email protected] Fax: (406) 761-8339

59th MECA Annual Meeting

Heritage Inn ~ 1700 Fox Farm Road ~ 1-800-548-8256 Great Falls, MT

October 5 ~ 7, 2020

Guests ~ Spouses

Registration Deadline: September 11, 2020 Name _______________________________________________________________ Cooperative/Company ___________________________________________

Payment Method _____ Enclosed is my check made payable to MECA _____ Bill Me _____ Please charge my ____ Visa ____ Master Card ____ Discover Credit Card Number _____________________________ Expiration Date _______ CVV#_____ Signature (as on card) ____________________________ Amount $____________

Cancellation Notice No charge for cancellations received by phone, fax or e-mail on or prior to September 11, 2020.

Cancellations received after September 11, 2020 and no-shows will be billed the entire amount.

Mail, e-mail or fax to: MECA

Attn: Lea Potoczny P.O. Box 1306, Great Falls, MT 59403

[email protected] Fax: (406) 761-8339

Day Event Cost Yes/No Tuesday, October 6th Welcome Luncheon $25 Tuesday, October 6th ACRE Reception $50 Wednesday, October 7th Group Breakfast $25 Wednesday, October 7th Group Luncheon $25

Montana Electric Cooperatives' Association

Standing Committee Appointments

2020 Assignments

Cooperative Audit Bylaws & Policies Communications Dues FormulaEducation &

TrainingLegislative

Member

ServicesPower Supply Resolutions

Safety & Loss

Control

Tribal &

Cooperative

Issues

Beartooth Electric Arleen Boyd Arleen BoydDick Nolan

Kaaren RobbinsRoxie Melton Roxie Melton Dick Nolan Kaaren Robbins

Arleen Boyd

Bill PascoeArleen Boyd Roxie Melton

Big Flat Electric Duane Klindworth Alan Van Voast

Gretchen

Boardman

Alan Wasson

Debbie Kindle Clyde RobinsonBetty Campbell

Patty Quisno

Betty Campbell

Patty Quisno

Big Horn County

ElectricAshley Gietzen Derek Sorley Lamont Herman Derek Sorley Derek Sorely

Lamont

Herman

Fall River Rural Electric Doug Schmier Doug Schmier Ted Austin Doug Schmier Sheena Stricker

Fergus Electric Paul

DescheemaekerBob Evans

Brad Arntzen

Brett MaxwellJason Swanz Sally Horacek Bob Evans Terry Frost Cathy Kombol

Flathead Electric Gary Boe

Alan Ruby(alt)

Alan Ruby

Terry Crooks(alt)

Jerry Bygren

Terry Crooks(alt)

Ross Holter

Katie Pfennigs

Jay Downen

Stacey

Schnebel(alt)

Duane Braaten

Terry Crooks(alt)

Jay Downen

Alan Ruby(alt)

Teri Rayome-

Kelly

Mark Johnson

Jerry Bygren(Alt)

Alan Ruby

Jerry Bygren(alt)

Doug Tu

Mark

Johnson(alt)

Terry Crooks

Glacier Electric Brian Elliott Bruce Bradley Jonnalea Tatsey Brian Elliott Jim Taylor

Bruce Bradley

Colleen

Gustafson

Jonnalea Tatsey Bruce Bradley Brian ElliottZita Bremner

Brian Elliott

Goldenwest Electric John Sokoloski Bob Makelky

Hill County Electric Gerald Rutledge Clarence Keller Leslie Smith Shane Barrett Leslie SmithCraig Gates

Gerald RutledgeTeresa Jensen Clarence Keller Clarence Keller Merle Belcourt

Lincoln Electric Ethel White Marianne Roose Melissa Brandon Marianne Roose

Lower Yellowstone REC Dennis NelsonJohn Redman

Jami ProppJohn Redman

Jason Brothen

Jim VittDennis Nelson Jami Propp Allen Thiessen John Redman

Jason Brothen

Chris Hillesland

Marias River Electric Mel FretheimTerry Peters

Shirley Kronebusch

Merle Raph

Shannon

McAllister

Dan Gliko Eve Jacobson Joe Sisk

McCone Electric Brent McRaeMichael Hoy

Brent McRaeBrent McRae Brent McRae

Brent McRae

Scot Brown

Michael Hoy

Carla Delp

Brent McRae Scot Brown Brent McRae Brent McRae Brent McRae

Brent McRae

Brent Kluth

Mid-Yellowstone

ElectricJim DeCock Arlo Jensen

Missoula Electric Terry Hoke Terry HokeRay Cebulski

Kelsey Lodge

Pete Simonich

Dena Hooker

Mark Hayden

Tom AlsakerDan Rogers

Mark Hayden

Pete SimonichMark Hayden Sean Eskridge

Northern Lights, Inc.

NorVal Electric

Sam Gundermann

Rocky Kittleson

Leila Seyfert

Gary Meyer

Lee Risa

Leila Seyfert

Craig Herbert Leila Seyfert Craig Herbert Ron ReddigNick Dulaney

Sam GundermanCraig Herbert

Park Electric Perry Anderson Sarah BoyleMatt Haggerty

Melanie Roe

Matt Haggerty

Alan JohnstoneMatt Haggerty

Current as of: 7/21/2020

Montana Electric Cooperatives' Association

Standing Committee Appointments

2020 Assignments

Cooperative Audit Bylaws & Policies Communications Dues FormulaEducation &

TrainingLegislative

Member

ServicesPower Supply Resolutions

Safety & Loss

Control

Tribal &

Cooperative

Issues

Ravalli County Electric Bob Popham Brien WeberMelissa Greenwood

Wayne OlsonDennis Schneiter

Rex Griffin

Bob Popham

Melissa

GreenwoodMark Grotbo Robert Bailey

Kyle Kearns

Dennis Schneiter

Sheridan Electric Scott Westlund Scott Westlund Scott Westlund Scott Westlund Scott Westlund Scott Westlund Scott Westlund

Southeast Electric Jack Hamblin Vicki Fix Dave Hayden

Sun River Electric Mitch Johnson Leanne Hall

Leonard

Sivumaki

Russ Bloom

Brad Bauman

Ross OvesonRoberta Rohrer Robert Pasha Randy Parker

Tongue River Electric DeeDee Isaacs Bob JanssenTary Hanson

DeeDee IsaacsKate Irish

Tary Hanson

Gary Helm

Todd Tibbetts

Gary Helm Bob JanssenRichard

Hamilton

Vigilante Electric Sharon Lasich Andy JohnsonDean Peterson

Cheyenne GarrisonAllen Martinell

Rollie Miller

Tom Helm

Dean Peterson

Rod Siring Rollie Miller Andy Johnson Allen Martinell

Yellowstone Valley

Electric Mariah Wittman Larry Kaufman Jennifer Sayler Penny Seader Dave Kelsey Jennifer Sayler Brandon Wittman Monti Wetsch Richard Weldon

Basin Electric Power Paul SukutCentral Montana

Electric Power Doug Hardy Doug Hardy Doug Hardy

Members 1st Power Jim CollinsUpper Missouri G&T Claire Vigesaa Dale Schweigert Albert Paul Claire Vigesaa

Western Montana G&T Joe Lukas*G & T managers are

automatically appointed

to the Power Supply

Committee

Current as of: 7/21/2020

MONTANA ELECTRIC COOPERATIVES’ ASSOCIATION

BOARD OF DIRECTOR CERTIFICATION STATE OF ____________ County of _____________ We, the President and Secretary of the __________________________ Cooperative, a

corporation organized and existing under statute, State of ___________, do hereby certify:

That at a meeting of the Board of Directors of said corporation held on the ______ day of

______________, 20___, a motion was duly made, seconded and by majority vote adopted,

naming ____________________________________________, who’s mailing address is

_____________________________________________________________________ Address City State Postal Code

to serve as the PRIMARY representative of the Board of Directors of MONTANA ELECTRIC

COOPERATIVES’ ASSOCIATION, and naming _______________________________

who’s mailing address is

_____________________________________________________________________ Address City State Postal Code to serve as the ALTERNATE representative to serve in the event of the inability of the primary

designated director to serve at a board meeting of the Board of Directors of MONTANA

ELECTRIC COOPERATIVES’ ASSOCIATION for a one-year term or until his successor shall

have been appointed and qualified in accordance with the Bylaws of this corporation and the

MONTANA ELECTRIC COOPERATIVES’ ASSOCIATION.

Dated this _____ day of __________, 20__. __________________________ President __________________________ Cooperative ATTEST: ____________________________ Secretary ____________________________ Cooperative

MONTANA ELECTRIC COOPERATIVES’ ASSOCIATION

OFFICIAL VOTING CREDENTIALS — 2020

This certifies that the following named representatives of the ________________________________________________________________ Electric Cooperative are hereby authorized as the voting delegate and alternate voting delegate to the MONTANA ELECTRIC COOPERATIVES’ ASSOCIATION Annual Meeting to be held Tuesday, October 6, 2020, in Great Falls, Montana.

PLEASE NOTE: In order for your cooperative to have two votes, your voting delegate must be someone other than your designated MECA Board Member. ______________________________ Voting Delegate

[cannot be your certified MECA board member] ______________________________ Alternate Voting Delegate ______________________________ Secretary of Cooperative Date

Ju , 2020 Board Book · 7/28/2020 · Attendees were Dan Dutton, Bill Pascoe, Arleen Boyd, Jim...

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Transcript of Ju , 2020 Board Book · 7/28/2020 · Attendees were Dan Dutton, Bill Pascoe, Arleen Boyd, Jim...