2024-07-11T09:53:10-05:00 2023-12-31 450250958 Eide Bailly LLP 4585 Coleman St Ste 200 Bismarck ND 58503 990 2023-01-01 450454206 Dakota Valley Electric Cooperative Inc DAKO 7014932281 7296 Hwy 281 Edgeley ND 584339503 Mark Kinzler General Manager 7014932281 2024-07-11 1 Mark Kinzler 999009999 1 Lisa Chaffee CPA P00193453 7012551091 2024-06-27 2 AAL1 IAL1 2023 2023-04-26 12:10:37Z Mark Kinzler 7296 Hwy 281 Edgeley ND 584339503 61076760 0 X www.dakotavalley.com X 2000 ND Deliver electric energy to rural members. 9 9 46 0 0 0 0 0 61376192 60207643 402466 869117 0 0 61778658 61076760 0 0 6738057 7235918 5562083 5624538 0 0 0 49478526 48216302 61778666 61076758 -8 2 161341737 174627296 86571630 94354954 74770107 80272342 X Dakota Valley Electric Cooperative will deliver dependable electric power and energy at fair and reasonable prices; Dakota Valley Electric Cooperative will deliver an extended range of convenient customer support services, complimentary to our core electric and energy business; and Dakota Valley Electric Cooperative will provide technical assistance, financial tools and human resources that foster community development. 0 0 The Organization delivers electric energy to its members in rural areas. During 2023 there was 4,197 members and 6,861 service locations in place.The system currently has 4,611.52 miles of line. 0 0 0 0 0 0 0 1 0 1 0 1 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 417 0 1 46 1 0 0 0 0 0 56741476 881598 0 0 0 X 9 9 1 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 0 X Mark Kinzler 7014932281 7296 Highway 281 Edgeley ND 584339503 X Connie Bitz Secretary 3.00 0.50 X X 26600 0 0 Arden Fuher President 8.00 0.50 X X 16800 0 0 Mike Hauschild Vice President 2.00 0.50 X X 11550 0 0 David Paulson Treasurer 4.50 0.50 X X 17500 0 0 Kim Rasmussen Director 4.00 0.50 X 13650 0 0 Neil Olerud Director 4.00 0.50 X 12250 0 0 Patricia Gehlhar Director 6.00 0.50 X 15750 0 0 Jeremy Nitschke Director 2.00 0.50 X 12600 0 0 Bruce Bosse Director 2.00 0.50 X 13650 0 0 Mark Kinzler General Manager 42.90 X 266582 0 94072 Kelly Wald Business Manager 41.90 X 157350 0 122148 Jon Coleman Edgeley Line Foreman 44.50 X 134044 0 17264 Brad Lunneborg Operations Manager 41.30 X 139320 0 32360 Brandon Giesler Manager of Engineering & IT 41.60 X 128463 0 49549 Trevor Intveld Wahpeton Line Foreman 42.30 X 121789 0 61830 Grant Baker Gackle Line Foreman 42.50 X 122099 0 48412 1209997 0 425635 23 0 1 0 K & H Electric PO Box 656 Linton ND 58552 Replace UG Cable 1304718 Superior BuildersSB Inc 712 7th Ave N Wahpeton ND 58075 New Building in Milnor 928600 Legacy Power Line PO Box 469 Wadena MN 56482 Repair OH Line 219830 3 Sale of Electricity 221000 56148073 56148073 Capital Credits 221000 4056454 4056454 3116 3116 60207643 842503 842503 26614 0 26614 26614 26614 61076760 60207643 0 869117 X 7235918 751686 3753868 804268 314716 2512644 3241090 Cost of Power 41579167 Distribution Expense 3257877 Administrative and Gene 1945246 Allocated Costs -5624538 1304816 61076758 6885641 6400956 4305904 6221630 1799668 1698064 4277505 5163045 699220 924038 138349694 35910472 94369295 102439222 1020359 1107679 47740251 50440184 143314 45054 100580 187424 161341737 174627296 6304117 7310468 5396244 5344723 1681 1701 73697854 80804656 1171734 893406 86571630 94354954 X 0 0 58724008 63205104 16046099 17067238 74770107 80272342 161341737 174627296 X 2 5502233 X 0 1 X 1 0 0 1 X 186713 186713 2597873 1333114 1264759 128343709 34577358 93766351 7221399 7221399 102439222 Economic Rural Development Loans 594427 C Nat'l Utilities Rural Coop Certificates & Notes 545996 C Long Term Savings Investments 4000000 C Federal Electric Rural Insurance Corporation 241572 C Community Development - Not Publicly Traded 4800 C Central Power Electric Cooperative, Inc. 44366974 C Basin Electric Cooperative 50 C NISC 98404 C RESCO 223448 C NRTC 14 C Patronage Capital Credits from Non-Profit Service Corps 278409 C CoBank Stock - not publicly traded 85094 C Other Membership 350 C Energy Resource Conservation Loans 646 C 50440184 Customer Deposits 585650 Economic Development Reserve 108900 Customer Energy Repayments 96067 Obligation Capital Lease 102789 893406 X 61164081 87321 87321 61076760 0 61076760 53840840 0 53840840 7235918 7235918 61076758 Part IV, Line 2b: The Cooperative collects funds from the members for the Operation Round Up Program for the Dakota Valley Electric Operation Round Up. These funds are recorded as a liability on the Cooperative financials until they are released to the Operation Round Up. The amount recorded in the financial statements at December 31, 2023 and December 31, 2022 was $1,701 and $1,681, respectively. Part X, Line 2: The Company evaluates its tax positions that have been taken or are expected to be taken on income tax returns to determine if an accrual is necessary for uncertain tax positions. As of December 31, 2023 and 2022, the unrecognized tax benefits accrual was zero. The Company will recognize future accrued interest and penalties related to unrecognized tax benefits in income tax expense if incurred. Part XI, Line 2d - Other Adjustments: Earnings from Wholly Owned Subsidiary 87,321. Part XII, Line 4b - Other Adjustments: Patronage Capital Credits Allocated During Current Year 7,235,918. X X 0 0 0 Mark Kinzler General Manager 257543 0 150 0 8889 0 64860 0 33402 0 364844 0 0 0 Kelly Wald Business Manager 154981 0 150 0 2219 0 91562 0 33307 0 282219 0 0 0 Trevor Intveld Wahpeton Line Foreman 121079 0 150 0 560 0 40117 0 23798 0 185704 0 0 0 Brandon Giesler Manager of Engineering & IT 127849 0 150 0 464 0 26345 0 25556 0 180364 0 0 0 Brad Lunneborg Operations Manager 136257 0 150 0 2913 0 4197 0 30579 0 174096 0 0 0 Grant Baker Gackle Line Foreman 121598 0 150 0 351 0 18767 0 31734 0 172600 0 0 0 Jon Coleman Edgeley Line Foreman 132356 0 150 0 1538 0 3486 0 15863 0 153393 0 0 0 Form 990, Schedule J, Part II, Column C: Compensation of Officers, Directors, Key Employees, Highest Compensated Employees: Included in other deferred compensation is the estimated current year increase in the actuarial value of the defined benefit plan. These amounts do not represent any current year contributions to the plan. They are estimates of the increase in the actuarial value of the plans received from the NRECA. The current year expense and the increase in actuarial value for each employee are reflected in the Schedule O statement for Form 990, Part VII, Column f. Form 990, Part VI, Section A, line 2 All board members and officers have a business relationship with each other as each board member and officer also served on the board of Dakota Valley Services Corporation, the wholly owned subsidiary. Form 990, Part VI, Section A, line 6 There is only one class of members. They all have the same rights, which entitles them to one vote. Form 990, Part VI, Section A, line 7a Members elect the Board of Directors. There are nine separate districts, and each district can vote in one person to the Board. The director must live in the district in which he/she is serving. Form 990, Part VI, Section A, line 7b There are several major decisions that require member approval. They include decisions to change the bylaws, elect directors, decisions to merge or consolidate, and the decision to sell, lease, transfer or otherwise dispose of the physical plant in excess of 5% of the Cooperative's value. Form 990, Part VI, Section A, line 8b The Cooperative does not have any committees with the authority to act on behalf of the full Board of Directors. Form 990, Part VI, Section B, line 11b Copies of the Form 990 will be provided to the board members at a Board meeting. The 990 will be reviewed and approved for filing at the board meeting. Form 990, Part VI, Section B, line 12c The employee conflict of interest policy is administered and enforced by the Manager. The Manager would restrict employee involvement in any Cooperative activity for which the employee has a conflict of interest. Directors are covered by the Board conflict of interest policy; the Chairman or Vice-Chairman reviews the responses in order to determine whether issues need to be addressed by the full Board. The Board will determine restrictions on a case by case basis. Form 990, Part VI, Section B, line 15a The governing board reviews and approves the General Manager's compensation using a state wide compensation survey. The process is documented in the board minutes. The Business Manager's compensation is reviewed by management using comparability data as well. Form 990, Part VI, Section C, line 19 The bylaws and articles of incorporation are mailed out to new members. Any changes that are made to the bylaws are mailed to members prior to approval by the members. Year end annual financial statements are provided to all members. The conflict of interest policy, articles of incorporation and bylaws can also be found on Dakota Valley Electric Cooperative's website. Form 990, Part VII, Section A, Column (F): Compensation of Officers: Included in Part VII, Section A, Column "F", estimated amount of other compensation is the estimated annual increase in the actuarial value of the defined benefit plan. For the following individuals listed, the estimated increase is: Mark Kinzler: $56,902 Kelly Wald: $86,708 Grant Baker: $15,284 Brandon Giesler: $22,319 Trevor Intveld: $36,638 This amount is an estimate in the increase of the value of the plan and is not current year expenses of the Cooperative. Current year contributions into the defined benefit plan by Dakota Valley Electric Cooperative were: Mark Kinzler: $63,483 Kelly Wald: $44,400 Grant Baker: $32,006 Brandon Giesler: $32,403 Trevor Intveld: $32,006 Form 990, Part IX, Statement of Functional Expenses, Line 24d: The labor, pension, and payroll taxes reported on lines 5-10 are already included in distribution expense, administrative & general expense and customer expense. Therefore, these amounts are being subtracted out as an other deduction on line 24d in the amount of $(5,624,538). Form 990, Part IX, Statement of Functional Expenses, Line 4: Benefits Paid to Members: The Cooperative has interpreted the instructions to Part IX, Line 4, to mean patronage capital allocated for the year, rather than patronage capital retired. This is consistent with the Bylaws of the Cooperative. Form 990, Part XI, line 9: Retirement of Capital Credits -1,821,007. Patronage Capital Credits Allocated During Current Year 7,235,919. Earnings from Wholly Owned Subsidiary 87,321. Dakota Valley Electric Operation Round Up Inc 14051 Highway 13 Milnor ND 58060 753002458 Operation Round Up ND 501(c)(3) Line 7 Dakota Valley Electric Cooperative Inc 1 Dakota Valley Services Corporation 7296 Highway 281 Edgeley ND 58433 450414071 Electrical and Plumbing Services ND Dakota Valley Electric Cooperative Inc C 272571 1242988 1.00000 1 0 0 0 0 0 0 0 1 0 0 0 0 0 1 1 0 1 0 0 Dakota Valley Services Corporation O 415827 General Ledger Dakota Valley Services Corporation Q 856323 General Ledger Dakota Valley Services Corporation H 54315 General Ledger