Rates, reliability and technology were the topics of the day at the Lake Country Power annual meeting on Saturday, April 21. More than 450 members of the Touchstone Energy Cooperative filled the Myles Reif Center in Grand Rapids to hear reports about issues facing rural electric consumers.
Members heard General Manager Richard Lemonds provide an update on Lake Country Power's efforts to hold down costs despite the rising cost of doing business.
President Robert Bruckbauer discussed the Board's perspective on minimizing the impact of rate increases while authorizing investments in technology such as Automated Meter Reading to provide long term benefits for co-op members.
"Automated meter reading will be a valuable tool in the years ahead as we look to offset increasing costs and adapt to changes in the utility industry," said Bruckbauer. "As is the case with most new technologies, employees are working through the challenges related to setting up the new system so it's operational and reading meters by the end of the year.
"We know the benefits will pay off in many ways. We're already seeing it with improvements in the billing system. The project is still in the transition stage, but the automated meter system promises many opportunities to conduct business better on behalf of members."
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General Manager Rick Lemonds reported that revenues were up significantly in 2006 over 2005. Wholesale power costs were stable last year, but have increased $10 million since 2001. He said Lake Country's power supplier expects power costs to increase well into the foreseeable future due to the construction of additional generation facilities, transmission lines and renewable energy projects.
The co-op is also increasing its investment in right of way clearing to improve reliability for members who expect better service and reliability.
"Reliability has suffered as we sought to hold the line on local costs the last few years," said Lemonds. "It has become obvious that the more we invest in right of way and preventative maintenance, the more we can improve reliability on our system."
He also said the co-op is in the second year of a $48 million work plan designed to improve the co-op's electric system. The plan calls for improving 230 miles of line on the 7,900-mile system in an effort to improve line load capacity and modernize power line equipment.
Lake Country Power Holding Company President Sherman Liimatainen provided an update on the co-op's subsidiaries. He announced that the subsidiaries made money on combined revenues of nearly $21 million for the year.
Director election results were also announced:
- District 2: Jack Huhta, Gilbert, 509 votes; Charles Mistek, Ely, 749 votes; Charles Renner, Ely, 160 votes;
- District 4: Carter Pettersen, Grand Rapids, 424 votes;
- District 8: John Manninen, Wright, 311 votes; Danny Smith, Tamarack, 457 votes; and Franklin Turnock, McGregor, 313 votes.
Immediately following the adjournment of the annual meeting, the board of directors held a re-organizational meeting. Robert Bruckbauer from District 5 was re-elected president of the Lake Country Power Board. Other board officers re-elected were Richard Wallin from District 7, vice president; Carter Pettersen from District 4, secretary; and Don Simons from District 6, treasurer.
Lake Country Power,
www.lakecountrypower.coop
, is a Touchstone Energy® cooperative serving parts of eight counties in northeastern Minnesota. The rural electric cooperative provides services to more than 41,000 members and has offices located in Grand Rapids, Kettle River and Virginia.
