Whetstone Valley Electric Cooperative Inc

“The organization has one class of members.”

“Members elect the board of directors, all members are of the same class and each member has one vote.”

“The cooperative may not sell, lease or otherwise dispose of or encumber all or any substantial portion of its property without at least a two-thirds vote of all members of the cooperative. Also changes to bylaws must be approved by vote of the members. All members are of the same class and each member has one vote.”

“The organization does not have committees with authority to act on behalf of the board.”

“The manager and staff go over the form 990 with the directors at one of the board meetings prior to filing the 990.”

“Board members and employees are covered by the conflict of interest policy. Board members report to the board president, general manager or the attorney to determine whether a conflict exists, while employees report to their department managers, the general manager or the board president. The general manager, department managers and the board of directors are responsible for administering the policy. If a conflict exists, the director removes himself/herself from the room. The board will determine if there is value in the director being involved in the discussion prior to the vote.”

“The board reviews the general managers performance annually, meets with the general manager to go over the performance review, and determines his salary based on performance and comparability data. A similar process applies to all employees. The process was last undertaken in 2017.”

“These documents are made available to the public 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.”

“Retirement of capital credits -184,897. Allocation of 2017 patronage to members in 2018 744,736. Other changes in equity 557.”

“The organizations financial statements were audited by an independent accountant for the fiscal year ending april 30, 2018.”

“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 partonage capital allocated for the year, rather than patronage capital retired. This is consistent with the by-laws of the cooperative.”