2017-10-31T10:22:50-05:00 2017-06-30 621114363 HENDERSON HUTCHERSON & MCCULLOUGH PLLC 1200 MARKET STREET CHATTANOOGA TN 37402 990 2016-07-01 630182345 SAND MOUNTAIN ELECTRIC COOPERATIVE SAND 2566382153 P O BOX 277 RAINSVILLE AL 35986 MARK MALONE CFO/MANAGER OF FINANCE 2566382153 2017-10-17 1 KIM HUSKEY CPA P00958962 4237567771 2017-10-17 66.18.62.66 2017-10-17 15:52:54 ED P A65F44310AD8CEE0552065403E3963946FE4AA31 913CB10A6BF2935F230814CEFEA5A6F20802B349 2016 2018-03-14 21:41:22Z MARK MALONE 402 MAIN STREET WEST RAINSVILLE AL 35986 71394681 0 X WWW.SMEC.COOP X 1940 AL THE COOPERATIVE PROVIDES ELECTRICITY TO ITS MEMBERS 9 9 78 0 0 0 0 0 68334411 69857829 629530 686251 908041 850601 69871982 71394681 0 0 0 0 6140599 6830606 0 0 0 62966852 62743406 69107451 69574012 764531 1820669 109725419 109364019 50692005 48542516 59033414 60821503 TO PROVIDE ELECTRIC SERVICE TO THE PEOPLE IN RURAL AREAS AT THE LOWEST COST POSSIBLE, CONSISTENT WITH SOUND BUSINESS PRACTICES. 0 0 69574012 TO PROVIDE ELECTRICITY TO ITS 31,199 CONSUMERS. 69574012 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 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 55 0 1 78 1 0 0 0 0 0 69857829 1536852 0 X 9 9 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X MARK MALONE 2566382153 402 MAIN STREET WEST RAINSVILLE AL 35986 DAVID HENDERSON PRESIDENT 5.00 X 15130 0 0 LARRY G GODWIN VICE-PRESIDENT 4.00 X 20077 0 0 LEO BOMIAN TRUSTEE 3.00 X 17434 0 0 ROLAND HENDON TRUSTEE 3.00 X 18351 0 0 JAMIE BOWMAN TRUSTEE 3.00 X 15130 0 0 RAYMOND LONG SECRETARY/TREASURER 4.00 X 18244 0 0 DANNY LACEY TRUSTEE 3.00 X 18380 0 0 LUKE FREEMAN TRUSTEE 3.00 X 0 0 0 RANDY L BAILEY TRUSTEE 3.00 X 0 0 0 MIKE SIMPSON CEO/GENERAL MANAGER 50.00 X 265932 0 58493 MARK MALONE CFO/MANAGER OF FINANCE 50.00 X 156715 0 73750 KEVIN ANDERSON MANAGER OF OPERATIONS AND 50.00 X 162977 0 96838 BOYD GRABEN MANAGER OF SAFETY, REGULAT 50.00 X 131634 0 59700 DIANE B HALE MANAGER OF MEMBER SERVICES 50.00 X 126354 0 58039 BILLY R CLANTON MAINTENANCE SUPERVISOR 50.00 X 125650 0 59472 JOE REED ENGINEERING SUPERVISOR 50.00 X 118233 0 86065 STANTON L SKAGGS SUPERINTENDENT OF OPERATIONS 50.00 X 114209 0 53796 R LEE BAILEY FORMER TRUSTEE 0.00 X 14784 0 0 JAMES P CARMICHAEL FORMER TRUSTEE 0.00 X 12845 0 0 1352079 0 546153 21 1 1 0 ASPLUNDH TREE EXPERT CO PO BOX 532729 ATLANTA GA 30353 RIGHT OF WAY CLEARING 1011431 SOUTHEASTERN DATA COOP INC 100 ASHFORD CENTER NORTH SUITE 500 ATLANTA GA 30338 DATA PROCESSING SERVICES 448548 BURFORD'S TREE INC 4230 CHOCTAW TRAIL ANNISTON AL 36206 RIGHT OF WAY CLEARING 397652 LAMBERT INC 42390 US HWY 72 STEVENSON AL 35772 EXCAVATION 242326 OSMOSE UTILITIES SERVICE PO BOX BUFFALO NY 14267 POLE TESTING 183961 7 ELECTRIC SALES 221000 69857829 69857829 69857829 686251 686251 850601 0 850601 850601 850601 71394681 71394681 0 0 708370 6122236 1551208 4781004 COST OF POWER 49884071 DISTRIBUTION - MAINTENA 3280570 DISTRIBUTION - OPERATIO 2576222 TAX EXPENSE 2481551 -1811220 69574012 695189 628756 7303127 6556046 575705 647338 4807481 4069976 144784252 50473445 93023520 94310807 2501079 2571235 819318 579861 109725419 109364019 11700071 10692514 34476549 33150306 4515385 4699696 50692005 48542516 X 481660 489145 0 0 58551754 60332358 59033414 60821503 109725419 109364019 X 1820669 -32580 X X 0 1 X 1 0 150374 150374 3285808 1300594 1985214 139626885 49172851 90454034 1721185 1721185 94310807 CUSTOMER DEPOSITS 2707402 POSTRETIREMENT BENEFIT OBLIGATION 1992294 4699696 X 71394681 0 71394681 0 71394681 69574012 0 69574012 0 69574012 PART X, LINE 2: NOTE 11 UNCERTAIN TAX POSITIONS THE COOPERATIVE FOLLOWS THE ACCOUNTING GUIDANCE FOR UNCERTAINTY IN INCOME TAXES USING THE PROVISIONS OF ACCOUNTING STANDARDS CODIFICATION TOPIC 740, INCOME TAXES. THE COOPERATIVE HAS CONCLUDED THAT THERE ARE NO SIGNIFICANT UNCERTAIN TAX POSITIONS REQUIRING DISCLOSURE, AND THERE ARE NO MATERIAL AMOUNTS OF UNRECOGNIZED TAX BENEFITS. THE COOPERATIVE'S EVALUATION WAS PERFORMED FOR TAX YEARS ENDED JUNE 30, 2014 THROUGH JUNE 30, 2017, THE YEARS THAT REMAIN SUBJECT TO EXAMINATION BY MAJOR TAX JURISDICTIONS AS OF JUNE 30, 2017. PART VI, LINE 1E OTHER FIXED ASSETS IS MADE UP OF CONSTRUCTION AND RETIREMENT WORK IN PROGRESS. X X X 0 0 0 MIKE SIMPSON CEO/GENERAL MANAGER 265932 0 0 0 0 0 56769 0 1724 0 324425 0 0 0 MARK MALONE CFO/MANAGER OF FINANCE 156715 0 0 0 0 0 72026 0 1724 0 230465 0 0 0 KEVIN ANDERSON MANAGER OF OPERATIONS AND 162977 0 0 0 0 0 84964 0 11874 0 259815 0 0 0 BOYD GRABEN MANAGER OF SAFETY, REGULAT 131634 0 0 0 0 0 47826 0 11874 0 191334 0 0 0 DIANE B HALE MANAGER OF MEMBER SERVICES 126354 0 0 0 0 0 46165 0 11874 0 184393 0 0 0 BILLY R CLANTON MAINTENANCE SUPERVISOR 125650 0 0 0 0 0 57748 0 1724 0 185122 0 0 0 JOE REED ENGINEERING SUPERVISOR 118233 0 0 0 0 0 84341 0 1724 0 204298 0 0 0 STANTON L SKAGGS SUPERINTENDENT OF OPERATIONS 114209 0 0 0 0 0 41922 0 11874 0 168005 0 0 0 R LEE BAILEY FORMER TRUSTEE 14784 0 0 0 0 0 0 0 0 0 14784 0 0 0 JAMES P CARMICHAEL FORMER TRUSTEE 12845 0 0 0 0 0 0 0 0 0 12845 0 0 0 FORM 990, PART VI, SECTION A, LINE 6 THE ORGANIZATION HAS 31,199 CONSUMERS TO WHOM IT PROVIDES ELECTRICITY. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF SAND MOUNTAIN ELECTRIC COOPERATIVE ELECT THE BOARD OF DIRECTORS THROUGH A DEMOCRATIC PROCESS. FORM 990, PART VI, SECTION A, LINE 7B VOTE OF MEMBERS IS REQUIRED TO ELECT TRUSTEES, CHANGE BY-LAWS, APPROVE CERTAIN PROPERTY SALES AND APPROVE SOME LIMITED OTHER ISSUES. FORM 990, PART VI, SECTION B, LINE 11B THE ORGANIZATION'S BOARD OF DIRECTORS WILL REVIEW THE 990 BEFORE SUBMITTING IT TO THE IRS. FORM 990, PART VI, SECTION B, LINE 12C KEY EMPLOYEES AND TRUSTEES ARE REQUIRED TO FILL OUT TWO SEPARATE QUESTIONNAIRES ANNUALLY DISCLOSING ANY CONFLICTS OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS SETS THE GENERAL MANAGER'S COMPENSATION SEPARATELY FROM THE OTHER EMPLOYEES AFTER REVIEWING AREA (ALABAMA RURAL ELEC. ASSOC.) SALARY SURVEYS. THE GM HAS A WRITTEN EMPLOYMENT CONTRACT. THE OTHER OFFICERS, KEY EMPLOYEES (LISTED MANAGERS) SALARY IS SET BY THE BOARD WITH A RECOMMENDATION FROM THE GM. THEY USE THE AREA SALARY SURVEY IN THE PROCESS. ALL OF OUR EMPLOYEE PAY RATES ARE SET BY THE BOARD. THE MAJORITY ARE UNDER A UNION CONTRACT THAT IS NEGOTIATED BY A COMMITTEE OF THE BOARD AND APPROVED BY THE FULL BOARD. FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART XI, LINE 9: INCREASE IN CAPITAL STOCK (MEMBERSHIPS) 7,485. OTHER COMPREHENSIVE INCOME - APBO -40,065. FORM 990, PART XII, LINE 2C: AUDIT OVERSIGHT PROCESS REMAINS UNCHANGED FROM THE PRIOR YEAR. PG. 10, PART IX, LINE 24E, OTHER EXPENSES FOR PRESENTATION PURPOSES, $6,830,606 WAS RECLASSIFIED TO SALARIES AND WAGES TO GIVE A MORE ACCURATE FIGURE. A LARGE AMOUNT OF SALARIES EXPENSE IS CAPITALIZED INTO PLANT DURING THE YEAR WHICH LEAVES THE SALARIES AND WAGES EXPENSE AMOUNT UNDERSTATED. SINCE WE RECLASSIFIED THIS AMOUNT ON PART IX, OTHER EXPENSES SHOWS A NEGATIVE BALANCE.