201 9 201 ANNUAL REPORT 9 ANNUAL REPORT
2
SECO Energy SECO Energy 20192Annual2019 Report Annual Report
3 4 6 7 8 9 10 11 12 13 14 15 JIM DUNCAN JIM DUNCAN CEO
CEO
LETTER TO MEMBERS
Dear Members, SECO Energy’s mission is to construct, maintain and restore the electric system when outages occur. We construct new facilities to meet the growing demand for affordable, safe, reliable power in our 2,100-square mile territory. Our system is upgraded and rigorously maintained to prevent outages. When an outage occurs, crews quickly respond to restore service safely.
Storm hardening our electric system is also a top priority. We aggressively replace aging poles that have the potential to fail and cause outages. Our annual tree trimming budget has increased from $9 million in 2017 to almost $18 million projected in 2020 to target trees growing too close to power lines that are likely to cause outages.
In 2019, SECO added 6,189 new services. Our member count at 2019 year-end was 210,815 members. Growth of this caliber is almost unheard of among electric cooperatives as the median size co-op nationally is just 13,000. SECO is the third-largest cooperative in Florida and the seventh-largest cooperative in the nation.
SECO Energy’s 400+ world-class employees excel in member satisfaction. In 2019, our American Customer Satisfaction Index (ACSI) score came in at 90. This is a one-point increase from our 2018 score, and makes SECO a customer satisfaction leader.
Growth brings its own unique challenges. The cost of everything associated with operating, constructing and maintaining a state-ofthe-art electric system is rising. We are building new substations, adding power transformers at existing substations, upgrading voltage and conductor and converting critical overhead facilities to underground. Our 2020 construction work plan tops $55 million and is configured to preserve the balance between reliability and affordability. The work plan includes building new communication towers, upgrading our radio system and installing fiber-optic cable and microwave backhaul for automated communications that facilitate faster and safer outage restoration.
Thank you for your membership and the trust you place in SECO as your local not-for-profit electric cooperative. Sincerely,
Jim Duncan Chief Executive Officer
Jerry Hatfield
President, Board of Trustees
SECO Energy 2019 Annual Report
1
24
NEW SUBSTATION NEW SUBSTATION NEW SUBSTATION
EXISTING SUBSTATION UPGRADE EXISTINGEXISTING SUBSTATION SUBSTATION UPGRADE UPGRADE
24
98
NEW FIBER NEW FIBER NEW FIBER
NEW COMMUNICATIONS TOWER NEW COMMUNICATIONS NEW COMMUNICATIONS TOWER TOWER
POLE REPLACEMENTS POLE REPLACEMENTS POLE REPLACEMENTS
TREE TRIMMING/REMOVALS TREE TRIMMING/REMOVALS TREE TRIMMING/REMOVALS
THREE-PHASE CONVERSION THREE-PHASE THREE-PHASE CONVERSION CONVERSION
25 KV CONVERSION 25 KV CONVERSION 25 KV CONVERSION
UNDERGROUND CONVERSION/UPGRADES UNDERGROUND UNDERGROUND CONVERSION/UPGRADES CONVERSION/UPGRADES
FIBER FIBER FIBER
201 9 ANNUAL REPORT MICROWAVE BACKHAUL MICROWAVE MICROWAVE BACKHAUL BACKHAUL
SECO ENERGY SERVICE TERRITORY SECO ENERGY SECO ENERGY SERVICE SERVICE TERRITORY TERRITORY
H
2
SECO Energy 2019 Annual Report
27A
4 500
Morriston Blitchton 121 Morriston Morriston
LEVY 98 EVY LEVY 121
25
500 Blitchton Blitchton
121
25
27
75 75
Rainbow Park
55 55
Rainbow ParkRainbow Park
Martel
Martel Martel
75 492
301 301
Inglis
27
27
Dunnellon Dunnellon Dunnellon
Inglis
11 11
40
19
441
Crystal River Crystal River Crystal River
75
Homosassa HomosassaSprings Homosassa Springs Springs
Rutland Inverness Inverness Inverness
Floral City
Villages
Lake Villages
700
19 19
700
19
HERNANDO HERNANDO HERNANDO Brooksville Brooksville
50 50
50
Brooksville 50 50
Spring Spring HillSpring Hill Hill 19
Hudson n Hudson
19
Altoona
Umatilla
Umatilla Umatilla
LAKE Fruitland LAKE LAKE Fruitland ParkFruitland Eustis
91
93 27 27
Lake Apopka Lake Apopka Apopka
Ocoee Winter OcoeeWinter Ocoee Garden Garden
33
75 PASCO 75 PASCOPASCO
Dade City Dade City Dade City 75
33
429
Orlando 408 Orlando Orlando 408
408 417 417 528 528
400
4
4 192 192
528
17 17
4
Oviedo Oviedo
423
400
CEO
192
Oviedo
423
JIM DUNCAN
Four Four Corners Four Corners Corners
4 SEMINOLE SEMINOLE SEMINOLE
423
400
33
Sanford Sanford
ORANGE ORANGE ORANGE 417
27 25
4
4 4
Apopka 436 Altamonte Apopka 436 Altamonte 436 Altamonte Springs Springs Springs Lake
25 25
Sanford
Apopka
429 429
4
Deltona Deltona Deltona
Lake
50 93 93
DeLand DeLand 4
Paisley Paisley
Altoona Paisley Altoona
FL Bushnell Bushnell Tu rnFpL FL Ferndale ikTeu Tu Webster 75 rnp rnp Ferndale Ferndale i i k k Webster Webster e e 75 Mascotte Minneola Mascotte 50 Mascotte Minneola Minneola 50 50 Tarrytown Winter Groveland Clermont 50 Tarrytown Tarrytown Groveland Garden Groveland Clermont Clermont 50 50
75
700
DeLand
Wildwood FL Tur Wildwood Wildwood nFpLi LT Park Park Eustis Eustis kTeur urn 441 npi pik ke e 441 441 Leesburg Sorrento Tavares Coleman Adamsville Leesburg Leesburg Sorrento Tavares Tavares Sorrento Coleman Coleman Adamsville Adamsville Lake 500 Okahumpka Lake Panasoffkee Lake Sumterville 500 500 Okahumpka Okahumpka Yalaha Panasoffkee Panasoffkee Zellwood Sumterville Sumterville Howey-inYalaha Yalaha 27 Zellwood AstatulaZellwood Howey-in- the-Hills Howey-in27 27 91 the-Hills Astatula the-Hills Astatula
Rutland Rutland F
Floral City Floral City
Lady Oxford The LadyThe Lake Lady Oxford Oxford 75 The Villages
SUMTER 91 SUMTER SUMTER Bushnell
19
VOLUSIA VOLUSIA VOLUSIA
27
75
CITRUS CITRUS CITRUS
40
Ocklawaha Belleview Ocklawaha Ocklawaha Belleview Belleview
19
9
40 40
Marion Summerfield Marion Oaks Marion Oaks OaksSummerfield Summerfield Weirsdale Linadale Weirsdale Weirsdale Linadale Linadale
19
11
40 40
301 441 441
95
95
492
Ocala 492 Ocala Ocala
55
1 1
SYSTEM IMPROVEMENT MAP SYSTEM SYSTEM IMPROVEMENT IMPROVEMENT MAP MAP
MARION MARION MARION
27 27
FLAGLER FLAGLER FLAGLER
Salt Springs Salt Salt Springs Springs
25
500
8
is
PUTNAM PUTNAM PUTNAM
27A Williston Williston Williston
17
SECO Energy 3 2019 AnnualSECO Report SECO Energy 3 Energy 2019 Annual Report 2019 Annual Report
3
9
OUR YEAR BY THE NUMBERS
M E M B E RS
3.47
90 2 01 9 AC S I SCO R E
31.77% ME M B ER EQ UITY
TIER 2.07
B IL L I ON KWH S OL D
3rd
LARG E ST CO -O P IN FLO RIDA
7th
LARGEST IN THE
NATION
4
SECO Energy 2019 Annual Report
TOTAL PLANT INVESTMENT
$917.8 MILLION
90 75
73
73
SECO ENERGY
INVESTOR-OWNED
MUNICIPALS
OTHER CO-OPS
In 2019, members rated SECO Energy a customer satisfaction leader. Our 2019 ACSI score is an impressive 90. This is a one-point increase over our 2018 score. Our score of 90 is tops when compared to average ACSI scores in the energy industry. Nationally, cooperative utilities averaged 75 in 2019, which is two points lower than the 2018 score. Investor-owned utilities and municipal utilities scores averaged 73, both of which are two points lower than the 2018 score. Thank you, members, for your recognition of our employees’ efforts.
SECO Energy 2019 Annual Report
5
SECO Energy’s Board of Trustees are members who live in SECO’s service territory. They are elected to oversee the governance of the cooperative. Each Trustee on the Board is elected by the members who reside in his/her District. Collectively, the Trustees are responsible for establishing, reviewing and revising corporate policies to ensure that SECO continues to preserve reliable, affordable service for all members.
6
SECO Energy 2019 Annual Report
JERRY D. HATFIELD District 9 President
RICHARD DENNISON District 4 Vice President
BILL JAMES District 8 Secretary-Treasurer
SCOTT D. BOYATT District 1
DILLARD B. BOYATT District 2
GERALD B. ANDERSON District 3
RAY F. VICK District 5
EARL MUFFETT District 6
JOSEPH E. KUSIAK District 7
27
LEVY
DISTRICT MAP
41
40
Ocala
200
75
Lake Weir 19
MARION CITRUS
Umatilla
301
44
41
District 1 S. Boyatt District 2 D. Boyatt District 3 Anderson District 4 Dennison District 5 Vick District 6 Muffett District 7 Kusiak District 8 James District 9 Hatfield
Wildwood
Lake Griffin
Lake Eustis
441
Leesburg
Lake Panasoffkee
44
Lake Harris
48
Lake Apopka 301
50
HERNANDO
Clermont
471
LAKE PASCO
SUMTER
33
27
SECO Energy 2019 Annual Report
7
EXECUTIVE
OUR PURPOSE
LEADERSHIP
To provide exceptional service to our members, co-workers and communities.
JIM DUNCAN
Chief Executive Officer
OUR VALUES Member Commitment Honesty and Integrity Safety Strong Work Ethic Teamwork Open Communication
BEN BRICKHOUSE VP of Engineering
GENE KANIKOVSKY Chief Financial Officer
8
SECO Energy 2019 Annual Report
NORA BROWN
Sr. Executive Assistant
JOHN LASELVA VP of Operations
KATHRYN GLORIA VP of Corporate Communications
GREGG MORRELL
VP of Corporate Services & Human Resources
INDEPENDENT AUDITOR’S REPORT
Board of Directors Sumter Electric Cooperative, Inc. Sumterville, Florida Report on the Financial Statements We have audited the accompanying financial statements of Sumter Electric Cooperative, Inc. (the Cooperative), which comprise the balance sheets as of December 31, 2019 and 2018, and the related statements of revenues and patronage capital, and cash flows for the years then ended, and the related notes to the financial statements. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Cooperative, as of December 31, 2019 and 2018, and the results of its operations and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States.
Other Matters Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements of the Cooperative’s basic financial statements. The Schedule of Expenditures of Federal Awards is presented for the purposes of additional analysis as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance), and is not a required part of the basic financial statements. The Schedule of Expenditures of Federal Awards is the responsibility of management and was derived from, and related directly to, the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the accompanying Schedule of Expenditures of Federal Awards is fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated February 11, 2020, on our consideration of the Cooperative’s internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Cooperative’s internal control over financial reporting and compliance. Other Reporting Required by 7 CFR Part 1773 In accordance with 7 CFR Part 1773, Policy on Audits of Rural Utilities Service Borrowers, §1773.33, we have also issued our report dated February 11, 2020, on our consideration of the Cooperative’s compliance with the terms, covenants, provisions, or conditions of their loan, grant, and security instruments as set forth in the regulatory requirements for electric borrowers, insofar as they relate to accounting matters enumerated therein. The purpose of that report is to describe the scope of our testing of the Cooperative’s compliance with the regulatory requirements for electric borrowers and the results of that testing, and not to provide an opinion on the Cooperative’s compliance with the regulatory requirements for electric borrowers. That report is an integral part of an audit in considering the Cooperative’s internal control over financial reporting and compliance.
February 11, 2020 Ocala, Florida Certified Public Accountants Laurel Ridge Professional Center . 2347 S.E. 17th Street . Ocala, Florida 34471 . (352) 732-3872 MEMBERS OF AMERICAN AND FLORIDA INSTITUTES OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER OF AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS PRIVATE COMPANIES AND S.E.C. PRACTIVE SECTIONS
SECO Energy 2019 Annual Report
9
BALANCE SHEETS | DECEMBER 31, 2019 AND 2018 ASSETS
2019
2018
Electric Plant Distribution, Transmission, and General Plant
Memberships
$
878,746,560
Total Electric Plant (Accumulated Provision for Depreciation and Amortization)
$
828,151,643
39,070,154
50,519,318
917,816,714
878,670,961
(204,325,724)
(198,127,664)
713,490,990
680,543,297
Investments Investments in Associated Organizations and Other Special Funds
$
Patronage Capital
937,010
272,268,172
2018 $
911,525
257,504,864
Accumulated Other Comprehensive Income
(692,156)
(519,288)
Other Equities
5,860,121
5,216,724
278,373,147
263,113,825
498,141,631
475,610,909
Capital Lease Obligation
3,678,601
2,806,272
Deferred Compensation Liability
2,132,463
1,555,821
503,952,695
479,973,002
19,989,058
17,333,663
Capital Lease Obligation - Portion Due Within One Year
1,467,007
1,032,088
Line of Credit
1,186,132
Total Equities
Long-Term Debt
Total Non-Current Liabilities 97,272,555
89,955,325
Current Liabilities Long-Term Debt - Portion Due Within One Year
Current Assets Cash and Cash Equivalents
2,027,502
2,468,372
Accounts Receivable - Consumers (Less Provision for Doubtful Accounts 2019 - $922,007, and 2018 - $1,293,251)
11,225,269
10,808,496
Accounts Payable
Other Receivables
17,892,879
20,912,606
Consumer Deposits
Unbilled Electric Revenues
13,474,363
9,937,438
Inventories
15,882,376
17,107,723
Prepayments and Other Current Assets
379,200
Total Current Assets Deferred Charges
SECO Energy 2019 Annual Report
2019
Non-Current Liabilities
Total Electric Plant - Cost Less Depreciation and Amortization
Total Assets
Equities
Construction Work in Progress
10
EQUITIES AND LIABILITIES
60,881,589 4,564,778 $
876,209,912 $
164,667 61,399,302 6,261,486 838,159,410
Other Current or Accrued Liabilities
Total Current Liabilities Deferred Credits Total Equities and Liabilities
$
-
19,548,807
34,821,115
17,819,162
17,395,843
18,749,902
11,629,114
78,760,068
82,211,823
15,124,002
12,860,760
876,209,912 $
838,159,410
STATEMENTS OF REVENUES AND PATRONAGE CAPITAL | DECEMBER 31, 2019 AND 2018 Operating Revenues
$
2019
395,780,230 $
2018 392,699,934
Transmission Expense
255,458,625
265,587,987
276,306
228,289
5,100,000
1,618,740
1,793,800
Total Other Margins
7,534,997
6,893,800
13,666,197
13,582,069
1,241,461
899,223
Other Non-Operating (Expense) Income 1,998,723
271,937
18,352,708
Net Operating Margins
Distribution Expense - Maintenance
37,394,763
29,836,108
Non-Operating Margins
Consumer Accounts Expense
12,629,391
12,274,676
Customer Service and Informational Expense
2,172,608
2,185,419
Administrative, General, and Other Expense
18,049,692
16,522,505
Depreciation Expense
27,120,911
25,487,271
Other Expense
(Total Operating Expenses) Operating Margins Before Fixed Charges
71,835
553,303
307,823
(373,068,304)
(370,854,621)
22,711,926
21,845,313
(16,580,726)
(15,157,044)
6,131,200
6,688,269
$
Other Capital Credits and Margins
19,334,959
77,746
2018
5,916,257 $
Distribution Expense - Operations
Taxes - Expense
2019
Other Margins G&T Cooperative Capital Credits
Operating Expenses Cost of Power
Interest Income
Total Non-Operating Margins Net Margins Patronage Capital, Beginning of Year
Reallocation of Unclaimed Patronage Capital (Retirement of Capital Credits) Patronage Capital, End of Year
$
3,240,184
1,171,160
16,906,381
14,753,229
257,504,864
248,116,609
1,345,150
-
(3,488,223)
(5,364,974)
272,268,172 $
257,504,864
Fixed Charges Interest on Long-Term and Short-Term Debt
Operating Margins After Fixed Charges
SECO Energy 2019 Annual Report
11
STATEMENTS OF COMPREHENSIVE INCOME DECEMBER 31, 2019 AND 2018
2019 2018
Net Margins
$
16,906,381
$
14,753,229
Other Comprehensive Net Margins
STATEMENTS OF CASH FLOWS DECEMBER 31, 2019 AND 2018 2019 2018
Cash Flows from Operating Activities Net Margins
$
$
14,753,229
Adjustments to Reconcile Net Margins to Net Cash Provided by (Used in) Operations:
Amortization of Unrecognized Prior Service Costs and Unrecognized Actuarial (Loss) Gain
(172,868)
125,411
Capital Credits and Patronage Dividend Certificates Assigned Depreciation
Comprehensive Net Margins
16,906,381
$
16,733,513
$
14,878,640
Provision for Uncollectible Accounts Amortization of Prepaid Pension
(7,534,997)
(6,893,800)
28,341,424
26,722,224
363,057 1,148,029
227,150 1,148,029
Changes in Assets - Decrease (Increase) and Liabilities - Increase (Decrease):
STATEMENTS OF CHANGES IN COMPREHENSIVE INCOME DECEMBER 31, 2019 AND 2018
2019 2018
Accumulated Other Comprehensive Income (Loss)–Beginning of the Year $
(519,288)
$(644,699)
Accounts Receivable
(4,316,755)
(4,589,861)
Other Receivables
3,019,727
(2,199,650)
Prepayments and Other Current Assets
(214,533)
Deferred Charges
548,679
(55,787)
Accounts Payable
(15,272,308)
2,647,181
423,319
928,669
7,120,788
(3,475,567)
576,642
9,748
2,263,242
161,668
Total Adjustments
16,466,314
14,603,278
Net Cash Provided by (Used in) Operating Activities
33,372,695
29,356,507
1,225,347
(1,354,257)
12,905,920 4,887,038
13,216,548 405,570
Consumer Deposits Amortization of Unrecognized Prior Service Costs and Unrecognized Actuarial (Loss) Gain
Accumulated Other Comprehensive Income (Loss)–End of the Year
Other Current Liabilities
(172,868)
125,411
Deferred Compensation Liability Deferred Credits
$
(692,156)
$
(519,288)
(26,726)
Cash Flows from Investing Activities Change in Inventory - Net of Salvage Contributions in Aid of Construction Received Proceeds from Disposition of Property
12
SECO Energy 2019 Annual Report
STATEMENTS OF CASH FLOWS | DECEMBER 31, 2019 AND 2018
2019 2018
2019 2018
Proceeds from Redemption of Patronage Capital Certificate
381,213
684,927
Cash and Cash Equivalents, End of Year
Proceeds from Redemption of Other Investments
57,155
370,732
Supplemental Disclosures of Cash Flow Information
(220,601)
(146,496)
Purchase of Other Investments Extension and Replacement of Plant
(68,637,402)
(63,186,735)
(7,542,289)
(4,490,820)
(56,943,619)
(54,500,531)
Plant Removal Cost
Net Cash Provided by (Used in) Investing Activities
Line of Credit (Net)
(19,767,298)
1,526,830
Proceeds from Long-Term Debt
45,500,000
72,000,000
Payments on Long-Term Debt
(17,821,616)
(18,647,399)
Payment to Cushion of Credit
18,461,163
(25,114,420)
(1,595,136)
(918,207)
470,529
774,111
25,485
24,340
1,345,150
-
Other Equities Membership Fees Reallocation of Unclaimed Patronage Capital Retirement of Capital Credits
$
2,027,502
$
16,655,345 $
2,468,372
15,054,955
Supplemental Schedule of Non-Cash Investing and Financing Activities The Cooperative Retired Certain Assets from its Plant Records as Follows:
Cash Flows from Financing Activities
Payments on Capital Lease Obligation
Cash Paid During the Year for: Interest
$
(3,488,223)
(5,364,974)
Net Cash Provided by (Used in) Financing Activities
23,130,054
24,280,281
Net Increase (Decrease) in Cash and Cash Equivalents
(440,870)
(863,743)
Cash and Cash Equivalents, Beginning of Year
2,468,372
3,332,115
Cost of Assets Retired $ 21,374,435 Plant Removal Costs 7,542,289 Material Salvaged (1,695,619)
Net Reduction in Accumulated Depreciation
$
$
27,221,105 $
14,701,232 4,490,820 (1,732,170)
17,459,882
The Cooperative Financed Certain Equipment Using a Capital Lease: Amounts not Included in Proceeds from Capital Lease Obligation
$
2,902,384
$
1,430,443
Amounts not Included in Extension and Replacement of Plant
$
2,902,384
$
1,430,443
SECO Energy 2019 Annual Report
13
Outage Map StormCenter is SECO Energy’s allin-one online outage reporting and communications platform. Members can report an outage 24/7, check the status of an existing outage or report an area light malfunction. StormCenter is designed specifically for use on your smartphone or tablet. Enroll in outage notifications to receive updates about current outages or scheduled system maintenance in your area. Members can choose to receive notifications via email, text, voice message or all three. Update your contact information and other settings to prepare for storm season. Visit SECOEnergy.com > StormCenter to explore the options.
CENTER Report Outage
Check Status
Manage Notifications CHECK STATUS
REPORT AN AREA LIGHT OUTAGE OR ISSUE.
NEED HELP? CONTACT US
14
SECO Energy 2019 Annual Report
LETTER TO MEMBERS LETTER TO MEMBERS LETTER TO MEMBERS
Dear Members, Dear Members, Dear Members,
9
95
95
The work plan includes building new communication towers, The work The planwork includes plan includes new building communication newfiber-optic communication towers, towers, upgrading our radio building system and installing cable and upgrading upgrading our radio our system radio system installing and fiber-optic installing fiber-optic cable cable and microwave backhaul forand automated communications thatand facilitate SECO Energy’s mission is to construct, maintain and restore the microwave microwave backhaul backhaul automated for automated communications communications that facilitate that facilitate SECO electric Energy’s SECO mission Energy’s ismission tooutages construct, is to construct, maintain and maintain restore and the restore the faster and for safer outage restoration. system when occur. We construct new facilities faster and faster safer and safer outage restoration. outage restoration. electric system electric when system outages when occur. outages We occur. construct We construct new facilities new facilities to meet the growing demand for affordable, safe, reliable power to meet to growing meet thedemand growing demand affordable, for affordable, safe, reliable power reliableand power in the our 2,100-square milefor territory. Our system issafe, upgraded in ourrigorously 2,100-square in our 2,100-square mile territory. mile Our territory. system Our is system upgraded upgraded and maintained to prevent outages. Whenis an outage and rigorously rigorously maintained maintained to prevent to to outages. prevent When When outagean outage S t o r m occurs, crews quickly respond restore outages. service an safely. S t o r mS t o r m occurs, crews occurs, quickly crews respond quicklytorespond restore to service restore safely. service safely. In 2019, SECO added 6,189 new services. Our member In 2019, SECO In at 2019, added SECO 6,189 added new 6,189 services. new members. Our services. member Our member count 2019 year-end was 210,815 Growth count of at this 2019 count year-end at 2019 was year-end 210,815 wasmembers. 210,815 members. Growth Growth caliber is almost unheard of among electric of thiscooperatives, caliber of thisis caliber almost almost size of unheard among electric among is electric as theisunheard median co-op of nationally cooperatives, as the median as thesize median co-opsize nationally co-op nationally is in is just cooperatives, 13,000. SECO is the third-largest cooperative just 13,000. just SECO 13,000. is the SECO third-largest is the third-largest cooperative cooperative in in Florida and the seventh-largest cooperative in the Floridanation. and Florida the seventh-largest and the seventh-largest cooperative cooperative in the in the nation. nation. Growth brings its own unique challenges. The Growth brings Growth its brings own unique its own challenges. unique The The cost of everything associated with challenges. operating, cost of everything cost of everything associated associated with operating, with operating, constructing and maintaining a state-of-theconstructing constructing and system maintaining and maintaining a state-of-thea state-of-theart electric is rising. We are building art electric system electric is system rising. We ispower rising. are building We are building newart substations, adding transformers new substations, new substations, adding power adding transformers power transformers at existing substations, upgrading voltage and at existing at substations, existing upgradingupgrading voltage voltage and conductor andsubstations, converting critical and overhead conductor conductor andtoconverting and converting critical overhead critical overhead facilities underground. facilities tofacilities underground. to underground. Our 2020 construction work plan tops $55 Our 2020 Our construction 2020is construction work planto work tops plan $55 tops million and configured preserve the$55 millionbalance and million isbetween configured and isreliability configured to preserve preserve the the and to affordability. balance between balance reliability between reliability and affordability. and affordability.
For just pennies a day, SECO Energy’s For just Forpennies just pennies a day,aSECO day, SECO Energy’s Energy’s Surge MitiGator™ helps take the bite out Surge Surge MitiGator™ MitiGator™ helps take helpsthe take bite the out bite out of damaging power surges and spikes of damaging of damaging powerpower surgessurges and spikes and spikes that can damage or destroy household that can that damage can damage or destroy or destroy household household appliances and sensitive electronics. appliances appliances and sensitive and sensitive electronics. electronics. This valuable protection is “Made This valuable This valuable protection protection is “Made is “Made in the USA” and includes a beastly in theinUSA” the USA” and includes and includes a beastly a beastly warranty. Visit SECOEnergy.com > warranty. warranty. Visit SECOEnergy.com Visit SECOEnergy.com > > Energy Solutions > Surge MitiGator EnergyEnergy Solutions Solutions > Surge > Surge MitiGator MitiGator to enroll or learn more today. to enroll to or enroll learn ormore learn today. more today. SURGE@SECOENERGY.COM SURGE@SECOENERGY.COM SURGE@SECOENERGY.COM
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For J.D. Power award information, visit jdpower.com. | To learn more about SECO Energy visit secoenergy.com.