2026-08-27T15:00:49-05:00 2025-12-31 750882037 BOLINGER SEGARS GILBERT AND MOSS LLP 8215 NASHVILLE AVENUE LUBBOCK TX 79423 990 2025-01-01 860059728 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE INC SULP 5203842221 350 N HASKELL WILLCOX AZ 85643 JASON BOWLING CEO 5203842221 2026-08-07 1 PATRICK COOPER P00856177 8067473806 2026-08-07 2025 2025-03-06 01:10:19Z JASON BOWLING 350 N HASKELL WILLCOX AZ 85643 131819675 0 X WWW.SSVEC.ORG X 1938 AZ TO PROVIDE QUALITY AND RELIABLE ELECTRIC SERVICE TO MEMBERS OF THE COOPERATIVE. 10 9 208 0 188225 65907 0 0 116844216 130246631 524675 442599 1177752 1130329 118546643 131819559 221838 289538 155293 0 21864486 23880084 0 0 0 95007756 109872923 117249373 134042545 1297270 -2222986 370403299 376020066 201865320 210131403 168537979 165888663 PROVIDE SAFE, RELIABLE, AND AFFORDABLE SERVICE TO OUR MEMBERS. 0 0 PROVIDING ELECTRIC ENERGY TO OUR MEMBERS ON A COOPERATIVE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL. THERE WERE 54,934 ACTIVE SERVICES AT YEAR END. ELECTRIC DISTRIBUTION SERVICES (THE DELIVERY, BUT NOT THE SALE OF ELECTRICITY, TO A CUSTOMER OVER LINES OWNED, OPERATED AND MAINTAINED BY THE COOPERATIVE) WERE PROVIDED TO THE CLASS B MEMBERSHIP ON A COOPERATIVE BASIS. 0 0 0 0 0 0 0 0 0 1 0 1 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 1 0 0 0 0 0 0 1 1 0 0 1 99 0 208 1 1 1 0 0 0 0 136745513 2932811 0 0 0 X 10 9 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 1 0 AZ X X RON LEE CFO 5203842221 350 N HASKELL AVE WILLCOX AZ 85643 X JANICE BEAM TREASURER 8.32 1.00 X X 41988 0 0 RANDY REDMOND PRESIDENT 9.48 1.00 X X 41004 0 0 DAVID COLLINS DIRECTOR 5.94 1.00 X 33816 0 0 DAVID KELSO DIRECTOR 6.49 1.00 X 32550 0 0 CURTIS NOLAN DIRECTOR 6.81 1.00 X 32475 0 0 THOMAS GOODMAN DIRECTOR 6.10 1.00 X 30225 0 0 DANIEL BARRERA VICE PRESIDENT 7.17 1.00 X X 29738 0 0 CLIFFORD HERRON SECRETARY 5.62 1.00 X X 25500 0 0 RUSSELL MCNEIL DIRECTOR 4.35 1.00 X 25275 0 0 JOHN SHAVER DIRECTOR 3.90 1.00 X 18450 0 0 JASON BOWLING CHIEF EXECUTIVE OFFICER 49.00 X 522087 0 200705 DANIEL WILSON SVP MEMBER & CORP SERVICES 46.00 X 318589 0 125138 NATHAN HODGES SVP OPERATIONS 47.00 X 277177 0 85837 RON LEE CFO/VP FINANCE & ACCOUNTING 41.00 X 229425 0 97877 JESUS MORENO VP ENGINEERING 45.00 X 234209 0 92839 SARA RANSOM GENERAL COUNSEL 42.00 X 252743 0 48256 REBECCA BUKSH VP HUMAN RESOURCES 47.00 X 208091 0 88342 ANDREA TYNDALL VP STRATEGY & COMPLIANCE 48.00 X 169720 0 95180 COREY EAST VP MEMBER ENGAGEMENT 45.00 X 209236 0 52386 CURTISS PETERSON MANAGER OF FINANCIAL STRATEGY 40.00 X 176661 0 149909 MARK ROLL OPERATIONS MANAGER 42.00 X 191952 0 101194 SEAN RUDDY IT MANAGER 42.00 X 176361 0 98832 JORGE GARCIA OPERATIONS MANAGER 40.00 X 161688 0 89593 DANNY DUNHAM TECH SERVICE MANAGER 40.00 X 155450 0 80504 DEANA DONOVAN OPERATIONS MANAGER 42.00 X 161035 0 47778 RICHIE ELLIS JOURNEYMAN LINEMAN 49.00 X 195823 0 84272 SHANNON SHADRICK FOREMAN 46.00 X 183481 0 95071 JESUS HERNANDEZ FOREMAN 43.00 X 171918 0 57990 OWEN MORTENSON JOURNEYMAN LINEMAN 49.00 X 179552 0 46260 LUIS MONTANO FOREMAN 48.00 X 176818 0 46504 4663037 0 1784467 96 0 1 0 BLUE CROSS BLUE SHIELD OF ARIZONA PO BOX 81049 PHOENIX AZ 85069 INSURANCE 3613584 ASPLUNDH TREE EXPERT LLC PO BOX 31001-2292 PASADENA CA 91110 TREE TRIMMING 709255 R DIRECTIONAL DRILLING & UNDERGROUND TEC 8560 N 77TH DR PEORIA AZ 85345 UNDERGROUND DRILLING CONTRACTOR 688579 AMERICAN POWER LLC 7931 E PECOS RD STE 211 MESA AZ 85212 HIGH-VOLTAGE ELECTRICAL CONTRACTOR 678295 NATIONAL POWERLINE LLC 19820 N 7TH AVE SUITE 120 PHOENIX AZ 85027 INFRASTRUCTURE CONSTRUCTION 575818 20 X SALES OF ELECTRICITY 221000 124758160 124758160 DISTRIBUTION SERVICES 221000 3576552 3576552 PATRONAGE DIVIDENDS 221000 1290022 1290022 SERVICE FEES 221000 621897 621897 130246631 442599 442599 8406 0 8406 8406 8406 339 116 223 223 POLE ATTACHMENT INCOME 221000 933698 933698 INTERNET COMMISSIONS 517000 179471 179471 OUTSIDE SERVICES 811000 8531 8531 1121700 131819559 130246631 188225 1384703 X 289538 5209815 12047970 2863813 1518354 2240132 6675720 12501092 PURCHASED POWER 72029182 DISTRIBUTION EXPENSE 11481887 ADMIN & GENERAL EXPENSE 3173720 UNRELATED BUS. INC. TAX 18000 3993322 134042545 6069285 4124727 11926694 9195017 7010584 5855865 24684 16252 6792144 6423132 1127701 1537356 479818112 205615542 264197449 274202570 70186050 71275063 3068708 3390084 370403299 376020066 12131464 13795174 155627709 162571679 34106147 33764550 201865320 210131403 X 210640 211055 0 0 168327339 165677608 168537979 165888663 370403299 376020066 X -2222986 -426330 X X 0 1 X 0 0 2682347 2682347 14894667 7448081 7446586 427955725 198167461 229788264 34285373 34285373 274202570 PATRONAGE CAPITAL - AEPCO 59249213 C PATRONAGE CAPITAL - CFC 2903140 C PATRONAGE CAPITAL - NISC 161740 C PATRONAGE CAPITAL - NRTC 46266 C PATRONAGE CAPITAL - FEDERATED 882074 C PATRONAGE CAPITAL - CRC 27151 C COBANK EQUITY INVESTMENT 3839040 C ASSOCIATED ORGANIZATIONS - GENERAL FUNDS 1010 C CAPITAL TERM CERTIFICATES-CFC 1866683 C DEFERRED COMPENSATION FUNDS 2202025 F PATRONAGE CAPITAL -WESTERN UNITED ELECT 96721 C 71275063 CONSUMER DEPOSITS 2234758 ACCUMULATED PROVISION - PENSIONS & BENEFITS 3497375 ACCRUED OPERATING TAXES 2179801 DEFERRED CREDITS - ENERGY CONSERVATION & OTHER 11777256 DEFERRED CREDITS - FT. HUACHUCA REIMBURSEMENTS 10952024 UNCLAIMED CAPITAL CREDITS 197759 POWER COST ADJUSTMENT 2117572 DEFERRED CREDITS - OTHER 808005 33764550 X 131687979 0 131687979 131580 131580 131819559 133910965 0 133910965 131580 131580 134042545 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 XI, LINE 4B - OTHER ADJUSTMENTS: RECLASSIFICATION OF NON-OPERATING EXPENSE 131,580. PART XII, LINE 4B - OTHER ADJUSTMENTS: RECLASSIFICATION OF NON-OPERATING EXPENSE 131,580. 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. 0 BOYS AND GIRLS CLUB OF SIERRA VISTA INC 1746 PASEO SAN LUIS SIERRA VISTA AZ 85636 860801728 501(C)(3) 16500 0 YOUTH OF THE YEAR, KARS FOR KIDS, ANNUAL SPONSORSHIP FMWR 86-0101982 FORT HUACHUCA AZ 85670 860101982 501(C)(3) 5250 0 FMWR PATRIOT SPONSOR COCHISE FAMILY ADVOCACY CENTER INC DBA LORI'S PLACE 214 E TACOMA SIERRA VISTA AZ 85635 473408612 501(C)(3) 15000 0 COBANK SHARING SUCCESS DONATION MATCH SCCFRA FOUNDATION INC PO BOX 85 SONOITA AZ 85637 860204503 501(C)(3) 6000 0 SANTA CRUZ COUNTY FAIR DONATION SKY ISLANDS REGIONAL PARTNERSHIP 21 EAST WILCOX DR SIERRA VISTA AZ 85635 742586694 501(C)(3) 30000 0 DIAMOND SPONSORSHIP PART II: ALL GRANTS, SPONSORSHIPS, AND/OR DONATIONS ARE MADE TO NON-PROFIT AND CIVIC ORGANIZATIONS THAT ARE INTENDED TO IMPROVE THE COMMUNITIES IN WHICH OUR MEMBERS RESIDE. X 1 1 X X 0 0 0 JASON BOWLING CHIEF EXECUTIVE OFFICER 468046 0 210 0 53831 0 167380 0 33325 0 722792 0 0 0 DANIEL WILSON SVP MEMBER & CORP SERVICES 276719 0 450 0 41420 0 92338 0 32800 0 443727 0 0 0 NATHAN HODGES SVP OPERATIONS 235487 0 460 0 41230 0 60836 0 25001 0 363014 0 0 0 RON LEE CFO/VP FINANCE & ACCOUNTING 220418 0 210 0 8797 0 84071 0 13806 0 327302 0 0 0 JESUS MORENO VP ENGINEERING 203895 0 205 0 30109 0 60689 0 32150 0 327048 0 0 0 CURTISS PETERSON MANAGER OF FINANCIAL STRATEGY 163206 0 160 0 13295 0 124210 0 25699 0 326570 0 0 0 SARA RANSOM GENERAL COUNSEL 242574 0 3190 0 6979 0 38974 0 9282 0 300999 0 0 0 REBECCA BUKSH VP HUMAN RESOURCES 186719 0 10710 0 10662 0 55117 0 33225 0 296433 0 0 0 MARK ROLL OPERATIONS MANAGER 169645 0 6020 0 16287 0 87629 0 13565 0 293146 0 0 0 RICHIE ELLIS JOURNEYMAN LINEMAN 183252 0 1245 0 11326 0 58271 0 26001 0 280095 0 0 0 SHANNON SHADRICK FOREMAN 175672 0 1230 0 6579 0 61871 0 33200 0 278552 0 0 0 SEAN RUDDY IT MANAGER 160233 0 210 0 15918 0 79353 0 19479 0 275193 0 0 0 ANDREA TYNDALL VP STRATEGY & COMPLIANCE 156280 0 430 0 13010 0 70331 0 24849 0 264900 0 0 0 COREY EAST VP MEMBER ENGAGEMENT 199551 0 195 0 9490 0 25908 0 26478 0 261622 0 0 0 JORGE GARCIA OPERATIONS MANAGER 136460 0 1010 0 24218 0 65014 0 24579 0 251281 0 0 0 DANNY DUNHAM TECH SERVICE MANAGER 144704 0 1260 0 9486 0 51661 0 28843 0 235954 0 0 0 JESUS HERNANDEZ FOREMAN 170206 0 1250 0 462 0 28815 0 29175 0 229908 0 0 0 OWEN MORTENSON JOURNEYMAN LINEMAN 178020 0 1235 0 297 0 14935 0 31325 0 225812 0 0 0 LUIS MONTANO FOREMAN 175273 0 1225 0 320 0 18629 0 27875 0 223322 0 0 0 DEANA DONOVAN OPERATIONS MANAGER 153580 0 3025 0 4430 0 37785 0 9993 0 208813 0 0 0 PART I, LINE 1A PURSUANT TO THE COOPERATIVE'S WELLNESS PROGRAM, EMPLOYEES ARE REIMBURSED FOR 50% OF THEIR OUT OF POCKET COSTS FOR PARTICIPATION IN QUALIFIED WELLNESS ACTIVITIES. THE TOTAL ANNUAL REIMBURSEMENT IS LIMITED TO $360 PER EMPLOYEE AND $360 FOR AN EMPLOYEE'S SPOUSE, PROVIDED THE SPOUSE IS COVERED UNDER THE COOPERATIVE'S HEALTH INSURANCE PROGRAM. EMPLOYEES ARE ELIGIBLE TO PARTICIPATE IN THE WELLNESS PROGRAM AFTER 60 DAYS OF EMPLOYEMENT. PART II, COLUMN F: MR. CREDEN HUBER RECEIVED A DISTRIBUTION DURING THE YEAR FROM A SECTION 457(B) DEFERRED COMPENSATION PLAN. SUCH AMOUNT REPRESENTS BOX 1 W-2 WAGES OF COMPENSATION THAT WAS PREVIOUSLY DEFERRED WITH RESPECT TO BOX 1 BUT OTHERWISE INCLUDED IN BOX 5 W-2 WAGES IN THE YEAR OF DEFERRAL. SUCH AMOUNTS HAVE, THEREFORE, BEEN REPORTED TWICE ON FORM 990 AS REPORTABLE WAGES - ONCE IN THE YEAR OF DEFERRAL AND ONCE IN THE YEAR PAID PURSUANT TO THE DEFERRED COMPENSATION PLANS PAYOUT SCHEDULE. 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. JASON BOWLING: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 156,880 EMPLOYER CONTRIBUTION TO 401(K) PLAN 10,500 TOTAL REPORTED IN COLUMN C $ 167,380 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT & NQDC PLANS (156,880) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT & NQDC PLANS 130,655 EXPENSE TO THE COOPERATIVE $ 141,155 DANIEL WILSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 83,728 EMPLOYER CONTRIBUTION TO 401(K) PLAN 8,610 TOTAL REPORTED IN COLUMN C $ 92,338 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (83,728) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 106,378 EXPENSE TO THE COOPERATIVE $ 114,988 NATHAN HODGES: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 53,795 EMPLOYER CONTRIBUTION TO 401(K) PLAN 7,041 TOTAL REPORTED IN COLUMN C $ 60,836 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (53,795) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 82,693 EXPENSE TO THE COOPERATIVE $ 89,734 RON LEE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 77,326 EMPLOYER CONTRIBUTION TO 401(K) PLAN 6,745 TOTAL REPORTED IN COLUMN C $ 84,071 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (77,326) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 82,693 EXPENSE TO THE COOPERATIVE $ 89,438 JESUS MORENO: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 54,264 EMPLOYER CONTRIBUTION TO 401(K) PLAN 6,425 TOTAL REPORTED IN COLUMN C $ 60,689 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (54,264) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 79,385 EXPENSE TO THE COOPERATIVE $ 85,810 CURTISS PETERSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 119,016 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,194 TOTAL REPORTED IN COLUMN C $ 124,210 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (119,016) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 64,175 EXPENSE TO THE COOPERATIVE $ 69,369 SARA RANSOM: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 31,670 EMPLOYER CONTRIBUTION TO 401(K) PLAN 7,304 TOTAL REPORTED IN COLUMN C $ 38,974 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (31,670) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 89,533 EXPENSE TO THE COOPERATIVE $ 96,837 REBECCA BUKSH: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 49,197 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,920 TOTAL REPORTED IN COLUMN C $ 55,117 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (49,197) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 73,139 EXPENSE TO THE COOPERATIVE $ 79,059 MARK ROLL: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 82,863 EMPLOYER CONTRIBUTION TO 401(K) PLAN 4,766 TOTAL REPORTED IN COLUMN C $ 87,629 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (82,863) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 57,780 EXPENSE TO THE COOPERATIVE $ 62,546 RICHIE ELLIS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 54,790 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,481 TOTAL REPORTED IN COLUMN C $ 58,271 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (54,790) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 40,438 EXPENSE TO THE COOPERATIVE $ 43,919 SHANNON SHADRICK: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 58,160 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,711 TOTAL REPORTED IN COLUMN C $ 61,871 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (58,160) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 44,072 EXPENSE TO THE COOPERATIVE $ 47,783 SEAN RUDDY: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 75,735 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,618 TOTAL REPORTED IN COLUMN C $ 79,353 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (75,735) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 61,608 EXPENSE TO THE COOPERATIVE $ 65,226 ANDREA TYNDALL: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 68,669 EMPLOYER CONTRIBUTION TO 401(K) PLAN 1,662 TOTAL REPORTED IN COLUMN C $ 70,331 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (68,669) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 61,608 EXPENSE TO THE COOPERATIVE $ 63,270 COREY EAST: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 19,783 EMPLOYER CONTRIBUTION TO 401(K) PLAN 6,125 TOTAL REPORTED IN COLUMN C $ 25,908 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (19,783) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 51,360 EXPENSE TO THE COOPERATIVE $ 57,485 JORGE GARCIA: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 60,831 EMPLOYER CONTRIBUTION TO 401(K) PLAN 4,183 TOTAL REPORTED IN COLUMN C $ 65,014 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (60,831) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 51,360 EXPENSE TO THE COOPERATIVE $ 55,543 DANNY DUNHAM: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 47,102 EMPLOYER CONTRIBUTION TO 401(K) PLAN 4,559 TOTAL REPORTED IN COLUMN C $ 51,661 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (47,102) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 56,323 EXPENSE TO THE COOPERATIVE $ 60,882 JESUS HERNANDEZ: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 24,974 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,841 TOTAL REPORTED IN COLUMN C $ 28,815 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (24,974) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 44,072 EXPENSE TO THE COOPERATIVE $ 47,913 OWEN MORTENSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 11,422 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,513 TOTAL REPORTED IN COLUMN C $ 14,935 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (11,422) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 40,438 EXPENSE TO THE COOPERATIVE $ 43,951 PART II, COLUMN C (CONTINUED): JORGE GARCIA: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 34,914 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,907 TOTAL REPORTED IN COLUMN C $ 38,821 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (34,914) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 44,824 EXPENSE TO THE COOPERATIVE $ 48,731 ADOLFO MARMOLEJO: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 6,056 EMPLOYER CONTRIBUTION TO 401(K) PLAN 3,249 TOTAL REPORTED IN COLUMN C $ 9,305 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (6,056) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 38,645 EXPENSE TO THE COOPERATIVE $ 41,894 GUY NOLAN DBA GNS HEATING AND COOLI FAMILY RELATIIONSHIP - DIRECTOR (CURTIS NOLAN) 91765 CONTRACTOR 0 FORM 990, 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 LOSS OF ($2,017,598), WHICH IS THE INCOME STATEMENT EFFECT OF ACCRUED UNBILLED REVENUE PLUS THE RETENTION OF NON-OPERATING MARGINS. THE GAAP BASIS FINANCIAL STATEMENTS INCLUDE AN ACCRUAL FOR UNBILLED REVENUE BECAUSE THE COOPERATIVE'S BILLING CYCLE DOES NOT END ON THE LAST DAY OF THE MONTH. THEREFORE, IT HAS REVENUE IN DECEMBER OF EACH YEAR THAT IT HAS EARNED BUT WILL NOT BILL UNTIL THE FIRST BILLING CYCLE OF THE FOLLOWING YEAR. THE COOPERATIVE ESTIMATES THIS REVENUE AND RECORDS IT AS ACCRUED UNBILLED REVENUE IN ORDER TO MATCH THE REVENUE WITH THE YEAR EARNED. HOWEVER, THE COOPERATIVE ALLOCATES THE REVENUE TO MEMBERS IN THE YEAR IT IS BILLED RATHER THAN WHEN ACCRUED. THIS TIMING DIFFERENCE IS FAIR AND EQUITABLE BECAUSE IT MATCHES THE PATRONAGE DIVIDEND ALLOCATED WITH THE BILLING RECORDS USED TO ALLOCATE THE MARGINS. DUE TO THE TIMING OF WHEN THE COOPERATIVE ALLOCATES ACCRUED UNBILLED REVENUE, PAGE 1, PART I, LINE 19 ANNUALLY REPORTS NET INCOME/(LOSS) AS FOLLOWS: 1) NET INCREASE/(DECREASE) IN ACCRUED UNBILLED REVENUE PLUS 2) NON-OPERATING MARGINS. THE FOLLOWING SCHEDULE IS PROVIDED TO FURTHER EXPLAIN THE IMPACT OF THIS TRANSACTION: ADD: UNBILLED REVENUE 12/31/25 $ 2,499,674 LESS: UNBILLED REVENUE 12/31/24 (2,351,688) NET INCREASE IN UNBILLED REVENUE $ 147,986 ADD: NON-OPERATING MARGINS RETAINED 499,244 ADD: FT. HUACHUCA SETTLEMENT 1,370,368 (A) - NET INCOME ON PAGE 1, PART I, LINE 1 $ 2,017,598 (B) - TRANSFER OF OPERATING LOSS TO OTHER EQUITIES, PART I, LINE 14 $(4,240,584) TOTAL 2025 NET MARGIN (A + B) $(2,222,986) 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 5. AMENDMENT TO THE BYLAWS 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 AND THE PAID PREPARER REVIEW DRAFTS OF FORM 990 PRIOR TO E-FILING. THE BOARD REVIEWS ANNUAL FILINGS AT MONTHLY MEETINGS. FORM 990, PART VI, SECTION B, LINE 12C THE DIRECTORS REVIEW THE CONFLICT OF INTEREST POLICY ANNUALLY, AND IMMEDIATELY ADDRESS ANY QUESTIONS OR CONCERNS IF THEY ARISE. THE BOARD OF DIRECTORS AND OFFICERS ARE ALSO REQUIRED TO DISCLOSE ANY ACTION OR SITUATION THAT MIGHT VIOLATE THE POLICY TO THE FULL BOARD OF DIRECTORS AS SOON AS POSSIBLE. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS USE THE EXPERTISE OF AN INDEPENDENT COMPENSATION CONSULTANT WHEN DETERMINING THE COMPENSATION OF THE CEO. THE BOARD AND THE CEO USE THE EXPERTISE OF AN INDEPENDENT COMPENSATION CONSULTANT WHEN DETERMINING THE COMPENSATION OF THE COOPERATIVE'S OTHER EMPLOYEE OFFICERS. FORM 990, PART VI, SECTION C, LINE 19 ANNUALY, THE COOPERATIVE MAILS ITS ANNUAL REPORT TO MEMBERS OF THE COOPERATIVE WHICH CONTAINS A SUMMARIZED COPY OF THE AUDITED FINANCIAL STATEMENTS. THE COOPERATIVE ALSO PROVIDES COPIES OF THEIR CURRENT AND PAST ANNUAL REPORTS AND GOVERNING DOCUMENTS ON THEIR WEBSITE. 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. 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, THE TOTAL AMOUNT CONTRIBUTED TO THE 401(K) PENSION 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: THE ACCOUNTING RECORDS OF THE COOPERATIVE ARE MAINTAINED IN ACCORDANCE WITH THE UNIFORM SYSTEM OF ACCOUNTS (USOA) AS PRESCRIBED BY THE FEDERAL ENERGY REGULATORY COMMISSION FOR CLASS A AND B ELECTRIC UTILITIES. 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, 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 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 FROM THE COOPERATIVE FOR THE CURRENT 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, 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 THE TOTAL WAGES ACCRUED AND/OR PAID: TOTAL PER LINES 5-7 $17,257,785 LESS: DIRECTOR FEES REPORTED ON FORMS 1099-NEC (311,021) LESS: EMPLOYEE OFFICER BENEFITS INCLUDED IN LINE 5 (1,454,370) PLUS: SALARIES AND WAGES ALLOCATED TO NONOPERATING MARGINS 1,592 PLUS: SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 5,025,563 PLUS: SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING AND OTHER ACCOUNTS 1,937,169 TOTAL WAGES ACCRUED AND/OR PAID $22,456,718 FORM 990, PART IX, LINE 24: ADMINISTRATIVE & GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL SALARIES, BENEFITS & OTHER $ 8,465,810 OFFICE SUPPLIES 260,914 OUTSIDE SERVICES 207,425 INJURIES & DAMAGES 903 DIRECTORS 437,989 DUES TO ASSOCIATED ORGANIZATIONS 338,648 FORT HUACHUCA ADMINISTRATIVE & GENERAL 547,735 MISCELLANEOUS GENERAL 422,356 CAPITAL CREDITS 22,346 MAINTENANCE OF GENERAL PLANT (2,189) TOTAL ADMIN & GENERAL EXP PER FINANCIAL STATEMENTS $10,706,315 LESS: RECLASS OF DIRECTOR FEES TO PART IX, LINE 5 (311,021) LESS: RECLASS OF LABOR TO PART IX, LINES 5 & 7 (4,476,880) LESS: RECLASS OF BENEFITS TO PART IX, LINES 8-10 (2,474,694) TOTAL ADMIN & GENERAL EXPENSE PER FORM 990, PART IX $ 3,173,720 FORM 990, PART IX, LINE 24E: OTHER EXPENSES IS COMPRISED OF THE FOLLOWING: CONSUMER ACCOUNTS $ 2,337,538 CUSTOMER SERVICE & INFORMATION 516,239 INTERNET 109,513 SALES 423,735 TRANSMISSION 431,321 OTHER DEDUCTIONS 174,976 TOTAL OTHER EXPENSES PER FORM 990, LINE 24E $ 3,993,322 FORM 990, PART XI, LINE 9: PATRONAGE CAPITAL RETIRED - TOTAL -652,190. PATRONAGE CAPITAL RETIRED - DISCOUNT 366,645. NET CHANGE IN MEMBERSHIPS 415. OTHER COMPREHENSIVE INCOME - PROVISION FOR PENSIONS AND BENEFITS -141,200. FORM 990, PART XII, LINE 2C: THE BOARD AS A WHOLE IS RESPONSIBLE FOR OVERSEEING THE FINANCIAL STATEMENT AUDIT AND SELECTING THE INDEPENDENT FINANCIAL STATEMENT AUDITOR. SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE FOUNDATION 350 N HASKELL WILLCOX AZ 85643 860488826 FUND EDUCATIONAL YOUTH ACTIVIES AND QUALIFIED PROGRAMS AZ 501(C)(3) PF SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE INC 1 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE CHARITABLE TRUST 350 N HASKELL WILLCOX AZ 85643 860993649 ASSISTANCE TO NATURAL DISASTER VICTIMS AND FAMILIES AZ 501(C)(3) LINE 7 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE INC 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 1 0 0 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE FOUNDATION N N/A - LESS THAN $50,000 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE FOUNDATION O N/A - LESS THAN $50,000 SULPHUR SPRINGS VALLEY ELECTRIC COOPERATIVE FOUNDATION Q N/A - LESS THAN $50,000 SULPHUR SPRINGS VALLEY ELECTRIC CHARITABLE TRUST N N/A - LESS THAN $50,000 SULPHUR SPRINGS VALLEY ELECTRIC CHARITABLE TRUST O N/A - LESS THAN $50,000