OAR 441-025-0124
Disclosures Related to Renewable Energy Cooperative Corporation Projects

Prior to initiating a project to be funded through membership shares, capital stock, or other permissible securities, the renewable energy cooperative corporation shall disclose, in writing, to all members, prospective members, and prospective investors, all material information about the project. For purposes of this subsection, “writing” includes printed, electronic and internet media. However, all disclosures shall be made available in printed format and prospective purchasers shall be notified of the option to obtain printed disclosures at no cost. Information disclosed shall include, but are not limited to, the following:

(1)

Basic terms of the project, including:

(a)

The cost of the project;

(b)

Projected amount of energy to be generated;

(c)

Probable users or purchasers of the energy;

(d)

Anticipated revenue to be generated by the project; and

(e)

Anticipated returns and distribution of revenue to investors.

(2)

The physical location of the electricity-generating facility and the type of facility planned to be built and operated.

(3)

Property leased or acquired by the renewable energy cooperative corporation in order to construct the facility.

(4)

Information on the risks that may arise based on the outcome of an engineering analysis done to assess the suitability of a location for the project.

(5)

Site surveys or other evaluations of the energy yields anticipated by the construction of the facility.

(6)

All zoning approvals, building permits, and other regulatory permissions the renewable energy cooperative corporation must secure in order to complete the project.

(7)

Insurance coverage for the projects, and risks if insurance coverage becomes more expensive or is unattainable at commercially reasonable rates.

(8)

An estimate of how much money the renewable energy cooperative corporation intends to raise for the project, how the money will be held in escrow or otherwise impounded, and how much the renewable energy cooperative corporation may need to raise to complete the project, if any.

(9)

If notes are offered to the membership or investors for a particular project, the renewable energy cooperative corporation shall disclose at a minimum the interest rate, the term, the maturity of the notes, payment dates, expected source of repayment, use of the proceeds, any conditions on prepayment, and a ban on secondary trading.

(10)

A calculation of estimated net proceeds or savings that may be apportioned, distributed and paid to a member for the generation of electricity, and any risks to patronage posed by increased costs or decreased revenue.

(11)

All other material information related to the project.

(12)

Amendments to any information described in subsections (a) through (i) to account for any material changes in the project.

Source: Rule 441-025-0124 — Disclosures Related to Renewable Energy Cooperative Corporation Projects, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=441-025-0124.

Last Updated

Jun. 8, 2021

Rule 441-025-0124’s source at or​.us