Clay-Union Electric announces record refund The Board of Directors of Clay-Union Electric took action in its December 2003 meeting to authorize a refund of excess margins and in their January 2004 board meeting, after reviewing the 2003 financial results, finalized a record refund of $350,000. The refund will be made to members who received electric service from Clay-Union Electric in 2003.
"In approving the refund, the board again demonstrates its continued commitment to cooperative members to maintain earnings at a level required by financial requirements and deliver electric service to its members at the lowest cost," said Clay-Union Electric Board president Dan O'Connor.
"2003 represents the 16th straight year of rate stability," said O'Connor, "and with this refund, a total of $2,138,000 has been returned to the membership since 1994."
Electric sales in excess of budget by 5.4 percent and keeping internal operating costs 1 percent below budget contributed to the excess margins in 2003. In addition, a power bill credit, from Basin Electric, reflecting their successful financial results for 2003, and passed through by East River Electric, significantly contributed to the refund amount.
In addition to the success of controlling costs at the local cooperative level, wholesale power partners Basin Electric and East River Electric have played significant roles in planning for the future, as well as running a highly efficient power supply system. This power supply partnership has helped to keep the rates stable at Clay-Union Electric during the last 16 years.
"We want to acknowledge all the efforts of the directors and employees of Clay Union Electric for their devoted efforts to manage cooperative costs. We also want to recognize and give credit to our power supply partners for contributing to our success in the power supply planning," said Paul Roberts, manager of Clay-Union Electric. "Alternative energy costs continue to go higher, but due to careful planning and teamwork of all involved, we have been able to maintain rate stability, including overcoming the increase in hydro electric rates by Western Area Power Administration."