2021-11-15T18:19:43-06:00 2020-12-31 135381590 BDO USA LLP 601 UNION ST STE 2300 SEATTLE WA 981012345 990 2020-01-01 910361270 PENINSULA LIGHT COMPANY PENI 2538575950 13315 GOODNOUGH DR NW GIG HARBOR WA 98332 JAFAR TAGHAVI CEO 2538575950 2021-11-15 1 JAFAR TAGHAVI 999009999 CHRISTOPHER D EBERT P00707090 2063827777 2021-11-15 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z JAFAR TAGHAVI 13315 GOODNOUGH DR NW GIG HARBOR WA 98332 64356579 0 X WWW.PENLIGHT.ORG X 1925 WA ALL ACTIVITIES ARE THE RESULT OF PROVIDING ELECTRICITY AND WATER TO MEMBERS AND OPERATING THE COMPANY IN A FISCALLY RESPONSIBLE MANNER CONSISTENT WITH THE PURPOSES OF THE MUTUAL CORPORATION. 9 9 94 0 0 0 0 0 60020283 62334559 311843 411906 883246 1199101 61215372 63945566 0 0 0 0 2523399 3292803 0 0 0 53040989 55671065 55564388 58963868 5650984 4981698 196809863 203553467 47435863 45072795 149374000 158480672 ALL ACTIVITIES ARE THE RESULT OF PROVIDING ELECTRICITY AND WATER TO MEMBERS AND OPERATING THE COMPANY IN A FISCALLY RESPONSIBLE MANNER CONSISTENT WITH THE PURPOSES OF THE MUTUAL CORPORATION. 0 0 DISTRIBUTION OF ELECTRICITY AND WATER TO MEMBERS' PROPERTY. CURRENTLY SERVES 32,332 MEMBERS. 0 0 0 0 0 0 0 0 0 1 1 0 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 0 0 1 29 0 1 94 1 0 0 0 0 0 62649767 1199077 0 0 0 X 9 9 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 1 0 X CEO & CONTROLLER 2538575950 13315 GOODNOUGH DR NW GIG HARBOR WA 98332 TAGHAVI JAFAR CHIEF EXECUTIVE OFFICER 40.00 X 482417 0 253371 SIMPSON MICHAEL CHIEF OPERATIONS OFFICER 40.00 X 170432 0 84191 WICKSTROM KENNETH WORKING FOREMAN 40.00 X 139872 0 104078 CAINES DANIEL JOURNEYMAN LINEMAN 40.00 X 172845 0 57237 WAINWRIGHT DANIEL WORKING FOREMAN 40.00 X 126331 0 101625 IVERSON CHRISTY MEMBER SERVICE MANAGER 40.00 X 116680 0 110048 HALL LISA CHIEF BUSINESS OFFICER 40.00 X 161892 0 57660 MARKOVICH NICK BOARD OF DIRECTOR 6.00 X 24850 0 0 JORGENSON MARC BOARD OF DIRECTOR 6.00 X X 23600 0 0 UDDENBERG SIGNO BOARD OF DIRECTOR 6.00 X 23535 0 0 ROSS DEBRA SECRETARY & DIRECTOR 6.00 X X 23100 0 0 SPADONI ROGER M BOARD OF DIRECTOR 6.00 X 21600 0 0 SMALLEY JAMES BOARD OF DIRECTOR 6.00 X 21300 0 0 NORDFORS SPENCE TREASURER AND DIRECTOR 6.00 X X 21300 0 0 JUNGE SCOTT VICE PRESIDENT & DIRECTOR 6.00 X X 21300 0 0 ALVESTAD L PAUL PRESIDENT & DIRECTOR 6.00 X X 24800 0 0 1575854 0 768210 33 0 1 0 ACTIVE CONSTRUCTION INC 5110 RIVER ROAD E TACOMA WA 98443 OPERATIONS CONSTRUCTION/MAINTENANCE 862993 ASPLUNDH TREE EXPERT CO 708 BLAIR MILL ROAD WILLOW GROVE PA 19090 TREE TRIMING/VEGETATION MANAGEMENT 785922 PRAECE CONSULTING 25 16TH ST NE STE B AUBURN WA 98002 ENGINEERING CONSULTING SERVICES 404756 EQUIPMENT EXPERTS INC 2704 104TH ST CT S BLDG K LAKEWOOD WA 98499 FLEET MANAGEMENT 313855 RCE TRAFFIC CONTROL INC 2525 SE SEDGWICK RD PORT ORCHARD WA 98366 FLAGGING SERVICES 253703 6 ELECTRICITY 221000 59522039 59522039 WATER 221000 1586363 1586363 RENEWABLE ENERGY CREDIT SALES 221000 526060 526060 HOOKUP/DISCONNECT/ENGINEERING FEE 221000 348925 348925 MEMBER SERVICE INC 221000 235055 235055 116117 116117 62334559 263569 263569 10820 462276 19395 0 -8575 462276 453701 -8575 462276 539955 391618 148337 148337 148337 INCOME FROM EQUITY METHOD INVESTE 900099 745400 745400 745400 63945566 63219721 0 725845 1160725 1274597 35878 612779 208824 154312 162219 23805 172344 68511 51241 41105 1859630 7445230 205882 POWER EXPENSE 30345008 DISTRIBUTION 4773583 TAXES 3078619 MAINTENANCE 2562779 4726797 58963868 9244194 6050562 245205 288659 7891002 8473329 2137009 2154420 732356 1038959 211518398 82311669 122928689 129206729 46807391 50207915 6824017 6132894 196809863 203553467 6000777 5585706 533301 574718 40901785 38912371 47435863 45072795 X 0 0 4213762 4243212 145160238 154237460 149374000 158480672 196809863 203553467 X 4981698 4124974 X 0 1 X 1 0 3683188 3683188 166731 7201139 4971526 2396344 41115 16608 24507 186262071 77323535 108938536 14164154 14164154 129206729 18809116 C CAPITAL TERM CERTIFICATES 1215943 C PATRONAGE CAPITAL CERTIFICATES - CFC 1541324 C FEDERATED INSURANCE PREFERRED STOCK 289929 C INVESTMENT IN PLC ENERGY 26823320 C KPUD ESCROW 570142 C FIDELITY 958141 C 50207915 X PART X, LINE 2: PLC IS EXEMPT FROM FEDERAL INCOME TAX UNDER THE INTERNAL REVENUE CODE SECTION 501(C)(12). ACCORDINGLY, NO PROVISION FOR INCOME TAX IS REQUIRED. PLC ENERGY, A FOR-PROFIT ENTITY, ACCOUNTS FOR FEDERAL INCOME TAX USING AN ASSET AND LIABILITY APPROACH, WHICH REQUIRES THE RECOGNITION OF DEFERRED TAX ASSETS AND LIABILITIES FOR THE EXPECTED FUTURE TAX CONSEQUENCES OF TEMPORARY DIFFERENCES BETWEEN THE FINANCIAL STATEMENT AND TAX BASIS OF ASSETS AND LIABILITIES AT THE APPLICABLE ENACTED TAX RATES. A VALUATION ALLOWANCE IS RECORDED AGAINST DEFERRED TAX ASSETS IF, BASED ON THE WEIGHT OF AVAILABLE EVIDENCE, IT IS MORE LIKELY THAN NOT THAT SOME OR ALL OF ITS DEFERRED TAX ASSETS WILL NOT BE REALIZED. PLC ENERGY REPORTS A LIABILITY, IF ANY, FOR UNRECOGNIZED TAX BENEFITS RESULTING FROM UNCERTAIN INCOME TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN AN INCOME TAX RETURN. ESTIMATED INTEREST AND PENALTIES, IF ANY, ARE RECORDED AS A COMPONENT OF INTEREST EXPENSE AND OTHER EXPENSE, RESPECTIVELY. NO LIABILITY HAS BEEN RECORDED FOR UNCERTAIN TAX POSITIONS, OR RELATED INTEREST OR PENALTIES AS OF DECEMBER 31, 2020 OR 2019. X X X X X 0 0 0 TAGHAVI JAFAR CHIEF EXECUTIVE OFFICER 425150 0 0 0 57267 0 169236 0 84135 0 735788 0 0 0 SIMPSON MICHAEL CHIEF OPERATIONS OFFICER 153842 0 0 0 16590 0 60144 0 24047 0 254623 0 0 0 WICKSTROM KENNETH WORKING FOREMAN 134744 0 0 0 5128 0 82293 0 21785 0 243950 0 0 0 CAINES DANIEL JOURNEYMAN LINEMAN 169628 0 0 0 3217 0 25475 0 31762 0 230082 0 0 0 WAINWRIGHT DANIEL WORKING FOREMAN 99831 0 0 0 26500 0 69778 0 31847 0 227956 0 0 0 IVERSON CHRISTY MEMBER SERVICE MANAGER 100083 0 0 0 16597 0 69495 0 40553 0 226728 0 0 0 HALL LISA CHIEF BUSINESS OFFICER 132305 0 0 0 29587 0 33903 0 23757 0 219552 0 0 0 FORM 990, PART VI, SECTION A, LINE 6 WE ARE A MUTUAL/COOPERATIVE WHERE THE RECIPIENTS OF OUR UTILITY SERVICES ARE THE OWNER/MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS ALL THE SAME CLASS - RECEIVE UTILITY SERVICE FROM COMPANY. FORM 990, PART VI, SECTION A, LINE 7B THE MEMBERSHIP VOTE IS NEEDED FOR ANNUAL BOARD ELECTIONS AND IN ANOTHER ARTICLE PERTAINING TO THE DISPOSITION OF ASSETS. FORM 990, PART VI, SECTION A, LINE 8B THERE ARE NO COMMITTEES THAT HAVE THE AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY, SO THE QUESTION IS NOT APPLICABLE. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WILL BE PROVIDED TO THE BOARD MEMBERS BEFORE FILING OF THE RETURN. FORM 990, PART VI, SECTION B, LINE 12C HUMAN RESOURCE (HR) DIRECTOR MONITORS AND ADMINISTERS THE POLICY. FORM 990, PART VI, SECTION B, LINE 15A CEO: AN INDEPENDENT CONSULTANT WAS HIRED TO CONDUCT A MARKET SALARY STUDY FOR THE CEO POSITION. THE HR DIRECTOR WAS ASSIGNED AS PROJECT MANAGER TO WORK WITH THE CONSULTANT AND REPORT DIRECTLY TO THE PRESIDENT OF THE BOARD AND THE CHAIRMAN OF THE BOARD GOALS/LONG-TERM PLANNING COMMITTEE. THE CEO HAD NO CONTACT OR INTERACTION IN ANY WAY WITH THE CONSULTANT OR HR DIRECTOR OR BOARD REGARDING THIS PROJECT. THE CONSULTANT REPORTED HIS FINDINGS TO THE ENTIRE BOARD OF DIRECTORS WITH THE HR DIRECTOR PRESENT. A QUESTION AND ANSWER SESSION FOLLOWED WHERE THE CONSULTANT AND HR DIRECTOR ANSWERED SPECIFIC QUESTIONS FROM THE BOARD ABOUT THE COMPARABILITY OF DATA PRESENTED. THE HR DIRECTOR AND CONSULTANT WERE EXCUSED AND THE ENTIRE BOARD DELIBERATED BEFORE REACHING THEIR DECISION AS TO WAGE PLACEMENT FOR THE CEO. THE FOLLOWING MORNING THE CHAIRMAN OF THE BOARD GOALS/LONG-TERM PLANNING COMMITTEE INFORMED THE HR DIRECTOR OF THE COMPENSATION CHANGE AND EFFECTIVE DATE FOR THE CEO. IN A SEPARATE MEETING, THE BOARD PRESIDENT AND CHAIRMAN OF THE GOALS/LONG-TERM COMMITTEE INFORMED THE CEO. OFFICERS (CFO, CBO, ETC.): AN INDEPENDENT CONSULTANT WAS HIRED TO CONDUCT A MARKET SALARY FOR ALL EXEMPT MANAGEMENT POSITIONS. THE CONSULTANT REPORTED HIS FINDINGS TO THE HR DIRECTOR; THEY DISCUSSED THE DATA COMPARABLES AND SUBSTANTIATION BEHIND IT. THE HR DIRECTOR PRESENTED THIS INFORMATION TO THE CEO AND DISCUSSED IT. AN INTERNAL EQUITY COMPENSATION COMMITTEE WAS FORMED CONSISTING OF A MANAGER FROM EACH DIVISION OF THE COMPANY. TRAINING WAS PROVIDED BY THE CONSULTANT. THIS COMMITTEE PROVIDED INDEPENDENT RECOMMENDATIONS AS TO POSITION PLACEMENT IN A SALARY SCHEDULE. THE HR DIRECTOR AND CEO DISCUSSED THE COMMITTEE AND THE CONSULTANT RECOMMENDATIONS AND THE FINANCIAL ABILITY OF THE COMPANY TO SUPPORT THE DATA. FORM 990, PART VI, SECTION C, LINE 19 THESE DOCUMENTS ARE AVAILABLE UPON WRITTEN REQUEST AT THE COMPANY'S MAIN OFFICE. FORM 990, PART XI, LINE 9: NET INCREASE IN MEMBERSHIPS 4,124,974. FORM 990, PART IX, LINES 5 & 7 THE AMOUNTS FOR COMPENSATION IN THE STATEMENT OF FUNCTIONAL EXPENSES DO NOT INCLUDE ALL WAGES FOR PENINSULA LIGHT COMPANY. THE AMOUNTS ON LINES 5 & 7 ARE ONLY FOR WAGES PERTAINING TO GENERAL AND ADMINISTRATIVE EMPLOYEES. ALL OTHER WAGES ARE INTEGRATED THROUGHOUT OTHER EXPENSES, SUCH AS POWER EXPENSE, DISTRIBUTION, ETC. PLC ENERGY INC 13315 GOODNOUGH DR NW GIG HARBOR WA 98332 911943365 WHOLESALE POWER SALES WA PENINSULA LIGHT COMPANY C -2790000 2291000 1.00000 1 HARVEST WIND PROJECT (TENANTS IN COMMON) PO BOX 3007 LONGVIEW WA 98632 264679797 WIND FARM WA N/A C 756000 19952000 0.20000 0 0 1 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 PLC ENERGY INC B 2748171 ACTUAL COST PLC ENERGY INC O 154216 ACTUAL COST HARVEST WIND PROJECT F 1770000 ACTUAL COST