Page 41 - Flathead Beacon // 11.25.15

ENERGIZING THOUGHTS MARK JOHNSON GM REPORTS TO MEMBERS
BUILDING PERMITS
BUILDING PERMITS ISSUED IN KALISPELL AND WHITEFISH IN OCTOBER
RECIPIENT: Flathead County; 820 S Main St. CONTRACTOR: Stellar Integration and Safety
FOR: Fire alarm VALUE: $23,500
RECIPIENT: Matt Grindrod; 170 Camp Crook Ave. CONTRACTOR: Gary Grindrod
FOR: Single-family residence VALUE: $156,100
RECIPIENT: Burlage Family Properties; 242 Stillwater Rd. CONTRACTOR: Elite Fire Protection
FOR: Sprinklers VALUE: $24,000
RECIPIENT: Bridgeland Properties; 213 Northland Dr. CONTRACTOR: Westcraft Homes
FOR: Single-family residence VALUE: $270,000
RECIPIENT: Kalispell Assembly of God Church; 255 Summit Ridge Dr. CONTRACTOR: Montana Fire Sprinklers
FOR: Sprinklers
VALUE: $38,000
RECIPIENT: Treeline Village LLC; 1015 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Sprinklers VALUE: $20,000
RECIPIENT: Levi Reynolds; 321 Fifth Ave. E CONTRACTOR: Owner FOR: Repair
VALUE: $15,000 RECIPIENT: Hazel Stefanatz;
1105 Third Ave. W CONTRACTOR: Owner FOR: Addition
VALUE: $25,000
RECIPIENT: John and Elizabeth Peschel Trust; 22 Fifth Ave. W
CONTRACTOR: Edge Exterior Coatings
FOR: Repair VALUE: $11,830
RECIPIENT: BID, Inc.; 383 Mountain Vista Way CONTRACTOR: Recipient FOR: Single-family residence VALUE: $268,564
RECIPIENT: Thunderbird Associates; 2385 Hwy 93 N CONTRACTOR: Panterra Construction
FOR: Remodel VALUE: $53,424
RECIPIENT: Roberta Rales; 742 Sixth Ave. W CONTRACTOR: John Landon Construction
FOR: Garage VALUE: $18,000
KALISPELL
WHITEFISH
IT IS THAT TIME OF YEAR AGAIN when Flathead Electric receives its Key Ratio Trend Analysis or KRTA. The KRTA is a tool prepared by one of Flathead Electric’s bankers to help elec- tric cooperative managers and board members understand their utility’s performance compared to other elec- tric cooperatives throughout the coun- try. Using annual nancial and statis- tical data, this analysis helps highlight strengths and weaknesses, gauge past and present performance, and supports predictions of future performance.
The KRTA shows the absolute and relative position as well as trends of Flathead Electric in 145 key nan- cial and statistical ratios. Its ratios are displayed to show Flathead Electric’s trends for the most recent six years as well as a comparison of Flathead Elec- tric’s ratios relative to various distinct peer groups.
I have selected one ratio where Flat- head Electric is favorable in comparison to its peers as well as a di erent ratio where Flathead Electric has an oppor- tunity to improve.
Where We Are Strong
Ratio #1 – Annual Capital Credits Retired per Total Equity
De nition: A measure of a system’s total equity that is being paid back or retired to the members (you) as patron- age capital. Retirement of patronage capital to members is one of the seven cooperative principles generally fol- lowed by all types of cooperatives. Reg- ular retirement of capital credits pro- vides evidence to the membership that the cooperative seeks to furnish electric and other services “at or slightly above cost,” unlike most “for pro t” utilities.
Electric cooperatives are generally required by the Internal Revenue Ser- vice to allocate patronage capital to members’ accounts based on electric usage for each year or risk losing fed- eral tax-exempt status. There are many methodologies for retiring or paying out patronage capital to members. Flathead Electric uses rst-in, rst-out retire- ments of capital based on a board-ap- proved rotation cycle of 20 years for gen- eral retirements, and uses a discount- ing method for decedent estates and for those members who have attained age 75. In 2014, we returned over $3 mil- lion in capital credits to current and
former members of Flathead Electric. Many years ago, the board developed a nancial policy it follows to grow equity to ensure the Cooperative is nancially sound. As part of this policy, it also allows for a large portion of that equity to be paid back to you through the retire- ment of capital credits.
An Opportunity to Improve
Ratio #2 – Average Service Availabil- ity Index (%)
De nition: The ratio of total consum- ers that service was available to versus total consumer minutes demanded for the period, expressed as a percentage.
For us in the industry, we often talk about the “goal of ve-nines.” This rep- resents a goal where electric utilities strive to have power available to their customers 99.999 percent of the time. If you remember your middle school math, this equates to .99999 – hence the “ ve-nines.”
It is unrealistic to think that electric- ity can be delivered 100% of the time; there are just too many factors working against electric utilities – equipment failures, etc. For 2014, you will notice Flathead Electric is below the desired 99.999 present as well as slightly below the other groups presented.
We face a couple challenges that many electric cooperatives in the United States do not. Those challenges are related to trees and the animals that inhabit those trees. A signi cant por- tion of our electric lines run through forested or semi-forested areas and are susceptible to trees being blown down or tipped over due to snow weight. Flathead Electric has a sizeable right-of-way tree trimming program but a large number of tree outages are caused by windblown or snow loaded trees knocked over from outside our right-of-way.
On the animal front, squirrels and birds have a knack for getting into our equipment and causing outages, both on our lines and in our substations. We uti- lize up-to-date animal deterrent tech- nology, but these animals are either more clever than we give them credit for or just clumsy. Regardless, we are committed to improving the reliability of your electric system through mainte- nance and upgrades so you can enjoy the most reliable electric power possible.
RECIPIENT: Bridgeland RECIPIENT: TKG Spring Properties; 445 Hilltop Ave.
RECIPIENT: Lisa and Al RECIPIENT: Lion MT Post Stinson; 434 Dakota Ave.
Prairie Dev. 3, LLC; 55 Treeline Rd. CONTRACTOR: Engineered Structures, Inc.
FOR: Store VALUE: $40,000
RECIPIENT: Habitat for Humanity of Flathead Valley; 255 Short Pine Dr. CONTRACTOR: Habitat for Humanity
FOR: Single-family residence VALUE: $130,000
RECIPIENT: Habitat for Humanity of Flathead Valley; 265 Short Pine Dr. CONTRACTOR: Habitat for Humanity
FOR: Single-family residence VALUE: $130,000
RECIPIENT: Kalispell Regional Healthcare; 350 Heritage Way CONTRACTOR: Swank Enterprises
FOR: Redmodel VALUE: $636,600
RECIPIENT: Kalispell Regional Healthcare; 310 Sunnyview Ln. CONTRACTOR: Swank Enterprises
FOR: Remodel VALUE: $403,187
RECIPIENT: Show Me Kalispell LLC; 250 Old Reserve Dr. CONTRACTOR: AMI Construction
FOR: Hotel
VALUE: $6,998,000
RECIPIENT: Bighorn Develop- ment, 460 Triple Creek Dr. CONTRACTOR: Recipient FOR: Single-family residence VALUE: $199,900
RECIPIENT: Michael and Teresa Bray; 47 Sunset Ct. CONTRACTOR: James Lee Construction, Inc.
FOR: Single-family residence VALUE: $234,494
RECIPIENT: Amy Christian- sen; 1340 Eighth Ave. E CONTRACTOR: Robert W Ross Building Const.
FOR: Garage VALUE: $4,710
RECIPIENT: Discount Tire; 55 Treeline Rd.
CONTRACTOR: Protection One
FOR: Store VALUE: $8,582
RECIPIENT: Somers Bay Trading Co LLC; 3201 Hwy 93 S
CONTRACTOR: R Porch Construction
FOR: Remodel VALUE: $1,424,999
CONTRACTOR: Westcraft Homes
FOR: Single-family residence VALUE: $235,000
RECIPIENT: Treeline Village, LLC; 1025 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1005 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1035 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1045 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1055 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1065 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Treeline Village, LLC; 1075 Treeline Rd. CONTRACTOR: Montana Fire Sprinklers
FOR: Apartments VALUE: $20,000
RECIPIENT: Chris Barry; 277 Rosewood Dr. CONTRACTOR: 4J Builders FOR: Addition
VALUE: $20,400
RECIPIENT: Bridgeland Properties; 149 Parkridge Dr. CONTRACTOR: Westcraft Homes
FOR: Single-family residence VALUE: $250,000
RECIPIENT: Pensco Trust; 119 E Idaho St.
CONTRACTOR: Steadfast Enterprises
FOR: Remodel VALUE: $12,000
RECIPIENT: Burlage Family Properties; 242 Stillwater Rd. CONTRACTOR: Stellar Integration and Safety
FOR: Commerical VALUE: $7,600
#276 VFW; 20 Baker Ave. CONTRACTOR: Travis Brousseau
FOR: Remodel
VALUE: $900
RECIPIENT: 542 Central LLC; 542 Central Ave. CONTRACTOR: Knox on Wood
FOR: Remodel VALUE: $60,000
RECIPIENT: DA Davison & Co; 210 E Second St. CONTRACTOR: Blue Core FOR: Remodel
VALUE: $64,000 RECIPIENT: Delaware North;
6510 Hwy 93 S CONTRACTOR: Fire Suppression Systems FOR: Remodel VALUE: $78,364
RECIPIENT: Grouse Mtn Lodge; 2 Fairway Dr. CONTRACTOR: Dick Anderson Construction FOR: Remodel
VALUE: $348,500 RECIPIENT: Timberland Real
Est. LLC; 728 Edgewood Pl. CONTRACTOR: Seven Hills Const.
FOR: Townhouse
VALUE: $113,000 RECIPIENT: Timberland Real
Est. LLC; 726 Edgewood Pl. CONTRACTOR: Seven Hills Const.
FOR: Townhouse
VALUE: $187,000 RECIPIENT: Sage Partners
LLC; 407 Colorado Ave. CONTRACTOR: Blackwell Enterprises
FOR: Townhouse
VALUE: $142,500 RECIPIENT: Sage Partners
LLC; 401 Colorado Ave. CONTRACTOR: Blackwell Enterprises
FOR: Townhouse
VALUE: $142,500 RECIPIENT: Mike and Becky
Krzystyniak; 135 Dakota Ave. CONTRACTOR: Blankenship Const.
FOR: Addition
VALUE: $120,000 RECIPIENT: John Shigo; 725
Somers Ave.
CONTRACTOR: Bearcat Bldg. FOR: Addition
VALUE: $90,000
RECIPIENT: Nora Kristensen; 403 Columbia Ave. CONTRACTOR: C&G Construction
FOR: Addition VALUE: $135,000
CONTRACTOR: Dick Anderson Construction FOR: Single-family residence VALUE: $275,000
RECIPIENT: Triple S Land Group; 761 Salmon Run CONTRACTOR: SSD Development
FOR: Single-family residence VALUE: $20,000
RECIPIENT: Je Beck; 740 Aspen Grove St. CONTRACTOR: Recipient FOR: Single-family residence VALUE: $230,000
RECIPIENT: Brett Campbell; 119 Brimstone Dr. CONTRACTOR: North Valley Const.
FOR: Single-family residence VALUE: $285,000
RECIPIENT: John Pearce; 824 E Second St. CONTRACTOR: Owner FOR: Remodel
VALUE: $200
RECIPIENT: Adam and Aubrey Clark; 515 W Third CONTRACTOR: Owner
FOR: Remodel
VALUE: $500
RECIPIENT: Greg McGowan;
2059 Silverberry CONTRACTOR: Canyon Construction
FOR: Remodel
VALUE: $55,000
RECIPIENT: Sam and Emily Harkness; 1675 E Second St. CONTRACTOR: Seven Hills Const.
FOR: Remodel VALUE: $5,000
RECIPIENT: Rick and Margarite Schultz; 303 B Dakota Ave. CONTRACTOR: Mindful Designs
FOR: Remodel VALUE: $2,000
RECIPIENT: John Rottger; 352 Sawtooth Dr. CONTRACTOR: Tony Mauro FOR: Remodel
VALUE: $3,000 RECIPIENT: Ed Hannigan Jr.;
6 Swift Creek Ln. CONTRACTOR: Recipient FOR: Remodel
VALUE: $1,500
Mark Johnson is general manager of Flathead Electric Co-op
NOVEMBER 25, 2015 // FLATHEADBEACON.COM
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