2013-05-10T13:44:20-05:00 2012-12-31 KPMG LLP 701 West 8th Avenue Suite 600 Anchorage AK 99501 990 2012-01-01 920014224 Chugach Electric Association Inc % RONALD K VECERA CHUG 9077624759 PO Box 196300 Suite Anchorage AK 995196300 RONALD K VECERA 9077624759 2013-05-09 true E Mary Thomas 9072651200 2012 2016-02-24 21:20:13Z Bradley W Evans PO Box 196300 Anchorage AK 995196300 267928514 false X WWW.CHUGACHELECTRIC.COM X 1948 AK CHUGACH ELECTRIC ASSOCIATION, INC. PROVIDES THE GENERATION, TRANSMISSION AND DISTRIBUTION OF ELECTRICITY TO RETAIL CUSTOMERS AND THE GENERATION AND TRANSMISSION OF ELECTRICITY TO WHOLESALE CUSTOMERS. 7 7 400 22 0 0 0 0 284017215 267340763 389093 566185 138500 0 284544808 267906948 46189 42751 5573262 5525507 1881817 2004056 0 0 0 276583157 259875014 284084425 267447328 460383 459620 850034389 815495547 691698231 651208678 158336158 164286869 X CHUGACH ELECTRIC ASSOCIATION, INC. PROVIDES THE GENERATION, TRANSMISSION AND DISTRIBUTION OF ELECTRICITY TO RETAIL CUSTOMERS AND THE GENERATION AND TRANSMISSION OF ELECTRICITY TO WHOLESALE CUSTOMERS. THROUGH SUPERIOR SERVICE, CEA SAFELY PROVIDES RELIABLE AND COMPETITIVELY PRICED ENERGY. false false 237919733 42751 267906948 CHUGACH ELECTRIC ASSOCIATION, INC. PROVIDES TRANSMISSION AND DISTRIBUTION SERVICES TO APPROXIMATELY 82,004 RETAIL SERVICE LOCATIONS AND PROVIDES GENERATION AND TRANSMISSION SERVICES TO SEVERAL WHOLESALE CUSTOMERS. 237919733 false false false false false false false false true false false false true true true false false false false false false false false false false true true true false false false false false false false false false false false false false false true 164 0 true 400 true false false false false false false false false false 76326126 8017186 false X 7 7 false false true false true true true true false true false true true true true true true false false false AK X RONALD K VECERA 9077624759 5601 ELECTRON DRIVE ANCHORAGE AK 995181074 JANET REISER 8.0 X 21900 0 0 SUSAN REEVES 5.0 X 13850 0 0 S DOUGLAS ROBBINS 4.0 X 5200 0 0 PJ HILL 4.0 X 10700 0 0 JIM NORDLUND 4.0 X 10750 0 0 JAMES HENDERSON 4.0 X 10500 0 0 HARRY T CRAWFORD JR 5.0 X 14750 0 0 STANISLAVA COOPER 4.0 X 6700 0 0 BRADLEY W EVANS 40.0 X 340923 0 283358 MICHAEL R CUNNINGHAM 40.0 X 295138 0 326635 LEE D THIBERT 40.0 X 228198 0 277679 PAUL R RISSE 40.0 X 198448 0 214056 EDWARD M JENKIN 40.0 X 181567 0 237755 TYLER E ANDREWS 40.0 X 168431 0 68044 JAMES B HAMILTON JR 56.0 X 252644 0 47580 MIKE W R SNELL 61.0 X 203258 0 42113 ISAAC M WALDROP III 65.0 X 227421 0 105072 FRANKLYN T DUNBAR 56.0 X 211560 0 61405 MICHAEL K BULLARD 56.0 X 202077 0 73821 RONALD K VECERA 40.0 X 136986 0 316787 2741001 0 2054305 166 true true false Wilson Sonsini Goodrich Rosati PC 650 Page Mill Road PALO ALTO CA 943041050 LEGAL SERVICES 601703 Hilcorp Alaska LLC 1201 LOUISIANA STE 1400 HOUSTON TX 77002 GAS TRANSPORTATION 5286611 KPMG LLP 3 CHESTNUT RIDGE RD MONTVALE NJ 07645 AUDIT/TAX 321952 Cook Inlet Natural Gas Storage Alas 3000 Spenard Road Anchorage AK 99503 gas storage 3368202 GeoNorth LLC 561 E 36th Avenue Anchorage AK 99503 IT PROGRAMMING/SUPP 359980 15 0 ELECTRIC REVENUE 221000 266493256 266493256 CAPITAL CREDITS 221000 327439 327439 POLE RENTAL 221000 231881 231881 MICROWAVE SERVICES 221000 246331 246331 MEMBERSHIP DUES 221000 41856 41856 267340763 447434 447434 0 0 0 0 0 140317 21566 118751 118751 118751 0 0 0 0 267906948 267108882 0 798066 X 8882 8882 33869 33869 0 5525507 5525507 2004056 0 2004056 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 14144630 14144630 0 31939136 31939136 0 FUEL/PURCHASED POWER 147941346 147941346 OTHER POWER PRODUCTION 16739931 16739931 TRANSMISSION EXPENSE 5802009 5802009 DISTRIBUTION EXPENSE 15784423 15784423 27523539 27523539 267447328 237919733 29527595 0 5623332 10830916 133651225 5322871 0 0 42373995 46650901 0 0 0 0 0 0 32994454 42334738 27117479 29869105 1148461225 489591816 595190548 658869409 0 10158016 0 0 11134496 10552683 0 0 1948860 906908 850034389 815495547 22800190 16488323 0 0 0 0 0 0 0 0 0 0 429450318 546090108 175000000 11500000 64447723 77130247 691698231 651208678 X 1517488 1559344 132634601 137837721 24184069 24889804 158336158 164286869 850034389 815495547 X 459620 5491091 X false true X true true true 11874432 11874432 69109057 40779215 28329842 1067477736 448812601 618665135 658869409 0 CONSUMER DEPOSITS 4279901 ACCRUED INTEREST 6807207 FUEL 20868078 OTHER 4559981 DEFERRED CREDITS 1769172 DEFERRED COMPENSATION 570027 SALARIES, WAGES & BENEFITS 8369203 PATRONAGE CAPITAL PAYABLE 6858367 DEFERRED PROCEEDS ON SALE OF ASSETS 9338262 FUEL COST PAYABLE 13710049 77130247 X 268123393 258301 258301 267865092 41856 41856 267906948 262597886 417764 417764 262180122 5267206 5267206 267447328 Part XI. Line 2d. Allowance for funds used during construction $258,301 Part XI. Line 4b. Program membership dues and assessment $41,856. Part XII. Line 2d. Tax to book depreciation on territorial settlement with Municipal Light & Power $417,764 Part XII. Line 4b. Allowance for funds used during construction ($258,301), ASSIGNABLE MARGINS $5,525,507 = $5,267,206 Part X. Line 2. FIN 48 Footnote Chugach applies a more-likely-than-not recognition threshold for all tax uncertainties. FASB ASC 740 only allows the recognition of those tax benefits that have a greater than fifty percent likelihood of being sustained upon examination by the taxing authorities. Chugach's management reviewed Chugach's tax positions and determined there were no outstanding, or retroactive tax positions, that were not highly certain of being sustained upon examination by the taxing authorities. Management has concluded that there are no significant uncertain tax positions requiring recognition in its financial statements for all periods presented. Chugach's evaluation was performed for the tax periods ended December 31, 2009 through December 31, 2012 for U.S. Federal Income Tax, the tax years which remain subject to examination by major tax jurisdictions as of December 31, 2012. true United Way of Anchorage 701 W 8th Ave 230 Anchorage AK 99501 920027948 501(c)(3) 6782 matching contribution 1 0 Credit applied to electric bill 137 33869 Part III. The Association may include as part of its annual budget a sum of money for contributions to assist Chugach members who because of various hardship situations are unable to pay their present or past due electric bill. Hardship situations include, but are not limited to, circumstances where either the member or a dependent in the member's household is seriously ill, handicapped, or dependent on life support systems. Chugach Electric Association, Inc. has a board policy that establishes the criteria, as defined above, that members must meet in order to qualify for assistance in paying their present or past due electric bills. The applicant screening is done through the Safety Link Program administered by the Municipality of Anchorage, Health and Social Services Agency. Part II. The association may match regular employee contributions to qualifying organization up to a maximum of $100 per employee each year. The qualifying organizations must have a current 501(c)(3) designation. The association may use a third party organization to qualify and facilitate the matching contribution. X X false true X X X false false false BRADLEY W EVANS 299998 0 25000 0 15925 0 249325 0 34033 0 624281 0 0 0 MICHAEL R CUNNINGHAM 208976 0 20000 0 66162 0 312647 0 13988 0 621773 0 0 0 LEE D THIBERT 199919 0 15000 0 13279 0 245090 0 32589 0 505877 0 0 0 PAUL R RISSE 174410 0 15000 0 9038 0 181842 0 32214 0 412504 0 0 0 EDWARD M JENKIN 173078 0 5000 0 3489 0 205556 0 32199 0 419322 0 0 0 TYLER E ANDREWS 153056 0 5000 0 10375 0 34865 0 33179 0 236475 0 0 0 JAMES B HAMILTON JR 238173 0 0 0 14471 0 29934 0 17646 0 300224 0 0 0 MIKE W R SNELL 193896 0 0 0 9362 0 24467 0 17646 0 245371 0 0 0 ISAAC M WALDROP III 227142 0 0 0 279 0 87426 0 17646 0 332493 0 0 0 FRANKLYN T DUNBAR 199419 0 0 0 12141 0 43759 0 17646 0 272965 0 0 0 MICHAEL K BULLARD 197804 0 0 0 4273 0 56175 0 17646 0 275898 0 0 0 RONALD K VECERA 135136 0 0 0 1850 0 285968 0 30819 0 453773 0 0 0 Part I. Line 1a. Check the appropriate box(es) if the organization provided any of the following to or for a person listed in Form 990, Part VII, Section A, line 1a. "First-class or charter travel." The organization has a helicopter lease and a standing air charter for employees to reach facilities at remote locations, such as the Beluga Power Plant which is only accessible by air. Several of the organization's employees, including those listed, have used one or both of these services to inspect or perform maintenance on equipment, conduct supervisory responsibilities, or escort guests on tours. On occasion, officers use first-class travel for travel out of state to perform business on behalf of the organization. The first-class fares obtained are comparable to the coach fares available on the commercial airline usually used by the organization for business travel. Part I. Line 1b. If any of the boxes on line 1a are checked, did the organization follow a written policy regarding payment or reimbursement or provision of all of the expenses described above? "No." The organization does not have a formal written policy regarding the payment of tax indemnification and gross-up payments. It is currently at the discretion of the Chief Executive Officer, or at the discretion of the Board of Directors, if the payment is to the Chief Executive Officer. The organization does have a written policy regarding payment or reimbursement of travel expenses, which was followed for all individuals. Part VI. Section A. Line 4. Did the organization make any significant changes to its governing documents since the prior Form 990 was filed? At the organization's annual membership meeting held on May 17, 2012, four bylaw amendments passed. The first changed the member advisory council from a standing committee to an ad hoc committee. The second expanded joint memberships. The third included housekeeping amendments and the fourth permitted the Board of Directors to set meeting fees for member committees. Part VI. Section A. Line 6. Did the organization have members or stockholders? The organization is an electric cooperative which is owned by its members, approximately 67,631 at December 31, 2012. Part VI. Section A. Line 7a. Did the organization have members, stockholders, or other persons who had the power to elect or appoint one or more members of the governing body? The Board of Directors are elected by the membership and serve three-year terms. Part VI. Section A. Line 7b. Are any governance decisions of the organization reserved to (or subject to approval by) members, stockholders, or other persons other than the governing body? Changes to the organizations Bylaws and Articles of Incorporation are subject to approval by the membership. Part VI. Section A. Line 8b. Did the organization contemporaneously document the meetings held or written actions undertaken during the year by the following: Each committee with authority to act on behalf of the governing body? Board committees do not have the authority to act on behalf of the governing body. Board committees make recommendations to the governing body for approval, however, the organization contemporaneously documents the committee meetings held and written actions undertaken during the year. Part VI. Section A. Line 9. Is there any officer, director, trustee, or key employee listed in Part VII, Section A, who cannot be reached at the organization's mailing address? Michael R. Cunningham, 12831 Plymouth Circle, Anchorage, AK 99516; S. Douglas Robbins, 7928 East Frostline Court, Anchorage, AK 99507 Part VI. Section B. Line 11b. Describe in Schedule O the process, if any, used by the organization to review this Form 990. The Form 990 is reviewed by the CEO and senior executive staff or officers of the organization in detail, including all forms and schedules. The Form 990, including all forms and schedules, is also reviewed by the Board of Directors prior to being filed by our independent accounting firm. Part VI. Section B. line 12c. Does the organization regularly and consistently monitor and enforce compliance with the policy? The organization has a written conflict of interest policy which covers the Board of Directors (governing body) and all employees. The organization regularly and consistently monitors minutes and investigates potential or actual conflicts when discovered through member identification. Conflicts of an employee are reviewed and determined by the CEO, Chairman of the Board and Vice President of Human Resources. Conflicts of the CEO are reviewed and determined by the Board of Directors. Conflicts of the Board of Directors are reviewed by legal counsel and determinations are made by a vote of the Board of Directors after receiving advice from legal counsel. Any Director or employee whose conduct infringes upon either the letter or spirit of the conflict of interest policy shall be subject to: (1) if CEO, termination by appropriate action of the Board of Directors; (2) if an employee, termination by appropriate action of the CEO; or (3) if a Director, charges by the Board leading to removal in accordance with the appropriate section of the organization's Bylaws or automatic ineligibility as applicable under the circumstances. Part VI. Section C. Line 19. Describe in Schedule O whether (and if so, how) the organization makes its governing documents, conflict of interest policy, and financial statements available to the public during the tax year. The organization's governing documents, conflict of interest policy and financial statements are available on its website. Part IX. Line 24e. If line 24e amount exceeds 10% of line 25, column (A) amount, list line 24e expenses in Schedule O. Consumer Accounts Expense $6,013,419; Administrative & General Expense $21,510,120; Total $27,523,539 Part XI. Line 9. Other changes in net assets or fund balances (explain in Schedule O). The other changes in net assets or fund balances consists of an increase in donated capital of $26,612, a decrease in unredeemed capital credits of ($12,949), retirement of capital credits and estate payments of ($48,079), and assignable margins of $5,525,507 totaling a net change of $5,491,091. OTHER EXPENSES FORM 990 PART IX DESCRIPTION:CONSUMER ACCOUNTS TOTAL EXPENSES:6013419 MANAGEMENT AND GENERAL:6013419 OTHER EXPENSES FORM 990 PART IX DESCRIPTION:ADMINISTRATIVE & GENERAL TOTAL EXPENSES:21510120 MANAGEMENT AND GENERAL:21510120