South Central Electric Association

“All customers of the cooperative are considered members; there is only one class of members.”

“Members are all of the same class and each member has one vote.”

“Changes to the articles and by-laws are subject to member approval. All members may vote on these changes.”

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

“Form 990 will be reviewed by the general manager. After his review, it will be delivered to each board member via email or via paper copy. Board members will be given sufficient time to review the 990 prior to it being filed with the irs.”

“Each director, officer and manager of south central electric association must comply with the policy. The board of directors interprets and enforces the policy and the association's legal counsel annually reviews the policy with all who must comply with this policy. Upon receiving or discovering any information or fact that could impact compliance with the policy, the board will allow the person involved an opportunity to comment orally or in writing, and is given thirty days to comply. If compliance is not attained in thirty days, the person will be removed from their position with the association.”

“The general manager's compensation is approved by the sac committee which is made up of directors from south central electric and redwood electric. The general manager has a written employment contract with south central electric association. This process is done annually for ronald horman.”

“A copy will be faxed or emailed to individuals who request a copy.”

“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, finance/admin manager, operations manager, and line superintendents. 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.”

“Ronald horman's compensation and hours worked per week are split evenly between south central electric association and an unrelated organization, redwood electric cooperative. Ronald is a common law employee of each organization. The compensation reported on form 990 part vii and on schedule j represents south central electric association's share of ronald's salary and benefits.”

“The labor, pension and payroll taxes reported on lines 5-10 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.”

“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 by-laws of the cooperative.”

“Retirement of capital credits -790,416. Allocation of 2024 margins to members in 2025 1,121,549.”