The Role of a Co-op Director
MITIGATING RISK, SETTING RATES, UNDERSTANDING power supply, participating in strategic planning, approving budgets, promoting the cooperative business model, gaining insights on political and environmental impacts, and representing the membership. These might sound like bullet points pulled from varying co-op job descriptions, but at Adams Electric Cooperative, there are nine people who are collectively responsible for all of these tasks: the board of directors.
We wanted to start a more open dialogue with the membership about the role of your directors and their responsibilities.
The director election process for Adams Electric begins Dec. 1, and there is a lot of information for a potential director to consider.
Cooperative boards around the country are challenged to discuss the issues they face now and, in the future, and to plan for those issues through education, training, and peer-to-peer networking.
Adams Electric seats a board of nine directors who meet monthly to review policy, assess finances, receive co-op updates and make governance decisions. Three zones have open director seats each year. In 2027, those are in Zones 1, 5 and 8.
A member interested in serving as a director must be a full-time resident of the zone they represent and meet all of the qualifications spelled out in the cooperative’s bylaws, including maintaining an account in good standing.
Fulfilling the role of a director goes back to The Seven Cooperative Principles — one of which is service to the community. Their commitment also requires education and training, another co-op principle. There are so many questions a director needs to be able to answer, discuss and debate, including making decisions about a $270 million business and setting rates that are affordable but also result in keeping the cooperative financially stable.
There is also a time commitment to serving on an electric cooperative board. Beyond the monthly meetings, which can last up to four hours, there is time spent at home, re-evaluating policy, reviewing board packets and preparing for meetings. In addition, board members must set aside time to attend assigned committee meetings, required training courses, seminars, special events, and statewide and national update meetings.
While directors are not salaried, they do receive compensation for meeting attendance and reimbursement for approved travel. Many times, director spouses are also able to attend events, but at the expense of the director.
As for travel and training, the first three years are the most intensive as the cooperative’s new board members are required to earn the Credentialed Cooperative Director certificate from our national organization. They must complete five courses. Each new director can choose to take the courses online or travel to various training classes, depending on what best suits their schedule. Some of these classes are offered in conjunction with other co-op events.
Additionally, most directors attend one or two statewide and/or national conferences each year. These can last several days depending on location.
All directors also agree to a PAC commitment, and a compensation and expense plan. This is explained in more detail if elected.
If you have an interest in learning more about the role of a co-op director, please feel free to reach out to communications@adamsec.coop.