2018-11-13T16:38:35-06:00 2017-12-31 750882037 BOLINGER SEGARS GILBERT AND MOSS LLP 8215 NASHVILLE AVENUE LUBBOCK TX 79423 990 2017-01-01 840358317 YAMPA VALLEY ELECTRIC ASSOCIATION YAMP 9708791160 2211 ELK RIVER ROAD STEAMBOAT SPRINGS CO 80487 AMY MAHON FINANCE MANAGER 9708791160 2018-11-13 1 WILLIAM M MILLER P00439459 8067473806 2018-11-13 X 65.182.80.152 2018-11-13 15:33:59 CS P B203D40F61B6B7195294B4E759D44885CEF08510 587A88673713A033F58E04FDF6801CBB1F7DD2F2 2017 2019-02-21 02:37:17Z STEVE JOHNSON 2211 ELK RIVER ROAD STEAMBOAT SPRINGS CO 80487 56743107 0 X WWW.YVEA.COM X 1940 CO TO PROVIDE QUALITY AND RELIABLE ELECTRIC SERVICE TO MEMBERS AT COST ON A COOPERATIVE BASIS. 9 9 81 0 0 0 0 0 58002962 56557085 1177319 86438 52899 52899 59233180 56696422 46543 82142 3430090 3332641 7553705 7569683 0 0 0 46987269 45592545 58017607 56577011 1215573 119411 107995446 118245723 33856913 41994468 74138533 76251255 TO PROVIDE SAFE, AFFORDABLE, RELIABLE POWER AND EFFICIENT ENERGY SERVICES TO MEMBERS, AND TO HELP THE COMMUNITIES SERVED THRIVE BY STRIVING TO PROVIDE INNOVATIVE, AFFORDABLE AND ENVIORNMENTAL SOUND SOLUTIONS, WHILE FOSTERING LEADERSHIP AND GROWTH. 0 0 PROVIDING ELECTRIC ENERGY TO OUR MEMBERS - 26,911 CONSUMERS AT YEAR END WERE PROVIDED ELECTRICITY ON A COOPERATIVE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 1 60 0 81 1 0 0 0 0 0 56048556 1778840 0 X 9 9 0 0 1 0 1 1 1 1 0 0 0 1 1 1 0 1 1 1 1 0 X AMY MAHON FINANCE MANAGER 9708791160 2211 ELK RIVER ROAD STEAMBOAT SPRINGS CO 80487 X THOMAS FOX CHAIRMAN 5.60 X X 22620 0 0 LARRY ELLGEN VICE CHAIRMAN 5.50 X X 18570 0 0 QUENTIN DEAN BROSIOUS DIRECTOR 8.30 X 20265 0 0 PATRICK MCCLELLAND DIRECTOR 5.90 X 19743 0 0 SCOTT MCGILL DIRECTOR 6.90 X 30035 0 0 GEORGE RUSSELL GARRITY DIRECTOR 6.80 X 19110 0 0 FRANKLYN W ROITSCH DIRECTOR 5.10 X 19018 0 0 GLYNDA S SHEEHAN DIRECTOR 5.10 X 12160 0 0 JAMES MICHAEL BRINKS DIRECTOR (JAN - JUNE) 4.70 X 10711 0 0 JEAN STETSON DIRECTOR 3.30 X 11096 0 0 DIANE C JOHNSON CEO 50.00 X 266765 0 76778 STEVE JOHNSON COO 50.00 X 154322 0 78398 AMY MAHON FINANCE MANAGER 60.00 X 117599 0 48998 KATHY BERTRAND MANAGER OF MEMBER SERVICES 40.00 X 124392 0 86754 DAVE SRITE LINEMAN 40.00 X 121891 0 46418 TRAVIS COX LINEMAN 40.00 X 124058 0 42118 TODD GREENWOOD LINEMAN 40.00 X 119584 0 52936 LEVI SCHNACKENBERG LINEMAN 40.00 X 119419 0 10285 1331358 0 442685 22 0 1 0 CALCOM CONSTRUCTORS PO BOX 771217 STEAMBOAT SPRINGS CO 80477 CONSTRUCTION 8197108 HIGH VOLTAGE INC PO BOX 428 VERNAL UT 84078 CONTRACT LABOR 971985 CROMER CONTRACTING CO INC PO BOX 368 CRAIG CO 81626 CONTRACT LABOR 575353 INTERMOUNTAIN ELECTRIC SERVICES 701 SOUTH FEDERAL BLVD RIVERTON WY 82501 CONTRACT LABOR 510673 ROGUE RESOURCES PO BOX 772503 STEAMBOAT SPRINGS CO 80477 CONTRACT LABOR 434093 8 X SALES OF ELECTRICITY 221000 55714107 55714107 MISC SERVICE FEES & SALES 221000 334449 334449 PATRONAGE DIVIDENDS 221000 266492 266492 OTHER PROGRAM REVENUE 221000 242037 242037 56557085 58800 58800 74323 46685 27638 27638 27638 POLE ATTACHMENT INCOME 221000 52899 52899 52899 56696422 56557085 0 139337 X 82142 3332641 926188 4539913 977568 758174 367840 1010900 5373823 PURCHASED POWER 33704348 DISTRIBUTION EXPENSE 2681886 ADMIN & GENERAL EXPENSE 1610710 CONSUMER EXPENSE 951936 258942 56577011 1201266 1863253 3718102 2689900 1047736 2104858 2645601 2476947 165276294 59729017 95974191 105547277 3353736 3463184 54814 100304 107995446 118245723 6143730 5575113 22529071 31236232 5184112 5183123 33856913 41994468 X 0 0 0 0 74138533 76251255 74138533 76251255 107995446 118245723 X 119411 1993311 X X 0 1 X 0 0 2090792 2870802 4961594 18345312 1766697 16578615 141000417 57962320 83038097 968971 968971 105547277 DEFERRED CREDITS 1364730 OVERCOLLECTED PCA 1303958 DEFERRED COMPENSATION 324973 CONSUMER DEPOSITS 672146 ACCRUED OPERATING TAXES 1517316 5183123 X 56578138 0 56578138 118284 118284 56696422 53126086 0 53126086 3450925 3450925 56577011 PART X, LINE 2: THE ASSOCIATION FOLLOWS THE "UNCERTAIN TAX POSITIONS" PROVISIONS OF ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA. THE PRIMARY TAX POSITION OF THE ASSOCIATION IS ITS FILING STATUS AS A TAX EXEMPT ENTITY. THE ASSOCIATION DETERMINED THAT IT IS MORE LIKELY THAN NOT THAT ITS TAX POSITION WILL BE SUSTAINED UPON EXAMINATION BY THE INTERNAL REVENUE SERVICE, 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: NON-OPERATING EXPENSES RECLASSIFIED TO FORM 990 PART IX 5,544. MERCHANDISING EXPENSE RECLASSIFIED TO FORM 990 PART IX 112,740. PART XII, LINE 4B - OTHER ADJUSTMENTS: PATRONAGE CAPITAL ASSIGNABLE 3,332,641. NON-OPERATING EXPENSES RECLASSED TO FORM 990 PART IX 5,544. MERCHANDISING EXPENSE RECLASSIFIED TO FORM 990, PART IX 112,740. 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. PART XII, LINE 4B: FOR THE AUDITED FINANCIAL STATEMENTS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID OR ALLOCATED TO THE MEMBERS IS REPORTED AS AN INCREASE IN EQUITY AND NOT AS AN EXPENSE. THEREFORE, NET INCOME PER THE AUDITED FINANCIAL STATEMENTS IS REPORTED GROSS OF THE AMOUNT OF PATRONAGE DIVIDENDS THAT ARE EITHER ALLOCATED OR TO BE ALLOCATED AT THE TIME THE AUDITED FINANCIAL STATEMENTS ARE PREPARED. HOWEVER, BECAUSE THE ALLOCATION OF PATRONAGE DIVIDENDS IS ONE ASPECT OF HOW THE ASSOCIATION FULFILLS ITS TAX EXEMPT PURPOSE OF OPERATING ON A COOPERATIVE BASIS, THE AMOUNT OF PATRONAGE DIVIDENDS EITHER ALLOCATED OR TO BE ALLOCATED TO THE MEMBERS IS REPORTED ON FORM 990, PART IX, LINE 4 AS "BENEFITS PAID TO MEMBERS". PATRONAGE DIVIDENDS ARE ALLOCATED ON A PATRONAGE BASIS AND DONE SO PURSUANT TO A PRE-EXISTING OBLIGATION AS PROVIDED FOR IN THE "NON-PROFIT OPERATION" ARTICLE OF THE ASSOCIATION'S BYLAWS. 0 YAMPA VALLEY SUSTAINABILITY COUNCIL PO BOX 881461 STEAMBOAT SPRINGS CO 80488 264753602 501(C)(3) 15000 2017 CENSIBLE ENERGY FD DONATION ENERGY OUTREACH COLORADO 225 EAST 16TH AVE SUITE 200 DENVER CO 80203 742543881 501(C)(3) 25000 DONATION FOR LOW INCOME ENERGY ASSISTANCE ROUTT COUNTY 4H SCHOLARSHIP FOUNDATION PO BOX 771042 STEAMBOAT SPRINGS CO 80477 201959721 501(C)(3) 10603 4-H PROGRAMS MOFFAT COUNTY 4H FOUNDATION 539 BARCLAY ST CRAIG CO 81625 261742324 501(C)(3) 10618 4-H PROGRAMS 4 PART II: ALL GRANTS, SPONSORSHIPS AND/OR DONATIONS ARE MADE TO NON-PROFIT AND CIVIC ORGANIZATIONS THAT ARE LOCATED IN THE ASSOCIATION'S SERVICE AREA, AND ARE INTENDED TO IMPROVE THE COMMUNITIES IN WHICH OUR MEMBERS RESIDE. X 0 0 0 DIANE C JOHNSON CEO 247422 0 10000 0 9343 0 46045 0 30733 0 343543 0 0 0 STEVE JOHNSON COO 153786 0 0 0 536 0 50218 0 28180 0 232720 0 0 0 AMY MAHON FINANCE MANAGER 117180 0 0 0 419 0 15755 0 33243 0 166597 0 0 0 KATHY BERTRAND MANAGER OF MEMBER SERVICES 122571 0 0 0 1821 0 58304 0 28450 0 211146 0 0 0 DAVE SRITE LINEMAN 121619 0 0 0 272 0 15235 0 31183 0 168309 0 0 0 TRAVIS COX LINEMAN 123756 0 0 0 302 0 13949 0 28169 0 166176 0 0 0 TODD GREENWOOD LINEMAN 119130 0 0 0 454 0 27756 0 25180 0 172520 0 0 0 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, YEARS OF SERVICE AND THE CURRENT INTEREST RATE ENVIRONMENT. 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. DIANE JOHNSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 35,285 EMPLOYER CONTRIBUTION TO 401(K) PLAN 10,760 TOTAL REPORTED IN COLUMN C $ 46,045 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (35,285) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 50,723 EXPENSE TO THE COOPERATIVE $ 61,483 STEVE JOHNSON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 45,320 EMPLOYER CONTRIBUTION TO 401(K) PLAN 4,898 TOTAL REPORTED IN COLUMN C $ 50,218 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (45,320) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 31,974 EXPENSE TO THE COOPERATIVE $ 36,872 AMY MAHON: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 10,486 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,269 TOTAL REPORTED IN COLUMN C $ 15,755 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (10,486) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 25,671 EXPENSE TO THE COOPERATIVE $ 30,940 KATHY BERTRAND: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 53,062 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,242 TOTAL REPORTED IN COLUMN C $ 58,304 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (53,062) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 25,744 EXPENSE TO THE COOPERATIVE $ 30,986 DAVE SRITE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 9,871 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,364 TOTAL REPORTED IN COLUMN C $ 15,235 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (9,871) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 19,719 EXPENSE TO THE COOPERATIVE $ 25,083 TRAVIS COX: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 8,620 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,329 TOTAL REPORTED IN COLUMN C $ 13,949 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (8,620) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 19,835 EXPENSE TO THE COOPERATIVE $ 25,164 TODD GREENWOOD: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN $ 22,732 EMPLOYER CONTRIBUTION TO 401(K) PLAN 5,024 TOTAL REPORTED IN COLUMN C $ 27,756 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (22,732) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 19,794 EXPENSE TO THE COOPERATIVE $ 24,818 FORM 990, PART VI, SECTION A, LINE 1 THE ASSOCIATION HAS 9 BOARD MEMBERS; ALL 9 ARE ALLOWED TO VOTE, HOWEVER THE BOARD PRESIDENT VOTES ONLY IN THE CASE OF A TIE. FORM 990, PART VI, SECTION A, LINE 4 DURING THE YEAR, THE BYLAWS OF THE COOPERATIVE WERE AMENDED AS FOLLOWS: ARTICLE XVI - DIRECTORS DISTRICTS - THIS SECTION WAS AMENDED TO CHANGE WHICH AREAS IN THE SERVICE TERRITORY ARE INCLUDED IN EACH DISTRICT. FORM 990, PART VI, SECTION A, LINE 6 THE ASSOCIATION 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 ASSOCIATION 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 ASSOCIATION: 1. DISSOLUTION/LIQUIDATION OF THE ASSOCIATION 2. MERGER OR CONSOLIDATION OF THE ASSOCIATION WITH ANOTHER ORGANIZATION 3. DISPOSAL OF A SUBSTANTIAL PORTION OF THE ASSOCIATION'S ASSETS 4. AMENDMENT TO THE ARTICLES OF INCORPORATION 5. AMENDMENT TO THE BYLAWS FORM 990, PART VI, SECTION A, LINE 8B THE ASSOCIATION 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 PROVIDED A COPY OF THE RETURN TO THE BOARD OF DIRECTORS PRIOR TO FILING THE FORM 990. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS USE A COMPENSATION SURVEY WHEN DETERMINING THE COMPENSATION OF THE CEO. THE SURVEY SHOWS COMPARATIVE SALARIES FOR CEOS FROM SIMILARLY SITUATED COOPERATIVES LOCATED IN COLORADO AND THE NATION. THE CEO USES A COMPENSATION SURVEY WHEN DETERMINING THE COMPENSATION OF THE COOPERATIVE'S OTHER EMPLOYEES MEETING THE DEFINITION OF OFFICER AND KEY EMPLOYEES, IF ANY. THE SURVEY INCLUDES SALARIES FROM SIMILARLY SITUATED COOPERATIVES THROUGHOUT COLORADO AND THE NATION. FORM 990, PART VI, SECTION C, LINE 19 THE ASSOCIATION WILL PROVIDE A COMPLETE COPY OF ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND AUDITED FINANCIAL STATEMENTS TO ANY MEMBER WHO REQUESTS A COPY OF ANY SUCH DOCUMENT. ANNUALLY THE ASSOCIATION PROVIDES A COPY OF THE AUDITED BALANCE SHEET AND INCOME STATEMENT TO THE MEMBERS OF THE ASSOCIATION WITH THE ANNUAL REPORT. FORM 990, PARTS VI & VII: THE ASSOCIATION ANNUALLY PROVIDES EACH DIRECTOR/TRUSTEE WHO SERVED ON THE BOARD DURING THE YEAR A QUESTIONNAIRE AND TIME LOG. THE COMPLETED QUESTIONNAIRES AND TIME LOGS ARE USED TO COMPLETE THE APPLICABLE QUESTIONS ON THE FORM 990 PERTAINING TO BUSINESS RELATIONSHIPS AMONG DIRECTORS, OFFICERS, AND KEY EMPLOYEES, AS WELL AS TO DETERMINE IF THERE ARE ANY TRANSACTIONS WHICH MUST BE REPORTED IN DETAIL ON SCHEDULE L - "TRANSACTIONS WITH INTERESTED PERSONS". IF THE ASSOCIATION WAS UNABLE TO OBTAIN A COMPLETED QUESTIONNAIRE AND/OR TIME LOG, THE ASSOCIATION RELIED UPON THE COMPLETED INFORMATION FOR THE PRIOR YEAR. FORM 990, PART VII, COLUMN F: IN ORDER TO PROVIDE RETIREMENT BENEFITS TO ITS EMPLOYEES, THE ASSOCIATION 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 ASSOCIATION 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 HIGLY COMPENSATED EMPLOYEES, MEETING THE ELIGIBILITY REQUIREMENTS OF SUCH PLANS. THE ASSOCIATION ALSO PROVIDES HEALTH, DENTAL AND LIFE INSURANCE TO ALL ELIGIBLE EMPLOYEES , INCLUDING OFFICERS, 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 BY THE COOPERATIVE TO THE DEFINED CONTRIBUTION PLAN AND INSURANCE PAID ON BEHALF OF AND FOR THEIR BENEFIT. 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 ASSOCIATION TO ITS MEMBERS. FORM 990, PART IX: ALTHOUGH NO LONGER A USDA RURAL UTILITIES SERVICE (RUS) BORROWER, THE ACCOUNTING RECORDS OF THE ASSOCIATION ARE MAINTAINED IN ACCORDANCE WITH THE RUS UNIFORM SYSTEM OF ACCOUNTS (USOA) PRESCRIBED FOR RUS ELECTRIC BORROWERS. 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 ASSOCIATION ALLOCATES PATRONAGE CAPITAL TO AND, THEREFORE, OPERATES AT COST WITH ITS PATRONS. THE ASSOCIATION'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 ASSOCIATION 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 ASSOCIATION'S 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 ASSOCIATION'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 ASSOCIATION FOR THE 2017 CALENDAR YEAR. BECAUSE PATRONAGE DIVIDENDS ARE THE PROCESS BY WHICH THE ASSOCIATION OPERATES AT COST WITH ITS PATRONS AND THEREBY A KEY COMPONENT TO ACCOMPLISHING ITS EXEMPT PURPOSE, THE ASSOCIATION 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 TOTAL WAGES ACCRUED AND/OR PAID: TOTAL PER LINES 5-7 $ 5,466,101 LESS: DIRECTOR FEES REPORTED ON FORM 1099-MISC (183,328) LESS: EMPLOYEE OFFICER BENEFITS INCLUDED IN LINE 5 (204,174) PLUS: SALARIES AND WAGES ALLOCATED TO NONOPERATING MARGIN 35,412 PLUS: SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 915,560 PLUS: SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING AND OTHER ACCOUNTS 371,376 TOTAL WAGES ACCRUED AND/OR PAID $ 6,400,947 FORM 990, PART IX, LINE 24: ADMINISTRATIVE & GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL $ 1,632,770 EMPLOYEE TRAINING & BENEFITS 378,038 OFFICE SUPPLIES 275,847 OUTSIDE SERVICES 235,677 INJURIES & DAMAGES 119,084 INSURANCE & REGULATORY FEES 62,203 PUBLIC RELATIONS 41,097 DUES & SUBSCRIPTIONS 140,254 DIRECTORS 250,091 MAINTENANCE OF GENERAL PLANT 661,242 MISCELLANEOUS GENERAL 108,057 TOTAL ADMIN & GENERAL EXP PER FINANCIAL STATEMENTS $ 3,904,360 LESS: RECLASS OF DIRECTOR FEES TO PART IX, LINE 5 (183,328) LESS: RECLASS OF LABOR TO PART IX, LINES 5 & 7 (1,450,983) LESS: RECLASS OF BENEFITS TO PART IX, LINES 8-10 (659,339) TOTAL ADMIN & GENERAL EXPENSE PER FORM 990, PART IX $ 1,610,710 FORM 990, PART XI, LINE 9: PATRONAGE CAPITAL ASSIGNABLE 3,332,641. PATRONAGE CAPITAL RETIRED - TOTAL -1,463,825. DONATED CAPITAL 21,712. UNCLAIMED PATRONAGE CAPITAL RETIREMENTS RETAINED 75,378. NET CHANGE IN OTHER EQUITIES 27,405. 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. PROCEDURAL CHANGES DID NOT OCCUR DURING THE YEAR. YVEA CARING CONSUMERS FOUNDATION PO BOX 771218 STEAMBOAT SPRINGS CO 80477 881424966 BETTERING THE QUALITY OF LIFE OF CITIZENS WITHIN THE AREA CO 501(C)(3) LINE 7 YAMPA VALLEY ELECTRIC ASSOCIATION 1 YAMPA VENTURE SERVICES INC PO BOX 771218 STEAMBOAT SPRINGS CO 80477 841537973 INACTIVE CO YAMPA VALLEY ELECTRIC ASSOCIATION C 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 YVEA CARING CONSUMERS FOUNDATION O N/A - LESS THAN $50,000 YVEA CARING CONSUMERS FOUNDATION N N/A - LESS THAN $50,000