2025-11-17T08:51:30-06:00 2024-12-31 750882037 BOLINGER SEGARS GILBERT AND MOSS LLP 8215 NASHVILLE AVENUE LUBBOCK TX 79423 990 2024-01-01 740498072 BANDERA ELECTRIC COOPERATIVE INC BAND 8662263372 PO BOX 667 BANDERA TX 78003 STEPHANIE PANKRATZ CFO 8662263372 2025-11-14 1 0 WILLIAM M MILLER P00439459 8067473806 2025-11-14 X 2024 2025-03-06 01:10:19Z WILLIAM HETHERINGTON PO BOX 667 BANDERA TX 78003 114562237 0 X WWW.BANDERAELECTRIC.COM X 1938 TX TO PROVIDE ELECTRIC, BROADBAND INTERNET AND OTHER RELATED GOODS AND SERVICES TO OUR MEMBERS. 9 9 168 0 2168833 37401 0 0 109710104 113666293 102975 92574 615646 607771 110428725 114366638 93030 101968 7700934 11934781 14727925 14707738 0 0 0 87612357 87529885 110134246 114274372 294479 92266 336575781 357726185 231000694 241976604 105575087 115749581 LIGHTING THE GRID TO EMPOWER OUR MEMBERS. 0 0 ELECTRIC DIVISION:PROVIDING ELECTRIC ENERGY TO OUR MEMBERS AT COST ON A COOPERATIVE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL. THERE WERE 42,023 ACTIVE SERVICES AT YEAR END. FIBER DIVISION:PROVIDING FIBER OPTIC BROADBAND INTERNET SERVICES TO MEMBERS ON A PATRONAGE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL. THERE WERE 13,617 BROADBAND SUBSCRIBERS AT YEAR END. ENERGY SERVICES DIVISION:PROVIDING SOLAR ENERGY AND ENERGY MANAGEMENT SOLUTIONS TO MEMBERS ON A PATRONAGE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL WHEN CUMULATIVE NET MARGINS FROM THESE SERVICES EXCEEDS CUMULATIVE LOSSES. THERE WERE 870 SUBSCRIBERS AT YEAR END. 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 0 0 0 1 1 0 0 1 101 0 168 1 1 1 0 0 0 0 114695002 10386134 0 0 0 X 9 9 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 1 0 X STEPHANIE PANKRATZ CFO 8662263372 PO BOX 667 BANDERA TX 78003 X ANNEGRETH NIEMANN DIRECTOR 12.50 X 34725 0 0 CHRIS BLAKEMORE DIRECTOR 6.90 X 35500 0 0 JEFFERY SLOCUM DIRECTOR 6.00 X 28500 0 0 JEREMY DILLER VICE CHAIRMAN 6.80 X X 34000 0 0 KURT SOLIS SECRETARY/TREASURER 5.50 X X 31100 0 0 FRANCES LAUE DIRECTOR 6.30 X 30000 0 0 MICHAEL EDWARDS CHAIRMAN 4.80 X X 31700 0 0 RICHARD EARNEST DIRECTOR 5.40 X 28000 0 0 ROBERT AGUIRRE DIRECTOR 6.00 X 31000 0 0 WILLIAM HETHERINGTON CHIEF EXECUTIVE OFFICER/GM 50.00 X 817452 0 148084 STEPHANIE PANKRATZ CHIEF FINANCIAL OFFICER 45.00 X 224698 0 30550 SHANE SCHMIDT CHIEF OPERATIONS OFFICER 52.00 X 343468 0 77783 JOHN PADALINO GENERAL COUNSEL/CHIEF ADMIN OFFICER 60.00 X 366292 0 80012 JOHN RUSH DIRECTOR OF ELECTRIC OPERATIONS 50.00 X 218967 0 78541 THILO JANSSEN DIRECTOR OF ENGINEERING 52.00 X 193999 0 63534 ALLEN MARSHALL DIRECTOR OF BROADBAND OPERATIONS 50.00 X 179185 0 55436 MICHAEL SHULTS NETWORK OPERATIONS MANAGER 46.00 X 163624 0 44368 JOHNNY OLIBAS DIRECTOR OF INFORMATION TECHNOLOGY 40.00 X 161125 0 71504 MARK BUSBY T&D OPERATIONS MANAGER 50.00 X 154676 0 125285 JOHN HERNANDEZ LINE FOREMAN 51.00 X 163762 0 66334 WILLIAM DOWNUM LINE FOREMAN 48.00 X 153184 0 41802 GARRETT CLARK LINE FOREMAN 49.00 X 151554 0 48146 BILLY SIMPSON MANAGER OF PRODUCTS & SERV 50.00 X 148862 0 52039 JOSEPH SAUCE INFORMATION TECHNOLOGY MANAGER 45.00 X 143810 0 26131 3869183 0 1009549 47 0 1 0 BURNS & MCDONNELL ENGINEERING CO INC 9400 WARD PARKWAY KANSAS CITY MO 64114 ENGINEERING SERVICES 8094377 DAS UNDERGROUND UTILITIES LLC PO BOX 2391 BOERNE TX 78006 UNDERGROUND CONSTRUCTION 3168961 PANNELL CONTRACTING LLC PO BOX 2107 LEAKEY TX 78873 RIGHT OF WAY CLEARING 1849377 JAMES POWER LINE 43 SHOOTING CLUB ROAD BOERNE TX 78006 POWER LINE CONSTRUCTION 1531448 HAUER BROTHERS AC & HEATING LLC 6150 STATE HWY 16 S PIPE CREEK TX 78063 AIR CONDITIONER/HEATING 1292737 28 X SALES OF ELECTRICITY 221000 84763633 84763633 SALES OF FIBER INTERNET 221000 12806433 11173947 1632486 TRANSMISSION LEASE 221000 6650064 6650064 ENERGY SERVICES 221000 6603543 6603312 231 PATRONAGE DIVIDENDS 221000 1148773 1148773 1693847 1157731 536116 113666293 128874 128874 6000 0 6000 6000 6000 36300 -36300 -36300 -36300 335730 159299 176431 176431 POLE ATTACHMENT INCOME 221000 425340 425340 425340 114366638 111643591 2168833 554214 X 101968 11934781 3883108 7890014 1022542 1284215 627859 7854026 11443461 PURCHASED POWER 46420029 ADMIN & GENERAL EXPENSE 7659485 ENERGY SERVICES 6478264 DISTRIBUTION EXPENSE 5259980 2414640 114274372 642834 539175 5925283 5440789 8832150 13225540 6152992 5718240 8698256 5359842 426856555 110969384 294742189 315887171 7822537 8627735 3759540 2927693 336575781 357726185 8379387 10143543 32046 74278 203935700 207757498 18653561 24001285 231000694 241976604 X 718965 735145 0 0 104856122 115014436 105575087 115749581 336575781 357726185 X 92266 10082228 X X 0 1 X 1 1 1 0 1 X 3270208 3270208 15461724 4092782 11368942 375974279 101210626 274763653 32150344 5665976 26484368 315887171 ACCUMULATED PROVISION FOR POST RETIREMENT BENEFITS 1952128 REFUNDABLE AID TO CONSTRUCTION 17137864 CONSUMER DEPOSITS - ELECTRIC AND SOLAR 734154 DEFERRED CREDITS - UNCLAIMED PATRONAGE CAPITAL 444099 DEFERRED CREDITS - LCRA OVER/UNDER PURCHASED 2239379 OTHER DEFERRED CREDITS 1493661 24001285 X 114366638 0 114366638 0 114366638 102339591 0 102339591 11934781 11934781 114274372 PART IV, LINE 2B: PURSUANT TO SECTION 74.3013 OF THE TEXAS PROPERTY CODE, THE COOPERATIVE HAS ESTABLISHED A RURAL SCHOLARSHIP FUND WITH AMOUNTS DESIGNATED UNCLAIMED UNDER STATE LAW. THE AMOUNTS DEPOSITED INTO THE RURAL SCHOLARSHIP FUND ARE APPROVED BY THE STATE OF TEXAS AND CAN ONLY BE USED FOR SCHOLARSHIPS TO ENABLE STUDENTS FROM RURAL AREAS TO ATTEND COLLEGE, TECHNICAL SCHOOL OR OTHER POST SECONDARY EDUCATION INSTITUTION. ANY AMOUNTS SO DEPOSITED INTO THE RURAL SCHOLARSHIP FUND ARE STILL PAYABLE TO THE PERSON TO WHOM THE ORIGINAL PAYMENT WAS MADE BUT UNCLAIMED. ALSO PURSUANT TO SECTION 74.3013 OF THE TEXAS PROPERTY CODE, THE COOPERATIVE HAS ESTABLISHED AN ECONOMIC DEVELOPMENT FUND WITH AMOUNTS DESIGNATED UNCLAIMED UNDER STATE LAW. THE AMOUNTS DEPOSITED INTO THE ECONOMIC DEVELOPMENT FUND ARE APPROVED BY THE STATE OF TEXAS AND CAN ONLY BE USED FOR THE STIMULATION AND IMPROVEMENT OF BUSINESS AND COMMERCIAL ACTIVITY FOR ECONOMIC DEVELOPMENT IN RURAL COMMUNITIES. ANY AMOUNTS SO DEPOSITED INTO THE ECONOMIC DEVELOPMENT FUND ARE STILL PAYABLE TO THE PERSON TO WHOM THE ORIGINAL PAYMENT WAS MADE BUT UNCLAIMED. ALSO PURSUANT TO SECTION 74.3013 OF THE TEXAS PROPERTY CODE, THE COOPERATIVE HAS ESTABLISHED AN ENERGY EFFICIENCY ASSISTANCE FUND WITH AMOUNTS DESIGNATED UNCLAIMED UNDER STATE LAW. THE AMOUNTS DEPOSITED INTO THE ENERGY EFFICIENCY ASSISTANCE FUND ARE APPROVED BY THE STATE OF TEXAS AND CAN ONLY BE USED TO ASSIST MEMBERS OF AN ELECTRIC COOPERATIVE IN REDUCING THEIR ENERGY CONSUMPTION AND ELECTRICITY BILLS. ANY AMOUNTS SO DEPOSITED INTO THE ENERGY EFFICIENCY ASSISTANCE FUND ARE STILL PAYABLE TO THE PERSON TO WHOM THE ORIGINAL PAYMENT WAS MADE BUT UNCLAIMED. PART X, LINE 2: THE COOPERATIVE HAS ADOPTED THE "UNCERTAIN TAX POSITIONS" PROVISIONS OF ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA. THE PRIMARY TAX POSITION OF THE COOPERATIVE IS ITS FILING STATUS AS A TAX EXEMPT ENTITY. THE COOPERATIVE DETERMINED THAT IT IS MORE LIKELY THAN NOT THAT ITS TAX POSITIONS WILL BE SUSTAINED UPON EXAMINATION BY THE INTERNAL REVENUE SERVICE, OR OTHER STATE TAXING AUTHORITY AND THAT ALL TAX BENEFITS ARE LIKELY TO BE REALIZED UPON SETTLEMENT WITH TAXING AUTHORITIES. PART XII, LINE 4B - OTHER ADJUSTMENTS: PATRONAGE CAPITAL ALLOCATED OR TO BE ALLOCATED 11,934,781. PART VIII: THE AMOUNT OF INVESTMENTS - PROGRAM RELATED ON FORM 990, PAGE 11, PART X, LINE 13 DOES NOT EQUAL OR EXCEED 5% OF THE TOTAL ASSETS ON FORM 990, PAGE 11, PART X, LINE 16, COLUMN B. CONSEQUENTLY, IN ACCORDANCE WITH IRS INSTRUCTIONS, SCHEDULE D, PART VIII HAS BEEN LEFT BLANK. PART IX: THE AMOUNT OF OTHER ASSETS ON FORM 990, PAGE 11, PART X, LINE 15 DOES NOT EQUAL OR EXCEED 5% OF THE TOTAL ASSETS ON FORM 990, PAGE 11, PART X, LINE 16, COLUMN B. CONSEQUENTLY, IN ACCORDANCE WITH IRS INSTRUCTIONS, SCHEDULE D, PART IX HAS BEEN LEFT BLANK. PART XII, LINE 4B: FOR THE AUDITED FINANCIAL STATEMENTS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID OR ALLOCATED TO THE MEMBERS IS REPORTED AS AN INCREASE IN EQUITY AND NOT AS AN EXPENSE. THEREFORE, NET INCOME PER THE AUDITED FINANCIAL STATEMENTS IS REPORTED GROSS OF THE AMOUNT OF PATRONAGE DIVIDENDS THAT ARE EITHER ALLOCATED OR TO BE ALLOCATED AT THE TIME THE AUDITED FINANCIAL STATEMENTS ARE PREPARED. HOWEVER, BECAUSE THE ALLOCATION OF PATRONAGE DIVIDENDS IS ONE ASPECT OF HOW THE COOPERATIVE FULFILLS ITS TAX EXEMPT PURPOSE OF OPERATING ON A COOPERATIVE BASIS, THE AMOUNT OF PATRONAGE DIVIDENDS EITHER ALLOCATED OR TO BE ALLOCATED TO THE MEMBERS IS REPORTED ON FORM 990, PART IX, LINE 4 AS "BENEFITS PAID TO MEMBERS". X X 1 1 X X 0 0 0 WILLIAM HETHERINGTON CHIEF EXECUTIVE OFFICER/GM 387456 0 406418 0 23578 0 121534 0 26550 0 965536 0 0 0 JOHN PADALINO GENERAL COUNSEL/CHIEF ADMIN OFFICER 310521 0 54063 0 1708 0 48922 0 31090 0 446304 0 0 0 SHANE SCHMIDT CHIEF OPERATIONS OFFICER 293336 0 48754 0 1378 0 45013 0 32770 0 421251 0 0 0 JOHN RUSH DIRECTOR OF ELECTRIC OPERATIONS 182453 0 30888 0 5626 0 51441 0 27100 0 297508 0 0 0 MARK BUSBY T&D OPERATIONS MANAGER 140563 0 11824 0 2289 0 91395 0 33890 0 279961 0 0 0 THILO JANSSEN DIRECTOR OF ENGINEERING 163452 0 29403 0 1144 0 37434 0 26100 0 257533 0 0 0 STEPHANIE PANKRATZ CHIEF FINANCIAL OFFICER 202980 0 20958 0 760 0 9302 0 21248 0 255248 0 0 0 ALLEN MARSHALL DIRECTOR OF BROADBAND OPERATIONS 164311 0 14145 0 729 0 27901 0 27535 0 234621 0 0 0 JOHNNY OLIBAS DIRECTOR OF INFORMATION TECHNOLOGY 103227 0 35625 0 22273 0 52357 0 19147 0 232629 0 0 0 JOHN HERNANDEZ LINE FOREMAN 154502 0 7605 0 1655 0 39784 0 26550 0 230096 0 0 0 MICHAEL SHULTS NETWORK OPERATIONS MANAGER 148831 0 14145 0 648 0 19308 0 25060 0 207992 0 0 0 BILLY SIMPSON MANAGER OF PRODUCTS & SERV 136351 0 11983 0 528 0 20949 0 31090 0 200901 0 0 0 GARRETT CLARK LINE FOREMAN 144815 0 6159 0 580 0 17056 0 31090 0 199700 0 0 0 WILLIAM DOWNUM LINE FOREMAN 146625 0 6087 0 472 0 17332 0 24470 0 194986 0 0 0 JOSEPH SAUCE INFORMATION TECHNOLOGY MANAGER 137615 0 5454 0 741 0 12069 0 14062 0 169941 0 0 0 PART I, LINE 1A HOUSING ALLOWANCE - ONE INDIVIDUAL REPORTED ON FORM 990 PART VII, JOHNNY OLIBAS, RECEIVED THIS BENEFIT DURING THE YEAR. ADDITIONALLY, THE VALUE OF THE BENEFIT WAS INCLUDED IN THE RESPECTIVE REPORTABLE COMPENSATION. THE CEO PROVIDED AN OFFER LETTER OF EMPLOYMENT AND APPROVED THE HOUSING ALLOWANCE AS A PART OF THE COMPENSATION PACKAGE. GYM/FITNESS REIMBURSEMENT - TWO INDIVIDUALS REPORTED ON FORM 990 PART VII, JOHNNY OLIBAS AND THILO JANSSEN, RECEIVED THIS BENEFIT DURING THE YEAR. PART II, COLUMN C: INCLUDED IN THIS AMOUNT IS THE INCREASE IN ACTUARIAL VALUE OF BENEFITS PAYABLE UNDER A DEFINED BENEFIT RETIREMENT PLAN. THE CONTRIBUTION RATE FOR PARTICIPANTS IN THE NRECA R&S DEFINED BENEFIT PENSION PLAN ARE THE SAME FOR ALL INDIVIDUALS IN THIS MULTI-EMPLOYER PLAN. THE CHANGE IN ACTUARIAL VALUE FOR EACH PARTICIPANT, HOWEVER, VARIES WITH AGE, YEARS OF SERVICE AND THE CURRENT INTEREST RATE ENVIRONMENT. IN OTHER WORDS, THE OLDER A PLAN PARTICIPANT IS, THE GREATER THE INCREASE IN THAT INDIVIDUAL'S CHANGE IN ACTUARIAL VALUE, ALL OTHER THINGS BEING EQUAL. BECAUSE THIS RELATES TO A MULTI-EMPLOYER PLAN, CASH CONTRIBUTIONS TO THE PLAN IN LIEU OF THE ACTUARIAL INCREASE ARE EXPENSED IN THE FINANCIAL STATEMENTS. WILLIAM HETHERINGTON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 100,834 EMPLOYER CONTRIBUTION TO 401(K) PLAN 20,700 TOTAL REPORTED IN COLUMN C $ 121,534 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (100,834) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 58,409 EXPENSE TO THE COOPERATIVE $ 79,109 JOHN PADALINO: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 29,892 EMPLOYER CONTRIBUTION TO 401(K) PLAN 19,030 TOTAL REPORTED IN COLUMN C $ 48,922 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (29,892) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 47,190 EXPENSE TO THE COOPERATIVE $ 66,220 SHANE SCHMIDT: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 35,663 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,350 TOTAL REPORTED IN COLUMN C $ 45,013 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (35,663) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 44,022 EXPENSE TO THE COOPERATIVE $ 53,372 JOHN RUSH: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 40,041 EMPLOYER CONTRIBUTION TO 401(K) PLAN 11,400 TOTAL REPORTED IN COLUMN C $ 51,441 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (40,041) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 27,890 EXPENSE TO THE COOPERATIVE $ 39,290 MARK BUSBY: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 82,394 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,001 TOTAL REPORTED IN COLUMN C $ 91,395 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (82,394) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 21,400 EXPENSE TO THE COOPERATIVE $ 30,401 THILO JANSSEN: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 27,234 EMPLOYER CONTRIBUTION TO 401(K) PLAN 10,200 TOTAL REPORTED IN COLUMN C $ 37,434 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (27,234) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 26,952 EXPENSE TO THE COOPERATIVE $ 37,152 STEPHANIE PANKRATZ: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 9,302 EMPLOYER CONTRIBUTION TO 401(K) PLAN (0) TOTAL REPORTED IN COLUMN C $ 9,302 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (0) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 20,655 EXPENSE TO THE COOPERATIVE $ 20,655 ALLEN MARSHALL: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 17,701 EMPLOYER CONTRIBUTION TO 401(K) PLAN 10,200 TOTAL REPORTED IN COLUMN C $ 27,901 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (17,701) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 25,530 EXPENSE TO THE COOPERATIVE $ 35,730 JOHNNY OLIBAS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 45,114 EMPLOYER CONTRIBUTION TO 401(K) PLAN 7,243 TOTAL REPORTED IN COLUMN C $ 52,357 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (45,114) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 21,445 EXPENSE TO THE COOPERATIVE $ 28,688 JOHN HERNANDEZ: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 30,094 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,690 TOTAL REPORTED IN COLUMN C $ 39,784 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (30,094) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 16,318 EXPENSE TO THE COOPERATIVE $ 26,008 MICHAEL SHULTS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 9,989 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,319 TOTAL REPORTED IN COLUMN C $ 19,308 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (9,989) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 25,530 EXPENSE TO THE COOPERATIVE $ 34,849 BILLY SIMPSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 16,659 EMPLOYER CONTRIBUTION TO 401(K) PLAN 4,290 TOTAL REPORTED IN COLUMN C $ 20,949 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (16,659) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 24,210 EXPENSE TO THE COOPERATIVE $ 28,500 GARRETT CLARK: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 7,968 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,008 TOTAL REPORTED IN COLUMN C $ 17,056 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (7,968) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 16,206 EXPENSE TO THE COOPERATIVE $ 25,294 WILLIAM DOWNUM: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 8,190 EMPLOYER CONTRIBUTION TO 401(K) PLAN 9,142 TOTAL REPORTED IN COLUMN C $ 17,332 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (8,190) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 16,206 EXPENSE TO THE COOPERATIVE $ 25,348 JOSEPH SAUCE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 11,125 EMPLOYER CONTRIBUTION TO 401(K) PLAN 944 TOTAL REPORTED IN COLUMN C $ 12,069 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (11,125) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 20,248 EXPENSE TO THE COOPERATIVE $ 21,192 ANDREW EDWARDS FAMILY RELATIONSHIP - OFFICER (M. EDWARDS) 50721 EMPLOYMENT 0 FORM 990, PART VI, SECTION A, LINE 6 THE COOPERATIVE WAS FORMED BY THE MEMBERS TO PROVIDE ELECTRIC SERVICE AT COST ON A COOPERATIVE BASIS. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF THE COOPERATIVE VOTE ON THE BOARD OF DIRECTORS. ELECTIONS ARE DONE ON A ONE MEMBER ONE VOTE BASIS. FORM 990, PART VI, SECTION A, LINE 7B THE FOLLOWING ACTS REQUIRE APPROVAL OF THE MEMBERS OF THE COOPERATIVE: 1. DISSOLUTION/LIQUIDATION OF THE COOPERATIVE 2. MERGER OR CONSOLIDATION OF THE COOPERATIVE WITH ANOTHER ORGANIZATION 3. DISPOSAL OF A SUBSTANTIAL PORTION OF THE COOPERATIVE'S ASSETS 4. AMENDMENT TO THE ARTICLES OF INCORPORATION FORM 990, PART VI, SECTION A, LINE 8B THE COOPERATIVE HAS NO COMMITTEES WITH AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY. THEREFORE, AND PURSUANT TO FORM 990 INSTRUCTIONS, THE QUESTION HAS BEEN ANSWERED "NO". FORM 990, PART VI, SECTION B, LINE 11B MANAGEMENT PRESENTED A COPY OF THE FORM 990 TO THE BOARD FOR DISCUSSION AND REVIEW PRIOR TO FILING. THE DISCUSSION AND REVIEW WAS PERFORMED AT THE BOARD MEETING IMMEDIATELY BEFORE FILING THE FORM 990. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY, THE COOPERATIVE REQUIRES ALL DIRECTORS, OFFICERS, AND MANAGEMENT TO CERTIFY, VIA A SIGNED CERTIFICATE OF COMPLIANCE, THAT THEY HAVE COMPLIED WITH THE CODE OF ETHICS AND ARE NOT AWARE OF ANY UNREPORTED VIOLATIONS OF THE POLICY THAT MAY HAVE OCCURRED. THESE ACTIONS ARE IN COMPLIANCE WITH THE COOPERATIVE'S CODE OF ETHICS POLICY, C05-4, PART II, #6. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS UTILIZE A COMPENSATION SURVEY WHEN DETERMINING THE COMPENSATION OF THE CEO. THE SURVEY SHOWS COMPARATIVE SALARIES FOR CEOS/ GENERAL MANAGERS FROM SIMILARLY SITUATED COOPERATIVES LOCATED IN TEXAS AND THE NATION. THE CEO UTILIZES A COMPENSATION SURVEY WHEN DETERMINING THE COMPENSATION OF THE COOPERATIVE'S OTHER EMPLOYEES MEETING THE DEFINITION OF OFFICER AND KEY EMPLOYEES, IF ANY. THE SURVEY INCLUDES SALARIES FROM SIMILARLY SITUATED COOPERATIVES LOCATED IN TEXAS AND THE NATION. FORM 990, PART VI, SECTION C, LINE 19 THE COOPERATIVE PROVIDES A SUMMARIZED COPY OF THE AUDITED FINANCIAL STATEMENTS TO THE MEMBERS OF THE COOPERATIVE AT THE ANNUAL MEETING. THE COOPERATIVE WILL PROVIDE A COMPLETE COPY OF THE AUDITED FINANCIAL STATEMENTS, CONFLICT OF INTEREST POLICY, OR GOVERNING DOCUMENTS TO ANY MEMBER WHO REQUESTS A COPY OF ANY SUCH DOCUMENT. THE BYLAWS AND ARTICLES OF INCORPORATION CAN ALSO BE FOUND ON THE COOPERATIVE'S WEBSITE. FORM 990, PART VII, COLUMN F: IN ORDER TO PROVIDE RETIREMENT BENEFITS TO ITS EMPLOYEES, THE COOPERATIVE HAS ESTABLISHED A DEFINED CONTRIBUTION PLAN UNDER SECTION 401(K) OF THE INTERNAL REVENUE CODE. EMPLOYER CONTRIBUTIONS TO THE PLAN ARE MADE PURSUANT TO THE PLAN DOCUMENT. ADDITIONALLY, THE COOPERATIVE PARTICIPATES IN A MULTI-EMPLOYER DEFINED BENEFIT PLAN. CONTRIBUTIONS TO THIS PLAN ARE BASED ON THE FULL FUNDING LIMITATION OF SUCH PLAN. EMPLOYER CONTRIBUTIONS FOR BOTH PLANS ARE AVAILABLE TO PARTICIPATING EMPLOYEES, INCLUDING OFFICERS, MEETING THE ELIGIBILITY REQUIREMENTS OF SUCH PLANS. THE COOPERATIVE ALSO PROVIDES HEALTH, DENTAL, VISION AND LIFE INSURANCE TO ALL EMPLOYEES, INCLUDING OFFICERS, THROUGH A QUALIFIED PLAN. THE AMOUNTS REPORTED ON PART VII, COLUMN (F) FOR THE OFFICERS, KEY EMPLOYEES, AND HIGHLY COMPENSATED EMPLOYEES IS COMPRISED OF ACTUARIAL INCREASE IN THE DEFINED BENEFIT PLAN, THE TOTAL AMOUNT CONTRIBUTED BY THE COOPERATIVE TO THE DEFINED CONTRIBUTION PLAN, AND INSURANCE PAID ON BEHALF OF AND FOR THEIR BENEFIT. IN ADDITION TO THE ABOVE PENSION PLANS, THE COOPERATIVE ALSO PROVIDES POST-RETIREMENT HEALTH INSURANCE BENEFITS THROUGH AN UNFUNDED WELFARE BENEFIT PLAN. THE VALUE OF THESE BENEFITS HAS NOT BEEN ESTIMATED. FORM 990, PART VIII, LINE 2: PATRONAGE DIVIDENDS RESULT FROM THE PAYMENT OF INTEREST FROM COOPERATIVE BANKS AND THE PURCHASE OF SUPPLIES AND SERVICES FROM OTHER COOPERATIVE ORGANIZATIONS. THE EXPENSES ASSOCIATED WITH PURCHASES FROM AND PAYMENTS TO SUCH COOPERATIVE ORGANIZATIONS ARE A DIRECT COMPONENT OF COST OF THE ELECTRIC SERVICE PROVIDED BY THE COOPERATIVE TO ITS MEMBERS. FORM 990, PART IX: ALTHOUGH THE COOPERATIVE IS NO LONGER AN RUS BORROWER, ITS ACCOUNTING RECORDS ARE MAINTAINED IN ACCORDANCE WITH THE RUS UNIFORM SYSTEM OF ACCOUNTS (USOA) PRESCRIBED FOR RUS ELECTRIC BORROWERS. THE USOA DOES NOT RECORD EXPENSES IN THE GENERAL EXPENSE CATEGORIES PROVIDED ON PART IX LINES 1-23. THE COOPERATIVE SEPARATELY REPORTS SALARIES AND WAGES, EMPLOYEE BENEFITS AND PAYROLL TAXES THAT ARE ALLOCATED IN ACCORDANCE WITH THEIR ACCOUNTING SYSTEM, BUT OTHER EXPENSES THAT ARE DESCRIBED IN LINES 1-23 ARE REPORTED ON LINE 24 UNDER THE EXPENSE CATEGORIES REQUIRED BY THE USOA. FORM 990, PART IX, LINES 5-7: SALARIES AND WAGES ARE ALLOCATED TO ASSET, LIABILITY, AND EXPENSE ACCOUNTS BASED ON THE ACCOUNTING SYSTEM DESCRIBED ABOVE. THE FOLLOWING SCHEDULE RECONCILES AMOUNTS REPORTED ON LINES 5-7 TO TOTAL WAGES ACCRUED AND/OR PAID: TOTAL PER LINES 5-7 $11,773,122 LESS: DIRECTOR FEES REPORTED ON FORMS 1099-NEC (284,525) LESS: EMPLOYEE OFFICER AND KEY EMPLOYEE BENEFITS INCLUDED IN LINE 5 (775,097) PLUS: SALARIES AND BENEFITS ALLOCATED TO PURCHASED POWER 220,511 PLUS: SALARIES AND WAGES ALLOCATED TO NONOPERATING MARGIN 14,442 PLUS: SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 3,403,731 PLUS: SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING AND OTHER ACCOUNTS 942,063 TOTAL WAGES ACCRUED AND/OR PAID $15,294,247 FORM 990, PART IX, LINE 24: ADMINISTRATIVE & GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL SALARIES, BENEFITS, AND OTHER $ 5,394,697 OFFICE SUPPLIES 769,666 OUTSIDE SERVICES 1,483,284 INSURANCE 388,101 DIRECTORS 662,015 ADVERTISING 472,264 DUES TO ASSOCIATED ORGANIZATIONS 406,367 ANNUAL MEETING 128,799 MISCELLANEOUS GENERAL 2,079,146 REGULATORY COMMISSION 150,714 MAINTENANCE OF GENERAL PLANT 2,221,452 TOTAL ADMIN & GENERAL EXP PER FINANCIAL STATEMENTS $14,156,505 ADD: RECLASS OF DONATIONS FROM PART IX, LINE 1 5,136 LESS: RECLASS OF DIRECTOR FEES TO PART IX, LINE 5 (284,525) LESS: RECLASS OF LABOR TO PART IX, LINES 5 & 7 (4,647,544) LESS: RECLASS OF BENEFITS TO PART IX, LINES 8-10 (1,570,087) TOTAL ADMIN & GENERAL EXPENSE PER FORM 990, PART IX $ 7,659,485 FORM 990, PART IX, LINE 24E: OTHER EXPENSES IS COMPRISED OF THE FOLLOWING: CUSTOMER ACCOUNTS $ 465,798 CUSTOMER SERVICE & INFORMATION 673,978 FIBER 507,002 TRANSMISSION 660,085 OTHER DEDUCTIONS 107,777 TOTAL OTHER EXPENSES PER FORM 990, PART IX $ 2,414,640 FORM 990, PART IX, LINE 4: PURSUANT TO THE FORM 990 INSTRUCTIONS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID TO THE MEMBERS (HEREINAFTER REFERRED TO AS "PATRONS") SHOULD BE REPORTED ON PART IX, LINE 4. THE PHRASE "PATRONAGE DIVIDENDS PAID" REFERS TO THE PROCESS, SUBSEQUENT TO YEAR-END, BY WHICH THE COOPERATIVE ALLOCATES PATRONAGE CAPITAL TO AND, THEREFORE, OPERATES AT COST WITH ITS PATRONS. THE COOPERATIVE'S TAX EXEMPT PURPOSE IS TO PROVIDE ELECTRICITY, BROADBAND INTERNET AND OTHER RELATED GOODS AND SERVICES TO ITS PATRONS AND TO DO SO ON A COOPERATIVE BASIS. TAX LAW DEFINES "OPERATING ON A COOPERATIVE BASIS" AS SUBORDINATION OF CAPITAL, DEMOCRATIC CONTROL, AND OPERATION AT COST. THE COOPERATIVE OPERATES AT COST THROUGH THE ALLOCATION OF TRUE PATRONAGE DIVIDENDS (ALSO REFERRED TO AS ALLOCATIONS OF PATRONAGE CAPITAL) TO ITS PATRONS. PATRONAGE DIVIDENDS ARE CONSIDERED PAID IF THE ALLOCATION IS MADE (1) PURSUANT TO A PRE-EXISTING OBLIGATION, (2) FROM THE MARGINS PRODUCED FROM THE TRANSACTIONS DONE WITH OR FOR PATRONS, AND (3) IN A FAIR AND EQUITABLE MANNER ON THE BASIS OF PATRONAGE (I.E. PURCHASES). ADDITIONALLY, THE ALLOCATION OF PATRONAGE DIVIDENDS SHOULD BE MADE WITHIN A REASONABLE TIME PERIOD AFTER THE CLOSE OF THE COOPERATIVE'S CALENDAR TAX YEAR-END OF DECEMBER 31. EACH ONE OF THESE REQUIREMENTS FOR A TRUE PATRONAGE DIVIDEND IS PROVIDED FOR IN THE NON-PROFIT OPERATION ARTICLE OF THE COOPERATIVE'S BYLAWS. THE AMOUNT REPORTED ON PART IX, LINE 4 REPRESENTS THE AMOUNT OF PATRONAGE CAPITAL THAT IS EITHER ALLOCATED OR TO BE ALLOCATED TO THE PATRONS RESULTING FROM THEIR PURCHASE OF ELECTRICITY AND BROADBAND INTERNET GOODS AND SERVICES FROM THE COOPERATIVE FOR THE 2024 CALENDAR YEAR. BECAUSE PATRONAGE DIVIDENDS ARE THE PROCESS BY WHICH THE COOPERATIVE OPERATES AT COST WITH ITS PATRONS AND THEREBY A KEY COMPONENT TO ACCOMPLISHING ITS EXEMPT PURPOSE, THE COOPERATIVE HAS REPORTED SUCH AMOUNTS AS AN EXPENSE FOR FORM 990 REPORTING. PATRONAGE DIVIDENDS ARE NOT AN EXPENSE FOR FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, HOWEVER. FORM 990, PART IX, LINE 1: ALL GRANTS, SPONSORSHIPS, AND/OR DONATIONS ARE MADE TO NON-PROFIT AND CIVIC ORGANIZATIONS THAT ARE LOCATED IN THE COOPERATIVE'S SERVICE AREA, AND ARE INTENDED TO IMPROVE THE COMMUNITIES IN WHICH OUR MEMBERS RESIDE. EACH GRANT, SPONSORSHIP, AND/OR DONATION MADE DURING THE YEAR WAS BELOW THE REPORTING THRESHOLD OF SCHEDULE I, PART II. FORM 990, PART XI, LINE 9: PATRONAGE CAPITAL ALLOCATED OR TO BE ALLOCATED 11,934,781. PATRONAGE CAPITAL RETIRED - TOTAL -1,945,651. PATRONAGE CAPITAL RETIRED - DISCOUNT 404,048. PATRONAGE CAPITAL RETIRED - RETAINED -42. NET CHANGE IN MEMBERSHIPS 16,180. OCI- PENSIONS AND BENEFITS -327,088. FORM 990, PART XII, LINE 2C: THE BOARD OF DIRECTORS HAVE ASSIGNED MEMBERS TO AN AUDIT COMMITTEE TO OVERSEE THE FINANCIAL STATEMENT AUDIT AND SELECT THE INDEPENDENT FINANCIAL STATEMENT AUDITOR. PROCEDURAL CHANGES DID NOT OCCUR DURING THE YEAR. BANDERA ELECTRIC CHARITABLE FOUNDATION 3172 STATE HIGHWAY 16 N BANDERA TX 78003 473758376 OPERATION ROUND-UP TX 501(C)(3) LINE 10 BANDERA ELECTRIC COOPERATIVE INC 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 BANDERA ELECTRIC CHARITABLE FOUNDATION N N/A - LESS THAN $50,000 BANDERA ELECTRIC CHARITABLE FOUNDATION O N/A - LESS THAN $50,000