Planters Electric Membership Corporation

“The cooperative has members as provided for in its bylaws which are included as part of the return.”

“The cooperative has members who elect members of the governing body as provided for in its bylaws which are included as a part of this return.”

“Certain decisions of the governing body are subject to approval by members as provided for in its bylaws which are included as a part of this return.”

“Form 990 is reviewed by the board as provided for in the cooperative's policy which is included as a part of this return.”

“The cooperative regularly and consistently monitors and enforces compliance with their conflict of interest policy as provided for in its policy which is included as a part of this return.”

“Compensation for the general manager is reviewed and approved as provided for in the cooperative's policy which is included as a part of this return.”

“Compensation for key employees is reviewed and approved through the use of annual performance appraisals administered by the general manager.”

“The cooperative makes its bylaws, conflict of interest policy, and financial statements available to the public as part of its form 990. The form 990 is available upon request as reflected in part vi, section c, line 18.”

“Prior period adjustment: the electric utility indurstry has historically allowed utilities to either record unbilled revenue or disclose the unbilled amounts in their audited financial statements without recording. Until 2019, the corporation chose to report the unbilled revenue as a disclosure only. During 2019, the corporation began recording unbilled electric in response to asu 2014-09, revenue from contracts with customers. The change in accounting principle resulted in a prior period adjustment of 1,539,928. Since a substantial portion of this accrual is attributable to prior years and the patronage for those years has already been assigned, accrued unbilled utility revenue as of december 31, 2018 will remain a component of other equities until the corporation is liquidated or dissolved, at which time it will be allocated and assigned as partronage capital to the members that contributed the patronage.”

“Retired capital credit - gain 102,745 membership fees 140 patronage capital assigned 6,018,477 asc 980 deferred revenue recognized 500,000 patronage capital retired -1,191,934 asc 980 revenue deferred -2,800,000 total 2,629,428”