Nolin Rural Electric Cooperative Corp

“Line 6 explanation - nominating committee meets every year to select member to run for director.”

“Line 7a explanation - nominating committee meets every year to select member to run for director.”

“Line 7b explanation - articles of incorporation can only be changed by at least a 2/3 majority vote of the members. The bylaws may be amended at any regular or special meeting of the board of directors, with a majority vote.”

“Line 11b explanation - directors are furnished a draft copy of the 990 prior to filing. May make inquiries of information contained in the filing. Additionally, directors meet with the independent auditor in a closed session and are able to ask questions at that time.”

“A questionnaire is prepared by each director and key employee on an annual basis.”

“15.a and b. The board receives compensation data from both local and national surveys. The board uses this data, along with a performance review, to set compensation. Each director evaluates the president/ceo performance annually. The board has used, and occassionally does, use an independent human resource consulting firm to review the compensation and process.”

“Articles of incorporation and bylaws are given to each new member. Annual financial statements and information is given to each member through a member magazine, at the annual membership meeting, and they are available on the kentucky public service commission website.”

“Comprehensive post retirement benefits 2,071,726. Margins allocated to members 4,457,736. Memberships issued -1,670. Other equities 358,067. Refunds of capital credits -1,620,261. Refunds to estates -182,498.”

“No changes from prior year.”

“Nolin was obligated federal awards through fema for the tax year ended 12/31/24 and will timely complete and submit the required single audit as set forth in the uniform guidance for the fiscal year ended 12/31/24.”

“Form 990, part ix, line 4 - benefits paid to or for members represents patronage capital allocated to members in accordance with the bylaws of the cooperative. This reporting results in a difference between book income and income reported on the form 990 by the same amount.”