SOUTHEASTERN LIGHT
May 2004 Manager’s Comments
back

BOARD STRUCTURE

From time to time this column has been used to update our consumer-owners on the differences between your Cooperative and the other entities who also supply electric service in Southern Illinois.

As mentioned in the past, one area of considerable difference exists in the board structure of electric cooperatives as compared to that of investor-owned utilities.  SouthEastern’s Bylaws mandate that a member must live in the Cooperative’s service area and be receiving electric service from the Cooperative in order to be eligible to serve as a Trustee; all of which you have heard before.

In addition, SouthEastern Board Members do not benefit personally when the Cooperative generates margins, which meet or exceed our lender’s requirements in any given year, but instead benefit collectively with all other members through patronage capital refunds and enhanced value of membership.  That situation is in sharp contrast to that of other electric suppliers, whose boards are most often comprised of major corporate shareholders who directly benefit from the maximization of profits.


GOVERNANCE

The functions of a cooperative’s board include overseeing the management of corporate assets, developing the corporate mission, objectives, strategy and policies, and hiring a general manager.  Typically for most cooperative boards, including SouthEastern, the general manager is the only employee they hire.  The general manager is totally responsible for hiring all other employees required to assist him or her in the operation of the cooperative.

The general manager is responsible for the day-to-day activities and operation of the cooperative, including the implementation of policies established by the board; but the  board is responsible for periodically reviewing the general manager’s performance to ensure it complies with the mission, objectives and policies they have established.

Generally speaking, cooperative boards also select an attorney, who provides legal advice to both the Board and General Manager.  Technically however, the attorney works for and is responsible to the corporate entity.


MORE THAN YOU WANTED TO KNOW?

Although the above information may be more than you wanted to know, it is offered to assist our consumer-owners in a couple of areas.

First of all, if you are looking for employment, please stop by SouthEastern’s Eldorado Headquarters and pick up an application.  Although we have no available positions at this time, we always like to have applications on file in the event an opening should occur.  Applications are good for one year and we are an equal opportunity employer.  Contrary to perception, SouthEastern Board Members are not involved in the hiring or firing of cooperative employees, other than the positions of General Manager and attorney as previously noted.

Secondly, if you are having any type of problem with the Cooperative or the services it provides, please contact an appropriate SouthEastern employee to resolve the issue.

I am very proud of the fact that our employees are trained to address about any type of problem you might have; but in the unlikely event they are unable to assist you, members are always welcome to contact me by phone to discuss their specific problem or to arrange an appointment to visit me in person.  Have you tried doing that with any of the other area energy suppliers?  If so, you’ve probably discovered another major “Cooperative Difference”.

 
See you next month and as always, "We’ll keep the lights on for you."