2018-11-13T09:58:07-08:00 2017-12-31 541320089 ADAMS JENKINS CHEATHAM PC 231 WYLDEROSE DR MIDLOTHIAN VA 231136845 990 2017-01-01 541135340 Rappahannock Electric Cooperative RAPP 5408988500 247 Industrial Court Fredericksburg VA 22408 Kent D Farmer President & CEO 2018-11-13 true G STEVEN GILLIAM CPA P00348264 8043231313 2017 2019-02-21 02:37:17Z Kent D Farmer 385089467 false false X www.myrec.coop X 1980 VA Safe and effective distribution of electricity to the members of Rappahannock Electric Cooperative 8 8 425 102351 39792 632412 0 428106971 383427523 878010 405444 985945 1045703 430603338 384878670 60750 53500 15081082 17762745 40320522 56558971 0 0 373261965 311372988 428724319 385748204 1879019 -869534 891756582 897920253 512146574 506231736 379610008 391688517 Safe and effective distribution of electricity to the members of Rappahannock Electric Cooperative false false Safe and effective delivery of electricity to the members of Rappahannock Electric Cooperative. The three largest program services, as measured by expenses are as follows:Cost of power $243,983,452Depreciation $32,803,485Other Salaries and Wages $39,742,732 false false false false false false false false false true false true false false true true false false false false false false false false false false true false true false false false false false false false false false false false false false false true true true false true 177 0 true 425 true true true false false false false false false false 374297560 9848555 false false false X 8 8 false false false false true true true true true false false true true true true true true true true false X X X The Cooperative 5408988500 247 Industrial Court Fredericksburg VA 22408 Christopher G Shipe Chairman 20.00 0.00 X X 36950 0 0 Darlene H Carpenter Vice Chairman 20.00 0.00 X X 43350 0 0 Linda R Gray Secretary 15.00 0.00 X X 42150 0 0 Michael W Lindsay Treasurer 20.00 0.00 X X 34150 0 0 William C Frazier Director 7.00 0.00 X 35800 0 0 Sanford Reaves Jr Director 8.00 0.00 X 13600 0 0 Jesse R Thomas Jr Director 6.00 0.00 X 13600 0 0 J Mark Wood Director 8.00 0.00 X 41700 0 0 Kent D Farmer President & CEO 60.00 8.00 X 4223213 0 159599 Ronald W Harris Vice President 50.00 0.00 X 259596 0 68724 David F Koogler Vice President 60.00 5.00 X 302288 0 76124 Craig B Lewis Vice President 50.00 0.00 X 136929 0 19550 Deanna C Kurz Asst. Secretary 45.00 1.00 X 140833 0 29450 Lawrence G Andrews Asst. Treasurer 50.00 0.00 X 169824 0 50279 John D Hewa Vice President 50.00 0.00 X 169506 0 37954 John C Levasseur Director 14.00 0.00 X 28700 0 0 Richard C Oliver Director 8.00 0.00 X 19700 0 0 Sterling F Schoonover Jr Mgr. Member Serv. 40.00 2.00 X 198689 0 48567 John S Crawford Mgr. Tech. Serv. 50.00 0.00 X 194820 0 40841 Matthew Faulconer Mgr. External Aff. 50.00 10.00 X 183233 0 54560 Robert W Beard Mgr Western Region 40.00 0.00 X 181375 0 54559 Joseph K Gilkerson Mgr Human Resource 40.00 0.00 X 296400 0 36506 6766406 676713 188 false true false CW Wright Construction 11500 Iron Bridge Road Chester VA 23831 Construction 4423894 Lockheed Martin Government Inc PO Box 13522 Newark NJ 07188 IT Services 4326535 Wolf Tree Experts Inc PO Box 415000 Nashville TN 37241 Right of Way Maint. 3825371 Lewis Tree Service Inc PO Box 731897 Dallas TX 75373 Right of Way Maint. 2792432 National Information Solutions Cooperative PO Box 1147 Mandan ND 58554 IT Services 1834678 33 0 Contrib in aid of constr 221000 4181750 4181750 Other Electric Revenue 221000 1403239 1403239 Patronage Allocations Rec 221000 4948213 4948213 Sales of electric energy 221000 372894321 372894321 383427523 592383 592383 0 0 995707 11133 984574 984574 41462 943112 186939 -186939 -186939 -186939 0 0 16283 12725 3558 3558 Electrical Services 221000 57331 57331 Gain (loss) on equity inv 221000 240 240 57571 384878670 383427763 102351 1348556 X 53500 0 0 17762745 6153569 0 39742732 7032161 18915 3611594 0 149042 85008 0 0 0 0 952935 0 5143720 0 0 561986 0 319748 17571607 0 32803485 572569 Cost of power 243983452 Distribution - Maintenance 15401293 Distribution - Operation 7746886 Consumer Accounts 5852337 -19771080 385748204 0 0 0 4545663 2702875 22500662 78228 0 53294042 62803437 0 0 0 5467613 5434985 18890679 20278682 1066148274 394383256 657206834 671765018 2169802 2167247 933887 126706453 130777455 0 974834 978439 891756582 897920253 77608593 67943009 434537981 438288727 512146574 506231736 X 379610008 391688517 379610008 391688517 891756582 897920253 X -869534 12948043 X false true X true false 1066148274 394383256 671765018 671765018 130777455 X 385523745 385523745 -645075 -645075 384878670 367761000 367761000 17987204 17987204 385748204 Part X : FIN48 Footnote The Cooperative follows the guidance for "uncertain tax positions" in accordance with ASC 740. The Cooperative has determined that it is more likely than not that their tax positions will be sustained upon examination by the internal revenue service. Part XII, Line 4b: Other revenue amounts included on 990 but not included in F/S Exp netted against rev on tax return $23858 non-cash patronage alloc. adjustment $17762745 Inc (exp) reclasses on tax return $200601 true Comm Awareness of Rapp Elec PO Box 7388 Fredericksburg VA 22404 203160667 6000 0 Charitable giving within community Project Big Heart PO Box 7388 Fredericksburg VA 22404 541681276 8000 0 Charitable giving within community The VA Foundation for Com Co 300 Arboretun Place Suite 200 Richmond VA 23236 237004354 10000 0 Provide access to education 3 0 Grantmaker's Description of How Grants are Used There is an adopted Board policy for donations. In general, the CEO is only authorized to approve requests of $2,500 or less. Those requests for greater than $2,500 are submitted to the Board. Donations will be granted in general proportion to number of members in each county in REC's territory Only 501 (c) 3 organizations are eligible (no individuals). These organizations have to be located in and around REC's service territory and provide services to our members or employees. finally, the organization and cause must have broad community support, address specific community needs, and demonstrate fiscal and administrative stability. X X X X X X true true false Craig B Lewis Vice President 121355 10000 5574 18572 978 156479 David F Koogler Vice President 287257 10000 5031 60419 15705 378412 Deanna C Kurz Asst. Secretary 121061 5000 14772 26221 3229 170283 John D Hewa Vice President 168011 1495 32518 5436 207460 John S Crawford Mgr. Tech. Serv. 175581 4500 14739 38672 2169 235661 Joseph K Gilkerson Mgr Human Resource 125078 2500 168822 26237 10269 332906 Kent D Farmer President & CEO 646872 58271 3518070 143894 15705 4382812 Lawrence G Andrews Asst. Treasurer 166695 2000 1129 34574 15705 220103 Matthew Faulconer Mgr. External Aff. 176603 4000 2630 38855 15705 237793 Robert W Beard Mgr Western Region 174140 4000 3235 38854 15705 235934 Ronald W Harris Vice President 249565 5000 5031 53019 15705 328320 Sterling F Schoonover Jr Mgr. Member Serv. 180719 8500 9470 38855 9712 247256 Part III, Additional Information Rappahannock Electric Cooperative is a participating employer in the retirement security plan sponsored by the National Rural Electric Cooperative Association (NRECA)(the "qualified pension Plan"). The Cooperative also maintains the Severance Pay Pension Restoration Plan ("Severance PRP") and the Deferred Compensation Pension Restoration Plan (the "deferred compensation prp") for those of its key management and highly compensated employees whose benefits under the qualified pension plan are restricted because of maximum limits on benefits or compensation that may be provided by the qualified pension plan. Form 990, Part VI, Line 6: Explanation of Classes of Members or Shareholder Any person or other legal entity who is able to enter a legally binding contract will become a member of the Cooperative upon receipt of electric service from the Cooperative. Form 990, Part VI, Line 7a: How Members or Shareholders Elect Governing Body In any election for Board of Directors, each member shall have the right to vote for the duly nominated candidate of their choice in person at the annual meeting or upon a proxy form. Form 990, Part VI, Line 7b: Describe Decisions of Governing Body Approval by Members or Shareholders Certain decisions of the governing body are subject to approval by the members of the cooperative as provided for in the by-laws. Form 990, Part VI, Line 11b: Form 990 Review Process Approximately one month before the Form 990 is submitted to the IRS, the Board of directors receives a copy of the form. The Cooperative's management reviews the form 990 with the board and answers any questions brought to their attention. Form 990, Part VI, Line 12c: Explanation of Monitoring and Enforcement of Conflicts The governing board of directors along with members of management complete annual conflict of interest statements. Form 990, Part VI, Line 15a: Compensation Review & Approval Process - CEO, Top Management The Cooperative utilizes an independent compensation consultant to review market trends and conduct an analysis of compensation. This information is utilized by the Cooperative's board as part of the CEO's annual review for merit evaluation. Form 990, Part VI, Line 15b: Compensation Review and Approval Process for Officers and Key Employees Other officers and key employees are reviewed by direct supervisors for merit evaluation. Market adjustments are determined through human resources using an independent compensation consultant review of current market trends and comprable compensation data. Form 990, Part VI, Line 18: Explanation of Other Means Forms Available For Public Inspection Governing documents and policies, audited financial statements along with the form 990 are available upon request. By-laws and other governing documents are also available on the Cooperatives web site. Form 990, Part VI, Line 19: Other Organization Documents Publicly Available Governing documents and policies, audited financial statements along with the form 990 are available upon request. By-laws and other governing documents are also available on the Cooperatives web site. Other Changes In Net Assets Or Fund Balances - Other Decreases Contributions in aid of construction not revenue per gaap = -$4181750 Other Changes In Net Assets Or Fund Balances - Other Increases Net change in OCI = $175321 Other Changes In Net Assets Or Fund Balances - Other Decreases net retirement of capital credits = -$5859557 Other Changes In Net Assets Or Fund Balances - Other Increases non-cash patronage allocations not revenue per irs = $5051284 Other Changes In Net Assets Or Fund Balances - Other Increases Patronage Div. paid to members' Accts. not expense per gaap = $17762745 990 Part VII Section A Column F The Cooperative participates in the NRECA group defined pension plan. As part of this plan, participants are required to recognize the actuarial increase in the value of their account on the form 990. The contribution rate for participants in the plan are the same for all individuals in the plan. The change in actuarial value for each participant, however, varies with age. In other words, the older a participant is, the greater the increase in that individual's change in actuarial value with all other things being equal. Form 990, Part IX, Line 4 Benefits Paid To or For Members Patronage dividends are paid to members' accounts in accordance with the pre-existing obligation in the Cooperative's by-laws. The Cooperative is obligated to pay by credits to a capital account for each patron all such amounts in excess of operating costs and expenses.IRS instructions for line 4 changed in 2011 to include patronage dividends paid by section 501(c)(12) organizations to their members. Accordingly, these amounts are now reported on line 4. Project Big Heart PO Box 7388 Fredericksburg VA 22404 541681276 Charitable giving within the community VA 3 7 Rappahannock Electric Cooperative true Comm Awareness of Rap Elec Charity PO Box 7388 Fredericksburg VA 22404 203160667 Charitable Giving within the Community VA 3 7 Rappahannock Electric Cooperative true Rappahannock Electric Communications Inc PO Box 8059 Fredericksburg VA 22404 541509322 Markets and sells products and servcies VA REC C Corp 240 434413 1.00000 true false true false false false false false false false false false true false true false false false false false