2017-08-10T13:17:11-05:00 2016-12-31 450310328 BRADY MARTZ AND ASSOCIATES PC PO BOX 14296 GRAND FORKS ND 582084296 990 2016-01-01 410419150 MINNESOTA VALLEY ELECTRIC COOPERATIVE MINN 9524922313 125 MINNESOTA VALLEY ELECTRIC DRIVE JORDAN MN 55352 GERALD MARECK VP FINANCE 9524922313 2017-07-31 1 DAVID HOLT P00014251 7017754685 2017-07-26 24.111.23.187 2017-07-31 15:08:47 CD P CB0A8606D1D4AD9E4D6FE70A51AF26AB4D5393D3 EEB6B47B52C45DC429578530A207974813C51079 2016 2021-01-29 14:40:06Z RYAN HENTGES 125 MINNESOTA VALLEY ELECTRIC DRIVE JORDAN MN 55352 87709959 0 X WWW.MVEC.NET X 1937 MN PROVIDE ELECTRIC SERVICE TO MEMBERS 9 9 96 0 -111613 -189402 0 0 76893192 84303805 182117 155549 1514430 3176006 78589739 87635360 0 0 2245028 6215245 1247558 1377191 0 0 0 74660701 81859097 78153287 89451533 436452 -1816173 172078378 186410162 110206745 121340952 61871633 65069210 PROVIDE ELECTRIC SERVICE TO MEMBERS 0 0 PROVIDE ELECTRIC SERVICE TO MEMBERS 0 0 0 0 0 0 0 0 0 1 0 1 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 1 1 1 1 0 1 204 0 96 1 1 1 0 0 0 0 86011573 3409399 0 X 9 9 0 0 1 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 1 1 0 X GERALD MARECK 9524922313 125 MINNESOTA VALLEY ELECTRIC DRIVE JORDAN MN 55352 X BRENT LAWRENCE PRESIDENT 9.00 X X 18685 0 0 KEVIN GIBBS VICE PRESIDENT 9.00 X X 12965 0 0 MICHELLE MORRISON SECRETARY/TREASURER 9.00 X X 13150 0 0 THOMAS WOLF DIRECTOR 7.00 X 13195 0 0 JAMES CONNELLY DIRECTOR 7.00 X 11195 0 0 DEBORAH ERICKSON DIRECTOR 7.00 X 14485 0 0 FRANCES BARTEN DIRECTOR 7.00 X 10725 0 0 WILLIAM HEINLEIN DIRECTOR 7.00 X 13310 0 0 GARY HABERMAN DIRECTOR 7.00 X 12840 0 0 ROGER GECKLER GENERAL MANAGER 40.00 X 537227 0 67688 RYAN HENTGES GENERAL MANAGER 40.00 X 196572 0 46714 GERALD MARECK VP FINANCE 40.00 X 147585 0 78017 MARVIN DENZER VP KEY ACCOUNTS 40.00 X 166425 0 62258 DARYL HOFFMAN VP OPERATIONS 40.00 X 147610 0 57314 TERRI BAKKEN VP MEMBER SERVICES 40.00 X 129204 0 33004 BRYAN OTT FOREMAN 40.00 X 121332 0 24968 STEVEN VOLEK FOREMAN 40.00 X 125813 0 18927 RANDY BREEGGEEMANN FOREMAN 40.00 X 119304 0 50256 1811622 0 439146 28 0 1 0 DONLIE UNDERGROUND INC 10210 235TH ST W LAKEVILLE MN 55044 UNDERGROUND INSTALLATION 1867409 CARR'S TREE SERVICE INC PO BOX 250 OTTERTAIL MN 565710250 TREE TRIMMING 1428425 KARIANPETERSON POWER LINE CONTRACTING PO BOX 345 MONTEVIDEO MN 56265 POWERLINE CONSTRUCTION 1266959 HEARTLAND SERVICES LLC PO BOX 330 ROCKFORD MN 553730330 ENGINEERING 642251 NATIONAL INFORMATION SOLUTIONS COOPERATI 3201 NYGREN DR MANDAN ND 585541480 SOFTWARE SUPPORT, DATA PROCESSING SVCS 584200 9 CONSUMER ELECTRIC SALES 221000 84274299 84274299 POLE RENTALS 900099 29506 29506 84303805 139975 139975 90173 74599 15574 15574 15574 CAPITAL CREDITS 900099 3413249 3413249 MVUS LLC 900099 82871 82871 PARTNERSHIP INCOME 230000 -93459 -194484 101025 -226655 -226655 3176006 87635360 87460893 -111613 286080 X 6215245 1377191 2806259 4959022 COST OF POWER 61031391 DISTRIBUTION EXPENSE - 6976595 GENERAL AND ADMINISTRAT 2454517 CONSUMER ACCOUNTS - LAB 2110045 1521268 89451533 1664846 2297355 5000000 8000000 11461092 13456264 309956 274695 2415664 4087659 396346 356800 163702622 42373397 117120710 121329225 33552687 36601019 157077 0 7145 172078378 186410162 14209449 14462084 84066327 89406371 5500000 7000000 6430969 10472497 110206745 121340952 X 0 0 0 0 61871633 65069210 61871633 65069210 172078378 186410162 X -1816173 5013750 X X 0 1 X 1 0 1657190 1657190 6025036 2335042 3689994 8883188 6628000 2255188 147137208 33410355 113726853 121329225 GREAT RIVER ENERGY/COOP POWER ASSOC 26149478 C NRUCFC CAPITAL TERM CERTIFICATES 781572 C FEDERATED ACQUISITIONS, LLC 940913 C OTHER INVESTMENTS 2101506 C BASIN ELECTRIC 5127550 C CFC MEMBER CAPITAL CERTIFICATE 1500000 C 36601019 CUSTOMER DEPOSITS 3211471 UNLOCATED PATRONS 774162 DEFERRED STABILIZATION 6467000 MISC UNCLAIMED PROPERTY 4491 DEFERRED C&I DEV REFUNDABLE DEPOSIT 15373 10472497 X 87666389 113901 113901 87552488 82872 82872 87635360 83158500 0 83158500 6293033 6293033 89451533 PART X, LINE 2: THE COOPERATIVE IS EXEMPT FROM FEDERAL AND STATE INCOME TAXES UNDER 501(C)(12) OF THE INTERNAL REVENUE CODE. THE COMPANY'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. IT IS THE OPINION OF MANAGEMENT THAT THE COOPERATIVE HAS NO SIGNIFICANT UNCERTAIN TAX POSITIONS THAT WOULD BE SUBJECT TO CHANGE UPON EXAMINATION. THE FEDERAL INCOME TAX RETURNS OF THE COMPANY ARE SUBJECT TO EXAMINATION BY THE IRS, GENERALLY FOR THREE YEARS AFTER THEY WERE FILED. PART XI, LINE 2D - OTHER ADJUSTMENTS: PARTNERSHIP INCOME - BOOK VS. TAX DIFFERENCES 113,901. PART XI, LINE 4B - OTHER ADJUSTMENTS: LLC REVENUE 82,872. PART XII, LINE 4B - OTHER ADJUSTMENTS: ALLOCATED CAPITAL CREDITS 6,215,245. LLC EXPENSE 77,788. X 0 1 0 ROGER GECKLER GENERAL MANAGER 495227 0 42000 0 0 0 66945 0 743 0 604915 0 0 0 RYAN HENTGES GENERAL MANAGER 195254 0 1318 0 0 0 29959 0 16755 0 243286 0 0 0 GERALD MARECK VP FINANCE 142509 0 5076 0 0 0 61404 0 16613 0 225602 0 0 0 MARVIN DENZER VP KEY ACCOUNTS 165272 0 1153 0 0 0 46195 0 16063 0 228683 0 0 0 DARYL HOFFMAN VP OPERATIONS 146893 0 717 0 0 0 41315 0 15999 0 204924 0 0 0 TERRI BAKKEN VP MEMBER SERVICES 128268 0 936 0 0 0 30611 0 2393 0 162208 0 0 0 RANDY BREEGGEEMANN FOREMAN 118668 0 636 0 0 0 41073 0 9183 0 169560 0 0 0 PART I, LINE 4B ROGER GECKLER - $5,400, $44,000 AND $27,400 HEARTLAND SERVICES LLC ENTITY FOR WHICH RYAN HENTGES, GENERAL MANAGER, WAS SERVING AS DIRECTOR 642251 LABOR AND EXPENSE REIMBURSEMENT AND ENGINEERING SERVICES 0 CARR'S TREE SERVICE INC ENTITY FOR WHICH RYAN HENTGES, GENERAL MANAGER, WAS SERVING AS DIRECTOR 1428425 TREE TRIMMING 0 FORM 990, PART VI, SECTION A, LINE 4 ARTICLE II. MEETING OF MEMBERS. BOARD OF DIRECTORS MAY AUTHORIZE MEMBER VOTING BY ELECTRONIC MEANS IF CERTAIN CONDITIONS ARE MET. ARTICLE III. DIRECTORS. WHEN A DIRECTOR IS UNCONTESTED IN AN ELECTION, BALLOTS IN THAT DISTRICT WILL NOT BE SENT. ARTICLE IV. MEETINGS OF DIRECTORS. A DIRECTOR MAY ATTEND A BOARD MEETING BY REMOTE COMMUNICATION. FORM 990, PART VI, SECTION A, LINE 6 THE ORGANIZATION IS A MEMBER OWNED COOPERATIVE. FORM 990, PART VI, SECTION A, LINE 7A THERE IS ONE CLASS OF MEMBERSHIP AND MEMBERS ELECT THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7B THE MEMBERS VOTE ON SIGNIFICANT ISSUES AT THE ANNUAL MEMBERSHIP MEETINGS. EACH MEMBER HAS ONE VOTE PER ISSUE. FORM 990, PART VI, SECTION A, LINE 8B THERE ARE NO COMMITTEES WITH AUTHORITY TO ACT ON BEHALF OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11B THE 990 WAS GIVEN TO EACH DIRECTOR AND THE GENERAL MANAGER FOR REVIEW PRIOR TO FILING WITH THE IRS. THE REVIEW WAS CONDUCTED INDIVIDUALLY. FORM 990, PART VI, SECTION B, LINE 12C CONFLICTS OF INTEREST ARE DISCLOSED ANNUALLY BY THE BOARD OF DIRECTORS. MONITORING OCCURS THROUGHOUT THE YEAR THROUGH THE NORMAL REVIEW/PROCESSING OF CASH DISBURSEMENTS; REVIEWING OF MONTHLY FINANCIAL STATEMENTS; WITH THE EMPLOYEE ANNUAL REVIEW PROCESS; AND THROUGH ADHERENCE TO THE COMPANY POLICY ON BUSINESS ETHICS/CONFLICT OF INTEREST. ANNUAL DISCLOSURES ARE REVIEWED BY THE VICE PRESIDENT OF FINANCE. FORM 990, PART VI, SECTION B, LINE 15 GENERAL MANAGER - COMPENSATION WAS DETERMINED AND APPROVED BY THE BOARD. OTHER OFFICERS & KEY EMPLOYEES - ANNUAL PERFORMANCE REVIEWS ARE COMPLETED ALONG WITH WAGE AND SALARY ADJUSTMENTS. PAY TABLES ARE ADJUSTED FROM TIME TO TIME BASED ON MARKET CONDITIONS. AN OUTSIDE CONSULTANT WAS USED TO ESTABLISH THE INITIAL PAY PLAN. THE COOPERATIVE FOLLOWS EMPLOYEE POLICY #E-08 REGARDING COMPENSATION PRACTICES FOR NON-UNION PERSONNEL. THE UNION PERSONNEL COMPENSATION IS BASED ON THE COLLECTIVE BARGAINING AGREEMENT. FORM 990, PART VI, SECTION C, LINE 18 THE ORGANIZATION'S PUBLIC INSPECTION COPY OF FORM 990 IS AVAILABLE UPON REQUEST. FORM 990, PART VI, SECTION C, LINE 19 DOCUMENTS ARE PROVIDED UPON REQUEST. FORM 990, PART VII, SECTION A, LINE 1A: INCLUDED IN PART VII, SECTION A, LINE 1A, COLUMN F, IS THE ESTIMATED ANNUAL INCREASE IN THE ACTUARIAL VALUE OF THE DEFINED BENEFIT PLAN. THIS AMOUNT IS AN ESTIMATE OF THE INCREASE OF THE VALUE OF THE PLAN AND IS NOT A CURRENT YEAR EXPENSE OF THE COOPERATIVE. CURRENT YEAR CONTRIBUTIONS INTO THE DEFINED BENEFIT PLAN ARE A CURRENT YEAR EXPENSE AND ARE INCLUDED IN PART IX AS SUCH. CURRENT YEAR CONTRIBUTION AMOUNTS ARE INCLUDED IN THE ESTIMATED ANNUAL INCREASE IN THE ACTUARIAL VALUE OF THE DEFINED BENEFIT PLAN. FORM 990, PART IX, LINE 4 AS REQUIRED BY FORM 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. FORM 990, PART XI, LINE 9: PARTNERSHIP INCOME - BOOK VS. TAX DIFFERENCES 113,901. EQUITY CAPITAL CREDITS RETIRED -1,310,313. ALLOCATED CAPITAL CREDITS 6,215,245. LLC ADJUSTMENT -5,083. FORM 990, PART XII, LINE 2C OVERSIGHT PROCESS OF THE AUDIT AND SELECTION PROCESS OF THE INDEPENDENT AUDITORS HAS NOT CHANGED FROM THE PRIOR YEAR. FORM 990, PART VI, SECTION B, LINE 16B THE COOPERATIVE'S POLICY REGARDING PARTICIPATION IN JOINT VENTURES IS NOT WRITTEN. HOWEVER, THE COOPERATIVE PERFORMS AN 85% TEST ON AN ANNUAL BASIS TO ENSURE THAT IT MAINTAINS ITS TAX EXEMPT STATUS, AND THE OTHER JOINT VENTURE MEMBER IS ALSO A COOPERATIVE. ADDITIONALLY, THE JOINT VENTURE ARRANGEMENT IS REVIEWED AND MONITORED BY THE BOARD OF DIRECTORS. MINNESOTA VALLEY UTILITY SERVICES 125 MINNESOTA VALLEY ELECTRIC DRIVE JORDAN MN 55352 813074308 PROVIDES UTILITY CONSULTING SERVICES MN 82872 21392 MINNESOTA VALLEY ELECTRIC COOPERATIVE MINNESOTA VALLEY ELECTRIC TRUST 125 MINNESOTA VALLEY ELECTRIC DRIVE JORDAN MN 55352 411821090 COLLECT & DISBURSE FUNDS FOR CHARITABLE AND EDUCATIONAL PURPOSES MN 501(C)(3) 7 0 HEARTLAND SERVICES LLC 6800 ELECTRIC DRIVE PO BOX 330 ROCKFORD MN 553730330 411913777 ENGINEERING, SAFETY, POWER SUPPLY & ADMINISTRATION MN N/A UNRELATED -194577 56239 0 1 0.50000 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 1 0 1 0 MINNESOTA VALLEY ELECTRIC TRUST R 114178 MEMBER BILLING ROUND UP HEARTLAND SERVICES LLC M 145022 CASH PAID HEARTLAND SERVICES LLC H 55335 CASH PAID