2024-11-13T16:26:44+00:00 2023-12-31 440160260 Forvis Mazars LLP PO Box 3667 Little Rock AR 722033667 990 2023-01-01 271582178 Texas Reliability Entity Inc TEXA 5125834900 8000 METROPOLIS DR BLDG A STE 300 AUSTIN TX 78744 JIM ALBRIGHT PRESIDENT/CEO 5125834900 2024-11-13 true true Amber Sherrill P00748683 5013721040 2024-11-13 2023 2024-10-15 13:58:12Z JIM ALBRIGHT 8000 METROPOLIS DR BLDG A ST AUSTIN TX 78744 17855471 false X WWW.TEXASRE.ORG X 2010 TX TEXAS RELIABILITY ENTITY, INC. (TEXAS RE) IS A TEXAS NON-PROFIT CORPORATION THAT IS (A) ONE OF THE SIX REGIONAL ENTITIES UNDER A DELEGATION AGREEMENT WITH NORTH AMERICAN ELECTRIC RELIABILITY CORPORATION (NERC) AS THE ERO (ELECTRIC RELIABILITY ORGANIZATION), WHICH WAS APPROVED BY THE FEDERAL ENERGY REGULATORY COMMISSION (FERC) ON MAY 6, 2010, FOR A FIVE-YEAR PERIOD BEGINNING JANUARY 1, 2011 AND RENEWED FOR ANOTHER FIVE-YEAR PERIOD BEGINNING JANUARY 1, 2016; AND UNDER ITS REGIONAL ENTITY CONTRACT, TEXAS RE FACILITATES DEVELOPMENT OF AND OVERSEES COMPLIANCE WITH FEDERAL ELECTRIC RELIABILITY STANDARDS BY USERS, OWNERS, AND OPERATORS OF THE BULK POWER SYSTEM (BPS) IN THE ELECTRIC RELIABILITY COUNCIL OF TEXAS, INC. (ERCOT) REGION IN TEXAS. THE AGREEMENT WAS EXTENDED FOR ANOTHER FIVE-YEAR TERM EFFECTIVE JANUARY 1, 2021. 7 4 72 4 0 0 15003365 17155278 851912 433863 50470 266330 0 15905747 17855471 0 0 11521286 12596527 0 0 3281412 3165028 14802698 15761555 1103049 2093916 14811061 15877428 9677564 8650015 5133497 7227413 TEXAS RELIABILITY ENTITY, INC. (TEXAS RE) IS A TEXAS NON-PROFIT CORPORATION THAT IS (A) ONE OF THE SIX REGIONAL ENTITIES UNDER A DELEGATION AGREEMENT WITH NORTH AMERICAN ELECTRIC RELIABILITY CORPORATION (NERC) AS THE ERO (ELECTRIC RELIABILITY ORGANIZATION), WHICH WAS APPROVED BY THE FEDERAL ENERGY REGULATORY COMMISSION (FERC) ON MAY 6, 2010, FOR A FIVE-YEAR PERIOD BEGINNING JANUARY 1, 2011 AND RENEWED FOR ANOTHER FIVE-YEAR PERIOD BEGINNING JANUARY 1, 2016; AND UNDER ITS REGIONAL ENTITY CONTRACT, TEXAS RE FACILITATES DEVELOPMENT OF AND OVERSEES COMPLIANCE WITH FEDERAL ELECTRIC RELIABILITY STANDARDS BY USERS, OWNERS, AND OPERATORS OF THE BULK POWER SYSTEM (BPS) IN THE ELECTRIC RELIABILITY COUNCIL OF TEXAS, INC. (ERCOT) REGION IN TEXAS. THE AGREEMENT WAS EXTENDED FOR ANOTHER FIVE-YEAR TERM EFFECTIVE JANUARY 1, 2021. false false 8507747 0 433863 TEXAS RE LESSENS THE BURDENS OF GOVERNMENT IN SEVERAL WAYS. TEXAS RE'S DELEGATION AGREEMENT WITH NERC PROVIDES THAT NERC DELEGATES TO TEXAS RE CERTAIN OF THE RESPONSIBILITIES DELEGATED BY FERC TO NERC (AS THE CERTIFIED ELECTRIC RELIABILITY ORGANIZATION) UNDER SECTION 215 OF THE FEDERAL POWER ACT. THESE ACTIVITIES INCLUDE MONITORING AND ENFORCEMENT OF COMPLIANCE WITH MANDATORY ELECTRIC RELIABILITY STANDARDS AND FACILITATING THE DEVELOPMENT OF NEW OR MODIFIED FEDERAL ELECTRIC RELIABILITY STANDARDS. THE MONITORING, ENFORCEMENT, AND IMPLEMENTATION OR MODIFICATION OF STANDARDS IS DESIGNED TO HELP PREVENT OR REDUCE OUTAGES, BLACKOUTS, SECURITY THREATS, AND CYBER ATTACKS ON THE ELECTRIC GRID THAT COULD OTHERWISE CAUSE SERIOUS RISK TO HUMAN HEALTH, SAFETY, AND THE ECONOMY. 8507747 true true false false false false false false false true false false true false false true false false false false false false false false false false false false true false false false false false false false false false false false false false false false false false true 16 0 true 72 true false false false false false false false false false false false false X 7 4 false false false false true true false true true false false false true true true true true true false false X Donna Bjornson 5125834959 8000 Metropolis Dr BLDG A STE 300 Austin TX 78744 CRYSTAL ASHBY BOARD VICE CHAIR 4.0 0.0 X X 89750 0 0 JIM ALBRIGHT PRESIDENT & CEO 40.0 0.0 X X 528938 0 60075 MILTON LEE BOARD CHAIR 4.0 0.0 X X 99000 0 0 CURT D BROCKMANN AFFLIATED DIRECTOR 4.0 0.0 X 0 0 0 DANIELA HAMMONS AFFLIATED DIRECTOR 4.0 0.0 X 0 0 0 JEFFREY CORBETT DIRECTOR 4.0 0.0 X 91125 0 0 SUZANNE SPAULDING AUD,GOV,& FIN. COMMITTEE CHAIR 4.0 0.0 X 82000 0 0 DERRICK DAVIS GENERAL COUNSEL & SECRETARY 40.0 0.0 X 289567 0 55018 Donna Bjornson VICE PRESIDENT & CHIEF FINANCIAL OFFICER 40.0 0.0 X 171481 0 26483 JOSEPH YOUNGER VICE PRESIDENTN & COO 40.0 0.0 X 308750 0 67073 JUDY FOPPIANO CFO & DIR OF CORP SRVCS 40.0 0.0 X 125814 0 21041 JOSEPH RICHARDS DIRECTOR, IT INFRASTRUCTURE 40.0 0.0 X 195420 0 54203 Kaitlin Van Zee DIRECTOR, ENFORCEMENT 40.0 0.0 X 223532 0 40362 Kenath Carver DIRECTOR, COMPLIANCE ASSESSMENTS 40.0 0.0 X 239053 0 54517 MARK HENRY DIRECTOR, RELIABILITY SRVCS 40.0 0.0 X 233849 0 57079 WILLIAM CREWS DIRECTOR, COMPLIANCE 40.0 0.0 X 245856 0 43258 2924135 0 479109 47 false true false 0 17155278 17155278 PENALTY SANCTION 221000 433863 433863 0 0 0 0 433863 266330 266330 0 0 0 0 0 0 0 0 0 17855471 433863 0 266330 2016116 2016116 7617952 4715136 2902816 1179486 730044 449442 1180650 730764 449886 602323 372808 229515 30005 18572 11433 68324 42289 26035 176733 109389 67344 0 201474 124702 76772 518792 321107 197685 1173965 726626 447339 263623 163170 100453 60549 37477 23072 513295 317704 195591 126701 78422 48279 Dues and Subscriptions 31567 19537 12030 0 0 0 0 15761555 8507747 7253808 0 2728853 5283926 903382 760903 509937 2306 0 0 0 0 536727 490584 4682169 686452 10132162 3995717 0 0 0 5343992 14811061 15877428 1630787 1208699 8046777 7441316 0 0 0 0 9677564 8650015 X 5133497 7227413 5133497 7227413 14811061 15877428 2093916 0 X false true X true false X 14372495 14156756 13343400 15003365 17155278 74031294 0 0 14372495 14156756 13343400 15003365 17155278 74031294 33327479 40703815 87818 14590 675 50470 266330 419883 0 0 0 0 0 0 0 74451177 2774908 0.5467 0.5947 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 3832867 475871 3356996 104886 77718 27168 744416 132863 611553 3995717 Right of Used Asset 5343992 5343992 17855471 0 0 17855471 0 0 17855471 15761555 0 0 15761555 0 0 15761555 Schedule D, Part X, Line 2 MANAGEMENT HAS EVALUATED ITS INCOME TAX POSITIONS UNDER THE GUIDANCE INCLUDED IN ASC 740. BASED ON ITS REVIEW, MANAGEMENT HAS NOT IDENTIFIED ANY MATERIAL TAX POSITIONS TO BE RECORDED OR DISCLOSED IN THE FINANCIAL STATEMENTS. X X false false false false false false false false false JIM ALBRIGHT PRESIDENT & CEO 442948 0 84700 0 1290 0 43500 0 16575 0 589013 0 0 0 JOSEPH YOUNGER VICE PRESIDENTN & COO 270856 0 37500 0 394 0 41399 0 25674 0 375823 0 0 0 DERRICK DAVIS GENERAL COUNSEL & SECRETARY 253299 0 35700 0 568 0 29170 0 25848 0 344585 0 0 0 Donna Bjornson VICE PRESIDENT & CHIEF FINANCIAL OFFICER 170465 0 0 0 1016 0 18085 0 8398 0 197964 0 0 0 WILLIAM CREWS DIRECTOR, COMPLIANCE 216867 0 28200 0 789 0 35751 0 7507 0 289114 0 0 0 Kenath Carver DIRECTOR, COMPLIANCE ASSESSMENTS 212201 0 26650 0 202 0 31714 0 22803 0 293570 0 0 0 MARK HENRY DIRECTOR, RELIABILITY SRVCS 207700 0 24840 0 1309 0 33169 0 23910 0 290928 0 0 0 Kaitlin Van Zee DIRECTOR, ENFORCEMENT 200570 0 22800 0 162 0 32134 0 8228 0 263894 0 0 0 JOSEPH RICHARDS DIRECTOR, IT INFRASTRUCTURE 177991 0 17200 0 229 0 28694 0 25509 0 249623 0 0 0 Form 990, Part VI, Line 6 Classes of members or stockholders TEXAS RELIABILITY ENTITY, INC. HAS THE FOLLOWING SIX MEMBERSHIP SECTORS UNDER ITS BYLAWS: -SYSTEM COORDINATION AND PLANNING: AN ENTITY THAT IS REGISTERED WITH NERC AS A RELIABILITY COORDINATOR (RC), BALANCING AUTHORITY (BA), PLANNING AUTHORITY (PA), OR RESOURCE PLANNER (RP). -TRANSMISSION AND DISTRIBUTION: AN ENTITY THAT IS REGISTERED WITH NERC AS A TRANSMISSION OWNER (TO), TRANSMISSION PLANNER (TP), TRANSMISSION SERVICE PROVIDER (TSP), DISTRIBUTION PROVIDER (DP), AND/OR TRANSMISSION OPERATOR (TOP), AND IS NOT A COOPERATIVE OR MUNICIPAL UTILITY. -COOPERATIVE UTILITY: AN ENTITY THAT IS (A) A CORPORATION ORGANIZED UNDER CHAPTER 161 OF THE TEXAS UTILITIES CODE OR A PREDECESSOR STATUTE TO CHAPTER 161 AND OPERATING UNDER THAT CHAPTER; OR (B) A CORPORATION ORGANIZED AS AN ELECTRIC COOPERATIVE IN A STATE OTHER THAN TEXAS THAT HAS OBTAINED A CERTIFICATE OF AUTHORITY TO CONDUCT AFFAIRS IN THE STATE OF TEXAS; OR (C) A COOPERATIVE ASSOCIATION ORGANIZED UNDER TEX. REV. CIV. STAT. 1396-50.01 OR A PREDECESSOR TO THAT STATUTE AND OPERATING UNDER THAT STATUTE THAT IS REGISTERED WITH NERC FOR AT LEAST ONE RELIABILITY FUNCTION. -MUNICIPAL UTILITY: AN ENTITY THAT OWNS OR CONTROLS TRANSMISSION OR DISTRIBUTION FACILITIES, OWNS OR CONTROLS DISPATCHABLE GENERATING FACILITIES, OR PROVIDES RETAIL ELECTRIC SERVICE AND IS A MUNICIPALLY OWNED UTILITY AS DEFINED IN PURA SECTION 11.003 AND IS REGISTERED WITH NERC FOR AT LEAST ONE RELIABILITY FUNCTION. -GENERATION: AN ENTITY THAT IS REGISTERED WITH NERC AS A GENERATOR OWNER (GO) OR GENERATOR OPERATOR (GOP). -LOAD SERVING AND MARKETING: AN ENTITY THAT SECURES WHOLESALE TRANSMISSION SERVICE OR IS ENGAGED IN THE ACTIVITY OF BUYING AND SELLING OF WHOLESALE ELECTRIC POWER IN THE ERCOT REGION ON A PHYSICAL OR FINANCIAL BASIS, OR QUALIFIES UNDER ANY NEWLY DEFINED NERC RELIABILITY FUNCTION FOR DEMAND RESPONSE. MEMBERSHIP IN TEXAS RELIABILITY ENTITY, INC. IS VOLUNTARY AND OPEN TO ANY ENTITY THAT IS A USER, OWNER, OR OPERATOR OF THE ERCOT REGION BPS, AND THAT QUALIFIES TO JOIN ONE OF THE SIX MEMBERSHIP SECTORS LISTED IN TEXAS RE BYLAWS. ELIGIBLE ENTITIES MUST COMPLETE AND SUBMIT A MEMBERSHIP APPLICATION AND COMPLY WITH THE BYLAWS. ANY PERSON OR ENTITY THAT HAS A DIRECT AND MATERIAL INTEREST IN THE BPS HAS A RIGHT TO PARTICIPATE IN THE TEXAS RE STANDARDS DEVELOPMENT PROCESS, EVEN IF NOT A TEXAS RE MEMBER. Form 990, Part VI, Line 7a Members or stockholders electing members of governing body THE MEMBERS SELECT AND CONFIRM THE BOARD MEMBERS PER THE BYLAWS. Form 990, Part VI, Line 11b Review of form 990 by governing body THE FORM 990 IS PROVIDED TO THE AUDIT, GOVERNANCE AND FINANCE COMMITTEE OF THE BOARD FOR REVIEW PRIOR TO FILING. THE FORM IS THEN SIGNED ANDSUBMITTED FOR FILING BY THE CEO AND CFO. Form 990, Part VI, Line 12c Conflict of interest policy THE ORGANIZATION HOLDS ANNUAL TRAINING REGARDING ETHICS AND CONFLICTS OF INTERESTS, AND REQUIRES EACH OF ITS OFFICERS, OTHER EMPLOYEES, AND BOARD MEMBERS TO RENEW HIS OR HER CONFLICT OF INTEREST DISCLOSURES AND SIGN OR ELECTRONICALLY CONFIRM COMPLIANCE WITH AN ETHICS AGREEMENT ANNUALLY. Form 990, Part VI, Line 15a Process to establish compensation of top management official THE ORGANIZATION'S BOARD ANNUALLY REVIEWS AND DETERMINES CEO COMPENSATION. AS PART OF ITS REVIEW OF CEO COMPENSATION FOR 2022, THE BOARD REVIEWED A COMPENSATION SURVEY DEVELOPED BY A COMPENSATION CONSULTING FIRM. THE BOARD'S COMPENSATION DECISION WAS REFLECTED IN BOARD MEETING MINUTES AND A BOARD RESOLUTION. Form 990, Part VI, Line 19 Required documents available to the public THE ORGANIZATION POSTS ITS GOVERNING DOCUMENTS ON ITS PUBLIC WEBSITE. THE ORGANIZATION'S CONFLICTS OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC ON REQUEST. Form 990, Part VIII, Line 1f IN 2023, TEXAS RE RECEIVED $17,155,278 FROM ERO ASSESSMENTS. PURSUANT TO SECTION 215(C) OF THE FEDERAL POWER ACT, THE FEDERAL ENERGY REGULATORY COMMISSION (FERC) HAS CERTIFIED THE NORTH AMERICAN ELECTRIC RELIABILIT CORPORATION (NERC), A SECTION 501(C)(6) NONPROFIT ORGANIZATION, AS AN ELECTRIC RELIABILITY ORGANIZATION ERO) TO (1) DEVELOP AND ENFORCE RELIABILITY STANDARDS APPLICABLE TO ALL OWNERS, OPERATORS, AND USERS OF THE BULK (ELECTRIC) POWER SYSTEM AND (2) DELEGATE ANY OF THESE ACTIVITIES TO REGIONAL ENTITIES. IN 2010, TEXAS RE AND NERC SIGNED AN AMENDED AND RESTATED DELEGATION AGREEMENT (DELEGATION AGREEMENT) IN WHICH TEXAS RE WAS DESIGNATED AS THE REGIONAL ENTITY FOR THE ERCOT REGION OF TEXAS. THE AGREEMENT WAS EXTENDED FOR A FIVE-YEAR PERIOD BEGINNING JANUARY 1, 2016. AS THE REGIONAL ENTITY, TEXAS RE IS RESPONSIBLE FOR DEVELOPING AND ENFORCING FEDERAL ELECTRIC RELIABILITY STANDARDS IN THE ERCOT REGION. PURSUANT TO TEXAS RE'S DELEGATION AGREEMENT, ASSESSMENTS (ERO ASSESSMENTS) TO FUND TEXAS RE'S REGIONAL ENTITY BUDGET ARE ALLOCATED TO ELECTRIC MARKET PARTICIPANTS (LOAD-SERVING ENTITIES OR DESIGNEES), BASED UPON ELECTRIC USAGE IN THE REGION, TO PAY FOR THE COSTS OF TEXAS RE'S DELEGATED FUNCTIONS. THE AGREEMENT WAS EXTENDED FOR ANOTHER FIVE-YEAR TERM EFFECTIVE JANUARY 1, 2021.