A Touchstone Energy® Cooperative

A newsletter from Arrowhead Electric Cooperative, Inc.

January 2013, vol. 19

Electricity isn’t all doom and gloom…When I talk to my neighbors

and others in our community about electricity there seems to be a lot of doom and gloom surrounding a multitude of issues. Some days, I feel the impending doom and gloom which surrounds the energy industry. There is so much controversy and striking the right balance between keeping energy affordable and protecting our environment is almost always at the center of the discussion.

I’m often times inspired while working with members, observing Arrowhead employees helping our members, or meeting with others in the energy industry. Last month as we celebrated Thanksgiving I shared how grateful I am. I remain more grateful than ever that it’s not all doom and gloom.

For Arrowhead members, perhaps the best Holiday news I can provide is that in 2013 your Cooperative will NOT HAVE A RATE INCREASE! Not having an electric rate increase in either the kilowatt hour charge or the monthly service availability charge is no small feat.

Each year since the economic downturn, Arrowhead has absorbed wholesale rate increases that are greater than the retail rate increases which have been implemented. 2013 will be no different. Arrowhead is anticipating a wholesale rate increase from Great River Energy of nearly 5% in 2013. A nearly 5% rate increase to Arrowhead equates to a whopping $219,783. That’s $219,783 that Arrowhead is absorbing through delays in capital spending, more efficient utilization of staff time, and cuts in our operating budget. Responsible amounts of long-term

debt have also been re-financed, taking advantage of historically low interest rates.

No rate increase in 2013…that feels good. There are so many good things Arrowhead does in the community and I’m proud of the employees for taking the lead in implementing these programs. I am also proud of you, our members, for your continued support and efforts to keep these programs strong. Here is a small list of Arrowhead activity’s in 2012:

Operation Round-Up. In 2012, Arrowhead member donations administered by the Operation Round-Up Trustee board distributed nearly $16,000 to over 15 non-profit organizations in Cook County.

Food Shelf. While we don’t count items or pounds of food brought into the Arrowhead office, we’ve made a few deliveries to the food shelf in Grand Marais this year with boxes and bags of food. Remember, we accept food shelf donations year round.

Holiday Light Recycling. This program provides our members a way to recycle their old holiday lights. Bring them into our office and we’ll send them to MRCI workforce in Mankato, MN where persons with disabilities disassemble the strings and sell or recycle the various parts. Each year Arrowhead sends a few hundred pounds of holiday lights to MRCI!

Holiday Mitten Tree. Your generous donations of purchased and handmade gloves, hats, scarves and other items are an inspiration. Your donations make a difference to children and adults in our community. (See page 4 for more details.)

Washington D.C. Youth Tour. This fantastic program provides two Cook County High School students the opportunity to join other high school students from across America in our nation’s capital for a week of energy education, fun activities and a chance to meet there elected legislators. (See page 2 for more details.)

Cook County Robotics Club Sponsorship. This club of enthusiastic and intelligent Cook County High School students learn applications in math, computer science and engineering to build a robot to be entered into a competition each year. If you ever need a group of young individuals to inspire you, I’d encourage you to see these young people in action!

Employee Volunteer Efforts. Thank you to all the Arrowhead employees who volunteer their time to various organizations and events throughout Cook County. Arrowhead employees are first responders, youth sports coaches, volunteers at events including Mush for a Cure and the Ham Lake Half Marathon. They are firefighters and board members of non-profit organizations. They greatly impact our community in more ways than serving our members from 8am – 4:30pm or during those nasty storms that can disrupt power.

For all of the doom and gloom we hear about on the news, I for one remain inspired by our membership and I am fortunate to be part of a Cooperative working hard to keep electricity affordable for everyone. Keeping electricity affordable and the thoughts of the Cooperative membership at the forefront remains my commitment to you in 2013.

Happy New Year! Jeanne

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Member Comment Corner: AAttention Cook County High School Juniors!Your submitted essay may earn you an all expense paid trip to Washington D.C. sponsored by Arrowhead Electric Cooperative!

For complete details contact Ms. Church at the Cook County High School, go on line to the cooperatives website at www.aecimn.com or contact Arrowhead Electric at 218-663-7239. Application Deadline is March 15, 2013.

What is this Washington, D.C. Trip and why would AECI offer this opportunity?

For more than 40 years, electric cooperatives have sponsored the annual Rural Electric Youth Tour by selecting high school juniors for a trip to Washington, D.C. to experience, first hand, the essence that is our republic. Witness the profound grandeur of monuments to our greatest leaders; reflect on the true cost of freedom by eyeing row upon row of white crosses at Arlington Cemetery; question your U.S. Representatives and Senators on issues that affect you, and unlock your individual spirit.

Participants will join more than 1,425 students from 43 states

for an unforgettable week in our nation’s capitol. This is not your ordinary sight-seeing tour. We combine leadership opportunities with just plain fun. You’ll spend a day on Capitol Hill visiting with our Senators and Representatives. There will be little time for sleep but lots of time for interaction and meeting new friends. Just ask last year’s participants, Katie Vander Heiden and Mara MacDonnell of Grand Marais! Katie and Mara described the Washington Youth Tour as a “Trip of a Lifetime that will positively influence our lives for years to come!”

Electric space heater savings??If you purchase an electric space

heater to save on your heating bills, don’t be surprised if your electric bill is higher. Many people don’t take this into account when buying electric space heaters. Electric space heaters are meant to save money by allowing a person to “zone heat.” They use the space heater to make their living area warmer, while turning the thermostat down for the rest of the house. This reduces fossil-

fuel furnace use so the savings are realized on the fossil-fuel furnace heating bills – not on the electric bill.

Use the formula below to determine what the monthly cost of operating a space heater will be before you plug it in. Example for a 1,500 watt space heater:

(1,500 watts ÷ 1,000) x 24 hours x 11.8 cents (AECI’s rate Sept –May) = $4.25 cost per day

(wattage divided by 1,000) x hours used x cost per kWh = cost per day

To calculate a monthly cost, multiply your cost per day by number of days in the month. Example: $4.25x 30days=$127.50. This is your cost per month to run your 1500 watt space heater.

Bottom line: space heaters are convenient, but expensive to use!

Arrowhead Electric Cooperative, Inc Notice on CogenerationIn order to comply with Minnesota Statues 216B.164 and the final published rules of the Minnesota Public Utilities Commission (MPUC), Arrowhead Electric Cooperative, Inc. is obligated to interconnect with and purchase electricity from members cogenerators and are small power producers, which satisfy the conditions and become a qualifying facility.

Arrowhead Electric is obligated to provide information free of charge to all interested members upon request, regarding rates and interconnection requirements. All interconnections require an application and approval to become a qualifying facility. Any disputes over interconnection, sales and purchases are subject to resolution by the MPUC. Interested members should contact the Arrowhead Electric office.

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Power Outage Safety Tips

Arrowhead Electric Cooperative, Inc. makes every effort to

keep the power on. Sometimes, despite our best efforts, the power goes out. When that happens, there are a few things you can do to keep yourself and your home safe.

• Check with your neighbors to see if their power is off. If not, the problem may be in your breaker or fuse box.

• Try to reset the main breaker by flipping it firmly to the “OFF” position, then back to ON. In many cases this is all you need to do to restore power.

• If the power doesn’t come back on, turn all the branch breakers that control individual circuits to the “OFF” position. Reset the main breaker and slowly turn the branch breakers on one at a time until power is restored.

• If your main breaker or branch circuit breaker will not reset, you may need to contact a licensed electrician.

• If your power isn’t restored and/or your neighbors’ power is out, be sure to contact Arrowhead Electric Cooperative, Inc. to report the outage.

• Turn off all appliances, heat-ing or cooling systems, lights, and other electric equipment to avoid overloading the system when power is restored. Leave one light on so you’ll know when the power is on again.

• Keep a “power outage” kit handy that includes a flashlight, portable radio, fresh batteries for each, candles and matches. Remember your outside solar walkway lights will offer a lot of light inside too.

• Never cook or generate heat indoors with a camp stove or charcoal grill – both emit deadly fumes.

Arrowhead Electric Cooperative, Inc.Post Office Box 39 5401 West Hwy. 61 Lutsen, Minnesota 55612-0039Phone 218-663-7239 Toll Free 1-800-864-3744 Fax 218-663-7850

www.aecimn.com

General Manager: Jeanne Muntean Board President: Lou TerrizziNewsletter Editor: Rose ThoresonCooperative Board Meeting last Thursday of each month @ 9:00 a.m. with the exception of November and December due to the holidays.

The Right-of-way crew will be clearing the Schroeder area, weather

dependent. However, mowing and hazard tree removal can happen at

anytime, in any area as needed.

What can you do to help?

• Please be sure the right-of-way is clear of personal items to ensure the mowers and equipment can pass through with ease.

• Brushing and/or mowing your private right-of-way from the meter to your home, following your electric line if you know where it is, would be extremely helpful. The suggested width is 10 feet for both overhead and underground services.

Please mark survey pins and septic systems, well heads, wire or fencing with 3 foot permanent reflective marker post within the right-of-way and remove any personal items that may be damaged due to flying debris. AECI will not accept liability for any damage if not notified of the above mentioned. If you are not at your property, please call and let us know the proximity of the items mentioned previously to avoid any damage.

AECI encourages members to contact the office with any questions or concerns regarding Right-of-way clearing.

Thank you to our generous members of Arrowhead Electric!Together your donations made it possible

to warm over 60 local adults and children through the mitten tree which was distributed through the local Salvation Army. Many Arrowhead members contributed piles of handmade hats and mittens, boxes of freshly purchased wool socks for kids and adults, snow proof mitts for sledding and snowman building, and adorable baby sweaters that were distributed this year. Food shelf donations were also generously brought in by

members and laid beneath the tree to be distributed at the local food shelf. Arrowhead Electric Staff and Board of Directors sincerely thank you for your generosity to the community.

Carol Roeben read the November issue of the newsletter and responded with all

these handmade items.

Arrowhead Electric

Cooperative Board

of Directors and

Employees warmly wish

you and your family a

joyous New Year!