Co-op Hotline - June 2018

Co-op HotlineJune2018|Vol.13,Issue3

SPRAY NOTIFICATION

Southeastern Indiana REMC will be
performing vegetative treatment on
our Right-of-Way's in selected areas
throughout our seven-county service
territory from May through September.

We will use a low volume precision spray
to control brush under our lines. This
process is essential in keeping our Right-
of-Way's clean for a longer period of
time, at a lower cost than other means,
which helps keep electric rates as low as
possible and enables us to provide safe,
uninterrupted service to our members.

Asplundh Tree Expert Company has been
contracted to complete the work. Their
trucks are marked with their company
name. If you have questions or concerns,
contact Southeastern Indiana REMC at
(812)689-4111.

Watts Inside

ROW Key to Safe, Reliable Service ... pg. 2

Cincinnati Zoo Partnership ............... pg. 3

Tax Incentives for Geothermal .......... pg. 4

Operation RoundUp© ........................ pg. 5

Policy Perspectives .............................. pg. 7

Substation Safety .................................. pg. 8

Right of Way Clearing Key to Safe and

Reliable Electric Service

by: Bryan K. Mathews, General Manager

Southeastern Indiana REMC serves members across more than Safety
3,200 miles of line. These lines must be kept clear of trees and
vegetation to supply you with safe, reliable service. ROW clearing also keeps your family safe by ensuring that tree
Clearing the right-of-way is critical to keeping your lights on. branches do not become energized due to close contact with a
Power interruptions occur when trees or bush grow too close power line. Distribution power lines carry thousands of volts
to power lines. Of course, in major storms trees will fall into and an energized tree branch is incredibly dangerous; even
the power lines; breaking poles and causing extended outage deadly. Be mindful when around trees close to power lines, and
restoration time. In 2017, outages caused by trees and storms make sure your children know that climbing trees near power
equated to a little over 43 percent of the power interruptions. lines is extremely dangerous. Always contact your REMC if
A right-of-way (ROW) refers to a strip of land underneath you believe trees or other vegetation are in danger of contacting
or around power lines that your electric co-op has the right the electrical lines. Please, never trim a tree in the right-of-way
and responsibility to maintain and clear. Trees must grow at a zone on your own and never allow children or anyone to climb
distance far enough from conductors where they will not cause a tree with a power line in or near it.
harm to individuals or disruption to electrical service. Contract
crews consisting of Asplundh, H&L, Tommy’s, Townsend Tree Affordability
Services, and Comer mowing crews engage in maintaining our
ROW. ROW clearing is also critical to ensuring that we provide
Southeastern Indiana REMC has one of the highest costs members with affordable electricity. Staying ahead of the tree
for ROW clearing in the state of Indiana. We expense growth minimizes maintenance costs incurred by reacting to
approximately $6 million a year trying to keep members in ROW issues after they’ve become a problem. It also keeps us
service. The service territory has a lot to do with this, but from having to come out after a storm to restore power due
members can help by not planting trees under or near the power to fallen trees. A good ROW program affords us the ability to
lines. keep lines clear before trees become problems. Otherwise, it’s
A general guideline of maintaining a safe ROW is 20 feet on just a matter of time before we are clearing trees in an outage
either side of the primary conductors and 10 feet of overhead situation.
clearance below the lowest wire on the pole. If a tree encroaches The question I have for each member (and I am a fellow
on this safe distance, our ROW crews will trim back branches member) is; “do we love electric rate increases?” The obvious
and brush using approved methods; utilizing tools such as answer is “NO”. Rate increases are never fun to talk about, but
chainsaws, mowers, bucket trucks, tree climbers, and brush the truth is … members continue to plant trees under or near
chippers. the power lines; forcing your co-op to raise rates to provide safe,
Chemical control methods may also be used to retard the reliable power.
growth of low growing plant species beneath power lines. The
herbicides we use only target woody plants containing specific Our Commitment
enzymes and are approved by the EPA and Department of
Agriculture. They are proven safe for use around people, pets, Your REMC remains committed to providing you with safe,
and animals. Every person that applies herbicides to our ROW reliable service and having a ROW maintenance plan is an
is trained and certified. Eight years ago, your co-op decided to important part of that commitment. We are going the extra
renew the ROW herbicide program and the results have been mile by committing to a 5-year ROW cycle as part of our
very good. We have not had any instances where livestock, fish, Strategic Plan.
wildlife or people have been harmed because of the herbicide If you have any questions about ROW maintenance, please
program. contact us. We’ll be glad to talk to you and share a little more
A major challenge has been the Emerald Ash Borer. This beetle indepth about how important ROW clearing is to our mission
has killed millions of ash trees across the U.S. since being found of providing safe, reliable electricity and quality services to the
in Michigan in 2002. In 2016 we cut down 914 dead ash trees communities we serve.
because of the damage created by the Ash Borer, and 1,598 in We believe trees add to the beauty of our communities. So,
2017. This year we have already cut down 810 dead ash trees. when you landscape around your home or property, please
consider the location of power lines.

Page 2 - Co-op Hotline, June 2018

CO-OP HOTLINE

Co-op Hotline is published bimonthly
by Southeastern Indiana REMC's
Communication Department for members,
employees and retirees of Southeastern
Indiana REMC.

ON THE COVER Most co-ops have right-of-way programs, but did you know
your co-op’s program also helps feed animals in the zoo? In
Maintaining our Right-of- 2011 your REMC began a partnership with the Cincinnati Zoo
Way's is one of our highest to collect tree clippings during the months of June, July, and
priorities at Southeastern August. Representatives from the zoo come out twice a week
Indiana REMC. Part of and work alongside a right-of-way crew to collect and load the
that program includes clippings onto a trailer, which is immediately transported to the
chemical control methods. zoo to be washed and divided. Half of the load is fed (fresh) to
Spray season begins in May the animals, and the other half is freeze-dried and stored to feed
and continues through the animals during the winter.
September. Townsend Tree
Service was contracted to
provide this service for us
last year (2017), and they
are pictured in action on
this months cover.

CO-OP HOTLINE EDITORIAL STAFF

B.J. Myers SEND COMMENTS TO
Communications Specialist
e-mail: [email protected] Co-op Hotline Editor
Southeastern IN REMC
Jarred Meinders P.O. Box 196
CSR/Marketing Osgood, IN 47037
e-mail: [email protected]
BACK ISSUES
Barry Lauber
Director of Marketing, To read back issues, log on to
Key Accounts & Business Southeastern IN REMC's website
Development at https://seiremc.com/content/
e-mail: [email protected] newsletters.

Keith Mathews
General Manager
e-mail: [email protected]

This institution is an equal opportunity provider and employer. We also have a membership with the National Turkey
Foundation that enables us to order specific types of grass and
Statement of Nondiscrimination flower seed to sow in specific ROW locations. The wildflowers
attract butterflies and bees and serve as ground cover for many
This institution is an equal opportunity provider and employer. If you wish to file a Civil Rights wild animals.
program complaint of discrimination, complete the USDA Program Discrimination Complaint
Form, found online at http://www.ascr.usda.gov/complaint_filing_cust.html, or at any USDA Co-op Hotline, June 2018 - Page 3
office, or call (866) 632-9992 to request the form. You may also write a letter containing all of
the information requested in the form. Send your completed complaint form or letter by mail
to the U.S. Department of Agriculture, Director, Office of Adjudication, 1400 Independence
Avenue, S.W., Washington, D.C. 20250-9410, by fax (202) 690-7442 or e-mail at program.
[email protected].

© Copyright 2017 Southeastern IN REMC

Understanding the Federal Tax Incentives for
Geothermal Heat Pumps

The Energy Credit

In February 2018, the 30% geothermal federal tax credit was reinstated through 2019 and can be retroactively applied to
installations "placed in service" on January 1, 2017 or later. Property is usually considered to be placed in service when
installation is complete and equipment is ready for use. However, if the system is part of the construction or renovation
of a house, it's considered placed in service when the taxpayer takes residence in the house. To save the most on your
installation, you'll want to act quickly - this credit is set to decrease each year through 2021 with the amount dropping to
26% in 2020 and 22% in 2021.

• 30% of total system cost through 2019 • Can be used to offset AMT tax
• 26% of total system cost in 2020 • Can be used in more than one year
• 22% of total system cost in 2021 • Can be combined with solar and wind tax credits
• No limit to credit amount • Can be combined with energy efficiency upgrade credits

30 % 26 % 22 % Act now
THROUGH THROUGH THROUGH for the most

2019 2020 2021 savings!

What's Eligible

Geothermal equipment that uses the stored solar energy from the ground for heating and cooling and that meets
ENERGY STAR requirements at the time of installation is eligible for the tax credit. Covered expenditures include
labor for onsite preparation, assembly, or original system installation and for piping or wiring to connect a system to
the home. The structure must be located in the United States and used as a residence by the taxpayer, although primary
residency isn't required. In fact, if geothermal is installed in more than one home, there's no limitation on the number
of times the credit can be claimed.

What's Not

The credit can't be claimed for spending on equipment used solely for hot tub or pool conditioning, nor on previously
used equipment. Rental home installations also cannot be claimed. As of November, 2013, electric strip heat and
ductwork distribution systems are no longer included in the 30% calculation.

How to claim the Credit

Use IRS Form 5695 to claim the Residential Energy Efficient Property Credit. For property placed in service after 2009
there's no limit on the credit amount. The tax credit can be used to offset both regular income taxes and alternative
minimum taxes (AMT). If the federal tax credit exceeds tax liability, the excess amount may be carried forward into
future years. Spending on geothermal heat pump property adds to your home's cost basis but also must be reduced by
the amount of the tax credit received.

Page 4 - Co-op Hotline, June 2018

Applications being
accepted through

June 30th

Apply Now

Your small change can change lives.

This is the foundation on which Southeastern Indiana REMC's Operation RoundUp© program was built. Members who agree to
participate allow SEIREMC to "round up" their monthly electric bill to the next highest dollar.

Here's how it works.

If your monthly bill is $65.58, the bill will be rounded up to $66. The extra 42¢ will go directly to the SEIREMC Community Fund.
The average round up per meter is just 50¢ a month, or $6 a year.
Contributions to Operation RoundUp© are tax deductible and will be noted on your January bill each year.
If you choose to participate and then decide later not to, just call our office and we'll make sure the change is made.

How the funds are used.

Every penny donated will be used to support charitable causes and nonprofit services and programs throughout our SEIREMC
communities. In the past, we have used funds to help:

• health centers • emergency medical services • senior citizen programs

• fire departments • youth programs • childhood health & development

• community kitchens • veterans outreach

• educational projects • community libraries

How funds are distributed.

The program is administered by Southeastern Indiana REMC's Operation RoundUp© Board of Trustees, who follow the established
policies for granting Operation RoundUp© funds. Applications are reviewed and approved based on demonstrated need, benefit
to the community, level of community support for the project/organization and capability of the organization to deliver quality
services and results. Political issues or campaigns are not eligible for funding.
Southeastern Indiana REMC will publicise a list of the different projects chosen for funding following each grant cycle.

How to apply.

If you would like to apply for an Operation RoundUp© grant, download the application conveniently located on our website
(https://www.seiremc.com/content/operation-roundup) and submit it to our office by June 30, 2018.

Co-op Hotline, June 2018 - Page 5

Policy Perspectives

The federal government must invest
in rural America

Here’s a simple fact that we at Southeastern Indiana REMC infrastructure investments to give communities the
know all too well: The 21st century economy runs the risk flexibility to adapt to tomorrow’s energy needs, investing
of leaving much of rural America behind. It’s a concern $12 billion annually in the areas that they serve.
shared by electric co-ops all across the country, because That’s why co-ops have launched community microgrids,
their strong community ties give them a bird’s-eye view of lead the nation in the deployment of community solar
the quality of life of the members they serve. facilities and have invested in new XPRIZE carbon capture
Rural America grows most of the food, generates much of research.
the power and manufactures many of the goods that are But it takes more than smart energy infrastructure to
used throughout the country. When the modern economy rejuvenate rural communities. Co-ops also leverage
threatens to leave much of the country on the wrong side public-private partnerships to enhance the quality of life.
of the ledger, that’s bad news regardless of where you live Over the last two decades, co-ops have partnered with
and work. community stakeholders through the U.S. Department of
Today, fewer than 15 percent of U.S. businesses are located Agriculture’s rural economic development programs on
in rural areas and small towns. Bank loans for amounts hundreds of projects to construct essential infrastructure,
less than $1 million, primarily to family-owned small renovate hospitals, build libraries and expand businesses.
businesses and farms, have dropped by nearly half since Co-ops also use the Rural Energy Savings Program to
2005. These are warning signs for the basic building-blocks work with consumers on energy efficiency solutions to
of the economy that serve as the foundation of America’s their homes to save money on their energy bills.
economic stability. There’s a major piece of legislation moving in Congress
The solution isn’t simple, but it’s within reach. It will take a that offers an opportunity to bolster these important
concerted, long-term commitment from Congress and the public-private programs while giving rural America an
administration to reverse this trend. additional boost: the Farm Bill.
The Trump administration and Congress already have As Congress continues discussing the Farm Bill, it should
taken significant steps to jump start programs that bolster support a stronger rural America and enhance key rural
the rural economy. That’s helping turn the tide in many development programs by including:
communities. But reversing this trend requires a sustained • Additional funding for rural broadband grants and
focus across the executive branch and Capitol Hill.
The omnibus budget bill that Congress approved earlier loans. A reliable, modern grid and vibrant rural
this year is providing key resources and tools to foster communities depend on a robust communications
development of energy, telecommunications and other infrastructure.
essential services in rural America, including $600 million • Ample support for proven rural economic
for high-speed internet access in underserved regions. development programs.
Other sections of the omnibus bill fully fund low-interest • A focus on accelerating energy innovation to build
government loans or enhance the efficiency of permitting new renewable energy resources and modernize the
for rural electric programs to improve grid reliability. electric grid.
These are positive steps. But there’s more work to do. • Continued funding for rural electrification programs.
As local businesses built by the consumers we serve, The need to invest in rural America is real for all of us.
electric cooperatives have meaningful ties to America’s So too are the opportunities for our leaders to make a
rural communities. And they are making strategic meaningful difference in its trajectory.

Page 6 - Co-op Hotline, June 2018

Stay Away from
Electrical Substations

An electrical substation converts electricity to a lower voltage
so it can be safely routed and delivered to your home. Because
high-voltage power runs through substation equipment,
please avoid substation areas and the fences that surround
them. Keep the following safety tips in mind:

Never release metallic balloons Never fly kites or drones near
near substations. If they get caught electrical substations. If you do and
in the equipment or lines, they can the kite or drone gets caught inside
cause power outages. the fence, let us retrieve it for you.

Teach youngsters to stay away If you see a substation fence or
from electrical substation fences. transformer cabinet that is open
The area is dangerous, and these or looks to be vandalized, please
fences are NOT for climbing. contact us immediately.

Co-op Hotline, June 2018 - Page 7

PRST STD
U.S. POSTAGE

PAID
SEYMOUR, IN
PERMIT NO. 198

PO Box 196
712 South Buckeye Street
Osgood, IN 47037

Office Hours Our Mission ... Board of Directors

7:30 AM to 4:30 PM (EST) Provide safe, reliable electricity and quality services Vince Moster - District 1
Monday through Friday to the communities we serve by enhancing their Brad Bentle - District 2
quality of life through innovation and sustainable David Smith - District 3
Contact Information economic development. Carolyn Armstrong - District 4
Melissa Menchhofer - District 5
Local calls: 812-689-4111 Mike Thieman - District 6
Toll free: 800-737-4111 Darrell Smith - District 7
FAX only: 812-689-6987 Bonnie Boggs - District 8
To make a payment: 1-888-999-0762 Chris Schmaltz - District 9
Call Before You Dig: 800-382-5544
E-mail: [email protected]
Website: www.seiremc.com

Congratulations to the 2018 SEIREMC Scholarship Recipients!

Southeastern Indiana Randy Hill Jr. Noah Hutchins Jason McClellan
REMC offers three $500
scholarships each year
through the Southeastern

Career Center. These
scholarships are awarded
to students in the following
programs: Building Trades,
Business, and Electrical

Trades.