It seems like everything today costs more. Yet for about $6.36 a day, you can cool your home, power your laptops, enjoy a hot shower, watch your favorite shows and be sure the lights turn on when you need them.
As your power provider, Rappahannock Electric Cooperative (REC) is locked in on providing you with reliable electric service at the lowest possible price, making careful decisions that are focused on you.
Here's what that looked like in 2023.
Improving reliability takes a lot of work. Our field teams and contractors removed more than 27,000 hazard trees; replaced more than 4,000 poles; installed more than 2,200 new transformers; added 4,800 animal guards; added or replaced more than 300 miles of wire; and using drones checked the health of more than 28,000 power poles. Whether it’s sweltering or freezing, windy or snowing, our crews are out there, always focused on you.
We are also proud to support our communities. REC’s employee-funded charity, Project Big Heart, donated more than $70,000 to local organizations that support low-income residents, veterans groups and social services. Our employees also volunteer thousands of hours each year. Through The Power of Change, in which members round up their electric bill or donate in other ways, we supported 52 local nonprofits with another $239,000 in contributions.
Supporting these nonprofits and charities is just one more way we are focused on you.
To help our members find ways to save money, we rolled out improved money savings tools in our MyREC SmartHub web portal and app. Complete your Home Energy Profile to get savings tips tailored just for you.
We are proud to offer these new tools that are focused on you.
Many REC members are proud to call beautiful rural Virginia their home, yet lack reliable internet. That’s why REC is proud to partner with internet service providers working to bring broadband to unserved and underserved members. Again, we are focused on you.
Over the past year, many communities served by REC have seen economic growth -- including large-scale data centers, the Kalahari water park and convention center, and other game-changing development projects and business expansions. Our counties count on these businesses to keep your taxes low, provide jobs where you live and to fund parks and schools.
Our economic development team is proud to partner with our communities. This is another way we stay focused on you.
In the coming years, you will see energy savings, improved reliability and increased value as a result of a $38 million U.S. Department of Energy grant announced last October. This money will help fund the latest technology for REC to improve reliability without members bearing extra expense. Working to secure those funds to improve your service is just one more way that your Cooperative remain focused on you.
In closing, we are so very proud of our employees’ efforts to provide you with the affordable power you rely on at an affordable price. 2024 is already off to a strong start, and on behalf of your leadership team and the Board of Directors, we are so grateful for the opportunity to serve you.
Together with you, #WeAreREC.
BALANCE SHEETS
| (CONSOLIDATED) | 2023 (IN THOUSANDS) |
2022 (IN THOUSANDS) |
|---|---|---|
| Assets | ||
| Total Utility Plant | $ 1,434,566 | $ 1,314,435 |
| Accumulated Provision for Depreciation | (553,076) | (524,204) |
| Net Utility Plant | 881,490 | 790,231 |
| Investments | 160,447 | 156,002 |
| Current Assets | 149,386 | 165,976 |
| Deferred Charges | 7,710 | 10,377 |
| Total Assets | $ 1,199,033 | $ 1,122,586 |
| Equity and Liabilities | ||
| Total Equity | $ 442,069 | $434,775 |
| Long-Term Debt | 597,963 | 586,854 |
| Current Liabilities | 144,853 | 86,935 |
| Other Liabilities | 14,148 | 14,022 |
| Total Equities and Liabilities | $ 1,199.033 | $ 1,122,586 |
STATEMENT OF OPERATIONS & PATRONAGE CAPITAL
| (CONSOLIDATED) | 2023 (IN THOUSANDS) |
2022 (IN THOUSANDS) |
|---|---|---|
| Operating Revenue | $ 507,005 | $ 479,216 |
| Operating Expenses | ||
| Cost of Power/Cost of Goods Sold | 333,093 | 312,561 |
| Transmission | 1,004 | 805 |
| Distribution – Operations | 16,639 | 17,139 |
| Distribution – Maintenance | 39,717 | 42,415 |
| Consumer Accounts | 16,478 | 15,429 |
| Consumer Service | 3,202 | 2,964 |
| Administrative and General | 29,168 | 25,799 |
| Total Operating Expenses | 439,301 | 417,112 |
| Other Expenses | ||
| Depreciation | 45,601 | 44,783 |
| Interest on Long-term Debt | 20,559 | 18,044 |
| Other | 1,588 | 1,502 |
| Total Other Expenses | 67,748 | 64,329 |
| Total Expenses | 507,049 | 481,441 |
| Operating Margins | (44) | (2,225) |
| Non-Operating Margins | ||
| Patronage Capital Assigned | 5,329 | 5,166 |
| Interest Income | 3,236 | 1,723 |
| Other | 2,689 | 1,142 |
| Total Non-Operating Margins | 11,254 | 8,031 |
| Net Margins | $ 11,210 | $ 5,806 |
| Times Interest Earned Ratio | 1.5 | 1.3 |
| Debt Service Coverage Ratio | 1.8 | 1.8 |
| Patronage Capital - Beginning of Year | $ 435,255 | $ 438,404 |
| Net Margins | 11,210 | 5,806 |
| Net Retired Patronage Capital | (3,417) | (8,955) |
| Patronage Capital - End of Year | $ 443,048 | $ 435,255 |
