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FlexPay(Secure Form)

FlexPay

Billing Election Form

(Please Read Carefully)
Blue Ridge Electric is providing the FlexPay billing option so you may structure your payment schedule to meet your budget needs, readily view your daily usage, and receive account status notifications and alerts. This option does not require a security deposit and is not subject to any delinquency fees or late payment charges.

How to Establish FlexPay Service:

When an existing active residential account is converted to FlexPay service, the existing deposit (if applicable) is applied to the FlexPay account balance.

It is recommended that any previously billed or unbilled amounts owed to the cooperative be paid before an account is converted from conventional to FlexPay. As an alternative, and at the discretion of the Cooperative, when the FlexPay account is established, members may apply 30 percent of all future FlexPay account payments to any previous balance.

FlexPay Service Program Overview:

(The following is an overview of the FlexPay billing options. For specific information concerning FlexPay billing, please refer to the Cooperative's Service Rules and Regulations and rate schedules.)
  • Electric service for FlexPay accounts will be charged in accordance with the Cooperative's applicable Residential (R), Residential Conservation (RC), Residential All-Electric (RE), General Service (GS) Rate Schedule and FlexPay Metering Rate Rider. All charges for kilowatt-hour (energy) usage will be applied on a daily basis. Flat monthly Basic Facilities Charges, including a $10 Rate Rider, and any other applicable charges such as Security Lights and Operation Round Up will be prorated and applied on a daily basis.
  • To initially activate a FlexPay account, a minimum positive balance of $50 is required.
  • Members who receive FlexPay electric service are solely responsible for managing their account, maintaining a positive balance, and ensuring the alert notification settings are accurate. If your contact information is not correct, important account status notifications may not be received. To help ensure alerts can always be delivered, members should maintain more than one means of notification. Options include email, text or telephone.
  • If you designate a primary telephone number for notifications on your FlexPay account, you are hereby expressly agreeing that the Cooperative may deliver pre-recorded, artificial voice, and/or autodialed messages to this primary telephone number, whether the telephone number is for a landline, wireless or cellular telephone.
  • It is the member's responsibility and choice to communicate FlexPay program details to other adults at the residence and to notify the cooperative in the event you desire to terminate service.
  • Payments can be made in any amount provided a positive balance is maintained on the account. Payments are accepted at any Cooperative office during normal working hours, 24 hours a day by telephone at 1-800-448-2383, by logging on to www.blueridgeemc.com (online payments can be made by e-Check, debit or credit card), or at any Walmart or K-mart customer service desk (member must provide Blue Ridge Electric account number. A processing fee and longer posting time will apply.)
  • If your account has two or more returned checks in a 12-month period, payments will be required in certified funds (cash, money order, certified check or credit card). A returned check fee will be added to the account.
  • FlexPay accounts will have a switch installed at the meter that enables automated remote disconnection/reconnection of service.
  • A FlexPay account will be subject to disconnection any time the account does not have a positive balance.
  • In the event of disconnection, and subsequent to reconnection; payment must be made for any unpaid daily charges that may have accrued prior to disconnection; as well as payment to establish a minimum positive balance of $25 on the account.
    (Note: For accounts with debt recovery in effect, unless specified otherwise, 30 percent of all payments apply to debt recovery/70 percent towards future power usage).
  • If an account is disconnected and does not reactivate within five (5) days, the account will be considered inactive and the cooperative will mail a final bill to the last known address on file.
  • FlexPay accounts are not eligible for payment arrangements, budget billing or bank draft. Energy assistance pledges and/or payments are applied to your account when commitment is received.
  • FlexPay accounts do not receive a monthly billing statement or eBill notification. With FlexPay billing, electric usage, charges and credits are posted to the account daily. Daily postings are reconciled to the account each month and any difference is credited or debited to the account.
  • FlexPay account transaction details (account balance, kilowatt-hour usage, charges, and payments) are available via the internet at www.myusage.com. Account balance is available 24/7 by calling 1-800-448-2383.
  • You may elect to convert your FlexPay account back to conventional billing at any time by notifying the Cooperative (limited to once per 12-month period). In that event, the Cooperative will require payment of a deposit or other account security; plus any past due amounts and associated fees in order to activate conventional service.
  • Blue Ridge Electric reserves the right to modify the Service Rules and Regulations at any time without prior notification. Current Service Rules and Regulations governing FlexPay billing may be found on the Cooperative's website at www.blueridgeemc.com under the "Cooperative" tab and "corporate documents" link.

As a Blue Ridge Electric member I hereby request FlexPay electric service, and understand and agree to abide by the Cooperative's Service Rules and Regulations and to the items stated above for all FlexPay accounts.

Name:

 


Account Number:

 



Bylaws
Blue Ridge Electric Membership Corporation
Bylaws

We the undersigned, incorporators of Blue Ridge Electric Membership Corporation, being natural persons and residents of the territory in which the principal operations of the corporation are to be conducted and desirous of using electric energy to be furnished by the corporation, and having been granted permission to form an electric membership corporation under and pursuant to Chapter 291, Public Laws 1935 of North Carolina, by order of the North Carolina Rural Electrification Authority, hereby execute this certificate of incorporation of said corporation, dated 19th day of August 1940. 1. NAME:
The name of the corporation shall be BLUE RIDGE ELECTRIC MEMBERSHIP CORPORATION. 2. TERRITORY: The operations of the corporation shall be principally conducted in those parts of the county or counties of Caldwell, Watauga, Ashe, Alleghany, Avery, and Alexander Counties, State of North Carolina, which are not now served or which are inadequately served with electric energy, or which are now served by Caldwell Mutual Corporation. 3. PRINCIPAL OFFICE: The location of the principal office of the corporation and the post office address thereof shall be Lenoir, North Carolina. 4. NUMBER OF DIRECTORS: The number of directors shall be determined as provided in the Bylaws. This
number shall not exceed fifteen (15) and shall not be less than seven (7). 5. DIRECTORS FOR FIRST YEAR: The names and post office addresses of the directors who are to manage the
affairs of the corporation for the first year of its existence or until their successors
are chosen are: NAME POST OFFICE ADDRESS A. G. Beach Lenoir, NC C. G. Collins Sparta, NC J. C. Goodman West Jefferson, NC Bert Mast Mabel, NC A. B. Hurt Nathans Creek, NC Van Miller Laurel Springs, NC D. R. Moore Granite Falls, NC Clarence Newton Shulls Mills, NC Clyde Perry Sugar Grove, NC G. Tom Perry Piney Creek, NC R. E. L. Plummer Crumpler, NC C. C. Poovey Granite Falls, NC G. B. Price Clifton, NC G. W. Sullivan Yadkin Valley, NC C. M. Watson Deep Gap, NC

6. DURATION: The duration of the corporation shall be perpetual. 7. MEMBERSHIP: The terms and conditions upon which persons shall be admitted to membership in the corporation are as follows: The undersigned incorporators and any person, firm, corporation, or body politic who or which is a member of Caldwell Mutual Corporation upon the date of the transfer to the corporation of the electric distribution lines and facilities of said mutual corporation shall be members of the corporation. Any person, firm, corporation, or body politic may become a member in the corporation by: (1) paying the membership fee specified in the Bylaws; (2) agreeing to purchase from the corporation electric energy as specified in the Bylaws; and (3) agreeing to comply with and be bound by this certificate of incorporation and the Bylaws and any amendments thereto and such rules and regulations as may from time to time be adopted by the Board of Directors, provided, however, that no person, firm, corporation or body politic shall become a member unless and until he or it has been accepted for membership by the Board of Directors or the members. A husband and wife may jointly become a member and their application for a joint membership may be accepted in accordance with the foregoing provisions of this section provided the husband and wife comply jointly with the provisions of the above subdivisions (1), (2), and (3). No person may own more than one membership in the corporation and each member shall be entitled to only one vote and no more on each matter submitted to a vote at a meeting of the members. If a husband and wife hold a joint membership they shall jointly be entitled to one vote and no more on each matter submitted to a vote at a meeting of the members. 8. PURPOSES: The purposes of the corporation shall be to render service to its members and to promote and encourage the fullest possible use of electric energy in rural sections of the state of North Carolina by making electric energy available to the inhabitants of the state at the lowest cost consistent with sound economy and prudent management of the business of the corporation, and shall include all purposes required and authorized by the Electric Membership Corporation Act of the State of North Carolina, including amendments thereto subsequent to the date hereto. All of the operations of the corporation shall be on a cooperative basis not for pecuniary profit, and for the use and benefit of its members. 9. POWERS: The corporation shall possess and be authorized to exercise and enjoy all of the powers, rights, and privileges granted to or conferred upon corporations of the character of the corporation by the laws of the State of North Carolina now or hereafter in force. WITNESS our hands and seals this 19th day of August 1940. G. B. Price A. B. Hurt

J. C. Goodman D. R. Moore R. E. L. Plummer CERTIFICATE OF AMENDMENT OF CHARTER OF BLUE RIDGE ELECTRIC MEMBERSHIP CORPORATION G. W. Sullivan and A. G. Beach, being duly elected and qualified president and secretary-treasurer, respectively, of Blue Ridge Electric Membership Corporation, pursuant to Chapter 291, Public Laws of 1935 of North Carolina, having been duly authorized so to do, hereby certify: (a) That the name of the corporation is Blue Ridge Electric Membership Corporation (hereinafter referred to as the “corporation”); (b) That the Certificate of Incorporation of the Corporation was filed in the office of the Secretary of State of North Carolina on the 19th day of August 1940, and copy thereof certified as a true and correct copy under the hand and seal of the Secretary of State was filed in the Offices of the Clerk of the Superior Courts of Caldwell, Watauga, Ashe, Alleghany, Alexander, and Avery counties, of North Carolina on the 23rd day of August 1940; on the 23rd day of August 1940; on the 23rd day of August 1940; on the 23rd day of August 1940; on the 23rd day of August 1940; and on the 23rd day of August 1940; respectively. (c) That the members at a duly convened meeting held on July 19, 1941 adopted by a vote of more than a majority of all members of the corporation the following resolution: RESOLVED by the members of the Corporation that paragraph 2 of the Certificate of Incorporation of the Corporation, which reads as follows: (2) Territory: The operations of the corporation shall be principally conducted in those parts of the county or counties of Caldwell, Watauga, Ashe, Alleghany, Avery, and Alexander counties, State of North Carolina, which are not now served or which are inadequately served with electric energy, or which are now served by Caldwell Mutual Corporation be and the same hereby is, amended to read as follows: (2) Territory: The operations of the corporation shall be principally conducted in those parts of the county or counties of Caldwell, Watauga, Ashe, Alleghany, Avery, Alexander, Surry, and Wilkes counties, State of North Carolina, which are not now served or which are inadequately served with electric energy, or which are now served by Blue Ridge Electric Membership Corporation.
RESOLVED that the President and Secretary be, and they hereby are, authorized to execute and file a certificate of amendment and to take all steps and to do all things necessary and proper to effectuate the above and foregoing amendment to the Certificate of Incorporation of the Corporation. G. W. Sullivan, President of Blue Ridge Electric Membership Corporation A. G. Beach, Secretary-Treasurer of Blue Ridge Electric Membership Corporation

AFFIDAVIT NORTH CAROLINA, CALDWELL COUNTY: G. W. Sullivan and A. G. Beach, being duly sworn according to law depose and say that they are the duly elected and qualified President and Secretary respectively of Blue Ridge Electric Membership Corporation (hereinafter called the “Corporation”), a Corporation organized and existing under Chapter 291, Public Laws of 1935 of North Carolina; that a special meeting of the members of the Corporation was held on July 19, 1941 pursuant to notice duly given to all members in accordance with the provisions of the Bylaws of said Corporation; that at said meeting more than a majority of all the members of the Corporation were present and acted throughout; and that at said meeting the members so present adopted the resolutions set forth in the foregoing Certificate of Amendment, amending the Certificate of Incorporation as therein set forth, and duly authorized the affiants to execute and file such Certificate of Amendment and to take all steps and to do all things necessary to effectuate such amendment to the Certificate of Incorporation of the Corporation by the votes cast in person and by proxy, by more than a majority of all the members of the Corporation entitled to vote. WITNESS our hands and seals this 19th day of July 1941. G. W. Sullivan, President A. G. Beach, Secretary-Treasurer BYLAWS ARTICLE I MEMBERSHIP SECTION 1.01 Eligibility & Requirements for Membership. Any person, firm, association, corporation or body politic or subdivision thereof may become a member of the Blue Ridge Electric Membership Corporation (hereinafter called the “Cooperative”) by complying with all of the following: (a) Providing all information required by the Cooperative’s membership application;
and (b) Agreeing to purchase from the Cooperative electric energy as herein specified; and (c) Agreeing to comply with and be bound by the Articles of Incorporation and Bylaws of the Cooperative and any Service Rules and Regulations adopted by the Board of Directors; and (d) No membership fee shall be required. No member may hold more than one membership in the Cooperative and no membership or the privileges of that membership shall be transferable, except as provided in these Bylaws; and (e) Having an active service connection within the service area of the Cooperative. (f) An application for membership may be provided to the Cooperative by electronic means consistent with the North Carolina Uniform Electronic Transactions Act. SECTION 1.02 Evidence of Membership. Membership in the Cooperative may be evidenced by having an active service

connection.
SECTION 1.03 Joint Membership; Conversion of Membership. Any two natural persons may apply for a joint membership and, subject to their compliance with the requirements set forth in SECTION 1.01 of this Article, may be accepted for such membership. The term “joint member” as used in these Bylaws shall be defined as two natural persons holding a joint membership and any provisions relating to the rights and liabilities of membership shall apply equally with respect to the holders of a joint membership. Without limiting the generality of the foregoing, the effect of the hereinafter specified actions by or in respect of the holders of a joint membership shall be as follows: a. Joint Membership: 1. The presence at a meeting of either or both shall be regarded as the presence of one member and shall constitute a joint waiver of notice of the meeting; 2. The vote of either separately or both jointly shall constitute one joint vote; 3. A waiver of notice signed by either or both shall constitute a joint waiver; 4. Withdrawal of either shall terminate the membership; 5. Either but not both may be elected to serve as a Director of the Cooperative, provided that Director qualifications are met. 6. Neither will be permitted to have any additional service connections except through their one joint membership. b. Conversion of Membership: 1. A membership may be converted to a joint membership upon the written request of the holder thereof, and the agreement of both parties to comply with Bylaws and Service Rules and Regulations adopted by the Board of Directors. 2. The death, expulsion or withdrawal of either shall terminate the joint membership and the survivor shall continue as a single member; provided, however, that the estate of the deceased shall not be released from any debts due the Cooperative. 3. A joint membership terminated may be converted to a single membership if either natural person corrects the default in eligibility and makes application therefore in the manner established by the Bylaws and policies of the Cooperative. SECTION 1.04 Membership & Service Connection Fees. Upon application for membership a member shall be entitled to one (l) membership and shall be eligible to receive electric service after the payment of any required deposits, charges and fees. Any required deposit, charges and fees as established by policy of this Cooperative shall be paid by said member for each additional electrical connection. SECTION 1.05 Purchase of Electric Energy. Each member shall, as soon as electric energy shall be available, purchase from the Cooperative electric energy used on the premises specified in the member’s application for membership, and shall pay at rates and schedules which shall from time to time be fixed by the Board of Directors with respect to the purchase and supply of electric energy. Each member and the Cooperative shall be bound by the following: (a) The Cooperative shall exercise reasonable diligence to furnish its members with

adequate and dependable electric service, although it cannot and therefore does not guarantee a continuous and uninterrupted supply thereof; the Board of Directors may limit the amount of demand or energy which the Cooperative shall be required to furnish its members. (b) Each member shall pay to the Cooperative a minimum amount per established billing schedule (Basic Facilities Charge) which shall be established by the Board of Directors regardless of the amount of electric energy consumed. (c) Each member shall make available to the Cooperative a suitable site, as determined by the Cooperative, whereon to place the Cooperative’s physical facilities and metering of electric energy and shall permit the Cooperative’s authorized employees, agents and independent contractors to have access thereto safely and without interference from any hostile source for meter reading, inspection, maintenance, replacement, relocation, or repair thereof at all reasonable times. (d) As a part of the consideration for membership and service, each member shall be the Cooperative’s bailee of such facilities, and shall accordingly desist from interfering with, impairing the operation of, or causing damage to the facilities of the Cooperative; and, the member’s best efforts shall be used to prevent others from doing so. In the event such facilities are interfered with, impaired in their operation, or damaged by the member, or by any other person, when the member’s reasonable care and surveillance could have prevented such, the member shall indemnify the Cooperative and, any other person against death, injury, loss or damage resulting therefrom, including, but not limited to, the Cooperative’s cost of repairing, replacing, or relocating any such facilities and its loss, if any, of revenues resulting from the failure or defective functioning of its metering equipment. (e) It is understood and agreed that the Cooperative is merely a supplier of electric service, and the Cooperative will not be responsible for any damage or injury to the buildings, motors, apparatus or other property of the member due to lightning, defects in wiring or other electrical installations, defective equipment or other cause not due to the negligence of the Cooperative. The Cooperative will not be in any way responsible for the transmission, use or control of the electric service beyond the delivery point except as may be provided in specific programs contracted between the member and the Cooperative. (f) Production or use of electric energy on the premises of a member, regardless of the source thereof, shall be subject to appropriate regulations as affixed from time to time by the Cooperative. (g) Each member shall cause all premises receiving electric service pursuant to his membership to become and remain wired in accordance with the specifications of the National Electric Safety Code, any applicable state code or local government ordinances and policies and regulations of the Cooperative. SECTION 1.06 Excess Payments to be Credited as Member-Furnished Capital. All amounts paid for electric service in excess of the cost thereof shall be furnished by members as capital, and each member shall be credited with the capital so furnished as provided in Article VII of these Bylaws. SECTION 1.07

Member to Grant Easement to Cooperative. Each member shall, upon being requested to do so by the Cooperative, execute and deliver to the Cooperative grants of easement or right-of-way over, on and under such lands owned or leased by or mortgaged to the member, and in accordance with such reasonable terms and conditions, as the Cooperative shall require for the furnishing of electric service to him or other members or for the construction, operation, maintenance, or relocation of the Cooperative’s electric facilities. SECTION 1.08 Member Access. A member who has an individual grievance or concern that is not resolved to his satisfaction at the local district Cooperative office, after allowing a reasonable time for investigation and action, may appeal to the Chief Executive Officer for redress. If he is still not satisfied, after allowing a reasonable time for the Chief Executive Officer to act, he may contact the Cooperative to make a written request to the Executive Office Manager who will arrange for the member’s request to be reviewed by the Cooperative’s Corporate Officers Group or the Board of Directors. At the discretion of the Cooperative, members whose requests are granted may be scheduled to first meet with the local district Board Members. In the event a member lacks resolution after meeting with local district Board members, the member may submit a renewed request for access to the full Board of Directors.
SECTION 1.09 Termination of Membership. Any member may withdraw from the membership upon compliance with such uniform terms and conditions as the Board of Directors may prescribe. Additionally, the Board of Directors of the Cooperative, may by a majority vote at any regular or special meeting of the Board of Directors, expel any member who has failed to comply with any of the provisions of the Articles of Incorporation, Bylaws or Service Rules and Regulations adopted by the Board of Directors, after notice to the member and due hearing before the Board of Directors if such hearing is requested by him. Any expelled member may be reinstated by a majority vote of the Board of Directors. Upon withdrawal, death, cessation of existence or expulsion of a member, the membership of such member shall terminate. A membership will be terminated if electric service has been discontinued. A member whose membership is terminated in any manner shall be entitled to a refund of any refundable fees or deposits paid to the Cooperative, less any amounts due the Cooperative. Termination in any manner shall not release a member from any debts or obligations due the Cooperative by the member. SECTION 1.10 Suspension, Reinstatement. Notwithstanding the foregoing in Section 1.09, the Board of Directors, by a majority vote, may suspend any member who has failed to comply with any provisions of the Articles of Incorporation, Bylaws or Service Rules and Regulations adopted by the Board of Directors without first terminating their membership. A member in suspension shall not be entitled to participate in any vote of the membership. A member who has ceased any noncompliance with his membership obligations may be reinstated by the Board of Directors, by a majority vote, and thereafter shall be entitled to participate in a vote of the membership if reinstated.

SECTION 1.11 Non-Liability for Debts of Cooperative. The private property of the members of the Cooperative, except such unrefunded capital credits as may have been assigned to the members on the books of the Cooperative, shall be exempt for the debts of the Cooperative and no member shall be individually liable or responsible for any debts or liabilities of the Cooperative. SECTION 1.12 Participation in Cooperative Load Management Programs, if Required. Each member shall participate in any required program and comply with any related rate(s) and Service Rules and Regulations that may be established by the Cooperative to enhance load management more efficiently, to utilize or to conserve electric energy, or to conduct load research. ARTICLE II MEETINGS OF MEMBERS SECTION 2.01 Annual Meeting. The Annual Meeting of the members shall be held during the month of June of each year, at such place within a county served by the Cooperative, on such date and beginning at such hour as fixed by the Board of Directors for the purpose of electing board members, receiving reports for the previous fiscal year, and transacting such other business as may properly come before the meeting. The record date (for the voting body) shall be set by the Board of Directors. It shall be the responsibility of the Board of Directors to make adequate plans and preparations for the Annual Meeting. Failure to hold the Annual Meeting at the designated time shall not work a forfeiture or dissolution of the Cooperative. SECTION 2.02 Special Meetings. Except as provided in Section 3.08, a meeting of the members may be called by resolution of the Board of Directors or upon written request signed by a majority of all of the Directors then in office or by at least ten per centum (10%) of the members. The petition shall be signed by each member in the same name as he is billed by the Cooperative and shall state the signatory’s address as the same appears on such billings. It shall then be the duty of the Board of Directors to call said meeting, set a record date (for the voting body), and designate time and place and the duty of the Secretary to see that notice of such meeting is given as hereinafter provided in Section 2.03. This meeting shall be held in one of the counties indicated in Section 2.01, on a date, not sooner than forty (40) days after the call for such meeting is made or a petition therefore is filed. SECTION 2.03 Notice of Member Meetings. Written or printed notice of the place, day and hour of the meeting, and in the case of a special meeting or of an Annual Meeting at which business requiring special notice is to be transacted, the purpose or purposes of the meeting shall be delivered to each

member not less than fourteen (14) days nor more than seventy (70) days before the date of the meeting, either personally, by mail, or via electronic means in compliance with North Carolina law. Such notice shall be given by or at the direction of the Secretary or, upon the Secretary’s default in this duty, by those calling it in the case of a special meeting or by any other Director in the case of an Annual Meeting whose time, place and date have actually been fixed by the Board of Directors. If mailed, such notice shall be deemed to be delivered when deposited in the United States mail, addressed to the member at his address as it appears on the Cooperative’s records, with sufficient postage thereon and receipted by the US Post Office at least fourteen (14) days before the meeting date. If sent via electronic means, such notice shall be deemed to be delivered at the time it is sent, provided the member has previously requested or agreed to receive notice in this manner. The incidental failure of any member to receive such notice shall not invalidate any action which may be taken by the members at any such meeting, and the attendance in person or by proxy of a member at any meeting of the members shall constitute a waiver of notice of such meeting unless such attendance shall be for the express purpose of objecting to the transaction of any business on the ground that the meeting shall not have been lawfully called or convened. SECTION 2.04 Quorum.
Registration in person, by proxy or by the return of ballots or proxies, as permitted in these Bylaws of at least 400 members of the Cooperative shall be required for the transaction of business at any meeting of the members. Votes cast for the election of Directors shall be valid at such time as a quorum is attained and certified by the Credentials and Election Committee. If a quorum is not achieved at any meeting, a majority of those present in person may adjourn the meeting to another time and date at least twenty (20) days later and to any place within one of the counties named in Section 2.01; provided, that the Secretary shall notify any absent members of the new time, date, and place of such adjourned meeting by delivering notice thereof as provided in Section 2.03. At all meetings of the members, whether a quorum be present or not, the Secretary shall annex to the meeting minutes a list of those who were present in person and by proxy. SECTION 2.05
Voting.
(a) Each member who is not in a status of suspension, as provided for in Section 1.10, shall be entitled to only one vote upon each matter submitted to a vote of the members. In conjunction with any vote by the members, the Cooperative may require satisfactory evidence from the person presenting a ballot or proxy of the entitlement to vote. All questions shall be decided by a majority of the members voting thereon, except as otherwise provided by law or by the Cooperative’s Certificate of Incorporation or these Bylaws. The President of the Cooperative who is presiding or, if for any reason he be not presiding, any member of the Cooperative who is presiding shall be entitled to vote in any election or in any other vote taken. Members may not cumulate votes or collect ballots or proxies from other members.
(b) At any meeting of the members or any adjournment or postponement thereof, any member may vote by: (i) attending such meeting and completing a ballot while the polls are officially open for voting; (ii) mailing a properly executed proxy to the

Cooperative or its designee at the address specified in such proxy, provided that such proxy is received no later than the date specified in the proxy; or (iii) submitting a properly executed electronic proxy, via the internet, to the Cooperative or its designee at the web address specified in such proxy, provided such proxy is received no later than the date specified in the proxy. Any member may revoke his vote by submitting a properly executed and timely returned proxy or a written ballot while the polls are open at such meeting. Merely attending the meeting in person will not in and of itself revoke a previously submitted proxy or require the member to complete a new ballot.
SECTION 2.06 Proxies.
Each member who properly executes and returns proxy by mail or internet, in accordance with Section 2.05(b)(ii) or (iii) of these Bylaws shall, by executing the written proxy, appoint three (3) Directors who are not standing for election at the meeting, or any of them, with full power to act alone, the true and lawful attorneys in fact and proxies of such member (the “Director Proxies”), to cast all votes as directed by the member at the meeting and at any adjournment or postponement thereof, with all powers the member would possess if personally present. If the proxy is duly executed and timely returned, but does not specify how to vote, or expressly authorizes the Director Proxies to vote in their discretion on the member’s behalf, the Director Proxies will vote on behalf of the member in their discretion. If any other business is properly brought before the meeting, the Director Proxies will act on behalf of the member in their discretion.
Any proxy valid at any membership meeting shall be valid at any adjournment or postponement thereof unless the proxy itself specifies otherwise or subsequently is revoked by another proxy or ballot. A proxy may be unlimited as to the matters on which it may be voted or it may be restricted; a proxy containing no restrictions shall be deemed to be unlimited. In the event a member executes two or more proxies or ballots for the same meeting or any adjournment thereof, the most recently dated proxy or ballot shall revoke all others; if such proxies or ballots carry the same date (and time) and are held by different persons, none of them will be valid or recognized.
Whenever a member is absent from a meeting of the members but the member’s spouse residing in the same household as the member attends the meeting, such person shall be deemed to hold, and may exercise and vote, the vote of such member to the same extent that such member could vote if present in person. Likewise, absent written notification of objection by the member, a spouse residing in the same household of the member may complete and execute a proxy.
A member who is a natural person may vote by the use of a “Power of Attorney” when such Power of Attorney is a General Power of Attorney and is presented to the Secretary or his duly designated registrar before or at the time of the meeting, when such Power of Attorney has been duly filed and recorded in the public record and when the contents of said “Power of Attorney” comply with those provisions of the North Carolina General Statutes relevant to such Powers of Attorney. The holder of a Power

of Attorney shall be deemed to be carrying a proxy of the grantor of that Power of Attorney. Such holder of a Power of Attorney shall not be entitled to vote as proxy for any other member.
No employee of the Cooperative shall be eligible to be designated to hold, carry or vote the proxy or ballot of another member.
No person may carry or vote a proxy except as specifically authorized in these Bylaws.
SECTION 2.07
Credentials & Election Committee. It shall be the duty of the Board of Directors to appoint, at the October Board meeting or at the next meeting opportunity of the Board, a Credentials and Election Committee consisting of an odd number of members, not less than five (5) nor more than nine (9) for a one-year term, who are not existing Cooperative employees, agents, Officers, Directors or known candidates for Director, who are not close relatives thereof (as defined in Section 3.14) or members of the same household of Cooperative Officers, existing Directors or known candidates for Director, and who, if an election of Directors is to be held are not members of the Nominating Committee for such meeting. In appointing the Committee, the Board of Directors shall have regard for equitable representation of the several districts served by the Cooperative. The Committee shall elect its own Chairperson, Vice Chairperson, and Secretary prior to the member meeting. It shall be the responsibility of the Committee to ensure any election or vote of the members of the Cooperative is conducted in accordance with these Bylaws or other (including but not limited to determining the validity of petitions of nomination or the qualifications of candidates by petition and the regularity of the nomination and election of Directors as well as overseeing the independent election administration vendor, if utilized), and to certify a quorum and the results of any vote. In the exercise of its responsibility, the Committee shall have available to it the advice of Counsel provided by the Cooperative. In the event a protest or objection is filed concerning any election, such protest or objection must be filed with the Cooperative, shall be in writing, and shall state the basis of such objection, during, or within three (3) business days following the adjournment of the meeting in which the voting is conducted. The Committee shall thereupon be reconvened, upon notice from its chairperson, not less than seven (7) days after such protest or objection is filed. The Committee shall hear such evidence as is presented by the protester(s) or objector(s) who may be heard in person, by Counsel, or both; and the Committee, by a vote of a majority of those present and voting, shall, within a reasonable time but not later than thirty (30) days after such hearing, render its decision, which may be either to affirm or to change the results of the election or to set aside such election. The Committee’s decision (as reflected by a majority of those actually present and voting) on all matters covered by this Section shall be final. The Committee may not act on any matter unless a majority of the Committee is present in person. Notwithstanding the filing of a protest or objection concerning any election of Directors following a certification by this Committee of the results of an election, those Directors so elected shall be seated and take office as members of the Board of Directors at the next regular or special meeting of the Board of Directors; provided, however, in the event this Committee, after hearing and deliberation, sets aside the election and orders

a new election or changes the results of the election affecting any Director(s), the newly elected Director(s) shall be removed from the Board of Directors pending a new election if such is the case, or replaced by the person newly certified by this Committee to be elected. If a new election is called, the incumbent Director(s) who held the seat prior to election shall continue to hold office until a new election is conducted and the results certified by this Committee. SECTION 2.08 Agenda & Order of Business. The agenda and order of business at the Annual Meeting of the members and insofar as possible, at all other meetings of the members, shall be essentially as follows: (1) Report on the number of members present in person and by proxy in order to determine the existence of a quorum. (2) Reading of the notice of the meeting and proof of the due mailing thereof, or of the waiver or waivers of notice of the meeting, as the case may be. (3) Reading of unapproved minutes of previous meetings of the members and the taking of necessary action thereon.
(4) Election of Directors.
(5) Presentation and consideration of reports of Officers and committees.
(6) Unfinished business. (7) New business. (8) Adjournment. Notwithstanding the foregoing, the Board of Directors may from time to time establish a different agenda or order of business, provided that no business other than adjournment of the meeting to another time and place may be transacted until and unless the existence of a quorum is first established. SECTION 2.09 Rules for the Conduct of the Annual Meeting. The Board of Directors shall establish the rules for the conduct of the Annual Meeting of the members and provide the rules to the Credentials and Election Committee prior to each Annual Meeting. ARTICLE III DIRECTORS SECTION 3.01 General Powers. The business and affairs of the Cooperative shall be managed by a Board of twelve (12) Directors and which shall exercise all of the powers of the Cooperative except such as are by law or by the Cooperative’s Certificate of Incorporation or Bylaws conferred upon or reserved to the members. SECTION 3.02 Qualifications. In order to be eligible to become or remain a Director of the Cooperative, such person must meet the following qualifications:
a) must be a citizen of the United States,
b) must be at least twenty-one (21) years of age,

c) must be receiving electric service from the Cooperative at his primary residence which shall be for qualification purposes where a member is registered to vote and spends most of his time,
d) must not have had a membership that has been in a state of suspension as defined in Section 1.10,
e) electric service must not have been involuntarily disconnected for nonpayment at any time during the twelve months preceding the candidate application,
f) must not have been involved at any time in meter tampering reported to law enforcement,
g) must be legally competent and available to attend regular Board meetings, committee meetings, training and other events. Directors who miss more than two consecutive regular Board meetings may be subject to removal action by the Board. It shall be the duty of the Board to develop additional policy guidelines on attendance requirements,
h) must not in any way be employed by, financially interested in, or serving as an officer, director, trustee or equivalent for a competing enterprise with the Cooperative or its subsidiaries, or a business that sells products, services or supplies to the Cooperative or its subsidiaries,
i) must not have a close relative (as hereinafter defined) who is in any way employed by, financially interested in, or serving as an officer, director, trustee, or equivalent for a competing enterprise with the Cooperative or its subsidiaries, or a business that sells products, services or supplies to the Cooperative or its subsidiaries.
j) must not have been convicted of a misdemeanor involving moral turpitude or a felony pursuant to state or federal laws, or
k) must not have been a former regular full time employee of the Cooperative or its subsidiaries.
All Director candidates, whether nominated by the Nominating Committee or by petition, shall complete a Director Candidate application by the date established in these Bylaws.
It shall be the duty of the Nominating Committee, with the advice of Legal Counsel provided by the Cooperative, to determine if a Director Candidate considered by the Nominating Committee, meets the Bylaws qualifications of a Director Candidate.
It shall be the duty of the Credentials and Election Committee, with assistance of the Cooperative’s General Counsel, to determine if a Director Candidate by petition, meets the Bylaws qualifications for a Director Candidate.
Notwithstanding the foregoing, if any person being considered for, or already holding a Directorship or other position of trust in the Cooperative, lacks eligibility under this Section, it shall be the duty of the Board of Directors to withhold such position from such person, or to cause him to be removed therefrom, as the case may be. Nothing contained in this Section shall, or shall be construed to, affect in any manner whatsoever the validity of any action taken at any meeting of the Board of Directors, unless such action is taken with respect to a matter which is affected by the provisions of this Section and in which one or more of the Directors have an interest adverse to that of the Cooperative.

SECTION 3.03 Election. At each Annual Meeting of the members, Directors shall be elected by a vote of the members. Only natural persons who are members shall be eligible to be elected and serve as a Director of the Cooperative.
Directors shall be elected by a plurality vote of members and the election outcome certified by the Credentials and Election Committee. Drawing by lot shall resolve, where necessary, any tie votes. SECTION 3.04 Tenure. Except as provided in Section 3.06, all Directors shall be elected for a three-year term to correspond with the number of Directors whose terms expire; provided, that the terms of no two or more Directorate District Directors, from any Directorate District A, B, C, or D shall coincide. Upon their election, Directors shall, subject to the provisions of these Bylaws with respect to the removal of Directors, serve until the Annual Meeting of the members of the year in which their term expires and until their successors shall have been elected and shall have qualified. If for any reason an election of Directors shall not be held at an Annual Meeting of the members duly fixed and called pursuant to these Bylaws, such election may be held at an adjournment of such meeting, or at a subsequently held special meeting, or at the next Annual Meeting of the members. Failure to hold an election for a given year shall allow the incumbents whose Directorships would have been voted on to hold over only until the next member meeting at which a quorum is present.
SECTION 3.05 Directorate Districts. Directors shall be so nominated and elected that the number of Directors who shall be residents of each of the four (4) Directorate districts into which the Cooperative’s service area is divided, and described by maps on the inside cover of these bylaws, and such districts shall be as follows: Directorate District A (Caldwell – includes Caldwell and parts of Alexander and Wilkes Counties), three (3) Directors; Directorate District B (Watauga – includes Watauga and parts of Avery, Caldwell, and Wilkes Counties ), three (3) Directors; Directorate District C (Ashe – includes Ashe County and parts of Wilkes County), three (3) Directors; and Directorate District D (Alleghany – includes Alleghany County and parts of Wilkes County), three (3) Directors.
SECTION 3.06 Nominations. It shall be the duty of the Board of Directors to appoint, at the October Board meeting or at the next meeting opportunity of the Board, a Nominating Committee, consisting of not less than seven (7) and not more than eleven (11) natural persons who are members of the Cooperative, but are not existing Cooperative employees, agents, Officers, Directors or close relatives thereof or known candidates to become Directors, and who are so selected that each of the Cooperative’s Directorate Districts shall have representation

thereon in proportion to the number of Directors who must be residents thereof, including one additional member representing the membership.
All Director Candidates wishing to be considered through the Nominating Committee process, shall complete and submit the Cooperative’s formal Director Candidate application, regarding Bylaws qualifications, on or before the first business day in March.
The Nominating Committee may include one or more nominees for each Director to be elected with respect to any particular Directorate District.
The Nominating Committee Chairperson or designee shall communicate to the Board of Directors all individuals nominated as candidates by the Nominating Committee to be voted on by the membership. The Chairperson responsible may delegate the formal communication, to any potential nominees who submitted a formal application but were not nominated, to the Cooperative’s Senior Vice President and Chief Administrative Officer or other designee.
The Nominating Committee shall prepare and post at the principal office of the Cooperative at least thirty (30) days prior to the Annual Meeting a list of nominations for Directors to be elected, listing separately the nominee or nominees for each office of Director expiring on the day of the Annual Meeting.
Any fifteen (15) or more natural persons who are members of the Cooperative, acting together, may make additional nomination(s) in writing over their signatures, listing their nominee(s) in like manner, on or before the first business day in April. Director Candidates nominated by such petition shall complete a Director Candidate application on or before the first business day in April. If the Credentials and Election Committee verifies the petition and that the Director Candidate meets Bylaws qualifications for a Director Candidate, then the Secretary shall post such nominations at the same place where the list of nominations made by the Nominating Committee is posted. Any such list of nominations shall be signed by each member in the same name as he is billed by the Cooperative and shall state the signatory’s address as the same appears on such billings.
The Secretary shall mail or submit by electronic means to the members with the notice of the meeting, or separately, but at least thirty (30) days prior to the date of the Annual Meeting, a proxy with the names of the nominee(s), from each District showing separately those nominated by the Nominating Committee and those nominated by petition and determined qualified by the Credentials and Election Committee, if any. If there is only one nominee for Director in any Directorate District and that person dies or withdraws prior to the Annual Meeting of the members, the Board of Directors shall appoint a Director as soon as practicable from the same Directorate District where the vacancy occurred. This Director shall serve until the Annual Meeting in the following year. Nominations and election of a Director for this seat shall then serve a two (2) year term of office. Following such two (2) year term, a Director elected for this seat shall serve a three (3) year term in office.

SECTION 3.07 Voting for Directors. From the qualified Director Candidates nominated by either Nominating Committee or by Petition, each member shall be entitled to vote for one Director Candidate for each seat from each Directorate District from which a Director must be elected except in the event of a Director election for a two-year term as defined in Section 3.06. Any ballot or proxy marked in violation of the foregoing shall be invalid. SECTION 3.08 Removal of Directors. Any member may bring one or more charges for cause against any one or more Directors and may request the removal of such Director(s) by reason thereof, by filing with the Secretary such charges in writing together with a petition signed by not less than ten per centum (10%) of the total members of the Cooperative, which petition calls for a meeting thereon. The petition shall be signed by each member in the same name as he is billed by the Cooperative and shall state the signatories’ address as it appears on such billings. Any Director whose name appears on said petition for the removal of such Director shall be informed by the Cooperative in writing of the charges and be mailed a copy of the petition within seven (7) days after the filing of said petition with the Secretary. The Board of Directors, or the Chief Executive Officer in the event that the entire Board of Directors is charged, shall set the time and date and place of a meeting of the membership for the purpose of considering the petition and charges not less than forty (40) days after the filing of such petition and not more than one hundred and twenty (120) days after the filing of such petition. Notice to the membership shall contain a statement of the charges verbatim, and the names of Directors against whom the charges have been made. Such notice shall be mailed to each member not fewer than ten (10) days, nor more than ninety (90) days prior to the member meeting at which the matter will be acted upon as prescribed by North Carolina law. Any Director charged in a petition for removal shall have the opportunity at the meeting of the membership to be heard in person or by Counsel, and to present evidence in respect to the charges; and the person or persons bringing the charges against such Director(s), separately for each, if more than one has been charged, shall have the same opportunity, and shall be heard first. The question of the removal of a Director shall not be voted upon at all unless some evidence in support of the charge against any Director shall have been presented during the meeting through oral statements, documents or otherwise. The chairman of the meeting shall be appointed by the Board of Directors and shall determine whether the evidence presented is sufficient to submit the issue of removal to the membership. Upon a determination of sufficiency of evidence, the chairman shall submit the question of removal to the membership for vote. In the event one or more Director(s) is removed by the majority present at hearing, the Board of Directors shall call for an election to fill any vacancies created by removal within six (6) months of such removal; unless the next Annual Meeting of the membership is scheduled within six (6) months and more than sixty (60) days from the creation of a vacancy by removal, then any vacancy shall be filled by election at the next Annual Meeting. Candidates to fill a vacancy created by removal shall be nominated as provided in Section 3.06 and shall serve the balance of the term of the Director so removed.

A newly elected Director shall be from the same Directorate District as the Director whose office he succeeds. If all the members of the Board of Directors are removed at such membership meeting assembled to consider a petition for removal, the membership shall elect an interim Board of Directors to serve until an election can be held to fill any vacancies created by removal as provided in this section. Such interim Board members shall be nominated from the floor and shall be from the Directorate District as the Director whose office he succeeds.
If any person already holding a Directorship or other position of trust in the Cooperative lacks eligibility under Section 3.02, it shall be the duty of the Board of Directors to withhold such position from such person or to cause him to be removed therefrom, as the case may be.
SECTION 3.09 Vacancies. Subject to the provisions of these Bylaws with respect to the filling of vacancies caused by the removal of Directors by the members or by the Board as provided in Sections 3.02 and 3.08, or a vacancy occurring as a result of the outcome of an election in 3.03 in the Board of Directors, the vacancy shall be filled by the affirmative vote of a majority of the remaining Directors. With respect to a vacancy resulting from the death, disability or retirement of any member of the Board of Directors, the vacancy shall be filled by an appointment recommendation approved by the affirmative vote of a majority of the remaining directors if the unexpired term of the vacating Director is one (1) year or more from the end of the term. A Director thus elected or appointed shall be a resident of the same Directorate District of which the Director whose office he succeeds was a resident, and shall serve the entire balance of the term of the Director whose office he succeeds.
SECTION 3.10 Compensation, Expenses, Indemnification. For their services as Director, Directors shall be compensated by policies established and approved by the Board of Directors. For the performance of their duties, Directors shall also receive advancement or reimbursement of any travel and out-of-pocket expenses reasonably incurred in accordance with the Cooperative’s established policies. A Director is not and shall not be an employee of the Cooperative entitled to compensation beyond that provided in policy. The Cooperative shall indemnify Directors and Officers, including the Chief Executive Officer, and other Corporate Officers against liability to the extent that their acts or omissions constituting the grounds for alleged liability are or were, if actionable at all, based upon good faith business judgments in the belief the acts or omissions were not against the best interests of the Cooperative; and the Cooperative may purchase insurance to cover such indemnification. SECTION 3.11 Rules, Regulations, Rate Schedules & Contracts. The Board of Directors shall have the power to make, adopt, amend, abolish and promulgate such rules, regulations, rate schedules, contracts, security deposits and any

other types of deposits, payments or charges, including contributions in aid to construction, not inconsistent with law or the Cooperative’s Certificate of Incorporation or Bylaws, as it may deem advisable for the management, administration and regulation of the business and affairs of the Cooperative. SECTION 3.12 Accounting System & Reports. The Board of Directors shall cause to be established and maintained a complete accounting system of the Cooperative’s financial operations and condition, and shall, after the close of each fiscal year, cause to be made a full, complete and independent audit of the Cooperative’s accounts, books, and records reflecting financial operations during, and financial condition as of the end of, such year. A full and accurate summary of such audit reports shall be submitted to the members at or prior to the succeeding Annual Meeting by hand delivery, mail or electronic means. The Board of Directors may authorize special audits, complete or partial, at any time and for any specified period of time. SECTION 3.13 Distribution of the Cooperative’s Member Newsletter and Other Member Information Publications.
For the purpose of disseminating information about the operations and plans of the Cooperative, the Board of Directors shall be empowered to circulate to the members the Cooperative’s newsletter and any other informational publications by mail or electronic means, the cost of which shall be paid from the operating funds of the Cooperative. SECTION 3.14 Close Relative Defined. As used in these Bylaws, “close relative” means a person who, by blood or in-law or marital like relationship, including step and adoptive kin, is either a spouse, child, grandchild, parent, grandparent, brother, sister, aunt, uncle, nephew, or niece of the principal. ARTICLE IV MEETINGS OF DIRECTORS SECTION 4.01 Regular Meetings. A regular meeting of the Board of Directors shall be held, without notice, immediately after the adjournment of the Annual Meeting of the members, or as soon thereafter as conveniently may be at such site as designated by the Board of Directors in advance of the Annual Meeting. A regular meeting of the Board of Directors constitutes required attendance and shall also be held monthly at such date, time and place in Caldwell County, North Carolina, or in any other county in which the Cooperative operates, as the Board of Directors shall provide by resolution. Such regular monthly meeting may be held without notice other than such resolution fixing the date, time and place thereof, except when business to be transacted thereat shall require special notice; provided, that any Director absent from any meeting of the Board of Directors at which such a resolution initially determines or makes any change in the date, time or place of a regular meeting shall be entitled to receive written notice of such determination or

change at least five (5) days prior to the next meeting of the Board of Directors, and provided further that, if established as policy by the Board of Directors, the President may change the date, time or place of a regular monthly meeting for good cause and upon at least five (5) days notice thereof to all Directors. SECTION 4.02 Special Meetings. Special meetings of the Board of Directors may be called by Board resolution, by the President or by any five (5) Directors and it shall thereupon be the duty of the Secretary to cause notice of such meeting to be given as hereinafter provided in Section 4.03. The Board of Directors, the President or the Directors calling the meeting shall fix the date, time and place for the meeting, which shall be held in one of the counties served by the Cooperative unless all Directors consent to its being held in some other place in North Carolina or elsewhere. Special meetings, upon proper notice as otherwise provided herein, may also be held via telephone conference call, without regard to the actual location of the Directors at the time of such telephone conference meeting, if all the Directors consent thereto. SECTION 4.03 Notice of Directors’ Meetings. Written, printed, or electronic notice of the date, time, place or telephone conference call and purpose or purposes of any special meeting of the Board of Directors and, when the business to be transacted thereat shall require such, of any regular meeting of the Board of Directors shall be delivered to each Director not less than five (5) days prior thereto, either personally, by mail, or via electronic means in compliance with North Carolina law. Such notice shall be given by or at the direction of the Secretary or, upon his default in this duty, by him or those calling it in the case of a special meeting or by any other Director in the case of any meeting whose date, time and place have already been fixed by Board resolution. If mailed, such notice shall be deemed to be delivered when deposited in the United States mail, addressed to the Director at his address as it appears on the records of the Cooperative, with first-class postage thereon prepaid, and postmarked at least five (5) days prior to the meeting date. If sent via electronic means, such notice shall be deemed to be delivered at the time it is sent, provided the Director has previously requested or agreed to receive notice in this manner. The attendance of a Director at any meeting of the Board of Directors shall constitute a waiver of notice of such meeting unless such attendance shall be for the express purpose of objecting to the transaction of any business, or of one or more items of business, on the ground that the meeting shall not have been lawfully called or convened. SECTION 4.04 Quorum. The presence of a majority of the Directors in office shall constitute a quorum and shall be required for the transaction of business. The affirmative votes of a majority of the Directors present shall be required for any affirmative action to be taken; provided, that a Director who by law or these Bylaws is disqualified from voting on a particular matter shall not, with respect to consideration of and action upon that matter, be counted in determining the number of Directors in office; and provided further, that, if less than a quorum be present at a meeting, a majority of the Directors present may adjourn the meeting from time to time, but shall cause any absent Directors to be duly notified of the

time and place of such adjourned meeting.
ARTICLE V OFFICERS SECTION 5.01 Number & Title. The Officers of the Cooperative shall be a President, Vice President, Secretary-Treasurer, Assistant Secretary-Treasurer, Chief Executive Officer, and such other Officers as may from time to time be determined by the Board of Directors. The offices of Secretary and Treasurer may be held by the same person. The Chief Executive Officer shall not be a member of the Board of Directors. SECTION 5.02 Election & Term of Office. Board Officers listed in Section 5.01, with the exception of the Chief Executive Officer and other such Officers, shall be elected by secret ballot, annually and without prior nomination, by and from the Board of Directors at the first regular meeting of the Board of Directors held after each Annual Meeting of the members. If the election of such Officers shall not be held at such meeting, it shall be held as soon thereafter as conveniently may be. Each such Officer shall hold office until the regular meeting of the Board of Directors first held after the next succeeding Annual Meeting of the members or until his successor shall have been duly elected and shall have qualified, subject to the provisions of these Bylaws with respect to the removal of Directors by the members and to the removal of Officers by the Board of Directors. Any other Officers may be elected or appointed by the Board of Directors from among such persons, and with such title, tenure, responsibilities and authorities, as the Board of Directors may from time to time deem advisable. SECTION 5.03 Removal. Any Officer, agent, or employee elected or appointed by the Board of Directors may be removed by the Board of Directors whenever in its judgment the best interests of the Cooperative will thereby be served. SECTION 5.04 Vacancies. A vacancy in any office elected by the Board of Directors may be filled by the Board of Directors for the unexpired portion of the term. SECTION 5.05 President. The President shall: (a) be the principal Officer of the Cooperative and shall preside at all meetings of the Board of Directors, and, unless determined otherwise by the Board of Directors, at all meetings of the members; (b) sign, with the Secretary, certificate of membership, the issue of which shall have been authorized by resolution of the Board of Directors, and may sign any deeds, mortgages, deeds of trust, notes, bonds, contracts or other instruments

authorized by the Board of Directors to be executed, except in cases in which the signing and execution thereof shall be expressly delegated by the Board of Directors or by these Bylaws to some other Officer or agent of the Cooperative, or shall be required by law to be otherwise signed or executed; and (c) in general, perform all duties incident to the office of President and such other duties as may be prescribed by the Board of Directors from time to time. SECTION 5.06 Vice President. In the absence of the President, or in the event of his inability or refusal to act, the Vice President shall perform the duties of the President, and, when so acting, shall have all the powers of and be subject to all the restrictions upon the President; and shall perform such other duties as from time to time may be assigned to him by the Board of Directors. SECTION 5.07 Secretary. The duties of the office of Secretary shall be to: (a) keep, or cause to be kept, the minutes of meetings of the members and of the Board of Directors in one or more books provided for that purpose; (b) see that all notices are duly given in accordance with these Bylaws or as required by law; (c) be custodian of the Corporate records and of the seal of the Cooperative and see that the seal of the Cooperative is affixed to all documents the execution of which, on behalf of the Cooperative under its seal, is duly authorized in accordance with the provisions of these Bylaws or is required by law; (d) keep, or cause to be kept, a register of the name and post office address of each member, which address shall be furnished to the Cooperative by such member; (e) have general charge of the books of the Cooperative in which a record of the members is kept; (f) keep on file at all times a complete copy of the Cooperative’s Certificate of Incorporation and Bylaws, together with all amendments thereto, which copies shall always be open to the inspection of any member, and, at the expense of the Cooperative, furnish a copy of such documents and of all amendments thereto upon request to any member; and (g) in general, perform all duties incident to the office of the Secretary and such other duties as from time to time may be assigned to him by the Board of Directors. SECTION 5.08 Treasurer. The duties of the office of Treasurer shall be to: (a) have charge and custody of and be responsible for all funds and securities of the Cooperative; (b) receive and give receipts for moneys due and payable to the Cooperative from any source whatsoever, and deposit or invest all such moneys in the name of the Cooperative in such bank or banks or securities as shall be selected in accordance with the provisions of these Bylaws; and (c) in general perform all the duties incident to the office of the Treasurer and such

other duties as from time to time may be assigned to him by the Board of Directors.
The duties of the offices of Secretary and Treasurer may be performed by one director serving as Secretary-Treasurer.
SECTION 5.09
Assistant Secretary-Treasurer
In the event that the Secretary-Treasurer is unable to fulfill his assigned responsibilities, the Assistant Secretary-Treasurer shall perform all duties incident to the office of Secretary-Treasurer (as described in Sections 5.07 and 5.08), and such other duties as may be prescribed by the Board of Directors.
SECTION 5.10 Delegation of Secretary’s & Treasurer’s Responsibilities. Notwithstanding the duties, responsibilities, and authorities of the Secretary and of the Treasurer herein before provided in Sections 5.07 and 5.08, the Board of Directors by resolution may, except as otherwise limited by law, delegate, wholly or in part, the responsibility and authority for, and the regular or routine administration of, one or more of such Officers’ duties to one or more agents or other Officers of the Cooperative who are not Director. To the extent that the Board of Directors does so delegate with respect to either such Officer, that Officer as such shall be released from such duties, responsibilities, and authorities. SECTION 5.11 Chief Executive Officer & Executive Vice President. The Board of Directors shall elect or appoint a Chief Executive Officer who shall serve as General Manager who may be, but shall not be required to be, a member of the Cooperative, and who shall not be a Director. The Chief Executive Officer shall perform such duties as the Board of Directors may from time to time require of him and have such authority as the Board of Directors may from time to time vest in him. The Chief Executive Officer shall also be elected or appointed by the Board to hold the corporate office of Executive Vice President and be vested with the powers to commit and bind the Corporation to contracts and other obligations as the Vice President of the Corporation may do; and shall perform such other duties as from time to time may be assigned to him by the Board of Directors as Executive Vice President. SECTION 5.12 Bonds. The Board of Directors shall require the Treasurer and any other Officer, agent or employee of the Cooperative charged with responsibility for the custody of any of its funds or property to give bond in such sum and with such surety as the Board of Directors shall determine. The Board of Directors in its discretion may also require any other Officer, agent or employee of the Cooperative to give bond in such amount and with such surety as it shall determine. The cost of all such bonds shall be borne by the Cooperative. SECTION 5.13

Compensation, Indemnification. The compensation, if any, of any Officer who is also a Director or agent shall be determined as provided in Section 3.10 of these Bylaws, and the powers, duties, and compensation of any other Officers, agents, and employees may be fixed by the Board of Directors or delegated to the Chief Executive Officer with Board oversight and approval, except that the compensation of the Chief Executive Officer is fixed by the Board of Directors. The Cooperative may indemnify the Directors, Officers, employees and agents, including former employees and agents as well as former Directors and Officers, against liability to the extent that their acts or omissions constituting the grounds for alleged liability were performed in their official capacity and, if actionable at all, were based upon good faith business judgments in the belief the acts or omissions were in the best interest of the Cooperative or were not against the best interest of the Cooperative; and the Cooperative may purchase insurance to cover such indemnification or to cover any other liability incurred by the Directors, Officers, employees, and agents, including former employees and agents as well as former Directors and Officers, acting in their capacity as such, to the extent permitted by law. SECTION 5.14 Reports. The Officers of the Cooperative shall submit at each Annual Meeting of the members reports covering the business of the Cooperative for the previous fiscal year and showing the condition of the Cooperative at the close of such fiscal year. ARTICLE VI CONTRACTS, CHECKS, & DEPOSITS SECTION 6.01 Contracts. Except as otherwise provided in these Bylaws, the Board of Directors may authorize any Officer or Officers, agent or agents to enter into any contract or execute and deliver any instrument in the name and on behalf of the Cooperative, and such authority may be general or confined to specific instances. SECTION 6.02 Checks, Drafts, etc. All checks, drafts, or other orders for the payment of money, and all notes, bonds, or other evidences of indebtedness issued in the name of the Cooperative shall be signed and/or countersigned by such Officer or Officers, agent or agents, employee or employees of the Cooperative and in such manner as shall from time to time be determined by resolution of the Board of Directors. SECTION 6.03 Deposits, Investments. All funds of the Cooperative shall be deposited or invested from time to time to the credit of the Cooperative in such bank or banks or in such financial securities or institutions as the Board of Directors may authorize. ARTICLE VII NONPROFIT OPERATION

SECTION 7.01 Interest on Capital Prohibited. The Cooperative shall at all times be operated on a cooperative nonprofit basis for the mutual benefit of its patrons. No interest shall be paid or payable by the Cooperative on any capital furnished by its patrons. SECTION 7.02 Patronage Capital in Connection with Furnishing Electric Energy. In the furnishing of electric energy, the Cooperative’s operations shall be so conducted that all patrons will, through their patronage, furnish capital for the Cooperative. In order to induce patronage and to assure that the Cooperative will operate on a nonprofit basis, the Cooperative is obligated to account on a patronage basis to all its patrons for all amounts received and receivable from the furnishing of electric energy in excess of operating costs and expenses properly chargeable against the furnishing of electric energy. All such amounts in excess of operating costs and expenses at the moment of receipt by the Cooperative are received with the understanding that they are furnished by the patrons as capital. The Cooperative is obligated to pay by credits to a capital account for each patron all such amounts in excess of operating costs and expenses. The books and records of the Cooperative shall be set up and kept in such a manner that at the end of each fiscal year the amount of capital, if any, so furnished by each patron is clearly reflected and credited in an appropriate record to the capital account of each patron, and the Cooperative shall within a reasonable time after the close of the fiscal year notify each patron of the amount of capital so credited to his account. All such amounts credited to the capital account of any patron shall have the same status as though they had been paid to the patron in cash in pursuance of a legal obligation to do so and the patron had then furnished the Cooperative corresponding amounts for capital. All other amounts received by the Cooperative from its operations in excess of costs and expenses shall, insofar as permitted by law, be (a) used to offset any losses incurred during the current or any prior fiscal year and; (b) to the extent not needed for that purpose, allocated to its patrons on a patronage basis, and any amount so allocated shall be included as a part of the capital credited to the accounts of patrons as herein provided. Provided, however, that the Board of Directors shall have the power to adopt rules providing for the separate retirement of that portion (power supply or other service or supply portion) of capital credited to the accounts of patrons which corresponds to capital credited to the account of the Cooperative by an organization furnishing electric service or any other service or supply to the Cooperative. Such rules shall (a) establish a method for determining the portion of such capital credited to each patron for each applicable fiscal year; (b) provide for separate identification on the Cooperative’s books of such portions of capital credited to the Cooperative’s patrons; (c) provide for appropriate notifications to patrons with respect to such portions of capital credited to their accounts; and (d) preclude a general retirement of such portions of capital credited to patrons for any fiscal year prior to the general retirement of other capital credited to patrons for the same year or of any capital credited to patrons for any prior fiscal year.

In the event of dissolution or liquidation of the Cooperative, after all outstanding indebtedness of the Cooperative shall have been paid, outstanding capital credits shall be retired without priority on a prorated basis before any payments are made on account of property rights of members; provided, that insofar as gains may at that time be realized from the sale of any appreciated asset, such gains shall be distributed to all persons who were patrons during the period the asset was owned by the Cooperative in proportion to the amount of business done by such patrons during that period insofar as is practicable, as determined by the Board of Directors, before any payments are made on account of property rights of members. If, at any time prior to dissolution or liquidation, the Board of Directors shall determine that the financial condition of the Cooperative will not be impaired thereby, the capital then credited to patrons’ accounts may be retired in full or in part in cash or such other property as the Board of Directors may determine. Notwithstanding any other provisions of these Bylaws, the Board of Directors shall determine the method of allocation, basis, priority, and order of retirement, if any, for all amounts furnished as patronage capital. Capital credited to the account of each patron shall be assignable only on the books of the Cooperative pursuant to written instructions from the assignor and only to successors in interest or successors in occupancy in all or a part of such patron’s premises served by the Cooperative, unless the Board of Directors, acting under policies of general application, shall determine otherwise. Notwithstanding any other provisions of these Bylaws, the Board of Directors shall, at its discretion, have the power at any time upon the death of any patron, who was a natural person, (or, if as so provided for in the preceding paragraph, upon the death of an assignee of the capital credits of a patron, which assignee was a natural person) if the legal representatives of his estate shall request in writing that the capital credited to such patron be retired prior to the time such capital would otherwise be retired under the provisions of the Bylaws, to retire such capital immediately upon such terms and conditions as the Board of Directors, acting under policies of general application to situations of like kind, shall agree upon; provided, however, that the financial condition of the Cooperative will not be impaired thereby. The Cooperative, before retiring any capital credited to any patron’s account, shall deduct therefrom any amount owing by such patron to the Cooperative, plus accrued interest thereon at the North Carolina legal rate in effect when such amount became overdue, compounded annually. The patrons of the Cooperative, by dealing with the Cooperative, acknowledge that the terms and provisions of the Articles of Incorporation and Bylaws shall constitute and be a contract between the Cooperative and each patron, and both the Cooperative and the patrons are bound by such contract, as fully as though each patron had individually signed a separate instrument containing such terms and provisions. SECTION 7.03 Patronage Refunds in Connection with Furnishing Other Services. In the event that the Cooperative, or any subsidiary thereof or business entity in which

the Cooperative owns an interest, should engage in the business of furnishing goods or services other than electric energy, all amounts received and receivable therefrom shall be retained by the Cooperative in amounts not in excess of the reasonable needs of the Cooperative, allocated to the Cooperative’s patrons or invested by the Cooperative as its Board of Directors may determine from time to time. SECTION 7.04 Interest in Separate Business Entities. The Cooperative may, by action of its Board of Directors, form, organize, acquire, hold, dispose of, and operate any interest in a separate business entity to the fullest extent permitted by, and in accordance with, the law as in effect from time to time, including without limitation as provided by and in accordance with N.C.G.S. 117-18.1 as it may be subsequently amended or by any successor statute. ARTICLE VIII WAIVER OF NOTICE SECTION 8.01 Waiver of Notice. Any member or Director may waive, in writing, any notice of meetings required to be given by these Bylaws. ARTICLE IX DISPOSITION & PLEDGING OF PROPERTY: Merger or Consolidation; Distribution of Surplus Assets on Dissolution SECTION 9.01 Disposition & Pledging of Property. The Cooperative shall not sell, mortgage, lease, or otherwise encumber or dispose of any of its property (other than merchandise and property which lie within the limits of an incorporated city or town, or which shall represent not in excess of ten per centum (10%) of the total value of the Cooperative’s assets, or which in the judgment of the Board of Directors are not necessary or useful in operating the Cooperative) unless authorized so to do by the votes cast in person or by proxy by at least two-thirds of its total membership and by the consent of the holders of seventy-five per centum (75%) in amount of the Cooperative’s then outstanding bonds. Notwithstanding the foregoing provisions, the members of the Cooperative may, by the affirmative majority of the votes cast in person or by proxy at any meeting of the members, delegate to the Board of Directors the power and authority (i) to borrow money from any source and in such amounts as the Board of Directors may from time to time determine, (ii) to mortgage or otherwise pledge or encumber any or all of the Cooperative’s property or assets as security therefor, and (iii) to sell and lease back any of the Cooperative’s property or assets. In any member vote regarding approval of a matter described in Section 9.01, any member who is not in a status of suspension may cast his, her, or its vote in person or by proxy to the fullest extent permitted by law. SECTION 9.02

Merger or Consolidation. Any favorable consideration by the Board of Directors to merge or consolidate the Cooperative with any other electric membership corporation shall be submitted to the membership for consideration thereof, and the Board of Directors shall call a special meeting of the members for such purpose; provided, that consideration thereof by the members may be given at the next Annual Member Meeting if the Board of Directors so determines it appropriate. Approval by the membership shall be based on at least two-thirds favorable vote of those members present at said meeting. SECTION 9.03 Distribution of Surplus Assets on Dissolution. The Cooperative may be dissolved as provided for by law. Upon the Cooperative’s dissolution, any assets remaining after all liabilities or obligations of the Cooperative have been satisfied and discharged shall, to the extent practicable as determined by the Board of Directors and not inconsistently with the provisions of the third paragraph of Section 7.02 of these Bylaws, be distributed without priority among all persons who are or who have been members of the Cooperative for any period during its existence, on the basis that their respective patronage during such periods bears to the total receipts of the Cooperative since its inception; provided, however, that, if in the judgment of the Board of Directors the amount of such surplus is too small to justify the expense of making such distribution, the Board of Directors may, in lieu thereof, donate, or provide for the donation of, such surplus to one or more nonprofit charitable or educational organizations that are exempt from federal income taxation. ARTICLE X FISCAL YEAR SECTION 10.01 Fiscal Year. The Cooperative’s fiscal year shall begin on the first day of the month of January of each year and end on the last day of the month of December following. ARTICLE XI RULES OF ORDER SECTION 11.01 Rules of Order. Parliamentary procedure at all meetings of the members, of the Board of Directors, of any committee provided for in these Bylaws, and of any other committee of the members or Board of Directors which may from time to time be duly established, shall be governed by the most recent edition of Robert's Rules of Order, except to the extent such procedure is otherwise determined by law or by the Cooperative’s Certificate of Incorporation or Bylaws. ARTICLE XII SEAL SECTION 12.01 Seal.

The corporate seal of the Cooperative shall be in the form of a circle and shall be inscribed thereon the name of the Cooperative and the words “Corporate Seal, North Carolina.” ARTICLE XIII AREA COVERAGE SECTION 13.01 Area Coverage. The Board of Directors shall make diligent effort to see that electric service is extended to all unserved persons within the Cooperative service area who (a) desire such service, and (b) meet all reasonable requirements established by the Cooperative as a condition of such service. ARTICLE XIV AMENDMENTS SECTION 14.01 Amendments. These Bylaws may be altered, amended, or repealed by resolution adopted by the Board of Directors at any regular or special Board of Directors meeting, but only if the notice of such meeting shall have contained a copy of the proposed alteration, amendment, or repeal, or an accurate summary explanation thereof. A copy of such alterations or amendments or repeal shall be sent by mail or by electronic means to each member of the Cooperative after any such shall have been adopted by the Board of Directors. ARTICLE XV CONSTRUCTION SECTION 15.01 Construction. Feminine or neuter pronouns shall be substituted for those masculine form or vice versa, and the plural shall be substituted for the single number or vice versa in any place or places in which the context may require such substitution in these Bylaws.

Date Adopted: January 18, 1964
Last Date Revised: September 25, 2014

Blue Ridge Electric Membership Corporation reserves the right to modify, rewrite, or amend the Bylaws of the Cooperative as deemed necessary by the Board of Directors.



Service Rules & Regulations

Blue Ridge Electric Membership Corporation Service Rules & Regulations

Introduction
These Service Rules and Regulations are a part of your service agreement with Blue Ridge Electric Membership Corporation (the “Cooperative”), a member-owned and democratically led electric cooperative. You are more than just an electric consumer of the Cooperative; you are a member. You, along with other members in our service area, are owners of the Cooperative and you can participate on a nondiscriminatory basis as set forth in the Cooperative’s Bylaws. As such, you have the privilege to vote for the Cooperative’s Board of Directors, which oversees the Cooperative’s business and affairs. You also are encouraged to participate in gaining an understanding of the financial stability and strategic direction of the business of your Cooperative by attending the Annual Meeting.
Our desire is for you to know and experience the fact that we take great pride in providing you with quality service, our most important product. Although we cannot guarantee uninterrupted power, our commitment to you is to provide you with exceptional member service. We value your involvement as a member and your business as a customer of this Cooperative.
The Service Rules and Regulations are divided into three parts. Each part has been organized to clearly provide information concerning your electric service guidelines and policies.
Part I applies to all members and describes the available services, requirements of membership, and other information regarding your electrical service. For your convenience, the Cooperative offers two billing methods, each of which offers unique features: conventional billing and FlexPay billing. Part II of the Service Rules and Regulations governs members who choose conventional billing. Part III of the Service Rules and Regulations governs members who choose FlexPay billing. You may choose the billing method that best suits your lifestyle.
If you have any questions about these Service Rules and Regulations, please call your local office or contact us at www.blueridgeemc.com. The phone number and address of your local office is listed in Section 107.
Statement of Nondiscrimination
If you wish to file a Civil Rights program complaint of discrimination, complete the USDA Program Discrimination Complaint Form, found online at http://ascr.usda.gov/compaint_filing_cust.html, or at any USDA office, or call (866) 632-9992 to request the form. You may also write a letter containing all of the information requested in the form. Send your completed complaint form or letter to us by mail at U.S. Department of Agriculture, Director, Office of Adjudication, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410, by fax (202) 690-7442 or email at program.intake@usda.gov.
MEMBER PRIVACY POLICY
Blue Ridge Electric Membership Corporation (The Cooperative) must retain certain personal and financial information in order to conduct our business. We will not share your information except as needed in order to provide you with services you request, and we have adopted physical and electronic safeguards to protect your information. The Cooperative will not sell your personal information.
Collecting Information
The Cooperative collects and maintains information used to provide you with requested services. When you open a new account or apply for additional services, we may collect information orally, in writing, or electronically. This could include such items as your name, address, or Social Security number, as well as nonpublic information such as your credit history report, phone numbers, and email addresses.
Disclosing Information
Your personal information is shared to the extent necessary to provide you with requested services and/or to meet business needs as detailed in our service rules and regulations. Employees of The Cooperative have access to your information in order to complete your transactions, maintain your accounts, and provide services you request. Occasionally, we may be required by law to provide nonpublic information for governmental or judicial purposes. Even if you become an inactive member, we will continue to protect your privacy and personal information.
Contact
If at any time you have questions or concerns regarding this policy, please contact us at 1-800-451-5474 or email us at myBRE@BlueRidgeEMC.com.
PART I – GENERAL CONDITIONS
These Service Rules and Regulations were adopted by the Board of Directors of Blue Ridge Electric Membership Corporation and apply to each and every member or applicant for membership. They are part of every contract for service entered into between a member and the Cooperative, unless modified by special terms written therein, and govern all classes of service. Copies of the Service Rules and Regulations, Rate Schedules, Bylaws, and policies referred to in this document are available upon request.
100 Electric Service Availability
The section describes the membership process, including how to receive new electric service, easement requirements, and rate application. The Cooperative will extend service to any member anywhere in the Cooperative’s service territory as prescribed by these Service Rules and Regulations.
101 Application for Membership
The Cooperative will supply electric service to the member once the member is in compliance with all aspects of the service agreement, is of legal age, has paid all applicable fees to establish service, and agrees to be bound by the Cooperative’s Articles of Incorporation and Bylaws.
The service agreement between the Cooperative and its members will consist of the following:
 Completed membership application, including membership agreement and providing the required verifiable identification,
 Current Bylaws and Service Rules and Regulations,
 All necessary rights of way and easements,
 Current applicable rate schedules.
A supplemental written contract may be required from any applicant whose estimated demand is 50 kW or more or those members requesting installation of outdoor decorative lighting. The membership and service agreement are not transferable or assignable; however, capital credits may be transferred to the Cooperative or to another member as provided by the Cooperative’s Bylaws and policies.
102 Electric Rate Schedule
When two or more rate schedules and/or addenda are available, the Cooperative will assist in the selection, but it is the member’s right and responsibility to determine which rate schedule to select. Specific rate schedules are available upon request. The general rate classifications available are as follows:
 Residential: for homes, permanent mobile homes, or individually metered apartments. This rate does not apply to campers, travel trailers, or motor homes.
 General Service: for non-permanent residential and other services of less than 25 kW, including campers, travel trailers, motor homes, barns, well pumps, signs, etc.
 Commercial and Industrial: for services, other than residential or general service, with load requirements of 25 kW or greater.
 Outdoor lighting: for all members at locations on the Cooperative’s distribution system for dusk-to-dawn lighting. The rate is not applicable for part-time or seasonal operation of outdoor lighting.

The service classifications are subject to periodic review for additions, deletions, and changes.
103 Additional Service Connections
A member may have any number of service connections under one membership. Additional deposits may be required. A member with more than one account is equally responsible for current payment of all accounts. Additional service connections may be denied until all existing accounts are current.
104 Electric Service and Line Facilities
In providing area coverage electric service, the Cooperative will provide a standard service connection that requires no facilities or services beyond those normally provided by or acceptable to the Cooperative. The Cooperative may require additional fees for line extensions beyond the limits provided by Cooperative policy.
Structures used as a permanent residence may be allowed an overhead allowance, as defined in Appendix A, provided that, as a minimum, the property owner has obtained a building permit for the structure and the structure foundation has been installed.
When a member or an individual requests that the Cooperative supply electric service in a manner which requires equipment and facilities beyond those which the Cooperative would normally provide, and the Cooperative finds it practical to do so, such excess equipment and facilities will be provided as additional facilities at a cost to the member. Costs will be collected through additional facilities charges and/or contributions-in-aid to construction as agreed upon by the Cooperative and the member.
The cost of extending service from existing facilities to a new development will be borne solely by the member/developer. Thereafter, unless in the opinion of the Cooperative it is uneconomical to do so, the line extension cost will be charged per Section 104 of Schedule of Fees and Charges (Appendix A). Developments that are random and non-sequential in build-out may require a deposit in an amount equal to the Cooperative’s cost of construction less any non-refundable payments made per this Section. The deposit will be refunded on a per lot basis provided that electric service is activated on the lot within five years.
The actual cost of installing security light structures in a residential development will be borne by the developer. The monthly charge for outdoor security lights will be per the “existing wood pole” rate in the Cooperative’s outdoor lighting service rate for the size of luminaire installed.
Additional allowances may be made for loads that in the opinion of the Cooperative benefit the entire membership. Financing is available through the Cooperative to individual members based on the estimated cost of providing service to their residential property. Rate schedules and line extension policies are available upon request through your district office or online at www.blueridgeemc.com.
The member agrees to have all streets, alleys, established lots, and driveway entrances graded to within six (6) inches of final grade and have lot lines established before installation or extension of electrical service begins.
The member requesting service will be responsible for any restoration, right-of-way or easement costs that result from the Cooperative crossing the property of others.
The Cooperative will provide three-phase overhead primary service to the member, supplying the transformer and the secondary conductor to one location at the premise. The Cooperative will provide three-phase underground primary service to the member, supplying the transformers and the primary conductor and the member will be responsible for the secondary conductor and the transformer pad. The member will be responsible for the metering cabinet, if required. The allowances will be per Appendix A in the Service Rules and Regulations.

10 5 Metering Facilities

The Cooperative normally provides and installs the meter. The member will provide approved meter base and certain connection facilities to the meter base. Any meter installed at the request of the member that would not have been installed as standard equipment will be considered an excess facility.


The meter base shall be located between five and six feet above ground level, at an outside location easily accessible to the Cooperative’s authorized personnel or agents.

Members applying for more than one class of service on the same premises will arrange their wiring so that each class of service can be metered separately. The Cooperative will have the right to place locking devices or other instruments on the premises of the member for the purpose of monitoring and maintaining the member’s service.

10 6 Easements and Rights of Way

The member agrees to furnish without cost to the Cooperative all necessary distribution easements, rights-of-way, and underground agreements. Any member receiving services from the Cooperative, must, upon request, execute and deliver to the Cooperative grants of easement or right of way over and on lands owned by the member, and in accordance with such reasonable terms and conditions as are required for the furnishing of electric and communications service to the member or other members or for the construction related, operation, maintenance, or relocation of the Cooperative’s electric facilities. Any right-of-way or easement acquisition costs will be the responsibility of the member/developer requesting service.

The member agrees that the Cooperative’s authorized employees or agents will have right of access to member’s premises at all times for the purpose of reading meters, testing, repairing, removing, maintaining, or exchanging any or all equipment and facilities which are the property of the Cooperative, or when on any other business of the Cooperative. The Cooperative’s employees and its agents will use care in accessing the member’s property. In cases where it is reasonably necessary and cost effective, the Cooperative may use, without payment to the member, the member’s premises for accessing neighboring property served by the Cooperative.

The Cooperative will repair any damage to private lanes, roads, or crops and will reimburse the property owner for actual loss or damage caused by ingress and egress in the construction and maintenance of the electric system. Access roads should be provided by the member when planting crops and shrubs.

10 7 Offices and Service Hours

The Cooperative’s corporate office is located in Lenoir, North Carolina. The Cooperative has district offices located in Lenoir, Boone, West Jefferson, and Sparta, North Carolina. All offices are open for business between the hours of 8:30 a.m. and 5:00 p.m., Monday through Friday, excluding holidays. Emergency service work is performed 24 hours a day, 7 days a week. The local offices may be reached by calling:

Lenoir

(828) 754-9071

Boone

(828) 264-8894

West Jefferson

(336) 846-7138

Sparta

(336) 372-4646

Wilkes

(800) 451-5474

For automated self-service options, please call 1-800-448-2383. You may use this line to do the following:

  • report an outage,

  • receive account information including due dates and amount owed,
  • pay your bill, or

· grant an extension of payment on your bill.

20 0 Conditions of Service

This section describes requirements for service connections, electric service parameters, requirements for interconnection, electric system maintenance, and other information about member connections to the electric system.

20 1 Service Connections

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 Electric Code, the Cooperative’s requirements, and any state or local laws, codes, or ordinances. It shall be the member’s responsibility to furnish the Cooperative proof of inspections by local or state officials where such inspections are required, and the service connections will not be made until such proof is presented.

The point of attachment furnished by the consumer must be located at a point where the Cooperative’s facilities can be constructed at a reasonable cost, and in accordance with sound engineering practices. The Cooperative reserves the right to designate the location of the point of attachment where meters will be located. Connecting of the service lines is to be made only by an authorized agent of the Cooperative.

20 2 Standard Supply Voltages

The Cooperative maintains one system of alternating current at a standard frequency of 60-cycles- per-second that is supplied throughout its system and within prudent utility practices. The Cooperative will determine the voltage, number of phases, and type of metering which will be supplied depending upon the Cooperative’s facilities available and upon the character, size and location of the load to be served. The member will consult the Cooperative before proceeding with the purchase, installation or wiring of equipment. To avoid misunderstanding, this information should be in writing from both the member and the Cooperative.

The service voltages described below are nominal, and variations permitted will be not less than 114 volts or more than 126 volts on a 120-volt basis (+/- 5% of nominal voltage). The following service voltages are the basic offering of voltages to the membership: single-phase,

120/240 volts, or three-phase, four-wire, 208Y/120 volts, 480Y/277 volts, 4,160Y/2,400 volts,

12,470Y/7,200 volts. Voltages other than the foregoing are subject to mutual agreement between the Cooperative and the member. It will not be considered a violation of this voltage

standard when voltages outside of the prescribed limits are caused by any of the following:

  • Acts of God or the elements
  • Service interruptions
  • Temporary separation of parts of the system from the main system

· Infrequent fluctuations of short duration

  • Voltage control for load management purposes

· Other causes beyond the control of the Cooperative

· Addition of member equipment without proper notification to the Cooperative


  • Emergency operations
  • The operation of the member’s equipment
  • Acts of terrorism

20 3 Service Interruptions

The Cooperative does not guarantee continuous and uninterrupted service and will not be liable for loss or damage to any member’s equipment, belongings, real property, business losses, or consequential damages caused by any failure to supply electric service or by any interruption or reversal of the supply of electric service, if such is due to any cause beyond the reasonable control of the Cooperative.

S uch causes include, but are not limited to:

· An emergency action due to an adverse condition or disturbance on the system of the Cooperative, or on any other system directly or indirectly interconnected with it, which requires automatic or manual interruption of the supply of electric service to some consumers or areas in order to limit the extent or damage of the adverse condition or disturbance, or to prevent damage to generating or transmission facilities, to expedite restoration of service, or to effect a reduction in service to compensate for an emergency condition on an interconnected system.

  • Other circumstances beyond the control of the Cooperative, including but not limited to the following:

§ An act of God

§ Riot or civil disorder

§ Natural disaster such as fire, earthquake, or flood

§ An order from Federal, State, Municipal, County, or other public authority

§ Acts of terrorism

· Making necessary adjustments to, changes in, or repairs on lines, substations, and facilities, and in cases where, in the Cooperative’s opinion, the continuance of service to consumer’s premises would endanger persons or property.

The member shall notify the Cooperative immediately of any defect in service or of any trouble or irregularity to the electric supply.

Maintenance work on lines or equipment requiring service interruption will be done, as far as practicable, at a time that will cause the least inconvenience to the members. The members to be affected by such planned interruptions will be notified in advance, if practicable.

20 4 Right-of-Way Maintenance

The member will grant to the Cooperative, and the Cooperative will maintain right of way according to its specifications with the right to cut, trim, and control the growth of trees and shrubbery located within the right of way or that may interfere with or threaten to endanger the operation or maintenance of the Cooperative’s line or system. When trimming right of way, the Cooperative will remove debris other than stumps at its expense from “clean and maintained” areas; that is, an area which is regularly maintained (mowed, trimmed, or landscaped) and free of logs and brush. In other areas, right-of-way debris will be left in the right-of-way limit.


Members who desire to have trees trimmed or cut which are close to Cooperative power lines and, in the opinion of the Cooperative, pose a possible hazard to the lines may request assistance from the Cooperative in cutting or trimming. The Cooperative will schedule such work at its convenience.

20 5 Power Factor

The member will at all times maintain a power factor at the point of delivery as close to one hundred percent (100%) as practicable. Where the overall power factor of the member’s load is less than eighty-five percent (85%) lagging, the Cooperative may require the member to install at the member’s own expense equipment to correct the power factor, and may adjust the member’s billing demand as specified by the applicable rate schedule. The Cooperative reserves the right to measure the power factor at any time.

20 6 Foreign Electricity, Parallel Service, and Standby Generation

The member will not use the Cooperative’s electric service in parallel with any other electric source, nor will other electric source be introduced on the premises of the member for use in conjunction with or as a supplement to the Cooperative’s electric service, without the prior written consent of the Cooperative. When standby and/or supplemental on-site generation is provided by the member, parallel operation of the member’s generating equipment with the Cooperative’s system will not be allowed without express permission of the Cooperative. The member will install all protective devices specified in the National Electrical Code, or the National Electric Safety Code, as applicable.

When an emergency generator is used a double throw switch must be used to prevent possible injury to the Cooperative’s personnel and equipment by making it impossible for power to feed back into the main line from the emergency generator.

When a member’s on-site generation is operated in parallel with the Cooperative, the member shall install a single throw switch located adjacent to the Cooperative’s meter, which when opened will make it impossible for power to feed back into the Cooperative’s main line. This switch shall be clearly marked “Generator Disconnect.”

20 7 Qualifying Facilities and Independent Power Producers

The Cooperative is required to comply with the Public Utility Regulatory Policies Act of 1978 (PURPA), along with rules and regulations required under PURPA as they relate to qualifying facilities (QF). Any owner/operator of a QF desiring to connect with and sell electric demand and energy to the Cooperative shall notify the Cooperative. A current rate schedule will be provided to the owner/operator upon request. Any contracts for the sale of electric demand and energy from a QF will be made between the owner/operator and the Cooperative or its power supplier. Also through a similar prior arrangement with the Cooperative, all contracts for the sale of electric demand and energy from an independent power producer (IPP) will be made between the owner/operator and the Cooperative or its power supplier.

20 8 Line and Facilities Conversion and Relocation

Upon request, the Cooperative will, consistent with prudent utility practice, relocate lines, poles, and facilities. The member will be required to pay in advance the nonbetterment cost of relocating the facilities. Any additional right of way necessary for relocation will be the


responsibility of the member to obtain. An engineering fee will be charged for requests that are in excess of normal allowances.

At a member’s request, the Cooperative may convert existing adequate overhead facilities to underground, provided that the member meets the requirements set forth by the Cooperative, including paying the charges set forth in the Schedule of Fees and Charges (Appendix A). Existing secondary services may be converted provided the member pays the charges set forth in the Schedule of Fees and Charges (Appendix A).

Upon request, and when feasible the Cooperative will relocate electric distribution facilities that are in conflict with the placement of a new residence or a major renovation. The Cooperative will make such relocations at no cost to the member up to the amount specified in the Schedule of Fees and Charges (Appendix A). The member will be required to pay any excess amount.

Under most circumstances, the Cooperative will upon request, raise or lower lines to afford a safe passage for buildings or equipment being moved. Parties making such requests will be required to pay the cost of the labor and any material used, plus an appropriate charge for transportation equipment and all other related costs. Also, such parties will be required to make a deposit, in advance, of the estimated cost to the Cooperative.

20 9 Account and Usage Inquiry

The Cooperative will investigate, render advice, and lend assistance needed for all reasonable requests of the member pertaining to the member’s account, usage, bill, and load management equipment after verification of member identification. The Cooperative may collect a fee for such services beyond what is reasonable and customary. Such fee is specified in the Schedule of Fees and Charges (Appendix A).

21 0 Member Equipment

The member agrees to be responsible for notifying the Cooperative of any additions to, or changes in, the member’s equipment which might affect the quality of service or might increase the member’s electrical demand.

The member agrees to be responsible for any additional facilities, protective devices, or corrective equipment necessary to provide adequate service or prevent interference with service to the Cooperative’s other members. Such loads include, but are not limited to, those requiring excessive capacity because of large momentary current demands or requiring close voltage regulation, such as welders, X-ray machines, shovel loads, or motor starting across the line.

The member agrees not to connect any motors or other equipment which are not suitable for operation with the character of the service supplied by the Cooperative or which adversely affect the Cooperative’s equipment or compromise safety or service to other members.

The member agrees that when multi-phase service is furnished, the member will at all times maintain a reasonable balance of load between the phases. Three-phase motors with high- starting or fluctuating currents must be installed in accordance with the Cooperative’s Rate Schedule and Service Rules and Regulations.

The Cooperative may provide maintenance, repair, and installation services for equipment owned by the member but not covered through an applicable electric rate, provided the member


agrees to pay the operations service fee as specified in the Schedule of Fees and Charges

(Appendix A).

21 1 Power Quality

To the extent that members may require electric service at a level of less variation than allowed under the standard service, any additional equipment required by the member to ensure the level of power quality will be at the member’s expense. The Cooperative will assist the member in the technical development of the power quality electric service.

The member will at all times operate equipment to limit harmonic distortion contributed to the Cooperative’s system to no more than three percent (3%) of a single harmonic and no more than 5% total harmonic distortion (THD). Failure to comply with this requirement may subject the member to disconnection.

30 0 Governance and Membership Rights and Responsibilities

This section describes governance and membership rights and responsibilities as well as complaint procedures.

30 1 Cooperative’s Board Authority

The Cooperative’s Board of Directors is the governing body and is the final authority for approval of these Service Rules and Regulations. These Rules and Regulations and Rate Schedules are on file in the Cooperative’s headquarters office, and such filing and publishing will constitute official notice to all members of such changes. Failure of the Cooperative to enforce any of the terms of these Rules and Regulations will not be deemed as a waiver of its right to do so. In case of conflict between any provision of the Bylaws and these Service Rules and Regulations, the Bylaws will prevail.

In case of conflict between any provision of a Rate Schedule and of these Service Rules and Regulations, the Rate Schedule will prevail. These Rules and Regulations and Rate Schedules and any changes will be filed with the North Carolina Rural Electrification Authority and, additionally, pursuant to North Carolina GS 62-138(f), with the North Carolina Utilities Commission.

30 2 Electric Facilities Planning and Siting

The Cooperative has a responsibility and commitment to provide, through appropriate short- and long-range planning, reliable energy to the members in our service area. The Cooperative will share information, on a timely basis, about planned transmission line and substation projects with members who will be affected by the siting of such facilities.

30 3 Complaint Procedures

A full and prompt investigation will be made of all service complaints. The recommended order for handling quality of service or rate complaints is as follows:

· Contact your local district Cooperative office and allow reasonable time for investigation, advice, and action. If the results are not satisfactory, then:


· Contact the Cooperative’s Chief Executive Officer, providing information and results from the initial complaint and/or naming local Cooperative personnel who handled the complaint. Allow reasonable time for the Chief Executive Officer to act. If the results are still not satisfactory, then:

· File a complaint with the North Carolina Rural Electrification Authority in Raleigh, North Carolina, 430 North Salisbury Street, Dobbs Building, Raleigh, North Carolina 27611, (919) 733-7513. Allow reasonable time for the Authority to act, then:

· If results are still not satisfactory, file a written complaint with the Cooperative’s Board of Directors. Allow reasonable time for the Board to schedule the item at a regular meeting. Allow reasonable time for the Board’s orders on the matter to be carried out.

30 4 Use of Cooperative Property

All meters, service connections, and other equipment furnished by the Cooperative is the property of the Cooperative. The member will not interfere with, or alter, the Cooperative’s meters, seals, or other property, or permit the same to be done by anyone other than the Cooperative’s authorized agent or employee. Damage caused or permitted by the member to the Cooperative’s property will be paid for by the member.

No person or organization will install or attach any wire, sign(s) or other material or equipment to any of the Cooperative’s poles, conductors or other fixtures, except with express written consent of the Cooperative.

30 5 Member Responsibilities

Before receiving service any previous outstanding debts owed to the Cooperative by the member or any other person in the member’s household must be paid.

The member agrees to promptly notify the Cooperative in writing if there is someone in their household who is either chronically or seriously ill, disabled or on an electrically operated life

support system and if the member desires special handling of the account in the event of failure

to pay electric bills.

Electric service is supplied by the Cooperative and purchased by the member upon the express condition that after it passes the Point of Delivery, the electric service becomes the property of the member to be used only as provided in the Service Agreement. The Cooperative will not be liable for loss or damage to any person, property, business losses, or consequential damages whatsoever, resulting directly or indirectly from the use, misuse, or presence of the said electric service after it passes the Point of Delivery or for any loss or damage resulting from the presence, character, or condition of the wires or equipment of the member or for the inspection or repair of the wires or equipment of the member.

It is understood and agreed that the Cooperative is merely a supplier of electric service, and the Cooperative will not be responsible for any damage or injury to the buildings, motors, apparatus, or other property of the member due to lightning, defects in wiring or other electrical installations, defective equipment or other cause not due to the negligence of the Cooperative or its agents. The Cooperative will not be in any way responsible for the transmission, use or control of the electric service beyond the Point of Delivery, except as it might apply to specific programs.

Upon termination of service, the member shall be responsible for furnishing and updating the Cooperative with a current and future mailing address to ensure timely receipt of future capital credit information.


Part II

40 0 Conventional Billing

The Cooperative offers a conventional billing process that offers members the opportunity to receive electric service prior to payment. The amount of energy consumed and associated electric service charges are billed after the electricity has been used. Members have a choice of receiving a paper bill through the mail or enrolling in electronic billing. Conventional billing requires account security.

40 1 Security Deposit

A security deposit may be collected in advance of service connection or at any subsequent time when the Cooperative determines that a deposit is needed to ensure payment of bills for residential accounts. At the discretion of the Cooperative, the security deposit may be made in partial payments not to exceed three installments, with a minimum of one payment paid prior to service connection. A member achieving the Cooperative’s most favorable credit rating (see “Definitions” Appendix B) that terminates service at one location and begins like service at another location within the Cooperative’s service area will not be charged a security deposit for the service at the new location. Deposits will be refunded automatically with interest, accrued from the date of receipt, after twenty-four (24) consecutive months during which the residential member has fulfilled all member obligations as provided for in the Cooperative’s Bylaws and Service Rules and Regulations. The Board of Directors determines the interest rate paid on member deposits (See Appendix A – Schedule of Fees and Charges). Additional security may be required at any time if the member’s payment record falls below the Cooperative’s most favorable credit rating. Upon termination of service, security deposits will be refunded or applied against any unpaid balance owed to the Cooperative.

As an alternative, the Cooperative will accept:

(1) a guarantee payment of monthly bills from a member with the Cooperative’s most favorable credit rating with twenty-four months of established consecutive service (see “Definitions” Appendix B); and (2) a satisfactory record with an established credit rating service acceptable to the Cooperative.

Guarantors may request to be removed by submitting their request in writing to the Cooperative. This request will be considered after one of the following requirements has been satisfied:

· The secured account credit history reflects 24 months of satisfactory payments; or

· A security deposit has been paid in full; or

  • A satisfactory replacement guarantor has signed all necessary documentation with the

Cooperative; or

· The member elects to participate in the FlexPay billing program offered by the

Cooperative.

Deposits other than those described above will be required by special contract or when, as determined by the Cooperative, a deposit is necessary due to the type of service. This deposit will be based upon the risk of that business enterprise, the reputation and history of the


premises, or the credit rating and the financial dependability of the member. All non-residential accounts will be secured by a deposit to remain in effect as long as the account is active.

40 2 Responsibility to Read Meter

Automated electric meters are polled for meter readings on a daily basis through the Cooperative’s automated metering (AMI) system. When a daily meter reading cannot be obtained at the scheduled time, the meter reading and corresponding kilowatt-hour (kWh) usage for the period will be estimated based on prior usage. kWh usage billed on an estimated basis will be adjusted as necessary when the next actual reading is obtained. An explanation of the meter reading/billing process can be obtained from the Cooperative.

Meters will be read and bills rendered by the Cooperative. When a meter reading cannot be obtained at the scheduled time, the meter reading and corresponding kilowatt-hour (kWh) usage for the period will be estimated based on prior usage. KWh usage billed on an estimated basis will be adjusted as necessary when the next actual reading is obtained. An explanation of the meter reading/billing process can be obtained from the Cooperative.

40 3 Due Dates and Failure to Pay

Bills are due and payable upon receipt. From the date of billing, members will have no less than

25 days from the billing date to make a payment and avoid becoming delinquent. Members whose bills become delinquent will be charged a late payment charge as specified in the Schedule of Fees and Charges (Appendix A). If the billed amount is still delinquent when the next month’s bill is prepared, that bill will show the previous month’s account balance as past due with a disconnect notice and date of disconnect printed on the bill. Members with the Cooperative’s most favorable credit rating (see “Definitions” Appendix B) will be sent a regular bill with no disconnect notification. All late payment penalties will apply. A member who does not have the most favorable credit rating will receive a bill containing disconnect notification information when their electric service account is subject to disconnection. This notice will explain the reason why the Cooperative plans to disconnect the service, state the date after which the service will be disconnected, and explain what the member can do to keep the service from being disconnected. The disconnect notification on the bill will state that the Cooperative’s office can be contacted prior to the disconnection date to discuss a payment arrangement if the member cannot pay the bill. If the member fails to take the necessary action to avoid disconnection, the Cooperative will disconnect the service. The member may have their service reconnected by paying all past due portions of the delinquent bill plus a reconnection fee.

Members may request in writing that a copy of any billing notices be sent to a specified third party.

Note: Disconnect notices will not be mailed until the delinquent amount exceeds $75.00; cut-off notices will not be created unless the amount exceeds $75.00.

40 4 Multiple Services

If a member has more than one account, the Cooperative reserves the right to apply any payment made by the member to any account owed to the Cooperative by the member. All funds received will first be applied to any interest and penalty on the delinquent account(s) with the remaining funds to be applied against the electric service bill.


40 5 Bill in Dispute

Failure to receive a bill does not exempt a member from payment. A duplicate bill may be obtained from the Cooperative or may be accessed online by visiting www.blueridgeemc.com. Members may also receive without charge, a copy of billing information for the past twelve months which can be obtained online at www.blueridgeemc.com. Neither a dispute concerning the amount of a bill nor a claim or demand by the member against the Cooperative will alter the normal requirements for payment. (See Complaint Procedure in Section 303 for resolution of disputed bills.) If the member requests a meter to be re-read for usage dispute, a field service fee will be charged if the original meter reading is determined to be correct.

40 6 Methods of Payment

The Cooperative will accept payments by mail, in the district offices, by telephone, online, electronic funds transfer, and at approved remote pay locations. Acceptable methods of payment include cash, check, credit card, and debit card. Some restrictions may apply.

Budget Billing is available upon request for members who desire equalized payments throughout the year. The Cooperative will accept VISA®, MasterCard®, or Discover® cards for payment of electric goods, products, services, etc., up to a limit of $3,000 per member per month.

Additional vendor charges may apply to remote location payment methods.

40 7 Returned Payment

Any member whose payment for service is returned will be notified immediately by letter and a returned payment fee will be added to the member’s account in an amount up to the maximum allowed by North Carolina law. Return reasons could include, but are not limited to, insufficient funds, stopped payment, invalid account information, or a credit card chargeback. See Schedule of Fees and Charges (Appendix A). If the payment is not made by the date stated on the mailed notification, service will be discontinued. If the Cooperative receives two returned checks from a member in the previous 12-month period, the Cooperative will refuse to accept further checks from that member. The Cooperative will not disconnect the service if the member has the most favorable credit rating, however, a letter will be mailed to the member as notification of the returned item. In any event, the Cooperative is not waiving its right to disconnect service at a later time.

40 8 Corrections for Errors Billing Adjustments

Adjustments to the account due to inaccurate metering equipment, errors in meter reading or billing will be made promptly. The Cooperative will issue a credit for errors when an adjustment is warranted. The member will be expected to pay any appropriate charges. Payments to the Cooperative may be made in installments over the same period of time during which the error occurred. The billing adjustment will be based on an appropriate estimation of usage and/or demand for a given period of time. For members having a demand of less than 50 kW, that period will not exceed five months. For members having demand more than 50 kW, that period will not exceed 12 months. When a meter stops or fails to register correctly, or if the calibration is found to be in error of more than plus or minus two percent (2%), the member’s account will be adjusted accordingly. The Cooperative will periodically test and inspect its meters. A member may request in writing that a meter be tested. A report will be supplied to the member within a


reasonable time after the completion of the test. A meter test charge, as specified in the Schedule of Fees and Charges (Appendix A) will be imposed . This fee will be refunded if the meter is found to be in error in excess of plus or minus two percent (2%).

40 9 Payment Arrangements

At the discretion of the Cooperative, a payment arrangement may be granted to members in accordance with the following standards:

· 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 (see applicable fee in Schedule of Fees and Charges [Appendix A]) for a fixed time, or arrangement for

installment payment of the bill will not unduly impair the Cooperative’s ability to collect

the final bill; or

· When disconnection of service might impose immediate danger to the member or other persons due to illness or some hazardous condition, or when the household is immediately and directly affected by a death.

41 0 Unavoidable Cessation of Service by Member

If the member’s home or premise is destroyed by fire, natural disaster, or other casualty, or a business is shut down because of fire, natural disaster, or other cause beyond the member’s control, making a complete cessation of service, then any minimum charge or guarantee occurring after the cessation of service will be waived and the contract will be extended provided the Cooperative receives notice within 30 days that the member intends to resume service as soon as possible.

The member’s obligation to pay for charges incurred before cessation may be postponed with interest. Otherwise, the agreement for service will immediately terminate. In the event an account billed under any residential rate is destroyed by fire not caused by an act of arson on the part of the member or the member’s family, no charges for the current month’s billing period will be rendered. A new temporary service will be connected for the same member at no cost.

41 1 Power Diversion and/or Meter Tampering

Power diversion and meter tampering are extremely dangerous and can cause fire, explosion, or electrocution. No one other than a trained employee of the Cooperative or an authorized contractor of the Cooperative is permitted to break the meter seal.

The Cooperative will address power diversion or meter tampering by charging all applicable fees and charges. The Cooperative may seek criminal prosecution if deemed necessary.

41 2 [Reserved]

41 3 Disconnection of Service by Cooperative

The Cooperative may disconnect service immediately and without notice for the following reasons:

· Discovery of meter or load management equipment tampering or diversion of current

· Use of power for unlawful, unauthorized or fraudulent reasons


  • By order of public authority

· Discovery of an electrical condition determined by the Cooperative to be potentially dangerous and eminently hazardous to life or property of the Cooperative or the public

· For repairs, emergency operations, unavoidable shortages, or interruptions in the

Cooperative’s power supply source

  • Introduction of foreign electricity on the premises with the capability to back feed or

interconnect with the Cooperative’s system without prior written consent.

Additionally, service may be disconnected after notice has been given to the member and reasonable time to comply with the Bylaws of the Cooperative and the Service Agreement with the Cooperative. This compliance also applies to any applicable Federal, State or other local laws, regulations or codes, including, but not limited to, nonpayment and refusal of access to the Cooperative’s meters or other facilities on the premises. When a field visit is warranted, the member will be charged a field service fee for those circumstances described below as specified in the Schedule of Fees and Charges (Appendix A).

Waiver of default: If the member continues to be or again becomes non-compliant with the Service Agreement, any delay or omission on the part of the Cooperative to exercise its right to discontinue service, or the acceptance of a part of any amount due, will not be deemed a waiver by the Cooperative of such right.

41 4 Cold Weather Special Needs Disconnection

No termination of service will take place from December 15 until March 15 if the member can establish all of the following criteria:

  • A member of the member’s household is either disabled or 65 years of age or older;
  • The member is unable to pay for such service in full;
  • The household is certified by the local social service office which administers the Energy

Crisis Assistance Program or other similar programs to be eligible (whether funds are available or not) to receive assistance under such programs.

The Cooperative may continue to charge interest on accounts that are subject to this provision. The member must provide advance notification and certification of meeting the requirements for “special needs” handling of accounts on an annual basis.

41 5 Reconnection of Service by Cooperative

Subsequent to the disconnection of electric service by the Cooperative for reasons listed in the previous sections 413 and 414, service may be reconnected under the following conditions:

  • The conditions causing the disconnection are corrected.
  • Payment has been made for the cost of repair or replacement of the Cooperative’s meter

or any other properties, if tampered with or otherwise damaged or destroyed.

· Where the service has been discontinued for nonpayment of a bill, meter tampering, unauthorized or illegal use of power, the Cooperative will have the right to refuse service to the same member or to any other applicant who is a member of the member’s household until the infraction is corrected, credit is reestablished by the member, and all applicable accounts have been paid.


· The member has agreed to comply with reasonable requirements to protect the

Cooperative against further infractions.

· A reconnection fee and/or any other applicable service charges and security deposits, as specified in the Schedule of Fees and Charges (Appendix A) have been paid.

For any meter disconnected and reconnected for the same member at the same location, a reconnection fee as specified in the Schedule of Fees and Charges (Appendix A) is required if reconnected within thirty (30) days. If the time between the disconnect date and the reconnect date is greater than thirty (30) days, the charge will be the reconnection fee as specified in the Schedule of Fees and Charges (Appendix A) plus a facilities/minimum bill charge for each month, or major portion thereof, that the meter remains disconnected, up to a maximum of nine (9) months. Furthermore, it shall be the member’s responsibility to furnish the Cooperative proof of inspections by local or state officials where such inspections are required, and reconnection will not occur until such proof is presented.

A security light reconnected for the same member at the same location within a one-year period of time will require a reconnection fee and facilities charge as specified in the Schedule of Fees and Charges (Appendix A).

41 6 Conversion of Conventional to FlexPay Service

Members may elect to convert a conventional billed account to FlexPay service at any time, not to exceed once per year.

Subject to the Cooperative’s approval, members applying for FlexPay service have the option of transferring a previous balance (excluding power diversion) from a conventional account to the FlexPay account. The Cooperative, at its option, will apply up to 50% of all subsequent FlexPay account payments to the previous balance of the conventional account.

At the time of conversion, the existing deposit (if applicable) will be first applied towards any outstanding balance on the conventional account. Any resulting credit balance will be applied to the FlexPay account.

When a FlexPay account is initially activated, a minimum balance is required as specified in the

Schedule of Fees and Charges (Appendix A).

41 7 Termination of Service by Member

For termination of service, the member should give a minimum of one working day’s notice prior to requested disconnection unless a written contract specifies otherwise. A member may voluntarily withdraw in good standing from membership under both of the following conditions:

· Both payment of all amounts due the Cooperative, and compliance with all membership obligations, as of the effective date of withdrawal; and either moving to other premises not furnished service by the Cooperative, or ceasing to use any Cooperative electric service whatever at any of the premises to which such service has been furnished by the Cooperative according to the Service Agreement.


A final bill will be rendered at time of disconnection. Following the final bill, the member will be refunded any fees and security deposits, plus interest, which remain after all member obligations have been satisfied and is above the minimum check processing amount. When terminating service, the member is responsible for providing an accurate forwarding final bill address. The Cooperative reserves the right to submit any unpaid final bill balances to an external collection agency.

P A RT III

50 0 FlexPay Billing

The Cooperative offers FlexPay billing to residential and non-demand general service accounts as an alternative to conventional billing. FlexPay billing is available upon member request for any active Residential (R), Residential Conservation (RC), or Residential All-Electric (RE), or General Service (GS) designated account in the Cooperative’s service area where the automated metering system (AMI) is fully deployed; and where electric service is delivered through a standard 200 amp automated meter.

FlexPay accounts do not receive a monthly billing statement. With FlexPay billing, electric usage, charges, and credits are posted to the account daily. Each month, the daily account postings are reconciled to the appropriate rate and any difference is credited or debited to the account.

To activate a FlexPay account, an initial minimum positive balance as specified in the Schedule of Fees and Charges (Appendix A) is required.

FlexPay billing offers members a number of benefits which include:

· Unlike conventional billed accounts, the member is not required to establish credit.

  • FlexPay accounts are not subject to late fees, delinquency fees or reconnect charges pertaining to nonpayment.

· Security deposits are not required for FlexPay accounts.

50 1 Responsibility to Read Meter

Automated electric meters are polled for meter readings on a daily basis through the Cooperative’s automated metering (AMI) system. When a daily meter reading cannot be obtained at the scheduled time, the meter reading and corresponding kilowatt-hour (kWh) usage for the period will be estimated based on prior usage. kWh usage billed on an estimated basis will be adjusted as necessary when the next actual reading is obtained. An explanation of the meter reading/billing process can be obtained from the Cooperative.

50 2 Due Dates and Failure to Pay

Members are solely responsible for managing their FlexPay account, which includes monitoring energy usage and maintaining a positive balance at all times. Failure to do so may result in service disconnection at any time without notice. In the event an account is disconnected, a minimum positive balance as specified in the Schedule of Fees and Charges (Appendix A) is


required when the account is reconnected. FlexPay accounts are not eligible for time extensions or payment arrangements. FlexPay account information may be accessed at any time by prepaid notification methods or by telephone at 800-448-2383.

50 3 [Reserved]

50 4 Bill in Dispute

Failure to receive billing notification(s) does not exempt a member from payment. Neither a dispute concerning the amount of a bill nor a claim or demand by the member against the Cooperative will alter the normal requirements for payment. (See Complaint Procedure in Section 303 for resolution of disputed bills.)

50 5 Methods of Payment

The Cooperative will accept payments by mail, in the district offices, by telephone, online, electronic funds transfer, and at approved remote pay locations. Acceptable methods of payment include cash, check, credit card, and debit card. Some restrictions may apply.

The Cooperative will accept VISA®, MasterCard®, or Discover® cards for payment of electric goods, products, services, etc., up to a limit of $3,000 per member per month.

Additional vendor charges may apply to remote location payment methods.

50 6 Returned Payment

Any member whose payment for service is returned will be notified immediately by prepaid notification methods or by letter as notification of the returned item. Return reasons could include, but are not limited to, insufficient funds, stopped payment, invalid account information, or a credit card chargeback. A charge for the amount of the payment, as well as any applicable fees, will be added to the account. (See Appendix A - Schedule of Fees and Charges.) If this fee and subsequent reversal of the original payment amount to their account results in a negative balance, the account will be subject to disconnection.

50 7 Corrections for Errors and Billing Adjustments

Adjustments to the account due to inaccurate metering equipment, errors in meter reading or billing will be made promptly. The Cooperative will issue a credit for errors when an adjustment is warranted. The member will be expected to pay any appropriate charges. Payments to the Cooperative will be applied through debt recovery. The billing adjustment will be based on an appropriate estimation of usage for a given period not to exceed five months. When a meter stops, fails to register correctly, or if the calibration is found to be in error of more than plus or minus two percent (2%), the member’s account will be adjusted accordingly. The Cooperative will periodically test and inspect its meters. A member may request in writing that a meter be tested. A report will be supplied to the member within a reasonable time after the completion of the test. A meter test charge, as specified in the Schedule of Fees and Charges (Appendix A) will be imposed. This fee will be refunded if the meter is found to be in error in excess of plus or minus two percent (2%).


50 8 Time Extensions/Payment Arrangements

FlexPay accounts are not eligible for time extensions or payment arrangements.

50 9 Unavoidable Cessation of Service by Member

If the member’s home or premise is destroyed by fire, natural disaster, or other cause beyond the member’s control, making a complete cessation of service, then any minimum charge or guarantee occurring after the cessation of service will be waived and any contract will be extended provided the Cooperative receives notice within 30 days that the member intends to resume service as soon as possible.

A new temporary service will be connected for the same member at no cost.

51 0 Power Diversion and/or Meter Tampering

Power diversion and meter tampering are extremely dangerous and can cause fire, explosion, or electrocution. No one other than a trained employee of the Cooperative or an authorized contractor of the Cooperative is permitted to break the meter seal.

The Cooperative will address power diversion or meter tampering by charging all applicable fees and charges. The Cooperative may seek criminal prosecution if deemed necessary.

51 1 [Reserved]

51 2 Disconnection of Service by Cooperative

The Cooperative may disconnect service immediately and without notice for the following reasons:

· Discovery of meter or load management equipment tampering or diversion of current;

· Use of power for unlawful, unauthorized or fraudulent reasons;

  • By order of public authority;

· Discovery of an electrical condition determined by the Cooperative to be potentially dangerous and eminently hazardous to life or property of the Cooperative or the public;

· For repairs, emergency operations, unavoidable shortages, or interruptions in the

Cooperative’s power supply source; or

· Introduction of foreign electricity on the premises with the capability to back feed or interconnect with the Cooperative’s system without prior written consent.

Additionally, service may be disconnected after notice has been given the member and reasonable time to comply with the Bylaws of the Cooperative and the Service Agreement with the Cooperative. This compliance also applies to any applicable Federal, State or other local laws, regulations or codes, including, but not limited to, nonpayment and refusal of access to the Cooperative’s meters or other facilities on the premises. When a field visit is warranted, the member will be charged a field service fee for those circumstances described below as specified in the Schedule of Fees and Charges (Appendix A).

Waiver of default: If the member continues to be or again becomes non-compliant with the

Service Agreement, any delay or omission on the part of the Cooperative to exercise its right to


discontinue service, or the acceptance of a part of any amount due, will not be deemed a waiver by the Cooperative of such right.

51 3 Cold Weather Special Needs Disconnect

Conventional billing has a provision known as “Cold Weather Special Needs Disconnect” that limits when a service disconnect may occur during extreme cold weather. This provision is not available under FlexPay billing.

51 4 Reconnection of Service by Cooperative

Subsequent to the disconnection of electric service by the Cooperative for reasons listed in the previous section 512, service may be reconnected under the following conditions:

  • The conditions causing the disconnection are corrected.
  • Payment has been made for the cost of repair or replacement of the Cooperative’s meter

or any other properties, if tampered with or otherwise damaged or destroyed.

  • Where the service has been discontinued for nonpayment of a bill, meter tampering, unauthorized or illegal use of power, the Cooperative will have the right to refuse service

to the same member or to any other applicant who is a member of the member’s

household until the infraction is corrected, and all applicable charges have been paid.

· The member has agreed to comply with reasonable requirements to protect the

Cooperative against further infractions.

  • A reconnection service fee and/or any other applicable service as specified in the

Schedule of Fees and Charges (Appendix A) have been paid.

For any meter disconnected and reconnected for the same member at the same location, a reconnection fee as specified in the Schedule of Fees and Charges (Appendix A) is required if reconnected within thirty (30) days. If the time between the disconnect date and the reconnect date is greater than thirty (30) days, the charge will be the reconnection fee as specified in the Schedule of Fees and Charges (Appendix A) plus a facilities/minimum bill charge for each month, or major portion thereof, that the meter remains disconnected, up to a maximum of nine (9) months. Furthermore, it shall be the member’s responsibility to furnish the Cooperative proof of inspections by local or state officials where such inspections are required, and reconnection will not occur until such proof is presented.

A security light reconnected for the same member at the same location within a one-year period of time will require a reconnection fee and facilities charge as specified in the Schedule of Fees and Charges (Appendix A).

51 5 Conversion of FlexPay to Conventional Service

Members may elect to convert a FlexPay billed account to conventional billing at any time, not to exceed once per year. The Cooperative will require full payment of a security deposit or other account security, plus any past due amounts and associated fees.

51 6 Termination of Service by Member

A member may voluntarily withdraw in good standing from membership only upon payment of all amounts due the Cooperative, and compliance with all membership obligations, as of the


effective date of withdrawal; and either moving to other premises not furnished service by the Cooperative, or ceasing to use any Cooperative electric service whatsoever at any of the premises to which such service has been furnished by the Cooperative according to the Service Agreement.

Service termination at the member’s request will receive a refund of any remaining positive balance on the account(s) after all member obligations have been satisfied provided the balance is greater than the minimum check processing amount.

A final bill will be rendered at time of disconnection. When terminating service, the member is responsible for providing an accurate forwarding final bill address. The Cooperative reserves the right to submit any unpaid final bill balances to an external collection agency.

A PP ENDIX A – Schedule of Fees and Charges

Schedule of Fees and Charges ( Note: Current sales tax is included in fees where applicable.)

SR&R

S ection Description Amount

101

New Account Set-up Fee

$10.00

104

New Construction

• Single meter building/residence (per permanent meter set)

$75.00

• Multiple meter building/residence (per permanent meter set)

$75.00

• Maximum fee per multiple meter building

$150.00


$100.00

104

Aid-to-Construction Loan Application

104

Contribution in Aid to Construction

Residential property not subdivided

Overhead1, 2 Underground2

A l l o w a nce Charge

$7,000 $4.00 per ft.

Service

A l l o wance

200 ft.

S ubdivided residential property (Less than 100-lot developments)

Lot Size

(Acres)

0 – 10 ac

Non-refundable

Contribution

$1,000 per lot

Underground

Charge

$4.00 per ft.

Service

A l l o wance

200 ft.

Greater 10 ac ---------------Actual cost----------------

S ubdivided residential property (100-lot or larger developments 3 )

Service

Lot Size

Contribution

A l l o wance

Any Size

Actual Cost

200 ft.

A l l Other

Anticipated

Load

Overhead Underground

A l l o w ance Charge

Service

A l l o wance

0-10 kW

---------Actual cost--------

200 ft.

10.1-75 kW

Single Phase

$7,000 $4.00 per ft.

200 ft.

Three Phase

Greater 75 kW

$12,000 $8.00 per ft.

$20,000 $8.00 per ft.

200 ft.

200 ft.4

Notes: 1.Homeowner or developer pays costs above allowance. 2. Allowance and underground charges are based on engineering estimate of cost. 3. Phased developments will be based on ultimate development plan. 4. Service is provided at the transformer for underground loads greater than 75 kW.

207

Small Renewable Generation

Non-Refundable Application

$50.00

208

Engineering Request Above

$125.00 or 5% of total estimate whichever is

Normal Cost Allowances

greater

208

Conversion of Outdoor Lighting

OH Service to UG

Actual cost + $75.00 engineering fee

208

Conversion of Secondary Residential

OH to UG

Actual cost + $125.00 engineering fee

208

Allowance for Line Relocation for

New Residence or Major Renovation

$1,800.00 max. allowance + $125.00 engineering fee

209

Research Fee

$25.00 per hour

210

Operations Service (Bucket truck) Operations Service (Service truck)

$150.00/hour

$75.00/hour


401 Account Security (deposit) Sum of 2 highest of previous 12 months at that location

401 Account Security (deposit) Interest Rate .10% per year

403 Delinquency $40.00

403 Late Payment Penalty 1.0% per month or $5.00, whichever is greater

405 Meter Re-read at Member’s Request $40.00

407/506 Returned Payment $25.00

408 Meter Test $55.00

409 Time Extensions $10.00 per time extension – One per month

— maximum 12 per year

411/510 Power Diversion $300.00 plus kWh/ kW usage and damages

411/510 Power Diversion/Meter Tampering/Cut Seal $100.00 plus kWh/ kW usage and damages

413 Field Service Trip $40.00

415 Reconnect and Delinquent Reconnect $40.00 standard hours

$60.00 after hours

415 Facilities Charge for Reconnect $40.00 to reconnect + 9-month maximum

(in same name) facility fee

415 Security Light Reconnect $40.00 to reconnect + 9-month maximum rate

(in same name)

416 FlexPay Account Activation – $25.00

Initial Balance

502 FlexPay Account – Reconnection $15.00 minimum positive balance


A P PENDIX B – DEFINITIONS

A c t ual Cost : The actual cost of a construction project includes all engineering, labor, overheads, contractors, materials, supplies, transportation costs, permits and other fees associated with provisioning electric service.

A p plicant : A member or prospective member who has applied for service.

A r ea Coverage : The public policy of obligating the Cooperative to provide service, on a nondiscriminatory basis, to all persons and entities desiring electrical service within a service territory assigned to the Cooperative.

A u t omated Metering Infrastructure (AMI) : An automated system which enables two-way communication to smart meters for remote meter reading, logging of daily energy usage and hourly interval data, power verification, outage detection, load monitoring, and serves as a gateway for application of specialized rates and energy efficiency programs.

B il l i ng Period : The time period between two successive scheduled meter readings.

C apital Credits : The amount of the Cooperative’s net margins allocated to individual members

and returned on a periodic basis as determined by the Board of Directors.

C l ean and Maintained Right of Way : Right-of-way area that is regularly maintained free of logs and brush.

C ooperative : Blue Ridge Electric Membership Corporation, or any other member-owned, not- for-profit entity.

C onservation : The practice of efficiently and effectively using electric generating and transmitting facilities while avoiding wasteful consumption of electrical energy.

D elinquent Bill : A bill for which payment is not received in the office by the close of business on the 25th day from the billing date.

D evelopment: Subdivided residential property where service to more than one member and/or more than one location is required.

E l ectric Service : The Cooperative’s legally imposed duty of supplying to an established point of delivery energy service in the form of an alternating current of frequency at nominal 60-cycles- per-second and of various nominal voltages.

FlexPay Billing : An option available from conventional billing where electric service charges are paid in advance at times and amounts that are convenient to the member. FlexPay accounts are not subject to late payment fees, delinquency fees or reconnect charges. Deposits are not required for new FlexPay accounts. Any deposits on existing accounts are applied to energy related charges when converted to FlexPay service.

Foreign Electricity : Any electricity used by the member that is obtained from a source other than the Cooperative. This includes, but is not limited to, power obtained from other power suppliers and customer-owned generators.


M ember: Any person or legal entity who has applied for and been accepted into membership of the Cooperative for the purpose of receiving electric service.

M obile and/or Remote Payment Options : Options available to all members as convenience payment methods by smart phone or any Check Free location.

M ost Favorable Credit Rating: Any member who has fulfilled all obligations of the member for any and all accounts under the member’s name and who, within the previous twelve months has had: 1) not more than one returned check or two late payments; 2) no involuntary disconnections; 3) honored all extensions and payment arrangements; or 4) no violation of meter tampering at any time.

P ermanent : Buildings which have permanent foundations and permanent water and sewer facilities.

P erson 65 Years or Older or Disabled : The Cooperative accepts the certification of the local county social services department as applied to the Energy Crisis Assistance Program.

P o i n t of Delivery: The point at which ownership of the electric service is transferred from the seller to the buyer. The Point of Delivery will be, unless otherwise specified, where the Cooperative’s wiring system terminates in the delivery of electric service to the member’s wiring system. On overhead services, the Point of Delivery will be the weatherhead, and on underground services the Point of Delivery will be the line side of the meter base; however, the member may be required to provide and maintain certain facilities between the Cooperative’s facilities and the meter.

P o w er Diversion/Meter Tampering: Diversion of power by unlawfully reconnecting your service or the unauthorized alteration or cutting of the Cooperative’s meter, wires, seals, or other apparatus in such a way as to prevent the meter from recording under seal the amount of electric service supplied to the member. (This is a misdemeanor under law and subject to penalty and affects the status of member in good standing.)

R ecent Member : No more than 24-months’ gap in receipt of service.

S easonal: Member, facilities, or premises which are active, in use or inhabited on a part-time basis, or during only certain periods of the year.

S ervice Agreement : The agreement between the Cooperative and member consisting of the following: completed application, FlexPay Election Agreement (FlexPay billing only) account security, Bylaws, all necessary rights of way and easements, current applicable rate schedules, load management agreement (if applicable), and current Service Rules and Regulations.

S ervice Voltage : The voltage at the point where the electric systems of the supplier and the user are connected (Point of Delivery). The Service Voltage is usually measured at the service meter base or entrance switch and allowable variations are usually expressed on a 120-volt base.

S pecial Needs : For conventional billing accounts, any member of the member’s household who is 65 years of age or older or certified disabled, and qualified to receive energy crisis assistance through the Department of Social Services and cannot pay for their electric service bill in full. The Cooperative must be notified of need.


S t andard Service Connection : Unless otherwise stated or agreed by the Cooperative, the standard service connection will be single phase, 60-cycles-per-second electric service provided to the Point of Delivery at the Cooperative’s standard supply voltages.

Revised: 09/25/2014
Effective: 10/01/2014


I have read and understand Blue Ridge Electric’s Membership Agreement, Bylaws, and Service Rules and Regulations. Additionally, by checking this box, I understand that I am electronically signing and accepting the terms of the Membership Agreement.