Nobles Cooperative Electric

“Richard burud, general manager until september 30, 2015, was paid by federated rural electric association january 1 - september 30, 2015 for services performed for nobles electric cooperative. Federated rural electric association was reimbursed according to a shared manager agreement by nobles cooperative electric for 50% of the general manager's total compensation. $114,657 was reimbursed by nobles cooperative electric in 2015 under this agreement. The agreement was in force january 1 2015 through september 30, 2015.”

“Nobles cooperative electric is a rural electric cooperative owned by the members served.”

“Nobles cooperative electric has one class of members who may elect one or more members of the governing body.”

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

“The form 990 is reviewed at a director board meeting prior to being filed.”

“Upon reviewing or discovering any information or fact that could impact a director's compliance with this policy, the board must: 1 - provide the director an opportunity to comment orally and in writing regarding the information or fact, and an opportunity to be represented by legal counsel; and 2 - determine whether the director complies with this policy. If the board determines that a director does not comply with this policy, then: 1 - the board must provide the director an opportunity to comply with this policy within thirty days and; 2 - if the director does not comply with this policy within thirty days, then, as allowed by law, the board must sanction, disqualify, and/or remove the director. Upon receiving or discovering any information or fact that could impact any other official's compliance with this policy, the board must act as appropriate or authorize the manager to act as appropriate.”

“Nobles cooperative electric and federated rural electric participated in a management services agreement for their general manager position through september 30,2015. A management liaison committee was in place. This committee consists of three nobles directors and three federated directors, appointed by their respective boards. The committee met as often as necessary to review and to make recommendations to the cooperatives' boards of directors regarding the general manager's compensation and benefits package and any other issues or problems that may have arisen in connection with the agreement. The process for the general manager was undertaken in 2015. Compensation for adam tromblay was determined by the governing body utilizing the national compensation survey prepared by nreca. This process was undertaken in 2015.”

“The organization makes these documents available upon request.”

“Included in other compensation is the estimated current year increase or decrease in the actuarial value of the defined benefit plan for the general manager. The current year increase or decrease does not represent current year contributions to the plan. Rather, it is an estimate of the increase or decrease in the actuarial value of the plan as calculated by the plan administrator.”

“Allocation of 2015 margins 1,295,706. Retirement of capital credits -752,922. Transfer to other equities -192,643. Increase in other equities 210,366.”

“The entire board of directors is responsible for the selection and oversight of the independent public accountant.”

“Benefits paid to or for members: the cooperative has interpreted the instructions to part ix, line 4, to mean patronage capital allocated for the year, rather than patronage capital retired. This is consistent with the bylaws of the cooperative.”

“The labor, pension and payroll taxes reported on lines 6-10 are included in distribution expense, administrative & general expense and customer expense. Therefore, labor, pension and payroll taxes are shown as a reduction to other expenses on line 24e.”