2025-11-17T09:35:10-06:00 2024-12-31 750882037 BOLINGER SEGARS GILBERT AND MOSS LLP 8215 NASHVILLE AVENUE LUBBOCK TX 79423 990 2024-01-01 752701263 TRINITY VALLEY ELECTRIC COOPERATIVE INC TRIN 9729322214 PO BOX 888 KAUFMAN TX 75142 ROBERT WHITE CFO 9729322214 2025-11-14 1 0 WILLIAM M MILLER P00439459 8067473806 2025-11-14 X 2024 2025-03-06 01:10:19Z JEFFREY L LANE PO BOX 888 KAUFMAN TX 75142 197804271 0 X WWW.TVEC.NET X 1997 TX TO PROVIDE QUALITY AND RELIABLE ELECTRIC SERVICE TO MEMBERS AT COST ON A COOPERATIVE BASIS. 7 7 217 0 0 0 0 0 199721070 196368075 210596 365071 1438127 994342 201369793 197727488 5242 6746 7632537 5860584 17729249 16828454 0 0 0 175185226 174567745 200552254 197263529 817539 463959 429806254 481165027 240157589 286767038 189648665 194397989 TRINITY VALLEY ELECTRIC COOPERATIVE, INC. IS COMMITTED TO DELIVER SAFE AND RELIABLE ELECTRIC POWER AT A COMPETITIVE PRICE. 0 0 PROVIDING ELECTRIC ENERGY TO OUR MEMBERS ON A COOPERATIVE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL. THERE WERE 88,305 ACTIVE SERVICES AT YEAR END. 0 0 0 0 0 0 0 1 0 1 0 1 0 1 1 1 0 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 0 0 1 127 0 217 1 0 0 0 0 0 192278375 10101596 0 0 0 X 7 7 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X ROBERT WHITE CFO 9729322214 1800 HWY 243 EAST KAUFMAN TX 75142 X HOWARD TILLISON CHAIRMAN 12.70 X X 12150 0 0 CAROLYN MINOR VICE CHAIRMAN 10.30 X X 11550 0 0 JO ANN HANSTROM SECRETARY 10.00 X X 10350 0 0 JEFF PRIEST DIRECTOR 9.50 X 11550 0 0 EDWARD REEVE DIRECTOR 8.60 X 10500 0 0 PAUL WEATHERFORD DIRECTOR 10.50 X 30283 0 0 JACK ENDRES DIRECTOR 9.00 X 11250 0 0 JEFFREY LANE CEO/GENERAL MANAGER 50.00 2.00 X 350867 0 175014 THOMAS WATSON COO/ASST. GENERAL MANAGER 50.00 X 264870 0 165749 ROBERT WHITE CFO 45.00 X 188516 0 48197 RODNEY WESLEY DIRECTOR OF ENGINEERING/OPS 50.00 X 198298 0 133950 DONNA WEAVER DIRECTOR OF CORP SERVICES 60.00 X 177640 0 85922 BOBBI BYFORD DIRECTOR OF CORP RELATIONS 60.00 X 170506 0 70584 TIMOTHY CRAIG MANAGER OF ENGINEERING 50.00 X 168802 0 57048 PHILLIP HARRISON MANAGER OF OPERATIONS 45.00 X 163790 0 72014 THOMAS DURDEN MANAGER OF OPERATIONS 50.00 X 166313 0 93153 GARY SHERRARD MANAGER OF SUB/TRANS 40.00 X 167068 0 101478 RAYMOND CHOYCE JOURNEYMAN 62.00 X 195940 0 51296 SCOTT STEWART CREW FOREMAN 54.00 X 180007 0 60838 BRYAN HICKS JOURNEYMAN 61.00 X 168039 0 43989 CHANCE FRANKS JOURNEYMAN 54.00 X 167787 0 51214 PAUL CAMACHO CREW FOREMAN 49.00 X 168662 0 55268 2994738 0 1265714 83 0 1 0 TEXAS STATE UTILITIES LLC 122 S MAIN FORT WORTH TX 76104 OVERHEAD/UNDERGROUND CONTRACTOR 7306213 SHELTON ENERGY SERVICES LLC 1439 CENTRE COURT STE 600 ALEXANDRIA LA 71301 OVERHEAD/UNDERGROUND CONTRACTOR 4097951 J&E LINE SERVICES LLC PO BOX 407 EDGEWOOD TX 75117 OVERHEAD CONTRACTOR 3972019 REI UTILITY SERVICES INC PO BOX 1070 ATHENS TX 75751 CONSTRUCTION MANAGEMENT AND JOINT USE AD 2656928 RAMIREZ TREE SERVICE INC PO BOX 1975 ATHENS TX 75751 RIGHT OF WAY CONTRACTOR 2543127 18 X SALES OF ELECTRICITY 221000 185945873 185945873 PATRONAGE DIVIDENDS 221000 7933589 7933589 SERVICE FEES 221000 1573917 1573917 TRANSMISSION WHEELING 211100 914696 914696 196368075 69841 69841 299768 4538 295230 295230 295230 70612 72245 -1633 -1633 POLE ATTACHMENT INCOME 221000 895454 895454 BOND SECURITIZATION P'SHIP INCOME 221000 100521 100521 995975 197727488 196661672 0 1065816 X 6746 5860584 3117412 8750218 1161942 3048699 750183 10261114 16653465 PURCHASED POWER 128099638 DISTRIBUTION EXPENSE 11764538 ADMIN & GENERAL EXPENSE 4837075 CUSTOMER ACCOUNTS 1941663 1010252 197263529 1359111 3114972 750031 750031 9319503 11487361 1154641 1085125 4679150 4163707 530352051 153064446 336746029 377287605 71469855 78664948 4327934 4611278 429806254 481165027 19839289 22518239 791228 1131900 171692027 219111922 47835045 44004977 240157589 286767038 X 695850 709760 0 0 188952815 193688229 189648665 194397989 429806254 481165027 X 463959 4285365 X X 0 1 X 1 0 0 1 X 7387253 7387253 19836808 4820426 15016382 492178305 148244020 343934285 10949685 10949685 377287605 PATRONAGE CAPITAL - TEC 5632008 C PATRONAGE CAPITAL - CFC 6455615 C PATRONAGE CAPITAL - RAYBURN 59441534 C PATRONAGE CAPITAL - SEDC 480297 C PATRONAGE CAPITAL - NRTC 61171 C PATRONAGE CAPITAL - NISC 100 C INVESTMENTS IN CTC - CFC 3012072 C OTHER INVEST ASSOC. ORGANIZATIONS 1100 C INVESTMENTS IN BOND SECURITIZATION PARTNERSHIP 3581051 C 78664948 ACCUMULATED PROVISION FOR PENSION & BENEFITS 23692480 CONSUMER DEPOSITS 3863087 ACCRUED OPERATING TAXES 100820 OTHER ACCRUED LIABILITIES 135278 DEFERRED CREDIT - NTMWD FUND 501523 DEFERRED CREDIT - WEST TX ICS FUND 250031 DEFERRED CREDIT - ADVANCE AID TO CONSTRUCTION 2545681 ACCRUED POWER COST - OVERCOLLECTED 12917034 CAPITAL CREDIT CLEARING -957 44004977 X 197727488 0 197727488 0 197727488 191402945 0 191402945 5860584 5860584 197263529 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 REPORTED TO 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 REPORTED TO 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 REPORTED TO 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 (IRS), 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 5,860,584. 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 ALLOCATED OR TO BE 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 X X 0 0 0 JEFFREY LANE CEO/GENERAL MANAGER 328127 0 2392 0 20348 0 136637 0 38377 0 525881 0 0 0 THOMAS WATSON COO/ASST. GENERAL MANAGER 243628 0 5235 0 16007 0 137286 0 28463 0 430619 0 0 0 RODNEY WESLEY DIRECTOR OF ENGINEERING/OPS 186457 0 392 0 11449 0 119695 0 14255 0 332248 0 0 0 GARY SHERRARD MANAGER OF SUB/TRANS 154935 0 1426 0 10707 0 87022 0 14456 0 268546 0 0 0 DONNA WEAVER DIRECTOR OF CORP SERVICES 171348 0 2426 0 3866 0 60887 0 25035 0 263562 0 0 0 THOMAS DURDEN MANAGER OF OPERATIONS 151422 0 2426 0 12465 0 67476 0 25677 0 259466 0 0 0 RAYMOND CHOYCE JOURNEYMAN 192641 0 1392 0 1907 0 29860 0 21436 0 247236 0 0 0 BOBBI BYFORD DIRECTOR OF CORP RELATIONS 159277 0 2426 0 8803 0 42292 0 28292 0 241090 0 0 0 SCOTT STEWART CREW FOREMAN 176259 0 2676 0 1072 0 24412 0 36426 0 240845 0 0 0 ROBERT WHITE CFO 185413 0 2392 0 711 0 12861 0 35336 0 236713 0 0 0 PHILLIP HARRISON MANAGER OF OPERATIONS 151992 0 2426 0 9372 0 35101 0 36913 0 235804 0 0 0 TIMOTHY CRAIG MANAGER OF ENGINEERING 158686 0 1426 0 8690 0 42679 0 14369 0 225850 0 0 0 PAUL CAMACHO CREW FOREMAN 165508 0 1711 0 1443 0 31169 0 24099 0 223930 0 0 0 CHANCE FRANKS JOURNEYMAN 164500 0 2426 0 861 0 16527 0 34687 0 219001 0 0 0 BRYAN HICKS JOURNEYMAN 164823 0 2426 0 790 0 9978 0 34011 0 212028 0 0 0 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. 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. JEFFREY LANE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 129,931 EMPLOYER CONTRIBUTION TO 401(K) PLAN 6,706 TOTAL REPORTED IN COLUMN C $ 136,637 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (129,931) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 66,418 EXPENSE TO THE COOPERATIVE $ 73,124 THOMAS WATSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 132,234 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,052 TOTAL REPORTED IN COLUMN C $ 137,286 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (132,234) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 49,606 EXPENSE TO THE COOPERATIVE $ 54,658 RODNEY WESLEY: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 115,895 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,800 TOTAL REPORTED IN COLUMN C $ 119,695 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (115,895) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 37,690 EXPENSE TO THE COOPERATIVE $ 41,490 GARY SHERRARD: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 83,915 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,107 TOTAL REPORTED IN COLUMN C $ 87,022 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (83,915) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 30,556 EXPENSE TO THE COOPERATIVE $ 33,663 DONNA WEAVER: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 57,437 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,450 TOTAL REPORTED IN COLUMN C $ 60,887 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (57,437) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 33,966 EXPENSE TO THE COOPERATIVE $ 37,416 THOMAS DURDEN: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 64,376 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,100 TOTAL REPORTED IN COLUMN C $ 67,476 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (64,376) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 30,225 EXPENSE TO THE COOPERATIVE $ 33,325 RAYMOND CHOYCE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 29,860 EMPLOYER CONTRIBUTION TO 401(K) PLAN -0- TOTAL REPORTED IN COLUMN C $ 29,860 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (29,860) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 21,509 EXPENSE TO THE COOPERATIVE $ 21,509 BOBBI BYFORD: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 38,880 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,412 TOTAL REPORTED IN COLUMN C $ 42,292 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (38,880) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 32,700 EXPENSE TO THE COOPERATIVE $ 36,112 SCOTT STEWART: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 20,868 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,544 TOTAL REPORTED IN COLUMN C $ 24,412 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (20,868) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 24,212 EXPENSE TO THE COOPERATIVE $ 27,756 ROBERT WHITE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 12,061 EMPLOYER CONTRIBUTION TO 401(K) PLAN 800 TOTAL REPORTED IN COLUMN C $ 12,861 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (12,061) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 36,606 EXPENSE TO THE COOPERATIVE $ 37,406 PHILLIP HARRISON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 32,035 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,066 TOTAL REPORTED IN COLUMN C $ 35,101 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (32,035) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 30,520 EXPENSE TO THE COOPERATIVE $ 33,586 TIMOTHY CRAIG: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 42,679 EMPLOYER CONTRIBUTION TO 401(K) PLAN -0- TOTAL REPORTED IN COLUMN C $ 42,679 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (42,679) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 32,285 EXPENSE TO THE COOPERATIVE $ 32,285 PAUL CAMACHO: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 27,805 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,364 TOTAL REPORTED IN COLUMN C $ 31,169 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (27,805) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 25,519 EXPENSE TO THE COOPERATIVE $ 28,883 CHANCE FRANKS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 13,209 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,318 TOTAL REPORTED IN COLUMN C $ 16,527 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (13,209) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 21,698 EXPENSE TO THE COOPERATIVE $ 25,016 BRYAN HICKS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 6,665 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,313 TOTAL REPORTED IN COLUMN C $ 9,978 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (6,665) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 19,362 EXPENSE TO THE COOPERATIVE $ 22,675 PART I, LINE 19: IN GENERAL, WHEN AN ELECTRIC COOPERATIVE BASES THE PATRONAGE DIVIDEND CALCULATION ON ITS NET BOOK INCOME/(LOSS), PAGE 1, PART I, LINE 19 - REVENUE LESS EXPENSES - WILL BE $0. FOR THE CURRENT YEAR, PAGE 1, PART I, LINE 19 REPORTS NET INCOME OF $463,959, WHICH IS THE EFFECT OF NON-OPERATING MARGINS BEING RETAINED TO OFFSET A PRIOR YEAR LOSS. THE FOLLOWING SCHEDULE IS PROVIDED TO FURTHER EXPLAIN THE IMPACT OF THIS TRANSACTION: ADD: NON-OPERATING MARGINS RETAINED $ 463,959 (A) - NET INCOME ON PAGE 1, PART I, LINE 19 $ 463,959 (B) - BENEFITS PAID TO MEMBERS (I.E. PATRONAGE DIVIDENDS) PART I, LINE 14 $ 5,860,584 TOTAL 2024 NET MARGIN PER FINANCIAL STATEMENTS (A + B) $ 6,324,543 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 B, LINE 11B MANAGEMENT PRESENTED A COPY OF THE FORM 990 TO THE BOARD FOR DISCUSSION AND REVIEW PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C THE BOARD OF DIRECTORS AND EMPLOYEES OF THE COOPERATIVE MUST DISCLOSE ANY SITUATION WHICH VIOLATES, OR MAY APPEAR TO VIOLATE THE INTENT OF THE CONFLICT OF INTEREST POLICY. FORM 990, PART VI, SECTION B, LINE 15 A COMPENSATION COMMITTEE COMPRISED OF MEMBERS OF THE BOARD USE THE EXPERTISE OF AN INDEPENDENT COMPENSATION CONSULTANT, A COMPENSATION SURVEY, AND COMPARE COMPENSATION REPORTED ON OTHER COOPERATIVE'S IRS FORMS 990 WHEN DETERMINING THE COMPENSATION OF THE CEO. THE SURVEY SHOWS COMPARATIVE SALARIES FOR CEOS FROM SIMILARLY SITUATED COOPERATIVES LOCATED IN TEXAS AND THE NATION. OTHER INTERNAL AND/OR EXTERNAL RESOURCES ARE ALSO USED TO COMPARE ANNUAL COMPENSATION WITHIN THE INDUSTRY. THE COMPENSATION COMMITTEE RECOMMEND THE CEOS SALARY TO THE BOARD OF DIRECTORS FOR APPROVAL AFTER REVIEWING PERFORMANCE AND ALL RELEVANT DATA. THE CEO AND COMPENSATION COMMITTEE UTILIZES THE EXPERTISE OF AN INDEPENDENT COMPENSATION CONSULTANT AND 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 SHOWS COMPARATIVE SALARIES FROM SIMILARLY SITUATED COOPERATIVES LOCATED IN TEXAS AND THE NATION. OTHER INTERNAL AND/OR EXTERNAL RESOURCES ARE ALSO USED TO COMPARE ANNUAL COMPENSATION WITHIN THE INDUSTRY. FORM 990, PART VI, SECTION C, LINE 19 THE COOPERATIVE WILL PROVIDE A COMPLETE COPY OF ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND AUDITED FINANCIAL STATEMENTS TO ANY MEMBER WHO REQUESTS A COPY OF ANY SUCH DOCUMENT. ADDITIONALLY, THE COOPERATIVE DISTRIBUTES A SUMMARIZED COPY OF THE BALANCE SHEET AND INCOME STATEMENT TO THE MEMBERS OF THE COOPERATIVE WITH THE ANNUAL MEETING REPORT. 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 AND HIGHLY COMPENSATED EMPLOYEES, MEETING THE ELIGIBILITY REQUIREMENTS OF SUCH PLANS. THE COOPERATIVE ALSO PROVIDES HEALTH, DENTAL, VISION, AND LIFE INSURANCE TO ALL ELIGIBLE EMPLOYEES THROUGH A QUALIFIED PLAN. THE AMOUNTS REPORTED ON PART VII, COLUMN (F) FOR THE OFFICERS AND HIGHLY COMPENSATED EMPLOYEES IS COMPRISED OF ACTUARIAL INCREASE IN THE DEFINED BENEFIT PLAN, 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 PURCHASE OF WHOLESALE POWER FROM A GENERATION & TRANSMISSION COOPERATIVE. PATRONAGE DIVIDENDS ALSO 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 A RURAL UTILITIES SERVICE (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 ITS 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 $11,867,630 LESS: DIRECTOR FEES REPORTED ON FORMS 1099-NEC (97,633) LESS: EMPLOYEE OFFICER BENEFITS INCLUDED IN LINE 5 (1,003,109) PLUS: SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 6,492,666 PLUS: SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING AND OTHER ACCOUNTS 2,118,595 TOTAL WAGES ACCRUED AND/OR PAID $19,378,149 FORM 990, PART IX, LINE 24: ADMINISTRATIVE AND GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL SALARIES, BENEFITS, & OTHER $ 4,221,619 OFFICE SUPPLIES 2,373,618 OUTSIDE SERVICES EMPLOYED 461,318 INSURANCE 1,447,254 REGULATORY COMMISSION 417,266 DIRECTORS 246,624 MISCELLANEOUS GENERAL 20,400 MAINTENANCE OF GENERAL PLANT 505,470 TOTAL ADMIN & GENERAL EXPENSE PER FINANCIAL STATEMENTS $ 9,693,569 LESS: RECLASS OF DIRECTOR FEES TO PART IX, LINES 5 (97,633) LESS: RECLASS OF LABOR TO PART IX, LINES 5 & 7 (3,062,499) LESS: RECLASS OF BENEFITS TO PART IX, LINES 8-10 (1,696,362) TOTAL ADMIN & GENERAL EXPENSE PER FORM 990, PART IX $ 4,837,075 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 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 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 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 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 ON FORM 990. PATRONAGE DIVIDENDS ARE NOT AN EXPENSE FOR FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GAAP, 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: NET CHANGE IN MEMBERSHIPS 13,910. OTHER COMPREHENSIVE INCOME - PENSION & BENEFITS -1,579,459. PATRONAGE CAPITAL ALLOCATED OR TO BE ALLOCATED 5,860,584. PATRONAGE CAPITAL RETIRED -15,379. DISCOUNTED ESTATE RETIREMENTS 5,709. 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. TVEC CHARITABLE FOUNDATION 1800 HWY 243 E KAUFMAN TX 75142 455548476 CHARITABLE GRANTS TX 501(C)(3) LINE 7 TRINITY VALLEY ELECTRIC COOPERATIVE INC 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 TVEC CHARITABLE FOUNDATION N N/A - LESS THAN $50,000 TVEC CHARITABLE FOUNDATION O N/A - LESS THAN $50,000