2024-10-22T13:40:28-05:00 2023-12-31 450250958 Eide Bailly LLP 4585 Coleman St Ste 200 Bismarck ND 58503 990 2023-01-01 381101255 Thumb Electric Cooperative Inc THUM 9896588571 2231 Main Street Ubly MI 484750157 Bradley Essenmacher General Manager 9896588571 2024-10-17 1 1 Lisa Chaffee CPA P00193453 7012551091 2024-10-14 2023 2024-10-15 13:58:12Z Bradley Essenmacher 2231 Main Street Ubly MI 484750157 31283735 0 X www.tecmi.coop X 1937 MI Electric Cooperative with Broadband. 9 9 65 0 587361 0 0 0 27510812 30575610 637946 644181 51939 47538 28200697 31267329 0 0 1448143 2268423 5624991 6931247 0 0 0 19953529 21545306 27026663 30744976 1174034 522353 142582924 169361198 110594045 134122237 31988879 35238961 Electric Cooperative with Fiber Division. 0 0 Electric power and services provided to 12,395 members and served 2,004 miles. Fiber division provided broadband to 1,851 members. 0 0 0 0 0 0 0 0 0 1 0 1 0 0 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 24 0 1 65 1 1 1 0 0 0 0 26781316 1243709 0 0 0 X 9 9 0 0 1 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 1 0 X Deborah Peruski 9896588571 2231 Main Street Ubly MI 484750157 X Jonathan M Findlay President 2.00 X X 14000 0 0 Kim Nunn Vice President 2.00 X X 11200 0 0 Mike P Briolat Secretary 2.00 X X 8000 0 0 Randall J Dhyse Treasurer 2.00 X X 7400 0 0 Duane Kursinsky Director 2.00 X 5800 0 0 Louis E Wenzlaff Director 2.00 X 7400 0 0 Craig M Osentoski Director 2.00 X 8200 0 0 Matt L Sommer Director 2.00 X 8200 0 0 Erica L Weidman Director 2.00 X 6000 0 0 Bradley Essenmacher General Manager 40.00 X 252879 0 110728 Deborah Peruski Accounting Manager 40.00 X 123744 0 152564 Brandon Legault Operations Manager 40.00 X 165700 0 35659 James Vogel Journeyman Lineman-Foreman 40.00 X 162691 0 42792 Gary Burns Jr Journeyman Lineman-Foreman 40.00 X 157088 0 30515 Daniel Land Journeyman Lineman 40.00 X 149138 0 17407 Jeffrey Swick Journeyman Lineman 40.00 X 149516 0 63136 Jacob Waun Journeyman Lineman 40.00 X 147317 0 15012 Dallas Braun Former General Manager 40.00 X 213028 0 30202 1597301 0 498015 21 1 1 0 Lecom Construction 27663 Mound Rd Warren MI 48092 Fiber Contractor 8966198 Pulse Broadband LLC 2121 Coooperative Way Ste 600 Herndon VA 20171 Fiber Materials 3064308 IRBY PO Box 741001 Atlanta GA 30384 Line/Fiber Materials 2721089 Kappen Tree Service 2675 Hurds Corner Rd Cass City MI 48726 Tree Trimming 2177509 RESCO PO Box 44430 Madison WI 537444430 Line/Fiber Materials 1589281 10 Electric Sales 221000 24527326 24527326 Fiber Revenue 517000 3668659 3668659 Other Sales 900099 1594194 1594194 Capital Credits 221000 785298 785298 133 133 30575610 634339 587361 46978 55986 8448 47538 47538 47538 17800 7958 9842 9842 9842 31267329 30575610 587361 104358 X 2268423 797068 243230 4621022 861951 407976 1124066 3895123 3695548 Cost of Power 10885110 Distribution 4102206 Fiber 2015849 Admin and General 1519424 -5692020 30744976 1789360 1921415 5629904 7111281 10786066 12661701 202416 197645 162642946 36736369 102308548 125906577 21818350 21527142 48280 35437 142582924 169361198 12617661 14584418 791528 819245 97184856 118718574 110594045 134122237 X 190495 192790 0 0 31798384 35046171 31988879 35238961 142582924 169361198 X 522353 2727729 X 0 1 X 1 0 1163862 1163862 2950428 907829 2042599 140706045 35828540 104877505 17822611 17822611 125906577 Vacant Land 12000 C Hogan Property 63282 C Associated Organizations-Patronage Capital 1865648 C Investment in Thumb Energy Service Corporation -65291 C Air Advantage LLC 18936714 C Capital Term Certificates 560419 C Member Capital Securities 150000 C Cooperative Finance Corp Membership 2000 C CoBank Investment 1000 C CTC Subscription 1370 C 21527142 X 31822437 555108 555108 31267329 0 31267329 28476553 0 28476553 2268423 2268423 30744976 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 of Wholly Owned Subsidiary 555,108. Part XII, Line 4b - Other Adjustments: Current Year Patronage Allocation 2,268,423. 0 0 0 Bradley Essenmacher General Manager 249037 0 0 0 3842 0 89024 0 25179 0 367082 0 0 0 Deborah Peruski Accounting Manager 122223 0 0 0 1521 0 143861 0 10813 0 278418 0 0 0 Dallas Braun Former General Manager 116732 0 0 0 96296 0 202 0 30000 0 243230 0 0 0 Jeffrey Swick Journeyman Lineman 148134 0 0 0 1382 0 47569 0 17515 0 214600 0 0 0 James Vogel Journeyman Lineman-Foreman 162201 0 0 0 490 0 22170 0 22515 0 207376 0 0 0 Brandon Legault Operations Manager 165258 0 0 0 442 0 35659 0 2487 0 203846 0 0 0 Gary Burns Jr Journeyman Lineman-Foreman 156839 0 0 0 249 0 11973 0 20557 0 189618 0 0 0 Daniel Land Journeyman Lineman 148916 0 0 0 222 0 4075 0 15208 0 168421 0 0 0 Jacob Waun Journeyman Lineman 147219 0 0 0 98 0 8033 0 8848 0 164198 0 0 0 Schedule J, Part II, column C, Deferred Compensation: Included in other 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 statement for Form 990, Part VII, Column f. Form 990, Part VI, Section A, line 4 The bylaws were updated for a change in the Board of Director nominations. The bylaws state all nominations for directors shall be made by the filing of a nominating petition in the form prescribed by the Board. To be eligible for nomination, a candidate must meet the qualifications for the office of director as set forth in these Bylaws. Nominating petitions shall be signed by not less than fifteen (15) members of the Cooperative in good standing from the county which the candidate seeks to represent. Form 990, Part VI, Section A, line 6 The Cooperative has members. Each member has one voting right. Form 990, Part VI, Section A, line 7a The Board of Directors is elected by the members. Form 990, Part VI, Section A, line 7b Members vote on items affecting the bylaws of the Cooperative. Form 990, Part VI, Section A, line 8b There are no other committees that act on behalf of the governing board. Form 990, Part VI, Section B, line 11b The Form 990 is reviewed and approved by the General Manager and Accounting Manager. The form is then provided to the Board before it is filed with the IRS. Form 990, Part VI, Section B, line 12c The Board and Management staff conduct a yearly review for any conflicts. The General Manager reviews the documents and determines if a conflict exists. The General Manager would request that individual abstain from voting. Form 990, Part VI, Section B, line 15 The Board annually reviews and approves the compensation for the General Manager and Accounting Manager in conjunction with NRECA compensation study. The Board review and approval is substantiated in the Board minutes. Form 990, Part VI, Section C, line 19 The governing documents, conflict of interest policy and financial statements are available to the public upon request. Form 990, Part Vll, Section A, Line 1a: Included in column "F", estimated amount of other compensation, is the estimated annual increase in the actuarial value of the defined benefit plan. The estimated increase is as follows for the Part VII individuals: Bradley Essenmacher: $79,019 Deborah Peruski: $138,943 Brandon Legault: $29,344 Gary Burns Jr: $7,405 James Vogel: $17,602 Daniel Land: $2,038 Jeffrey Swick: $43,286 Jacob Waun: $3,750 These amounts are estimates in the increase of the value of the plan and are not current year expenses of the cooperative. The current year expense for this defined benefit plan was as follows: Bradley Essenmacher: $50,791 Deborah Peruski: $31,382 Brandon Legault: $36,655 Gary Burns Jr: $24,394 James Vogel: $22,867 Daniel Land: $22,867 Jeffrey Swick: $22,867 Jacob Waun: $22,867 Dallas Braun had no actuarial change due to his retirement on 12/31/2022. Form 990, Part IX, Line 4 The Cooperative has interpreted the instructions to this line and section to mean patronage capital allocated for the year, rather than patronage capital retired. This is consistent with the Cooperative bylaws. Form 990, Part IX, Statement of Functional Expenses, Line 24e 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 included on line 24e in the amount of $(6,931,247). Form 990, Part XI, line 9: Change in Membership 2,295. Other Equity Transactions 135,094. Retirement of Capital Credits -233,191. Patronage Capital Allocated 2,268,423. Earnings of Wholly Owned Subsidiary 555,108. Thumb Energy Services Inc 2231 Main Strret Ubly MI 48475 383291674 Holding Company MI Thumb Electric Cooperative Inc C 5664920 20173685 1.00000 1 1 0 0 0 0 1 0 0 0 0 0 0 0 1 1 0 0 1 1 Thumb Energy Services Corporation A 587361 General Ledger/Loan Document Thumb Energy Services Corporation O 248831 General Ledger Thumb Energy Services Corporation S 1690000 General Ledger Thumb Energy Services Corporation R 425000 General Ledger Thumb Energy Services Corporation F 800000 General Ledger