B A S I N T O D AY BASIN EL EC T RIC P OW ER COOPER AT I V E
JULY | AUGUST 2016
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M AG A ZINE
WIND IN THE WORKS
The Leland Olds Station, located near Stanton, ND, celebrated 50 years of reliable and safe generation with a barbecue June 15 in Center, ND. Leland Olds Station sent its first megawatts to the grid Jan. 9, 1966. Employees, retirees, friends and family visited, viewed historical pieces such as the shovels used during the plant’s groundbreaking in 1963, and watched video featuring some of the plant’s first group of employees. http://bit.ly/LOScelebrates50
CONTENTS V O L U M E 19
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NUMBER 4
ON THE COVER Wind is on the rise for Basin Electric. The cooperative’s projected generation statistics for end of year 2016 show continued increase in renewable generation. Several wind projects are planned to be built and operational this year, from which Basin Electric will buy the power. Read more on pg. 6-7. IN EVERY ISSUE 2 CEO and general manager column: Paul Sukut 4 In brief 14 Member focus: Lower Yellowstone member assisted in making of ‘The Revenant’ 16 Feature series: A day in the life of ... Director Mike McQuistion 18 Employee highlights FEATURE STORIES 6 Wind on the rise 8 Progress being made on Headquarters expansion project 12 Employees find opportunities for improvement CONTRIBUTORS Guest editor:
Tracie Bettenhausen
Supervising editor:
Andrea Blowers (ablowers@bepc.com)
Publications manager:
Mary Miller
Graphic designer:
Tracey Krusi
Photographers:
Chelsy Ciavarella, Jade Neumann & Greg DeSaye
Writers:
Andrea Blowers, Tammy Langerud, Chris Gessele, Dain Sullivan & Joan Dietz
Use your smartphone barcode scanner to view stories online. JULY – AUGUST 2016 | 1
CEO A ND G E NE R A L M A N AG E R C OL UMN
PAUL SUKUT THE COLUMN I DIDN’T WANT TO WRITE It’s midsummer in North Dakota. Gardens are growing tall. I’ve taken in a Twins game, fired up the grill more than a few times and eaten my share of corn on the cob. And, while the rest of the Midwest is enjoying a somewhat mild summer following a mild winter, the Basin Electric membership is grappling with the reality of an intra-year rate increase. In June, the Basin Electric board of directors took the bold and difficult action to authorize a 7-mill rate increase to our Class A members. While summer has already brought hail and tornadoes to some of our member systems, you could say Basin Electric also encountered the perfect storm. This storm, though, brought no precipitation or wind. It brought a sudden and rapid drop in commodity prices, greatly impacting our subsidiary Dakota Gasification Company and reducing load in the oil-intensive Williston Basin region. It brought mild temperatures, which led to lower-than-average member sales and diminished surplus sales. It brought high wind capacity levels, which, coupled with low natural gas prices, also drove market prices down for surplus sales. It brought a whole lot more, but you can read more about this on pg. 4. In the meantime, you could say we’ve battened down the hatches. We’re tightening our belts, getting creative and being thrifty. So, what are we currently doing to manage costs? Keeping rate increases manageable begins with the most efficient use of what co-ops have. That includes looking at facility operations and
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administrative functions. We are in full austerity mode, which includes a hiring freeze. Nearly $100 million in expenses were taken out of our consolidated budgets for 2016. These reductions were accomplished through a combination of direct budget cuts and delay of projects, which shifted spending into future periods. Basin Electric has a team that reviews current and proposed regulatory activities that could in any way impact the cooperative. The team is also evaluating potential technology innovations which could keep coal as a sustainable and viable energy source into the future. Over the last decade, Basin Electric and our membership mitigated risk by diversifying our energy portfolio to ensure the most reliable and cost effective power supply possible. We’ve added more than 1,500 megawatts of wind generation capacity and installed more than 1,200 megawatts of natural gas resources. We continue to study other technology options to further diversify our portfolio. Basin Electric’s Marketing and Asset Management department has developed comprehensive market mitigation strategies to help offset dramatic swings in commodity prices. From a policy perspective, Basin Electric and its membership is fully engaged to ensure co-op members’ voices are heard in the courts, on Capitol Hill and within the Environmental Protection Agency. We are litigating the Clean Power Plan. Oral arguments on the rule’s legality were originally scheduled for June 2, 2016, with a three-judge panel from the District of Columbia (D.C.) Court of Appeals. On May 16, 2016, Basin Electric received word that the
hearing would instead be heard “en banc” (French for “in bench”) on Sept. 27, 2016, before nine judges of the 11-judge D.C. Court of Appeals. I must commend the board and membership for standing by us through this storm. This is difficult, I know. I also want to thank Basin Electric’s employees for stepping up and helping to manage costs. We’re operating leaner, which can be challenging, but employees have been so supportive. I must admit, this is one column I didn’t want to write. I’d much rather be sharing news of a bill credit. We’ve been there before. And, we’ll be there again. Basin Electric has always weathered the storm – literally and figuratively. We are the story of 137 member co-ops who believe we’re stronger together than apart. We’ve accomplished great successes. We’ve faced daunting challenges. We’ve fought with regulators. And, we’ve fought within our family. But we’ve always done it together. We’ll get through this – with the membership’s help.
Paul Sukut, CEO and general manager
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IN B RIE F
expenses were taken out of consolidated budgets for 2016. Members can find materials to help communicate why the rate increase is necessary. https://www.basinmembers.com
Basin Electric announces Class A rate increase Basin Electric’s board of directors has authorized an intra-year Class A rate increase of approximately 7 mills, effective Aug. 1. In short, the general drivers impacting Basin Electric’s rates are: • lower-than-anticipated member sales; • reduced revenue from non-member sales (surplus sales); • added costs to operate generation facilities; • generation and transmission investments; and • reduced revenue support from non-electric or subsidiary businesses (Dakota Gasification Company). Revenue from Dakota Gas has typically contributed financial support to Basin Electric. A recent study found that presently, Dakota Gas brings an annual benefit of $78 million per year to Basin Electric and its membership. This includes the fuel supply, power supply, shared facilities, allocations and other miscellaneous benefits. To the membership, that equates to more than a 3 mill ongoing benefit. With depressed commodity prices, however, Dakota Gas is unable to provide the same level of support in 2016. Dakota Gas responded to the decline in revenue by reducing expenses by approximately $57 million. These reductions were accomplished through a combination of direct budget cuts and delays of projects, which shifted spending into future periods. In the meantime, Basin Electric is keeping a close eye on costs. Keeping rate increases manageable begins with the most efficient use of what co-ops have. That includes looking at facility operations and administrative functions. Nearly $100 million in
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Storm damages urea project construction site A large building was destroyed by strong winds at the urea project construction site July 3 near Dakota Gasification Company’s Great Plains Synfuels Plant. T he steel f rame of the approximately 150,000-square-foot urea storage building was about 80 percent complete and siding was about 10 percent complete before it was destroyed, according to Jim Greer, Basin Electric senior project manager. Sustained wind speeds at the plant were measured at nearly 80 miles per hour, and rain during the storm reduced visibility to less than a foot. “We’re focused first and foremost on safety, and to assess the site without putting the team in harm’s way,” Greer said.
Initial inspection shows the project’s main processing buildings are in good condition. Construction resumed July 6. It’s not yet determined if the storm damage will affect the project’s mid-2017 targeted completion date, Greer said. No employees or contractors were injured in the storm. http://bit.ly/UreaStormDamage
Sukut elected chair of Lignite Energy Council
Basin Electric CEO and General Manager Paul Sukut (right) receives the gavel from Mac McLennan, president and CEO of Minnkota Power Cooperative.
Basin Electric CEO and General Manager Paul Sukut was elected chairman of the Lignite Energy Council (LEC) board of directors during the LEC’s annual meeting April 20-21 in Bismarck, ND. The LEC is a regional trade organization dedicated to maintaining a viable lignite coal industry and enhancing development of the region’s lignite coal resources for use in generating electricity, synthetic natural gas and valuable byproducts. LEC members include Basin Electric and other electric utilities, as well as mining companies and businesses that provide goods and services to the lignite industry. Sukut will serve as chairman for the next two years. Wade Boeshans, president and general manager of BNI Energy, was elected chairman-elect.
Appeals court upholds ruling against Next Generation Energy Act The Eighth Circuit Court of Appeals upheld the federal district court’s decision to overrule parts of Minnesota’s Next Generation Energy Act (NGEA) June 15. The state of Minnesota had previously appealed Judge Susan Richard Nelson’s April 18, 2014, decision to the Eighth Circuit Court of Appeals to shut down restrictions imposed by the NGEA, which she said violated the Commerce Clause of the U.S. Constitution.
Basin Electric, the state of North Dakota and other plaintiffs presented oral arguments opposing out-of-state regulation represented in the NGEA before a three-judge panel Oct. 21, 2015, in St. Paul, MN. Prior to the plaintiffs initiating a lawsuit with Minnesota in November 2011, Basin Electric had decided to transfer power from its Dry Fork Station, located near Gillette, WY, to North Dakota through the Eastern Interconnection to serve increasing loads in North Dakota. While highly unlikely, the transfer could theoretically result in coal-generated power potentially crossing into Minnesota, said Casey Jacobson, Basin Electric senior staff counsel. http://bit.ly/NextGenAct
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JULY – AUGUST 2016 | 5
WIND ON THE RISE
BASIN ELECTRIC PURCHASES RENEWABLES TO MEET MEMBERS’ NEEDS By Chris Gessele
John F. Kennedy said, “Change is the law of life. And those who look only to the past or present are certain to miss the future.” Nowhere do Kennedy’s words resonate more than with electric cooperatives as they navigate a rapidly-evolving energy landscape. In 2005, Basin Electric’s membership had their eyes on the horizon when they passed a resolution to develop renewable energy resources. In 2015, Basin Electric’s renewable and green generation (wind, biogas and recovered energy generation) equaled more than 12 percent of member and retail sales. Major growth within the cooperative’s generation portfolio came courtesy of wind energy generation, with gas-based generation backup. Capacity factor is a term used to describe how often the wind is blowing strong enough for wind turbines to generate electricity. According to the U.S. Department of Energy, the national capacity factor reached a high of 34 percent in 2008. For April 2016, Basin Electric recorded an average capacity factor of about 50 percent – likely an all-time high for the cooperative in any month – across all wind projects in North Dakota and South Dakota, and the cooperative’s power purchase agreements across the upper Great Plains.
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By the 2016-2017 winter season, Basin Electric expects to greatly expand the current level of renewable generating capacity, to about 1,577 megawatts (MW) of purchased wind generation capacity online, or one-quarter of the cooperative’s total portfolio of electric nameplate generating capacity.
Meeting members’ needs This wind generation was evaluated along with other generation alternatives and was determined to be among the least-cost alternative resources to meet Basin Electric’s member load forecast levels, which helps with power supply planning, financial forecasting and rate planning. Basin Electric’s 2016 load forecast shows power requirements across its membership are projected to increase 1,350 MW from 2015 to 2035. The forecast shows growth at 1.4 percent annually across the membership. In addition to being one of the least-cost resource alternatives to meet members’ energy needs, wind development would also help achieve current and impending environmental standards. According to Dave Raatz, Basin Electric vice president of Cooperative Planning, Basin Electric is evaluating the possibility of entering into additional
Wind projects in the works Basin Electric has committed to purchasing power from five new wind projects for 2016 and beyond. Brady 1 • 150 MW • 87 turbines • Located near New England, ND • Scheduled completion: Late 2016 or early 2017 • Power to be purchased from NextEra Energy wind power purchase agreements. Through a competitive pricing Request for Proposal (RFP) process, Basin Electric identified 1,400-1,500 MW of additional wind alternatives to be considered out of more than 6,600 MW of total wind proposals through the RFP process. If Basin Electric determines it is prudent to proceed with additional wind purchases, the projects would go commercial toward the end of 2019. Market purchases, natural gas and wind generation alternatives are currently the most economical generation sources to meet the growing member load levels, Raatz says, but the cooperative is leaving no stone unturned. “Several of Basin Electric’s members have asked about incorporating solar as a resource option,” Raatz says. “The cooperative is considering how to best incorporate both small and large solar into its generation fleet, and will work with the membership as it develops a solar resource strategy.” The cooperative also holds about 44 MW of recovered energy generation and 316 MW of hydropower purchased from the Western Area Power Administration. “The complete picture of the future of the energy industry in this country is uncertain at best, with all the discussion on potential Clean Power Plan rules and the uncertainty of future oil and natural gas prices,” Raatz says. “But what we do know is that Basin Electric’s focus will never waver from its membership’s best interests now and into the future.”
Brady 2 • 150 MW • 87 turbines • Located near New England, ND • Scheduled completion: Late 2016 or early 2017 • Power to be purchased from NextEra Energy Lindahl Wind • 150 MW • 75 turbines • Located near Tioga, ND • Scheduled completion: Late 2016 or early 2017 • Power to be purchased from Tradewind Energy Sunflower Wind • 104 MW • 52 turbines • Located near Hebron, ND • Scheduled completion: Late 2016 or early 2017 • Power to be purchased from Novatus Energy LLC Antelope Hills Wind • 172 MW • 86 turbines • Located near Beulah, ND • Scheduled completion: Late 2016 or early 2017 • Power to be purchased from SunEdison, Inc.
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PROGRESS BEING MADE ON HEADQUARTERS EXPANSION PROJECT By Tammy Langerud
Spring and early summer construction activities of the Basin Electric Headquarters expansion project focused on footings and basement walls of the west building. Dan Job, facilities project manager, says crews poured about 65 to 95 yards of concrete two to three days a week. In mid-July, a construction milestone was reached when contractors began placing pre-cast concrete walls for the fourth floor of the west building. By the end of the year, the shell of the west building, including the walls, windows and roof, will be complete. Only a few days have been lost due to bad weather. “Once they get the shell on the building, they can work on the upper floors, and then there’s a lot of mechanical and electrical work that will occur throughout the building,” Job says. “A lot of focus will be in the basement area because that’s the hub that provides all the HVAC (heat, ventilation and air conditioning) and electrical means for the building.” The targeted completion date of the west building,
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The Basin Electric Headquarters expansion project, as seen from the air, includes the construction of the west building, which will add 91,000 square feet to the existing Headquarters east building. This will allow all Headquarters employees, who are currently spread out across five locations due to limited office space, to work at one location.
which will be four stories tall, is September 2017. A remodel of the existing building will be ongoing through 2018. Contractors continue to construct the warehouse/shop, which will be completed in October 2016. Last year, Basin Electric’s board of directors approved the addition to the Headquarters building in Bismarck. Their decision came after months of analysis and evaluation, and will support the future of the cooperative workforce.
Lyn Raymo, senior administrative assistant in Marketing & Asset Management, at her standing workstation. Raymo participates in a workstation pilot program that will help determine which workstation features to incorporate into future designs that would work best for Basin Electric employees.
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In May, contractors poured the north and northwest walls of the west building basement. The total amount of concrete used for various pours ranged from 65 to 95 yards of concrete, and each concrete pour took several days to set.
Contractors tie rebar before they begin to set up forms for the east wall of the west building. It takes several days to set up the forms for one concrete pour, which is done in 50-foot sections.
A milestone was reached in mid-July when the contractors began placing 60-foottall columns for the pre-cast walls of the west building.
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The expansion project also includes the construction of an onsite warehouse/ shop, located southwest of the west building. Contractors worked on erecting the roof throughout May.
Contractors pour the final slab of concrete for the warehouse/ shop floor. Two pours totaling 90 yards of concrete were used. JULY – AUGUST 2016 | 11
A LOGISTICAL NIGHTMARE DREAM BY PLANE, BY TRAIN AND BY TRUCK … EMPLOYEES FIND OPPORTUNITIES FOR IMPROVEMENT By Andrea Blowers
No matter how good a person is at a skill or sport, there’s always opportunity to be better. Same is true in business. Each new day brings new challenges. Maintaining an ongoing effort to turn those challenges into opportunities to improve products, services or processes is continuous improvement. You simply have to know what you’re working toward and be open to innovative ideas. Basin Electric has always operated that way, but in the last year, it’s become a priority. The challenging commodity prices and mild weather have put significant pressure on the cooperative’s bottom line. That has added to the need to be focused on those areas where the cooperative can have the greatest financial impact for the benefit of its members. Continuous improvement (CI) is a culture, a mindset. It’s ensuring every employee knows they play a role in the cooperative’s mission to provide the lowest possible cost electricity for its members with the highest quality service. CI has been referenced in the cooperative’s Our Power, My Safety process and it’s one of eight objectives in the cooperative’s long-term strategic plan. (See sidebar on pg. 13.)
An idea to spur progress Tara Vesey, manager of transportation, recalls her manager, Ken Rutter, senior vice president of Marketing & Asset Management, challenging his staff to approach him with any ideas to improve efficiencies or cost-saving opportunities. Vesey says the concept of a cooperative-wide logistics team had been something she’d thought could have a significant impact. She shared with Rutter, who then helped facilitate a variety of meetings with senior management, plant personnel and a variety of logistics professionals. “We still felt we were missing things, so we decided a continuous improvement team would be a good opportunity to collect, discuss and vet ideas,” Vesey says. That helped spur the implementation of a logistics continuous improvement team (CIT) with representatives from throughout the cooperative. The team includes Vesey; Trinity Turnbow, Dakota Gasification Company manager of process operations; Nathan Johnson, senior fleet and logistics administrator; Dean Bray, manager of Dakota Coal Company and Montana Limestone Company; Joe Leingang, fuel and transportation superintendent at Dakota Coal and Montana Limestone; Kim Wolf, supervisor of product logistics at Dakota Gas; Kris Schmidt,
Logistics continuous improvement team wins thus far • Increase use of in-house Basin Electric procurement logistics, skipping the third-party middle man and the cost that goes along with it. This includes developing a streamlined and consistent process for individuals to complete a shipping request for equipment transportation. • Demurrage (which is a fee for coal/lime/limestone/chemical railcars sitting at a site for too long) reduction strategies. • Potentially use the Basin Electric-owned 8-mile track for heavier railcars, thus drastically reducing the freight cost per pound/gallon. • Rail freight negotiations (consolidated chemical, lime and limestone freight negotiations to one person). • Consolidation of railcar fleet between Basin Electric facilities.
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coal and yard supervisor at Leland Olds Station; Mike Jones, Continuous improvement fine grind supervisor at Montana One of eight strategic objectives Limestone; Steven Liebelt, Basin Electric’s board of directors has approved eight objectives it will focus on Dakota Gas vice president of over the next 10 years in regard to Basin Electric’s long-term strategic plan. Those marketing and sales; and Brian objectives include continuous improvement; fiscal discipline; enhance communication/ Gehring, coal and yard supervidevelopment of grassroots network with membership; establish and maintain safety sor at Antelope Valley Station. and leadership culture; create a long-term hedge/risk management position for Basin The steering team includes Electric fully integrating Dakota Gas; establish framework to address distributed Vesey; John Jacobs, senior generation; establish a framework for addressing a carbon-constrained future; and vice president of Operations; attract and retain a talented, skilled and engaged workforce. and Ken Rutter. Each objective is sponsored by select members of senior staff and each has an When the logistics CIT was objective statement. The senior staff sponsoring the CI objective include Steve Johnson, starting to take shape, the initial senior vice president and CFO; Diane Paul, senior vice president of Human Resources; focus was logistics by rail. Matt Greek, senior vice president of Engineering & Construction; and Ken Rutter, senior However, what began as a vice president of Marketing & Asset Management. The CI objective statement reads: charge to improve rail transportaEmbed a culture of continuous improvement by providing a safe work environment, tion of materials grew to include supportive leadership, processes and tools that support and reward employees’ efforts logistical information, processes to identify and make changes that add value and eliminate waste within their jobs. and efficiencies surrounding transportation in all capacities. The team expanded their focus back into local families within the cooperative community.” following a continuous improvement workshop facilitated There isn’t one person who will know everything by Lynn Beiswanger, director of learning & development that goes on at all facilities, but through a team approach, and safety; and Kelly Cozby, safety and occupational health information is being shared and employees needing to get administrator. “Basically they spent the day facilitating the equipment and materials from point A to point B will have discussion and helping us identify strengths, weaknesses, a better idea of the process. and commonalities,” Vesey says. “They also helped us to organize those thoughts into a priority list.” Improvements ongoing In his job, Nathan Johnson focuses on coordinating the transportation of equipment and materials in the most Turnbow says the logistics CIT will transition into a efficient, cost-effective and timely manner possible. “From group made up of individuals from each location to ensure an efficiency standpoint it’s really about the control we have future collaboration and uniformity across the cooperaof the equipment or material while en route.” tive. “Honestly, some of the best ideas and cost savings we According to Turnbow, the logistics CIT has worked to came up with were from simple brainstorming discussions. create logistics process flows for all Basin Electric facilities Sometimes the most effective thing you can do is put the to increase visibility and identify efficiency gain possibilities. right people in a room together to talk about how to do “As we got started, the logistics CIT evaluated how things better,” Turnbow says. each Basin Electric facility handled all things logistics. This As it stands today, the team estimates their work will helped us effectively utilize best practices in an effort to result in about $4 million to $6 million per year in savings, streamline all processes at all facilities,” Turnbow says. if all proposals and efforts fall into place. “Some issues that arose impacted only one or a few Turnbow says the group has worked really well facilities, while other topics affected all of Basin Electric.” together. “I believe we have forged better working relation“We have contacts everywhere when it comes to ships that will ultimately pay dividends for years to come. parcel – less than truckload, full truckload, oversized/ I think we always had the ability, but now we have the overweight, hot shot/expedites, international, etc. – within knowledge and communication lines to not only maintain our region and beyond,” Johnson says. “The biggest thing for what will be our new status quo, but also to continuously me has always been keeping it local. If we plan accordingly, look for improvements well into the future.” we can utilize regional assets and the money we pay goes
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LOWER YELLOWSTONE MEMBER ASSISTED IN MAKING OF
‘THE REVENANT’ By Dain Robert Sullivan
of the availability of undeveloped landscape. Due to Loren Yellow Bird never imagined he’d be sipping a lack of snow toward the end of filming, Yellow Bird coffee and speaking the Arikara language with says a fight scene was shot in Argentina, where part Leonardo DiCaprio. of the landscape was covered in a fresh coat. But that’s exactly what the White Shield, ND, He was unable to travel to Argentina, but remains native did when he served as technical advisor for in awe of Canada’s natural beauty. the Academy Award-winning film, The Revenant. “The director wanted to give people a look The 2015 movie won “Best Performance by of someplace that would have been untouched,” an Actor in a Leading Role,” “Best Achievement in he says. “Holy smokes. The scenery was really neat.” Directing” and “Best Achievement in Cinematography.” He also helped in the post-production studio. It’s a historical survival action drama inspired During filming, Yellow Bird was often available for by the real-life events of frontiersman Hugh Glass DiCaprio, coaching the actor on what Arikara words in 1823, in what is now Montana and South Dakota. and cultural indicators to use in scenes. Yellow Bird is a member of the Arikara tribe, of “The biggest question I get is, ‘What’s Leonardo which DiCaprio’s character is closely associated. In the DiCaprio like?’” Yellow Bird says, adding he was film, Hugh Glass is a white man who speaks Arikara impressed with the actor’s pursuit of precision and and Pawnee, and has a Pawnee son. respect for the Arikara people. With degrees in history and anthropology from With a chuckle, Yellow Bird describes DiCaprio’s North Dakota State University, Yellow Bird is the lead whispered cussing whenever he made a mistake. ranger and cultural resource interpreter at Fort Union “Leo worked hard. I’ll give him Trading Post National Historic that,” he says. Site in Williston, ND. I looked at my son and DiCaprio relied heavily on Fort Union is served by said, ‘I bet you didn’t think Yellow Bird. Crew members Lower Yellowstone Rural Electric you’d ever see your dad talking could often hear the actor callCooperative, a Class C member to Hollywood producers.’ ing out, “Where’s Loren?” of Basin Electric. Loren Yellow Bird When Yellow Bird would W hen f ilm producer s speak Arikara words, DiCaprio contacted the fort in search would sometimes capture video of potential re-enactors in of him on his phone, so he could practice them later. July 2014, they connected with Yellow Bird and learned “I’m on Leo’s phone. How about that?” he says. of his unique background and Arikara heritage. Yellow Bird says it was an amazing experience It soon became clear to them Yellow Bird was to share his expertise with multiple actors. He had a wealth of knowledge, and he agreed to serve as a initially responded to a casting call for the film, but translator. Over a 14-week period, he trekked back ended up playing a role that was bigger than he could and forth between his Trenton, ND, home and the have ever imagined. Producers sought his expertise movie set in Calgary, Alberta. in multiple scenes. The movie was mostly filmed in Canada because
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Loren Yellow Bird (middle) poses for a photo with Leonardo DiCaprio, star of The Revenant, and Alejandro González Iñárritu, the film’s director. To the left, Yellow Bird is dressed for work at Fort Union Trading Post National Historic Site in Williston, ND, where he serves as lead ranger.
Yellow Bird describes the creation of the film’s gruesome grizzly attack scene, during which DiCaprio was thrown around by a man wearing a blue costume. “He was a huge guy,” Yellow Bird says. As Yellow Bird describes his experience on the set of The Revenant, he continuously mentions significant people, dates and places tied to the historical events in the film. Other than a few minor details, he says the producers did a great job of portraying everything accurately. In addition to translating English to Arikara, Yellow Bird educated the cast on Pawnee and Sioux words, as well as sign language, tribal warfare and the old fur-trading industry. In between takes, crew members would often chat with Yellow Bird. Another actor, Tom Hardy, took a selfie with Yellow Bird, so he could share it with his six kids in North Dakota. “It was kind of fun,” he says. “I got bro’ hugs from these guys.” Yellow Bird enjoyed telling his kids about his experience on set. He recalls a moment when he was dropping one of his sons off at high school football practice, and a producer called.
“I looked at my son and said, ‘I bet you didn’t think you’d ever see your dad talking to Hollywood producers,’” he says. Yellow Bird is quick to assure everyone he’s not “going Hollywood.” Although, he was recently approached to help with a mini-series about the journey of Lewis and Clark. It’s being produced by Tom Hanks, Brad Pitt and Edward Norton. Following his work with The Revenant, Yellow Bird continues to receive media attention. In addition to local journalists, he’s spoken with such outlets as CNN and The Weather Channel. His sister has shared almost every story on her Facebook page. “A number of my interviews and pictures went viral, apparently,” he says. The experience was life-changing for Yellow Bird, but he remains humble. He’s honored to have been part of a film that highlighted the Arikara people. “We’re known worldwide now,” he says. “I would be just as happy if it was somebody else from my tribe who did all that work. I’m very fortunate and blessed to have had the opportunity that I did.”
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F E AT URE SE RIES
A DAY IN THE LIFE OF … DIRECTOR
MIKE MCQUISTION By Tracie Bettenhausen
Mike McQuistion, Basin Electric director representing District 7, at his ranch near Ft. Pierre, SD.
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The drive to Mike McQuistion’s ranch in central South Dakota is similar to a trip into a national park. Prairie scenery gives way to bluffs and hills and valleys, roads wind and get more rugged, and the sky opens up to endlessness. Out in the pasture, driving in four-wheel over lumps and bumps, suddenly the land in front of your windshield gives way to the view of Lake Oahe sprawling as far as your eyesight can stretch. “This part of the world can humble you pretty quickly,” says McQuistion, Basin Electric director for District 7, Rushmore Electric Cooperative in Rapid City, SD. McQuistion is showing off the artesian well system on his land. Wells 2,400 feet deep, flowing 35-40 gallons per minute. The water is potable, but “it’s got a taste to it. You don’t have to take your vitamins,” he jokes. The wells keep the cattle watered, and a reverse osmosis system in the house allows his family to use the water as well. Living along the Missouri River, just north of the Oahe Dam, means McQuistion has the kind of views people will drive for hours to see. His family has a history on this land going back five generations. In the 1960s, his grandparents moved their house and barn to a higher altitude so that when the dam was built, they wouldn’t be flooded. The house remains on that far-off hill, nobody living there for 40 years now. McQuistion’s first co-op memories are tied to needing the cooperation of neighboring homes. “Probably the first co-op function I went to was rural water, and what is now Golden West Telecommunications. They were our phone provider,” he says. “I can remember taking an old phone, going over to the neighbor’s, and there was a pole with a little deal at the bottom where you could
The ag sector has more than its share of ups and wire the phone in. That’s what we did when we had to downs. With these depressed commodity prices, it’s make a phone call. And that was just the way it was.” really hit Basin Electric,” he says. “At the board level, Today, he takes his children, Zach and Ally, to everybody has their say and you talk about it. You vote, electric co-op annual meetings. Zach went on the and you just have to keep moving forward. We have a Rural Electric Cooperative Youth Tour to Washington, mouthful right now.” D.C. this year. He says the downturn in oil prices and natural And since McQuistion has been on the Basin gas prices have taken a toll. “The gas plant is a huge Electric board since 2013, he made the choice to put risk. But it has kicked out rewards in the past and it his cattle out on shares so he has the time to attend will kick out rewards in the future,” he says. “The price Ally’s soccer games and Zach’s football and basketball of cattle will go up again, the cost of grain will go up games. “I decided, until they are out of school, I’m going again. Oil and gas will go up again.” to do electric stuff, and I’m going to chase them and go McQuistion says he hopes money will never where they go,” he says. become an issue for his kids to the point they decide McQuistion first got into “electric stuff” in 1996, to break up the ranch. “I tell when he was elected to the board of my kids, I never want to see a West Central Electric Cooperative, house, other than the one we’re headquartered in Murdo, SD. He Once you know your living on, built on this ranch,” he knew quite a few of the co-op’s goal is to keep the lights on says. “I don’t want it developed. members then because he spent and the rates down, that fit me I hope they don’t need more his high school years working for the really well. money and sell it off in pieces.” veterinarian at the local sales barn. Mike McQuistion Histor y is impor tant. In 2010, McQuistion was elected He sees his ranch, and the Oahe to the Rushmore Electric CooperaDam, closely tied to the history tive board, a Class A Basin Electric of rural electric cooperatives. member. He also served on the South Dakota Rural The dams were built to help provide power for the Electric Association board from 2003-2010. farmers and ranchers who wanted electricity. The land He was 26 years old when elected to the West provides food and space for his cattle, and a home and Central Electric board. “You go to the meetings, you livelihood for his family. meet the people and you talk ag, so I really enjoyed “That means something,” he says. it,” he says. “Once you know your goal is to keep the lights on and the rates down, that fit me really well.” Editor’s note: Mike McQuistion’s story of survival as an McQuistion says today on the Basin Electric board, infant and later as an adult is incredible, though space does not he knows the goals are the same, though the issues allow it to be shared here. Watch Basin Electric: Live Wire for are complicated. “There are a lot of issues thrown the publication of that story later this summer. our way, but it seems like it’s similar to the ag sector.
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E M P L OY E E HIG HL IG H T S
2016-2017 Basin Electric scholarship winners announced Twenty-five $1,000 scholarships were awarded to children of Basin Electric and subsidiary employees to further their education this fall. Recipients were chosen for their participation in school and community activities, academic excellence, work experience and career goals. Madison Burgard, daughter of Al (Headquarters) and Lynn Burgard, will be a freshman majoring in pre-med at Wayne (NE) State College.
Connor Candrian is the son of Dennis (Dakota Gasification Company) and Kim Candrian. He will be a junior at North Dakota State University in Fargo majoring in civil engineering. Dakota Degenstein, son of Mark (Dakota Gasification Company) and Kassandra Degenstein, will be a junior majoring in biology and psychology at University of North Dakota in Grand Forks. Victoria Degenstein is the daughter of Mark (Dakota Gasification Company) and Kassandra Degenstein. She will be a sophomore majoring in nursing and catholic studies at the University of Mary, Bismarck, ND. Katie DeWitt is the daughter of Tammy (Headquarters) and Jason DeWitt. She will be a senior majoring in civil engineering at the University of North Dakota in Grand Forks. 18 | BASIN TODAY
Nicholas Erickson, son of John (Leland Olds Station) and Sheri Erickson. He will be majoring in electrical engineering at the University of North Dakota in Grand Forks. Dane Fisher is the son of Pius (Headquarters) and Lynn Fisher. He will be majoring in engineering at the University of Mary, Bismarck, ND.
Rachel Funkhouser is the daughter of A.T. (Dakota Gasification Company) and Janet Funkhouser. She will be a junior majoring in accounting at Universit y of Nor th Dakota in Grand Forks. Perrin Goetzfridt is the son of Lori (Headquarters) and Chad Goetzfridt. He will be a sophomore at Bismarck (ND) State College, majoring in carpentry. Katelyn Johnson is the daughter of Tim (Leland Olds Station) and Becky Johnson. She will be a senior at the University of North Dakota, in Grand Forks, majoring in biology and pre-med. Lucas Jundt is the son of Clark (Headquarters) and Patricia Jundt. He will be a freshman majoring in electrical engineering at North Dakota State University in Fargo.
Ashley Knutson, daughter of James (Dakota Gasification Company) and Darla Knutson will be sophomore majoring in veterinary technology at Globe University in Minnesota. Neil Lelm is the son of Lynn (Leland Olds Station) and Stacy Lelm. He will be a junior at North Dakota State University in Fargo, majoring in zoology. Cody Macdonald, son of Bill (Dakota Gasification Company) and Stephanie Macdonald, will be a sophomore at Bismarck (ND) State College majoring in process plant technology. Wyatt Wilson is the son of Fred (Dakota Gasification Company) and Becki Wilson. He will be a freshman at North Dakota State College of Science in Wahpeton, majoring in diesel technology. Patrick McCarthy is the son of Greg (Dakota Gasification Company) and Susan McCarthy. He will be a freshman at Valley City (ND) State University and major in software engineering. Emily Mundahl, daughter of Steven (Headquarters) and Carrie Mundahl, will be a junior majoring in exercise science and physical therapy at the University of Mary, Bismarck, ND. Hayden Norton, son of Kelly (Dakota Gasification Company) and Julie Hausauer, will be a freshman majoring in instrumentation and control at Bismarck (ND) State College.
Emily Pillar is the daughter of Dan (Dakota Gasification Company) and Kristie Pillar. She will be a sophomore majoring in elementary education at Nor th Dakota State University in Fargo. Lindsey Pouliot is the daughter of Steve (Dakota Gasification Company) and Linda Pouliot. She will be a sophomore at North Dakota State University in Fargo, majoring in English education. Nicole Schramm is the daughter of Voni (Dakota Gasification Company) and Jim Rueb. She will be a sophomore at University of North Dakota in Grand Forks, majoring in physical therapy. Mariah Sellon, daughter of Dawn (Dakota Gasification Company) and Shane Sellon, will be a freshman majoring in power plant technology at Bismarck (ND) State College. Joshua Snyder is the son of Kelly (Leland Olds Station) and Jonella Snyder. He will be a freshman at University of Mary, Bismarck, ND, and major in pre-med/biology. Cole Solem, son of Todd (Dakota Gasification Company) and Jennifer Steffan, will be attending Bismarck (ND) State College to major in instrumentation and control technology. Dylan Maike, son of Barbara (Laramie River Station) and Chuck Maike, will be a freshman at Casper (WY) College, majoring in instrumentation and electrical control.
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SUMMER WOR E M P L OY E E HIG HL IG H T S
College-age students share their skills and energy
Almost 50 college-age dependents of Basin Electric and Dakota Gasification Company employees are sharing their skills and energy with the co-op this summer through the Summer Work Program. Shelly Wanek, manager of compensation/EEO/ recruitment, says the Summer Work Program helps Basin Electric and Dakota Gas meet labor needs in a cost-effective manner and provide summer jobs for college students who are enrolled in an accredited college or university. “It’s a fantastic opportunity for students to learn about cooperatives and the types of jobs available at cooperatives,” Wanek says. “The summer workers help with outdoor work like mowing grass, weeding, tending to flower beds, and indoor tasks ranging from housekeeping duties to prep work in the cafeteria.”
Nicholas Erickson vacuums the floor at Basin Electric Headquarters. “I really like the people,” Erickson says of his first summer working at Basin Electric. He and six other students at Headquarters rotate job duties every three weeks between housekeeping, outdoor facilities maintenance and cafeteria. Darrell Schulz, lead environmental service/ maintenance coordinator at Headquarters says the summer students help out the maintenance staff a lot. “Summer is a busy time for the Facilities department. Once we get them going, it’s a burden off of us,” Schulz says. Nessa Iverson helps prep food at the Dakota Gasification Company cafeteria.
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RK PROGRAM 2016 Summer Work Program student employees Antelope Valley Station Patrick McCarthy Allison Oestreich Kassie Voegele
(From left) Brandon Zimmerman, Daichi Akatsuka and Zachary Wallace, all assistant laborers at Laramie River Station, prepare to trim grass along the fence line.
As an office clerk at Leland Olds Station, Sophia Fischer greets visitors at the front desk reception and entry gates, and answers the telephone switchboard.
Dakota Gasification Company Cory Alt Brittany Beckler Jarid Dauenhauer Nessa Iverson Trysten Lang Jurnee Murray Rachel Riepl Dillon Tollefson Casey Walcker Olivia Weisz Taryn Zacher
Headquarters (cont.) Carla Maurstad Shelby Morse Kailyn Straub Siam Simpfenderfer Nathan Wanner
Dry Fork Station Jacob Bauer Kami Sloan Troy Tweeten Colt Tweeten
Laramie River Station Daichi Akatsuka Savannah Bascus Laramie Chapman Jonathan Cummings Kayla Herman Daniel Lucero Dylan Maike Elizabeth Pino Kayly Scheller Diana Singleton Samuel Singleton Kyle Sterkel Kelsey Vaughn Zachary Wallace Brandon Zimmerman
Headquarters Dane Fischer Nicholas Erickson Alex Hoffman Amanda Leintz
Leland Olds Station Nikole Bitterman Ty Schaper Erin Ost Sophia Fischer
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E M P L OY E E HIG HL IG H T S
Engineers earn professional licensed engineer designation Na t han Helbling, electrical engineer III, and Jay Schulte, electrical engineer I, recently passed the Professional Engineering exam (PE) to receive their P.E. licensure. This Nathan Helbling designation signifies the individual has mastered critical elements of the engineering profession. Offered only twice a year, the exam requires an application process, which the North Dakota State Board of Registration reviews to validate the engineer’s work experience and Jay Schulte years of service. The eight-hour exam is broken into two four-hour sessions. Helbling works at the Transmission System Maintenance (TSM) shop in Mandan and has been employed by Basin Electric for 10 years. Schulte joined TSM – Mandan in February.
New employees Devin Calhoun began work at the Great Plains Synfuels Plant May 16 as a process operations field technician. The Dickinson, ND, native has an associate degree in process plant technology from Bismarck (ND) State College. Trevor Enget, process operations field technician, began working at the Great Plains Synfuels Plant May 24.
Michael Frannea began work at the Great Plains Synfuels Plant May 31 as a process operations field technician. The Moorhead, MN, native prev iousl y wor ked at Mining Resources in Chisholm, MN.
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Dustin Snyder started work May 9 at Antelope Valley Station as a lab tech. The Hazen, ND, native has a bachelor’s degree in geosciences from Minnesota State University Moorhead, and previously worked for RockPile Energy Services in Dickinson, ND, as a lab tech. Paul Huettl, compliance engineer II, began work May 15 at Headquarters. The Garrison, ND, native has a bachelor’s degree in agriculture engineering from North Dakota State University, Fargo. Previously, he worked for Industrial Contractors, Inc., as a project manager. Tanner Krefting, process operations field technician, started work at the Great Plains Synfuels Plant May 31. The Bismarck, ND, native previously worked at CHI St. Alexius as an environmental service associate. Krefting has an associate degree in process plant technology from Bismarck (ND) State College. Steve Landman began work at the Great Plains Synfuels Plant May 31 as a process operations field technician. The Seattle, WA, native has associate degrees from Everett (WA) Community College. He previously worked at Dakota Prairie Refinery in Dickinson, ND, and at the Shell Pudget Sound Refinery in Anacortes, WA. Kevin Armbruster started work May 16 as a substation electrician apprentice at Transmission System Maintenance – Williston. He previously was a mining maintenance electrician for Peabody Energy in Gillette, WY. Armbruster has an associate degree in electrical trades from Western Dakota Technical Institute, Rapid City, SD.
Daniel Campbell, accounting analyst II, began work May 16 at Headquarters. Campbell has a bachelor’s degree in accountancy from University of North Dakota, Grand Forks. He previously worked at MDU Construction Services Group.
Dustin Zins started at the Great Plains Synfuels Plant May 16 as a process operations field technician. The Mandan, ND, native has an associate degree in process plant technology from Bismarck (ND) State College. Zins previously worked for the Boilermakers Local 647.
Torey Kaminsky began work at the Great Plains Synfuels Plant May 16 as a process operations field technician. He is from Hebron, ND.
Ed Rademacher, Jr., mechanical engineer III, started work June 13 at Laramie River Station. He has a master’s degree in engineering science and a bachelor’s degree in petroleum engineering, both from Montana Tech in Butte. Prior to joining Basin Electric, Rademacher worked as a chemical engineer for Continental Research and Engineering in Centennial, CO.
Trevor Martin, process operations field technician, began work at the Great Plains Synfuels Plant May 16. He is from Linton, ND.
Service awards
Derek Morris began work at the Great Plains Synfuels Plant May 31 as a process operations field technician. He has an associate degree in process plant technology from Bismarck (ND) State College and is from Beulah, ND.
Scott Schaff, process operations field technician, started work at the Great Plains Synfuels Plant June 13. The Bismarck, ND, native has an associate degree in power plant technology from Bismarck State College. Schaff previously worked in maintenance at Sanford Health in Bismarck.
Delton Schnaidt
Blaine Erhardt
electrical supervisor
consulting engineer
40 years
Antelope Valley Station
35 years
Headquarters
Diane Paul
Michelle Wiedrich
senior vice president, Human Resources
senior administrative assistant
35 years
Headquarters
35 years
Headquarters
Chad Zachmeier began work May 31 as a maintenance field technician at the Great Plains Synfuels Plant. He is from Mandan, ND. Bruce Beecher
Lionel Keller
water treatment operator
mechanic operator-lead
25 years
Antelope Valley Station
25 years
Transmission System Maintenance - Mandan
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E M P L OY E E HIG HL IG H T S
Service awards
Marva Keller
Gavin McCollam
Monty Muller
Dave Pfliger
Wig Tipton
food service technician
engineering services director
operator III
field technician
field technician
25 years
Dakota Gasification Company
25 years
Headquarters
25 years
25 years
Montana Limestone Company
Dakota Gasification Company
25 years
Dakota Gasification Company
John Younker
Robin Brucker
Mike Nordeen
yard operator
business process analyst III
lock out/tag out/fire systems supervisor
40 years
35 years
Leland Olds Station
Headquarters
35 years
Laramie River Station
Sherry Walker 25 years
changehouse attendant
Dakota Gasification Company
Terry Biesheuvel 20 years
operator II
Roxy Reub
Danny Anvik
maintenance supervisor
mechanic I
30 years
Antelope Valley Station
30 years
Leland Olds Station
Montana Limestone Company
Paul Driver
Mark Kinzler
boiler attendant
vice president/chief information officer
25 years
25 years
Antelope Valley Station
Headquarters
Retirees Editor’s note: Expanded retirement stories were written only for those who returned their questionnaire to Basin Today staff.
Rod Kuhn, chief risk officer, retired Feb. 1. He started at Basin Electric in 1988 as tax manager and had many titles throughout his career including manager of tax, audit and insurance; vice president and controller; and vice president of tax, accounting and insurance. In 2013, he was promoted to chief risk officer. Before starting at Basin Electric, Kuhn worked at Eide Helmeke (now Eide Bailly), doing external audits of the cooperative. Deb Olafson, one of Kuhn’s first hires and now manager of tax income at Basin Electric, notes Kuhn was instrumental in several accomplishments for Basin Electric, including working out a $6 million North Dakota state income tax refund to Basin Electric in 1986 and working through significant IRS issues from 1988 to 1996. Kuhn was also part of the team who worked on the acquisition of the Great Plains Synfuels Plant. Aside from his professional accomplishments, Olafson says Kuhn was fun to work for, always greeted people in the morning, and was good for a spirited discussion “Anyone who knows Rod knows he is not shy about his position,
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whether it is on work issues, political issues or even his spiritual position,” Olafson says. “I always appreciated that he would seek my opinion on several issues.” Steve Johnson, senior vice president and CFO, says Kuhn was dedicated, hardworking and had an incredible memory. “Rod was a historian and could remember in great detail the significant events in the cooperative’s history that occurred during his time as an external auditor to and then an employee of Basin,” Johnson says. “I’m sure that will continue, as I’m certain he is and will continue to monitor Basin’s activities. While many have a general dislike/hate for taxes, for much of his career, taxes were his passion. He took his job seriously and always had Basin’s best interests in mind.” “Rod is considered to be among the best in the country relating to income tax of cooperatives, and I will miss our brainstorming sessions,” says Don Boehm, manager of multistate tax. Kuhn says he was blessed with incredibly talented staff throughout his career at Basin Electric. “I will miss the teamwork that we had and how we collaborated to solve many problems and take advantage of many opportunities,” he says.
We will remember… Charley Barnes retired from Laramie River Station June 3 after 31 years of service. Barnes started at Laramie River Station in 1985 as an instrument II. Less than one year later, he was promoted to instrument I. In 2013, Barnes was promoted to lead instrument technician, the job he held at the time of his retirement. Instrument Supervisor Greg Loveland says Barnes was very meticulous when working on a project or job and everything had to be just right. “Charley never got in a hurry to complete his projects; it was all about being methodical and detailed,” Loveland says. “You knew it was going to be done right. He was passionate about how he thought the instrument and controls of the plant should be. One of his favorite sayings was, ‘I am not arguing, I am just explaining why I am right.’” Barnes’ meticulous nature extended to his ability to imitate people, too, according to Loveland, who recalls Barne’s imitations of Mickey Mouse, and former and current co-workers and supervisors. Bill Gorman, operator technician, who worked with Barnes during his time at Laramie River, says Barnes was liked and respected by everyone, and was a “true listener.” “There are few people who you work with that when they leave they will be talked about for many years to come, and Charley is one of those guys,” Gorman says. Gorman also notes Barnes had a natural talent when it came to electronics and electricity. “The guy is a tube-bending extraordinaire,” Gorman says. “And he was without equal when it came to getting rid of pigeons in the upper areas of a boiler room.” Larry Wetzel retired from the Great Plains Synfuels Plant June 3 after working at the plant for 33 years. The Wibaux, MT, native worked for Burlington Northern before beginning his career at the Synfuels Plant. During his time at the plant, Wetzel worked in the air separation unit as a process operations field technician. He has two children, Preston and Jasmine, and one grandchild. He and his wife, Sue, are moving to Arizona to enjoy their retirement.
Loren Schaner, instrument technician at Leland Olds Station, died June 9. He was 40 years old. Loren was born on May 31, 1976, in Bismarck, ND, to Gary and Kathleen (Wolff) Schaner. He grew up in Mandan, ND, and graduated from Mandan High School in 1995. He qualified for the National High School Rodeo Finals in bull riding. He enlisted in the United States Marine Corps (USMC) in 1995 and was stationed at Camp Pendleton in Oceanside, CA, as an air traffic controller. He was an active member of the Military Rodeo Cowboys Association and represented the USMC in bull riding. In 1998, he married Lisa (Trujillo) Mason, and they had a daughter, Riley Kate. He continued his military service with the North Dakota National Guard as a staff sergeant. He received the Army Achievement Medal, Army Reserve Components Achievement Medal and the North Dakota Emergency Service Ribbon Loren loved his job at Leland Olds Station, where he began working in 2014. His daughter, Riley, held a very special place in his life and he looked forward to their summers and holidays together. He was an avid hunter and enjoyed hunting with his four-legged companion, Dozer. He loved spending time with his friends and family, playing Texas Hold ‘em, barbecuing and listening to Texas Red Dirt Music. Kim Jackson, instrument & control supervisor, says Schaner was a guy who was easy-going, always quick with a comeback and liked to work on anything thrown his way. “If he didn’t know how to fix something, he would figure it out since he always had a can-do attitude,” Jackson says. “He loved his job at Leland Olds, which was evident in his performance. His loss will forever be ingrained in our hearts, and we’ll miss him.” Thankful to have shared his life are his parents; his daughter, Riley Schaner of Fontana, CA; his sister, Sonya Schaner-Trapp; brother-in-law, Wade Trapp; nephews, Hunter and Spencer Trapp, all of Bismarck, ND; his grandmother, Elizabeth “Betty” Schaner of Center, ND; his special friend, Laurie Linnertz of Mandan, ND; along with his aunts, uncles and cousins.
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