Watt’s Up? Q. Why did I receive a disconnect notice? This is the first time my payment has been late, so this seems extremely harsh.

It is not our intent to offend anyone with this notice. Instead, the notice is meant to alert the account holder that there is a past due balance and payment is required to avoid possible disconnection for nonpayment. On average, about 500 disconnect notices are mailed each month to past due accounts. The majority of these notices are sent to account holders who routinely do not pay their bills by the due date. Unfortunately, there is no automated method for pulling notices to those who have missed a payment for the first time. With notices mailed monthly to about 7.5 percent of the membership, we do not have the staff necessary to go through each letter and manually verify each account’s payment history.

Energy Efficiency Tip of the Month

Summer is right around the corner! Have you changed your home’s air filter? Filters get loaded with more and more particles as they do their job. This actually has the effect of making them more efficient, but it also increases resistance and reduces airflow. Remember to check filters once a month. Source: EnergySavers.gov

If you miss this notice for some reason, it is unfortunate, but we can still disconnect for nonpayment. However, since we do review each account prior to disconnection, if you normally pay your bill on time we would contact you verbally on the day your account is scheduled for disconnection.

Propane Prebuy Contract Options Coming in May

Spring has barely arrived and we’re already talking about propane supply for the next heating season. Yet, we feel it is important to help you prepare sooner than later to give you plenty of time to take advantage of our propane prebuy contract. Available in May, our prebuy contract will again offer one time or multi-month payment options, all with a fixed price guarantee. We encourage all Pierce Pepin Propane customers to evaluate your propane use and seriously consider locking in all or a portion of the propane you need for the 20152016 heating season.

How you can benefit:

• Contract price is fixed with no fluctuation up or down. • Multi-month payment options allow you to spread payments over several months. • Switch from metered to eliminate the monthly facility charge and price fluctuations. • Switch from will call service to eliminate the risk of run out, the extra 10 cents per gallon charge and other associated fees.

Again, the notice is not intended to offend, but we must provide proper notice prior to disconnection of electric service for nonpayment. There are ways, however, to reduce your risk of a past due balance and possible disconnection. Consider signing up for automatic withdrawal of your monthly payment from your checking or savings account. You can also log into SmartHub from our website to sign up for email or text message reminders that your bill has been generated, you missed a payment by the due date and more. For details, visit www.piercepepin.com or contact us today!

Youth Leadership Congress and Scholarship Opportunities

Attention Upcoming Juniors and Seniors! Application Deadline/ How to Register

If you’re thinking about post-high school education, you won’t want to miss this opportunity to earn scholarships to help pay for tuition.

Register for the YLC by June 1, 2015. Go to www.piercepepin.com, click on Community>Youth Leadership Congress & Scholarship Program and follow the online instructions.

To qualify for scholarships, you must attend the Youth Leadership Congress (YLC) this July 1517 on the UW-River Falls campus. Following the YLC, you must participate in the essay contest. All expenses are paid by PPCS!

Questions?

PPCS will award three $1,000 scholarships to seniors who will graduate in the spring of 2016 and are members’ children.

Contact Lori Larson at 715-273-2406 or llarson@ piercpepin.com. Information is also available through your high school guidance office.

What we can expect:

• Contracted gallons must be used during the contract period—September 2015 through March 2016. • Prebuy gallons unused after March 31, 2016, will remain a credit on your account. • Better able to coordinate supply with demand obligations.

OFFICE CLOSED

Friday, April 3 Power outages can be reported through SmartHub or by calling 800-927-5705.

All participants are eligible to compete for scholarships awarded by the Wisconsin Electric Cooperative Association (WECA)— $1,000, $500 or $250. WECA is the statewide association for Wisconsin’s electric cooperatives and a co-sponsor of the YLC.

Power Outages & Emergencies Call: 800-927-5705 Office Hours Mon-Fri, 8 a.m.-4:30 p.m. Office/Showroom W7725 US Hwy 10 PO Box 420 Ellsworth, WI 54011 715-273-4355 800-924-2133

Before You Dig. . . Call: 800-242-8511 or Email-A-Locate: www.diggershotline.com

2014 Attendees A P R I L 2 0 1 5 H I GHLI GHTER

Be sure to watch your mail, our newsletters, Facebook and Twitter for upcoming contract announcements and options. Please contact us to discuss any questions or concerns you have about our service or your propane needs.

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A PR IL 2 0 1 5 H IGH L IGH TE R

[email protected] piercepepin.com

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Board of Directors District 1................... Gerald Drier Vice Chairman District 2.................. Edward Hass District 3.................. Brian Berg District 4................. Daniel Fischer District 5.................. Lonnie Feuerhelm Secretary/Treasurer District 6.................. Ginny Huber District 7.................. Roger Wiff Chairman District 8.................. Jeffrey McCardle District 9.................. Richard Ruemmele Management Larry Dokkestul President & CEO

PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

Highlighter Pierce Pepin Cooperative Services

In This Issue...

PPCS to Celebrate National Lineman Appreciation Day Pg 2 New Technology and Good Habits Improve Reliability Pg 2 Energy Exporeres How Much Do You Rely on Electricity? Pg 3 Jay Talking.. Boost Your Business’s Bottom Line Pg 4 Capital Credit Allocation Notices Pg 4 Watt’s Up? I received a disconnect notice Pg 5

Your Directors— Looking Out for You

The 78th Annual Meeting of Pierce Pepin Cooperative Services was held Saturday, March 28. Hopefully you attended and participated in the election of directors, had a chance to visit with other members, cooperative employees and directors, and found the meeting to be informational. If you did not attend, I hope you took a few minutes to review the Annual Report that was mailed to you prior to the meeting.

APRIL 2015

Larry Dokkestul President and CEO

From your review of the financial statements in the report, you should be confident in your member owned cooperative’s financial performance. While the mission of the cooperative is to provide you with reliable energy services, maintaining a financially strong cooperative is imperative. Reporting on these activities and the financial performance of your cooperative is just one aspect of accountability placed upon your elected board of directors. With this annual meeting and election comes some new directors on the board. Directors are elected by the membership of the cooperative to best represent the interests of the members in their district and the affairs of the cooperative at large. It is a big job, it takes time and we thank them for their dedication. It requires much more than attending a monthly board meeting. At the April board meeting, your directors will be reviewing wholesale power costs and our retail rates. All indications at this time show no need for a change in rates. Dairyland Power Cooperative, our power provider, has reported that there will be no wholesale rate increase for the rate year beginning May 1, 2015. While our fiscal year runs with the calendar year, our rate year runs May through April. This is great news as purchased power represents our largest cost. Additionally, because we continue our focus on controlling operating expenses here at the co-op, there is no need to change rates at the distribution level either.

Youth Leadership Congress and Scholarship Opportunities Pg 5

In May and June, the board will be reviewing many long range plans including our ten-year financial forecast and our construction and maintenance plans, to name a few. These plans focus heavily on a five-year time frame and include distribution plant and general plant investments, including vehicles, technology and many other aspects. While the board’s work involves many recurring monthly obligations that require oversight and accountability, a more substantial part of a director’s time is spent focusing on the future.

Energy Efficiency Tip of the Month Pg 6

Long range planning and forecasting can be challenging. A “crystal ball” to the future would be helpful, but absent that, development of risk management strategies is essential.

Happy Easter! Office Closed

The next few years will present significant challenges and opportunities. The Administration’s Clean Power Plan and its impact on generation resources, specifically coal, will challenge Wisconsin utilities and others across our nation. And Department of Energy rules on water heaters and other efficiency measures will need to be addressed.

Pg 6

Propane Prebuy Contract Options Coming in May Pg 6

Follow PPCS on

The directors are attentive to the members’ needs here at home, but their voices are also needed in Madison and Washington, D.C. We will make every effort to keep you informed of cooperative activities, the work of the board and the challenges and opportunities that have an impact on you as members. Watch for more information on these issues and others in my May column of the Highlighter, and remember to check our website, Facebook and Twitter for the most up-to-date information.

Subscribe to our e-News: www.piercepepin.com

PPCS to Celebrate National Lineman Appreciation Day America’s electric cooperatives have designated the second Monday of April as National Lineman Appreciation Day.

recognize the contributions of these valuable men and women to America’s Electric Cooperatives.”

On April 13, 2015, PPCS will honor the hard working men who often work day and night in challenging conditions to keep the lights on for our members.

We proudly recognize all electric linemen for the services they perform around the clock in dangerous conditions to keep power flowing and protect the public’s safety.

The full text of the resolution, PPCS Linemen (back) Aaron Langer, Dan Jensen, Mike Maier, Bryon Gilles; which the National Rural “Electric linemen do not (front) Derrick Peterson, Sheldon Johnson, Jordan Hessler. Not pictured: Electric Cooperative often receive the recognition Greg Johnson, Darren O’Flanagan Association (NRECA) Board they deserve,” said Larry adopted unanimously, follows: Dokkestul, president and CEO. “They work all hours of the day, often in “Whereas linemen leave their families and put hazardous conditions away from their families, their lives on the line every day to keep the power going above and beyond to restore power to their on; Whereas linemen work 365 days a year under communities. Our linemen, as well as linemen from dangerous conditions to build, maintain and repair across the nation, truly deserve this special day of the electric infrastructure; Whereas linemen are the recognition.” first responders of the electric cooperative family, getting power back on and making things safe for Pierce Pepin plans to host a breakfast to honor all after storms and accidents; and Whereas there present-day linemen—Sheldon Johnson, Mike would be no electric cooperatives without the Maier, Dan Jensen, Greg Johnson, Bryon Gilles, brave men and women who comprise our corps of Jordan Hessler, Aaron Langer, Derrick Peterson, linemen; Darren O’Flanagan—and retired linemen. Therefore be it resolved that NRECA recognize the Second Monday of April of each year as National Lineman Appreciation Day and make available to electric cooperatives, materials and support to

PPCS invites members to take a moment to thank a lineman for the work they do. Use #ThankaLineman to show your support for the men and women who light our lives.

New Technology and Good Habits Improve Reliability It’s a simple belief: when you flip the switch at home, the lights should come on. And at PPCS we work hard to ensure you have electricity every day, all day. It is what we do; it is why we are here. Even as we continuously upgrade the distribution system to improve reliability, we face repeated threats. Maybe a winter ice storm or summer wind storm. Maybe a neighbor forgets to call before he digs up his backyard. Maybe someone slides off the road and hits a utility pole.

2

Jay Nesseth, Member Services Manager As a small business owner, you understand the importance of the bottom line. PPCS and Focus on Energy want to help you protect and improve that bottom line through the Small Business Program.

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

How much Do you rely on How much Do electricity? you rely on electricity? ACTIVITY

EQUIPMENT I USED

WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

ACTIVITY EQUIPMENT I USEDlives. WeWAS ELECTRICITY USED? Electricity plays a major part in our everyday depend on it for nearly everything we do! How much do you rely on electricity? List yourafavorite determine if electricity was used. read book activities below and lightbulb yes

played video games ACTIVITY

TV/gaming system EQUIPMENT I USED

yes WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

We also have great employees with tremendous expertise in maintaining and repairing our infrastructure. As your locally owned and operated electric cooperative, we truly care about the people we work for--our families, friends and neighbors. We evaluate and install cost effective system upgrades and implement preventive maintenance programs across the four-county area we serve. This includes our aggressive right-of-way maintenance program to keep trees away from power lines to prevent outages.

Not too long ago, our only option was linemen driving throughout large areas to investigate a problem. Since then, we have invested in smart technologies such as our Advanced Metering Infrastructure (AMI) system that allows us to monitor our system remotely and pinpoint problems more quickly and accurately as they occur. The AMI two-way communication system has also brought |

Boost Your Business’s Bottom Line by Saving Energy

These advances help us keep the power flowing to your homes and businesses.

Remember the May snow storm of 2013, or even as far back as the July 1980 storm? Both left some members stranded without power for several days. Then, as always, we worked determinedly to get the lights back on. All the while, preparing for what may come. And with 1,317 miles of electric distribution lines, we have a lot of ground to cover. So when the lights go out, we move as quickly as possible.

A P R I L 2 0 1 5 H I GHLI GHTER

other operational and member service benefits, including reduced meter reads, increased meter reading accuracy, easier energy theft detection, ability to remotely reconnect/disconnect meters, early detection of meter failures, billing accuracy improvements, flexible billing cycles, and creating member energy profiles for energy efficiency and load management programs.

Jay Talking…

How much Do you rely on electricity?

PI E RCE P EP IN COOP ERAT IVE SER VICES

The Small Business Program is available to member businesses of PPCS with an average monthly electric demand that is less than 100 kW. We encourage you to take advantage of what could be a zero cost opportunity for you to reduce your operating costs.

The Focus on Energy Small Business Program helps reduce energy costs by offering a FREE energy assessment and recommendations for cost effective, energy saving improvements. You also have the option to choose from one of three energy saving packages, beginning with no cost and moving to co-pay packages starting at just $75 for deeper energy savings. Although not a complete list, energy saving measures include: • CFLs (non-dimmable) • LED lamps

For more information about the Focus on Energy Small Business Program, or to schedule a free assessment, call 877-229-6678 or visit www. focusonenergy.com.

PPCS also compliments Focus on Energy’s Small Business Program with additional incentives through our Energy Sense Program, so you can lower your cost for making energy saving improvements even more. To learn how, visit www.piercepepin.com or contact me at 715-273-4355 (Ext. 114) or [email protected].

Capital Credit Allocation Notices

system that delivers electricity to your homes and businesses. At the end of each calendar year, expenses are subtracted from income. Any excess income is called a margin. These margins are allocated to members as capital credits. Capital credits represent a member’s equity, or investment, in the cooperative.

Members who received electric service or purchased goods or other services from PPCS in 2014 will receive a Notice of Capital Credit Allocation letter by mail early to mid-April. The notice verifies member equity (investment) earned based on the cooperative’s 2014 operations.

Capital credits are the most significant source of equity for most cooperatives. They are reserved to keep the cooperative financially sound and to provide safe, reliable electric service by investing in substations, power lines, poles and other critical infrastructure.

Electric operating income exceeded expenses during the year by $1,531,381, so the excess income (margins) is allocated back to members based on the amount of each member’s purchases with the cooperative during 2014. The notice:

Capital credits allocated in a given year are usually refunded, on average, 25 years after they are allocated. If refunded, they are typically paid out in October each year.

• Is NOT a bill. • Is NOT payable to you now. • Does NOT represent cash that you can apply to a bill.

Allocated capital credits are reserved for members even if they move away and no longer receive electric service from PPCS. So it is important to make sure PPCS always has your current address. For more information about capital credits, visit www.piercepepin.com, click About Us > Member Benefits.

Understanding capital credits PPCS, as a member-owned, not-for-profit electric utility, sets rates to generate enough money to pay for the cost of operating, constructing and maintaining the distribution

This combination of expertise, technology and our local focus will help us continue to meet new challenges and achieve our goal to exceed your expectations in providing safe, reliable power. |

• LED interior and exterior lights • LED exit signs • High bay fixtures (LED and T8/T5) • Walk in cooler strip curtains • Cold drink vending machine controllers • Faucet aerators • Occupancy sensors

A PR IL 2 0 1 5 H IGH L IGH TE R

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PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

A PR IL 2015 HI G HL I G HT E R

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P I E R CE P E P I N CO O P E R AT I V E S E R V I CE S

PPCS to Celebrate National Lineman Appreciation Day America’s electric cooperatives have designated the second Monday of April as National Lineman Appreciation Day.

recognize the contributions of these valuable men and women to America’s Electric Cooperatives.”

On April 13, 2015, PPCS will honor the hard working men who often work day and night in challenging conditions to keep the lights on for our members.

We proudly recognize all electric linemen for the services they perform around the clock in dangerous conditions to keep power flowing and protect the public’s safety.

The full text of the resolution, PPCS Linemen (back) Aaron Langer, Dan Jensen, Mike Maier, Bryon Gilles; which the National Rural “Electric linemen do not (front) Derrick Peterson, Sheldon Johnson, Jordan Hessler. Not pictured: Electric Cooperative often receive the recognition Greg Johnson, Darren O’Flanagan Association (NRECA) Board they deserve,” said Larry adopted unanimously, follows: Dokkestul, president and CEO. “They work all hours of the day, often in “Whereas linemen leave their families and put hazardous conditions away from their families, their lives on the line every day to keep the power going above and beyond to restore power to their on; Whereas linemen work 365 days a year under communities. Our linemen, as well as linemen from dangerous conditions to build, maintain and repair across the nation, truly deserve this special day of the electric infrastructure; Whereas linemen are the recognition.” first responders of the electric cooperative family, getting power back on and making things safe for Pierce Pepin plans to host a breakfast to honor all after storms and accidents; and Whereas there present-day linemen—Sheldon Johnson, Mike would be no electric cooperatives without the Maier, Dan Jensen, Greg Johnson, Bryon Gilles, brave men and women who comprise our corps of Jordan Hessler, Aaron Langer, Derrick Peterson, linemen; Darren O’Flanagan—and retired linemen. Therefore be it resolved that NRECA recognize the Second Monday of April of each year as National Lineman Appreciation Day and make available to electric cooperatives, materials and support to

PPCS invites members to take a moment to thank a lineman for the work they do. Use #ThankaLineman to show your support for the men and women who light our lives.

New Technology and Good Habits Improve Reliability It’s a simple belief: when you flip the switch at home, the lights should come on. And at PPCS we work hard to ensure you have electricity every day, all day. It is what we do; it is why we are here. Even as we continuously upgrade the distribution system to improve reliability, we face repeated threats. Maybe a winter ice storm or summer wind storm. Maybe a neighbor forgets to call before he digs up his backyard. Maybe someone slides off the road and hits a utility pole.

2

Jay Nesseth, Member Services Manager As a small business owner, you understand the importance of the bottom line. PPCS and Focus on Energy want to help you protect and improve that bottom line through the Small Business Program.

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

How much Do you rely on How much Do electricity? you rely on electricity? ACTIVITY

EQUIPMENT I USED

WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

ACTIVITY EQUIPMENT I USEDlives. WeWAS ELECTRICITY USED? Electricity plays a major part in our everyday depend on it for nearly everything we do! How much do you rely on electricity? List yourafavorite determine if electricity was used. read book activities below and lightbulb yes

played video games ACTIVITY

TV/gaming system EQUIPMENT I USED

yes WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

We also have great employees with tremendous expertise in maintaining and repairing our infrastructure. As your locally owned and operated electric cooperative, we truly care about the people we work for--our families, friends and neighbors. We evaluate and install cost effective system upgrades and implement preventive maintenance programs across the four-county area we serve. This includes our aggressive right-of-way maintenance program to keep trees away from power lines to prevent outages.

Not too long ago, our only option was linemen driving throughout large areas to investigate a problem. Since then, we have invested in smart technologies such as our Advanced Metering Infrastructure (AMI) system that allows us to monitor our system remotely and pinpoint problems more quickly and accurately as they occur. The AMI two-way communication system has also brought |

Boost Your Business’s Bottom Line by Saving Energy

These advances help us keep the power flowing to your homes and businesses.

Remember the May snow storm of 2013, or even as far back as the July 1980 storm? Both left some members stranded without power for several days. Then, as always, we worked determinedly to get the lights back on. All the while, preparing for what may come. And with 1,317 miles of electric distribution lines, we have a lot of ground to cover. So when the lights go out, we move as quickly as possible.

A P R I L 2 0 1 5 H I GHLI GHTER

other operational and member service benefits, including reduced meter reads, increased meter reading accuracy, easier energy theft detection, ability to remotely reconnect/disconnect meters, early detection of meter failures, billing accuracy improvements, flexible billing cycles, and creating member energy profiles for energy efficiency and load management programs.

Jay Talking…

How much Do you rely on electricity?

PI E RCE P EP IN COOP ERAT IVE SER VICES

The Small Business Program is available to member businesses of PPCS with an average monthly electric demand that is less than 100 kW. We encourage you to take advantage of what could be a zero cost opportunity for you to reduce your operating costs.

The Focus on Energy Small Business Program helps reduce energy costs by offering a FREE energy assessment and recommendations for cost effective, energy saving improvements. You also have the option to choose from one of three energy saving packages, beginning with no cost and moving to co-pay packages starting at just $75 for deeper energy savings. Although not a complete list, energy saving measures include: • CFLs (non-dimmable) • LED lamps

For more information about the Focus on Energy Small Business Program, or to schedule a free assessment, call 877-229-6678 or visit www. focusonenergy.com.

PPCS also compliments Focus on Energy’s Small Business Program with additional incentives through our Energy Sense Program, so you can lower your cost for making energy saving improvements even more. To learn how, visit www.piercepepin.com or contact me at 715-273-4355 (Ext. 114) or [email protected].

Capital Credit Allocation Notices

system that delivers electricity to your homes and businesses. At the end of each calendar year, expenses are subtracted from income. Any excess income is called a margin. These margins are allocated to members as capital credits. Capital credits represent a member’s equity, or investment, in the cooperative.

Members who received electric service or purchased goods or other services from PPCS in 2014 will receive a Notice of Capital Credit Allocation letter by mail early to mid-April. The notice verifies member equity (investment) earned based on the cooperative’s 2014 operations.

Capital credits are the most significant source of equity for most cooperatives. They are reserved to keep the cooperative financially sound and to provide safe, reliable electric service by investing in substations, power lines, poles and other critical infrastructure.

Electric operating income exceeded expenses during the year by $1,531,381, so the excess income (margins) is allocated back to members based on the amount of each member’s purchases with the cooperative during 2014. The notice:

Capital credits allocated in a given year are usually refunded, on average, 25 years after they are allocated. If refunded, they are typically paid out in October each year.

• Is NOT a bill. • Is NOT payable to you now. • Does NOT represent cash that you can apply to a bill.

Allocated capital credits are reserved for members even if they move away and no longer receive electric service from PPCS. So it is important to make sure PPCS always has your current address. For more information about capital credits, visit www.piercepepin.com, click About Us > Member Benefits.

Understanding capital credits PPCS, as a member-owned, not-for-profit electric utility, sets rates to generate enough money to pay for the cost of operating, constructing and maintaining the distribution

This combination of expertise, technology and our local focus will help us continue to meet new challenges and achieve our goal to exceed your expectations in providing safe, reliable power. |

• LED interior and exterior lights • LED exit signs • High bay fixtures (LED and T8/T5) • Walk in cooler strip curtains • Cold drink vending machine controllers • Faucet aerators • Occupancy sensors

A PR IL 2 0 1 5 H IGH L IGH TE R

|

3

|

PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

A PR IL 2015 HI G HL I G HT E R

|

4

|

P I E R CE P E P I N CO O P E R AT I V E S E R V I CE S

PPCS to Celebrate National Lineman Appreciation Day America’s electric cooperatives have designated the second Monday of April as National Lineman Appreciation Day.

recognize the contributions of these valuable men and women to America’s Electric Cooperatives.”

On April 13, 2015, PPCS will honor the hard working men who often work day and night in challenging conditions to keep the lights on for our members.

We proudly recognize all electric linemen for the services they perform around the clock in dangerous conditions to keep power flowing and protect the public’s safety.

The full text of the resolution, PPCS Linemen (back) Aaron Langer, Dan Jensen, Mike Maier, Bryon Gilles; which the National Rural “Electric linemen do not (front) Derrick Peterson, Sheldon Johnson, Jordan Hessler. Not pictured: Electric Cooperative often receive the recognition Greg Johnson, Darren O’Flanagan Association (NRECA) Board they deserve,” said Larry adopted unanimously, follows: Dokkestul, president and CEO. “They work all hours of the day, often in “Whereas linemen leave their families and put hazardous conditions away from their families, their lives on the line every day to keep the power going above and beyond to restore power to their on; Whereas linemen work 365 days a year under communities. Our linemen, as well as linemen from dangerous conditions to build, maintain and repair across the nation, truly deserve this special day of the electric infrastructure; Whereas linemen are the recognition.” first responders of the electric cooperative family, getting power back on and making things safe for Pierce Pepin plans to host a breakfast to honor all after storms and accidents; and Whereas there present-day linemen—Sheldon Johnson, Mike would be no electric cooperatives without the Maier, Dan Jensen, Greg Johnson, Bryon Gilles, brave men and women who comprise our corps of Jordan Hessler, Aaron Langer, Derrick Peterson, linemen; Darren O’Flanagan—and retired linemen. Therefore be it resolved that NRECA recognize the Second Monday of April of each year as National Lineman Appreciation Day and make available to electric cooperatives, materials and support to

PPCS invites members to take a moment to thank a lineman for the work they do. Use #ThankaLineman to show your support for the men and women who light our lives.

New Technology and Good Habits Improve Reliability It’s a simple belief: when you flip the switch at home, the lights should come on. And at PPCS we work hard to ensure you have electricity every day, all day. It is what we do; it is why we are here. Even as we continuously upgrade the distribution system to improve reliability, we face repeated threats. Maybe a winter ice storm or summer wind storm. Maybe a neighbor forgets to call before he digs up his backyard. Maybe someone slides off the road and hits a utility pole.

2

Jay Nesseth, Member Services Manager As a small business owner, you understand the importance of the bottom line. PPCS and Focus on Energy want to help you protect and improve that bottom line through the Small Business Program.

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

How much Do you rely on How much Do electricity? you rely on electricity? ACTIVITY

EQUIPMENT I USED

WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

Electricity plays a major part in our everyday lives. We depend on it for nearly everything we do! How much do you rely on electricity? List your favorite activities below and determine if electricity was used.

ACTIVITY EQUIPMENT I USEDlives. WeWAS ELECTRICITY USED? Electricity plays a major part in our everyday depend on it for nearly everything we do! How much do you rely on electricity? List yourafavorite determine if electricity was used. read book activities below and lightbulb yes

played video games ACTIVITY

TV/gaming system EQUIPMENT I USED

yes WAS ELECTRICITY USED?

read a book

lightbulb

yes

played video games

TV/gaming system

yes

We also have great employees with tremendous expertise in maintaining and repairing our infrastructure. As your locally owned and operated electric cooperative, we truly care about the people we work for--our families, friends and neighbors. We evaluate and install cost effective system upgrades and implement preventive maintenance programs across the four-county area we serve. This includes our aggressive right-of-way maintenance program to keep trees away from power lines to prevent outages.

Not too long ago, our only option was linemen driving throughout large areas to investigate a problem. Since then, we have invested in smart technologies such as our Advanced Metering Infrastructure (AMI) system that allows us to monitor our system remotely and pinpoint problems more quickly and accurately as they occur. The AMI two-way communication system has also brought |

Boost Your Business’s Bottom Line by Saving Energy

These advances help us keep the power flowing to your homes and businesses.

Remember the May snow storm of 2013, or even as far back as the July 1980 storm? Both left some members stranded without power for several days. Then, as always, we worked determinedly to get the lights back on. All the while, preparing for what may come. And with 1,317 miles of electric distribution lines, we have a lot of ground to cover. So when the lights go out, we move as quickly as possible.

A P R I L 2 0 1 5 H I GHLI GHTER

other operational and member service benefits, including reduced meter reads, increased meter reading accuracy, easier energy theft detection, ability to remotely reconnect/disconnect meters, early detection of meter failures, billing accuracy improvements, flexible billing cycles, and creating member energy profiles for energy efficiency and load management programs.

Jay Talking…

How much Do you rely on electricity?

PI E RCE P EP IN COOP ERAT IVE SER VICES

The Small Business Program is available to member businesses of PPCS with an average monthly electric demand that is less than 100 kW. We encourage you to take advantage of what could be a zero cost opportunity for you to reduce your operating costs.

The Focus on Energy Small Business Program helps reduce energy costs by offering a FREE energy assessment and recommendations for cost effective, energy saving improvements. You also have the option to choose from one of three energy saving packages, beginning with no cost and moving to co-pay packages starting at just $75 for deeper energy savings. Although not a complete list, energy saving measures include: • CFLs (non-dimmable) • LED lamps

For more information about the Focus on Energy Small Business Program, or to schedule a free assessment, call 877-229-6678 or visit www. focusonenergy.com.

PPCS also compliments Focus on Energy’s Small Business Program with additional incentives through our Energy Sense Program, so you can lower your cost for making energy saving improvements even more. To learn how, visit www.piercepepin.com or contact me at 715-273-4355 (Ext. 114) or [email protected].

Capital Credit Allocation Notices

system that delivers electricity to your homes and businesses. At the end of each calendar year, expenses are subtracted from income. Any excess income is called a margin. These margins are allocated to members as capital credits. Capital credits represent a member’s equity, or investment, in the cooperative.

Members who received electric service or purchased goods or other services from PPCS in 2014 will receive a Notice of Capital Credit Allocation letter by mail early to mid-April. The notice verifies member equity (investment) earned based on the cooperative’s 2014 operations.

Capital credits are the most significant source of equity for most cooperatives. They are reserved to keep the cooperative financially sound and to provide safe, reliable electric service by investing in substations, power lines, poles and other critical infrastructure.

Electric operating income exceeded expenses during the year by $1,531,381, so the excess income (margins) is allocated back to members based on the amount of each member’s purchases with the cooperative during 2014. The notice:

Capital credits allocated in a given year are usually refunded, on average, 25 years after they are allocated. If refunded, they are typically paid out in October each year.

• Is NOT a bill. • Is NOT payable to you now. • Does NOT represent cash that you can apply to a bill.

Allocated capital credits are reserved for members even if they move away and no longer receive electric service from PPCS. So it is important to make sure PPCS always has your current address. For more information about capital credits, visit www.piercepepin.com, click About Us > Member Benefits.

Understanding capital credits PPCS, as a member-owned, not-for-profit electric utility, sets rates to generate enough money to pay for the cost of operating, constructing and maintaining the distribution

This combination of expertise, technology and our local focus will help us continue to meet new challenges and achieve our goal to exceed your expectations in providing safe, reliable power. |

• LED interior and exterior lights • LED exit signs • High bay fixtures (LED and T8/T5) • Walk in cooler strip curtains • Cold drink vending machine controllers • Faucet aerators • Occupancy sensors

A PR IL 2 0 1 5 H IGH L IGH TE R

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PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

A PR IL 2015 HI G HL I G HT E R

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P I E R CE P E P I N CO O P E R AT I V E S E R V I CE S

Watt’s Up? Q. Why did I receive a disconnect notice? This is the first time my payment has been late, so this seems extremely harsh.

It is not our intent to offend anyone with this notice. Instead, the notice is meant to alert the account holder that there is a past due balance and payment is required to avoid possible disconnection for nonpayment. On average, about 500 disconnect notices are mailed each month to past due accounts. The majority of these notices are sent to account holders who routinely do not pay their bills by the due date. Unfortunately, there is no automated method for pulling notices to those who have missed a payment for the first time. With notices mailed monthly to about 7.5 percent of the membership, we do not have the staff necessary to go through each letter and manually verify each account’s payment history.

Energy Efficiency Tip of the Month

Summer is right around the corner! Have you changed your home’s air filter? Filters get loaded with more and more particles as they do their job. This actually has the effect of making them more efficient, but it also increases resistance and reduces airflow. Remember to check filters once a month. Source: EnergySavers.gov

If you miss this notice for some reason, it is unfortunate, but we can still disconnect for nonpayment. However, since we do review each account prior to disconnection, if you normally pay your bill on time we would contact you verbally on the day your account is scheduled for disconnection.

Propane Prebuy Contract Options Coming in May

Spring has barely arrived and we’re already talking about propane supply for the next heating season. Yet, we feel it is important to help you prepare sooner than later to give you plenty of time to take advantage of our propane prebuy contract. Available in May, our prebuy contract will again offer one time or multi-month payment options, all with a fixed price guarantee. We encourage all Pierce Pepin Propane customers to evaluate your propane use and seriously consider locking in all or a portion of the propane you need for the 20152016 heating season.

How you can benefit:

• Contract price is fixed with no fluctuation up or down. • Multi-month payment options allow you to spread payments over several months. • Switch from metered to eliminate the monthly facility charge and price fluctuations. • Switch from will call service to eliminate the risk of run out, the extra 10 cents per gallon charge and other associated fees.

Again, the notice is not intended to offend, but we must provide proper notice prior to disconnection of electric service for nonpayment. There are ways, however, to reduce your risk of a past due balance and possible disconnection. Consider signing up for automatic withdrawal of your monthly payment from your checking or savings account. You can also log into SmartHub from our website to sign up for email or text message reminders that your bill has been generated, you missed a payment by the due date and more. For details, visit www.piercepepin.com or contact us today!

Youth Leadership Congress and Scholarship Opportunities

Attention Upcoming Juniors and Seniors! Application Deadline/ How to Register

If you’re thinking about post-high school education, you won’t want to miss this opportunity to earn scholarships to help pay for tuition.

Register for the YLC by June 1, 2015. Go to www.piercepepin.com, click on Community>Youth Leadership Congress & Scholarship Program and follow the online instructions.

To qualify for scholarships, you must attend the Youth Leadership Congress (YLC) this July 1517 on the UW-River Falls campus. Following the YLC, you must participate in the essay contest. All expenses are paid by PPCS!

Questions?

PPCS will award three $1,000 scholarships to seniors who will graduate in the spring of 2016 and are members’ children.

Contact Lori Larson at 715-273-2406 or llarson@ piercpepin.com. Information is also available through your high school guidance office.

What we can expect:

• Contracted gallons must be used during the contract period—September 2015 through March 2016. • Prebuy gallons unused after March 31, 2016, will remain a credit on your account. • Better able to coordinate supply with demand obligations.

OFFICE CLOSED

Friday, April 3 Power outages can be reported through SmartHub or by calling 800-927-5705.

All participants are eligible to compete for scholarships awarded by the Wisconsin Electric Cooperative Association (WECA)— $1,000, $500 or $250. WECA is the statewide association for Wisconsin’s electric cooperatives and a co-sponsor of the YLC.

Power Outages & Emergencies Call: 800-927-5705 Office Hours Mon-Fri, 8 a.m.-4:30 p.m. Office/Showroom W7725 US Hwy 10 PO Box 420 Ellsworth, WI 54011 715-273-4355 800-924-2133

Before You Dig. . . Call: 800-242-8511 or Email-A-Locate: www.diggershotline.com

2014 Attendees A P R I L 2 0 1 5 H I GHLI GHTER

Be sure to watch your mail, our newsletters, Facebook and Twitter for upcoming contract announcements and options. Please contact us to discuss any questions or concerns you have about our service or your propane needs.

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PI E RCE P EP IN COOP ERAT IVE SER VICES

A PR IL 2 0 1 5 H IGH L IGH TE R

[email protected] piercepepin.com

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Board of Directors District 1................... Gerald Drier Vice Chairman District 2.................. Edward Hass District 3.................. Brian Berg District 4................. Daniel Fischer District 5.................. Lonnie Feuerhelm Secretary/Treasurer District 6.................. Ginny Huber District 7.................. Roger Wiff Chairman District 8.................. Jeffrey McCardle District 9.................. Richard Ruemmele Management Larry Dokkestul President & CEO

PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

Highlighter Pierce Pepin Cooperative Services

In This Issue...

PPCS to Celebrate National Lineman Appreciation Day Pg 2 New Technology and Good Habits Improve Reliability Pg 2 Energy Exporeres How Much Do You Rely on Electricity? Pg 3 Jay Talking.. Boost Your Business’s Bottom Line Pg 4 Capital Credit Allocation Notices Pg 4 Watt’s Up? I received a disconnect notice Pg 5

Your Directors— Looking Out for You

The 78th Annual Meeting of Pierce Pepin Cooperative Services was held Saturday, March 28. Hopefully you attended and participated in the election of directors, had a chance to visit with other members, cooperative employees and directors, and found the meeting to be informational. If you did not attend, I hope you took a few minutes to review the Annual Report that was mailed to you prior to the meeting.

APRIL 2015

Larry Dokkestul President and CEO

From your review of the financial statements in the report, you should be confident in your member owned cooperative’s financial performance. While the mission of the cooperative is to provide you with reliable energy services, maintaining a financially strong cooperative is imperative. Reporting on these activities and the financial performance of your cooperative is just one aspect of accountability placed upon your elected board of directors. With this annual meeting and election comes some new directors on the board. Directors are elected by the membership of the cooperative to best represent the interests of the members in their district and the affairs of the cooperative at large. It is a big job, it takes time and we thank them for their dedication. It requires much more than attending a monthly board meeting. At the April board meeting, your directors will be reviewing wholesale power costs and our retail rates. All indications at this time show no need for a change in rates. Dairyland Power Cooperative, our power provider, has reported that there will be no wholesale rate increase for the rate year beginning May 1, 2015. While our fiscal year runs with the calendar year, our rate year runs May through April. This is great news as purchased power represents our largest cost. Additionally, because we continue our focus on controlling operating expenses here at the co-op, there is no need to change rates at the distribution level either.

Youth Leadership Congress and Scholarship Opportunities Pg 5

In May and June, the board will be reviewing many long range plans including our ten-year financial forecast and our construction and maintenance plans, to name a few. These plans focus heavily on a five-year time frame and include distribution plant and general plant investments, including vehicles, technology and many other aspects. While the board’s work involves many recurring monthly obligations that require oversight and accountability, a more substantial part of a director’s time is spent focusing on the future.

Energy Efficiency Tip of the Month Pg 6

Long range planning and forecasting can be challenging. A “crystal ball” to the future would be helpful, but absent that, development of risk management strategies is essential.

Happy Easter! Office Closed

The next few years will present significant challenges and opportunities. The Administration’s Clean Power Plan and its impact on generation resources, specifically coal, will challenge Wisconsin utilities and others across our nation. And Department of Energy rules on water heaters and other efficiency measures will need to be addressed.

Pg 6

Propane Prebuy Contract Options Coming in May Pg 6

Follow PPCS on

The directors are attentive to the members’ needs here at home, but their voices are also needed in Madison and Washington, D.C. We will make every effort to keep you informed of cooperative activities, the work of the board and the challenges and opportunities that have an impact on you as members. Watch for more information on these issues and others in my May column of the Highlighter, and remember to check our website, Facebook and Twitter for the most up-to-date information.

Subscribe to our e-News: www.piercepepin.com

Watt’s Up? Q. Why did I receive a disconnect notice? This is the first time my payment has been late, so this seems extremely harsh.

It is not our intent to offend anyone with this notice. Instead, the notice is meant to alert the account holder that there is a past due balance and payment is required to avoid possible disconnection for nonpayment. On average, about 500 disconnect notices are mailed each month to past due accounts. The majority of these notices are sent to account holders who routinely do not pay their bills by the due date. Unfortunately, there is no automated method for pulling notices to those who have missed a payment for the first time. With notices mailed monthly to about 7.5 percent of the membership, we do not have the staff necessary to go through each letter and manually verify each account’s payment history.

Energy Efficiency Tip of the Month

Summer is right around the corner! Have you changed your home’s air filter? Filters get loaded with more and more particles as they do their job. This actually has the effect of making them more efficient, but it also increases resistance and reduces airflow. Remember to check filters once a month. Source: EnergySavers.gov

If you miss this notice for some reason, it is unfortunate, but we can still disconnect for nonpayment. However, since we do review each account prior to disconnection, if you normally pay your bill on time we would contact you verbally on the day your account is scheduled for disconnection.

Propane Prebuy Contract Options Coming in May

Spring has barely arrived and we’re already talking about propane supply for the next heating season. Yet, we feel it is important to help you prepare sooner than later to give you plenty of time to take advantage of our propane prebuy contract. Available in May, our prebuy contract will again offer one time or multi-month payment options, all with a fixed price guarantee. We encourage all Pierce Pepin Propane customers to evaluate your propane use and seriously consider locking in all or a portion of the propane you need for the 20152016 heating season.

How you can benefit:

• Contract price is fixed with no fluctuation up or down. • Multi-month payment options allow you to spread payments over several months. • Switch from metered to eliminate the monthly facility charge and price fluctuations. • Switch from will call service to eliminate the risk of run out, the extra 10 cents per gallon charge and other associated fees.

Again, the notice is not intended to offend, but we must provide proper notice prior to disconnection of electric service for nonpayment. There are ways, however, to reduce your risk of a past due balance and possible disconnection. Consider signing up for automatic withdrawal of your monthly payment from your checking or savings account. You can also log into SmartHub from our website to sign up for email or text message reminders that your bill has been generated, you missed a payment by the due date and more. For details, visit www.piercepepin.com or contact us today!

Youth Leadership Congress and Scholarship Opportunities

Attention Upcoming Juniors and Seniors! Application Deadline/ How to Register

If you’re thinking about post-high school education, you won’t want to miss this opportunity to earn scholarships to help pay for tuition.

Register for the YLC by June 1, 2015. Go to www.piercepepin.com, click on Community>Youth Leadership Congress & Scholarship Program and follow the online instructions.

To qualify for scholarships, you must attend the Youth Leadership Congress (YLC) this July 1517 on the UW-River Falls campus. Following the YLC, you must participate in the essay contest. All expenses are paid by PPCS!

Questions?

PPCS will award three $1,000 scholarships to seniors who will graduate in the spring of 2016 and are members’ children.

Contact Lori Larson at 715-273-2406 or llarson@ piercpepin.com. Information is also available through your high school guidance office.

What we can expect:

• Contracted gallons must be used during the contract period—September 2015 through March 2016. • Prebuy gallons unused after March 31, 2016, will remain a credit on your account. • Better able to coordinate supply with demand obligations.

OFFICE CLOSED

Friday, April 3 Power outages can be reported through SmartHub or by calling 800-927-5705.

All participants are eligible to compete for scholarships awarded by the Wisconsin Electric Cooperative Association (WECA)— $1,000, $500 or $250. WECA is the statewide association for Wisconsin’s electric cooperatives and a co-sponsor of the YLC.

Power Outages & Emergencies Call: 800-927-5705 Office Hours Mon-Fri, 8 a.m.-4:30 p.m. Office/Showroom W7725 US Hwy 10 PO Box 420 Ellsworth, WI 54011 715-273-4355 800-924-2133

Before You Dig. . . Call: 800-242-8511 or Email-A-Locate: www.diggershotline.com

2014 Attendees A P R I L 2 0 1 5 H I GHLI GHTER

Be sure to watch your mail, our newsletters, Facebook and Twitter for upcoming contract announcements and options. Please contact us to discuss any questions or concerns you have about our service or your propane needs.

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5

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PI E RCE P EP IN COOP ERAT IVE SER VICES

A PR IL 2 0 1 5 H IGH L IGH TE R

[email protected] piercepepin.com

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6

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Board of Directors District 1................... Gerald Drier Vice Chairman District 2.................. Edward Hass District 3.................. Brian Berg District 4................. Daniel Fischer District 5.................. Lonnie Feuerhelm Secretary/Treasurer District 6.................. Ginny Huber District 7.................. Roger Wiff Chairman District 8.................. Jeffrey McCardle District 9.................. Richard Ruemmele Management Larry Dokkestul President & CEO

PIE R C E PE PIN C O O PE R ATIV E SE R V IC E S

Highlighter Pierce Pepin Cooperative Services

In This Issue...

PPCS to Celebrate National Lineman Appreciation Day Pg 2 New Technology and Good Habits Improve Reliability Pg 2 Energy Exporeres How Much Do You Rely on Electricity? Pg 3 Jay Talking.. Boost Your Business’s Bottom Line Pg 4 Capital Credit Allocation Notices Pg 4 Watt’s Up? I received a disconnect notice Pg 5

Your Directors— Looking Out for You

The 78th Annual Meeting of Pierce Pepin Cooperative Services was held Saturday, March 28. Hopefully you attended and participated in the election of directors, had a chance to visit with other members, cooperative employees and directors, and found the meeting to be informational. If you did not attend, I hope you took a few minutes to review the Annual Report that was mailed to you prior to the meeting.

APRIL 2015

Larry Dokkestul President and CEO

From your review of the financial statements in the report, you should be confident in your member owned cooperative’s financial performance. While the mission of the cooperative is to provide you with reliable energy services, maintaining a financially strong cooperative is imperative. Reporting on these activities and the financial performance of your cooperative is just one aspect of accountability placed upon your elected board of directors. With this annual meeting and election comes some new directors on the board. Directors are elected by the membership of the cooperative to best represent the interests of the members in their district and the affairs of the cooperative at large. It is a big job, it takes time and we thank them for their dedication. It requires much more than attending a monthly board meeting. At the April board meeting, your directors will be reviewing wholesale power costs and our retail rates. All indications at this time show no need for a change in rates. Dairyland Power Cooperative, our power provider, has reported that there will be no wholesale rate increase for the rate year beginning May 1, 2015. While our fiscal year runs with the calendar year, our rate year runs May through April. This is great news as purchased power represents our largest cost. Additionally, because we continue our focus on controlling operating expenses here at the co-op, there is no need to change rates at the distribution level either.

Youth Leadership Congress and Scholarship Opportunities Pg 5

In May and June, the board will be reviewing many long range plans including our ten-year financial forecast and our construction and maintenance plans, to name a few. These plans focus heavily on a five-year time frame and include distribution plant and general plant investments, including vehicles, technology and many other aspects. While the board’s work involves many recurring monthly obligations that require oversight and accountability, a more substantial part of a director’s time is spent focusing on the future.

Energy Efficiency Tip of the Month Pg 6

Long range planning and forecasting can be challenging. A “crystal ball” to the future would be helpful, but absent that, development of risk management strategies is essential.

Happy Easter! Office Closed

The next few years will present significant challenges and opportunities. The Administration’s Clean Power Plan and its impact on generation resources, specifically coal, will challenge Wisconsin utilities and others across our nation. And Department of Energy rules on water heaters and other efficiency measures will need to be addressed.

Pg 6

Propane Prebuy Contract Options Coming in May Pg 6

Follow PPCS on

The directors are attentive to the members’ needs here at home, but their voices are also needed in Madison and Washington, D.C. We will make every effort to keep you informed of cooperative activities, the work of the board and the challenges and opportunities that have an impact on you as members. Watch for more information on these issues and others in my May column of the Highlighter, and remember to check our website, Facebook and Twitter for the most up-to-date information.

Subscribe to our e-News: www.piercepepin.com