Allamakee-Clayton Electric Cooperative Inc

“Allamakee-clayton electric cooperative has two classes of members. Classes of members are class a members (traditional members of the cooperative) and class b members (municipal utilities). Class distinction is for the purpose of allocation of cooperative patronage.”

“Allamakee-clayton electric cooperative has two classes of members with each class having equal voting rights.”

“No committees of the organization have broad authority to act on behalf of the governing body.”

“Form 990 is reviewed by the executive vice president and general manager, cooperative attorney and director of finance before it is filed. The board of directors will be provided with the final draft before it is filed. The director of finance reviews and verifies all financial numbers and calculations to ensure they accurately reflect financial statement information. A questionnaire is provided by the form 990 preparer which is completed by the director of finance. Cooperative board policies and operating procedures are reviewed in the process of completing the questionnaire. The cooperative attorney reviews form 990 prior to its being filed to verify that questions are answered correctly and the form is completed properly.”

“Board governance policy no. 407, "conflicts of interest", imposes a self-policing requirement for each director to disclose situations or circumstances that pose a conflict of interest or the appearance of a conflict of interest. According to the policy, a director may request an opinion from the cooperative's general counsel to determine if a particular situation poses a conflict of interest or the appearance thereof. The policy further assigns responsibility to the board of directors and the general manager with advice of the general counsel to assure compliance with the policy. The policy requires each director to annually sign a conflict of interest disclosure statement.”

“In setting salaries and wages, the board of directors considers changes to the consumer price index as reported by the u.s. Department of labor; the wage adjustments reported by neighboring rural electric cooperatives; local economic conditions; the cooperative's competitive position in the community and within the industry; area employment information; the cooperative's fiscal conditions, and its financial ability. Compensation changes for employees are reviewed by the general manager, director of finance, and accountant to ensure compensation is in accordance with the cooperative salary and wage plans and/or union contract. The salary and wage plan and union contract are reviewed and approved by the board of directors. The above processes were undertaken in 2016.”

“Documents are available upon written request.”

“Included in other compensation is the estimated current year increase or decrease in the actuarial value of the defined benefit plan for the executive vp/general manager and director of finance/admin services. 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.”

“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.”

“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.”

“Memberships - net change 225. Retirement of capital credits -537,608. Allocation of 2016 margins in 2017 621,828.”