HIGHLIGHTS GARKANE RETURNS FUNDS REFUND. Volume 61 No.1

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1 WINTER STANDARD MAIL U.S. POSTAGE PAIDD RICHFIELD, UTAH PERMIT NO. 87 Volume 61 No.1 Courtney Cropper Installing a LED Dark Night Compliant Street Light in Torrey Garkane Returns $500,000 To Its Membership Garkane Energy Cooperative members will receive $500,000 as part of the organization s capital credit refund program. Garkane is different from most Utah utilities because investor-owned utilities keep their profits to build their stock value,; municipal-owned utilities keep their revenues to fund administrative operations, while Garkane Energy operating as a cooperative, returns its excess cash to its member owners. As a member, as soon as you use your first kilowatt-hour of electricity, YOU become a member-owner of Garkane Energy. As a not-for-profit Cooperative, in a given year whenever revenues exceed costs, Garkane allocates the excess cash to its member owners as equity. Depending on the cooperative s financial status, the Board of Directors return a portion of the members equity as a capital credit refund in cash back payments. and returning excess margins back to our member-owners. Garkane s Board of Directors and I are committed to returning capital to our members, said CEO Dan McClendon. Garkane had another good year financially, and after reviewing the operating budget for 2017, the Board of Directors approved a capital credit refund in the amount of $500,000. Current Garkane members will see a refund on their December bill. Former members, who are eligible, will receive a refund by check in the mail. The amount received is based on the volume and the value of electricity each member has purchased since becoming a member. Over it s 78year history, Garkane Energy has returned over $10 million to its members. It s nice to know that when revenues exceed costs, the difference (the margin) goes back to the members, not to investors. Garkane employees strive to treat Part of the cooperative you as a valued owner, not just an difference is being not-for-profit other customer. ( ) GARKANE RETURNS FUNDS REFUND

2 2 Half-Price Power Now Available In AZ & Twin Cities Official Notice Of New Time-of-Use Rate and Net Metering Tariffs Now Effective for Arizona Members Colorado City Residential Time-of-Use Rate New Time of Use (TOU) and Net Metering (NM) Tariffs are now effective for Arizona members. At the December 18, 2017 Open Meeting the Arizona Corporation Commission ( Commission ), per Decision No , approved Garkane Energy Cooperative Inc. s ( GEC ) request to offer two residential TOU Tariffs (separate for Colorado City and others) and a General Service No. 1 TOU Tariff for its Arizona customers as well as a revised Net Metering Tariff applicable to its Arizona residential and General Service No. 1 customers. These new tariffs are modeled after GEC s existing tariffs available to our Utah members and are effective for usage on and after January 1, A primary goal of the Arizona rate application filed in 2015 was to provide greater consistency in rates, charges and tariffs for our Utah and Arizona members. Most rates were adjusted effective for usage on and after June 1, The recent Commission decision addresses only TOU and Net Metering service. The Revised Arizona Net Metering Tariff. The Net Metering Tariff applies to all Net Metering customers, current and future, and differs from GEC s prior Arizona Net Metering Tariff primarily because Net Metering customers will receive monetary credits based on GEC s avoided costs (currently $0.026 per kwh) rather than kwh credits for electricity generated by the customer (such as through solar) in excess of their monthly needs. The monthly customer charge for Net Metering service is now $ The New Arizona TOU Tariffs. The TOU Tariffs are optional for customers and initially will be available to only 100 residential customers and 20 General Service No. 1 customers in Arizona on a first-come, first-served basis. An Arizona customer selecting a TOU rate can then opt-out of the rate at any time. TOU Tariffs are intended to encourage use of energy during off-peak periods when energy cost to GEC are lower and lower the cost to both GEC and the member. The On- Peak period (when energy will cost more) will be from 6 a.m. to 11 a.m. (Arizona Time) October March and from 3 p.m. to 9 p.m. (Arizona Time) April September. TOU Tariffs also have a monthly customer charge that is $5.00 more than the standard tariff for the same class of service. The Demand Charge under the General Service No. 1 TOU Tariff is the same as under the standard General Service No. 1 Tariff. GEC will evaluate the use of these TOU Tariffs to determine whether the On-Peak and Off- Peak periods, winter/summer seasons and rate levels achieve the anticipated savings for both GEC and TOU customers. Based upon the information obtained, GEC may, in the future, seek Commission authority to offer the TOU Tariffs to additional customers, to stop offering service under the TOU Tariffs or to adjust specific aspects of the TOU Tariffs. How to View or Obtain a Copy of GEC s Arizona TOU and NM Tariffs. Copies of GEC s Arizona s TOU and Net Metering Tariffs are available on GEC s website ( com); at GEC s Hildale office at 1185 West Utah Ave., Hildale, UT (or any other GEC office), during regular business hours; and on the Commission s website ( using the e-docket function under Docket No. E-01891A If you would like further information about these new tariffs or would like to sign up for one, please contact any GEC office during regular business hours. Base Rate: $27.00 On-Peak Energy Charge: $ Off-Peak Energy Charge: $ ON-PEAK HOURS* Oct. - March 6:00 a.m. - 11:00 a.m. April - Sept. 3:00 p.m. - 9:00 p.m. AZ Residential Time-of-Use Rate Base Rate: $27.00 On-Peak Energy Charge: $ Off-Peak Energy Charge: $ ON-PEAK HOURS* Oct. - March 6:00 a.m. - 11:00 a.m. April - Sept. 3:00 p.m. - 9:00 p.m. AZ General Service Time-of-Use Rate for: (Commercial, Industrial, Public Buildings, and Three-Phase Farm Service) Base Rate: $30.00 Demand Charge, per kw $7.50 On-Peak Energy Charge: $ Off-Peak Energy Charge: $ ON-PEAK HOURS Oct. - March 6:00 a.m. - 11:00 a.m. April - Sept. 3:00 p.m. - 9:00 p.m.

3 3 Cash in on $ Hidden account (Continued from page 2) NET METERING NUMBERS GET PAID TO READ THE PAPER Monthly Bill Base Rate: $35.00 Energy Charge, per kwh: Energy charge from applicable standard rate Energy Credit: All kwh delivered to the system: $ (21601) We have inserted eight randomly selected Garkane Account Numbers in the text of various articles in this month s edition. If you find your account number, call Garkane toll-free at We ll credit $25.00 to your account as a lucky winner! Just one more reason to read. $25 CREDIT 8 Hidden Account Numbers Located In The Text Of This Newsletter Calendar January 15, 2018 January 29, 2018 February 26, 2018 March 26, 2018 April 6, 2018 Martin Luther King Day Offices Closed Board Meeting Hatch Business Office Board Meeting Hatch Business Office Board Meeting Hatch Business Office Scholarship Applications Due * All times Arizona Time. In the event Arizona observes Daylight Savings Time, times will be adjusted one hour, as appropriate to reflect the change to DST. April 23, 2018 April 24, 2018 April 25, 2018 Board Meeting Loa Business Office Annual Meeting Loa, UT Annual Meeting Orderville, UT

4 4 Surplus Items For Sale Bids from Garkane Members are currently being accepted on the following items: Item #1: 1991, Double Axle coffin style trailer Garkane Energy Cooperative, Inc. VOLUME 61 - NO. 1 GARKANE is published quarterly (January, April, July, and October), by Garkane Energy P.O. Box 465 Loa, Utah As the official publication of the Cooperative, the purpose of this newsletter is to communicate to members information concerning their electric cooperative, and to offer suggestions and ideas regarding the safe, efficient and economical use of electric energy. Item #2: 1980 Single axle utility wire trailer BOARD OF DIRECTORS LaDon Torgersen- Koosharem (435) Chad Williams-Teasdale (435) Terry Griffiths-Orderville (435) Carl Boyd, Jr.-Tropic-President (435) Tracy Potter -Torrey (435) Reed Munson-Escalante (435) Rodney Ence-Duck Creek Village (435) William Hammon -Centennial Park (435) Nanell Robinson-Kanab (435) Andy Gant-Kanab (435) Guy Timpson - Colorado City (435) GENERAL MANAGER/CEO Dan McClendon Neal R. Brown, Editor Please submit in a sealed envelope with Bid - Item # clearly written on the outside to: (218904) Garkane Energy PO Box 465 Loa, UT Sealed bids will be accepted until 5:00 p.m. Friday, February 9nd, Garkane Energy reserves the right to accept or reject any and all bids.

5 5 Kanab Solar Concert Pavilion Open House Feb. 16th Garkane and Kanab City will be celebrating the open house of a new solar pavilion at the Kanab City Park on February 16, The public is welcome to come celebrate with Garkane as we turn on the solar panels and start generating electricity from the sun. This is the first of what we hope to be at least two more solar projects placed in Garkane s territory. This project was funded solely by an energy efficiency grant from Deseret Power and from members participating in the SHINE program. Solar Pavilion Open House Date: February 16, 2018 Time: 12:00 noon Light refreshments served Garkane is seeking bids for Foundation Cleanup and Removal Steps Sidewalks Landscapes (trees, shrubs, lawn) Fill septic tanks with rock (prevent trap hazard) and break holes so it can drain per public health guidelines. Excavation work to bring land up to grade with current yard, and finish with road base. Property Location: Directly North of the Garkane Loa Office 120 w. 300 s. Loa, UT Contact: saige.edwards@garkane.com or phillip.burr@garkane.com Bids must be submitted by close of business Friday, Jan. 26th LED Lighting Rebate Program Ends Garkane s LED lighting program ended in Garkane is still accepting receipts and will still offer refunds if purchases were made in Garkane refunded over $120,000 in rebates and Garkane s Energy Advisor James Clegg feels it was a very successful program. The purpose of the program was to encourage people to be more energy efficient. Lighting is a very cheap, and easy way to start the habit of thinking more efficiently. We think people are more conscious of their consumption habits and with the price of LED lightbulbs nearly the same price of regular bulbs, we felt like program had reached its peak. We are grateful for all the participants in the program. (598200)

6 6 all For Board of Director Nominations District 2: Includes members/consumers having accounts in Loa, Lyman, Teasdale, Grover and surrounding areas. Chad Williams currently represents this district and plans to seek reelection. District 5: Includes members/consumers having accounts in Orderville, Glendale, Mt. Carmel, Alton, and surrounding areas. Terry Griffiths currently represents this district and plans to seek re-election. District 7: Includes members/consumers having accounts in Kanab Creek Ranchos, Johnson Canyon, Cedar Heights, and consumers living outside Kanab city limits. Andy Gant represents this district and plans to seek reelection. All signatures and account numbers must be verified according to Garkane s Bylaws before the deadline of Friday, Feb. 23, It is the responsibility of the candidate to ensure all signatures qualify. Names/Signatures listed must be the actual account holder in order to qualify. No member may sign more than one notice of candidacy, and only one signature per voting account is permitted (example: a husband and wife from the same account cannot both sign the form). Member Petition Director Nomination Petition The following candidate is hereby nominated to stand for election as a Director for Garkane Energy Cooperative s District No.. Candidate Information Name to appear on ballot: Mailing Address: Telephone: Candidate Signature: 1. Account#: _ We, the undersigned members of the above-referenced District, hereby petition for the candidate listed above to be nominated for Director. Name/Signature Account # Name/Signature Account # Completed Member Petition Nomination forms must be submitted to: Garkane Energy Attn: Board Applications 1802 S. Hwy 89a Kanab, UT Fax: (435) keri.ramsay@garkane.com Deadline for submission: Friday, February 23, 2018 by 5:00 p.m.

7 7 Bylaws, Qualifications & Duties Of Directors NOTIFICATION OF BOARD OF DIRECTOR ELECTIONS PURSUANT OF ARTICLE IV, SECTION 6 OF THE GARKANE ENERGY COOPERATIVE, INC. BYLAWS Pursuant to Article IV, Section 6 of the Garkane Energy Cooperative, Inc. Bylaws, customers living in Districts 2, 5, 7, are hereby notified that elections will be held in said districts to select members for the Cooperative s Board of Directors, each board member to serve a term of three years. Under Garkane s Bylaws, any member desiring to be a candidate may file a written Notice of Candidacy, provided it contains the signatures of at least fifteen (15) members of the district, including the candidate. No member may sign more than one notice of candidacy, and only one signature per voting account is permitted (example: a husband and wife from the same account cannot both sign the form). As provided in the Bylaws, a form of the Notice of Candidacy is included on Page 6 of this newsletter. Completed Notices of Candidacy must be filed (in person or by mail or fax) prior to 5:00 p.m. on Friday, February 23, 2018 at Garkane Energy Cooperative s Loa Business Office, 120 West 300 South, P.O. Box 465, Loa, Utah (Fax #: ). Qualifications and Duties of a Director are included on this page. Districts with three or fewer candidates will choose their director in a final election, with ballots mailed on or before March 23, 2018 with the final vote tabulation announced at the Annual Meeting sessions scheduled to be held on April 24th and 25th. Districts with more than three candidates will hold primary elections in March, with the two candidates receiving the greatest number of votes proceeding to a final election in April. If you have questions about election procedures or eligibility requirements for candidates, please call us toll-free at Back Row, Left to Right: Guy Timpson, Dist.11, Andy Gant, Dist.7, Carl Boyd Jr. Dist.6, Rod Ence, Dist.8, Reed Munson, Dist.4, Chad Williams, Dist.2, Terry Griffiths, Dist.5 Nanell Robinson, Dist.10, Tracy Potter, Dist.3, William Hammon, Dist.9, LaDon Torgersen, Dist.1 Qualifications Here is a brief list of some of the most important qualifications: 1. A director MUST be a member of the cooperative in good standing. 2. A director MUST be a resident of the district he or she will represent and reside within said District for at least one year prior to running. 3. A director MUST be willing to serve all members and not merely want to serve his/her own personal needs or his/her own district. 4. A director MUST NOT be involved in a competing business or one which sells energy to the co-op. There must be no material conflicts of interest. Duties Here is a brief list of some of the most important duties: 1. Make sure the cooperative operates legally and that policies are followed and modified as needed. 2. Attend board meetings each month and attend training and other associated meetings as assigned. 3. Serve on board committees as assigned. 4. Make and provide for the effective planning and communication of long-range goals to protect the investment of the members and to ensure a level of service to which co-op members are entitled.

8 8 Attention High School Seniors! 22) $1,000 Scholarships Available To High School Seniors Living In Garkane s Service Territory Kyerra Churilla from Escalante was the 2017 recipient of Garkane s District Scholarship Left to right District 9 Scholarship Winners: Nicole Hammon, Martha Timpson, Marcus Hammon, Horatio Williams District #3 Director Tracy Potter presents scholarships to Wayne High School Students Senior District Scholarships Non-Traditional Scholarship The program will provide twenty-two $1,000 scholarships, which can be used at any institution of higher education. Judging criteria includes academic achievement, financial need, extracurricular and service activities, and a required essay. In the past, only one applicant was chosen to receive the $1,000 scholarship from each district. Lat year, the board decided to award two winners from each district. Applications are available at area high schools, and at any Garkane business office. You may also download an application from the website at: Visit: under Member Services for applications. The $1,000 Non-Traditional scholarship was created to provide an additional scholarship for older students seeking post-secondary education. Applicants must be a member of Garkane Energy at the time of application and must be entering their sophomore year of college or be over the age of 25 at the time of application. Dependents or spouses of Garkane Energy employees, directors, and management are not eligible for the scholarship award. Scholarship recipient will be selected on an At-Large basis among all director districts. Visit: under Member Services for applications. DEADLINE TO APPLY: April 6th, 2018 DEADLINE TO APPLY: April 6th, 2018 ( )

9 9 Lavar Wells of Hanksville Finds Energy Saving Success With Ground Source Heat Pump Back in January of 2011, I spent $600 on propane to heat my home Lavar Wells recalled. With many years of experience in drilling wells for heat pumps, Lavar knew of their energy saving potential. This led him to contact Kurt Peterson about installing a ground source heat pump at his home. Lavar drilled 4) 120-foot deep wells in his back yard where the heat pump loops were installed. After the system was completed, his heating costs went down to $30 a month. Lavar found great energy saving success with a ground source heat pump installed at his home. Garkane Energy has a $200 per ton rebate on the installation of a new ground source heat pump. These systems are very efficient in their operation and can reduce heating I spent $600 on propane back in January 2011, after installing this ground source heat pump, my heating costs are $30 a month. Ground-Source Heat Pump The ground loop absorbs heat from the ground. The heat is transferred to a refrigerant by the evaporator, changing it from a liquid to a gas. The gas is compressed, causing the temperature to rise. The condenser then transfers the heat from the hot gas to the central heating system. and cooling costs significantly. Garkane Energy would like to thank Lavar Wells for sharing his energy saving efforts with us. If anyone else would like to share their energy saving stories with us, we would love to publish them in our newsletter. (116512) Contact:james.clegg@garkane.com Lavar Wells and his wife Susan of Hanksville, UT Warm Contribution Program Cold weather means increased electric bills for most Garkane members. Individual economic conditions vary, and some of our neighbors could use a little help. That s where Garkane s WARM Program comes in. In 1984, Garkane instituted a charitable donation program to encourage cooperative members to help other, needy members meet their winter heating needs. The WARM Program (Winter Assistance for Rural Members) has benefited many individuals and families, through the generosity of their fellow cooperative members. In order to qualify, you need to first qualify for Heat assistance from the state of Utah or Arizona. Please show the true cooperative spirit by returning your contribution with your next payment. Contact your local Garkane office for more info.

10 10 NOTICE OF JOB OPENING Garkane Energy Cooperative Information Technology Manager Location: Loa, UT - Application Deadline January 31, QUALIFICATIONS: Minimum Education & Experience: Bachelor of Science degree from an accredited college or university in the field of computer science or information systems. 2 Years supervisory experience SPECIFIC DUTIES: Responsible for the design, budgeting, coordination, installation, configuration, administration, automation, security, maintenance, backups, recovery of a multi-platform computing environment. Environment includes virtual storage, virtual hosts, Microsoft Windows and Linux OS servers, Oracle and SQL databases, Microsoft and Apple clients, active directory, routers, switches, firewalls, wired and wireless communications, serial converters, IP telephony system, mobile computing, and helpdesk functions Must have good analytic, written and oral communication skills and ability to communicate effectively with all technical experience levels. Must be able to prioritize competing responsibilities, work independently, document processes, support maintain and define operational standards. Prior customer service experience required. Successful applicant must possess and maintain a valid Utah drivers license and have the ability to travel out-of-town occasionally. Offers are contingent upon completion of a background check and passing of a drug test. Please contact Keri.ramsay@garkane.com for full job descripton. PHYSICAL REQUIREMENTS: Frequent sitting, standing, walking, lifting and/or carrying, twisting/pushing/ pulling, kneeling, talking, hearing, visual ability and mental and emotional demands. Requires repetitive motions with hands and fingers such as dialing and keyboarding. Must maintain sufficient strength to lift and carry up to 50 pounds. Must be available to work during non-working hours, which may include weekends and holidays. SALARY: Compensation is competitive and is commensurate with education, training, related skils, knowledge and experience. Full-time position with an excellent benefit package. APPLICATIONS: Applications will be accepted immediately. Application forms are available at any of the GARKANE OFFICES or at Interested parties should submit a resume, cover letter, and record of training and experience. Must file an application by January 31, Notify Keri Ramsay, HR Specialist, of your interest or keri.ramsay@garkane.com Garkane reserves the right to accept or reject any application in accordance with applicable state and federal rules and regulations. - Equal Opportunity Employer -

11 11 INTERESTING FACTS ABOUT UTAH S ENERGY LANDSCAPE New Generation of Electricity in Utah by Energy Source Source: Utah Energy and Mineral Statistics 2015 Geothermal 1.2% Solar.1% Wind 1.5% Utah Electricity Consumption From 1960 to 2015 Source: Utah Energy and Mineral Statistics 2015 Natural Gas 19.3% Coal 76% *The information in these studies are only done every couple of years. This was the most recent data available. Utah s electricity portfolio is dominated by coal-fired power plants. However, several natural gas plants have been built in the last 15 years, decreasing Utah s reliance on coal generation. The largest renewable facilities are the Milford wind farm with solar generation continuing to rise. In 1960, each residential customer in Utah used about 4.5 MWh annually. Currently, the average residential customer usage has more than doubled to 8.9 MWh per year. Weather is a main driver of electricity consumption, which dropped in 2014 and 2015 due to mild winter and summer temperatures. Average Residential Price of Electricity by State Source: Utah Energy and Mineral Statistics 2015 ( ) Garkane Energy 7.50

12 12 From the CEO s Desk Listening improves understanding, builds trust, strengthens relationships and fosters cooperation. Good communication is critical for collaboration and success. We realize that in this day and age there are numerous ways in which people like to connect. At Garkane, we ve provided members with the smart phone Smarthub application, enabling members to check the status of their electric service, pay and view bills and receive real-time updates on energy use. Many of our members have downloaded our Smarthub app taking advantage of the multiple benefits it provides. We are actively involved in Facebook and Twitter social media platforms to meet our members where they are. We encourage you to always feel free to reach out to Garkane through these platforms. In addition, we still love connecting the old fashioned way by communiby Dan McClendon Dear Members of Garkane, I love the Holiday season because it s a quiet and peaceful time to reflect on the past year. It s amazing what we can learn through listening and observing when the distractions of life are reduced. Garkane tries hard to listen to our members and we hope our owner/members see the results of our efforts. Garkane is constantly investing in new products and services that are designed to provide value in efficient ways. we created the Half-Price Power program designed to help save money while reducing overall energy demand during peak use periods. Over 500 members actively participate in our program. If you haven t signed up, ask us about it we re ready to listen and get you hooked up. cating with our member service representatives when you call us, or by greeting us from behind the counters at our office. We feel we have the very best Member Service Representatives and they are committed to providing the quality services you expect from us. Probably the very best interaction with Garkane members is faceto-face time. Our annual meeting is a social event for the whole coop family. We hope our members will make plans now to join us in April to attend our annual meetings in Bicknell and Orderville for an evening of co-op business, fun and prizes. We will also have Board of Director elections coming up, which gives members the chance to vote for their respective representatives prior to the annual meeting. I encourage all members to get involved in the voting process and to stay tuned for further information about these elections. Garkane has always been proactive in the communities we serve. Whether it s through scholarships, donations or community service, we are engaged and our involvement is a priority for Garkane s Board and management. In fact, recently the Garkane Board created a new economic development committee to focus on economic development opportunities that would help our membership. Another major benefit of the cooperative structure and your relationship as a member is the opportunity to receive cash back from our operations. We are pleased to announce that a $500,000 capital credit refund was administered in the forth quarter of That means that Garkane paid $500,000 in cash back into the pockets of our members. Garkane had a good year financially, so after reviewing operating conditions, the Board of Directors approved the refund. Current members will have seen the refund on their December bill. So, in an effort to always improve, we are contemplating how we can serve you better in We believe the answer starts by listening. As such, please feel free to drop us a line, give us a call, Twitter or Facebook us or simply come into one of our offices to let us know what you are thinking we re ready to listen. If you have questions about energy efficiency, electrical service or anything about our products or services, just ask us. We hope to hear from you soon! Sincerely, Dan McClendon (905401) Receiving energy from a cooperative is very different than receiving power from a for-profit utility. As soon as a person signs up for service, they actually become a part owner of the business, along with all the other members of Garkane. This means Garkane looks out for the best interest of their owners and offers programs and services that benefit them. One of our goals is to find ways to help control energy costs. That s why we communicate about energy prices and ways we can work together to help ease the burdens on our member s wallet. More than a year ago, Comparitive look at an average monthly residential bill. Costs are shown based on 2,000 kwh worth of usage in a month. Page & Fredonia have low rates because of a large allocation of hydro power from the Glen Canyon Dam.

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