Sioux Valley Energy New Member Handbook

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Serving Our Members.

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P.O. Box 216 • Colman, SD 57017 PHONE: 800-234-1960 EMAIL: sve@siouxvalleyenergy.com WEB: www.siouxvalleyenergy.com OFFICE HOURS: 7:30 a.m. - 4:30 p.m.

WELCOME

TO SIOUX VALLEY ENERGY Sioux Valley Energy is a member-owned, not-forprofit cooperative.

Our primary objective is to provide reliable electric service at affordable rates.

By receiving electrical service from Sioux Valley Energy, you are more than just a customer...you are a member.

We hope the information included in this booklet will be a helpful resource for you. We'll also keep you informed about issues and events that might impact you, the Cooperative or your electric service through our monthly newsletter, Cooperative Connections. If there is anything we can do to serve you better, please call 800-234-1960 or e-mail me at tim.mccarthy@ siouxvalleyenergy.com.

Sincerely,

General Manager/CEO

the foundation of our business 1. OPEN AND VOLUNTARY MEMBERSHIP Membership in a cooperative is open to all persons who can reasonably use its services and stand willing to accept the responsibility of membership, regardless of race, religion, gender or economic circumstances.

2. DEMOCRATIC MEMBER CONTROL Cooperatives are democratic organizations controlled by their members, who actively participate in setting policies and making decisions.

Representatives (directors) are elected from among the membership and are accountable to the membership.

3. MEMBERS' ECONOMIC PARTICIPATION Members contribute equitably to, and democratically control, the capital of their cooperative. At least part of that capital remains the common property of the cooperative. Members allocate surpluses for any or all of the following purposes: developing the cooperative, setting up reserves, benefiting members in proportion to their transactions with the cooperative, and supporting other activities approved by the membership.

4. AUTONOMY AND INDEPENDENCE Cooperatives are autonomous, self-help organizations controlled by their members. If co-ops enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control as well as their unique identity.

seven co-op principles 5. EDUCATION, TRAINING & INFORMATION Education and training for members, elected representatives (directors), CEOs, and employees help them effectively contribute to the development of their cooperatives. Communications about the nature and benefits of cooperatives, particularly with the general public and opinion leaders, helps boost cooperative understanding.

6. COOPERATION AMONG COOPERATIVES By working together through local, national, regional and international structures, cooperatives improve services, bolster local economies and deal more effectively with social and community needs.

7. CONCERN FOR COMMUNITY Cooperatives work for the sustainable development of their communities through policies supported by the membership.

membership agreement THE OPERATION OF SIOUX VALLEY ENERGY and your involvement is guided by a set of By-Laws that are available for your review on our website: www.siouxvalleyenergy.com. If you would like a paper copy of the By-laws, please contact our office at 1-800234-1960.

One of the benefits of being a member of an electric cooperative is that you have a say in how the cooperative is run. You own a portion of the business and receive patronage capital (capital credits) based on the amount of electricity you use over the years.

Periodically, those capital credits are retired and returned to you in the form of a bill credit.

Among the commitments you make by accepting this membership and service, are: •

The agreement to be bound by the By-Laws and policies, rules and regulations of this Cooperative.

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The agreement to maintain your electric facilities on and in your premises to the safety standards required by appropriate local and state codes.

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The agreement to indemnify the Cooperative against injury, loss or damage resulting from defective or improper use or maintenance of your premises’ wiring or any apparatus connected thereto.

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The agreement to provide easements as required by the Cooperative to provide service to you and other Sioux Valley Energy members, including the right of entry on your property for necessary maintenance of the Cooperative’s electrical delivery system.

billing options TODAY'S TECHNOLOGY MAKES paying your bill easier than ever.

Sioux Valley Energy offers several convenient ways to pay your monthly bill including SMARTHUB, bank draft, debit or credit card, electronic check payments, budget billing, automated payment system, and check by mail/drop box.

√AUTOMATED PAYMENT SERVICE

If you prefer to process your payment transaction by our automated payment system, please call the automated system directly at 877-779-7476. You will need to provide your account number or phone number listed on your account, along with the last four digits of your social security number in order to process the payment.

√BANK DRAFT

Why pay your bill the old fashioned way when you can set your account up for automatic payment each month from your checking/savings account, credit card or debit card - no hassles, no worries. You can help us reduce our costs by setting your account up on bank draft since this is the least expensive way to pay your bill. You can set up recurring payments through our automated payment system by calling 877-779-7476. You can also set up recurring payments through our SMARTHUB program as well. To sign up for SMARTHUB log on to siouxvalleyenergy.smarthub.coop.

√BUDGET BILLING

Many members like to plan their electric expenses without fluctuating or unfortunate surprises. Budget billing does just that by averaging your actual billing for the previous twelve months into the same monthly charge each month.

Budget amounts are recalculated each year in May to reflect your actual usage.

To enroll and remain on the program, your account must have a current payment status. For more information, contact our customer service department at 800234-1960.

√SMARTHUB

With SMARTHUB, you can view and pay your bill as well as monitor your electric usage. You have instant access to your account anytime of the day. To pay your electric bill through SMARTHUB, you will need to enter your checking account or debit/credit card information. It's fast, simple, secure and will save you a postage stamp. To sign up for SMARTHUB log on to siouxvalleyenergy.smarthub.coop.

about us SIOUX VALLEY ENERGY serves the counties of Brookings, Lake, Minnehaha, Moody and Eastern Kingsbury in South Dakota and Rock and Pipestone counties in Minnesota.

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More than 24,000 members served.

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Approximately 100 dedicated employees in local communities.

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Approximately 5,900 miles of electric line.

board representation MEMBERS have the opportunity to run for the Board of Directors and elect representation in each district. There are 11 directors representing Sioux Valley Energy's membership, which is split into ten districts.

Directors are elected at district meetings held late winter/early spring.

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operation round up SINCE THE YEAR 2000, Sioux Valley Energy members have donated more than $1.5-Million to local nonprofit organizations though Operation Round Up. A South Carolina electric cooperative developed Operation Round Up by automatically “rounding up” members’ monthly electric bills to the next highest dollar.

Thousands of small contributions lead to big support to local charities, social service organizations, economic development groups, school and youth groups and individuals who have applied for financial help in recovering from emergencies or natural disasters.

A seven-person board of trustees reviews applications for Operation Round Up funding quarterly. Each Sioux Valley Energy service center has applications or they are available at www. siouxvalleyenergy.com.

As a member of Sioux Valley Energy, you are automatically enrolled in Operation Round Up. You may discontinue participation at any time by calling 800-234-1960.

Your monthly electric bill will show how much you donated during the most recent billing period. It will never be more than 99 cents per month, and your January bill will summarize your annual contributions.

it pays to be a member AS A MEMBER OF SIOUX VALLEY ENERGY - you, not a group of private investors, benefit from any margins produced by the Cooperative. As a not-for-profit organization, any profits or margins from previous fiscal years are allocated through capital credits to members based on their portion of electricity purchased.

Sometimes referred to as patronage dividends or member equity, capital credits are part of your investment in the Cooperative.

How they work:

√ YOUR CO-OP TRACKS

how much electricity you buy and how much money you pay for it throughout the year.

√ AT THE END OF THE YEAR,

your co-op completes financial analysis and determines whether there is excess revenues, called margins.

√ YOUR CO-OP ALLOCATES THE MARGINS TO MEMBERS

as capital credits based upon their use of electricity during the year.

√ WHEN THE CO-OP'S FINANCIAL CONDITION PERMITS, your board of directors decides to retire, or pay, the capital credits.

√ YOUR CO-OP NOTIFIES YOU of how and when you'll receive your capital credit retirements.

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money saving programs REBATES AND INCENTIVES

THE CO-OP OFFERS SEVERAL rebates and incentives to help members save energy and ultimately money! Ask about our load management programs, energy efficiency rebates and loans. Check out our programs online at www.siouxvalleyenergy.com.

CO-OP CONNECTIONS CARD

As a member of Sioux Valley Energy, a Touchstone Energy Cooperative, you can receive discounts on products and services from participating national and local businesses in your community. You will soon receive a card that will give you access to discounts on prescriptions from local businesses, participating pharmacies, plus online shopping savings and more!

Here’s what you get: • Great discounts from businesses in your community!

• Printable coupons for groceries that update daily.

• Discounts on most prescriptions at over 60,000 participating pharmacies.

• Discounts on eyeglasses, contact lenses, eye exams and LASIK at participating businesses.

• Discounts on dental care at participating providers.

• PLUS, additional savings on chiropractic visits, lab tests, imaging scans and hearing aids at participating businesses.

Here’s what you do: • Log on to www.siouxvalleyenergy.com to view a list of the discounts available to you.

• Show your card at participating locations and start saving or Download the app! Just search “co-op connections” in your Apple or Android Store.

• For online shopping, simply use the coupon codes and/ or links provided on the site to save.

power line safety The culture of safety is ingrained in all employees, at all levels of the Cooperative. The Sioux Valley Energy board, its managers and supervisors truly believe that safety should be second nature in the organization. That means when decisions are made in the board room, safety of all employees and customers is always considered.

Sioux Valley Energy also expects employees to undergo a significant amount of safety training. In fact, apprentice lineworkers are required to have a one year technical degree, must accumulate 8,000 hours of on-the-job-training, and need to complete and pass 10 tests a year. Journey lineworkers take part in all OSHA-required training courses. Ten months out of the year, all Sioux Valley employees attend a one-day safety meeting.

ALWAYS ASSUME A LINE IS ENERGIZED - STAY CLEAR! Call the cooperative if you see a downed power line, a broken pole, or a limb, kite or other debris across or near a power line.

If you happen to have a vehicle accident involving a power line, the safest place to stay is in the vehicle until emergency assistance arrives. Unless there is imminent danger--such as a fire, you should remain in the vehicle. If you must leave the vehicle, jump clear, landing with both feet on the ground at the same time and hop away.

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safety services SIOUX VALLEY ENERGY offers several services that are intended to keep you safe. Before you start that spring project that requires digging learn about our underground locating services. Also, if you have a tree that seems to be drooping into an electric line, please contact us.

√TREE TRIMMING SERVICES

For efficient and safe operation of equipment and power lines, right-of-way clearing of trees and brush is essential. Branches that come in contact with power lines can be potential fire hazards or can lead to reduced reliability because of unnecessary outages. Sioux Valley Energy rotates a treetrimming crew through its service territory every 4 1/2 years. The cooperative will also respond to member requests to safely remove branches/brush from powerlines. Do NOT try to cut down or remove vegetation yourself if it is within the vicinity of a power line.

√UNDERGROUND LOCATING SERVICE

Before you plan to dig, you are required by law to contact the underground locating service by dialing 811 at least 48 hours (not including holidays or weekends) prior to digging. This service is free of charge to the public and is meant to protect you and others from electrical contact and potential injury.

√HOUSE, BUILDING AND EQUIPMENT MOVE SERVICE

Every year Sioux Valley Energy assists with safely moving houses through its service territory by making special arrangements for electrical services that may be in the way of the large structure. As per state law, SVE requires a 48 hour notice prior to each house move along with a deposit that can be made at one of our service centers or can be given to a line worker on site. Deposit amounts are based on the number of miles the house will be traveling and the loaded height of the house. Any additional costs will be billed following the move and any excess funds from the deposit will be refunded in the form of a check.

√24-HOUR DISPATCH CENTER

Sioux Valley Energy has 24 hour, seven days a week, 365 days a year, in-house dispatching services for customers and line workers. That means when you call in to report an electrical outage, you'll have the satisfaction of speaking to a friendly, courteous "real person". Occasionally, when a wide-spread storm disrupts service to hundreds or thousands of customers at the same time, your call may be answered by a computerized system. Our dispatchers are able to answer after-hour questions and can forward messages for more detailed questions to be answered the following business day.

statement of nondiscrimination SIOUX VALLEY ENERGY IS AN EQUAL OPPORTUNITY PROVIDER AND EMPLOYER. IN ACCORDANCE WITH FEDERAL CIVIL RIGHTS LAW AND U.S. DEPARTMENT OF AGRICULTURE (USDA) CIVIL RIGHTS REGULATIONS AND POLICIES, THE USDA, ITS AGENCIES, OFFICES, AND EMPLOYEES, AND INSTITUTIONS PARTICIPATING IN OR ADMINISTERING USDA PROGRAMS ARE PROHIBITED FROM DISCRIMINATING BASED ON RACE, COLOR, NATIONAL ORIGIN, RELIGION, SEX, GENDER IDENTITY (INCLUDING GENDER EXPRESSION) SEXUAL ORIENTATION, DISABILITY, AGE, MARITAL STATUS, FAMILY/PARENTAL STATUS, INCOME DERIVED FROM A PUBLIC ASSISTANCE PROGRAM, POLITICAL BELIEFS, OR REPRISAL OR RETALIATION FOR PRIOR CIVIL RIGHTS ACTIVITY, IN ANY PROGRAM OR ACTIVITY CONDUCTED OR FUNDED BY USDA (NOT ALL BASES APPLY TO ALL PROGRAMS). REMEDIES AND COMPLAINT FILING DEADLINES VARY BY PROGRAM OR INCIDENT. PERSONS WITH DISABILITIES WHO REQUIRE ALTERNATIVE MEANS OF COMMUNICATION FOR PROGRAM INFORMATION (E.G., BRAILLE, LARGE PRINT, AUDIOTAPE, AMERICAN SIGN LANGUAGE, ETC.) SHOULD CONTACT THE RESPONSIBLE AGENCY OR USDAยนS TARGET CENTER AT (202) 720-2600 (VOICE AND TTY) OR CONTACT USDA THROUGH THE FEDERAL RELAY SERVICE AT (800) 877-8339.

ADDITIONALLY, PROGRAM INFORMATION MAY BE MADE AVAILABLE IN LANGUAGES OTHER THAN ENGLISH. TO FILE A PROGRAM DISCRIMINATION COMPLAINT, COMPLETE THE USDA PROGRAM DISCRIMINATION COMPLAINT FORM, AD-3027, FOUND ONLINE AT HOW TO FILE A PROGRAM DISCRIMINATION COMPLAINT AND AT ANY USDA OFFICE OR WRITE A LETTER ADDRESSED TO USDA AND PROVIDE IN THE LETTER ALL OF THE INFORMATION REQUESTED IN THE FORM. TO REQUEST A COPY OF THE COMPLAINT FORM, CALL (866) 632-9992.

SUBMIT YOUR COMPLETED FORM OR LETTER TO USDA BY: (1) MAIL: U.S. DEPARTMENT OF AGRICULTURE, OFFICE OF THE ASSISTANT SECRETARY FOR CIVIL RIGHTS, 1400 INDEPENDENCE AVENUE, SW, WASHINGTON, D.C. 20250-9410; (2) FAX: (202) 690-7442; OR (3) EMAIL: PROGRAM.INTAKE@ USDA.GOV. SIOUX VALLEY ENERGY IS AN EQUAL OPPORTUNITY PROVIDER AND EMPLOYER.

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SMART HUB ONLINE & MOBILE With SMARTHUB, you can view and pay your bill as well as monitor your electric usage online and through a phone app. You have instant access to your account anytime of the day and can notify Sioux Valley Energy of any account or service issues and check your usage on the go. To pay your electric bill through SMARTHUB, you will need to enter your checking account or debit/credit card information into the SMARTHUB system on our website.

HOW DO YOU GET THE APP? • You can download the app from either Apple Store or Android Market. You can set up your notifications for a variety of reasons, such as: your bill is ready, your bill is past due, payment confirmation of recurring payments and many others.

bylaws

ARTICLES OF INCORPORATION AND BYLAWS Both the Articles of Incorporation and Cooperative’s Bylaws can be found online at www.siouxvalleyenergy. com or you can request a copy of either by calling the Cooperative office. A copy of the most recent Bylaws are also inserted into the Cooperative Connections and mailed to each member once a year. The Bylaws are adopted by the member-owners for the governing, regulation and accountability of cooperative affairs.

Only the membership, by majority vote, can alter, amend, or repeal the Bylaws.

QUICK REFERENCE CO-OP PHONE NUMBER: 800-234-1960 AUTOMATED PAYMENT PHONE NUMBER: 877-779-7476 WEBSITE: WWW.SIOUXVALLEYENERGY.COM ONLINE BILL PAY AND ELECTRIC USAGE MONITORING: SIOUXVALLEYENERGY.SMARTHUB.COOP MAILING ADDRESS: SIOUX VALLEY ENERGY P.O. BOX 216 COLMAN, SD 57017 PHYSICAL LOCATIONS: COLMAN HEADQUARTERS 47092 SD HWY 34 - COLMAN, SD 57017 BRANDON SERVICE CENTER 108 N. HERITAGE RD. - BRANDON, SD 57005 PIPESTONE SERVICE CENTER 1102 7TH ST. SE - PIPESTONE, MN 56164 OFFICE HOURS: 7:30 A.M. - 4:30 P.M.