SVEC Currents March 2017

Suwannee Valley

www.svec-coop.com

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(8 a.m. - 4:30 p.m. • Monday - Friday, Lobby Hours)

Business Office: 800-447-4509 (8 a.m. - 5 p.m. • Monday - Friday)

currents March 2017

Power Outage Reporting (Day, Night, Weekends & Holidays)

800-752-0025 SERVING THE SUWANNEE VALLEY OWNED BY THOSE WE SERVE 11340 100th Street • Live Oak, FL 32060

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SUWANNEE VALLEY ELECTRIC COOPERATIVE

2016 Annual Report

@SVEC_COOP_FL

CEO’S COR NER

We answer to you Michael S. McWaters Executive V.P./CEO

There have been many occasions when I’ve thought businesses and other organizations could benefit from adopting values similar to the cooperative principles, perhaps none more so than our commitment to open communication. Keeping members informed isn’t just about being transparent; it’s about being answerable to the people we serve, too.

Our responsibility to our members is one of the many reasons I’m proud to work with an electric cooperative like SVEC. We aren’t accountable to distant shareholders; we answer to you alone.

That’s by design because as a cooperative, we know we wouldn’t exist without the people we serve. It’s also why we believe in the power of open communication as one of our guiding principles.

Open communication is why we want to use this month’s newsletter to share some important information about SVEC. Here, you will find our financial report for 2016, as well as some visuals that help demonstrate what it all means. You can also review the minutes from last year’s annual meeting as we prepare to come together again this year.

It’s a shame that we can’t rely on other organizations to be so open, but we believe you as our members deserve to be informed about the workings of your cooperative. I hope you’ll take a moment to review this snapshot of SVEC’s standing, and we look forward to seeing everyone at our annual meeting on April 22. 

You're invited to our

annual meeting!

April 22 | 10 a.m.

SUWANNEE COUNTY AGRICULTURAL COLISEUM 1302 11th Street SW Live Oak, FL

Registration will be from 8:30 to 10 a.m. There will be bingo and drawings for prizes, but you must be present to win! We hope to see you there!

(Accumulated Provision for Depreciation) (42,861,122) (Accumulated Provision for Depreciation) ASSETS DECEMBER 31, 2016 AND 2015 (42,861,122) BALANCE SHEETS Utility 99,091,929 TotalTotal Utility PlantPlant 99,091,929

(39,946,326) (39,946,326) 95,784,743 95,784,743

SUWANNEE VALLEY ELECTRIC COOPERATIVE, INC. - LIVE OAK, FLORIDA DECEMBER 31, 2016 AND 2015 BALANCE SHEETS 2016 2015 SUWANNEE VALLEY ELECTRIC COOPERATIVE, INC. - LIVE OAK, FLORIDA Utility Plant DECEMBER 31, 2016 AND 2015 Electric Plant in Service VALLEY ELECTRIC COOPERATIVE, INC. $ - LIVE 140,847,526 $ 133,596,364 SUWANNEE OAK, FLORIDA STATEMENTS OF REVENUE CAPITAL ASSETSAND PATRONAGE Construction Work in Process

1,105,525

2,134,705

FOR THE YEARS ENDED DECEMBER 31, 2016 AND 2015 ASSETS 141,953,051 135,731,069 Other Property and Investments at Cost or Stated Other Property and Investments at Cost or Stated ValueValue 2016 2015 SUWANNEE VALLEY ELECTRIC COOPERATIVE, INC.(42,861,122) - LIVE OAK, FLORIDA (Accumulated Provision for Depreciation) (39,946,326)

ASSETS Investments in Associated Organizations and Other 11,776,461 10,735,494 Investments Organizations and Other fundsfunds 11,776,461 10,735,494 Utility Plant in Associated 2016 2015 Total Utility Plant 99,091,929 95,784,743 Electric Plant in Service $ 140,847,526 $ 133,596,364 Utility Plant 2016 2015 Construction in Process 1,105,525 31, $ 2,134,705 December 31, December Electric PlantWork in Service $ 140,847,526 133,596,364 Utility Plant 141,953,051 135,731,069 Construction Work in Process 1,105,525 2,134,705 2016 2015 Increase Electric Plant in Service for Depreciation) $ 140,847,526 $ (39,946,326) 133,596,364 (Accumulated Provision (42,861,122) 141,953,051 135,731,069 % Amount % (Decrease) Amount Construction Work in Process 1,105,525 2,134,705 Total Utility Plant 99,091,929 95,784,743 (Accumulated Provision for Depreciation) (42,861,122) (39,946,326) Operating Revenues 141,953,051 135,731,069 Total Utility Plant 99,091,929 Residential 37,234,933 63.5 $ 37,489,937 63.4 95,784,743 $ (255,004) Other Property and Investments at Cost or Stated$Value (Accumulated Provision for Depreciation) (42,861,122) (39,946,326) Commercial and Industrial 20,502,136 34.9 20,803,471 35.1 (301,335) Investments in Associated Organizations and Other Funds 11,776,461 10,735,494 Total Utility Plant 99,091,929 95,784,743 346,465 0.6 314,079 0.5 32,386 Power Cost Adjustment Current Assets Current Assets Rent from Electric Property 65,581 0.1 64,814 0.1 - General 7,152,229 6,760,024 767 CashCash - General 7,152,229 6,760,024 Other Electric Revenue 547,128 0.9 600,547 1.0 (53,419) Accounts Receivable Allowance for Uncollectible Accounts Receivable (Less(Less Allowance for Uncollectible Other Property and Investments at Cost or Stated Value (19,107) Unbilled Revenue 0.0 (72,836) -0.1 53,729 of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 Investments inRevenues Associated Organizations Other funds 11,776,461 10,735,494 Total Operating Revenues 58,677,136 100.0 59,200,012 (522,876) Other Property and Investments at Cost and or Stated Value Unbilled 424,453 100.0 443,560 443,560 Unbilled Revenues 424,453 Materials and Supplies Organizations and Other funds 622,470 679,334 Investments Associated 11,776,461 10,735,494 Materials andin Supplies 622,470 679,334 Operating Expenses OtherOther Property andand Investments at Cost or Stated Value Current Accrued Assets 1,998,377 191,744 Other Current and Accrued Assets 1,998,377 191,744 Cost of Purchased Power 37,821,889 64.5 38,888,746 65.69 10,735,494 (1,066,857) Investments in Associated 11,776,461 Total Current Assets Organizations and Other funds 13,386,307 11,369,926 Total Current 13,386,307 Distribution -Assets Operations 2,226,661 3.8 2,244,395 3.8 11,369,926 (17,734) Distribution Maintenance 5,109,658 8.7 4,833,942 8.2 275,716 Current Assets Deferred Charges 1,706,177 2,010,897 Deferred Charges 1,706,177 1,424,782 2.4 1,324,197 2.2 2,010,897 100,585 Consumer Accounts Cash - General 7,152,229 6,760,024 74,343 0.1 100,647 0.2 (26,304) Customer Service and Information Accounts Receivable (Less Allowance for Uncollectible Total Assets Total Assets $125,960,874 125,960,874 119,901,060 7,815 $ $ 0.0$119,901,060 Selling Expense 33,783 0.1 25,968 of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 3,162,867 5.4 2,935,656 5.0 227,211 Administrative and General Unbilled Revenues 424,453 443,560 Current Assetsand Amortization EQUITIES AND LIABILITIES EQUITIES AND LIABILITIES Depreciation 4,608,538 7.9 4,389,774 7.4 218,764 EQUITIES AND LIABILITIES Materials and Supplies 622,470 679,334 Cash - General 7,152,229 6,760,024 Taxes 9,176 0.0 54,613 0.1 (45,437) Current Assets Other Current and Accrued Assets 191,744 2016 1,998,377 2016 2015 2015 Accounts Receivable (Less Allowance for Uncollectible Other Interest 10,552 0.0 8,754 0.0 Cash - General 7,152,229 6,760,024 1,798 2016 201511,369,926 Total Current 13,386,307 Equities Equities Current AssetsAssets of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 Other Deductions 27,483 0.0 16,982 0.0 10,501 Accounts Equities Receivable (Less Allowance for Uncollectible Memberships $ $ 93,885 $ 92,570 92,570 Memberships 93,885$ Cash General 7,152,229 6,760,024 Unbilled Revenues 424,453 443,560 (Total Operating Expenses) 54,509,732 92.9 54,823,674 92.6 (313,942) Memberships $ 93,885 $ 92,570 of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 Patronage Capital 52,910,540 49,865,180 Patronage Capital 52,910,540 49,865,180 Deferred Charges 1,706,177 2,010,897 Accounts Receivable (Less Allowance for Uncollectible Materials and Supplies 622,470 679,334 Patronage Capital 52,910,540 49,865,180 Unbilled Revenues 424,453 443,560 Operating Margins Before Fixed Charges 4,167,404 7.1 4,376,338 7.4 (208,934) Other Comprehensive Income (103,700) (47,300) Other Comprehensive Income (103,700) (47,300) of $18,932 in 2016 and $19,019 in 2015) 3,188,778 3,295,264 Other Current and Accrued Assets 1,998,377 191,744 Other Comprehensive Income (103,700) (47,300) Materials and Supplies 622,470 679,334 Total Equities TotalRevenues Equities 52,900,725 49,910,450 Total Assets Fixed Charges $ 52,900,725 125,960,874 $49,910,450 119,901,060 Unbilled 424,453 443,560 Total Current Assets 13,386,307 11,369,926 Total Equities 52,900,725 49,910,450 Other Current and Accrued Assets 1,998,377 191,744 (Interest onand Long-term 2,230,791 3.8 2,302,809 3.9 (72,018) Materials Supplies Debt) 622,470 679,334 Total Current 13,386,307 11,369,926 Long-term Long-term DebtAssets Debt Other Current and Accrued Assets 1,998,377 191,744 Deferred Charges 1,706,177 2,010,897 Long-term Debt After Fixed Charges Operating Margins 1,936,613 3.3 2,073,529 3.5 (136,916) 26,104,509 26,104,509 21,212,687 21,212,687 RUS/FFB RUS/FFB Mortgage Mortgage Notes Less Notes Current Less Current Maturities Maturities TotalRUS/FFB CurrentMortgage Assets Notes Less Current Maturities 13,386,307 11,369,926 26,104,509 21,212,687 Other Deferred Charges 1,706,177 2,010,897 CFCMargins Mortgage CFC Mortgage Notes Less Notes Current Less Current Maturities Maturities 30,656,196 30,656,196 32,853,263 32,853,263 CFC Mortgage Notes Less Current Maturities 30,656,196 32,853,263 Total Assets 125,960,874 $ 1,218,463 119,901,060 Generation andObligations Transmission Capital Credits 972,821 1.7 $ 1,447,553 937,053 CapitalCapital Lease Lease Obligations 1,447,553 1.6 1,218,46335,768 Capital Lease Obligations 1,447,553 1,218,463 Deferred Charges 1,706,177 2,010,89760,161 Other Capital Credits 246,047 0.4 185,886 0.3 Total Assets Total Long-term Total Long-term Debt Debt 58,208,258 58,208,258 55,284,413 55,284,413 $ 125,960,874 $ 119,901,060 Total Long-term Debt 58,208,258 55,284,413 Total OtherSTATEMENTS Margins 1,218,868 2.1 1,122,939 1.9AT TIME 95,929 FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT. FINANCIAL ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE OF PRINT. Total Assets $ 125,960,874 $ 119,901,060 Debt Liabilities Debt Liabilities Other Long-term Other Long-term Net Other Operating Margins 3,155,481 5.4 3,196,468 5.4 (40,987) Long-term Debt Liabilities Deferred Compensation Deferred Compensation

Deferred Compensation Nonoperating Margins InterestAccumulated Income Accumulated Provision Provision for Pensions for Pensions and Benefits and Benefits Accumulated Provision for Pensions and Benefits Other Nonoperating Income (Loss) Post-retirement Post-retirement Benefit Benefit Obligation Obligation Benefit Obligation GainPost-retirement (Loss) on Disposition of Property Current Current Liabilities Liabilities Total Nonoperating Margins Current Liabilities

479,606 26,792 (34,709) 471,689

0.8 0.0 -0.1 0.8

30,302 30,302 30,302

80,084 80,084 80,084

267,497

0.5 212,109 0.0 838,880838,880 1,488 838,880 0 (51,796) 0.5 161,801

25,304 911,000 911,000 911,000 17,087 309,888

3,375,034 3,375,034 3,233,677 3,627,170 6.2 3,506,356 5.93,233,677 3,375,034 3,233,677 120,814 Accounts Accounts PayablePayable - Purchased - Purchased Power Power 2,561,716 2,561,716 2,587,715 2,587,715 Accounts Payable - Purchased Power 2,561,716 2,587,715 Other Comprehensive Income Accounts Accounts PayablePayable - Other - Other 680,003680,003 174,490174,490 FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT. Accounts Payable Other 680,003 174,490 56,400 85,200 (28,800) Adjustment for Postemployment Benefits Overbilled Overbilled Wholesale Wholesale Power Cost Power Adjustment Cost Adjustment 3,146,479 3,146,479 3,492,944 3,492,944 Overbilled Wholesale Power Cost Adjustment 3,146,479 3,492,944 Consumer Consumer Deposits Deposits 1,181,407 1,181,407 1,273,702 1,273,702 Comprehensive Income 3,683,570 3,591,556 Consumer Deposits 1,181,407 1,273,702 92,014 Accrued Accrued Taxes Taxes 109,845109,845 121,046121,046 56,400 85,200 (Adjustment for Postemployment Benefits) Accrued Taxes 109,845 121,046 (28,800) Accrued Accrued InterestInterest 1,025 1,025 1,096 1,096 Accrued Interest 1,025 1,096 FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT. Patronage Capital, Beginning ofAbsences the Year 49,865,180 46,791,969 3,073,211 Accrued Accrued Employee Employee Compensated Compensated Absences 1,407,154 1,407,154 1,305,329 1,305,329 Accrued Employee Compensated Absences 1,407,154 1,305,329 Patronage Capital Retired (800,662) STATEMENTS685,071 (646,969) (153,693) Other Current Other Current Liabilities Liabilities 685,071 856,694 856,694 FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL WERE UNAVAILABLE AT TIME PRINT. Other Current Liabilities 685,071 856,694 OF 5,028 218,852 213,824 Unclaimed Reassigned Total Current Total Patronage Current Liabilities Liabilities 13,147,734 13,147,734 13,046,693 13,046,693 Total Current Liabilities 13,147,734 13,046,693 FINANCIAL STATEMENTS UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT OF PRINT. Patronage Capital, End ofARE Year $ 52,910,540 $ 49,865,180 $ TIME3,045,360 Current PortionPortion of Long-term of Long-term Debt Debt NetCurrent Margins Current Portion of Long-term Debt

Deferred Deferred CreditsCredits Deferred Credits

Total Equities Total Equities and Liabilities and Liabilities Total Equities and Liabilities

762,855762,855 762,855

$

$

740,540740,540 740,540

125,960,874 $ 125,960,874$ 119,901,060 $ 119,901,060 125,960,874 $ 119,901,060

FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT.

STATEMENTS OF REVENUE AND PATRONAGE CAPITAL FOR THE YEARS DECEMBER 31, 2016 AND 2015 STATEMENTS OFENDED REVENUE AND PATRONAGE CAPITAL SUWANNEE FOR VALLEY ELECTRIC COOPERATIVE, INC. LIVE OAK, THE YEARS ENDED DECEMBER 31, 2016 AND 2015FLORIDA

SUWANNEE VALLEY ELECTRIC COOPERATIVE, INC. - LIVE OAK, FLORIDA

Operating Revenues Residential Operating Revenues Commercial and Industrial Residential Power Cost Adjustment Commercial and Industrial Rent from Electric Property Power Cost Adjustment Other Electric Revenue Rent from Electric Property Unbilled Revenue Other Electric Revenue Total Operating Revenues Unbilled Revenue

Operating Expenses Total Operating Revenues Cost of Purchased Power Operating Expenses Distribution - Operations Cost of Purchased Power Distribution - Maintenance Distribution - Operations Consumer Accounts Distribution - Maintenance Customer Service and Information Consumer Accounts Selling Expense Customer Service and Information Administrative and General Selling Expense Depreciation and Amortization Administrative and General Taxes Depreciation and Amortization Other Interest Taxes Other Deductions Other Interest (Total Operating Expenses) Other Deductions

Operating MarginsExpenses) Before Fixed Charges (Total Operating Fixed Charges Operating Margins Before Fixed Charges (Interest on Long-term Debt) Fixed Charges Operating After Debt) Fixed Charges (InterestMargins on Long-term Other Margins Operating Margins After Fixed Charges Generation and Transmission Capital Credits Other Margins Other Capital Credits Generation and Transmission Capital Credits Total Other Margins Other Capital Credits

Net Operating Margins Total Other Margins Nonoperating Margins Net Operating Margins Interest Income Nonoperating Margins Other Nonoperating Income (Loss) Interest Income Gain (Loss) on Disposition of Property Other Nonoperating Income (Loss) Total Nonoperating Margins of Property Gain (Loss) on Disposition

Net Margins Total Nonoperating Margins Other Comprehensive Income Net Margins Adjustment for Postemployment Benefits Other Comprehensive Income Comprehensive Income Adjustment for Postemployment Benefits (Adjustment for Postemployment Benefits) Comprehensive Income

Patronage Capital, Beginning of theBenefits) Year (Adjustment for Postemployment Patronage Capital Retired Patronage Capital, Beginning of the Year Unclaimed Patronage Reassigned Patronage Capital Retired Patronage Capital, End of Year Unclaimed Patronage Reassigned Patronage Capital, End of Year

December 31, 2016 31, December Amount2016 %

December 31, 2015 31, December Amount2015 %

% Amount Amount $ 37,234,933 63.5 $ 37,489,937 20,502,136 34.9 20,803,471 $ 37,234,933 63.5 $ 37,489,937 346,465 0.6 314,079 20,502,136 34.9 20,803,471 65,581 0.1 64,814 346,465 0.6 314,079 547,128 0.9 600,547 65,581 0.1 64,814 (19,107) 0.0 (72,836) 547,128 0.9 600,547 58,677,136 59,200,012 (19,107) 100.0 0.0 (72,836) 58,677,136 100.0 59,200,012 37,821,889 64.5 38,888,746 2,226,661 3.8 2,244,395 37,821,889 64.5 38,888,746 5,109,658 8.7 4,833,942 2,226,661 3.8 2,244,395 1,424,782 2.4 1,324,197 5,109,658 8.7 4,833,942 74,343 0.1 100,647 1,424,782 2.4 1,324,197 33,783 0.1 25,968 74,343 0.1 100,647 3,162,867 5.4 2,935,656 33,783 0.1 25,968 4,608,538 7.9 4,389,774 3,162,867 5.4 2,935,656 9,176 0.0 54,613 4,608,538 7.9 4,389,774 10,552 0.0 8,754 9,176 0.0 54,613 27,483 0.0 16,982 10,552 0.0 8,754 54,509,732 54,823,674 27,483 92.9 0.0 16,982 4,167,404 54,509,732

7.1 92.9

4,376,338 54,823,674

4,167,404 2,230,791

7.1 3.8

1,936,613 2,230,791 1,936,613 972,821 246,047 972,821 1,218,868 246,047

3,155,481 1,218,868

3,155,481 479,606 26,792 479,606 (34,709) 26,792 471,689 (34,709)

3,627,170 471,689 3,627,170 56,400

$ 52,910,540

% (Decrease) 63.4 $ (255,004) 35.1 (301,335) 63.4 $ (255,004) 0.5 32,386 35.1 (301,335) 0.1 767 0.5 32,386 1.0 (53,419) 0.1 767 -0.1 53,729 1.0 (53,419) 100.0 (522,876) -0.1 53,729 100.0 (522,876) 65.69 (1,066,857) 3.8 (17,734) 65.69 (1,066,857) 8.2 275,716 3.8 (17,734) 2.2 100,585 8.2 275,716 0.2 (26,304) 2.2 100,585 0.0 7,815 0.2 (26,304) 5.0 227,211 0.0 7,815 7.4 218,764 5.0 227,211 0.1 (45,437) 7.4 218,764 0.0 1,798 0.1 (45,437) 0.0 10,501 0.0 1,798 92.6 (313,942) 0.0 10,501 7.4 92.6

(208,934) (313,942)

4,376,338 2,302,809

7.4 3.9

(208,934) (72,018)

3.3 3.8

2,073,529 2,302,809

3.5 3.9

(136,916) (72,018)

3.3 1.7 0.4 1.7 2.1 0.4

5.4 2.1

2,073,529 937,053 185,886 937,053 1,122,939 185,886

3,196,468 1,122,939

3.5 1.6 0.3 1.6 1.9 0.3 5.4 1.9

(136,916) 35,768 60,161 35,768 95,929 60,161

(40,987) 95,929

5.4 0.8 0.0 0.8 -0.1 0.0 0.8 -0.1

3,196,468 267,497 25,304 267,497 17,087 25,304 309,888 17,087

5.4 0.5 0.0 0.5 0 0.0 0.50

(40,987) 212,109 1,488 212,109 (51,796) 1,488 161,801 (51,796)

6.20.8

3,506,356 309,888

5.9 0.5

120,814 161,801

6.2

3,506,356 85,200

5.9

120,814 (28,800)

3,683,570 56,400 56,400 3,683,570

49,865,180 56,400 (800,662) 49,865,180 218,852 (800,662) $ 52,910,540 218,852

Increase (Decrease) Increase

3,591,556 85,200 85,200 3,591,556

$ $

46,791,969 85,200 (646,969) 46,791,969 213,824 (646,969) 49,865,180 213,824 49,865,180

92,014 (28,800) (28,800) 92,014

$ $

3,073,211 (28,800) (153,693) 3,073,211 5,028 (153,693) 3,045,360 5,028 3,045,360

FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT. FINANCIAL STATEMENTS ARE UNAUDITED. AUDITED FINANCIAL STATEMENTS WERE UNAVAILABLE AT TIME OF PRINT.

Electricity is a True Value

The electricity provided by your electric cooperative is one of today’s best values. It maintains a comfortable temperature in your home, stores and cooks your food, cleans your clothes and keeps you entertained at a very reasonable cost. In fact, with electricity from SVEC, you can power your whole day for less than the $6.99 price of a McDonald’s® Big Mac® Value Meal.

Where did your dollar go in 2016?

SVEC

State Average

FOR LESS THAN $6.99 ALL OF THESE APPLIANCES CAN RUN FOR...

24 hrs refrigerator 8 hrs central air conditioner 8 hrs ceiling fan 7 hrs 42’’ LCD TV 5 hrs laptop computer 4 hrs twenty CFL lamps 3 hrs game console

2 hrs coffee maker 2 hrs clothes washer 2 hrs cellphone charger 2 hrs clothes dryer 2 hrs electric oven 1 hr microwave oven 1 hr dishwasher

Controllable Expense per Customer

MINUTES OF THE ANNUAL MEETING OF THE MEMBERS APRIL 23, 2016 The Annual Meeting of the Membership of Suwannee Valley Electric Cooperative, Inc. was held Saturday, April 23, 2016, at the Suwannee County Agricultural Coliseum, Live Oak, Florida. The meeting was called to order at 10:00 a.m. by President Hugh Hunter. Prior to the meeting being called to order, registration opened at 8:30 a.m. and members were entertained by the singing group The Mended Hearts Quartet, Lake City, Florida.

The invocation was given by Pastor Alex Fountain, who also led the Pledge of Allegiance.

Mr. Hugh Hunter, President of the Board of Trustees, welcomed and thanked all members present. Mr. Hunter then called on Mr. McWaters, Executive V.P./CEO, to introduce the guests and Trustees. Mr. McWaters thanked Pastor Fountain and introduced the guests and Trustees. Mr. McWaters then called on the 2015 Youth Tour participants, Ms. Lacey Swafford and Ms. Hailey Hall, to address the membership. Mr. McWaters then called on Mr. Putnal, Secretary of the Board of Trustees, to announce the quorum. Mr. Putnal announced that a quorum was present. Mr. Putnal moved to dispense with the reading of the Official Notice and the Minutes of the 2015 Meeting, since these were distributed in the March 2016 newsletter. Motion was seconded and carried to dispense with the reading of the minutes and notice. The Minutes were then approved as presented.

Mr. Putnal then introduced Mr. Tim Steichen, Treasurer, to present the Treasurer’s Report. Mr. Steichen presented a report to the members using data from the 2015 Annual Audit and Operating Report.

Mr. Steichen then called on Mr. McWaters to introduce the guest speaker. Mr. McWaters introduced Ms. Lisa Johnson, Seminole Electric Cooperative CEO. Mr. McWaters then gave the Manager’s Report and spoke about the safety of SVEC’s employees and what SVEC is doing to ensure employees are safe. Mr. McWaters then called upon Mr. Josh Crapps, Attorney for the Board, to conduct the business session of the meeting.

Mr. Crapps called for the election of Trustees. Mr. Putnal, Secretary of the Board of Trustees, reported that meetings were held at the District level for Districts 7, 8, and 9. Mr. Putnal placed in nomination those trustees nominated at the District Meetings: District 7, Mr. Hugh Hunter; District 8, Mr. Tim Steichen; District 9, Mr. Bill Hart. There was a motion and a second to elect Mr. Hunter, Mr. Steichen and Mr. Hart as members of the Board of Trustees by unanimous ballot because no other persons were nominated from their Districts. Motion carried, and Mr. Hunter, Mr. Steichen and Mr. Hart were duly elected to the Board.

Mr. Crapps then called for any old business to be brought before the membership. Hearing none, Mr. Crapps then called for any new business. Hearing none, Mr. Crapps concluded the business portion of the meeting.

The next order of business was the drawing for the prizes, conducted

by Trustee Hugh Hunter and Mr. Tim Steichen with assistance by Suwannee Valley Electric employees.

There being no further business to come before the members, Trustee Hugh Hunter adjourned the meeting at 11:30 a.m.