1. Why are COOL! Bob Hunzinger
President/CEO, Eastern Illini Electric Cooperative

2. What’s a
CO-OP?
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!

3. aspirations through a jointly- owned and democratically-
What’s a co-op?
“A cooperative is an autonomous association of persons united voluntarily to meet their common economic, social,
and cultural needs and
aspirations through a jointly-
owned and democratically-
controlled enterprise.”

4. Serving NEEDS Cooperatively.
Banking
Insurance
Food
Serving NEEDS
Cooperatively.
Child Care
Electricity
Cooperatives Are Everywhere there are needs….
Marketing
Housing
Health Care

5. 30,000+ 100+ MILLION MEMBERS. USA Cooperatives co-ops serving
It’[s a national trend—are YOU a member of a co-op?
Statistics are calculated from the subscription formula on ICA's 270 members from 96 countries (as at 11 June 2013).  ICA says 305 million members, but this includes multiple people. Bob Cohen with Braintree business development center says 100 million members in America is a more realistic number (June 2013).

6. How Did Co-ops Start?

7. Humble Beginnings
Philadelphia Contributionship for Insurance of Houses from Loss by Fire 1752
Founded by Ben Franklin and fellow firefighters. Mutual risk (policyholders share risk).
First known American cooperative; still in operation.
History:

8. Humble Beginnings Rochdale Society of Equitable Pioneers 1844
Members: Weavers, bakers,
wood and metal workers
Bulk purchases for better
quality flour, other products.
Designed seven principles
to govern the co-op.
First modern-day Cooperative; first to pay patronage capital
Industrial Revolution was forcing more and more skilled workers into poverty, weavers, bakers, some woodworkers and metal workers banded together to open their own store selling food items & they could not otherwise afford
Dismayed that flour that was expensive, low quality and sometimes intentionally mixed with chalk or sawdust. So they gathered together a few pounds, made some bulk purchases, and opened a store.
With lessons from prior failed attempts at co-operation in mind, they designed the now famous Rochdale Principles
Reputation for high-quality, unadulterated goods
The cooperative movement we know today traces its roots to a set of business guidelines drawn up by Charles Howarth, one of 28 weavers and other artisans who founded the Rochdale Society of Equitable Pioneers in Rochdale, England, on December 21, The tradesmen had banded together to open a store selling food items they could not otherwise afford, starting out with a meager selection of butter, sugar, flour, oatmeal, and a few candles but soon expanding to include tea and tobacco. Eventually, the enterprise was so successful that the group was able to open a cooperative factory and textile mill.
When introduced into the United States by the National Grange in 1874, these “Rochdale Principles” fueled a cooperative explosion. After being formally written down by the International Cooperative Alliance (ICA) in 1937 (and last updated in 1995), they evolved into the seven cooperative principles used today.

9. PRINCIPLES: Why a Co-op? Common Voluntary and Open Membership
Democratic Member Control
Members’ Economic Participation
Autonomy and Independence
Education, Training, and Information
Cooperation Among Cooperatives
Concern for Community
We all follow these seven principles—the same principles set by the Rochdale pioneers.

10. Common Principles
Members’ Economic Participation: Co-ops provide services “at cost” and remain not-for-profit. Money left over after expenses (margins) belongs to members.

11. Common Principles
Cooperation Among Cooperatives: Mutual support helps cooperatives improve services, bolster local economies, and deal more effectively with community needs
Whether it’s co-op communicators from across the industry working together on common issues or electric co-ops sending lineworkers across state lines to help during a disaster, co-ops stick together.

12. Eastern Illini Electric Cooperative
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Eastern Illini Electric Cooperative

13. Eastern Illini Fast Facts
Member/owner accounts: 13,545
Miles of line in service: 4,520
Number of employees: 56
Number of counties served: 10
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!

14. Eastern Illini Fast Facts
Accounts/mile of line (density): 3
Total plant value: $94 million
Total kWh sold in 2014: 247,462,085
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!

15. Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
A Typical Substation

16. Eastern Illini’s Generation Mix
62% – Prairie State Generating Campus: featuring the latest in clean coal technology 
22% – Long and short term contracts: various fuel types from Midwest providers
12% – Purchased on the spot market: through the Midwest System Operators (MISO)
4% – Wind power: purchased from the Pioneer Trial Wind Farm in Paxton
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Eastern Illini’s Generation Mix

17. Prairie State Generating Campus

18. Eastern Illini’s Operations
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Eastern Illini’s Operations

19. Eastern Illini’s Employees
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Eastern Illini’s Employees

20. Building a Better World
1930s: Less than 10 percent of farms had central station electric service, and at double the cost.
1935: FDR signs Rural Electrification Act.
1953:
90 percent of farms have power.

21. Building a Better World
900+ electric co-ops across America
serve
consumers across
of America’s landmass.
75 percent
42 MILLION
Electric co-ops shown in green on map

22. North American Electric Reliability Corp.
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
North American Electric Reliability Corp.

23. Midcontinent Independent System Operator (MISO)
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Midcontinent Independent System Operator (MISO)

24. Pioneer Trail Wind Farm
Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Pioneer Trail Wind Farm

25. Some folks hear co-op and think of a chicken coop, but co-ops blow past poultry. Here’s a quick primer for folks who’ve never heard of the business model that changed rural America!
Smart Grid

26. Bob Hunzinger Bob.hunzinger@eiec.coop 800-824-5102
/easternillini
Bob Hunzinger