Tip Rural Electric Cooperative

“The cooperative has 5,050 member-owners. These member-owners sign a membership form in order to receive electric service and have voting rights in the cooperative.”

“The cooperative's member-owners hold an annual meeting in august of each year to: 1) hear the reports of officers, directors, and committees; 2) elect directors by geographical sectors for terms of 3 years, with staggering director terms; 3) any other business that may come before the membership.”

“The board of directors of the cooperative may not make any changes to the articles of incorporation without approval of the membership at a membership meeting.”

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

“T.i.p. Rural electric cooperative retained the services of cliftonlarsonallen llp to review its 2024 form 990 and related schedules for completeness and accuracy. Cliftonlarsonallen llp had a cpa, luke greden, do a full review of the form 990 with the cooperative's board of directors on 3/26/25.”

“Directors, officers or employees shall not conduct any business for the cooperative that may be deemed to be a conflict of interest. Each member of the board of directors and the ceo/general manager annually fill out a "conflict of interest" questionnaire to disclose any conflicts that may occur. Individuals who reasonably believe that they have information regarding a violation of this policy should bring their concerns to the attention of the president or the ceo/general manager. Any report of a violation of this policy delivered in good faith will be investigated promptly and, if required, appropriate action for the infraction will be taken by the board or management after due consideration of all facts and circumstances. Any gift of more than a nominal value ($300) should not be accepted by any director, officer, or employee. Directors, officers or employees of t.i.p. Rural electric cooperative should not accept any bonus, commission or other fee from any supplier or vendor, in the performance of their assigned responsibilities. All directors and officers are required to sign the policy annually.”

“Data from a compensation survey with information on ceo/manager salaries from other rural electric cooperatives in iowa, in our region, and across the united state was used to help determine the proper compensation. Also, the cpi cost of living figures from the department of labor were used. The contract was reviewed and approved by the board for 2 years. This process is documented in the board minutes. Data from a compensation survey with information of director's per diem from other rural electric cooperatives in iowa, in our region, and across the united states was used to help determine the proper compensation. Also, the cpi cost of living figures from the department of labor were used. This is reviewed and approved by the board on an annual basis. This process is documented in the board minutes. The most recent year in which the process was reviewed and approved was 2024.”

“All documents listed are available for inspection and review at the cooperative's main office in brooklyn, iowa. The form 990 is also available to the public on the following web site: http://www.guidestar.org/.”

“All documents listed are available for inspection and review at the cooperative's main office in brooklyn, iowa. The form 990 is also available to the public on the following web site: http://www.guidestar.org/.”

“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 and in part xii on schedule d.”

“Patronage dividends allocated 978,739. Patronage retired -632,146. Miscellaneous adjustment 1,968.”

“The board of directors assume responsibility for oversight of the audit of its financial statements and selection of an independent accountant. This process has not changed from the prior year.”