Annual Reports

Financial Reports

Condensed Income and Expense Statement

Income 2019 2018
Operating Revenues 36,433,160 38,679,4009
Interest, Other Non-operating, Other Capital Credits 798,482 1,246,085
Total Income 37,231,642 39,925,485
Expenses 2019 2018
Cost of Power Purchased 28,401,429 30,295,683
Operations 1,095,703 1,127,397
Maintenance 1,500,945 1,417,768
Consumer Accounts 654,944 671,095
Administrative and General 1,348,498 1,304,952
Depreciation 1,793,605 1,713,526
Taxes 520,055 547,425
Interest Expense 957,975 968,003
Total Expenses 36,273,154 38,045,849
Margins 2019 2018
Operating Margins $160,006 633,551
Non-Operating Margins 798,482 1,246,085
Hoosier Energy Capital Credits 721,969 736,833
Total Margins 1,680,457 2,616,469

Condensed Statement of Assets & Liabilities

Assets (What We Own) 2019 2018
Cost Of Our Electric System 54,422,957 52,558,522
Accumulated Depreciation (16,795,834) (15,736,753)
Utility Plant In Service, Net $37,627,123 36,821,769
Investments (patronage capital) 15,014,513 14,614,167
Investments (other) 927,021 1,168,015
Cash and Cash Equivalents 3,354,728 3,684,398
Accounts Receivable 3,601,034 3,791,562
Materials & supplies 308,687 251,807
Prepaid Expenses & Interest Receivable 360,623 463,605
Total Assets 61,193,729 60,785,323
Liabilities (What We Owe) 2019 2018
Our Debt to RUS and CFC 14,019,339 15,082,574
Accounts Payable 2,979,742 2,924,478
Other Current & Accrued Liabilities 1,776,765 2,172,951
Total Liabilities 18,775,846 20,180,003
Member Equity (Net Worth to Members) 2019 2018
Balance of Net Gain For Prior Years 40,737,426 37,988,851
Net Gain For Current Year 1,680,457 2,616,469
Total Member Equity 42,417,883 40,605,320
Total Liabilities and Member Equity 61,193,729 60,785,323
2019 Annual Meeting Minutes

Annual Meeting Registration

Registration for the annual meeting of Southern Indiana Power began at 5 p.m. Tuesday, April 18, 2019 at the Spencer County 4-H Youth & Community Center with the business meeting starting at 7 p.m. Each member attending received a commemorative water bottle.

Entertainment

A BBQ sandwich or a hot dog, chips and a cookie were available for members from 5 to 7 p.m. Soft drinks, ice cream and popcorn were also available.

Children’s activities included bucket truck demonstrations, horse/pony rides, inflatables, and face painting.

Bingo was played prior to the meeting from 6 to 7 p.m. Winners received an energy efficiency kit.

Opening and Welcome

The national anthem was played. Steve Seibert, president and CEO, led the meeting by saying the Pledge of the Allegiance.

Call of Meeting to Order

Chairman Jeff Vogel called the 2019 Southern Indiana Power annual meeting to order and thanked the members for their attendance.

Vogel introduced Pastor Kevin Smigielski of Cornerstone United Methodist Church in Chrisney for the invocation. Vogel introduced the present board of directors, their spouses, and all out of town guests.

Reading of Notice of Meeting and Proof of Mailing

Attorney Chris Goffinet reported more than a quorum of members was present. With 424 members registered, enough members were present to legally conduct any and all business that might be brought before the meeting.

Approval of 2018 Annual Meeting Minutes

Vogel said the 2018 annual meeting minutes were distributed to members at registration. Therefore, in the interest of time, a motion was properly made, seconded, and carried to dispense with the reading of the 2018 minutes.

Vogel then asked for any additions or corrections to the minutes. There being no additions or corrections, a motion was properly made, seconded, and carried that the minutes of the 2018 Annual Meeting be approved as published.

Election of Directors

Vogel called upon Goffinet to conduct the election of the directors. He stated district 1 incumbent Jeff Vogel and district 2 incumbent Philip Meyer both filed for re-election without opposition. There were four nominations for District 7 — Larry Meyer, Andrea Schaeffer, David Lynch, and Raymond James. Goffinet introduced the candidates and appointed the following persons to the election committee: Kevin Wilkinson, Ronnie Begle, Randy Rennie, Bruce Knox, Darren Bettag, and Stan Steckler. After voting, the ballots were tabulated by the election committee.

Financial Report

Vogel called upon Earl Ridlen, CPA, CGMA with LWG, Indianapolis, Indiana, for the financial report. Ridlen reviewed and explained the financial condition of the cooperative.

A motion was properly made, seconded, and carried that the financial condition of the cooperative.

Vogel then turned the meeting over to Seibert.

CEO Report

Seibert thanked everyone for helping to celebrate the co-op’s 80th anniversary. He then spoke on several topics including safety and the capital credit retirement program, noting that since 2012, the co-op has returned nearly $6 million in capital credits to member-owners.

Seibert then discussed the co-op’s goal to provide reliable power to all members and reviewed the 2019-2022 four-year work plan. Seibert continued with discussions of a cost of service study that revealed no need for a rate increase at this time. He added Hoosier Energy’s rate forecast is showing rate stability over the next 5 years.

In conclusion, Seibert informed members the co-op is in the process of developing strategies with PSC to deliver high-speed internet to our unserved members. Seibert showed an industry update video before turning the meeting over to Director Gary Waninger, chairman of the Operation Round Up board of trustees.

Operation Round Up Grant Disbursements

G. Waninger presented checks to Operation Round Up grant recipients and then turned the meeting over to Vogel.

Election Results

The election committee reported the results of the election. The winners were: District 1, Jeff Vogel; District 2, Philip Meyer; and District 7, David Lynch.

Adjournment

Vogel thanked members for attending the meeting and wished them good luck with the prize drawings.

With no further business, Vogel asked for a motion to adjourn the meeting. A motion to close the meeting was properly made, seconded, and carried. The meeting was adjourned by Vogel at 8:05 p.m.

Awarding of Attendance Prizes

The awarding of one $500 and four $250 grand prizes, 20 $50 cash prizes, and two children’s prizes concluded the meeting.

Financial Reports

Condensed Income and Expense Statement

Income  2018 2017
Operating Revenues 38,679,400 37,016,549
Interest, Other Non-operating, Other Capital Credits 1,246,085 585,636
Total Income 39,925,485 37,602,185
Expenses  2018  2017
Cost of Power Purchased  30,295,683  28,635,487
Operations  1,127,397  1,084,622
Maintenance  1,417,768  1,123,584
Consumer Accounts  671,095  647,701
Administrative and General  1,304,952  1,228,760
Depreciation  1,713,526  1,675,153
Taxes  547,425  521,269
Interest Expense  968,003  938,216
Total Expenses  38,045,849  35,854,792
Margins 2018 2017
Operating Margins 633,551 1,161,757
Non-Operating Margins 1,246,085 585,636
Hoosier Energy Capital Credits 736,833 949,529
Total Margins 2,616,469 2,696,922

Condensed Statement of Assets & Liabilities

As of December 31, 2018

Assets (What We Own) 2018 2017
Cost Of Our Electric System 52,558,522 51,687,510
Accumulated Depreciation (15,736,753) (14,602,156)
Utility Plant In Service, Net 36,821,769 37,085,354
Investments (patronage capital) 14,614,167 14,078,113
Investments (other) 1,168,015 1,409,009
Cash and Cash Equivalents 3,684,398 3,394,344
Accounts Receivable 3,788,038 3,908,218
Materials & supplies 251,807 289,142
Prepaid Expenses & Interest Receivable 457,129 512,839
Total Assets 60,785,323 60,677,019
Liabilities (What We Owe) 2018 2017
Our Debt to RUS and CFC 15,082,574 17,061,591
Accounts Payable 2,924,478 3,040,576
Other Current & Accrued Liabilities 2,172,951 2,376,796
Total Liabilities 20,180,003 22,478,963
Member Equity (Net Worth to Members) 2018 2017
Balance of Net Gain For Prior Years 37,988,851 35,501,134
Net Gain For Current Year 2,616,469 2,696,922
Total Member Equity 40,605,320 38,198,056
Total Liabilities and Member Equity 60,785,323 60,677,019