POLICY NO. 401

APPLICATION FOR MEMBERSHIP

I. OBJECTIVE:

To establish policy to provide for establishment of membership with the Cooperative.

II. CONTENT:

Any person, firm, association, corporation, or public body shall sign a written application, if requested, and shall pay a membership fee as prescribed by the Board of Directors for the first separate service connected, whether metered or unmetered, together with any service security deposit that may be required by the Cooperative. Each additional service shall require a security deposit as required by the Service Security Deposit Policy. When the application is accepted by the Cooperative, it constitutes a contract and becomes operative on the day the customer is connected to the Cooperative’s system. The member agrees to purchase from the Cooperative all electric energy used on premises and to be bound by the Cooperative’s Certificate of Incorporation and bylaws and all rules, regulations and rate schedules established pursuant thereto, and pay the minimum monthly bill stated in the application or applicable current Rate Schedule, or in the event of a written contract for service, the minimum set forth in said contract. Upon termination of membership, the membership fee will be refunded or applied against any unpaid balance owed the Cooperative. Since the Cooperative members are owners of the Cooperative, no interest will be payable on membership fees except as may be required by State and Federal Laws.

The Cooperative shall not be required to furnish electric service to an applicant who at the time of such application, is indebted to the Cooperative for service previously furnished applicant as a member, or as an occupant of another household, or furnished any other member or occupant of applicant’s household or business until such indebtedness or any other indebtedness has been satisfied.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: 7/25/06

Supersedes: 7/23/02

Attest: _________________

Secretary

Effective Date: November 1, 2006

POLICY NO. 402

SERVICE SECURITY DEPOSITS

I. OBJECTIVE:

To establish policy to prove a uniform program for collection of security deposits.

II. CONTENT:

A. A service security deposit shall be collected in advance of connecting any service with respect to which the Cooperative determines that such deposit is needed to assure payment of the bill and protection of the Cooperative’s property on the member’s premises.

In determining the need for service security deposits, and in fixing the amounts of such deposits, the Cooperative will give careful regard to the following credit factors:

1. Type of service involved;

2. Risk involved in a new business enterprise;

3. The reputation of the involved premises;

4. The credit rating of the member;

5. History of connects, disconnects, and reconnects at the involved premises or for the involved member;

6. Where no billing history is available, the Cooperative will estimate usage and bill amounts;

7. The member’s payment history with the Cooperative;

8. Information received in a letter of credit from a previous utility;

9. Ability to provide satisfactory identification. (Satisfactory identification of person(s) proposing to transact business with the Cooperative is required. Employees may request identification from any applicant or current member. Failure to provide proper identification shall be grounds for withholding the service or completing the business transaction.);

10. Any other factor having a realistic bearing on the member’s financial dependability.

B. Security Deposit Requirement

1. Residential and Temporary Service for Residential Construction

The Cooperative shall charge a deposit not to exceed two and one-half times the highest estimated or actual monthly bill. The security deposit, or a portion thereof, may be waived based upon credit factors determined by management.

2. Small Commercial

The Cooperative will collect a security deposit not to exceed two and one-half times the highest estimated or actual monthly bill.

3. Political Subdivisions

The Cooperative will not require security deposits from political subdivisions of the Federal, State or local governments, unless credit factors indicate a deposit should be required.

4. Large Power

Deposits for Large Power accounts will be determined by management on a case by case basis.

5. Exceptions

The preferred method of deposit is payment in cash to the Cooperative prior to service connections. When deposits exceed $1,500.00, one of the following methods may also be used at management’s discretion:

a. A surety bond;

b. The full amount of the security deposit may be deposited in a bank, mutually agreed upon between the Cooperative and the Member, with the bank as Escrow Agent.

C. Additional Deposit

The Cooperative reserves the right to require a deposit, or increase the existing deposit, at any time, if in the judgement of the Cooperative, such deposit or increase in deposit is necessary for its full protection.

D. Security Deposit Refunds

Refund of security deposits will be made without interest under the following conditions:

1. As provided for in the written contract for service.

2. Upon termination of service – The security deposit shall be refunded by check, less any amounts the member may owe the Cooperative.

3. Prior to service termination – Upon such conditions as may be established by the Cooperative with respect to service risks of similar characteristics.

Because the Cooperative’s members are owners of the Cooperative, no interest will be payable on security deposit, except as may be required by State or Federal laws.

Security deposits must be refunded in the same name as the member’s electric service account and are not generally transferable. However, the transference of a security deposit may be permitted in order to facilitate transferring an account from the name of a deceased member to a succeeding family member.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: March 23, 2010

Supersedes: July 25, 2006

Attest: ______________

Secretary

Effective Date: April 1, 2010

POLICY NO. 403

ELECTRIC SERVICE BILLING RATES

I. OBJECTIVE:

To establish policy to provide and maintain consumer classification definitions, a schedule of billing rates and service fees.

II. CONTENT:

A. Rate Schedules

All members shall be billed on the rate deemed applicable by the Cooperative. When two or more rates are available for certain classes or service, the conditions under which each is applicable to requirements for the individual member will be plainly set forth in the Cooperative’s published rate schedules.

The Cooperative will, upon request, advise any member as to the rate best adapted to existing or anticipated service requirements, as defined by the member, but, the Cooperative does not assume responsibility for the selection of such a rate or for the continuance of the lower annual cost under the rate selected should the volume or character of service change.

A member having selected a rate adapted to his service may not change to another rate within a twelve month period unless there is a substantial change in the character or conditions of this service. A new member will be given reasonable opportunity to determine his service requirement before definitely selecting the most favorable rate therefore.

A copy of the Cooperative’s applicable rate schedules shall be on file at the Georgia Public Service Commission and the Florida Public Service Commission and will be provided at the offices of the Cooperative.

The rate schedules will be reviewed and approved on a periodic basis by the Board of Directors.

B. Fees Schedule

The Board of Directors shall review and approve a Schedule of Fees on a periodic basis. These fees shall include, but not be limited to, such fees as Collection Fee, Reconnect for Non-Payment Fee, Returned Payment Fee, Overtime Reconnect for Non-Payment Fee, Meter Test Fee, Connection/Transfer Fee, Overtime Connection/Transfer Fee, Extended Hours Reconnect for Non-Payment Fee, Disconnect at Pole/Transformer Fee, E-Check Convenience Fee, PrePay Advance Credit Minimum, E-Billing with Automatic Payment (credit), Service Call Fee, Security Light Installation Fee, Membership Fee, Unauthorized Service Connection Fee, Meter Tampering/Current Diversion Fee and Underground Service Lateral Fees, Underground Primary Installation Fee, Underground Primary Extension Fee, Underground Multiphase Primary Installation Fee, Overhead/Underground Differential Fee, Cumberland Island Extension Fee, Overhead Line Extension Fee, Temporary Service Fee, Preliminary Engineering Review Deposit, OREMC Design Deposit, Special Equipment Fee, Distributed Generation Application Fee, Distributed Generation Protective Equipment Inspection Fee, Outdoor Lighting Fixture Installation Fee, Outdoor Lighting Underground Service Fee, Outdoor Lighting Pole Installation Fees, Security Light Relocation Fees, Construction Mobilization Fee and Hourly Rates.

B. Consumer Classification

Residential Service – Service to a dwelling unit suitable for year-round family occupancy and occupied eight or more months per year as the permanent residence of the owner, or the principal place of residence of the occupant leased or a period of one month or more.
Miscellaneous Residential Service – Service to a separately metered point of service used exclusively for personal rather than business use that is not included in the definition of residential service (i.e., garages, pump, pools, boat docks, barns, etc.)
General Service – Any service to which no other rate schedule is applicable shall be considered a General Service Consumer. These may be commercial, or institutional such as nonprofit organizations, religious, philanthropic, fraternal, educational, governmental, or others not listed.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: March 23, 2010

Supersedes: July 25, 2006

Attest: ______________

Secretary

Effective Date: April 1, 2010

POLICY NO. 404

ELECTRIC METERING

I. OBJECTIVE:

To establish policy to provide guidance in meter reading and metering of services.

II. CONTENT:

Meter Reading

Meters will be read by the Cooperative. If the meter is inaccessible, the Cooperative may estimate the billing until such time as the meter becomes accessible. The Cooperative may prorate the accumulated consumption over the period of time from the last reading of the meter to the present reading, and render a correct statement.

Incorrect Reading of a Meter

Corrections shall be made whenever meters are incorrectly read. The correct reading shall be ascertained whenever possible to reflect the correct usage.

Failure of Meter to Register Correctly

If a meter fails to accurately register or report the correct consumption, the member’s bill for the current billing period (or portion thereof) will be billed on an estimated consumption, which will be based on the previous usage of the member. Consideration will be given to consumption in months immediately preceding, consumption in similar period of other years, comparative uses and sizes of connected loads, and other relevant facts. Adjustments to prior billing periods will be done as specified in Policy 405, Adjustment of Bills.

If a meter is tested and found to have over-registered or under-registered by more than two percent due to calibration error, an adjustment will be made in the bill as described under Policy 405 or 405.1, as applicable, Adjustment of Bills.

Meter Tests

The Cooperative, at its expense, will make periodic tests and inspections of its meters in order to maintain them at a high standard of accuracy.

The Cooperative will, upon request, test the accuracy of a member’s meter upon the member paying a deposit equal to the Meter Test Fee. If the meter, upon testing is found to be more than 2% (fast or slow) in error the deposit shall be refunded to the member.

The Cooperative shall have the right, at its option and at its expense, to place special meters or instruments on the premises of a member for the purpose of special test of all, or any part of the member’s load.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: March 23, 2010

Supersedes: July 25, 2006

Attest: _______________

Secretary

Effective Date: April 1, 2010

POLICY NO. 405

ELECTRIC SERVICE BILLING & COLLECTION

I. OBJECTIVE:

To establish policy to provide guidance on the billing and collection of electric service revenue to Cooperative members.

II. CONTENT:

A. Billing and Late Fees

All members shall be billed monthly at a time determined by the Cooperative. Bills are due and payable upon receipt of the bill. The bill shall be considered received by the member when the bill is placed in the mail of the United States Postal Service. If the member has requested e-mail billing, the bill shall be considered received by the member when the bill is sent. The Cooperative is not responsible if a member fails to receive an electric bill. Members are expected to promptly notify the Cooperative of change of address or if they fail to receive a bill. Failure to pay an electric bill for this reason will not exempt the member from having electric service disconnected or from paying a late charge.

If a bill is not paid (received in the Cooperative office) within fifteen days from the due date of the bill, a late charge will be added, as prescribed by the Board of Directors, and a disconnect notice will be mailed or e-mailed to the member. This notice will advise the member that the account must be paid by a stated date to avoid disconnection of service. Failure to receive said notice will not exempt the member from disconnection.

If a bill is not paid (received in the Cooperative office) before the deadline stated on the disconnect notice, the account will be subject to disconnection. The Cooperative has no obligation to attempt field collection of past due bills.

Payment of bills may be made by mail, internet or in person at the Cooperative’s offices. Payments sent through the U.S. Postal Service or any other delivery service will not be considered paid until they are received at the Cooperative office during regular office hours. Credit Card payments will be assessed a Credit Card Convenience Fee in an amount prescribed by the Board of Directors. E-Check payments will be assessed an E-Check Convenience Fee in an amount prescribed by the Board of Directors.

If a member requests e-mail billing and one of the Cooperative’s automatic payment options, the member will receive a monthly credit in an amount prescribed by the Board of Directors. If the member subsequently discontinues e-billing or automatic payment, then no credit shall be given.

An interest charge in an amount prescribed by the Board of Directors, will be added to all bills left unpaid when a members service is disconnected. This interest will be charged each year until the bill is paid.

An extension may be granted to members for extenuating circumstances upon approval of the General Manager or other such employee as he may designate from time to time.

B. Field Collections, Disconnections for Failure to Pay and Reconnecting

The Cooperative may attempt to collect amounts due prior to disconnection of service for failure to pay. If field collection is attempted, a collection fee will be charged and is due at the time of collection. The collection fee will be in an amount as prescribed by the Board of Directors.

All members whose service has been disconnected for failure to pay their bills shall be required to pay a reconnection fee prior to reconnection for any reconnects made during regular working hours. Normally, reconnection shall be made only during regular working hours. However, reconnection requested and made during other than regular working hours shall be made only upon the member’s agreeing to pay an overtime reconnection fee or extended hours reconnection fee. Any additional deposit required according to the Service Security Deposits Policy must be paid prior to reconnection.

When it is necessary to disconnect the service at the pole or transformer for non-payment, meter tampering, or unauthorized use of service and the service is subsequently reconnected, the member will be charged a Disconnect at Pole/Transformer Fee in addition to the applicable reconnect for non-payment fee. In the event that service is not reconnect for the same member at this location, the disconnected account will be charged the Disconnect at Pole/Transformer Fee.

All reconnection fees shall be in an amount prescribed by the Board of Directors.

The Cooperative may deviate from this policy on cutoffs for delinquent bills only in accordance with the following standards:

1. When it is determined that enforcement of the policy will constitute an undue hardship in relation to the amount of the delinquent bill and that extension of credit for a fixed time, or arrangement for installment payment of the bill, will not unduly impair the Cooperative’s ability to effectuate final collection of the bill; or

2. When the member involved establishes to the satisfaction of the Cooperative that member’s failure to pay the bill has resulted from some mistake on the Cooperative’s part or some mistake for which the member was not responsible (other than failure to receive a bill or disconnect notice); or

3. When the involved bill is a final bill covering service to a farm, house, or other residential account and the main building thereof has been destroyed by fire not caused by act of arson on the part of the member or member’s family; or

4. When to disconnect service might pose immediate danger to the member or other persons due to illness.

5. When it is determined that the consumer has a good credit rating with the Cooperative and the risk involved in extending the credit will not unduly jeopardize the ability of the Cooperative to collect the full amount of the bill.

C. Returned Payments

If the payment for an electric bill or other indebtedness to the Cooperative, is returned for insufficient funds, fraudulent transaction, hold on account, unavailable funds or no account, a notice of disconnection will be sent, unless one was previously sent for this past due bill. This notice will advise the member that unless payment in cash, cashier’s check, or postal money order in an amount equal to the amount of the payment plus a returned payment fee, as prescribed by the Board of Directors, is received in the Cooperative office within 5 days from date of the notice, service will be discontinued immediately.

In no event, will collection on a returned payment be delayed until the following month, letting such member delay payment by such methods.

The collection, disconnect and reconnect fees in Section B are applicable.

D. Connection/Transfer Fee

A connection/transfer fee, in an amount prescribed by the Board of Directors, will be charged each time a service is connected or transferred during regular working hours. An overtime connection/transfer fee, as prescribed by the Board of Directors, will be charged each time a service is connected or transferred outside normal working hours. Normally, these connections will be made only during regular working hours.

E. Other Reasons for Disconnecting Service

The Cooperative reserves the right to discontinue the supply of electric service to any member or members WITHOUT NOTICE for any of the following reasons:

1. For fraudulent representation as to the use of electric service.

2. Where a member’s equipment or wiring, or Okefenoke REMC equipment or lines are creating or contributing to an imminent hazardous condition.

3. For tampering with any service wires, meters, seal or any other facilities belonging to Okefenoke REMC.

4. For repairs or emergency operations.

5. For unavoidable shortage or interruption of Okefenoke REMC’s source of supply.

6. When necessary to protect Okefenoke REMC from theft, fraud or abuse.

7. Upon cancellation of contract and vacating of the premises by the member.

8. For an unauthorized electrical connection.

9. For the use of equipment which adversely affects Okefenoke REMC’s service to its other members.

The Cooperative reserves the right to discontinue the supply of electric service to any member or members WITH REASONABLE NOTICE for any of the following reasons:

1. For non-payment of a bill for service rendered, including any late payment charge.

2. For refusal of access to Okefenoke REMC’s equipment as defined in Policy 407.

3. For failure to install meter base on an outside wall of the structure being served to permit access to the meter at all times.

4. Where a member’s equipment or wiring, or Okefenoke REMC’s equipment or lines, are creating or contributing to hazardous condition.

5. For violation and or non-compliance with any applicable State or Local law, regulations and codes pertaining to electric service.

6. For non-compliance with bylaws, policies, rules and regulations of the Cooperative.

The discontinuance of service for any of these causes does not release the member from the obligation to pay for energy received, or the charges specified in any existing contract or policy.

F. Adjustment of Bills

Based on Members Request for Test:

An adjustment of past bills for service will be made if the meter is tested and found to be in excess of 102% average accuracy. The amount of adjustment shall be calculated on the basis that the metering equipment should be 100% accurate. For kilowatt and kilowatt-hours meters, the average shall be the average of percent indicated at light load and at heavy load, giving the heavy load indication a weight of four.

The records of the member’s energy usage and previous tests will be reviewed and a mutually acceptable agreement reached between the member and Cooperative as to when the error began.

Meters testing below 98% average accuracy will be adjusted based on the above averaging method. The Cooperative will review the member’s energy usage and all other pertinent information, but any adjustment made will be limited to the previous six months.

Other Adjustments:

Whenever it is found that for any reason other than incorrect calibration or meter tampering, the meter apparatus has not registered or reported the true consumption or that the member was billed incorrectly due to an error in rate, fees or any other charges, the member’s account will be adjusted.

If the Cooperative, after exercising due diligence, is unable to determine the exact date that the billing error began, the adjustment will be based on the period of time that it can reasonably confirm that the billing error occurred.

If the adjusted bills are less than billed to the consumer, the account will be adjusted throughout the entire period of incorrect billing. If the adjusted bills are more than the consumer was billed, the account will be limited to the previous six months and the member will be allowed to pay this adjusted amount in installments. The number of installments will be no less than the number of months adjusted.

III. APPLICABILITY:

This policy applies to all members and accounts except those accounts enrolled in the PrePay Program.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: March 23, 2010

Supersedes: July 25th, 2006

Attest: _______________

Secretary

Effective Date: April 1, 2010

POLICY NO. 406

METER TAMPERING & CURRENT DIVERSION

I. OBJECTIVE:

To establish policy to provide guidance in situations where meter tampering, current diversion or cut meter seals have been found.

II. CONTENT:

A. Meter Seals

All meters on lines of the Cooperative shall be sealed at all times and no seal shall be broken without permission from an employee of the Cooperative. Upon giving permission for any seal to be broken, a service order to reseal the meter shall be created and printed immediately.

It shall be the responsibility of each and every member to see that the meter seal at their premises is not broken or tampered with. Upon finding any seal broken, an investigation shall be made. Broken meter seals will constitute grounds for questioning the accuracy of meter registration and the possibility of meter tampering. If it is determined that there was no valid reason for the seal to be cut, the member will be charged a Cut Seal Fee as prescribed by the Board of Directors.

B. Unauthorized Service Connection

When it becomes evident that tampering with the Cooperative’s metering equipment for the purpose of connecting electric service has occurred, then it will be the policy of the Cooperative to disconnect the service immediately and without notice. The following conditions must be met before service will be restored:

1. Payment of an unauthorized service connection fee.

2. Payment of a reconnect for non-payment fee during regular working hours. An overtime reconnect for non-payment fee must be paid if service is reconnected after regular working hours.

3. Payment for all kWh used and any other amounts owed to the Cooperative.

4. The member must agree to comply with reasonable requirements to protect the Cooperative against further infractions.

5. The member’s deposit will be reviewed in accordance with the Cooperative’s deposit policy. Any additional increase in deposit is due to reconnecting the service.

6. The member must make payment of all amounts required for reconnection at one of the Cooperative’s office before the service is reconnected. The only acceptable form of payment is cash.

C. Meter Tampering and Current Diversion

When it becomes evident that a member has tampered with the Cooperative’s metering or service equipment for the purpose of defrauding the Cooperative by attempting to prevent the full or complete registration or recording or all energy and services used, then it will be the policy of the Cooperative to disconnect the service immediately and without notice. The following conditions must be met before service will be restored:

1. Payment of a meter tampering/current diversion fee.

2. Payment of a reconnect for non-payment fee during regular working hours. An overtime reconnect for non-payment fee must be paid if service is reconnected after regular working hours.

3. The Cooperative reserves the right to collect the difference between what the member has paid and the recalculated bill before service is restored. The Cooperative reserves the exclusive right to recalculate the billing on the account based on past billing history, the highest twelve-months’ usage for this type service, and/or any other factors deemed appropriate by the Cooperative.

4. The member must agree to comply with reasonable requirements to protect the Cooperative against further infractions.

5. The member’s deposit will be reviewed in accordance with the Cooperative’s deposit policy. Any additional increase in deposit is due prior to reconnecting the service.

6. The member must make payment of all amounts required for reconnection at one of the Cooperative’s office before the service is reconnected. The only acceptable form of payment is cash.

D. When service is disconnected at the pole or transformer for meter tampering or unauthorized use of service and is subsequently reconnected, the member will be charged a Disconnect at Pole/Transformer Fee in addition to the fees specified in Section B and C. In the event that service is not reconnected for the same member at this location, the disconnected account will be charged the Disconnect at Pole/Transformer Fee.

E. The meter tampering fee, unauthorized service connection fee, disconnect at pole/transformer fee, reconnect fee and overtime reconnect fee will be in an amount as prescribed by the Board of Directors.

The Cooperative reserves the right to take any legal action it deems appropriate.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: July 25, 2006

Supersedes: April 26, 1994

Attest: ______________

Secretary

Effective Date: November 1, 2006

POLICY NO. 407

EASEMENTS, RIGHT OF ACCESS AND PROTECTION OF COOPERATIVE PROPERTY

I. OBJECTIVE:

To establish policy to provide guidance for acquiring easements, right-of-way, right of access to member’s premises, and protection of Cooperative property on member’s premises.

II. CONTENT:

A. Member to Grant Easements to Cooperative if Required:

Each member, upon being requested to do so by the Cooperative, shall execute and deliver to the Cooperative grants of easement or rights-of-way over as defined in Policy 411, on and under such lands owned by the member in accordance with such reasonable terms and conditions as the Cooperative shall require, or the furnishing of electric service to the member or other members or for the construction, operation, maintenance or relocation of the Cooperative’s electric facilities.

B. Right of Access:

The Cooperative’s identified employees shall have the right of safe access, without interference from any hostile source, to the member’s premises at all times for the purpose of reading meters, collecting bills, disconnection of service, testing, repairing, removing, maintaining or exchanging any or all equipment and facilities which are the property of the Cooperative.

C. Protection of Cooperative Property on Member Premises:

The member shall protect the equipment of the Cooperative on the premises and shall not interfere with, alter, or permit interference with, or alteration of meters or other property including load management devices except by duly authorized representatives of the Cooperative.

The cost of the necessary replacements and repairs to correct damage to the property of the Cooperative due to, caused by, or arising from carelessness, neglect, or misuse by unauthorized persons, shall be paid by the person/persons responsible for such damage.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: April 26, 1994

Attest: ____________________

Effective Date: July 1, 1994

POLICY NO. 408

GENERAL CONDITIONS FOR MEMBER WITHDRAWAL

I. OBJECTIVE:

To establish policy to provide conditions for member withdrawal.

II. CONTENT:

A. A member may voluntarily withdraw in good standing from membership upon compliance with the generally applicable conditions set forth following:

1. Payment of any and all amounts due the Cooperative, and cessation of and non-compliance with his membership obligations; all as of the effective date of withdrawal; and either

a. Removal to other premises not furnished service by the Cooperative; or

b. Ceasing to use any central station electric service whatever at any of the premises to which such service has been furnished by the Cooperative pursuant to his membership; or

c. (With the prior approval of the Board of Directors) resigning his membership in favor of another applicant who shall own or directly occupy or use the same premises to which the Cooperative has furnished service pursuant to the resigning member’s membership.

B. Upon such withdrawal, the member shall be entitled to a refund of his membership fee and of any service connection or security deposit then held by the Cooperative.

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: April 26, 1994

Attest: ____________________

Effective Date: July 1, 1994

POLICY NO. 409

FEES SCHEDULE

I. OBJECTIVE:

To establish policy to set fee amounts charged by the Cooperative.

II. CONTENT:

Membership Fee 5.00

Minimum Residential Security Deposit 100.00

Collection Fee 25.00

Connection/Transfer Fee 25.00

Overtime Connection/Transfer Fee 75.00

Extended Hours Reconnect for Non-Payment Fee 110.00

Reconnect for Non-Payment Fee 50.00

Overtime Reconnect for Non-Payment F e e 85.00

Disconnect at Pole/Transformer Fee 120.00

Service Call Fee 75.00

Construction Mobilization Fee 250.00minimum or

actual cost

Returned Payment Fee 30.00

E-Check Convenience Fee 0.60

Credit Card Convenience Fee 3.00

E-Billing with Automatic Payment (monthly credit) 0.60

Unauthorized Service Connection Fee 150.00 minimum or

actual cost of

investigation

Meter Tampering Fee/Current Diversion Fee 350.00 minimum or

actual cost of

investigation

Cut Seal Fee 25.00

Meter Test Fee 10.00

Annual Interest Rate 18% APR

Underground Service Lateral Fees.

Single Phase Service Lateral 200 Ampere 160.00

Single Phase Service Lateral in excess of 200 Amperes 400.00

Three Phase Service Lateral 400.00

Overhead Service Lateral Fees

Three Phase Service Lateral 400 Amp or Less 400.00

Three Phase Service Lateral, Greater than 400 Amp Feasibility Study

Cumberland Island Line Extension Fee est. 15.00 per foot

Temporary Service Fee 50.00

Outdoor Lighting Fixture Installation Fee 25.00

Outdoor Lighting Underground Service Fee 1.50 per foot

Outdoor Lighting Pole Installation Fees

Town & Country Light

(Underground System Only) 210.00

30 Foot Wood Pole 185.00

35 Foot Wood Pole 210.00

40 Foot WoodPole 320.00

45 Foot Wood Pole 405.00

50 Foot Wood Pole 460.00

Security Light Relocation Fees

Light Only 150.00

Light and Pole 150.00 Plus Applicable Pole Charges

Hourly Rates

Labor 37.50 per man-hour

Bucket/Derrick Truck 22.00 per hour

Pickup 7.50 per hour

III. APPLICABILITY:

This policy applies to all members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: September 25, 2007

Supersedes: December 28, 2004

Attest: ___________________

Secretary

Effective Date: October 1, 2007

POLICY NO. 410

GENERAL LINE EXTENSION

I. OBJECTIVE

To establish policy to provide for extension of electric service facilities.

II. CONTENT:

A. Overhead Line Extensions

1. Permanent Residences

The Cooperative shall extend single-phase, overhead electric service facilities to all permanent residences in the area served by the Cooperative at the regularly established rates in accordance with Schedule A of Policy No. 409. Necessary right-of-way easements must be secured at no cost to the Cooperative.

A permanent residence is defined as one, which will be the member’s principal dwelling and occupied the majority of the year.

A mobile home shall be considered a permanent residence provided that it has a separate, individually utilized water and septic system and is the member’s principal dwelling and occupied the majority of the year. A mobile home utilizing public or community water and septic systems shall qualify as a permanent residence provided that it is the member’s principal dwelling and occupied the majority of the year.

2. Commercial, Industrial, Public Buildings and Installations

Single-phase, overhead electric service facilities shall be extended to commercial/industrial or public buildings at the regularly established rates in accordance with Schedule A of Policy No. 409. Necessary right-of-way easements must be secured at no cost to the Cooperative.

3. Other Permanent Installations

Single phase, overhead electric service shall be extended to all other installations not included in Sections II.A.1 or II.A.2 of this Policy in accordance with Schedule B of Policy No. 409. Necessary right-of-way easements must be secured at no cost to the Cooperative.

4. Residential Developments (Overhead)

Single phase, overhead electric service shall be extended to residential developments in the area served by the Cooperative in accordance with Schedule A of Policy No. 409. A recorded utility easement is required prior to construction of any facilities.

5. Outdoor Lighting

Outdoor lighting will be installed on existing poles subject to payment of the Outdoor Lighting Fixture Installation Fee as specified in Policy 409. In cases where a wooden pole must be installed to mount the light, a contribution in aid of construction shall be required as specified by the Outdoor Lighting Pole Installation Fee in Policy No. 409. If the member requests installation of special types of poles not addressed in Policy No. 409, the member shall be responsible for the full cost of such special poles. Should the member request relocation of outdoor lighting fixtures and/or poles, the Security Light Relocation Fees in Policy No. 409 will be applied. The Security Light Relocation Fees will also be applied for the installation of a new light if the member has requested the removal of outdoor lighting at the same general location in the previous twelve months. Primary line extensions shall not be built to serve outdoor lighting without a contribution-in-aid of construction for the full cost of the extension. No outdoor lighting shall be installed on rental property except in the property owners’ name.

B. Underground Line Extensions

Underground electric service shall be available under the following terms and conditions:

1. Residential Services

For individually constructed new permanent residences where no primary construction is required, the Cooperative will extend single-phase, 120/240 Volt electric service facilities at the regularly established rates upon payment of Underground Service Lateral Fee as specified in Policy No. 409. The member or the member’s electrical contractor shall be required to install conduit from point of source to member’s meter base as specified by OREMC.

In addition to the above, extensions that require underground primary construction shall require a contribution in aid of construction in accordance with Schedule C of Policy No. 409. If deemed necessary by the Cooperative, the member or the member’s contractor shall be required to install conduit for the primary conductor to the Cooperative’s specifications.

2. Commercial, Industrial, Public Buildings and Installations

Single-phase, 120/240 Volt underground electric service facilities shall be extended to commercial / industrial or public buildings at the regularly established rates upon payment of the appropriate Underground Service Lateral Fee as specified in Policy No. 409. The member or the member’s electrical contractor shall be required to install conduit from point of source to member’s meter base as specified by OREMC.

3. Other Permanent Installations

Single-phase, 120/240 Volt underground electric service facilities shall be extended to all other installations not included in Sections II.B.1 or II.B.2 of this policy as follows. Where no primary construction is required, the Cooperative will extend Single-phase, 120/240 Volt underground electric service facilities to these installations at the regularly established rates upon payment of Underground Service Lateral Fees as specified in Policy No. 409. The member or the member’s electrical contractor shall be required to install conduit from point of source to member’s meter base as specified by OREMC.

4. Residential Developments (Underground)

For new residential developments requiring underground electrical service, the developer shall be required to install a total conduit system. The OREMC engineering department shall design the conduit system, and the developer’s contractor shall install the conduit system in accordance with OREMC‘s design and specifications. A recorded utility easement will be required. The developer shall be responsible for obtaining and compliance with any required National Pollutant Discharge Elimination System (“NPDES”) permits.

The manual, “Procedures, Standards, and Specifications for the Installation of Underground Electrical Facilities for Residential / Commercial Developers” will be made available to the developer. This document outlines the process and procedures the developer must follow for the proper installation of the conduit system.

The developer shall be required to pay in advance of construction, a non-refundable contribution in aid of construction in accordance with Schedule C of Policy No. 409. Underground service lateral fees and temporary service fees will be required as appropriate for each service within the development.

In addition to the per-foot charges for underground primary conductor outlined in Schedule C of Policy No. 409, the developer will be required to submit a non-refundable Special Equipment Fee equal to the installed cost of all special equipment (transformers, switchgear or sectionalizing equipment) to be installed in the development.

5. Outdoor Lighting

Underground service to outdoor lighting will be installed at the Cooperative’s discretion. If the lighting is to be installed on an existing overhead pole deemed by the Cooperative to be in a suitable location, the lighting will be installed upon payment of the Outdoor Lighting Fixture Installation Fee specified in Policy 409. In cases where a pole must be installed to mount the light, a contribution in aid of construction shall be required as specified by the Outdoor Lighting Pole Installation Fee in Policy No. 409. In instances where the member requests the installation of outdoor lighting at a location other than immediately adjacent to Cooperative equipment to supply the light, a contribution in aid of construction shall be required as specified by the Outdoor Lighting Underground Service Fee in Policy No. 409.

The member or the member’s contractor shall be required to install conduit for the underground service conductor to the Cooperative’s specifications. If the member requests installation of special types of poles not addressed in Policy No. 409, the member shall be responsible for the full cost of such special poles. Should the member request relocation of outdoor lighting fixtures and/or poles, the Security Light Relocation Fees in Policy No. 409 will be applied. The Security Light Relocation Fees will also be applied for the installation of a new light if the member has requested the removal of outdoor lighting at the same general location in the previous twelve months

Primary line extensions shall not be built to serve outdoor lighting without a contribution in aid of construction for the full cost of the extension. No outdoor lighting shall be installed on rental property except in property owners’ name.

6. Conversion of Overhead to Underground

Members requesting conversion of existing overhead electric facilities to underground distribution facilities shall be responsible for all costs associated with the conversion, including cost of removal for the overhead facilities and the cost of construction for the new underground facilities

7. Cumberland Island

Members requesting electric service on Cumberland Island shall be required to make a contribution in aid of construction from point of source to point of service as determined by actual construction costs. Prior to construction by the Cooperative the member shall make payment to the Cooperative of the estimated construction cost as determined by the Cumberland Island Line Extension Fee as specified in Policy 409.

Upon close-out of the construction work order, any contribution in aid of construction paid in excess of actual construction costs shall be refunded to the member.

In addition to the foregoing requirements, the following requirements shall also apply to any underground line extension:

1. Underground electric service will not be provided in established wetland areas

except where as the consumer and or developer provides a total conduit system according to OREMC specifications.

2. All underground services shall require installation by the consumer of a conduit

system from point of source to point of service according to OREMC specifications.

3. The owner or developer shall provide, without cost to the Cooperative clear

(free of stumps, debris, and other obstructions) easements and rights-of-way, suitable for the installation, operation, and maintenance of underground facilities. The owner or developer will be required to have the rights-of-way and all streets, alleys, sidewalks, and driveway entrances graded to final grade, and will have lot lines established before construction of the electrical distribution system begins.

4. The Cooperative shall determine the preferred method of service

based on good engineering design, applicable construction codes and specifications, economics, and other pertinent factors. If the preferred method of service is not acceptable, the member will be required to pay a contribution in aid of construction equal to the estimated additional cost to provide service by the non-preferred method.

5. The owner or developer will reimburse the Cooperative for the cost of cutting

through and replacing pavement within the development, and all costs of punching and/or boring.

6. If underground facilities are desired, it shall be the responsibility of the

owner/developer to provide all necessary protection for items including, but not limited to: shrubs, trees, grass sod, irrigation, water and septic systems during installation and/or maintenance of underground facilities. The owner or developer will hold the Cooperative and/or its subcontractors harmless against any claims of such damage. Plants, shrubs and trees shall not be planted any closer than ten feet from the front, or five feet from the side or rear of any electrical equipment, transformer, junction boxes, etc. It will be the responsibility of the owner or developer to re-seed and/or maintain the trench cover.

C. Three Phase Service

The Cooperative will not normally extend three-phase service to installations that can be adequately served by single-phase service. Exceptions may be made where the installation is in close proximity to existing multi-phase lines. In such cases where no primary construction is required, the Cooperative will make available three phase service facilities at the regularly established rates upon payment of the appropriate Overhead or Underground Service Lateral Fee as specified in Policy No. 409.

For overhead three phase service 400 Amp or less, this fee includes the service conductor. For overhead three phase service in excess of 400 Amp, a feasibility study will be performed by the Cooperative to determine the amount of the Three Phase Overhead Lateral Fee.

For 200 ampere, three phase underground service, the Three Phase Service Lateral Fee includes the service conductor, with the member providing and installing the service conduit to Cooperative specifications. For three phase underground services in excess of 200 ampere, the member shall provide, install, and maintain the service conduit and conductor to Cooperative specifications.

For installations requiring three-phase service at a distance from multi-phase lines, a feasibility study will be done by the Cooperative to determine the amount of contribution-in-aid of construction required

If the proposed construction is consistent with long range system planning, the required contribution may be mitigated.

D. Temporary Services

1. Overhead Temporary for Construction

Temporary service of 120/240 volts, single-phase, will be furnished for construction upon payment of the temporary service fee as specified in Policy 409, provided that permanent service is to be furnished by the Cooperative. In addition to the above, extensions that require primary construction shall require a contribution in aid of construction in accordance with Schedule A or Schedule B of Policy No. 409. The member applying for temporary service shall be required to furnish and install temporary service equipment conforming to the Cooperative’s wiring standards and shall be installed at a location approved by the Cooperative.

2. Underground Temporary for Construction

Temporary service of 120/240 volts, single-phase, will be furnished for construction in areas where the Cooperative has underground facilities in place or the permanent service will be underground. Such installation shall require payment of the Temporary Service Fee specified in Policy 409, provided that permanent service is to be furnished by the Cooperative. In addition to the above, extensions that require primary construction shall require a contribution in aid of construction in accordance with Schedule A, Schedule B, or Schedule C of Policy No. 409. The temporary service equipment must be located immediately adjacent to the pad-mount transformer or secondary junction box provided by the Cooperative. Temporary service equipment shall conform to the Cooperative’s wiring standards and shall be installed at a location approved by the Cooperative.

3. Service to Temporary Loads

Service will be extended to temporary loads upon receipt of a contribution in aid of construction equal to twice the estimated construction cost to provide the service.

E. Contributions In Aid Of Construction

Any required contribution in aid of construction shall be paid prior to construction of facilities.

If determined to be in the best interest of the Cooperative, contributions in aid of construction may be modified or waived upon approval of the Cooperative’s General Manager or his designee.

Special consideration may be given to members who pay aid in construction charges when other members may be reasonably expected to take service from the line extension.

F. Facilities Extension Ownership

All line extensions, service wire and connections, no matter who pays or contributes toward paying the cost thereof, are to be made by the Cooperative and remain the property of the Cooperative. The Cooperative shall not be required to serve any consumer over a line built, owned, operated, or maintained by the member or a third party.

All property of the Cooperative placed in or upon the member’s premises, used in supplying service to the member, is placed there under the member’s protection. The cost for any loss or damage to such property, normal wear and tear excepted, shall be payable by the member.

The Cooperative shall have access to such property at all reasonable times. The member shall not commit or cause or permit any act that will or may result in damage to or loss of such property or in the loss of life or injury to any person, or the loss of or damage to any property, in relation to such property.

III. APPLICABILITY

This policy applies to all members and applicants for service of the Cooperative.

IV. RESPONSIBILITY

The General Manager or his designee will be responsible for carrying out the provisions of this policy.

Date Adopted: September 25, 2007

Supersedes: July 23, 2002

Attest: ____________________

Secretary

Effective Date: October 1, 2007

POLICY NO. 411

RIGHTS-OF-WAY

I. OBJECTIVE:

To establish policy for procurement of rights-of-way by applicants for service and to provide for the clearing, reclearing, and maintenance of rights-of-way by the Cooperative.

II. CONTENT:

Right-of-way easements are required of landowners for the purpose of providing location of and access to electric distribution lines for construction, operation and maintenance.

A. Procurement by Applicants

Applicants for service may be required to secure to, and for, the Cooperative all necessary and convenient rights-of-way and to pay the costs of securing same.

Applicants for service shall also be responsible for initial clearing of rights-of-way necessary for line extensions for provision of service unless the Cooperative determines that it is in the best interests of the Cooperative to provide said initial clearing.

B. Delays

Applications for service for an extension to be constructed where right-of-way is not owned by the Cooperative will only be accepted subject to delays incident to obtaining satisfactory right-of-way, highway and railroad crossing permits, or other permits which may be required.

Satisfactory right-of-way clearance for electric lines to the point of delivery of a new service must be accomplished before the service connection will be made.

C. Clearing, Reclearing, and Maintenance of Rights-of-Way

Normally, only a 20 foot right-of-way may be required. Exceptions from this normal range will be made only by special arrangement in consideration of the Cooperative’s requirements and conditions affecting the landowner’s property.

The Cooperative shall have the rights of ingress and egress from the premises at reasonable times and as required, and shall have the right to cut and trim trees and shrubbery to the extent necessary to keep them clear of the electric lines and meter bases and to cut all dead, weak, and dangerous trees which may endanger the line by falling.

The member shall allow the Cooperative to clear and trim trees which will endanger the lines of the Cooperative and imperil service to that member or other members. The member shall refrain from:

1. Planting trees, shrubs, etc., along the Cooperative’s right-of-way which may at some time in the future endanger the lines.

2. Placing structures on the right-of-way. If the member does place vegetation or structures within the right-of-way, the Cooperative will not be responsible for damages done to same. Members shall gain the approval of the Cooperative before placing fences on the right-of-way. Members may be required to install gates at locations designated by the Cooperative to ensure that access to Cooperative facilities is not inhibited.

3. Planting trees, shrubs, etc., around underground transformers.

The Cooperative shall use all reasonable care and diligence in the clearing, reclearing, and maintenance of rights-of-way. The Cooperative shall make reasonable attempt to give notice to the landowners of scheduled or planned clearing and reclearing and alterations within the existing right-of-way.

III. APPLICABILITY:

This policy applies to all members and applicants for service of the Cooperative.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Approved: April 26, 1994

Attest: ___________________

Effective Date: July 1, 1994

POLICY NO. 412

STANDARD SUPPLY VOLTAGES

I. OBJECTIVE:

To establish standard supply voltages available in the Cooperative’s service territory.

II. CONTENT:

One system of alternating current, 60 Hz, is supplied throughout the Cooperative’s system.

The voltages, number of phases, and type of metering which will be supplied depends upon the Cooperative’s facilities available and upon the character, size, and location of the load to be served. Therefore, the member shall consult the Cooperative before proceeding with the purchase of installation of wiring or equipment. To avoid misunderstanding, this information should be in writing.

The standard secondary voltages described below are nominal and are subject to a plus or minus ten percent variation:

Single-phase 2-wire 120 volts

Single-phase 3-wire 120/240 volts

Three-phase 4-wire 120/208 volts

Three-phase 4-wire 120/240 volts*

Three-phase 4-wire 240/480 volts*

Three-phase 4-wire 277/480 volts

*Note: These voltages are not available form pad-mounted transformers.

The standard primary voltages described below are nominal and are subject to a plus or minus ten percent variation:

Single-phase 2-wire 7200 volts

Single-phase 2-wire 14400 volts

Three-phase 4-wire 7200/112470 volts

Three-phase 4-wire 14400/24940 volts

It will not be considered a violation when voltages outside of the prescribed limits are caused by any of the following:

1. Action of the elements;

2. Service interruptions;

3. Temporary separation of parts of the system from the main system;

4. Infrequent fluctuations not exceeding five minutes duration;

5. Other causes beyond the control of the Cooperative.

III. APPLICABILITY:

This policy applies to all members and services of the Cooperative.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager of his designee to carry out the provisions of this policy.

Date Approved: April 26, 1994

Approved: ____________________

Effective Date: July 1, 1994

POLICY NO. 413

COOPERATIVE’S LIABILITY

I. OBJECTIVE:

To establish policy to limit the liability of the Cooperative for damages that occur due to acts or occurrences beyond the control of the Cooperative.

II. CONTENT:

The Cooperative will use reasonable diligence in furnishing a regular and uninterrupted supply of energy, but does not guarantee uninterrupted service. The Cooperative shall not be liable for damages in case such supply should be interrupted or fail by reason of an act of God, the public enemy, sabotage, accidents, labor disputes, orders or acts of civil or military authority, breakdowns or injury to the machinery, transmission lines, distributions lines or other facilities of the company, extraordinary repairs of any other cause whatsoever, or, by reason of any act of the Cooperative including the interruption of service to any consumer, taken to prevent or limit the extent or duration of interruption, instability or disturbance on the electric system of the Cooperative or any electric system interconnected, directly or indirectly, with the Cooperative’s system, whenever such act is necessary or indicated in the sole judgement of the Cooperative. The Cooperative shall not be liable for damages to a member’s premises, including but not limited to a member’s electronic equipment, caused by lightning transmitted over or through the Cooperative’s transmission and/or distribution lines to the member’s premises.

Unless otherwise provided in a contract between the Cooperative and the member, the point at which service is delivered by the Cooperative to the member, to be known as “delivery point”, shall be the point at which the member’s facilities are connected to the Cooperative’s facilities. The Cooperative shall not be liable for any loss, injury or damage resulting from the member’s use of his equipment or occasioned by the energy furnished by the Cooperative beyond the delivery point.

The member shall provide and maintain suitable protective devices on his equipment to prevent any loss, injury or damage that might result from single-phasing conditions or any other fluctuation or irregularity in the supply of energy. The Cooperative shall not be liable for any loss, injury or damage resulting from a single-phasing condition or any other fluctuation or irregularity in the supply of energy which could have been prevented by the use of such protective devices.

III. APPLICABILITY:

This policy applies to all members and services of the Cooperative.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Approved: April 26, 1994

Approved: ____________________

Effective Date: July 1, 1994

POLICY NO. 414

CO-GENERATION

I. OBJECTIVE:

To establish guidelines for any Cooperative member desiring to co-generate electric energy.

II. CONTENT:

Any member wishing to become a co-generator or small power producer shall meet all rules and regulations of the Public Utility Regulatory Policies Act of 1978 (PURPA) Sections 201 and 210, the Federal Energy Regulatory Commission (FERC) Order No. 70 issued March 13, 1980 (45FR17959), and the Cooperative.

III. APPLICABILITY:

This policy applies to any member of the Cooperative desiring to become a co-generator.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Approved: April 26, 1994

Approved: ____________________

Effective Date: July 1, 1994

POLICY NO. 415

RESALE OF POWER

I. OBJECTIVE:

To prohibit resale of electricity by members of the Cooperative.

II. CONTENT:

Members shall not directly resell energy for any purpose. Members shall not divert electric energy to other premises or use it for purposes other than those permitted by the bylaws, rules and regulations of the Cooperative, and by state or local laws, rules, and codes.

III. APPLICABILITY:

This policy applies to all members and services of the Cooperative.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Approved: April 26, 1994

Approved: ____________________

Effective Date: July 1, 1994

POLICY NO. 416

SERVICE CONNECTIONS, MEMBER WIRING, MEMBER EQUIPMENT

I. OBJECTIVE:

To establish policy that ensures adequacy and proper installation of member wiring and equipment.

II. CONTENT:

A. Service Connections

1. The Cooperative will furnish and install only one service drop to a

metered point. The member must furnish a point of attachment for the Cooperative’s service facilities which will meet the National Electrical Safety Code, the National Electric Code, State, Local and Cooperative requirements.

2. The point of attachment furnished by the member must be designated by

the Cooperative to ensure construction at a reasonable cost and in accordance with sound engineering practices.

3. The Cooperative’s responsibility for installation and/or maintenance of service

facilities except load management devices shall not extend beyond the point of attachment to the member’s building, central distribution point, or the electric power measuring device.

4. When the member’s service requirements are of such nature that a point of

attachment must be located on a pole, the member will be responsible for furnishing and installing the pole.

5. No more than one residence, mobile home or separate business will be served

through one meter.

6. All service facilities and equipment constructed and installed by the

Cooperative shall remain the sole property of the Cooperative and shall not become part of the property of premises to which said facilities are attached or on which said facilities are constructed.

B. General Wiring Requirements

1. The Cooperative’s responsibility extends only to the supplying of service at the

point of attachment. Any change to electrical installations must meet standards of the National Electrical Code, Sate, County, Local, and Cooperative requirements.

2. The member assumes full responsibility for the power on member’s

premises from the point of attachment thereof and for the wires, apparatus, devices, and appurtenances thereon, used in connection with the service except for load management devices. The member shall indemnify, save harmless, and defend the Cooperative against all claims, demands, cost of expense for loss, damage or injury to persons or property in any manner directly or indirectly arising from, connected with, or growing out of, the transmission or use of power by the member at or on the member’s side of the point of delivery.

3. It is the responsibility of each member to cause all premises receiving

electric service to become and remain wired in accordance with the specifications and requirements of the Cooperative, the National Electrical Code, and any requirement of local government agencies having jurisdiction over the installation of electric wiring. Reference copies of the National Electric Code are on file at Okefenoke Offices in Hilliard, Florida, Kingsland, Georgia and Nahunta, Georgia.

4. In the event of a known hazardous condition or potentially hazardous

condition because of a violation of requirements, electric service will not be connected until the condition is corrected. In the event service is being received, the member will be notified by certified mail with copy to County or Local Inspector, if applicable, that if the deficiencies are not corrected in a reasonable time, service may be discontinued.

5. Where applicable, members will be required to conform with existing State,

County and Local wiring regulations.

C. Member Equipment

1. All motor installations on the Cooperative’s lines must conform to the

rules and regulations as set forth in the National Electrical Code, and such other codes as may be applicable. All motors, single and three-phase, above ten (10) horsepower must be approved by the Cooperative before installation. All motors or other apparatus requiring unchanged phase rotation and/or continuity of three-phase supply shall be equipped with suitable protection against reversal or phase failure.

2. Where auxiliary or standby power is installed by the member to provide

emergency power, parallel operation of the member’s generating equipment with the Cooperative’s system will not be allowed. A double throw switch must be used to prevent possible injury to Cooperative workmen by making it impossible for power to be fed back into the main line from the emergency generator. Any generator found connected to wiring system without an approved double throw switch shall be cause for disconnecting service.

3. Members desiring to operate electric welders or other devices with high

inrush or fluctuating currents must supply the Cooperative with information regarding the electrical characteristics of the equipment. Service will not be allowed to equipment which adversely affects the Cooperative’s equipment or the service to the members. The Cooperative should be consulted before the purchase of installation of the equipment.

4. The member shall own, maintain, and operate all substations and

transforming equipment where voltage, phase, or frequency is desired other than that under which service is rendered and metered.

a. All protective devices required by these regulations shall be

provided by the member and at the member’s sole expense.

b. In order for the Cooperative to provide proper voltage

and give the best service possible, it is important that members notify the Cooperative when new equipment or major appliances are added such as: electric range, electric water heater, electric clothes dryer, heating and air-conditioning units or large electric motor (5 horsepower or larger). This will give the Cooperative representatives the opportunity to check to determine if the transformer, and wire size are large enough to take care of the member’s new equipment.

III. APPLICABILITY:

This policy applies to all members and services of the Cooperative.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Adopted: April 26, 1994

Attest: ____________________

Effective Date: July 1, 1994

POLICY NO. 417

ELECTRIC METERING EQUIPMENT

I. OBJECTIVE:

To establish policy for the application and installation of electric metering equipment.

II. CONTENT:

All meter bases should be installed on an exterior surface or pole as nearly as possible at eye level. Upon receipt of the application for service, an authorized representative of the Cooperative shall approve the location of the meter center in a mutually agreeable location.

All meter installations shall be made in accordance with the National Electric Code and all other applicable codes.

All meters shall be placed ahead of all switches and protective devices unless otherwise agreed to by the Cooperative.

For large single-phase installations of over 200 amperes and for three-phase installations, the Cooperative shall specify the type of metering equipment required before installation of same.

In case of new line construction requiring the relocation of the meter, said relocation shall be at the expense of the Cooperative.

The Cooperative will normally furnish a single meter for each class of service at the point of connection to the member’s premises. Any member desiring service at two or more separately metered points of connection to the distribution system shall be billed separately at each such point and the metered energy consumption of such members shall not be combined for billing purposes.

Current transformer metering will be used when the magnitude of the load to be served warrants installation of such equipment. However, if requested by member simply for member’s convenience, member shall pay additional costs associated with current transformer metering installation.

III. APPLICABILITY:

This policy applies to all members and services of the Cooperative.

IV. RESPONSIBILITY:

The General Manager or his designee shall be responsible for carrying out the provisions of this policy.

Date Adopted: April 26, 1994

Attest: ____________________

Effective Date: July 1, 1994

POLICY NO. 418

SAFEGUARDS AGAINST HIGH VOLTAGE LINES

I. OBJECTIVE:

To establish policy assuring compliance with the Georgia High Voltage Safety Act.

II. CONTENT:

A. Purpose of The Act

The purpose of the High Voltage Safety Act is to prevent injury to persons or property, and interruptions of utility service resulting from accidental or inadvertent contact with high voltage electrical lines (See Attachment 1). High voltage electrical lines are defined as overhead high voltage lines in excess of 750 volts between conductors of from any conductor to ground. The Act provides that no work shall be done in the vicinity of such lines unless and until the Cooperative has been notified of such work and has taken one of the following safety measures:

1. De-energizing and grounding the line

2. Relocating the line

3. Installing protective covering or mechanical barriers

B. Applicability of The Act

The High Voltage Safety Act applies to a person or entity in pursuit of his trade or business.

Even though private citizens working on their own property are exempted by this law they shall receive the same response that a person in pursuit of a trade or business would receive.

Any telephone company, cable television company, or other entity which has a joint use contract with the Cooperative is exempted from this act.

C. Compliance with The Act

No person in pursuit of a trade or business shall commence any work within ten feet of any high voltage line unless and until the person responsible for the work has given notice to the Utilities Protection Center during its regular business hours at least 72 hours (excluding weekends and holidays) prior to commencing work.

If the Cooperative is contacted directly by a person in pursuit of a trade or business concerning work to be performed within ten feet of a high voltage line within the State of Georgia, the Cooperative shall direct the person to the Utilities Protection Center to comply with the law before commencing any work. If the work to be performed is within the State of Florida, the Cooperative shall deal directly with the person making the request.

The Utilities Protection Center will forward to the Cooperative all notices involving Cooperative owned high voltage lines. After receiving notification from the Utilities Protection Center, the Cooperative shall contact the person whose name is given on the Utilities Protection Center notice within a reasonable time.

Information shall be maintained by the Cooperative of actions of the person doing the work in connection with the Act (See Attachment 2). The following arrangements should be discussed and agreed upon in writing and recorded for the safety precautions required:

1. Date and Time

2. Name of Owner and Firm

3. Name of Person

4. Coordination of the work schedule

5. Type of work and equipment to be utilized

6. Evaluating safeguard deemed to be most feasible under the

circumstances

7. The specific lines affected by this notification shall be identified,

and instructions given that if work is to be done within ten feet

of other lines located near the work site, additional notification is

necessary.

8. Payment and costs to affect such safety precautions if applicable.

D. Reimbursement of Costs Incurred by The Cooperative

The person or firm planning to perform work near a high voltage line shall be required to reimburse the Cooperative for costs incurred in affecting necessary safety precautions. Such costs shall be determined by an hourly rate for labor and equipment as set forth in Policy No. 409, Fees Schedule. If relocation of facilities is required, the cost of any unsalvageable material shall be recouped in addition to the labor and equipment charges.

The Cooperative shall maintain sole discretion as to the most appropriate safeguard, and as to the men and equipment required to affect the necessary safety precautions.

The cost of providing temporary precautionary measures shall be borne by the Cooperative when:

1. During public highway construction, high voltage electric lines

are located upon public highways or roads (state or county), and

2. The construction is undertaken pursuant to a permit issued by

the state or county and neither the state or county received

consideration for the permit.

NOTE: Even though no cost is associated with the above, the law still require

the person that is to perform the work to contact the Utilities Protection Center.

E. Refusal to Enter an Agreement

If for any reason a person planning to work near a high voltage line refuses to enter an agreement as mentioned above, the Manager of Engineering Services or the Manager of Distribution Services (or designee) will explain the necessity for safety around Cooperative facilities and will take whatever steps are appropriate in an attempt to secure an agreement.

Also, the person to perform such work shall be made aware of the penalty if not in compliance with this Act:

1. Guilty of a misdemeanor

2. Upon conviction, a fine of $1,000.00 for a first offense and

$3,000.00 for a second or subsequent offense.

If all attempts to reach an agreement fail, then steps shall be taken immediately to enjoin such person(s) from proceeding with any work in violation of the Act.

III. APPLICABILITY:

This policy shall apply to all persons who perform work within ten feet of the Cooperative’s high voltage lines, within the State of Georgia unless specifically exempted by the Act. In the case of work to be performed in the State of Florida, all persons shall be encouraged to comply with this policy. In any event the requirements of the National Electrical Safety Code must be adhered to.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Adopted: April 26, 1994

Attest: ____________________

Adopted: July 1, 1994

POLICY NO. 419

REIMBURSE FOR RELOCATION, REPAIR OR REPLACEMENT OF

FACILITIES AND MISCELLANEOUS SERVICES

I. OBJECTIVE:

To establish policy for recovering costs incurred in relocation, repair, or replacement of Cooperative facilities and for miscellaneous services performed by the Cooperative.

II. CONTENT:

A. Relocation of Cooperative Facilities

When it is determined to be in the best interest of the Cooperative to relocate existing facilities, the Cooperative shall bear the cost of relocation. If the relocated facilities are not convenient to the existing service facilities of the member, the Cooperative will pay for relocation of the member’s service facilities.
If the Cooperative should be requested by a member or a third party to relocate or alter any overhead or underground facilities solely for benefit of the member or third party, the member or third party making the request shall bear the cost. Any relocation or alteration must meet all code requirements and sound engineering practices.
Costs relating to the replacement of existing overhead facilities with underground shall be borne by the member requesting such replacement.
Security lights will be relocated upon receipt of the Security Light Relocation Fee as specified in Policy No. 409. Members who request the installation of an additional security light(s) at the same location for a period of 12 months after the additional installation without payment of the Security Light Relocation Fee, if it is determined by the Cooperative that the intent is to circumvent the Relocation Fee.
If the relocation or alteration is requested by a State Department of Transportation or a County Road Department, the Cooperative will participate in the cost of the project on a pro rata basis to the extent that the existing facilities were constructed on state or county rights-of-way.

B. Repair or Replacement of Cooperative Facilities

If Cooperative facilities require repair or replacement due to damage caused by accident or negligence of a member or third party, the member or third party causing the damage shall bear the cost for necessary repair or replacement. Such cost shall be the cost of materials used plus labor and equipment costs as determined in accordance with Policy No. 409.

C. Miscellaneous Services and Fees

When the Cooperative shall from time to time provide escort services for house movers or similar entities, the firm or individual requesting such service shall be billed at the labor and equipment rates specified in Policy No. 409. These same labor and equipment rates shall apply to any other miscellaneous services that the Cooperative may elect to perform.

If the Cooperative’s employee(s) are dispatched to repair Cooperative equipment or restore service at a member’s premises and there was no problem on the Cooperative’s part of the service, the member shall be billed a Service Call Fee as specified in Policy 409.

If the Cooperative’s construction crew is dispatched to build, alter and/or remove facilities at a premise and is unable to perform the scheduled work because the premise does not meet all necessary requirements for service or a request is made to cancel, postpone or change after the crew is on the premise, a Construction Mobilization Fee shall be required and billed to the account. If the work is to be rescheduled, the fee must be paid before the work is performed.

III. APPLICABILITY:

This policy shall apply to all parties causing damage to or requesting relocation of Cooperative facilities and to all parties for whom the Cooperative may elect to perform miscellaneous services.

IV. RESPONSIBILITY:

It shall be the responsibility of the General Manager or his designee to carry out the provisions of this policy.

Date Adopted: 7/25/06

Supersedes: 7/26/05

Attest: ______________

Secretary

Effective Date: November 1, 2006

POLICY NO. 420

ECONOMIC DEVELOPMENT

I. OBJECTIVE:

To establish policy for OREMC involvement in promoting economic development within our service territory which results in the increased sale of electricity and/or the betterment of the quality of life for our members.

II. CONTENT:

We at OREMC recognize that the economic survival of rural areas in America today mandates that a unified and professional approach must be made towards economic development. It is imperative that all entities of a community bring together their respective resources for the purpose of attracting new industry, improving infrastructure and generally meeting the current and future economic needs of that community. This fact, coupled with the imminent approach of deregulation of the electric industry, and the impact it is certain to have on our ability to maintain and attract new load to our system, calls for a commitment to the economic development process by OREMC.

The management and staff of OREMC will take an active roll in any Chamber of Commerce, Development Authority, or other local body which they deem promotes their knowledge and input into the local economic development process. They will advise the Board of Directors of all significant developments within the territory and will make recommendations as to the need for the Board to commit efforts and resources to particular projects.

III. APPLICABILITY:

This policy applies to all communities, members and services.

IV. RESPONSIBILITY:

The General Manager will be responsible for carrying out the provisions of this policy.

Date Adopted: March 21, 1996

Attest: ____________________

Effective Date: March 21, 1996

POLICY NO. 421

Net Metering of Customer Owned

Renewable Distributed Generation Facilities

1. Purpose
To describe the terms and conditions under which Okefenoke Rural Electric Membership Corporation (OREMC) will provide net metering services to customers with renewable distributed generation facilities connected to the OREMC electric distribution system.

2. Glossary of Terms
Throughout this policy and the Application for Net Metering Services there are terms used that are specific to this process that warrant a clear, mutually understood definition. To that end the following definitions are provided:

· “Billing Period” is the elapsed time between the dates on which OREMC normally reads the retail service meter for billing.

· “Bi-directional Meter” is an industry standard device designed and manufactured to accurately measure, record and store the amount of electrical energy flowing in either direction through the one device (i.e. the amount of energy delivered to the member from OREMC and the amount of energy produced by the customer generator and delivered to OREMC).

· “Bi-directional metering” is measuring the amount of electrical energy supplied by OREMC to a member and the amount of electrical energy fed back to OREMC from the member’s renewable distributed generation facility using the same meter.

· "Customer Generator" is the member of OREMC that is the owner and operator of a Renewable Distributed Generation Facility.

· "Renewable Distributed Generation Facility" is a facility (land, equipment, materials, other items associated with the generator site) that is owned and operated by an OREMC member for the sole purpose of producing electrical energy which:

o Is located on the OREMC member premises;

o Uses a solar photovoltaic system, fuel cell, or wind turbine for the production of electrical energy;

o Has a peak generating capacity of no more than 10kW for residential applications and 100kW for non-residential applications;

o Operates the renewable distributed generation device in parallel with OREMC’s electric distribution facilities;

o Is connected to OREMC’s electric distribution system on either side of the OREMC owned electric meter;

o Is primarily intended to offset a part or all of the member’s electrical energy requirements as supplied by OREMC.

· “Electric Distribution System” is the wires, poles, reclosers, regulators, transformers and other associated equipment and facilities owned, operated and maintained by OREMC for the purposes of the timely and reliable delivery of electrical energy to their customers.

· "Electric Membership Corporation”, “(EMC)" is a rural electric membership corporation organized under Article 2 of the Official Georgia Code Annotated, title 46 - 3.

· "Electric Service Provider" is the electric membership corporation which is engaged in the business of distributing electricity to retail electric customers in the state of Georgia.

· “Excess Net Generation” is the difference between the electrical energy produced by the customer owned generation and the electrical energy consumed by the customer during the billing period.

· “Net Billing” is the processing of and accounting for the excess net generation delivered to the OREMC electric distribution system by the Customer Generator.

· “Net Metering” is measuring, recording and storing the electrical energy generated by the Customer Generator in excess of the electric energy delivered to the Customer Generator by OREMC and delivered to the OREMC electric distribution system.

3. Scope
The state of Georgia passed legislation (Georgia Code 46-3-50) with the intent to encourage investment in and the development of renewable energy resources in Georgia. This legislation requires the electric utilities in the state, including the rural electric membership corporations, to make net metering services available to their electric service customers in order to encourage the development and installation of Renewable Distributed Generation Facilities at their customers’ premises.

In order to comply with this legislation, OREMC prepared this Net Metering Policy. This Policy describes OREMC’s response to this legislation and compliance to the statute. The Net Metering Services described herein shall be offered to the OREMC members, Customer Generators, across the OREMC service area, which meet the qualification for this service. However, under no circumstances shall OREMC’s compliance to this legislation be grounds for cross-subsidization either between classes of customers or between customers within a specific class.

4. Qualifications for Net Metering
To qualify for Net Metering Service under this policy the interested party shall be a member of OREMC in good standing as defined within other policies and rules within OREMC and incorporated herein by reference. The customer requesting the Net Metering Service shall submit a completed Application for Interconnection to OREMC at least twenty (20) business days prior to the date the Customer Generator plans to physically connect the renewable distributed generation facility to OREMC’s electric distribution system.

Upon receipt of the completed Application for Interconnection, OREMC shall have twenty (20) business days to review the Application and notify the Customer Generator as to whether the Application is approved or not. If the Application is approved the Customer Generator must complete and duly execute an Interconnection Agreement based on the size and type of renewable resource planned for installation.

To be considered a viable candidate for the Net Metering Services, the Customer Generator shall be a residential customer with a 10kW or less renewable based distributed generation facility to be interconnected. Or they may be a non-residential Customer Generator with a 100 kW or less renewable distributed generation facility for interconnection to OREMC.

Applications for Interconnection shall be received and considered from qualified Customer Generators on a first-come, first-served basis until such time as the cumulative total renewable generating capacity of all applications received and those Customer Generators currently on the Net Metering Service equals 0.2% of OREMC’s annual peak demand (kW) from the previous year. However, OREMC reserves the right to wave this upper limit, as it deems appropriate and necessary.

Customer Generators whose Applications for Interconnection and Net Metering Service will result in the cumulative total renewable capacity of the Customer Generators exceeding the 0.2% capacity limitation specified in the previous paragraph may not be accepted for Net Metering Service at the sole discretion of OREMC.

5. Safe, Reliable Operation
Safety to the general public, the OREMC staff, facilities and equipment is the first and foremost consideration with any interconnection of a renewable distributed generation facility. The Customer Generator shall submit their design, construction plans, interconnection configuration requirements and other related information, manufacturer’s specifications and manuals for their Renewable Distributed Generation Facility to OREMC along with their Application for Interconnection. This submittal shall be accompanied by a letter signed and stamped by the professional engineer participating in the design, configuration, construction and installation of this Renewable Distributed Generation Facility with the Customer Generator or the professional engineer employed by the manufacturer of the Renewable Distributed Generation Facility confirming the design, construction and configuration meet or exceeds the manufacturing specifications for the Renewable Distributed Generation Facility as well as the appropriate local, county and state codes. In addition this letter shall confirm that the design, construction and configuration meet the current versions of the National Electric Code (NEC), the National Electric Safety Code (NESC), the Institute of Electrical and Electronic Engineers (IEEE) standards contained in IEEE 1547 for and the standards specified in Underwriter’s Laboratory (UL) 1741.

OREMC retains the right to inspect the Renewable Distributed Generation Facility at any time during the construction and installation process to assess the progress and to determine when their distribution system will need to be prepared to connect to the Renewable Distributed Generation Facility. However, at no time will these inspections or any communications between the parties on site be considered as acceptance of the Customer Generator’s installation or distributed Renewable Generation Facilities.

The requirements for a safe, reliable interconnection of a Renewable Distributed Generation Facility with the OREMC electric distribution system are also specified by OREMC’s “Policy for the Interconnection of Distributed Generation Facilities”. These requirements shall be fully adhered to by the Customer Generator.

6. Initiation of Net Metering Service
Once OREMC has received, reviewed and approved the Application for Interconnection and both parties have executed the Interconnection Agreement, and the Customer Generator has confirmed with OREMC in writing that their Renewable Distributed Generation Facility is ready to energize, OREMC will proceed with the interconnection and close the disconnect switch between the Renewable Distributed Generation Facility and the OREMC’s electric distribution system and begin operation.

7. Interconnection and Net Metering
Low cost, yet accurate monitoring and tracking of the energy delivered to the Customer Generator and the energy delivered to the OREMC electric distribution system from the Renewable Distributed Generation Facility requires the use of readily available, industry standard metering equipment. OREMC will deploy the appropriate metering equipment using either single directional metering or bi-directional metering as needed to capture the energy data. A bi-directional meter will be used if the Renewable Distributed Generation Facilities are connected to the OREMC electric distribution system on the Customer Generator side of the customer meter. However, if the Renewable Distributed Generation Facilities are connected to the electric distribution system on the OREMC side of the meter, a single directional meter will be used.

8. Meter Reading and Billing
To the extent practical OREMC’s existing automatic meter reading system will be used to read the meters and retrieve the stored energy data on a regular basis for billing purposes.

Billing for services and the energy OREMC delivers to the Customer Generator will be calculated and the bill rendered per the current customer billing cycles as previously established and maintained in the existing billing system.

The energy rate charged the Customer Generator for the energy delivered by OREMC and the associated base rate will be those rates contained in OREMC’s existing residential and commercial rate schedules. Excess energy produced and delivered to the OREMC electric distribution system, which is in excess of the energy delivered by OREMC, will be recorded and credited to the Customer Generator’s account pursuant to the Net Metering Rider, NMTR-001.

9. Associated Costs and Cost Recovery
The Customer Generator shall be responsible for all costs associated with the design, construction installation, operation and maintenance of the Renewable Distributed Generation Facility installed. As each Renewable Distributed Generation Facility is typically unique in configuration and energy output, it is reasonable to expect the costs associated with the interconnection, meter installation and configuration to be unique.

Based on the design and interconnection information provided OREMC by the Customer Generator during the Application for Interconnection process, OREMC will compute a cost estimate for the interconnection. This cost estimate shall be paid in full by the Customer Generator up front prior to the commencement of any work on the part of OREMC. OREMC will track all actual costs associated with the interconnection to the respective Renewable Distributed Generation Facility including installation and the net metering application. All such costs will be the obligation of the Customer Generator and will be fully recovered by OREMC from the Customer Generator. If the actual costs of the installation and start-up of the interconnection exceed the original cost estimate OREMC prepared, the Customer Generator shall reimburse OREMC for these additional costs. Under no circumstances shall any portion of these interconnection and net metering costs become the responsibility of OREMC or any of their other members nor will these costs be allocated to any other member or member class.

APPLICABILITY

This policy applies to all members applying for Net metering Service of Okefenoke Rural Electric Corporation.

RESPONSIBILITY

The General Manager or his designee will be responsible for carrying out the provisions of this policy.

Date Adopted: January 31, 2008

Attest:

Effective Date: February 1, 2008

POLICY NO. 422

Policy for the Interconnection of Distributed Generation Resources to the

Electric Distribution System

1. Purpose
To describe the business terms and conditions and the operational expectations and limitations under which Okefenoke Rural Electric Membership Corporation (OREMC) will connect member owned distributed generation to the OREMC electric distribution system while providing the guidance needed to the OREMC staff to provide technical and business support for these interconnections.

2. Glossary of Terms
Throughout this policy and the associated forms and interconnection process, there is terminology used that is specific to the policy and the associated business practices and processes that warrant a clear, mutually understood definition. To that end the following definitions are provided:

· “Billing Period” is the elapsed time between the dates on which OREMC normally reads the retail service meter for billing.

· “Customer Generator” is the member of OREMC that is the owner and operator of Distributed Generation.

· "Distributed Generation” “(DG)” is a small-scale generating facility (e.g. land, equipment, materials, other items associated with a generator site) that is owned and operated by an OREMC member for the purposes of producing electrical energy to offset the members electrical energy needs which:

o Is located on the OREMC member premises;

o Is connected to, and operated in parallel with OREMC’s electric distribution system;

o Is intended to supply a process need within the member’s facilities or provide part or all of the member’s electrical energy requirements as supplied by OREMC.

· "Electric Membership Corporation", “(EMC)” means a rural electric corporation organized under Article 2 of the Official Georgia Code Annotated, title 46 - 3.

· "Electric Service Provider" is the electric membership corporation which is engaged in the business of distributing electricity to retail electric members in the state of Georgia.

· “Force Majeure” is any event that is beyond the reasonable control of the affected Party, and that the affected Party is unable to prevent or protect against by exercising reasonable due diligence including, but not limited to the following events or circumstances, but only to the extent that they satisfy the requirements: acts of war, public disorder, rebellion or insurrection; floods, hurricanes, earthquakes, lightning, storms or other natural disasters or calamities; explosions or fires; strikes, work stoppages or labor disputes; embargoes; or sabotage.

· “Interconnection” is the facility, equipment and materials that connect two systems such as a non-utility generator to a utility electric system.

· “Point of Interconnection” is the physical point of connection between two systems such as the non-utility generator and an electric utility system.

3. Scope
This policy applies to all consumer members of Okefenoke Rural Electric Membership Corporation (OREMC) who desire to install, interconnect, own and operate member owned, Distributed Generation on the OREMC electric distribution system. Any consumer member of OREMC may own, install and operate Distributed Generation on their premises as long as they shall abide by the terms and conditions of the Interconnection Agreement executed between OREMC and the respective Customer Generator.

This policy addresses the installation of Distributed Generation by OREMC members on their premises with a maximum generation capacity of ten (10) megawatts (MW). This maximum capacity limit applies to Distributed Generation installed at any member class, whether residential, commercial or industrial. This upper limitation of ten (10) MW is due directly to the capacity of the standard equipment and materials OREMC maintains in inventory without special order or handling. Any Customer Generator desiring to install Distributed Generation with a capacity greater than 10 MW shall be referred to OREMC’s transmission provider for an application to interconnect directly onto the bulk transmission system.

4. Safety
Safety to the general public, the OREMC staff, facilities and equipment is the first and foremost consideration with any interconnection. The interconnection of Distributed Generation shall not under any circumstances be allowed to reduce, minimize or impair the safety to the general public, OREMC staff, facilities and equipment. To the extent necessary to ensure safe operation of OREMC’s electric distribution system, the Customer Generator’s Distributed Generation installation shall adhere to the most current edition of the National Electric Safety Code (NESC) and to the most current version of OREMC’s safety rules and procedures.

In order to ensure electrical isolation from the OREMC electric distribution system when necessary for routine maintenance of the electric distribution system or during emergency conditions affecting the electric system conditions, a manual, air-gap disconnect switch capable of being tagged open, and pre-approved by OREMC shall be installed by the Customer Generator. This manual disconnect switch shall be installed in a physical location which is available and readily accessible to OREMC personnel for operation twenty-four hours per day, seven (7) days per week.

OREMC shall have the option to inspect the final installation of the Distribution Generation and the connection to the OREMC electric distribution system. OREMC may refuse to allow the Customer Generator to close the disconnect switch to the OREMC electric distribution system if any defects or problems are found with the interconnection or if any misapplications of equipment or materials are detected. However, under no circumstances shall this inspection by OREMC be deemed to warrant, validate or otherwise certify the interconnection or the proper installation of the Distributed Generation. That is the sole responsibility of the Customer Generator’s licensed engineer or the supplier(s) of the Distributed Generation equipment.

5. Reliability of Operation
OREMC is required by its member-owners, state regulatory authorities, and prudent engineering practice to operate its electric distribution system in a secure and reliable manner for the benefit of these electric member-owners. As such, all Customer Generator applicants are required to be familiar with and shall be compliant with the following standards: the most current edition of the Institute of Electrical and Electronics Engineers (IEEE) standard 1547 and 1547.1, “IEEE 1547 Standard for Interconnecting Distributed Resources with Electric Power Systems” and “IEEE 1547.1 Standard for Conformance Test Procedures for Equipment Interconnecting Distributed Resources with Electric Power Systems”, the National Electrical Code (NEC), and the Underwriters Laboratory (UL) regulations in UL 1741, as well as local, county and state regulations governing the installation of distributed generation on a member’s premise.

The Customer Generator shall not be authorized to proceed with energizing the interconnection until such time OREMC has received approved copies of all local, county and state notices, permits and other instruments conveying approval to proceed with the installation and operation from these local authorities.

6. Cost
OREMC shall recover all their costs associated with the engineering, design, construction, installation, metering and interconnection of the Distributed Generation with their electric distribution system. OREMC will not subsidize these interconnection costs from any other member class and will not allocate these costs across their various member classes.

Since each Distributed Generation installation is typically unique in configuration, fuel source, and energy output, it is reasonable to expect the costs associated with the interconnection to be unique. That is the total cost for the interconnection will be the actual costs incurred for the interconnection and not an estimate. As noted in the Application for Interconnection Process, OREMC will provide the Customer Generator applicant an estimate of the total cost to interconnect the Distributed Generation following submittal of the completed Application for Interconnection. As part of the Application for Interconnection process the Customer Generator shall pay the total amount of the estimated cost up front before OREMC will begin any work on the interconnection. Once the interconnection is completed and all actual costs are received and totaled for the interconnection, the Customer Generator shall be responsible for payment of any additional costs in excess of the original estimate. In the event the actual total cost of the interconnection is less than the original cost estimate paid by the Customer Generator, OREMC will refund the difference to the Customer Generator.

The total cost of the Distributed Generation facility including all equipment and materials, the design, construction, installation, testing and operational verification shall be the sole responsibility of the Customer Generator. Additionally, the cost of the interconnection including all cost of labor to install and maintain the equipment necessary to meet the required electric system interconnection configuration, the prescribed equipment and testing of the protective relay scheme, metering equipment and all equipment necessary to meet the applicable safety requirements established within this policy shall be the responsibility of the Customer Generator.

All future costs that may be required to meet additional requirements for public safety or system reliability, that may be required as a direct result of new conditions issued from the state, the public service commission or other government authority shall be the sole responsibility of the Customer Generator.

Once the interconnection is completed and the project successfully energized and on-line, the monthly meter reading, energy billing and other monthly service costs will be recovered through the existing Rate Schedules which are incorporated herein by reference.

The cost of the interconnection is separate from and in addition to any fees, tariffs or other rates prescribed in other applicable OREMC Rate Schedules. It is not intended for these interconnection costs to supersede or otherwise void existing Rate Schedules, but they are to be applied in addition to these other rates where applicable.

7. Liability
With respect to OREMC’s provision of electric service to the Customer Generator and the services provided by OREMC pursuant to the Interconnection Agreement, OREMC’s liability to the Customer Generator shall be limited as set forth in OREMC’s currently effective tariffs and terms and conditions for electric service.

The Customer Generator shall assume all liability for and shall indemnify OREMC and its members, trustees, directors, officers, managers, employees, representatives, affiliates, successors and assigns for and shall hold them harmless from and against any claims, losses, costs, and expenses of any kind to the extent that they result, in whole or in part, from the Customer Generator’s negligence or wrongful conduct in connection with the design, construction, installation, testing, operation or maintenance of the Distributed Generator facility or Interconnection facilities. Such indemnity shall include, but is not limited to financial responsibility for monetary losses; reasonable costs and expenses defending an action or claim; damages related to death or injury; damages to property or the disruption of business.

The Customer Generator shall have current liability insurance appropriate and sufficient to address the potential liability requirements of the Distributed Generation installation.

8. Interconnection
OREMC will provide the option for any of their electric members in good standing with OREMC to interconnect with their electric distribution system to the extent the member meets the terms and conditions set forth in this policy and the Interconnection Agreement. OREMC will work with the Customer Generator to determine the capacity requirements and design criteria of the interconnection facilities necessary to meet the proposed capacity requirements of the proposed Distributed Generator. As noted in Section 6, “Costs”, the Customer Generator will be responsible for all costs associated with that interconnection facility.

Since this interconnection will provide for the delivery of electric energy purchased by the Customer Generator and will provide an electrical path for the delivery of excess energy produced by the Distributed Generator, OREMC will install or cause to be installed industry standard electrical metering equipment appropriate to the capacity and configuration of the interconnection.

OREMC will deploy electric industry standard and readily available metering equipment to measure and record both the electrical energy delivered by OREMC to the point of interconnection with the Distributed Generation Facility and to measure and record the energy produced in excess of the energy delivered.

9. Metering Reading and Billing
To the extent practical OREMC’s existing automatic meter reading system will be used to read the meters and record the energy data from the meters installed at each Distributed Generator location. The billing for this account will be calculated and the bill rendered per the billing cycles currently established and maintained in OREMC’s existing billing system.

The energy rate charged the Customer Generator for the energy delivered by OREMC will be the published base rate currently available for the specific member class plus the then current retail energy rate per the applicable Rate Schedule for the respective member class. Energy produced by the Customer Generator in excess of their local load, if any, will be addressed in the Interconnection Agreement.

To the extent the Customer Generator produces excess energy in any billing cycle, that is, the energy produced exceeds the energy delivered to the Customer Generator via the interconnection with OREMC, the net excess energy will be metered, recorded, calculated and processed as prescribed in the Interconnection Agreement.

10. Diagrams Required
The Customer Generator shall provide a single-line diagram of their proposed Distributed Generator facilities indicating the planned electrical configuration, interconnection and electrical relationship to the OREMC metering installation. The single-line diagram shall be prepared and stamped by a registered professional engineer working directly with the Customer Generator or directly for the supplier of the Distributed Generator.

APPLICABILITY

This policy applies to all members and applicants for service of Okefenoke Rural Electric Membership Corporation.

RESPONSIBILITY

The General Manager or his designee will be responsible for carrying out the provisions of this policy.

Date Adopted: January 31, 2008

Attest:

Secretary

Effective Date: February 1, 2008

400 Series-Service Rules and Regulations

APPLICATION FOR MEMBERSHIP

SERVICE SECURITY DEPOSITS

ELECTRIC SERVICE BILLING RATES

FEES SCHEDULE

Underground Service Lateral Fees.

Overhead Service Lateral Fees

Outdoor Lighting Pole Installation Fees

GENERAL LINE EXTENSION