Steve Johnson, Basin Electric senior vice president and CFO, provided the financial report to the membership at the 2017 Annual Meeting. Earlier this year, Basin Electric, like always, received a clean opinion from auditors.
Johnson shared how 2017’s weather extremes impacted Basin Electric. “It’s unfortunate, but a fair amount of financial success, at least on the utility-side of the business is directly correlated to weather,” Johnson said.
The bitter winter at the start of the year resulted in an uptick in sales as members heated their homes and shops. The summer brought the other extreme, as the sweltering temps and lack of rain resulted in a drought that ravaged Basin Electric’s service territory.
“While the drought meant increased electric sales due to irrigation, we also realize the hardship for our member-farmers who had to cull their herds and faced crop losses,” Johnson said.
Johnson noted that many of Basin Electric’s senior staff have connections to rural America, having grown up on farms. “So, we greatly understand that every action we take and every decision we make has a direct impact on our members and the person at the end of the line,” Johnson said.
Johnson ended by reiterating what Basin Electric CEO and General Manager stated earlier in the morning: Basin Electric is in sound financial condition and is here to meet the needs of our members for years to come.
The membership approved the Treasurer's Report.