Mcleod Cooperative Power Association

“The members are all the same class. The organization is a member owned electric cooperative.”

“The service territory is divided into districts. Members from that district elect their director to represent them. Directors serve a three year term.”

“If changes are made to the by-laws, the changes will be voted on by the members at the annual meeting. Each member has one vote.”

“There are no committees with authority to act on behalf of the Board of Directors.”

“The Form 990 was reviewed by the Cooperative's CEO & CFO prior to being presented and reviewed by the Board of Directors at the May 2017 board meeting.”

“When obtaining quotes or bids for purchases or contract work, it is management's responsibility to ensure that there are no violations to this policy. The conflict of interest policy applies to the directors, officers and key employees of McLeod Cooperative Power Association, and any related individuals to the directors, officers, or key employees. It is the responsibility of the interested party to disclose any conflicts of interest. The Board interprets and enforces the conflict of interest policy. If it is determined that the policy is not being followed the individual not following the policy may be sanctioned, disqualified, and/or dismissed. In the event that a conflict may occur the interested parties abstain from voting.”

“The General Manager's compensation is reviewed and approved by the Board of Directors. Other officers and employees are reviewed by the General Manager and approved by the Board of Directors. The Board uses comparability data and substantiates their decision in board minutes.”

“The governing documents, conflict of interest policy, and financial statements are made available upon request.”

“Included in column "f", estimated amount of other compensation, is the estimated annual increase in the actuarial value of the defined benefit plan. The estimated increase for Carrie L. Buckley is $48,582, Daniel Schade is $65,097, Janice Sanderson is $19,006, and Derrel Beste is $23,436. These amounts are estimates in the increase of the value of the plan and are not current year expenses of the cooperative. The current year expense for this defined benefit plan was $28,424, $16,923, $6,877 and $18,055, respectively.”

“We have ceased our Exceed and Wild Blu internet services. These were offered under our non-operating income and they were no longer cost effective to continue as an additional service.”

“The labor, pension, other employee benefits, and payroll taxes reported on lines 5-10 are already included in distribution expense, administrative & general expense and customer expense. Therefore, these amounts are being subtracted out as an other deduction on line 24e in the amount of $(3,239,510).”

“Patronage Capital Retirements -666,844. Prepayments -42. Heartland K-1 Tax Income -7,261. Heartland Book Income 10,092. Patronage Capital Credits Allocated During Current Year 1,050,692.”