2022 ANNUAL REPORT WE ARE ElectricTri-CountyCooperative
2 | 2022 ANNUAL REPORT2 | 2022 ANNUAL REPORT “Our Mission is to Provide Quality-Safe-Affordable Electric Service Powered by Members.”
THE PRINCIPLES THAT GUIDE US Voluntary and ControlMemberDemocraticOpen MembershipEducation,TrainingandInformationIndependenceAutonomyand Member CommunityConcernParticipationEconomicforCo-operationCo-operativesamong
Annua Drive -thru Registration 8:30 AM–10:30 AM Members receive a free gift upon registration. In Person Business Meeting - 11:00 AM Or tune in virtually on www.tcec.com/annual -meeting & TCEC Facebook page. Tri County Electric Cooperative Saturday, September 17, 2022 Madison County High School Quick Registration Cards arriving in mailboxes soon!
2022 ANNUAL REPORT | 5
We were built and are led by the members we serve. Whether tested by severe weather events or a pandemic, our co-op puts people first not just during tough times but all the time. Over the years, our charitable efforts, staff volunteer service hours and other locally-focused projects have built ramps, participated in community clean up efforts, supported local schools and young people, donated to local food banks, assisted families in need to keep the lights on and much, much more.
Powering the local economy
Sustainable Future We promote energy efficiency programs and practices that you can access to save money on energy bills such as our Smart Thermostat pilot program. Technology such as the TCEC FL mobile app offers more options to track energy use and help manage the costs that are under your control. The energy industry is rapidly changing. In our region, the increased availability of renewables at the point of generation allows us to take advantage of more options for our energy mix. Building a sustainable future is a priority. But more importantly, while the use of renewables is increasing, we will need to incorporate other forms of energy in the mix to ensure service reliability. After all, solar and wind are referred to as “intermittent” power because the sun does not always shine, and the wind does not always blow.
TCEC spends approximately $1.6 million each year on vegetation management to ensure reliability and safety.
Tri-County Electric Cooperative’s (TCEC) core job is keeping the lights on, but our passion is serving our members.
In fact, we’ve tallied thousands of volunteer hours and substantial contributions to local nonprofits and schools. We continue to make significant financial investments in new substation equipment to improve operational efficiency and in technology upgrades for grid resilience and security.
Because we’re a co-op, our purpose is to enrich the lives of our members and serve the long-term interests of our community. This service focus is at the heart of who we are.
Values-focused approach
We have partnered with the Chamber of Commerce and Economic Development teams in the counties we serve, to assist in meeting our region’s evolving needs and help it to thrive. Our partnership with Conexon, bringing broadband to our region, will be vital to the growth and success of our area. The money we’ve spent stays right here and benefits our local economy. We’ve invested in the infrastructure of our co-op and community in order to ensure the long-term viability of both. Because when our community thrives, the co-op thrives.
As a local business, we are proud of our role in helping bring good things to our community. While the larger environment in which we operate is constantly changing, one thing remains constant. Working together with you, the members we serve, we’ll continue to be a catalyst for good. – Julius Hackett, CEO “ “
Co-op Values Translate to Benefits for the Community
JuliusCEOHackett
6 | 2022 ANNUAL REPORT
The first step is make ready engineering to determine that existing co-op poles and equipment are in condition to have fiber added as needed. Construction crews will follow behind the make ready engineering team to make the necessary upgrades to our system to support the fiber installation.
To stay up to date on the latest information and progress of the TCEC fiber project visit www.conexonconnect.com and pre-register!
The big news of 2022 for your electric cooperative is the announcement of our plan to connect all TCEC members with high-speed fiber to the home internet service. Through our partnership with Conexon, TCEC began construction of the network this summer and expect that it will take between 2 – 4 years to build a 2,400mile fiber-to-the-home (FTTH) network. This project is Florida’s first FTTH project launched by an electric cooperative.
The “Connect, powered by Tri-County Electric Cooperative,” network will deliver world-class internet service for up to approximately 12,000 – 15,000 homes and businesses across Jefferson, Madison, Taylor, and Dixie counties. Once completed, 100% of TCEC’s members will have access to the service. As construction of the communications network progresses, service to our members will become available on a rolling basis and we will keep members updated as high-speed internet service becomes available in their areas.
Building a fiber-to-the-home (FTTH) network is a multi-step intensive project encompassing numerous efforts. For each project, the network will be built in zones or phases, with the number of phases dependent on the size of the target service area.
Members will begin seeing these teams of contractors working in their area. Tech Serv Engineering is quickly moving through the area, making their assessments for make ready engineering. This information is passed along to our construction contractors, Lee Electrical Construction Our goal is to minimize any inconvenience to you. This should not disrupt any of your utility services.
BROADBAND UPDATE
2022 ANNUAL REPORT | 7 BOARD TRUSTEESOF ANNUAL GROWTH BobbyPresidentDodd District 2 Donnie Waldrep Vice President District 3 CatherineSecretary/TreasurerBethea District 5 Junior Smith District 1 Johnny Edwards District 8 George Webb District 4 Ann Herring District 6 Benny Bishop District 7 BILLED METERS 2014 17,716 2018 18,391 2015 17,830 2019 18,659 2016 17,932 2020 19,081 2017 18,212 2021 19,493 As a cooperative, we are also motivated by service to the community, rather than profits. Members contribute equitably to, and democratically control the capital of TCEC. At least part of that capital remains the common property of the cooperative. Members allocate surpluses for co-op programs, initiatives, capital investments, and supporting other activities approved by the membership. Because we are guided by seven cooperative principles, it’s not just about dollars––it’s about opportunity for all and being fair when engaging with our members. The cooperative way is a values-based business model. CAPITAL CREDITS DISTRIBUTED CAPITAL CREDITS TO THE MEMBERSHIP 2014 2021202020192018201720162015 $850,319.80 $1,210,220.93$1,224,472.20 $1,203,254.10 $935,156.98$971,000.85$1,196,591.80$1,011,577.39 TOTAL UTILITY PLANT 2014 2021202020192018201720162015 $92,846,455 $122,940,864 $118,406,248$114,151,499$110,497,617$108,702,966 $103,348,638$97,119,357
Meeting:Any business listed in Section 8 of ARTICLE III
5.........................Catherine Bethea
Proposed Amendments to the Bylaws of Tri-County Electric Cooperative, Inc.
8 | 2022 ANNUAL REPORT
The following matters will be brought
of the districts as indicated below: District
ANNUAL MEETING OFFICIAL NOTICE III.II.I. AMEND **** ARTICLE SectionMEMBERSHIPI1.Requirements
Florida. Registration
The Annual Meeting of the members of Tri-County Electric Cooperative, Inc. will be held on Saturday, September 17, 2022 at the Madison County High School Gymnasium located on the campus of the Madison County High School, 2649 US 90, Madison, begins at 8:30 A. M. and the business meeting will convene at 11:00 A. M. before and considered at this Annual of the By-Laws of Tri-County Electric Cooperative, this Annual Meeting, elected during the District Meetings held in July 2022 pursuant to the Bylaws of the Cooperative, will be seated to serve Trustee No. No. District No.
Section 23. Joint Membership. A husband and wife may apply for a joint membership and, subject to their compliance with the requirements set forth in Section 1 of this Article, may be accepted for such membership. The term “member” as used in these bylaws shall be deemed to include a husband and wife holding a joint membership and any provisions relating to the rights and liabilities of membership shall apply equally with respect to the holders of a joint membership. Without limiting the generality of the foregoing, the effect of the hereinafter specified actions by or in respect to the holders of a joint membership shall be as follows: (a) The vote of either separately or both jointly shall constitute one joint vote;
Trustees
a term of three (3) years as
At each meeting of the members held subsequent to the expiration of a period of six months from the date of incorporation of the Cooperative, all applications received more than ninety days prior to such meeting and which have not been accepted or which have been rejected by the Board of Trustees shall be submitted by the Secretary to such meeting and, subject to compliance by the applicant with the requirements hereinabove set forth, such applications or any one or more of them may be accepted by vote of the members. The Secretary shall give each such applicant at least ten days’ notice of the date of the members’ meeting to which the member’s his application will be submitted and such applicant shall be entitled to be present and heard at the meeting.
Section 2. Membership Certificates. Membership in the Cooperative shall be evidenced by a membership certificate which shall be in such form and shall contain such provisions as shall be determined by the Board of Trustees. Such certificate shall be signed by the President and by the Secretary of the Cooperative and the corporate serve shall be affixed thereto. No membership certificate shall be issued for less than the membership fee fixed in these bylaws, nor until such membership fee has been fully paid for in case. In case of a lost, destroyed or mutilated certificate, a new certificate may be issued therefore upon such uniform terms and indemnity to the Cooperative as the Board of Trustees may prescribe.
6…………………Ann Herring
Inc. At
3.........................Donnie Waldrep District
,
for Membership. Any person, firm, association, corporation or body politic or subdivision thereof may become a member in Tri-County Electric Cooperative, Inc., (hereinafter called the “Cooperative”) by: (a) Filing a written application for membership therein; (b) Agreeing to purchase from the Cooperative electric energy as hereinafter specified; (c) Agreeing to comply with and be bound by the articles of incorporation and bylaws of the Cooperative and any rules and regulations adopted by the Board of Trustees; and (d) Paying the membership fee hereinafter specified; provided, however, that no person, firm, association, corporation or body politic or subdivision thereof shall become a member unless and until the member he or it has been accepted for membership by the Board of Trustees or the members. No member may hold more than one membership in the Cooperative, and no membership in the Cooperative shall be transferable.
2022 ANNUAL REPORT | 9See full amendment changes continued on page 10
Section 7. Election of Trustees.
(b) In order for a member to be nominated at a district meeting for the position of trustee (including incumbent trustees) the member’s his or her name and intent to run for such position must be received by the Cooperative in writing at its headquarters in Madison, Florida at least 21 days before the district meeting at which nominations for trustee are to be made. After receiving such written notice, the Cooperative will confirm that the member is a resident of the district for which the member her/she intends to be a candidate for trustee and is otherwise qualified to be a trustee. In the event that the member is not qualified to be a trustee, the Cooperative will notify the member of this in writing prior to the district meeting at which elections for trustee are to be made. The Secretary of the Cooperative shall, prior to the district meeting, certify the names of all prospective candidates who shall satisfy the said requirements.
Section 67. Termination of Membership. Any member may withdraw from membership upon compliance with such uniform terms and conditions as the Board of Trustees may prescribe. The Board of Trustees of the Cooperative may, by the affirmative vote of not less than two-thirds of all the trustees, expel any member who shall have refused or failed to comply with any of the provisions of the articles of incorporation, bylaws or rules or regulations adopted by the Board of Trustees, but only if such member shall have been given written notice by the Secretary of the Cooperative that such refusal or failure makes the member him liable to expulsion and such refusal or failure shall have continued for at least ten days after such notice was given. Any expelled member may be reinstated by vote of the Board of Trustees or by vote of the members at any annual or special meeting.
Failure to hold the annual meeting at the designated time shall not work a forfeiture or dissolution of the Cooperative.
(d) If only one qualified Trustee candidate is nominated or accepts nomination for a Trustee position, the Cooperative will dispense with balloting, no quorum will be required, and the candidate will be declared the Trustee-elect at the District Meeting.
Section 3. Notice of Members’ Meetings. Written or printed notice stating the place, day and hour of the meeting and, in case of a special meeting, a district meeting or an annual meeting at which business other than that listed in Section 8 of this article is to be transacted, the purpose or purposes for which the meeting is called, shall be delivered not less than ten (10) days nor more than forty-five (45) days before the date of the meeting, either personally or by mail, by or at the direction of the Secretary, or upon a default in duty by the Secretary, by the persons calling the meeting, to each member. If mailed, such notice shall be deemed to be delivered when deposited in the United States mail, addressed to the member at member’s his address as it appears on the records of the Cooperative, with postage thereon pre-paid. The failure of any member to receive notice of an annual or special meeting of the members shall not invalidate any action which may be taken by the members at any such meeting.
(b) Upon the death of either spouse who is a party to the joint membership,such membership shall be held solely by the survivor. The outstanding membership certificate shall be surrendered, and shall be reissued in such manner as shall indicate the changed membership status; provided Hhowever, the estate of the deceased shall not be released from any debts due the Cooperative.
(g) (f) Additional candidates for trustee for a particular district may be elected at the annual meeting; provided, no trustee was elected during a district meeting causing the district to be without a trusteeelect. In order for a member to seek election at the annual meeting, the member’s his or her name and intent to run for such position must be received by the Cooperative, at least fifteen (15) days prior to the Annual Meeting of the members at which a trustee will be elected. After receiving such written notice, the Cooperative will confirm that the member is a resident of the district for which the member he or she
Section 34. Conversion of Membership.
(f) (e) In the event the election of a trustee does not occur on the day designated herein for the district meeting due to being unable to establish a quorum at the district meeting, the election of those qualified candidate(s) for trustee shall occur at the annual meeting of the members.
(b) A waiver of notice signed by either or both shall constitute a joint waiver; (c Notice to either shall constitute notice to both; (d) Expulsion of either shall terminate the joint membership; (e) Withdrawal of either shall terminate the joint membership; (f) Either but not both may be elected or appointed as an officer or trustee, provided that both meet the qualifications for such office.
ARTICLE III MEETINGS OF MEMBERS Section 1. Annual Meeting. The annual meeting of the members shall be held on the third Saturday in September, or as determined by the Board of Trustees, another day falling during the months of September or October of each year beginning with the year 19412022, at such place in the County of Madison, Jefferson or Taylor of the State of Florida, as shall be determined by the Board of Trustees, as and shall be designated in the notice of the meeting, for the purpose of announcing Board of Trustees, passing upon reports for the previous fiscal year and transacting such other business as may come before the meeting.
In good faith, inadvertent, and unintended failure of a member to receive notice of the District Meeting does not affect an action taken at the District Meeting. The Cooperative’s attorney shall have authority to rule upon all questions that may arise relating to member voting and the election of Trustees.
Section 56. Purchase of Electric Energy. Each member shall, as soon as electric energy shall be available, purchase from the Cooperative all electric energy used on the premises specified in the member’s his application for membership, and shall pay therefore monthly at rates which shall from time to time be fixed by the Board of Trustees; provided, however, that the Board of Trustees may limit the amount of electric energy which the Cooperative shall be required to furnish to any one member. It is expressly understood that amounts paid for electric energy in excess of the cost of service are furnished by members as capital and each member shall be credited with the capital so furnished as provided in these bylaws. Each member shall pay to the Cooperative such minimum amount per month regardless of the amount of electric energy consumed, as shall be fixed by the Board of Trustees from time to time. Each member shall also pay all amounts owed by the member him to the Cooperative as and when the same shall become due and payable. Payment for electricity shall include for each member a subscription to a publication or newsletter published on a periodic basis and consisting primarily of matters pertaining to rural electrification and to matters of interest to members of rural electric cooperatives.
(e) (d) Not less than ten days before an annual meeting of the members, the Secretary of the Cooperative shall mail to each member a list of the trustees elected at all district meetings, the names to be arranged by districts. This list may be included with the notice of the meeting.
Section 45. Membership and Service Connection Fees. The membership fee shall be five dollars. Upon the payment of the membership fee and such service charge and deposit as may from time to time be set by the Board of Trustees of the Cooperative, the member shall be eligible for service.
(a) A membership may be converted to a joint membership upon the written request of the holder thereof and the agreement by such holder and his or her spouse to comply with the articles of incorporation, bylaws and rules and regulations adopted by the Board of Trustees. The outstanding membership certificate shall be surrendered, and shall be reissued by the Cooperative in such manner as shall indicate the changed membership status.
Upon the withdrawal, death, cessation of existence or expulsion of a member the membership of such member shall thereupon terminate, and the membership certificate of such member shall be surrendered forthwith to the Cooperative. Termination of membership in any manner shall not release a member or the member’s his estate from any debts due the Cooperative.
(c) Voting shall be by ballot. Each member may vote for one candidate. The candidate receiving the highest number of votes shall be declared the trustee of the district. The minutes of such district meeting shall set forth, among other matters, the name of each person nominated at the meeting and the number of votes received by each and shall specify the trustee of the district. A certified copy of the minutes, signed by the secretary and the chairman of the district meeting, shall be delivered to the Secretary of the Cooperative within five days after such district meeting. In the event of a tie vote, the winner of a coin toss shall be declared Trustee-elect.
The district meeting shall be called to order by the trustee representing the district or by another designated representative of the Board of Trustees, or, in their his absence, by any member residing within the district. The members shall then proceed to elect a chairman, who shall be someone other than a trustee, and who shall appoint a secretary to act for the duration of the meeting. Fifteen members residing in the District present at such duly called district meeting shall constitute a quorum provided, however, that members casting votes during voting hours in an election of trustees shall be counted as present in person for the determination of a quorum as provided by law. Members of other districts present at the meeting may be heard but shall have no vote. Only those persons who have been certified by the Secretary as provided in Section 7 (b) hereof, shall be considered nominated and eligible for election at the meeting. Candidates must be members residing in the district and must be certified as required by paragraph (b) of this section and possess the qualifications for trustee specified in Section 2 of Article IV of these bylaws.
**** [Additions
IV. A number of valuable prizes will be given away at this meeting and all members are urged to attend this Annual Meeting of the Cooperative. THIS OFFICIAL NOTICE OF ANNUAL MEETING DATED this 1st day of September, 2022.
Catherine Bethea, Secretary Tri-County Electric Cooperative, Inc.
SectionOFFICERS8.Manager Chief Executive Officer. The Board of Trustees may appoint a manager Chief Executive Officer (CEO) who may be, but who shall not be required to be, a member of the Cooperative. The manager CEO shall perform such duties and shall exercise such authority as the Board of Trustees may from time to time vest in him the
SectionNON-PROFITVIIOPERATION1.InterestorDividendsonCapital
CEOARTICLE
Notwithstanding any other provision of these bylaws, the Board of Trustees, at its discretion, shall have the power at any time upon death of any patron, if the legal representatives of his estate shall request in writing that the capital credited to any such patron be retired prior to the time such capital would otherwise be retired under the provisions of these bylaws, to retire capital credited to any such patron immediately upon such terms and conditions as the Board of Trustees, in its discretion and business judgment acting under policies of general application and the legal representatives of such patron’s estate shall agree upon; provided, however, that the financial condition of the Cooperative will not be impaired thereby. are indicated by underline; deletions by strikeout]
ARTICLE VI
Section 2. Patronage Capital in Connection with Furnishing Electric Energy. In the furnishing of electric energy the Cooperative’s operations shall be so conducted that all patrons, members and non-members alike, will through their patronage furnish capital for the Cooperative. In order to induce patronage and to assure that the Cooperative will operate on a non-profit basis the Cooperative is obligated to account on a patronage basis to all its patrons, members and non-members alike, for all amounts received and receivable from the furnishing of electric energy in excess of operating costs and expenses properly chargeable against the furnishing of electric energy. All such amounts in excess of operating costs and expenses at the moment of receipt by the Cooperative are received with the understanding that they are furnished by the patrons, members and non-members alike, as capital. The Cooperative is obligated to pay by credits to a capital account for each patron all such amounts in excess of operating costs and expenses. The books and records of the Cooperative shall be set up and kept in such a manner that at the end of each fiscal year the amount of capital, if any, so furnished by each patron is clearly reflected and credited in an appropriate record to the capital account of each patron, and the Cooperative shall within a reasonable time after the close of the fiscal year notify each patron of the amount of capital so credited to his account. All such amounts credited to the capital account of any patron shall have the same status as though they had been paid to the patron in cash in pursuance of a legal obligation to do so and the patron had then furnished the Cooperative corresponding amounts for capital.
In the event of dissolution or liquidation of the Cooperative, after all outstanding indebtedness of the Cooperative shall have been paid, outstanding capital credits shall be retired without priority on a pro rata basis before any payments are made on account of property rights of members. If, at any time prior to dissolution or liquidation, the Board of Trustees shall determine that the financial condition of the Cooperative will not be impaired thereby, the capital then credited to patrons’ accounts may be retired in full or in part. Any such retirements of capital shall be made in order of priority according to the year in which the capital was furnished and credited, the capital first received by the Cooperative being first retired. After September 17, 2022, and thereafter, the Board of Trustees shall determine the method, basis, priority, and order of retirement, if any, for all amounts thereafter furnished as capital.
Prohibited. The Cooperative shall at all times be operated on a cooperative non-profit basis for the mutual benefit of its patrons. No interest or dividends shall be paid or payable by the Cooperative on any capital furnished by its patrons.
intends to be a candidate for trustee and is otherwise qualified to be a trustee. In the event that the member is not qualified to be a trustee, the Cooperative will notify the member in writing. The Secretary of the Cooperative shall, prior to the annual meeting, certify the names of all prospective candidates who shall satisfy the said requirements. Election of trustees shall be by printed ballot. Each member of the Cooperative present at the meeting shall be entitled to vote for one candidate from the district in which he receives service. The candidate from each district receiving the highest number of votes at this meeting shall be considered elected as trustee.
Capital credited to the account of each patron shall be assignable only on the books of the Cooperative pursuant to written instruction from the assignor and only to successors in interest or successors in occupancy in all or a part of such patron’s premises served by the Cooperative unless the Board of Trustees, in its discretion and business judgment acting under policies of general application, shall determine otherwise. In the event that a non-member patron shall elect to become a member of the Cooperative the capital credited to the account of such non-member patron may be applied by the Cooperative toward the payment of a membership fee on behalf of such non-member patron.
Register and Cast your vote at the 2022 Annual Meeting using your Quick Registration Card. Cards will be arriving in mailboxes in early credit.claimthruandCompleteSeptember.thecardbringtodrive-registrationtoyour$25bill
Delete references to Membership Certificates. Cooperative discontinued issuance of physical membership certificates, and this provision is no longer applicable.
Section 2. Patronage Capital in Connection with Furnishing Electric Energy Action to be considered
Modification and Addition
Section 1. Annual Meeting
SectionAddition7. Election of Trustees (c) Create a provision on how to determine the winner in the event of a tie vote during a trustee election. (d) Add a provision in the event of only one qualified Trustee candidate is nominated, no quorum will be required at a District meeting.
Amendment Article I, MEMBERSHIP
Adding flexibility to the Board of Trustees to determine the method, basis, priority, and order of retirement of capital credits. Any such retirement of capital shall be made in order of priority according to the year in which the capital was furnished and credited, the capital first received by the Cooperative being first retired. After September 17, 2022, and thereafter, the Board of Trustees shall determine the method, basis, priority, and order of retirement, if any, for all amounts thereafter furnished as capital.
Amendment 4: Article VII, NON-PROFIT OPERATION
Section 2. Membership Certificates
Amendment 3: Article III, MEETING OF MEMBERS
Action to be considered
1:
Section 2. Membership Certificates. Membership in the Cooperative shall be evidenced by a membership certificate which shall be in such form and shall contain such provisions as shall be determined by the Board of Trustees. Such certificate shall be signed by the President and by the Secretary of the Cooperative and the corporate seal shall be affixed thereto. No membership certificate shall be issued for less than the membership fee fixed in these bylaws, nor until such membership fee has been fully paid for. IN case of a lost, destroyed, or mutilated certificate, a new certificate may be issued therefore upon such uniform terms and indemnity to the Cooperative as the Board of Trustees may prescribe.
Action to be considered Section 2. Membership Certificate
Deletion
Amendment 2: Article III, MEETING OF MEMBERS
Section 1. Annual Meeting
Making a provision that will grant Board of Trustees with additional flexibility to schedule the date of the annual meeting to a day either in September of October of each year.
Section 1. Annual Meeting. The annual meeting of the members shall be held on the third Saturday in September, or, as determined by the Board of Trustees, another day falling during the months of September or October of each year beginning with the year 19412022, at such place in the County of Madison, Jefferson, or Taylor of the State of Florida, as shall be determined by the Board of Trustees, and shall be designated in the notice of the meeting, for the purpose of announcing Board of trustees, passing upon reports for the previous fiscal year and transacting such other business as may come before the meeting. Failure to hold the annual meeting as the designated time shall not work a forfeiture or dissolution of the Cooperative.
Current Bylaw
Section 7. Election of Trustees (c) and (d) Action to be considered
SectionAddition7. Election of Trustees
2022 ANNUAL REPORT | 11 BYLAW AMENDMENTS AT A GLANCE
Current Bylaw
Section 7. (c) In the event of a tie vote, the winner of a coin toss shall be declared Trustee-elect. Section 7. (d) If only one qualified Trustee candidate is nominated or accepts nomination for a Trustee position, the Cooperative will dispense with balloting, no quorum will be required, and the candidate will be declared the Trustee-elect at the District Meeting. In good faith, inadvertent, and unintended failure of a member to receive notice of the District Meeting does not affect an action taken at the District Meeting. The Cooperative’s attorney shall have authority to rule upon all questions that may arise relating to member voting and election of Trustees.
Current Bylaw
Current Bylaw
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12 | 2022 ANNUAL REPORT Connect to YOUR Co-op Ways to Manage your TCEC Account Ways to Pay Check or Money Order Auto-PayCreditE-CheckCard Madison Office Perry Office Monticello Office Greenville Office Steinhatchee Office District Office Locations TCEC offers many ways that members & consumers to make payments. All payment options are secure and free, so you can choose what works best for you. By signing in your TCEC account online at www.tcec.com; your energy usage, bill pay options and more are right at your fingertips. Along with updates and reminders from the cooperative. As of August 31st, TCEC members will have access to the new online account payment portal. The new payment portal has an updated look, user friendly options and everything YOU need to manage your account online. The TCEC FL mobile app is an easy way to pay your bill, check on your energy usage, and report an outage while on the go. Download the app to get started. Mail a check to the headquarters office at 2862 W US 90, Madison, FL 32340. Make check payable to TCEC and include the bottom portion of your bill with the payment. Pay by phone with electronic check by calling 1-800-999-2285. Have TCEC account number, checking account number and bank routing number ready. Pay by phone with credit card by calling 1-800-999-2285. Please have TCEC account number, credit card number, expiration date, CVV code, and billing zip code ready. Auto-pay gives you the ability to choose a payment day that works for you for a onetime payment or reoccurring monthly. Sign up is through our secure online account management system. You no longer have to contact a member service representative to make changes to your payment options, putting YOU in control. Ways to pay with auto-pay include your Visa, MasterCard or checking account. With other advantages such as payment alerts and maximum payment amount options you never have to worry about your account.
for lunch. Our Greenville office is
2862 W US 90 Madison, FL 32340 1500 South Jefferson St. Perry, FL 32348 700 South Jefferson St. Monticello, FL 8-5 Monday Friday from 1:00PM-2:00PM open from 9:00AM-2:00PM Monday – Friday. any of or drop payment in one of night drop Members participating in the Pre-Pay Program: - Payments made on our website, mobile app, or via the automated phone system at 1.800.999.2285 can be any dollar amount, 24 hours a day. However, payments made with a Member Service Representative either at a TCEC office or over the phone must be a minimum of $5, no matter the payment method.
to serve our member’s needs. The offices in Perry, Monticello and Jefferson County are closed
Stop by
32344 13796 West US 90 Greenville, FL 32331 14-15th St. SE Steinhatchee, FL 32359 TCEC has five offices across our service territory that are staffed from
our local offices to make a payment,
your
our
boxes.
TCEC accepts Visa and MasterCard. E-Check & credit card information can be saved to your account profile for quick processing the next time you call to pay. payment
@TriCountyElectricFlorida @tricountyelectricflorida@TCECFlorida @tricountyelectricflorida Tri-County Electric Cooperative – Florida @tricountyelectricflorida@TCECFloridaTri-County@tricountyelectricfloridaTriCountyElectricFloridaElectric Manage your TCEC account on the new and improved
portal at www.tcec.com
The District 6 meeting was held Wednesday, July 26, 2022, at Mt. Pleasant AME Church, Monticello, Florida.
Incumbents Donnie Waldrep (District 3), Catherine Bethea (District 5) and Ann Herring (District 6) were all nominated without any qualified opposition.
The District 5 meeting was held Thursday, July 21, 2022, at St. Johns Christian Fellowship Church, Perry, Florida.
DISTRICT MEETINGS 2022 ANNUAL REPORT | 13
TCEC members gathered at three district meetings in July to elect trustees to the co-op’s Board of Trustees. Meetings were held in Districts 3, 5 and 6.
The District 3 meeting was held Monday, July 25, 2022, at Concord Missionary Baptist Church, Greenville, Florida.
Each year, three trustee positions on the co-op’s nine-member Board of Trustees are up for election. Members living the district attend the district meeting to vote for their trustees. This year, since the three incumbent trustees ran unopposed, they were elected and will be seated at the September 17, 2022, Annual Meeting.
Members who attended the district meeting each received a $15 bill credit.
The second order of business was the Official Notice and Mr. Rivers confirmed that the Official Notice was presented to the Cooperative Membership in the Tri-County Electric Cooperative Annual Report published during the month of September, and also published in newspapers circulated throughout Dixie, Jefferson, Madison, and Taylor counties.
Attorney Rivers called the business session to order and announced that due to this being a virtual meeting without an opportunity to experience real time interactions with members, typical motion and action items would be temporarily postponed until the members could reconvene at an in-person meeting.
Next, Mr. Rivers introduced Cooperative Secretary/Treasurer Mrs. Catherine Bethea. Mrs. Catherine Bethea proceeded to give an overview of the 2020 financial report for
Mr. Hackett extended his thanks to the Cooperative’s employees who he stated had worked hard over the past year on behalf of the Cooperative’s members. He closed by stating “It has been an honor to serve our members and I look forward to an opportunity to get back together again, and meet in person at the 2022 Annual Meeting.”
The 81st Annual Meeting of the members of Tri-County Electric Cooperative, Inc. was held Saturday, September 18, 2021, on the campus of the Madison County High School in Madison, Florida, utilizing drive-through registration and a live virtual business meeting that was hosted on the Cooperative’s website and Facebook page.
Board President, Bobby Dodd spoke during the online virtual meeting and introduced the Board of Trustees as follows: Junior Smith of Madison; Donnie Waldrep of Greenville; George Webb of Lee; Catherine Bethea of Perry; Ann Herring of Monticello; Johnny Edwards of Perry; and Elmer Coker of Keaton Beach.
Minutes September, 18, 2021
Registration began at 8:30 A.M. and by 10:30 A.M. 926 members had registered. At 11:00 A.M. streaming of the live annual meeting and business meeting was hosted on the Cooperative’s website and Facebook page.
Mr. Hackett discussed projects underway by Seminole Electric Cooperative, Inc., the Cooperative’s wholesale power provider, which included construction currently underway of a natural gas plant and two large solar projects.
Annual
81st Meeting
Mr. Dodd then introduced CEO Julius CEOHackett.Julius Hackett expressed appreciation for the 926 members who participated in the drive-through registration. He stated that not only had it been a busy morning with registration, but it had been a busy year, and the Cooperative had experienced a good growth rate in new services creating strong revenues, that helped to keep rates lower than the previous year. He highlighted a couple of achievements in the multi-year construction work plan all done in effort to benefit the hardening of the Cooperative’s power system.
TRI-COUNTY ELECTRIC COOPERATIVE, INC.
Mr. Rivers stated the first order of business was a report of a quorum and the presence of 137 member of the Cooperative was necessary to constitute a quorum for the transaction of business. Mr. Rivers advised that Cooperative staff had confirmed at 10:30 A.M. a quorum was met, he then declared a quorum was present for the transaction of business of the Cooperative.
Mr. Hackett then introduced Cooperative Attorney Mr. Dylan Rivers of the Ausley McMullen Firm in Tallahassee, Florida.
14 | 2022 ANNUAL REPORT
DISTRICT NO. 1
2022 ANNUAL REPORT | 15
Mrs. Bethea stated there was strong growth in new members and energized meters ending the year with 19,081. She reported on the haspowervalueincreasedled2020systemininvestmentcontinuedthepowerduringwhichtoanofthesystemgrownto $118 million. She further affirmed the overall financial condition of the Cooperative remains strong and as a display of this fiscal strength the Board of Trustees voted to retire over $1.2 million in capital credits during December 2020 back to the membership.
DISTRICT NO. 4 The district 4 board seat is occupied by Mr. George Webb. The meeting for District 4 was held at Lee City Hall at Lee, Florida and Mr.WebbGeorgewasre-elected as trustee for the district. Mr. Rivers then indicated he was unaware of any unfinished old business of the whichCooperativeshouldcome before the meeting. He encouraged any member who had questions regarding the information shared during the business portion of the meeting to email the Cooperative staff with their questions or concerns.
Mr. Rivers then declared the next order of business was the announcement of the three trustees elected during July District Meetings in Districts 1,2, and 4 to serve for a term of three (3) years, and according to Article III, Section 7 (a) of the Bylaws, district meetings were held for the purpose of electing a person as trustee to represent members located within those three districts.
Mr. Rivers then closed the business portion of the Annual Meeting of the membership of Tri-County Electric Cooperative, Inc. The meeting was duly adjourned at 11:21 A.M., Saturday, September 18, 2021. Thereafter, a drawing for prizes was held.
the Cooperative as prepared by Nichols, Cauley and Associates of Warner Robbins, Georgia, an independent firm of certified public accountants specializing in electric cooperatives, banks and other industries. She reported the results of the audit disclosed no instances of non-compliance or other matters that are required to be reported under Government Auditing Standards. She advised a copy of this financial report was published in the 2021 Annual Report. She proceeded to point out the most significant financial highlights for 2020 which reflected the year ending with net margins of $1.4 million, revenues of $39 million and operating expenses of $36.3 million.
The district 2 board seat is occupied by Mr. Bobby Dodd. The meeting for District 2 was held at the Steinhatchee Community Center at Steinhatchee, Florida and Mr. Bobby Dodd was re-elected as trustee for the district.
Minutes continued –
The district 1 board seat is occupied by Mr. Junior Smith. The meeting for District 1 was held at the Pinetta Volunteer Fire Department at Pinetta, Florida and Mr. Junior Smith was re-elected as trustee for the district.
DISTRICT NO. 2
16 | 2022 ANNUAL REPORT16 | 2022 ANNUAL REPORT Committed to our Community
TREASURER’S REPORT CatherineSecretaryBethea 2022 ANNUAL REPORT | 17
The amount invested in the power system in 2021 was $5.3 million dollars. The financial condition of your cooperative remains strong and as a display of this financial strength, your Board of Trustees authorized the retirement of $1,243,317 in capital credits last year and returned those dollars back to the membership. Continuing to make investments that will benefit the membership and managing our costs are extremely important to the Board of Trustees and Officers and employees of your Oncooperative.behalfof your Board of Trustees, we thank you for the opportunity to serve you.
The results of this audit disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Some of the most significant financial highlights for 2021 included: TCEC ended the year with a net margin from operations of $1.5 million with revenues of $40 million, and with operating expenses of $37.2 million at the end of 2021. We continue to experience steady growth in energized meters and ended 2021 with 19,493 energized meters. Generating positive margins places Tri-County Electric in a very good position for the future. We continue to invest in technology upgrades, poles, wires, substation equipment and fully fund right-of-way clearing and herbicide spraying under power lines to provide a reliable and efficient distribution system. The Board of Trustees finalized plans to begin construction on a state of the art fiber-to-the-home project.
The Cooperative’s 2021 Financial Report was prepared by Nichols, Cauley and Associates of Warner Robbins, Georgia, which is an independent firm of certified public accountants who specialize in electric cooperatives, banking, and other industries. A copy of this report can be found on pages 18 and 19 of this Annual Report.
18 | 2022 ANNUAL REPORT Tri-County Electric Cooperative, Inc. December 31, 2021 and 2020 Balance Sheets UtilityAssetsplant Utility plant in service Construction work in progress Less - accumulated provisions for depreciation and amortization Total utility plant Other property and investments Investments in associated organizations Current assets: CashAccounts receivable (less allowance for doubtful accounts of $158,914 in 2020 and $164,913 in 2019) FEMA and other receivables Accrued utility revenue Materials and supplies Other Total current assets Deferred Charges Total EquitiesAssetsand Liabilities Equities Membership fees Patronage capital Other Total equities Long-term debt and other noncurrent liabilities MortgagesCapitalleasesTotallong-term debt and other noncurrent liabilities Current liabilities: Current maturities of long-term debt OtherLines-of-creditAccountspayableConsumerdepositsTotalcurrent liabilities Deferred Credits Total equities and liabilities Operating revenues Operating expenses Cost of Non-operatingGOperatingInterestOperatingTransmissionpowerDistributionoperationsDistributionmaintenanceConsumeraccountsGeneralandadministrativeDepreciationandamortizationTotaloperatingexpensesmarginsbeforeinterestexpenseexpensemarginsafterinterestexpense&Tandothercapitalcreditsmargins Net margins Statements of Revenues
$39,043,70121,942,42823,2282,456,8674,139,7691,695,6362,580,9753,463,93136,302,8342,740,8671,922,983817,884602,33360,527
$1,480,744 $40,022,98221,921,70922,5802,742,9204,329,1431,614,8423,092,0553,551,82137,275,0702,747,9121,909,449838,463612,12156,426 $1,507,010 $116,242,6142,163,631118,406,24535,160,77083,245,47510,334,0281,561,6131,573,106282,706 1,550,000 523,95985,447 5,576,831 519,999 $99,676,333 46,570,23546,078,54138,237,52836,199,996$68,3901,969,142491,6942,578,5806,537,344 2,512,557 14,752,9171,921,7641,202,672115,653 99,676,3332020$120,394,7182,546,146122,940,86438,009,53084,931,33410,870,5141,614,5691,509,998235,341 1,700,000 142,851827,297 6,023,056 521,189 $102,346,093 36,340,409$70,090 2,240,054 18,582,85810,792,72644,197,02943,807,52438,650,553389,5052,489,8292,162,0441,217,0971,921,162915,653 102,346,0932021
Cash flows from financing activities
Proceeds from long-term debt Payments on long-term debt Payments on capital lease obligations
2022 ANNUAL REPORT | 19
Deferred charges Increase (decrease) in: Accounts payable Other current liabilities Consumer deposits Deferred credits Cash
Provision
net Net change in memberships Capital credit retirements Retirement of capital term certificates Cash flows provided (used) by financing activities Net change in cash and cash equivalents Cash and cash equivalents - beginning of year Cash and cash equivalents - end of year Supplemental schedule of noncash investing and financing activities Cash payments for interest Supplemental disclosures of cash flow information Increase in other equities from retirement of patronage capital Utility plant financed by capital lease
Proceeds on lines-of-credit,
Cash
Cash flows from investing activities
Tri-County Electric Cooperative, Inc. December 31, 2021 and 2020 Statements of Cash Flows
Depreciation
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Tri-County Electric Cooperative, Inc. as of December 31, 2021 and 2020, and the results of its operations and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.
Net change in materials and supplies of equity from associated organizations flows used by investing activities
Other
G & T
$1,480,7443,739,082(602,333) (5,232,834)4,869,356(101,866)(233,998)(8,194)530,030(2,384)34,22126,04923,005(109,935)
Additions to utility plan, net of salvage and cost of removal
(25,000)
We have audited the accompanying financial statements of Tri-County Electric Cooperative, Inc. which comprise the balance sheets as of December 31, 2021 and 2020, and the related statements of revenues, changes in equities, and cash flows for the years then ended, and the related notes to the financial statements.
Auditor’s Report
Gain on disposition of utility plant in: Accounts receivable and accrued utility revenue receivables current assets flows provided by operating activities
(5,272,757)70,012 (2,290,302)1,214,548(204,381)2,760,8111,860 (1,105,411) 423,97546,850 20,574 $1,923,069$1,561,6131,541,039$296,815$330,145 2020 $1,507,010 3,856,064(612,121)(8,000)(4,956)(78,892)47,365 (57,404) (350,513)(1,190)(602) 14,425 (2,346,583)(5,616,131)(5,395,428)5,111,186800,000(296,338)75,635(256,913)4,255,382 1,700 (1,095,685)557,90152,9561,561,613$1,614,569$1,910,426$270,912$141,539 2021 2022 ANNUAL REPORT | 19 Nichols, Cauley, and Associates, LLC of Warner Robbins, GA
Returns
Other
(Increase) decrease
flow from operating
Net margins Noncash income
Cash activities and expenses included in net margins: and amortization and other capital credits for uncollectible accounts receivable
2862 West US 90 Madison, FL 32340 TCEC Staff Jeff Brewer, Vice President of Engineering Eileen Herndon, Vice President of Corporate Services John Tuten, Vice President of Operations Wendell Williams, Vice President of Finance Publication Team Eileen Herndon, Vice President of Corporate Services Kaitlynn Culpepper, Community Relations Director www.tcec.com1-800-999-2285JoannaPublisherForrester Tri-County Electric Cooperative Rural Living, the voice of your member-owned electric cooperative, is published bimonthly — more if necessary — at no subscription cost to the membership. The publication team is comprised of TCEC employees. Postage is paid at Tallahassee, Fla.
