What is a co-op, exactly?

When you hear the word “co-op,” what comes to mind? We hope you think of your friends here at Guthrie County REC, but maybe you think of a local farmers’ co-op or a credit union. You might be surprised to learn that co-ops, or cooperatives, can be found in many industries—and they offer a variety of services, each designed to serve their members in the best way possible. A cooperative is a not-for-profit organization owned by its members.

Rural electric cooperatives serve the smallest number of consumers, about 12 percent of the market, which equals 42 million people. There are more than 800 other electric co-ops in 47 states in addition to Guthrie County REC. While co-ops serve the fewest number of people, our electric lines cover more than 75 percent of the U.S. landmass. This is because we provide power where others once refused to go because of the low population density. Electric co-ops rank highest in member satisfaction among the three types of utilities.

As a member of Guthrie County REC, you have a voice - in other words, you’re not just a customer, you are a member-owner. Review the Seven Cooperative Principles listed below on why there is a "Cooperative Difference".

History

Guthrie County REC has been bringing electricity to rural Iowa for over 75 years. It is hard to believe, that in the 1930’s, nearly 90 percent of the urban dwellers had electricity, compared to only ten percent of the rural population. Private utility companies, who supplied electric power to most of the nation's consumers, argued that it was too expensive to string electric lines to isolated rural farmers. In 1935, under the Roosevelt Administration, the Rural Electric Administration (REA) was created to bring electricity to rural areas like the remote counties in Iowa. 

In 1938, nine area farmers; Bugbee, Cordis, Harlan, Jordan, Laughery, McLuen, Phillips, Rosenbladt, and Weigel represented the first Guthrie County REC Board of Directors. They adopted Articles of Incorporation, Bylaws, and policies that have governed your electric cooperative over the years. Then and now, members gather every year for the Annual Meeting of Members, where they have a voice in choosing their cooperative directors and in how Guthrie County REC is governed.

Today, electric cooperatives nationwide own and maintain more than 2.5 million miles of line and serve an area covering 75 percent of the U.S. landmass. These same electric cooperatives serve over 18 million farms, homes, schools, churches, businesses and industries and provide electricity to 42 million people in 46 states.