2022-11-10T16:56:54-06:00 2021-12-31 450310328 BRADY MARTZ & ASSOCIATES PC PO BOX 14296 GRAND FORKS ND 582084296 990 2021-01-01 410579258 TODD-WADENA ELECTRIC COOPERATIVE INC TODD 2186313120 PO BOX 431 WADENA MN 56482 LISA GRABA-MEECH FINANCE MANAGER/CFO 2186313120 2022-10-31 1 LISA GRABA-MEECH 999009999 MATT LAUGHLIN P00014168 7017754685 2022-10-31 3 AAL1 IAL1 2021 2022-09-23 18:48:47Z LISA GRABA-MEECH PO BOX 431 WADENA MN 56482 21941297 0 X WWW.TODDWADENA.COOP X 1940 MN TO PROVIDE RELIABLE, SAFE AND AFFORDABLE ELECTRICITY TO OUR MEMBERS. 7 7 30 0 -14750 3887 0 0 19571182 20959300 287859 94512 387630 798114 20246671 21851926 5850 8663 1629173 1444411 535017 578900 0 0 0 18148369 20022802 20318409 22054776 -71738 -202850 57150101 59373114 32125155 34006188 25024946 25366926 X TODD-WADENA ELECTRIC COOPERATIVE'S VISION IS TO BE OF GREAT VALUE TO OUR MEMBERS. OUR MISSION IS TO RESPONSIBLY PROVIDE UTILITY SERVICES TO OUR MEMBERS. OUR VALUES ARE MEMBERS, SAFETY, COMMUNICATION, EMPLOYEES, SERVICE, AND EQUITY SHARING. 0 0 TODD-WADENA ELECTRIC COOPERATIVE'S ENHANCED SERVICES FOR ITS 7,422 MEMBERS INCLUDE ENERGY CONSERVATION AND EFFICIENCY GRANTS, REBATES, FREE CONSULTATIONS, AN ENERGY ANALYSIS SERVICE AND STAND ALONE GENERATORS. WE ALSO OFFER A RENEWABLE WIND ENERGY OPTION, SAFETY EDUCATION, A LOAN PROGRAM, MULTIPLE PAYMENT OPTIONS, A MONTHLY NEWSLETTER AND AN INTERACTIVE WEBSITE.ABOUT $8,663 WAS DONATED TO VARIOUS COMMUNITY GROUPS AND ORGANIZATIONS, INCLUDING SCHOOLS, COMMUNITY ACTION, FIRE DEPARTMENTS, CITY FESTIVALS, AND THE LIKE. IN ADDITION, TODD-WADENA'S MEMBERS CONTINUED TO CONTRIBUTE 100% OF THE FUNDING OF ITS 'OPERATION ROUND UP' PROGRAM, A 501(C)(3) PROGRAM THAT FUNDS PROJECTS UNDERTAKEN BY LOCAL COMMUNITY ORGANIZATIONS. OVERSEEN BY AN INDEPENDENT BOARD OF DIRECTORS, RECIPIENT ORGANIZATIONS INCLUDE FOOD SHELVES, SCHOOL GROUPS, CIVIC GROUPS, SENIOR CENTERS, HISTORICAL SOCIETIES, FIRE AND RESCUE DEPARTMENTS AND THE LIKE. IN 2021, $15,000 WAS RAISED AND DISTRIBUTED TO 14 LOCAL SERVICE GROUPS THROUGH THIS PROGRAM.TODD-WADENA CONTINUES TO BE AN AVID SUPPORTER OF LOCAL YOUTH. IN 2021 TWEC UNDERWROTE $4,316 IN SUPPORT OF YOUTH SUCH AS SPONSORING 4H TSHIRTS. IN 2021 TODD-WADENA SUPPORTED EDUCATION THROUGH UNCASHED CAPITAL CREDITS CHECKS PAYING OUT $8,000.TODD-WADENA SUPPORTS THE COMMUNITIES THEY SERVE THROUGH THEIR COMMITMENT TO COMMUNITY PROGRAMS. THERE WAS $8,180 IN SPONSORSHIPS AND EMPLOYEE TIME PROVIDED. 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 1 158 0 30 1 1 1 0 0 0 0 20959300 368062 0 0 0 X 7 7 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 1 1 0 X LISA GRABA-MEECH 2186313120 550 ASH AVE NE WADENA MN 56482 MILES KUSCHEL BOARD CHAIR 13.00 X 19839 0 0 TOM BRICHACEK VICE CHAIR 10.00 X 13824 0 0 DALE ADAMS TREASURER 5.00 X 12174 0 0 KRISTINE SPADGENSKE DIRECTOR 9.00 X 15174 0 0 MARIE KATTERHAGEN SECRETARY 6.00 X 13674 0 0 GENE KERN DIRECTOR 5.00 X 13074 0 0 MICHAEL THORSON DIRECTOR 5.00 X 12024 0 0 DAN CARLISLE PRESIDENT/CEO 45.00 X 218826 0 69571 LISA GRABA-MEECH FINANCE MANAGER/CFO 45.00 X 137168 0 100121 TODD MILLER OPERATIONS MANAGER 45.00 X 134344 0 128527 JON GRENIER CREW CHIEF 44.00 X 118656 0 63060 JASON ORLANDO CREW CHIEF 43.00 X 115733 0 63605 JAMIE LINE CREW CHIEF 42.00 X 116965 0 37329 ALLISON USELMAN MEMBER SERVICE MANAGER 45.00 X 127094 0 31073 1068569 0 493286 7 0 1 0 STAR ENERGY SERVICES LLC 6875 CO RD 28 SW SUITE 2 ALEXANDRIA MN 56308 SAFETY, ENGINEERING, SPRAYING, IT, CUSTO 381424 CARR'S TREE SERVICE PO BOX 250 OTTERTAIL MN 56571 BRUSHING 341967 CENTRAL APPLICATORS INC PO BOX 279 FOLEY MN 56329 SPRAYING 242776 KIMMAN DIRT DIGGERS LLC 12594 HIGHWAY 27 LITTLE FALLS MN 56345 NEW HEADQUARTERS DIRT WORK 168015 NISC PO BOX 1147 MANDAN ND 58554 SOFTWARE AND BILL MAILING SERVICES 142676 5 SALE OF ELECTRICITY 221000 20959300 20959300 20959300 93546 93546 966 0 966 966 966 70036 89371 -19335 -19335 CAPITAL CREDITS 221000 812864 812864 ARGO SOFTWARE HOLDINGS 541300 3335 3335 INCOME FROM STAR ENERGY 541300 1250 1250 817449 21851926 21772164 -14750 94512 8663 1444411 578900 906864 1840074 COST OF POWER 12647227 DISTRIBUTION 2357275 ADMINISTRATIVE AND GENE 1111951 CUSTOMER SERVICE & INFO 612890 546521 22054776 367920 498549 3388435 2039620 1658934 2036544 519350 806617 336199 281720 65411610 22270591 40903080 43141019 380793 588393 9589901 9975189 5489 5463 57150101 59373114 3055425 3450829 1000000 1000000 1992 2025 27164017 28478660 903721 1074674 32125155 34006188 X 0 0 1772649 1895738 23252297 23471188 25024946 25366926 57150101 59373114 X -202850 544830 X 0 1 X 1 0 0 1 X 267548 267548 3190649 364566 2826083 60653471 21906025 38747446 1299942 1299942 43141019 PATRONAGE CAPITAL CREDITS 8962928 C ECONOMIC DEV LOANS 239129 C MEMBERSHIPS 1450 C ENERGY RESOURCE CONSERVATION LOANS 31546 C NRUCFC CERTIFICATES, BONDS & PAPERS 596063 C FREIE 134073 C COOPERATIVE RESPONSE CENTER 10000 C 9975189 POST RETIREMENT BENEFITS 340296 CUSTOMER DEPOSITS 208493 CONSUMER ENERGY PREPAYMENTS 284240 DEFERRED CREDITS 241645 1074674 X 22050316 203136 203136 21847180 4746 4746 21851926 20605905 -4464 -4464 20610369 1444407 1444407 22054776 PART IV, LINE 2B: THE MEMBERS OF THE COOPERATIVE CAN ELECT TO ROUND UP THEIR MONTHLY ELECTRIC BILL TO THE NEXT DOLLAR. THESE FUNDS COLLECTED FROM THE MEMBERSHIP ARE HELD IN A COOPERATIVE ACCOUNT UNTIL THEY ARE RELEASED TO TODD-WADENA ELECTRIC COMMUNITY TRUST (A.K.A. THE OPERATION ROUND UP, INC.). THESE FUNDS ARE TRANSFERRED DIRECTLY TO THE OPERATION ROUND UP ON A MONTHLY BASIS. FUNDS THAT EXIST AT THE END OF THE YEAR ARE A RESULT OF A TIMING DIFFERENCE IN THE RECEIPT OF THE FUNDS AND THE RELEASE OF THEM TO THE OPERATION ROUND UP. FOR THE YEAR ENDED DECEMBER 31, 2021, THE ACCOUNT HELD $2,025. PART X, LINE 2: THE COOPERATIVE IS EXEMPT FROM INCOME TAXES UNDER SECTION 501(C)(12) OF THE INTERNAL REVENUE CODE. THE COOOPERATIVE'S POLICY IS TO EVALUATE THE LIKELIHOOD THAT ITS UNCERTAIN TAX POSITIONS WILL PREVAIL UPON EXAMINATION BASED ON THE EXTENT TO WHICH THOSE POSITIONS HAVE SUBSTANTIAL SUPPORT WITHIN THE INTERNAL REVENUE CODE AND REGULATIONS, REVENUE RULINGS, COURT DECISIONS AND OTHER EVIDENCE. THE COOPERATIVE FILES FEDERAL FORM 990T FOR UNRELATED BUSINESS TAXABLE INCOME (UBTI) AND ACCRUES INCOME TAXES BASED ON TAX RETURNS FILED. THE COOPERATIVE COMPLIES WITH THE PROVISIONS OF ACCOUNTING AND STANDARDS CODIFICATION (ASC) 740-10, ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. AS OF DECEMBER 31, 2021, THE UNRECOGNIZED TAX BENEFIT ACCRUAL WAS ZERO. THE COOPERATIVE WILL RECOGNIZE FUTURE ACCRUED INTEREST AND PENALTIES RELATED TO UNRECOGNIZED TAX BENEFITS IN INCOME TAX EXPENSE IF SUCH PENALTIES AND INTEREST ARE INCURRED. UNDER NORMAL CIRCUMSTANCES, THE COOPERATIVE IS NO LONGER SUBJECT TO FEDERAL TAX EXAMINATIONS BY TAX AUTHORITIES FOR YEARS BEFORE 2018 AND STATE EXAMINATIONS FOR YEARS BEFORE 2018. THE COOPERATIVE HAS UNDERGONE AN ANNUAL ANALYSIS OF VARIOUS TAX POSITIONS, ASSESSING THE LIKELIHOOD OF THOSE POSITIONS BEING UPHELD UPON EXAMINATION WITH RELEVANT TAX AUTHORITIES, AS DEFINED BY ASC 740-10. PART XI, LINE 2D - OTHER ADJUSTMENTS: K1 BOOK INCOME STAR 207,600. NON-OPERATING TAXES -4,464. PART XI, LINE 4B - OTHER ADJUSTMENTS: K-1 TAX INCOME STAR 1,411. K-1 TAX LOSS ARGO 3,335. PART XII, LINE 2D - OTHER ADJUSTMENTS: NON-OPERATING TAXES -4,464. PART XII, LINE 4B - OTHER ADJUSTMENTS: ALLOCATED CAPITAL CREDITS 1,444,407. X 1 1 X X 0 0 0 DAN CARLISLE PRESIDENT/CEO 211350 0 0 0 7476 0 41841 0 27730 0 288397 0 0 0 TODD MILLER OPERATIONS MANAGER 128941 0 0 0 5403 0 97944 0 30583 0 262871 0 0 0 LISA GRABA-MEECH FINANCE MANAGER/CFO 136061 0 0 0 1107 0 67517 0 32604 0 237289 0 0 0 JON GRENIER CREW CHIEF 118168 0 0 0 488 0 32037 0 31023 0 181716 0 0 0 JASON ORLANDO CREW CHIEF 115310 0 0 0 423 0 32582 0 31023 0 179338 0 0 0 ALLISON USELMAN MEMBER SERVICE MANAGER 126321 0 0 0 773 0 16590 0 14483 0 158167 0 0 0 JAMIE LINE CREW CHIEF 116724 0 0 0 241 0 24155 0 13174 0 154294 0 0 0 PART I, LINE 1A TRAVEL FOR THE SPOUSE OF THE CEO IS ALLOWED FOR TWO MEETINGS DURING THE YEAR. THE AMOUNT PAID FOR THE TRAVEL IS INCLUDED IN THE CEO'S W-2. THE BOARD OF DIRECTORS BELIEVES IT IS GOOD PRACTICE FOR SPOUSES TO ATTEND MEETINGS TO GAIN KNOWLEDGE REGARDING THE COOPERATIVE. ALL OTHER SPOUSES MUST PAY THEIR OWN WAY. SOCIAL CLUB DUES ARE REIMBURSED FOR STAFF WHO ATTEND APPROVED ORGANIZATIONS. CLUBS SUCH AS ROTARY AND LIONS PROVIDE SUPPORT FOR COMMUNITIES WHICH IS ONE OF THE CORE VALUES OF A COOPERATIVE. RECEIPTS MUST BE TURNED IN FOR SOCIAL CLUB DUES AND EXPENSES. PART II, OFFICER COMPENSATION: THE CONTRIBUTION RATE FOR PARTICIPANTS IN THE NRECA R&S DEFINED BENEFIT PENSION PLAN ARE ONE VALUE FOR PARTICIPANTS WITH AN EMPLOYMENT DATE BEFORE 12/31/10 AND ANOTHER VALUE FOR THOSE WITH AN INITIAL EMPLOYMENT DATE AFTER 12/31/10. THE CHANGE IN ACTUARIAL VALUE FOR EACH PARTICIPANT, HOWEVER, VARIES WITH YEARS OF SERVICE AND YEARS TO RETIREMENT. IN OTHER WORDS, THE CLOSER TO RETIREMENT A PLAN PARTICIPANT IS, THE GREATER THE INCREASE IN THAT INDIVIDUAL'S CHANGE IN ACTUARIAL VALUE, ALL OTHER THINGS BEING EQUAL. PART II, COLUMN (C): INCLUDED IN COLUMN (C), DEFERRED COMPENSATION, IS THE ESTIMATED ANNUAL INCREASE IN THE ACTUARIAL VALUE OF THE DEFINED BENEFIT PLAN. THE ESTIMATED INCREASE FOR LISA GRABA-MEECH, DAN CARLISLE, JON GRENIER, JAMIE LINE, JASON ORLANDO, ALLISON USELMAN, AND TODD MILLER, WAS $63,195, $24,447, $28,950, $21,079, $29,504, $6,332 AND $93,910, RESPECTIVELY. THIS AMOUNT IS AN ESTIMATE IN THE INCREASE OF THE VALUE OF THE PLAN AND IS NOT A CURRENT YEAR EXPENSE OF THE COOPERATIVE. THE CURRENT YEAR EXPENSE FOR THIS DEFINED BENEFIT PLAN WAS $26,859 FOR LISA GRABA-MEECH, $14,215 FOR DAN CARLISLE, $19,110 FOR JON GRENIER, $19,110 FOR JAMIE LINE, $19,110 FOR JASON ORLANDO, $8,211 FOR ALLISON USELMAN AND $25,002 FOR TODD MILLER. FORM 990, PART VI, SECTION A, LINE 6 THERE IS ONLY ONE CLASS OF MEMBERS. ALL MEMBERS HAVE EQUAL VOTING POWER. THERE ARE NO STOCKHOLDERS. FORM 990, PART VI, SECTION A, LINE 7A THE GOVERNING BODY IS ELECTED AT THE ANNUAL MEETING OF MEMBERS. EACH MEMBER HAS ONE VOTE. FORM 990, PART VI, SECTION A, LINE 7B CHANGES TO THE ARTICLES OF INCORPORATION OR BY-LAWS MUST BE APPROVED BY NOT LESS THAN A TWO-THIRDS VOTE OF THE MEMBERS, PRESENT IN PERSON OR REPRESENTED BY MAIL VOTE, AT ANY ANNUAL OR SPECIAL MEETING. FORM 990, PART VI, SECTION A, LINE 8B THE COOPERATIVE DOES NOT HAVE ANY COMMITTEES WITH THE BROAD AUTHORITY TO ACT ON BEHALF OF THE FULL BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11B FOLLOWING A REVIEW OF THE FORM 990 BY THE CFO, THE 990 WAS PROVIDED TO THE CEO AND BOARD OF DIRECTORS BEFORE FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY IS REVIEWED ANNUALLY, AND THE BOARD OF DIRECTORS COMPLETE AND SIGN A CONFLICT OF INTEREST CERTIFICATION AND DISCLOSURE FORM AND RELATIONSHIP LETTER ANNUALLY. FORM 990, PART VI, SECTION B, LINE 15 THE COMPENSATION FOR THE CEO AND KEY EMPLOYEES IS APPROVED BY THE BOARD BASED ON DATA COLLECTED FROM VARIOUS SOURCES, SUCH AS THE NRECA NATIONAL COMPENSATION SURVEY. THIS PROCESS WAS LAST PERFORMED IN OCTOBER 2021 AND NOTED IN THE BOARD MINUTES. FORM 990, PART VI, SECTION C, LINE 19 THE FINANCIAL STATEMENTS AND GOVERNING DOCUMENTS ARE AVAILABLE UPON REQUEST TO THE MEMBERSHIP. FORM 990, PART XI, LINE 9: RETIREMENT OF CAPITAL CREDITS -1,102,434. ALLOCATED CAPITAL CREDITS 1,444,411. BOOK TO TAX DIFFERENCE - STAR 206,188. BOOK TO TAX DIFFERENCE - ARGO -3,335. FORM 990, PART VI, SECTION B, LINE 16A & 16B PARTICIPATION IN A JOINT VENTURE: ALTHOUGH THERE IS NO WRITTEN PROCEDURE GOVERNING TODD-WADENA'S PARTICIPATION IN STAR ENERGY SERVICES LLC THE 10 MEMBER BOARD OF DIRECTORS OF STAR ENERGY SERVICES LLC IS COMPRISED OF ONE CEO AND ONE BOARD MEMBER FROM ALL FIVE PARTICIPATING 501(C)(12) ELECTRIC CO-OPS THAT CREATED STAR ENERGY SERVICES LLC. THUS TODD-WADENA HAS FIRST HAND KNOWLEDGE OF THE ACTIVITIES OF STAR ENERGY SERVICES LLC AND IS ABLE TO ENSURE THE INVESTMENT IN STAR ENERGY SERVICES LLC DOES NOT JEOPARDIZE TODD-WADENA'S EXEMPT STATUS. FORM 990, PART IX, LINE 4 PATRONAGE DIVIDENDS PAID: AS REQUIRED BY 990 INSTRUCTIONS, FORM 990, PART IX, LINE 4 (BENEFITS PAID TO OR FOR MEMBERS) INCLUDES PATRONAGE DIVIDENDS PAID. THIS AMOUNT IS AN EXPENSE FOR PURPOSES OF FORM 990, BUT IS NOT RECOGNIZED AS AN EXPENSE UNDER G.A.A.P. REPORTING REQUIREMENTS, WHICH ARE USED FOR BOOK INCOME. THE RESULT IS A BOOK TO TAX DIFFERENCE WHICH IS DISCLOSED ON PART XI AND ON SCHEDULE D, PARTS XI AND XIII. IN REFERENCE TO PART IX, LINE 4, THE COOPERATIVE HAS INTERPRETED "PATRONAGE DIVIDENDS PAID" AS CAPITAL CREDITS ALLOCATED TO MEMBERS UNDER THE PREEXISTING OBLIGATIONS PURSUANT TO THE BYLAWS OF THE COOPERATIVE. TODD-WADENA ELECTRIC COMMUNITY TRUST 550 ASH AVE NE WADENA MN 56482 416493036 PROVIDES A FUNDING SOURCE FOR OTHER NON-PROFIT ORGANIZATIONS MN 501(C)(3) LINE 7 TODD-WADENA ELECTRIC COOPERATIVE INC 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0