2025-05-13T12:09:29-07:00 2024-12-31 990 2024-01-01 741937134 SAN MIGUEL ELECTRIC COOPERATIVE INC SANM 8307843411 PO Box 280 Jourdanton TX 78026 Vanessa Pawelek Chief Financial Officer 8307843411 2025-05-15 1 2024 2025-03-06 01:10:19Z Vanessa Pawelek 6200 FM 3387 Christine TX 78012 175587078 0 X http://www.smeci.net/ X 1977 TX San Miguel was created for the sole purpose of owning and operating a 400 MW mine-mouth lignite-fired generating plant and associated mining facilities to furnish power and energy to its member cooperatives. 19 19 175 0 0 0 0 0 175872850 165589898 6072762 5635852 3006664 4361328 184952276 175587078 0 0 4434619 4446962 19435192 18829250 0 0 0 161082465 152310866 184952276 175587078 0 0 539268827 526765010 420990619 405217045 118278208 121547965 Provide safe, reliable and affordable power to our members through diligent resource management, environmental stewardship, and employee growth, while helping to meet needs within the communities we serve. Maintain a dependable power supply at the lowest possible and competitive cost to our customers through integrity, hard work, and safety. 0 0 San Miguel Electric Cooperative, Inc. was created for the sole purpose of owning and operating a 400 Megawatt mine-mouth lignite-fired generating plant and associated mining facility to furnish power and energy to its members on a cooperative basis. 0 0 0 0 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 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 119 0 1 175 1 0 0 0 0 0 164374238 16213839 0 0 0 X 19 19 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X Vanessa Pawelek 8307843411 PO Box 280 Jourdanton TX 78026 X Craig Courter General Manager 50 X 495017 0 92595 Casey Bird EHS & Engineering Manager 94 X 249683 0 39790 David Burris Fuels Manager 45 X 222609 0 28804 Derek Burns Operations, Maintenance, & Engineering Manager 55 X 197743 0 39059 Vanessa Pawelek Chief Financial Officer 60 X 172596 0 40692 Benino Ramirez Mechanic Crew A 40 X 153757 0 42599 Patrick Rakowitz Mechanic Leadman 40 X 154307 0 39294 David Loeffler Class A Mechanic 40 X 140949 0 49161 Apolinar Garcia Control Room Operator Class A 40 X 149380 0 35916 Benny Garza Safety Training Supervisor 40 X 167570 0 16525 Brian Acosta Director 6 X 15096 0 0 Rolando Alaniz Director 5 X 15056 0 0 John Roach Director 12 X 14048 0 0 Mike Ables Director 4 X 13866 0 0 Clyde Stewart Secretary/Treasurer 7 X 13786 0 0 David Rosse Director 3.5 X 13676 0 0 Michael Jacobs Assistant Secretary/Treasurer 4 X 13650 0 0 Clif Lange Director 10 X 13650 0 0 Colt Haack Director 7 X 13622 0 0 Blaine Warzecha Vice President (Acting President Nov-Dec) 4 X 13527 0 0 Trey Grebe Director 4.5 X 12997 0 0 Larry Schendel Director 2 X 12985 0 0 Eric Halfmann Director 3 X 12838 0 0 Bode Hausmann Director 4.5 X 12831 0 0 Ron Hughes Director 4 X 12418 0 0 Kenneth White President (Jan-Oct) 9 X 11765 0 0 Kenneth Weynand Director 4 X 2112 0 0 Jim Coleman Director 6 X 1950 0 0 Avan Irani Director 4.5 X 0 0 0 Gary Raybon Director 6 X 0 0 0 2323484 0 424435 69 0 1 0 North American Construction Group 27287 100th Avenue Acheson Alberta CA T7X6H8 Mining Contractor 54906642 The Atlantic Group PO Box 654068 Dallas TX 75265 Contract Labor 5587201 Siemens Energy Dept Ch 10169 Palatine IL 60055 Turbine rebuild contractor 1752961 Taurus Industrial Group LLC P O Box 219 Deer Park TX 77536 Contract Labor 1341066 Howden PO Box 417538 Boston MA 02241 Equipment contractor labor & materials 1088738 119 0 0 0 0 0 0 0 0 Generation of Electricity 221000 165589898 165589898 0 0 0 0 0 0 165589898 5635852 0 0 5635852 0 0 0 0 555666 0 0 555666 0 0 0 0 0 Transmission 221000 1714813 1714813 0 0 Deferred Revenues 221000 -1215660 -1215660 0 0 Sales of SO2 - Emissions Allowance 221000 11 11 0 0 3306498 3306498 0 0 3805662 175587078 169395560 0 6191518 X 4446962 1557518 13812231 2352933 1106568 1571958 15907309 24738576 FUELS 53325602 ADMINISTRATION 2539247 OPERATIONS 13181931 MAINTENANCE 32821115 8225128 175587078 0 0 0 X 95664 39226 6441485 25926 0 0 9749408 12998729 0 0 0 0 0 77153123 80923441 32564163 31803132 832265406 545546643 304173307 286718763 106948852 112148099 2142825 2107694 539268827 526765010 10327055 12408121 0 0 38021900 37108266 63813757 60037774 0 0 0 0 276638417 264859696 3490800 0 28698690 30803188 420990619 405217045 X 0 0 0 0 118278208 121547965 118278208 121547965 539268827 526765010 X 0 0 0 0 0 3269757 X X 0 1 X 1 0 25256065 0 25256065 531957668 0 398014904 133942764 0 0 0 0 168745916 0 126420417 42325499 106305757 0 21111322 85194435 286718763 Mine closure & Plant Decommissioning 95330000 F Ash Pond Cleanout Funds 2636182 F Patronage Capital from Associated cooperatives 4054874 F Restricted Investments in Associated Organizations 10127043 F 112148099 ASSET RETIREMENT OBLIGATIONS 5689209 ACCUMULATED PROVISION FOR MINE CLOSURE 25113979 30803188 X 165589898 0 0 0 0 0 165589898 0 9997180 9997180 175587078 171140116 0 0 0 0 0 171140116 0 4446962 4446962 175587078 Schedule D, Part X, Line 2 ASC topic #740, "Income Taxes" requires that an enterprise cannot recognize a tax benefit in its financial statements unless it concludes that it is "more likely than not: that the benefit will be sustained on audit by the taxing authority". Tax-exempt and not-for-profit enterprises are also within the scope of the ASC, since the decision that some or all of an enterprise's activities are not subject to income taxes is itself a tax position for which the interpretation requires evaluation. At adoption, and annually thereafter, San Miguel applies the requirements to all tax positions for which the statute of limitations remained open. San Miguel recognizes the financial benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. San Miguel Electric Cooperative, Inc. was determined by the Internal Revenue Service to be an exempt cooperative for purposes of federal income taxes, under Section 501 (c)(12) of the Internal Revenue code, in years when receipts from members, for the prose of meeting losses and expenses, are at least 85 percent of the total income. The amount of unrecognized tax benefits as of December 31, 2024, was zero. Schedule D, Part XI, Line 4b See general explanations on Schedule O for form 990 part 1 line 19 Schedule D, Part XII, Line 4b See general explanations on Schedule O for form 990 part 1 line 19. X X X X 1 0 0 Craig Courter General Manager 493558 0 0 0 1459 0 47649 0 44947 0 587613 0 0 0 Casey Bird EHS & Engineering Manager 171612 0 10240 0 67831 0 5392 0 34398 0 289473 0 0 0 David Burris Fuels Manager 194901 0 19167 0 8540 0 18318 0 10486 0 251412 0 0 0 Derek Burns Operations, Maintenance, & Engineering Manager 171831 0 16953 0 8958 0 6143 0 32917 0 236802 0 0 0 Vanessa Pawelek Chief Financial Officer 158291 0 13719 0 585 0 8908 0 31784 0 213287 0 0 0 Benino Ramirez Mechanic Crew A 150737 0 3020 0 0 0 9845 0 32754 0 196356 0 0 0 Patrick Rakowitz Mechanic Leadman 146871 0 2976 0 4459 0 7867 0 31427 0 193600 0 0 0 David Loeffler Class A Mechanic 137392 0 3158 0 400 0 16319 0 32842 0 190111 0 0 0 Apolinar Garcia Control Room Operator Class A 146221 0 2667 0 491 0 4736 0 31180 0 185295 0 0 0 Benny Garza Safety Training Supervisor 115473 0 2672 0 49424 0 0 0 16525 0 184094 0 0 0 Schedule J, Part I, Line 4 During 2024, a severance payment was issued to a key employee. Such payment was not material to the financial position, nor the overall mission of the Cooperative. A Atascosa County Industrial Development Corp 870810599 046578AC4 2020-06-18 62540000 To redeem 2008 Series Pollution Control Bonds 0 0 0 A 2800000 52110000 0 0 0 0 0 0 0 0 0 0 1982 1 0 1 1 A 0 0 0 0 0 0 0 0 0 1 A 0 0 0 1 0 0 0 0 0 A 1 Schedule K, Part IV, Line 2c-06/18/2020 62,540,000 Atascosa County Industrial Development Corp Rebate calculation was updated June 18, 2020. Form 990, Part I, Line 19 For the 2011 tax reporting year, the IRS made a significant change to the 990 instructions, whereby entites exempt under 501 (c)12) of the Internal Revenue Code are to report patronage dividend paid to their members on Part IX, Line 4. San Miguel being duly organized in the State of Texas and exempt under 501 (c)(12) of the Internal Revenue code operates on a cooperative, non-profit basis for the mutual benefit of its patrons. As such, all revenues or margins received in excess of operating costs are retained as equity and allocated a credit to each patron's capital account. Should the Board of directors determine that the financial conditions of the cooperative will not be impaired, and there are not requirements which restrict such distribution, the Board of Directors may choose to retire credits reflected in member accounts in part or in full. Retirements of capital credits are restricted under San Miguel's current mortgage indenture until certain thresholds be met. San Miguel interprets the definition of "paid" to mean paid in money, property, or qualified written allocations: therefore, San Miguel is reporting as allocate, for the 2011 and all subsequent tax reporting years, all excess margins as paid to its patrons on an annual basis in accordance with the above referenced interpretations fo the IRS instructions. Form 990, Part VI, Section A, Line 1b The decisions of the San Miguel Board of Directors are reported directly to the governing boards of the 10 member cooperatives. Certain contracts, i.e. wholesale power contracts are subject to the approval by the members of the 10 cooperatives. Form 990, Part VI, Section A, Line 6 San Miguel Electric Cooperative, Inc (San Miguel) is a not-for-profit cooperative corporation organized for the purpose of generating electric power. San Miguel sells power pursuant to a wholesale power contract with South Texas Electric Cooperative, Inc (South Texas), which is a generation and transmission cooperative. South Texas in turn, sells power at wholesale to their 10 member cooperatives, all of which are distribution cooperatives providing retail service to their member-customers. Form 990, Part VI, Section A, Line 7a San Miguel is governed by a board of 19 directors, each of whom is selected by and represents one of the 10 member cooperatives. The directors are elected annually at the San Miguel Annual Meeting. Form 990, Part VI, Section A, Line 7b The decisions of the San Miguel Board of directors are reported directly to the governing boards for the member cooperatives. Certain contracts, i.e., wholesale power contracts are subject to the approval by the members of the cooperatives. Form 990, Part VI, Section B, Line 11b A copy of the draft IRS Form 990 was provided to each of the current board members for the April 2025 meeting. Company personnel reviewed the form 990 at the Finance and Audit Commitee meeting on April 24, 2025, with the full board present. Board members were given an opportunity to ask any questions prior to the filing of the return. Form 990, Part VI, Section B, Line 12c The San Miguel Board of Directors approved a Conflict-of-Interest Policy on December 10,2008. Since then, the policy has been amended on 07/21/2017 and 08/19/2022. The policy requires each "member of the Board of Directors, the General Manager, General counsel and all Department Managers to file with the President of the Board of Directors, a Disclosure Report within (30) days after attaining such a position or status and then annually thereafter". The policy further specifies that "The President of the Board of Directors shall report no later than the regular March monthly Board meeting each year that he or she has received disclosure reports from all reporting persons signed and dated by February 15th of the current year". The disclosure report includes questions regarding each person's personal and business relationships and any potential claims against San Miguel. In accordance with the policy requirements, the above-mentioned parties are asked to complete and sign both the disclosure report and/or the conflict-of-interest report on an annual basis. Form 990, Part VI, Section B, Line 15 The Salaries of all officers are based on a national survey for similar positions in the utility industry and recommended by an independent management consulting agency. Form 990, Part VI, Section C, Line 19 As San Miguel has outstanding loan funds guaranteed by the Rural Utilities Service, the financial statements are a matter of public record and are provided to individuals upon request. We do not typically make San Miguel's governing documents or conflict of interest policy available to the public. Form 990, Part VII, Section A, Line 1a See general explanation on Schedule O for form 990, Part VI, Section B, Line 15. Form 990, Part IX, Line 4 See general explanation on Schedule O for core Form 990, Part I, Line 19. Form 990, Part X, Line 2 See general explanations on schedule O for form 990. Form 990, Part XI, Line 9 As part of the Brazos Transaction, funds were received in advance for Brazos' portion or debt obligations. During 2024, $1,177,204 of original debt obligations was amortized. As referenced on Schedule O, Part 1, Line 19, San Miguel's margins received in excess of operating costs are retained as equity and allocated as a credit to each patron's capital account. The amount of margins retained in 2024 was $4,446,962. the net margins and repaid debt netted to $3,269,756. Form 990, Part XII, Line 2c Yes, the organization does have a committee that assumes responsibility for oversight of the audit, but no changes in its oversight process or selection has occurred during 2024.