2025-07-01T16:44:05-07:00 2024-12-31 990 2024-01-01 910143426 BENTON RURAL ELECTRIC ASSOCIATION BENT 5097862913 PO Box 1150 Prosser WA 99350 Lori Cotsford Accounting Manager/Controller 5097862913 2025-07-01 1 2024 2025-03-06 01:10:19Z Ryan Redmond Po Box 1150 Prosser WA 99350 49774668 0 X www.bentonrea.org X 1937 WA Distribution of Electricity to Rural Cooperative members. 8 8 90 0 999754 0 0 0 45324322 48310776 160858 458453 1095276 999754 46580456 49768983 0 0 4147348 1532522 12177343 13841938 0 0 0 30255765 34394523 46580456 49768983 0 0 107365688 114171170 16119238 21646360 91246450 92524810 Provide safe and reliable electricity at the lowest possible cost to the cooperative membership. 0 0 The Benton Rural Electric Association (Benton REA) is a not for profit member owned electric cooperative. It has approximately 12,315 member/owners to whom it delivers electricity through its distribution system. The sale and distribution of electric service is the main program service. 0 0 0 0 0 0 0 0 0 0 0 0 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 0 0 0 0 0 0 0 0 0 0 1 136 0 1 90 1 1 1 0 0 0 0 48482063 1125004 0 0 0 X 8 8 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X Lori Cotsford 5097862913 PO Box 1150 Prosser WA 99350 Ryan Redmond Chief Executive Officer 50 0 X 326339 0 63602 Troy Berglund Deputy GM & VP of Member Experience 50 0 X 252999 0 56995 Derek Miller Engineering Manager 50 0 X 242892 0 54848 Andrew Gould COO/VP of Engineering 55.00 0 X 247529 0 48237 Christopher Hill Line Foreman 55 0 X 247503 0 45839 Jeff Bastow Information Technology Manager 40 0 X 229238 0 54355 Steven Catlow Vice President of Finance 40 0 X 246009 0 30096 Justin Waldron VP of Member Support/CFO 44 0 X 215562 0 47354 Lori Cotsford Accounting Manager/Controller 42.00 0 X 203021 0 49082 Larry Hall Line Foreman 48 0 X 201208 0 46227 Michael Freepons Vice President 3 0 X X 15010 0 281 George Theodore Wallace Trustee 4 0 X 10070 0 246 Robert Evans President 4 0 X X 9690 0 182 Tim Grow Trustee 10 0 X 7125 0 263 Catherine Russell Secretary/Treasurer 4 0 X X 7170 0 164 Scott Fisher Secretary/Treasurer 2 0 X X 6460 0 246 Daniel Plung Trustee 2 0 X 6175 0 246 William Shibley Trustee 2 0 X 3420 0 103 Ron Johnson Trustee 4.0 0 X 2755 0 103 2480175 0 498469 43 0 1 0 Riverline Power LLC 1309 NE 199TH ST Ridgefield WA 98642 Contract Labor 718967 Leone & Keeble INC 108 W Boone Ave Spokane WA 99201 General Contractor 611515 Boyd's Tree Service 6350 W Brinkley RD Suite 120 Kennewick WA 99338 Tree Trimming 498672 Pacific Pole Inspection 2581 Mount Pleasant Rd Kelso WA 98626 Contract Labor 224246 Vision Enterprises 209411 E Terril Rd Kennewick WA 99337 Contract Labor 174499 7 0 Sale of Electricity 221000 48148860 48148860 0 0 Pole Rental 531390 161916 0 0 161916 0 0 0 0 48310776 209552 0 0 209552 0 0 0 0 0 0 0 0 0 0 224210 30376 5685 0 218525 30376 248901 248901 0 0 Internet Service Provider 517000 999754 0 999754 0 0 0 0 0 999754 49768983 48397761 999754 371468 1532522 2978644 7888851 804187 1374945 795311 178421 3481871 Purchased Power 25142489 Operations/Maintenance 8437512 Administrative & Customer Accounts 8645356 Payroll Expenses included in line 5-10 -13841938 2350812 49768983 0 0 0 2509148 3733250 1880000 1450000 4270790 4565613 3843340 4429450 287690 330373 150895487 53520231 92397490 97375256 2177230 2287228 107365688 114171170 9611603 8443880 1094908 6131105 5412727 7071375 16119238 21646360 X 0 0 4866447 5112169 86380003 87412641 91246450 92524810 107365688 114171170 X 0 0 0 0 0 1278360 X 0 1 X 1 0 0 2263308 2263308 0 2700347 1463639 1236708 0 0 0 0 0 10220773 7422770 2798003 0 135711059 44633822 91077237 97375256 Deferred Credits 5942980 Deferred Compensation 404492 Retired Managers Obligation 108760 Retiree Sick Leave Conversion 62332 Customer Deposits 552811 7071375 X 49768983 0 0 0 0 0 49768983 0 0 0 49768983 48236461 0 0 0 0 0 48236461 0 1532522 1532522 49768983 Schedule D, Part X, Line 2 The Cooperative is exempt from all federal and state income taxes undersection 501(c)(12) of the Internal Revenue Code while functioning for the benefits of its members. The Cooperative adopted Accounting Standards Codification (ASC) 740-10, relating to accounting for uncertain tax positions. The Cooperative does not have any uncertain tax positions. Schedule D, Part XII, Line 4b To conform to the 2011 990 change in section IX line 4: The Cooperative reported year end margins as an expense in section IX line 4. All margins are annually allocated to the membership based on their patronage. The amount was reported as net margins on the audited financial statements. To reconcile the audited financials to the amount reported on the 990 we have shown the net margins on line 4b of Part XII. X 0 0 0 Ryan Redmond Chief Executive Officer 299321 0 27018 0 0 0 34742 0 28860 0 389941 0 0 0 Troy Berglund Deputy GM & VP of Member Experience 241393 0 11606 0 0 0 27339 0 29656 0 309994 0 0 0 Derek Miller Engineering Manager 207201 0 35691 0 0 0 25283 0 29565 0 297740 0 0 0 Andrew Gould COO/VP of Engineering 146029 0 69533 0 0 0 18246 0 29108 0 262916 0 0 0 Christopher Hill Line Foreman 247503 0 0 0 0 0 16919 0 28920 0 293342 0 0 0 Jeff Bastow Information Technology Manager 201615 0 27623 0 0 0 24854 0 29501 0 283593 0 0 0 Steven Catlow Vice President of Finance 218423 0 27586 0 0 0 15968 0 14128 0 276105 0 0 0 Justin Waldron VP of Member Support/CFO 146029 0 69533 0 0 0 18246 0 29108 0 262916 0 0 0 Lori Cotsford Accounting Manager/Controller 174979 0 28042 0 0 0 20067 0 29015 0 252103 0 0 0 Larry Hall Journeyman Lineman 201208 0 0 0 0 0 17270 0 28957 0 247435 0 0 0 Form 990, Part I, Line 14 To comply with the 2011 change to Part IX #4 "patronage dividends paid by section 501(c)(12) organization to their members", we have included the Cooperatives year ending net margins in the Statement of Functional Expense as benefits being paid to members. GAAP does not recognize this as an expense but is being reported as such to comply with the noted change. Pursuant to the Articles and Bylaws of the Cooperative, we fully allocate previous yar ending margins to the individual Patronage Capital accounts of the membership. Form 990, Part VI, Section A, Line 6 The organization is an electric distribution cooperative consisting of approximately 12,315 members who purchase electricity from the cooperative, and each has a Patronage Capital (equity) account based upon electrical usage. Form 990, Part VI, Section A, Line 7a The members elect the board of trustees which make up the governing body. The members approve the articles of incorporation and any changes thereto. Form 990, Part VI, Section A, Line 7b The members elect the board of trustees which make up the governing body. The members approve the articles of incorporation and any changes thereto. Form 990, Part VI, Section B, Line 11b The governing body did receive a copy of the 990 for review before it was filed. After the financials were audited the 990 was reviewed by the governing body at the regular June 2024 monthly board meeting. The Cooperative's independent auditors also received a copy of the 990 and it was reviewed by them before filing. Form 990, Part VI, Section B, Line 12c The Cooperative requires an annual survey for the prior year to be completed by all Trustees Officers, Key Employees, and Highly Compensated to disclose any potential conflicts of interest that may have existed. Pursuant to the corporation bylaws section 3.04.3(a): In all circumstances, Trustees are under a continuing obligation to disclose to the full Board of Trustees any situation that presents the possibility of a conflict or disparity of interest either directly or indirectly between them and the Association. Form 990, Part VI, Section B, Line 15 Annually the cooperative participates in a regional survey to determine fair and competitive compensation of all non-union employees as compared to other utilities which hold similar positions. The CEO, top management officers highly compensated and key employees are among those positions in the survey. The percentage increase determined by the survey is included in the budget which is approved by the Board of Trustees. The CEO's wage increase is set by the Board. The latest survey was completed in Fall 2024. Form 990, Part VI, Section C, Line 19 The Benton Rural Electric Association is a not-for-profit member owned electric cooperative. As a private electric cooperative, the member owners of Benton REA have full access to financial statements, all policies and governing documents. All members receive a copy of the bylaws, which are also on the Benton REA website. Benton REA conducts and annual membership meeting, in which the annual financial statements are posted and presented to the membership. Plus, each Benton REA member receives a monthly magazine (Ruralite) that includes financial statements annually. Any margins the Benton REA has are allocated to the members who purchase electricity in that year, and those members receive a mailed notice of their allocation. A file of record in kept for each membership, which includes all allocations of margins and ay patronage capital payments made to the corresponding member. Form 990, Part XI, Line 9 As part of being a not-for profit member owned cooperative, the Benton Rural Electric allocates any margins at year end. The Benton REA Board of Trustees then decides to retire all or a portion of those allocated margins. The cooperative as directed by the Board of Trustees have retired (paid to membership) a portion of the current allocated margins. This retirement results in a change to the Total Net Assets or Fund Balances ending amount. To comply with the 2011 Change to Part IX #4 we have netted the year ending margins against the retired portion of current allocated margins plus reacquired patronage capital (1,532,522-500,034+245,872=$1,278,360) this allows the cooperative to reconcile net assets for end of year 2024 line #10.