View the 2019 Grand Valley Rural Power Lines Annual Report
83
83 Years | Annual Report
Grand Valley Rural Power Lines, Inc.
1936 - 2019
BY
THE
GVP NUMBERS
$98 MILLION
INFRASTRUCTURE IN
MESA COUNTY
$1 Million
CASH CREDITS RETURNED
TO MEMBERS IN 2018
co•op•er•a•tive [adj]
working or acting together
willingly for a common
purpose or benefit.
156,739
TIMES OUR SOCIAL MEDIA
POSTS WERE SEEN
18,743
METERS WE SERVE
1,673
MILES OF ENERGIZED LINE
43
DEDICATED
EMPLOYEES
5
STAR CUSTOMER SERVICE RATING
Board of
directors
Rod Martinez
PRESIDENT
Carolyn Sandeen-Hall
VICE PRESIDENT
Dennis Haberkorn
SECRETARY/TREASURER
Sylvia Spangler
DIRECTOR
Bob Saunders
DIRECTOR
Lighting the way
MESSAGE FROM CHIEF EXECUTIVE OFFICER AND BOARD PRESIDENT
Back before the days of
candles and fuel burning
lamps, the simple act of
producing light was incredibly
labor intensive. A report
published by the Cato Institute’s
Human Progress Project
noted that producing 1,000
lumen hours of light required
our ancestors to gather and
chop wood 10 hours a day
for six days. This effort would
produce about 54 minutes
of dim, flickering, smoky light
– about the same amount
Rod Martinez
Tom Walch
Board President Chief Executive Officer
of light generated by a clean,
efficient modern light bulb.
The light bulb – and central station delivery of electric power – changed everything.
When Grand Valley Power was formed 83 years ago, 60 hours of work could produce
five months of clean, even lighting. In today’s fast-paced world, it is difficult to
understand how transformative this was. Back then cooperatives like Grand Valley
Power were commonly referred to as the “light company.” The light and power our
fledgling hometown organization produced for lower valley farmers was truly empowering.
More than eight decades later, our team members continue to work to
empower and enrich the lives of all our members and consumers.
the right thing with our commitment to returning cash credits to our members, once again topping the $1 million dollar
mark with credit retirements. In the environmental arena, we remain one of the leaders among cooperatives in the state
of Colorado and across the country, with over 30 percent of the energy delivered to our consumers coming from renewable
resources. Earlier this year, Grand Valley Power adopted one of the most aggressive clean energy targets in the
country, aiming for 60 percent clean energy by 2030.
Grand Valley Power’s 2018 financial and operational results show that we are dedicated to delivering value to
all we serve. Our utility plant expanded significantly in 2018, and we now have almost $100 million invested in Mesa
County. This kind of growth imposes financial challenges. Even so, we finished the year with margins exceeding budget
projections to go along with a healthy 35 percent distribution equity level. From a reliability standpoint, our robust distribution
system and diligent efforts by our crews produced reliability results that rank in the top three among Colorado
cooperatives. When it comes to service, it’s tough to improve on the record our workforce produces. Over 90 percent
of consumers surveyed rank the service provided by our linemen, service planners and customer service representatives
with five stars – the highest ranking available. Best of all, we have achieved these results with rates remaining flat. Even
though we don’t have the economies of scale or the density or commercial and industrial load that typically helps cooperatives
operate more efficiently, when compared with other Colorado cooperatives, Grand Valley Power’s rates remain
below average across the board.
What does the future hold in store for Grand Valley Power? We know that the pace of change will continue to
accelerate. The sixty hours of labor that once produced 54 minutes of light will now generate the same amount of light
for 52 years. As technology advances, more changes will be on the way. Consumers and lawmakers will demand more
than just safe, affordable and reliable energy – it will have to be clean as well. Whatever the changes, the Grand Valley
Power team is ready to take them on. From our accountable, member-elected board of directors to hometown employees
dedicated to providing exceptional service – we have the pieces in place to ensure that we will continue to empower
and enrich the lives of our hometown members.
Grand Valley Power presents
Don McClaskey
DIRECTOR
Bill Rooks
DIRECTOR
Janie VanWinkle
DIRECTOR
Jesse Mease
DIRECTOR
Gregg Kampf
ATTORNEY
How do we do this? The emphasis on hometown service that started here
in 1936 continues to this day. We’re governed by democratically elected directors
who also happen to be your friends and neighbors. Our employees aren’t just passing
through – they call Mesa County home, just as you do.
We focus on key foundational principles. For example, everyone on our
team knows that we are committed to the safety of our workforce and the general
public. In 2018, this produced a blemish-free safety record, with no lost time
accidents and no Occupational Safety and Health Administration recordable incidents.
It produced ongoing efforts to educate folks in our communities about safety
issues associated with the delivery of electricity. Take a minute to review some of
the pictures and articles in this report that highlight our stellar safety performance
and some of our outreach activities.
The report also reflects how we seek to find new ways to serve our members
and communities. Our deployment of enhanced meters will enable you to access
energy usage information faster than ever before. This new tool will allow us to
communicate with you by text message or email regarding outages. It also facilitates
a prepaid billing program that will give consumers direct control over how they use
electricity. Just as importantly, the operating efficiencies of our new metering system
will help control costs, for the benefit of our members.
Our support of scholarship and community programs illustrates how we
strive to do the right thing, holding true to our values and principles. When
Grand Valley Power and its team members invest their time, talent and dollars in
these programs, it’s not for public relations purposes. It’s because we understand
the importance of these contributions here in our hometowns. We’re also doing
2 0
1 9
Raffle prizes
Free gifts
& Dinner
Registration
at 5 :30 p .m.
open
ANNUAL MEETING
free dinner
free parking
One of three ways:
Special Performance By
Colorado Mesa University
August 8, 2019
MAIL in your RSVP card (inside this report),
ONLINE at gvp.org/RSVP,
or CALL (970) 242-0040.
PEGGY
MALONE
Entertainment starts at 6 p.m.
RSVP TODAY!
COMMITTED TO
SAFETY
Safety is a key ingredient in our cooperative - both for our employees and the general public. We
provide comprehensive safety training and education for our employees, whether they’re working
in the field or in the office. Emergency response training such as CPR, first aid and pole-top rescue
exercises are just part of our critical curriculum. For our communities, we provide materials that
suit all ages and electric demonstrations that provide important lessons about the dangers of
electricity. GVP participates in multiple events each year which shines the light on electrical safety,
including the Mesa County Safety Fair, Plateau Valley Safety Day and Sherwood Park Kite Day.
NEW & BETTER WAYS
TO SERVE YOU
Hourly Usage
It’s energy your way! With our enhanced meters,
you’re able to access your energy usage faster than
ever before. Your SmartHub account will detail
monthly, daily and hourly use so that you can make
smarter energy choices and save money. Visit gvp.org/
SmartHub today for more details.
A SmartHub account is required.
Outage Alerts
You’ve asked for it and we delivered. Now, through your
SmartHub account you can elect to have outage alerts
sent to you by text message or email. We’ll notify you
if your service is interrupted and when it is restored.
A SmartHub account is required.
This program will be available beginning fall of 2019.
GVP Lineman, Scott Bradley (left) and Don Burbridge (right), conduct an electrical safety demonstration to a
group of young students. Each year, GVP teaches over 1,800 kids and adults about safety around power lines.
The demonstrations are given to schools, groups and businesses in the Grand Valley.
ZERO INCIDENTS,
NO LOST TIME ACCIDENTS OR
OCCUPATIONAL HEALTH
AND SAFETY ADMINISTRATION
RECORDABLE INCIDENTS
IN 20180
Pictured right: CareFlight pilot, Pemba Sherpa (left) visits our office to train Grand
Valley Power employees about best practices when calling CareFlight for assistance
in medical emergencies. CareFlight is a joint venture between Montrose Memorial
Hospital and Grand Junction’s St. Mary’s Hospital, which provides critical medical
transportation between facilities and from scenes to hospitals.
E
Prepaid Billing
No deposits. No monthly bills. No late fees.
Sounds great, right? We’re bringing more
energy choices to you with our new prepaid
billing program. The program is similar to
purchases you make everyday - food for your
family, gasoline for your car - which you pay
for when you use it. We alert you when your
account gets low. For more information, visit
gvp.org/Prepay.
A SmartHub account is required.
This program will be available beginning fall of 2019.
F
@GVRuralLines
We use Facebook and Twitter to post
information on how to become more energy
efficient, tips on safety and to inform
members about special events and activities
throughout the year. Additionally, during
adverse weather, these sites provide a
channel to deliver valuable communications
on storm preparation details, outage
information and restoration updates. To
receive Grand Valley Power updates simply
like us on Facebook and follow us on Twitter.
Access these features
on SmartHub
Scan the QR code or visit
gvp.org/SmartHub to get started!
Scholarships &
Youth Tour
Since 1996, Grand Valley Power has awarded over
$174,000 to students who are continuing their education,
and has sponsored youth leaders to attend the annual
Washington, D.C., Youth Tour.
Education and training is a key ingredient for our future
and we provide these scholarships and experiences to
further expand the horizons of our local youth.
Community Focused
he idea of community involvement is so engrained into what Grand Valley Power does, that it became our mission statement: Empowering Lives with
T
Hometown Service. It’s more than just safe, reliable and affordable power we provide. It’s taking an active role in all our communities. GVP is a member of
the chambers of commerce within its service territories and the Grand Junction Economic Partnership. We support education and leadership opportunities
each year, by providing over $20,000 in scholarships and sponsoring young leaders to attend the Washington, D.C., Youth Tour and Cooperative Leadership
Camp in Steamboat Springs, Colorado. GVP also supports multiple local organizations, including the Eureka! McConnell Science Museum, HopeWest, Glade
Park Movies Under the Stars, Rocky Mountain PBS, Mesa Mall Safety Fair, St. Baldrick’s Foundation, Collbran Job Corp and more. Since employees live here
too, many take part in personal volunteer efforts as well. Community engagement is a year-round effort focused on those most important to us - YOU.
This year, we’re awarding $22,500 in scholarship awards
and youth leadership opportunities to local students.
Congratulations to all the 2019 recipients!
Jack Broughton -
Colorado Mesa
University Scholarship
TyLee
Brown
$2,000 scholarship
(renewable)
Washington, D.C., Youth
Tour Award
Izzy
Mease
$2,000 value
Grand Valley Power Scholarship
Jeron
Walck
$1,500 scholarship
Lauren
Amos
$1,500 scholarship
Kia
Holton
$1,500 scholarship
Makayla
Moran
$1,500 scholarship
Peiten
Barton
$1,500 scholarship
Kassidy
Wilkerson
$1,500 scholarship
Western Colorado Community College Scholarship
Glow Halloween
Wyatt
Bramwell
$1,500 scholarship
Western Colorado Community College
Electric Lineworker Scholarship
Jace
Sinks
$2,000 scholarship
The Fruita Chamber of Commerce Parade of Lights, sponsored by Grand Valley Power, is
just one of the many events we support throughout the year. In 2018, we received Santa
Claus’ “Best of Show” for our “Santa’s Stables” float [pictured above].
This year, we hosted a member
appreciation event surrounding
Halloween safety for our
communities. We decked out
the lobby with ghoulish fun and
provided plenty of glow sticks
(and cupcakes) for all ages!
Watch out for this year’s
Halloween event in October!
Visit our Facebook and Twitter
page for updates.
Pictured above: A group of young kids pick up
their safety glow sticks before they head out for
trick-or-treating.
DELIVERING VALUE
In today’s world, so many aspects of our lives depend on electricity. Grand Valley Power is proud
to report that compared with other cooperatives in Colorado, we are in the top three with lowest
instances of outages, both in duration and frequency. The integrity of our electric system plays a major
factor in the level of reliability you receive from the cooperative. We are always planning for your future
electric needs by evaluating our current system, anticipating
future growth, and working with our energy suppliers to ensure
Top 3
they have adequate generation capacity to meet the future
electric load demand on our system. We pride ourselves on
maintaining a balanced and diverse generation portfolio that
is over 30% clean, renewable energy. Even more, we pride
ourselves on affordable power. Since 2011, GVP’s electric rates
have remained flat. The most recent Colorado Association
of Municipal Utilities electric rates survey show our average
residential bill for 700 kWh is less than $100 per month.
IN ELECTRIC
SERVICE
RELIABILITY
*U.S.. ENERGY INFORMATION ADMINISTRATION - 2017 DATA
SAIDI W/ MAJOR EVENTS MINUS LOSS OF SUPPLY
Financial Statements
BALANCE SHEET
ASSETS 2018 2017
UTILITY PLANT
Electric Plant $97,434,555 $90,821,501
Construction Work in Progress 1,405,187 2,493,787
98,839,742 93,315,288
Less: Accumulated Depreciation (27,323,127) (25,658,611)
Total Utility Plant 71,516,615 67,656,677
INVESTMENTS 1,667,826 1,527,524
CURRENT ASSETS
Cash and Cash Equivalents 162,586 (34,129)
Temporary Cash Investments 1,120,411 -0-
Receivables (less provisions for
uncollectable
accounts of $70,000 at 12/31/18
and 12/31/2017) 4,273,441 3,916,937
Materials 2,374,847 2,181,883
Other Current Assets 49,513 120,491
Total Current Assets 7,980,798 6,185,182
Deferred Charges 922,483 1,026,381
TOTAL ASSETS $82,087,722 $76,395,764
EQUITIES AND LIABILITIES
CAPITAL EQUITIES
Patronage Capital $27,868,030 $26,716,097
Other Equities 1,536,464 1,454,761
Accumulated Comprehensive (loss) 306,340 (203,400)
Total 29,710,834 27,967,458
STATEMENT OF OPERATIONS
TOTAL OPERATING REVENUE
2018 2017
Electric Energy Revenue $31,992,882 $31,855,532
Other Operating Revenue 233,046 283,251
Total Operating Revenue $32,225,928 $32,138,783
OPERATING EXPENSES
Cost of Purchased Power 17,699,272 17,753,846
Operating Expenses - Transmission 61,341 49,084
Operating Expenses - Distribution 2,451,340 2,524,015
Maintenance of Distribution Plant 982,254 858,480
Accounting and Collection Expenses 1,264,624 1,256,097
Other Customer Expenses 372,513 375,027
Administrative and General 2,328,959 2,408,478
Depreciation 2,532,205 2,439,911
Taxes 738,258 772,233
Interest on Long-Term Debt 1,713,301 1,612,049
Interest Expense - Other 669 691
Other Deductions 223,369 218,952
Total Operating Revenue Deduction $30,368,105 $30,268,863
ELECTRIC OPERATING MARGIN $1,857,823 1,869,920
*
LONG-TERM LIABILITIES
Mortgage Notes 44,787,948 40,348,674
Less: Current Maturities (1,684,574) (1,577,072)
Total Long-Term Debt 43,103,374 38,771,602
OTHER LONG-TERM OBLIGATIONS 215,125 773,500
CURRENT LIABILITIES
Current Maturities of Long-Term Debt 1,684,574 1,577,072
Accounts Payable 2,428,175 1,804,616
Notes Payable - 350,000
Accrued Interest Payable 77,926 83,040
Accrued Taxes 738,258 855,014
Other Current Liabilities 2,214,131 2,151,245
Total Current Liabilities 7,143,064 6,820,987
DEFERRED CREDITS 1,915,325 2,062,217
NON-OPERATING MARGIN
Interest Income 32,767 49,889
Other Non-Operating Income 31,260 15,508
Total Non-Operating Margin 64,027 65,397
Cooperative Capital Credits 231,055 187,511
Net Margins for Period $2,152,905 $2,122,828
PATRONAGE CAPITAL at Beginning of Year 26,716,097 25,935,748
Subtotal 28,869,002 28,058,576
Less Retirement of Capital Credits (1,000,972) (1,342,479)
service awards
EMPOWERED EMPLOYEES
MIKE BIRCH
OPERATIONS MANAGER
40 YEARS
DEBRA WHITESIDE
MEMBER SERVICES REPRESENTATIVE
30 YEARS
BILL BARLOW
OPERATIONS SUPERVISOR
30 YEARS
TOTAL LIABILITIES & CAPITAL $82,087,722 $76,395,764
DEBBIE DEROSE
CUSTOMER SERVICE REPRESENTATIVE
30 YEARS
LEROY LOWARY
SERVICEMAN/METERMAN
25 YEARS
PATRONAGE CAPITAL at End of Year $27,868,030 $26,716,097
*As this report goes to press, the audit of these financial statements has not been finalized.
MARK SHAFFER
OPERATIONS FOREMAN
25 YEARS
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Program &
Agenda
5:30 p.m. - 6:30 p.m. Registration & Dinner
6 p.m. Special Guest Entertainment
6:30 p.m. - 8:00 p.m. Business Meeting
Order of Business
1. Quorum and shareholder attendance
2. Notice of meeting and proof of
publication
3. Approval of previous year minutes
4. CEO and President report
5. Election
6. Unfinished business
7. New business
8. Adjournment
Door prize drawings will
follow the business meeting.
notice of annual
meeting
By order of the Board of Directors of Grand Valley Rural Power
Lines, Inc., notice is hereby given that the annual meeting of
the organization’s shareholders will be held at Colorado Mesa
University in the University Center Meyer Ballroom, Grand
Junction, County of Mesa, Colorado on Thursday August
8, 2019 at 6:30 p.m., for the purpose of electing a Board of
Directors as provided by the bylaws and the transaction of all
business which may be properly brought before the annual
meeting.
Registration opens at 5:30 p.m. in the Meyer Ballroom
of the University Center of Colorado Mesa University.
The map inset shows the parking garage closest to
the event location. Access to the garage is off 12th
Street near Kennedy Avenue. Suggested travel is south
on 12th Street to the garage entrance. FFA students
will be on hand to assist with parking and meeting
questions.
RSVP INSIDE
970-242-0040 | www.gvp.org
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