Watts News
 Published for the members of North Itasca Electric Cooperative
VOL. 24 NO. 4  -  April 2020

CEO Report

continued

I am confident we will rally through this. North Itasca Electric will be fine, my concerns are focused on you and the businesses in our communities.

I have been on many conference calls over the past week as the situation unfolds. I have reached out to some of the businesses in our area. Please know you are not alone! Itasca Economic Development Corporation has been working hard to stay informed on the ways to help our businesses. Please don't hesitate to call them. There are a lot of programs to assist all of us make it through this together. Once again, call us if you have a concern, we are here for you.

This brings me to one very important subject, rates! After preparing the approved 2020 budget, we are very proud to say there wasn't a rate increase again this year. This will be our third year at the same rates.

I have asked the board to consider a new strategy. The Power Cost Adjustment has been used on your bills for many years. This number is a pass-through from GRE to help keep rates stable. Why ask for a rate change for 12 months if you only need it for one, based on circumstance? This is the food for thought, we can't plan for major storm events. If there is an unforeseen storm in 2020 of significant expense, we may have a small PCA with the storm date on the bills. For example, if we had an ice storm that cost North Itasca Electric $30,000, and we split that up against the five million kWH over January, it would be .006 cents per kWH. The average home using 700 kWH would have a charge of $4.20 for only that month. Again, it is food for thought; I would prefer to just not have any storms! This strategy would be a tool to help keep rates stable.

By this time next month, I'll be another year older, still working on wiser. I want to thank you all, I continue to grow as a part of the community and enjoy every minute of it. My family was recently at a game night with the church at the Marcell Family Center – talk about a colorful, fun filled night! Game shows and pizza were enjoyed by all! I still have “let’s make a deal” running through my head. It's relationships like these that make me so proud and honored to be your CEO.

By your side, and Miigweech
Brad