2013-06-12T12:53:40-05:00 2012-12-31 341310124 REA & ASSOCIATES INC 212 N WASHINGTON STREET MILLERSBURG OH 44654 990 2012-01-01 340294570 HOLMES-WAYNE ELECTRIC COOPERATIVE INC HOLM 3306741055 PO BOX 112 MILLERSBURG OH 446540112 GLENN W MILLER 3306741055 2013-06-03 1 CHRIS ROUSH CPA P00100273 3306746055 2013-05-20 2012 2016-03-07 17:11:31Z GLENN W MILLER PO BOX 112 MILLERSBURG OH 446540112 38304421 0 X WWW.HWECOOP.COM X 1935 OH SINCE BEING ESTABLISHED IN 1935 IN MILLERSBURG, OH, HOLMES-WAYNE ELECTRIC COOPERATIVE, INC. HAS BEEN OPERATING AS A NON-PROFIT ELECTRIC DISTRIBUTION UTILITY. OUR PURPOSE IS TO FURNISH OUR MEMBER-CUSTOMERS WITH QUALITY, LOW COST ELECTRIC SERVICES. 9 9 44 0 0 0 0 0 0 0 60022 54078 13740579 14742448 13800601 14796526 10500 15000 1572256 2577193 4105024 4128432 0 0 0 8112821 8075901 13800601 14796526 0 0 70430164 75130983 41002847 44344243 29427317 30786740 X SEE SCHEDULE O 0 0 OUR LARGEST PROGRAM SERVICE ACCOMPLISHMENT WAS THE DISTRIBUTION OF ELECTRICITY TO THE RURAL AREAS OF EIGHT COUNTIES IN NORTHEAST OHIO. WE HAVE SERVED OVER 18,000 ACCOUNTS WITH NEARLY 2,200 MILES OF DISTRIBUTION LINES AND 17 SUBSTATIONS. 0 0 0 0 0 0 0 0 0 1 1 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 40 0 1 44 1 0 0 0 0 0 0 0 36642889 1661532 0 X 9 9 0 0 0 0 1 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X CASEY WAGNER 3306741055 6060 SR 83 MILLERSBURG OH 44654 LARRY MARTIN 3.00 X 4210 0 0 RONNIE R SCHLEGEL 1.80 X 5950 0 0 DONALD BUREN 2.50 2.00 X 6650 0 0 KENNETH BOWER 0.90 X 2800 0 0 KENNETH CONRAD 2.90 X 7350 0 0 DAVID MANN 3.70 X X 9450 0 0 RANDY SPRANG 4.10 X X 10500 0 0 WILLIAM GRASSBAUGH 2.60 X 7000 0 0 BARRY JOLLIFF 3.90 X X 8750 0 0 JACKIE MCKEE 3.30 X 4550 0 0 GLENN W MILLER 41.50 X 172826 0 68749 JOHN C PORTER 41.50 X 132262 0 56806 CASEY L WAGNER 40.50 X 86816 0 46273 459114 0 171828 2 0 1 0 VAUGHN INDUSTRIES LLC 1201 E FINDLAY ST CAREY OH 43316 SUBSTATION WORK 1242395 NEW RIVER ELECTRICAL CORPORATION PO BOX 70 CLOVERDALE VA 24077 LINE CONSTRUCTION 1240405 DAVEY TREE EXPERT COMPANY PO BOX 709 KENT OH 44240 TREE TRIMMING 1044188 LEWIS TREE SERVICE INC PO BOX 8000 BUFFALO NY 14267 TREE TRIMMING 305652 4 54078 54078 173 173 210375 0 210375 210375 210375 36642889 23507895 13134994 13134994 GENERATION CAPITAL CREDITS 221000 1347286 1347286 OTHER CAPITAL CREDITS 221000 49620 49620 1396906 14796526 13134994 0 1661532 X 15000 2577193 656323 2194697 532782 546462 198168 8101 24450 51896 11283 218008 123489 60014 40802 39820 1609383 1973960 79483 TAXES- UTILITY PROPERTY 2304006 OPERATING & MAINTENANCE 1198321 CONSUMER ACCOUNTS EXPEN 186315 ADMINISTRATIVE & GENERA 146570 14796526 122488 110344 1366907 706537 3791756 4428525 938523 805598 58388 103386 66176841 15600313 47965379 50576528 14989029 15960789 182579 170999 1015115 2268277 70430164 75130983 4023093 4201367 359479 0 36054095 39494040 566180 648836 41002847 44344243 X 29427317 30786740 0 0 0 0 29427317 30786740 70430164 75130983 X 0 1359423 X X 0 1 X 1 0 364450 364450 4556289 637741 3918548 3374662 1754059 1620603 57881440 13208513 44672927 50576528 RURAL ELECTRIC SUPPLY COOPERATIVE 380758 C BUCKEYE POWER, INC 14316808 C NATIONAL RURAL UTILITIES COOPERATIV 727051 C NATIONAL INFORMATION SOLUTIONS CORP 59330 C FEDERATED RURAL ELECTRIC INSURANCE 96685 C COOPERATIVE RESPONSE CENTER 19532 C HEARTLAND EMERGENCY EQUIPMENT, LTD 131705 C COBANK COMMON STOCK 27128 C OTHER INVESTMENTS 201792 C 15960789 CONSTRUCTION DEPOSITS 60815 CONSUMER DEPOSITS 196224 CONSUMER ENERGY PREPAYMENTS 4997 PROVISION FOR POST-RETIREMENT BENEF 386800 648836 X 38304421 0 38304421 -23507895 -23507895 14796526 35727228 23507895 23507895 12219333 2577193 2577193 14796526 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: "INCOME TAXES THE COOPERATIVE IS A RURAL ELECTRIC COOPERATIVE EXEMPT FROM FEDERAL INCOME TAXES UNDER INTERNAL REVENUE CODE SECTION 501(C)(12). ACCORDINGLY, NO PROVISION FOR FEDERAL INCOME TAXES HAS BEEN MADE. AN INFORMATIONAL TAX RETURN, FORM 990, IS PREPARED AND FILED EACH YEAR WITH THE INTERNAL REVENUE SERVICE. THE COOPERATIVE PRESENTLY DISCLOSES OR RECOGNIZES INCOME TAX POSITIONS BASED ON MANAGEMENTS ESTIMATE OF WHETHER IT IS REASONABLY POSSIBLE OR PROBABLE, RESPECTIVELY, THAT A LIABILITY HAS BEEN INCURRED FOR UNRECOGNIZED INCOME TAX BENEFITS. INTEREST AND PENALTIES WOULD BE RECORDED AS OPERATING EXPENSES WHEN THEY ARE INCURRED. THE COOPERATIVE IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY THE U.S. FEDERAL, STATE OR LOCAL TAX AUTHORITIES FOR THE YEARS BEFORE 2009." PART XI, LINE 4B - OTHER ADJUSTMENTS: POWER & MERCHANDISE PURCHASES- REPORTABLE ON PART VIII, LINE 10B -23,507,895. PART XII, LINE 2D - OTHER ADJUSTMENTS: POWER & MERCHANDISE PURCHASES- REPORTABLE ON PART VIII, LINE 10B 23,507,895. PART XII, LINE 4B - OTHER ADJUSTMENTS: PATRONAGE DIVIDENDS ALLOCATED FOR CURRENT TAX YEAR 2,577,193. 1 EDUCATIONAL SCHOLARSHIPS TO STUDENTS PURSUING HIGHER EDUCATION. 8 15000 0 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: SCHOLARSHIPS ARE AWARDED TO AT LEAST 3 GIRLS AND 3 BOYS FOLLOWING A SCREENING PROCESS BY INDEPENDENT JUDGES. BEFORE AWARDING THE SCHOLARSHIPS, THE STUDENTS MUST PROVE THAT THEY ARE ENROLLED AT THE COLLEGE OR UNIVERSITY OF THEIR CHOICE AND PROVIDE APPROPRIATE DOCUMENTATION. FUNDS ARE NOT DISTRIBUTED UNTIL THAT DOCUMENTATION IS RECEIVED AND REVIEWED. FORM 990, SCHEDULE I, PART III GRANTS AND OHER ASSISTANCE TO INDIVIDUALS IN THE UNITED STATES. 1ST PRIZE IS AWARDED $2,500.00, 2ND PRIZE IS AWARDED $2,000.00, AND 3RD PLACE IS AWARDED $1,500.00. X X 0 0 0 GLENN W MILLER 172826 0 0 0 0 0 52527 0 16222 0 241575 0 0 0 JOHN C PORTER 132262 0 0 0 0 0 42111 0 14695 0 189068 0 0 0 ORGANIZATION MISSION STATEMENT FORM 990, PART III, LINE 1 THE MISSION OF HOLMES-WAYNE ELECTRIC COOPERTATIVE, INC. IS TO SAFELY PROVIDE RELIABLE, COMPETITIVELY-PRICED ELECTRIC SERVICE FOR OUR MEMBER-OWNERS TO ENHANCE THE QUALITY OF LIFE IN THE COMMUNITIES WE SERVE WHILE EMBRACING COOPERATIVE PRINCIPLES AND VALUES. FORM 990, PART VI, SECTION A, LINE 6 THE COOPERATIVE IS OWNED AND OPERATED BY ITS MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OF THE COOPERATIVE ELECT A NINE MEMBER BOARD OF TRUSTEES TO OVERSEE THE MANAGEMENT OF THE COOPERATIVE. FORM 990, PART VI, SECTION B, LINE 11 AN INDEPENDENT ACCOUNTING FIRM PREPARES THE TAX RETURN ANNUALLY. ONCE THE RETURN HAS BEEN ASSEMBLED AND COMPLETED BY THE ACCOUNTING FIRM, A DRAFT COPY IS SENT OR DELIVERED TO THE FILING ORGANIZATION. THE RETURN IS THEN SENT TO EACH BOARD MEMBER BEFORE THE MONTHLY MEETING. THIS IS DESIGNED TO ALLOW FOR INDIVIDUAL REVIEW TIME BEFORE THE ENTIRE BOARD ASSEMBLES FOR THEIR MONTHLY MEETING TO REVIEW THE TAX RETURN AS A GROUP. THE BOARD WILL ADDRESS ANY QUESTIONS, AND PROPOSE NECESSARY REVISIONS IF NEEDED PRIOR TO FILING THE RETURN WITH THE APPROPRIATE TAXING AUTHORITIES. FORM 990, PART VI, SECTION B, LINE 12C THE COOPERATIVE MONITORS ITS CONFLICT OF INTEREST POLICY BY REQUIRING ITS EMPLOYEES AND BOARD OF TRUSTEES TO COMPLETE A CONFLICT OF INTEREST CERTIFICATION AND DISCLOSURE FORM ANNUALLY. BY DOING SO, THE BOARD IS MADE AWARE OF ANY POTENTIAL CONFLICTS OF INTEREST AS THEY ARISE AND ENFORCES COMPLIANCE WITH THIS POLICY. FORM 990, PART VI, SECTION B, LINE 15 THE CEO/PRESIDENT'S COMPENSATION IS DECIDED BY THE OTHER MEMBERS OF THE BOARD BY EVALUATING THE CEO/PRESIDENT'S PERFORMANCE AND BY USING A COMPENSATION SURVEY ON COMPARABLE COOPERATIVES IN THE STATE, REGION, & NATION. THE COMPENSATION STATISTICS CAN BE COMPARED BASED ON THE SIZE, REVENUES, NUMBER OF METERS, & ETC. OF A COOPERATIVE. COMPENSATION FOR THE COOPERATIVE'S ASST. MANAGER/ENGINEER AND ACCOUNTING MANAGER IS BASED ON ANNUAL PERFORMANCE REVIEWS AND INDUSTRY DATA TRENDS, WITH THE FINAL DETERMINATION MADE BY THE CEO/PRESIDENT. EACH OF THE THREE OFFICERS' COMPENSATION IS REVIEWED ANNUALLY. FORM 990, PART VI, SECTION C, LINE 19 THE COOPERATIVE MAINTAINS PERTINENT PUBLIC RECORDS AND RELEASES THEM TO THE PUBLIC BY REQUEST. THE ORGANIZATION'S MOST RECENTLY FILED TAX RETURNS ARE ALSO AVAILABLE FOR VIEWING ON-LINE AT <WWW.GUIDESTAR.ORG>. TREATMENT OF CAPITAL CREDITS FORM 990, PART IX, LINE 4 IRS HAS CHANGED INSTRUCTIONS FOR REPORTING CAPITAL CREDITS FOR UTILITY COMPANIES. ACCORDINGLY, THE FILING ORGANIZATION IS NOTING THAT IT HAS BEGUN REPORTING ITS PATRONAGE ALLOCATED CAPITAL CREDITS AS EXPENSES ON FORM 990, PART IX, LINE 4 BEGINNING WITH TAX YEAR 2011. THE ORGANIZATION IS ALSO NOTING THAT THE RETIRED PATRONAGE CAPITAL CREDITS ARE STILL BEING SHOWN AS AN OTHER ASSET ADJUSTMENTS AND ARE NOTED IN DETAIL ON SCHEDULE D, PAGE 5, AND ALSO ON SCHEDULE O. EXPLANATION FOR CHANGE IN REPORTING SINCE 2011 RETURN WAS FILED FORM 990, PART IX, LINE 5,8,& 9 THE ACCOUNTING FIRM HAS UPDATED THE TAX LINES ON PART IX UNDER WHICH THE OFFICER AND DIRECTOR BENEFITS ARE REPORTED. DURING 2011, THE PENSION AND OTHER EMPLOYEE BENEFITS OF THE OFFICERS AND DIRECTORS WERE REPORTED ON LINES 8 & 9, TOTALING $168,372. FOR 2012, THOSE BENEFITS ARE BACKED OUT OF LINES 8 & 9 AND ARE REPORTED ON LINE 5 AS INSTRUCTED BY IRS. THIS IS WHY THERE IS A FLUCTUATION BETWEEN TAX LINES 5, 8, & 9 BETWEEN YEARS 2011 AND 2012. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: UNCLAIMED RETIRED CAPITAL CREDITS -1,256,837. CHANGE IN DONATED CAPITAL 51,156. CHANGE IN RETIRED CAPITAL CREDITS -12,089. PATRONAGE DIVIDENDS ALLOCATED FOR TAX YR 2,577,193. FORM 990, PART XI, LINE 2C IT IS THE RESPONSIBILITY OF THE 9 DIRECTORS ON THE BOARD TO OVERSEE ANY AUDITS, REVIEWS, OR COMPILATIONS OF FINANCIAL STATMENTS AND TO SELECT AN INDEPENDENT ACCOUNTANT. THIS POLICY HAS NOT CHANGED SINCE THE PRIOR YEAR. HOLMES-WAYNE ELECTRIC FOUNDATION INC PO BOX 112 MILLERSBURG OH 446540112 203973508 PROVISION OF CHARITABLE & BENEVOLENT FUNDING FOR THE COMMUNITY OH 501(C)(3) LINE 9 HOLMES-WAYNE ELECTRIC COOPERATIVE INC 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 HOLMES-WAYNE ELECTRIC FOUNDATION INC R 55691 COST VALUE