Clark Electric Cooperative

“Any person, firm, association, corporation, or body politic or subdivision thereof will become a member of clark electric cooperative upon receipt of electric service from the cooperative, provided that he or she has first made an application for membership, agreed to purchase from the cooperative electric energy, agreed to purchase from the cooperative electric energy, and agreed to comply with and be bound by the articles of incorporation and bylaws of the cooperative and any rules and regulations adopted by the board.”

“Each member who is a current user of electricity from the cooperative shall be entitled to one vote and no more upon each matter submitted to a vote at a meeting of the members. Member rights include election of the board of directors. The membership may amend the by-laws of the cooperative by a majority vote at the cooperative's annual meeting. In keeping with a not-for-profit operations, members are assigned patronage capital. This patronage capital is retired as determined by the board of directors.”

“Member approval is required for articles of incorporation or by-law changes. Each member receives one vote.”

“There are no committees with authority to act on behalf of the governing body.”

“The board of directors is provided with a copy of the form 990, prior to filing. The directors then approve the filing of the return as presented.”

“All employees and directors are provided with a copy of the conflict of interest policy. The policy is reviewed periodically, but no less than, once every three years. The board of directors completes an annual assessment, last completed in april 2022, and supervisors are responsible for reporting any conflicts immediately to the ceo/general manager. While the cooperative has not currently identified any conflicts, it's policy is that the supervisor shall, in consultation with the ceo/general manager, determine the appropriate disciplinary action. Serious or continuous violations of policy may result in dismissal.”

“The board of directors compared the ceo/general manager's salary to data by nreca's national consulting group of all electric cooperative managers in the united states. The ceo/general manager's salary was last reviewed in may 2022. This process is documented in the board of directors meeting minutes. The board of directors compared other officers and/or key staff to data by nreca's national consulting group of all electric cooperative listed positions in the u.s. This was last reviewed in october 2022. This is all documented in the board of directors meeting minutes.”

“The cooperative makes its governing documents, conflict of interest policy, and financial statements available to the public upon request.”

“Retirement of capital credits -979,921. Equity earnings 171,796. Changes in other equity -142,096. Patronage dividends paid 1,785,820.”

“The irs instructions state that patronage dividends paid by section 501(c)(12) organizations to their members should be reported on line 4. The organization has interpreted patronage dividends paid to mean patronage dividends allocated or to be allocated for the current year. Since this allocation is not an expense under generally accepted accounting principles (gaap), this has resulted in a reconciling item to net assets in part xi, on page 12 of the form 990.”