Providing Electricity that is Safe, Reliable and Affordable Central measures reliability through four different metrics. Central excels in all metrics.
Central adheres to stringent safety practices. In 2019, Central went through the Rural Electric Safety Achievement Program (RESAP). The program examines all of Central’s practices from a safety perspective.
99.96% Average System Availability Index (ASAI) measures the uptime a customer experiences.
RESIDENTIAL COST PER KWH
Central 9.97¢
System Average Interruption Frequency Index (SAIFI) measures how often the average customer experiences a sustained outage.
1.54
outages
Oklahoma 10.3¢
System Average Interruption Duration Index (SAIDI) measures the total duration of interruption for the average customer.
3.01
United States 12.87¢
Customer Average Interruption Duration Index (CAIDI) measures the average time required to restore service.
1.94
HOURS
HOURS
https://www.eia.gov/electricity/sales_revenue_price/
Central’s residential rates are affordable and in line with state and national averages.
SEVEN COOPERATIVE PRINCIPLES
Central Electric Cooperative, like all member-owned cooperatives, adheres to a set of seven cooperative principles that guide everything the cooperative does. The principles, highlighted in this annual report, are reflected in each decision made at Central.
Membership in a cooperative is open to all persons who can reasonably use its services and stand willing to accept the responsibilities of membership, regardless of race, religion, gender or economic circumstances.
Here to Serve
Central has 78 employees and is governed by a sevenmember board of trustees. Each day, employees and the trustees work to serve you, the membership. 41% of our employees are also members.
Seven Trustees
78 Employees
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Education and training for members, elected trustees, management and employees helps them effectively contribute to the development of their cooperatives.
By working together through local, national, regional and international structures, cooperatives improve services, bolster local economies, and deal more effectively with social and community needs.
Empowering Our Members & Communities LIGHTING OUR MISSION Whether it’s in the middle of the darkest of nights, the scariest of storms or the windiest of days, Central employees always strive to bring light. In doing so, we have found that our light shines the brightest during the blackest of nights.
re-engage with our members and communities. You inspire us every day by the light you bring to your communities. We hope we are able to share that with you by supporting youth, education and organizations in your communities.
This year has been a testament to this notion as it has brought several dark moments. Last spring, we had record flooding that destroyed homes, businesses and farmland, only to move forward to this spring when our lives were altered by a worldwide pandemic. We had to close our doors to our members and postpone our annual meeting for the first time in our history. It could be described as a dark time if it were not for the light.
In April 2020, the Central Community Foundation pledged $24,000 to help area food banks during the COVID-19 pandemic and awarded grants to individuals directly affected by COVID-19. We are here to help.
When we searched for the light during these times, we found it in the first responders, doctors, nurses, grocery store workers and many more who risked their own safety for others while serving on the front lines. We found it in our employees who were able to continue providing safe, affordable and reliable service to our members no matter the situation. They were able to do this because of unprecedented adjustments made to their work schedules and everyday routines. These alterations were made to ensure we were able to safely continue to fulfill our mission. We found the light in you, our members. Your resilience, caring nature and desire to help your neighbors motivated us. During the past year, we have made a conscious effort to
Despite the dark moments during the past year, it was also filled with so much light. It has truly been a showcase of our resilience, determination and strength. We can’t wait to share more of these moments with you at our 81st Annual Meeting on October 8, 2020. We are striving to make this an event that is fun for the entire family and hope you all can join us. In the meantime, enjoy our 2019 Annual Report as it reflects the strong position your cooperative continues to maintain.
Bill Davis President
Hunter Robinson CEO
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Central Community Foundation MAKING A DIFFERENCE – A FEW PENNIES AT A TIME
While focusing on member needs, cooperatives work for the sustainable development of their communities through policies accepted by their members.
Gretchen Harlow, Central Community Foundation board member (second from right), and Bill Davis (far right), Central Electric Cooperative Board District 7 trustee, present a $1,000 grant to Helping Hands Community Foundation of Chandler. The grant helped provide free dental checks to the community.
Carol Dvorak, Central Electric Cooperative Board District 3 trustee (left), and Mignon Bolay, Central Community Foundation board member (middle), present a $2,250 grant to Christy Williams, Morrison Elementary School principal, to help fund a concrete sidewalk that will loop around the elementary school playground.
The Central Community Foundation board awarded a total of 61 grants from the Operation Round Up fund during 2019. The board distributed $73,100 to organizations and individuals. The foundation is made possible by the generous gifts of Central members who participate in Operation Round Up by choosing to round up their bill to the next whole dollar. This “pocket change,” a maximum of only $11.88 per year, makes a big difference in our communities. Women’s Sewing Circle, Tryon New Hope Missionary Baptist Church, Langston First Capital Neighborhood Solutions, Guthrie Guthrie Public Schools Payne County Conservation District Highland Park Elementary, Stillwater Stillwater Girls, Inc Threatt Legacy LLC, Luther Project Graduation Stillwater PTA Angel Fire Equestrian Center, Inc, Coyle Luther Elementary Our Daily Bread Food & Resource Center, Stillwater Morrison Elementary School Altrusa International, Stillwater Fogarty Elementary PTO, Guthrie City of Perkins Parks and Rec. Christian Men’s Fellowship, Arcadia Eden Chapel United Methodist Church, Perkins For The Worth of a Child/ First United Methodist, Perry World Senior Professional Bull Rider Association, Perkins Helping Hands Community Foundation, Chandler Friends of the Armory, Stillwater Stroud Food Pantry, Inc God’s Food Bank, Inc, Guthrie Stillwater Community Center Foundation/Friends Prairie Arts Center, Stillwater Lake McMurtry Friends, Stillwater Luther 4-H Club Big Brothers Big Sisters of Oklahoma Star Valley Cemetery Association, Chandler First United Methodist Church, Stillwater Wings of Hope Family Crisis Services, Stillwater Lions Meadows of Hope, Perkins St. Mary’s School, Guthrie Stillwater Life Services Mehan Union Church Food Program Lincoln County Free Fair Board Tara’s Lighthouse, Cushing 4 Kids and Community, Inc, Perkins St. Rose of Lima Catholic Church, Perry Neighborhood Ministries Foodbank FUMC, Perkins Agra Fire Department Night to Shine, Stillwater
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$1,000 $1,200 $3,788 $1,003 $500 $940 $1,600 $500 $500 $250 $1,000 $600 $2,250 $1,500 $2,000 $1,250 $1,680 $2,500 $2,000 $750 $1,000 $500 $3,000 $750 $500 $500 $600 $400 $1,148 $500 $2,000 $3,500 $3,000 $370 $1,000 $1,200 $5,000 $1,500 $3,500 $1,600 $500 $3,600 $2,100
Bill Davis President | District 7
Gary McCune Vice President | District 1
Carol Dvorak Secretary/Treasurer | District 3
Stu Preston District 2
Len Tontz District 4
Mark Pittman District 5
Board of Trustees
Raymond Nettles District 6
Service Area Central's service area covers more than 2,000 square miles. Within the service area, Central maintains more than 4,300 miles of power line. Central serves parts of seven counties in central Oklahoma. Segmented by board district, these counties include:
noble co. garfield co. pawnee co. Perry Glencoe
District 3 District 1 Stillwater
kingfisher co.
District 4
Perkins
District 3 - 2,236 members
Cushing
District 6
District 2 - 2,628 members Lincoln, Logan, Oklahoma & Payne
payne co.
District 5
District 1 - 2,260 members Noble, Payne & Pawnee
Cooperatives are democratic organizations controlled by their members, who actively participate in setting policies and making decisions. Trustees are elected from the membership and are accountable to the membership. Members have equal voting rights – one member, one vote.
Guthrie
creek co.
District 2
logan co.
Stroud
Garfield, Logan, Noble, Payne, Pawnee District 4 - 2,530 members
Luther
Wellston
Chandler
District 7
Logan, Oklahoma, Payne District 5 - 2,253 members
Jones lincoln co.
Logan, Payne
oklahoma co.
District 6 - 2,423 members Lincoln, Payne District 7 - 2,344 members Lincoln, Oklahoma
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okfuskee co.
Financial integrity is the most critical responsibility of the Central Electric Cooperative board of trustees. Oversight of the cooperative’s finances in true alignment with the cooperative’s financial plan is core to achieving financial integrity. Through the budgeting process and various policies and procedures, the board ensures effective cost controls are in place to make certain your funds are properly utilized and accounted for. We are committed not only to providing reliable energy at a reasonable cost to today’s members, but also to ensuring that a well-maintained and financially-stable organization exists to serve your needs in the future.
Central’s 2019 financial records are audited by the certified public accounting firm of Bolinger, Segars, Gilbert & Moss, L.L.P. A summary of the financial report can be found on page 7.
62%
20 18 $740,000 20 19 $1.2 Million
$1.2 Million
Central is a member-owned, not-forprofit electric cooperative. Being notfor-profit, any margins (profits made after expenses are paid) are returned to the members in the form of capital credits. As shown in the chart, Central has returned more than $5.5 million in patronage capital back to you, our member-consumers, over the past five years. Capital credits are just one of the many benefits of being a member of Central.
Equity
Carol Dvorak Secretary/Treasurer
50.1%
Total Cost of Service
12% 26%
Central’s fundamental commitment of doing business with integrity is one of the qualities of our culture that contributes to Central being among the lowest cost providers in Oklahoma and the nation.
20 17
$1.7 Million 20 15
Secretary/Treasurer Report
20 16 $700,000
Capital Credit Retirement
Cooperatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control as well as their unique identity.
Central spent $57 million to provide power and services to its members in 2019. $35.5 million (62%) was used to purchase the power used by our members. $14.5 million (26%) was used for operations and maintenance of the electric system and general plant. $7 million (12%) was used for fixed costs such as taxes, depreciation, and amortization and debt interest.
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This chart shows Central’s equity (blue shaded area) as a percentage of assets (entire area). Equity measures the extent to which the cooperative has financed plant and other assets with their own funds. Equity represents the percent of total assets the member actually owns. Reported as a percentage, the calculation is based on total assets divided by the total margins and equities.
Financial Summary FOR YEARS ENDING DECEMBER 31, 2019 AND 2018 OPERATING REVENUE PURCHASED POWER DISTRIBUTION EXPENSE-OPERATION DISTRIBUTION EXPENSE- MAINTENANCE CONSUMER ACCOUNTS, SALES & INFO. EXP. ADMINISTRATIVE AND GENERAL EXPENSE DEPRECIATION & AMORTIZATION TAXES INTEREST ON LONG TERM DEBT OTHER INTEREST AND DEDUCTIONS TOTAL OPERATING EXPENSES OPERATING MARGIN OTHER MARGINS & EQUITY NET MARGIN
Assets
NET UTILITY PLANT OTHER PROPERTY & INVESTMENTS CURRENT ASSETS OTHER ACCRUED ASSETS TOTAL ASSETS
2019 2018 $58,463,042 $62,910,379 $35,550,729 $37,873,334 $4,472,220 $3,742,766 $4,116,000 $2,922,132 $1,926,223 $1,785,623 $3,902,388 $4,088,735 $5,302,424 $5,560,294 $75,597 $66,250 $1,547,759 $1,547,111 $147,189 $102,725 $57,040,529 $57,688,970 $1,422,513 $5,221,409 $3,204,094 ($8,179) $4,626,607 $5,213,230
2019 2018 $99,827,654 $99,968,073 $34,479,092 $32,114,211 $24,317,404 $22,079,596 $1,859,411 $2,797,303 $160,483,561 $156,959,183
Liabilities and Equity CAPITAL EQUITY LONG TERM DEBT CURRENT LIABILITIES OTHER LONG TERM LIABILITIES TOTAL LIABILITIES & EQUITY
2019 2018 $80,451,045 $76,906,305 $57,501,325 $51,930,648 $7,725,474 $11,894,771 $14,805,717 $16,227,459 $160,483,561 $156,959,183
System Stats Total Assets $160.5 million Total Meters 22,093 Overhead Miles of Line 4,389 Substations 22 Total Revenues $58.5 million Peak Demand 131 MW Residential Membership Percentage 59% Commercial Membership Percentage 36% Industrial Membership Percentage 5%
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Members contribute equitably to the capital of their cooperative. Part of that capital remains the common property of the cooperative. Members allocate surpluses for any or all of the following purposes: developing the cooperative, setting up reserves, benefiting members in proportion to their transactions with the cooperative and supporting other activities approved by the membership.
Density Central has five meters per mile of line compared to 48 meters per mile of line average for public utilities such as municipals, and 34 meters per mile of line average for investorowned utilities like OG&E and PSO.
Energy Mix
Through Central's power provider, Associated Electric Cooperative Inc., we are able to provide members with a diverse portfolio of energy. Central members receive 50% of electricity from coal-powered plants, 29% from natural gas powered plants, 12% from six wind farms and 9% from hydro-powered dams. Central is proud to provide members with 21% renewables, which is a 3% increase since 2018.
MULHALL DAY PARADE
RELAY FOR LIFE
READ ACROSS AMERICA DAY
PERRY TOUCH-A-TRUCK
MyCentral.coop 3305 S. Boomer Rd. | P.O. Box 1809 | Stillwater, OK 74076 phone 405-372-2884 | toll free 800-375-2884