2023-05-09T09:28:08-05:00 2022-12-31 750882037 BOLINGER SEGARS GILBERT AND MOSS LLP 8215 NASHVILLE AVENUE LUBBOCK TX 79423 990 2022-01-01 474815587 CKENERGY ELECTRIC COOPERATIVE INC CKEN 4056562322 PO BOX 70 BINGER OK 73009 CLINT PACK CEO 4056562322 2023-05-08 1 CLINT PACK 999009999 0 WILLIAM M MILLER P00439459 8067473806 2023-05-05 X 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z CLINT PACK PO BOX 70 BINGER OK 73009 96993116 0 X WWW.CKENERGY.COOP X 2016 OK TO PROVIDE QUALITY AND RELIABLE ELECTRIC SERVICE TO MEMBERS OF THE COOPERATIVE. 12 12 105 0 0 0 0 0 79197354 96317453 223534 456181 145336 105856 79566224 96879490 0 285596 5544422 3571182 11091636 11521589 0 0 0 62930166 81501123 79566224 96879490 0 0 211573649 211315607 144640283 138831240 66933366 72484367 NONE 0 0 PROVIDING ELECTRIC ENERGY TO OUR MEMBERS - 26,741 ACTIVE SERVICES AT YEAR END WERE PROVIDED ELECTRICITY ON A COOPERATIVE BASIS THROUGH THE ALLOCATION OF PATRONAGE CAPITAL. 0 0 0 0 0 0 0 0 0 1 0 1 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 1 1 0 0 1 30 0 105 1 0 0 0 0 0 98189018 1461681 0 0 0 X 12 12 0 0 1 0 1 1 1 1 0 0 0 1 1 1 1 0 1 1 1 0 OK X DEBBIE TOHO CFO 4056562322 14039 STATE HIGHWAY 152 BINGER OK 73009 X GARY BREWSTER TRUSTEE 5.00 X 14943 0 0 WALTER HRBACEK TRUSTEE 3.50 X 16498 0 0 GREG LITTLE VICE PRESIDENT 4.50 X X 26484 0 0 DON PAYNE TRUSTEE 6.00 X 35304 0 0 SCOTT KLINGMAN AUG-DEC TRUSTEE 3.00 X 8800 0 0 FRED REUTER SECRETARY/TREASURER 4.50 X X 15661 0 0 JACK SAWATZKY PRESIDENT 5.00 X X 21024 0 0 JOHN SCHAUFELE TRUSTEE 5.00 X 23444 0 0 TONY SETZER TRUSTEE 4.00 X 17785 0 0 MARK SLEMP TRUSTEE 3.00 X 26417 0 0 STEVE SWEENEY TRUSTEE 5.00 X 19096 0 0 ROBERT TRAVIS TRUSTEE 6.50 X 25619 0 0 JOHN SCOTT MAY-AUG TRUSTEE 1.00 X 4548 0 0 GLENN PROPPS JAN-MAR TRUSTEE 1.00 X 8183 0 0 CLINT PACK CEO 60.00 X 279466 0 186788 DEBRA TOHO CFO 45.00 X 161776 0 158315 WISPER HOWELL DIR OF CONSUMER ACCT 45.00 X 158910 0 92990 JAMES HEDRICK DIRECTOR OF OPERATIONS 45.00 X 172955 0 114160 WILLIAM B LEE VP STRATEGIC PLANNING 45.00 X 161274 0 109892 LANCE GOUCHER CONSTRUCTION FOREMAN 40.00 X 153976 0 66987 GAYLA COATS DIRECTOR OF HR 40.00 X 145967 0 119479 GARY WILLIAMS POWER MANAGER 40.00 X 139600 0 57317 TOMMY HANNAGAN DISTRICT LINEMAN 40.00 X 132796 0 70707 JARED BROWN DISTRICT LINEMAN 40.00 X 130431 0 69344 1900957 0 1045979 34 0 1 0 R&R POWERLINE PO BOX 246 SAYRE OK 73662 LINE CONSTRUCTION 675375 C H GUERNSEY & COMPANY 5555 N GRAND BLVD OKLAHOMA CITY OK 73112 LEGAL CONSULTING/ENGINEERING 288483 HUDSON TRENCHING SERVICES INC PO BOX 250 NEWCASTLE OK 73065 BORING 154940 3 X SALES OF ELECTRICITY 221000 94539863 94539863 PATRONAGE DIVIDENDS 221000 1570051 1570051 OTHER PROGRAM REVENUE 221000 112119 112119 SERVICE FEES 221000 95420 95420 96317453 328919 328919 566 566 127262 0 127262 127262 127262 188548 113626 74922 74922 POLE ATTACHMENT INCOME 221000 30368 30368 30368 96879490 96519637 0 359853 X 285596 3571182 1860332 5881258 1137441 2158770 483788 3685585 6773747 PURCHASED POWER 62584620 DISTRIBUTION EXPENSE 2343550 OPERATING TAXES 1846399 ADMIN & GENERAL EXPENSE 869988 3397234 96879490 3261485 3715098 6993151 14297651 16747359 10607623 265129 194342 1589170 2449857 862751 473698 208252048 62608884 148743811 145643164 29488096 30172323 3622697 3761851 211573649 211315607 7978205 8679700 126610543 120618439 10051535 9533101 144640283 138831240 X 77730 78250 0 0 66855636 72406117 66933366 72484367 211573649 211315607 X 0 5551001 X X 0 1 X 1 1 1 425460 425460 4408986 2137710 2271276 201293946 60471174 140822772 2123656 2123656 145643164 PATRONAGE CAPITAL - WFEC 26994093 C PATRONAGE CAPITAL - CFC 420939 C PATRONAGE CAPITAL - COBANK 792138 C PATRONAGE CAPITAL - AECI 229644 C PATRONAGE CAPITAL - SEDC 181369 C PATRONAGE CAPITAL - NISC 84057 C PATRONAGE CAPITAL - NRTC 31211 C OTHER INVESTMENTS IN ASSOCIATED ORGANIZATIONS 76196 C CFC CAPITAL TERM CERTIFICATES 1362676 C 30172323 CONSUMER DEPOSITS 2795520 ACCUMULATED PROVISION FOR PENSIONS AND BENEFITS 5941505 DEFERRED CREDITS 791278 ACCRUED OPERATING TAXES 4798 9533101 X 96790665 0 96790665 88825 88825 96879490 93219483 0 93219483 3660007 3660007 96879490 PART X, LINE 2: THE COOPERATIVE UTILIZES THE "UNCERTAIN TAX POSITIONS" PROVISIONS OF ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA. THE PRIMARY TAX POSITION OF THE COOPERATIVE IS ITS FILING STATUS AS A TAX EXEMPT ENTITY. THE COOPERATIVE DETERMINED THAT IT IS MORE LIKELY THAN NOT THAT ITS TAX POSITIONS WILL BE SUSTAINED UPON EXAMINATION BY THE INTERNAL REVENUE SERVICE (IRS), OR OTHER STATE TAXING AUTHORITY AND THAT ALL TAX BENEFITS ARE LIKELY TO BE REALIZED UPON SETTLEMENT WITH TAXING AUTHORITIES. PART XI, LINE 4B - OTHER ADJUSTMENTS: EXPENSES RECLASSED FROM NON-OPERATING MARGINS 88,825. PART XII, LINE 4B - OTHER ADJUSTMENTS: EXPENSES RECLASSED FROM NON-OPERATING MARGINS 88,825. PATRONAGE CAPITAL ALLOCATED OR TO BE ALLOCATED 3,571,182. PART IX: THE AMOUNT OF OTHER ASSETS ON FORM 990, PAGE 11, PART X, LINE 15 DOES NOT EQUAL OR EXCEED 5% OF TOTAL ASSETS ON FORM 990, PAGE 11, PART X, LINE 16, COLUMN B. CONSEQUENTLY, IN ACCORDANCE WITH IRS INSTRUCTIONS, SCHEDULE D, PART IX HAS BEEN LEFT BLANK. PART XII, LINE 4B: FOR THE AUDITED FINANCIAL STATEMENTS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID OR ALLOCATED TO THE MEMBERS IS REPORTED AS AN INCREASE IN EQUITY AND NOT AS AN EXPENSE. THEREFORE, NET INCOME PER THE AUDITED FINANCIAL STATEMENTS IS REPORTED GROSS OF THE AMOUNT OF PATRONAGE DIVIDENDS THAT ARE EITHER ALLOCATED OR TO BE ALLOCATED AT THE TIME THE AUDITED FINANCIAL STATEMENTS ARE PREPARED. HOWEVER, BECAUSE THE ALLOCATION OF PATRONAGE DIVIDENDS IS ONE ASPECT OF HOW THE COOPERATIVE FULFILLS ITS TAX EXEMPT PURPOSE OF OPERATING ON A COOPERATIVE BASIS, THE AMOUNT OF PATRONAGE DIVIDENDS EITHER ALLOCATED OR TO BE ALLOCATED TO THE MEMBERS IS REPORTED ON FORM 990, PART IX, LINE 4 AS "BENEFITS PAID TO MEMBERS". X X 0 0 0 CLINT PACK CEO 272754 0 2750 0 3962 0 166135 0 20653 0 466254 0 0 0 DEBRA TOHO CFO 155708 0 2750 0 3318 0 130939 0 27376 0 320091 0 0 0 JAMES HEDRICK DIRECTOR OF OPERATIONS 163470 0 2750 0 6735 0 93507 0 20653 0 287115 0 0 0 WILLIAM B LEE VP STRATEGIC PLANNING 155229 0 2750 0 3295 0 89239 0 20653 0 271166 0 0 0 GAYLA COATS DIRECTOR OF HR 141277 0 2750 0 1940 0 98826 0 20653 0 265446 0 0 0 WISPER HOWELL DIR OF CONSUMER ACCT 155709 0 2750 0 451 0 65614 0 27376 0 251900 0 0 0 LANCE GOUCHER CONSTRUCTION FOREMAN 150995 0 2750 0 231 0 39611 0 27376 0 220963 0 0 0 TOMMY HANNAGAN DISTRICT LINEMAN 127981 0 2750 0 2065 0 50054 0 20653 0 203503 0 0 0 JARED BROWN DISTRICT LINEMAN 127454 0 2750 0 227 0 41968 0 27376 0 199775 0 0 0 GARY WILLIAMS POWER MANAGER 134093 0 2750 0 2757 0 48077 0 9240 0 196917 0 0 0 PART II, COLUMN C: INCLUDED IN THIS AMOUNT IS THE INCREASE IN ACTUARIAL VALUE OF BENEFITS PAYABLE UNDER A DEFINED BENEFIT RETIREMENT PLAN. THE CONTRIBUTION RATE FOR PARTICIPANTS IN THE NRECA R&S DEFINED BENEFIT PENSION PLAN ARE THE SAME FOR ALL INDIVIDUALS IN THIS MULTI-EMPLOYER PLAN. THE CHANGE IN ACTUARIAL VALUE FOR EACH PARTICIPANT, HOWEVER, VARIES WITH AGE, YEARS OF SERVICE AND THE CURRENT INTEREST RATE ENVIRONMENT. IN OTHER WORDS, THE OLDER A PLAN PARTICIPANT IS, THE GREATER THE INCREASE IN THAT INDIVIDUAL'S CHANGE IN ACTUARIAL VALUE, ALL OTHER THINGS BEING EQUAL. BECAUSE THIS RELATES TO A MULTI-EMPLOYER PLAN, CASH CONTRIBUTIONS TO THE PLAN IN LIEU OF THE ACTUARIAL INCREASE ARE EXPENSED IN THE FINANCIAL STATEMENTS. CLINT PACK: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 166,135 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (166,135) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 72,884 EXPENSE TO THE COOPERATIVE $ 72,884 DEBRA TOHO: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 130,939 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (130,939) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 41,480 EXPENSE TO THE COOPERATIVE $ 41,480 JAMES HEDRICK: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 93,507 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (93,507) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 43,554 EXPENSE TO THE COOPERATIVE $ 43,554 WILLIAM B. LEE: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 89,239 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (89,239) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 41,480 EXPENSE TO THE COOPERATIVE $ 41,480 GAYLA COATS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 98,826 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (98,826) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 37,623 EXPENSE TO THE COOPERATIVE $ 37,623 WISPER HOWELL: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 65,614 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (65,614) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 41,480 EXPENSE TO THE COOPERATIVE $ 41,480 LANCE GOUCHER: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 39,611 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (39,611) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 22,964 EXPENSE TO THE COOPERATIVE $ 22,964 TOMMY HANNAGAN: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 50,054 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (50,054) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 26,575 EXPENSE TO THE COOPERATIVE $ 26,575 JARED BROWN: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 48,077 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (48,077) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 22,953 EXPENSE TO THE COOPERATIVE $ 22,953 GARY WILLIAMS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN - COLUMN C $ 41,968 LESS: ACTUARIAL INCREASE IN DEFINED BENEFIT PLAN (41,968) ADD: CASH CONTRIBUTION TO DEFINED BENEFIT PLAN 35,832 EXPENSE TO THE COOPERATIVE $ 35,832 FORM 990, PART VI, SECTION A, LINE 4 DURING 2022, THE COOPERATIVE MADE AMENDMENTS TO ITS BYLAWS. THESE INCLUDED: ARTICLE III, MEETINGS OF MEMBERS, SECTION 4, QUORUM, HAS BEEN AMENDED TO SAY, "FIVE PERCENT OF ALL MEMBERS, REGISTERED AND PRESENT IN PERSON, SHALL CONSTITUTE A QUORUM FOR THE TRANSACTION OF BUSINESS AT ALL MEETINGS OF THE MEMBERS. IF A MEETING NOTICE SO SPECIFIES, IN-PERSON REGISTRATION SHALL BE COUNTED TOWARD THE REQUIRED FIVE PERCENT (5%) OF MEMBERS NECESSARY TO CONSTITUTE A QUORUM. FOR PURPOSES OF THIS SECTION 4, "IN-PERSON REGISTRATION" MEANS THE ACT OF REGISTERING TO VOTE IN PERSON AT A LOCATION OR LOCATIONS DESIGNATED IN THE MEETING NOTICE." IN SECTION 6, TRUSTEE DISTRICTS, THE SENTENCE "THE FORMER CADDO ELECTRIC COOPERATIVE SERVICE TERRITORY SHALL HAVE NINE DISTRICTS AND THE FORMER KIWASH ELECTRIC COOPERATIVE SERVICE TERRITORY SHALL HAVE THREE DISTRICTS" HAS BEEN DELETED. ARTICLE III, SECTION 7, NOMINATION AND ELECTION OF TRUSTEES, WAS REVISED TO AMEND THE PROCEDURE TO BE FOLLOWED IN THE ELECTION OF TRUSTEES, "NO LATER THAN FEBRUARY 15 EACH YEAR, THE COOPERATIVE WILL PROVIDE WRITTEN OR PRINTED NOTICE TO THE MEMBERS STATING THE SPECIFIC TRUSTEE DISTRICTS THAT WILL BE OPEN FOR ELECTION OF A TRUSTEE IN THAT CALENDAR YEAR; SUCH NOTICE SHALL PROVIDE THAT ANY ELIGIBLE MEMBER MAY FILE NOTICE OF THEIR CANDIDACY FOR THE TRUSTEE POSITION USING THE FORM AVAILABLE AT THE COOPERATIVE DURING THE PERIOD BEGINNING MARCH 1 AND ENDING MARCH 10 OF EACH YEAR DURING BUSINESS HOURS; THE INCUMBENT TRUSTEE MUST FILE NOTICE IF THEY WISH TO BE A CANDIDATE; IN THE EVENT NO ELIGIBLE CANDIDATE OTHER THAN THE INCUMBENT TRUSTEE FILES NOTICE OF CANDIDACY WITHIN THE PRESCRIBED TIME THE TRUSTEE HOLDING OFFICE AT THAT TIME SHALL CONTINUE IN OFFICE FOR THE ENSUING TERM; IF ONLY ONE CANDIDATE FILES AND IS ELIGIBLE FOR OFFICE, THEN THAT CANDIDATE IS ELECTED; IF NO ELIGIBLE CANDIDATE FILES A NOTICE OF CANDIDACY, THEN THE TRUSTEE VACANCY SHALL BE FILLED IN ACCORDANCE WITH ARTICLE IV, SECTION 4 HEREIN; IF MORE THAN ONE ELIGIBLE CANDIDATE FILES NOTICE OF CANDIDACY THEN AT A MEETING OF THE BOARD OF TRUSTEES NOT LESS THAN SIXTY (60) DAYS PRECEDING EACH ANNUAL MEETING OF THE MEMBERS, THE TRUSTEES SHALL FIX A DATE WHICH SHALL NOT BE LESS THAN FOURTEEN (14) NOR MORE THAN THIRTY (30) DAYS PRECEEDING THE ANNUAL MEETING OF THE MEMBERS FOR THE HOLDING OF A DISTRICT MEETING FOR THE MEMBERS RESIDING THEREIN IN EACH OF THE DISTRICTS REQUIRING AN ELECTION OF TRUSTEE FOR THE PURPOSE OF ELECTING BY BALLOT, AS THE LAW PERMITS, FROM THE MEMBERS OF EACH DISTRICT A TRUSTEE TO SERVE AS A TRUSTEE OF THE COOPERATIVE." THE SECTION WAS ALSO REVISED TO STATE THAT "IF NO ELECTION OF TRUSTEE IS NECESSARY IN A PARTICULAR DISTRICT NO DISTRICT MEETING SHALL BE HELD. IF A QUORUM IS NOT PRESENT AT A REQUIRED DISTRICT MEETING FOR THE ELECTION OF A TRUSTEE, THEN THE TRUSTEE HOLDING OFFICE AT THAT TIME, IF SUCH INCUMBENT TRUSTEE FILED A NOTICE OF CANDIDACY, SHALL CONTINUE IN OFFICE FOR THE ENSUING TERM, IF SUCH INCUMBENT TRUSTEE IS NOT A CANDIDATE, THEN THE VACANCY WILL BE FILLED IN ACCORDANCE WITH ARTICLE IV, SECTION 4 OF THE BYLAWS." ARTICLE IV, TRUSTEES, SECTION 4, VACANCIES, HAS BEEN AMENDED TO SAY, "FILLING OF VACANCIES OF TRUSTEES CAUSED BY THE REMOVAL OF TRUSTEES BY THE MEMBERS SHALL BE IN ACCORDANCE WITH ARTICLE IV, SECTION 3 ABOVE. ALL OTHER TRUSTEE VACANCIES OCCURRING IN THE BOARD OF TRUSTEES SHALL BE FILLED BY THE AFFIRMATIVE VOTE OF A MAJORITY OF THE REMAINING TRUSTEES FOR THE UNEXPIRED PORTION OF THE TERM OF THE TRUSTEES IN RESPECT OF WHOM THE VACANCY OCCURS. THE MEMBER ELECTED AS TRUSTEE TO FILL THE VACANCY MUST BE ELIGIBLE AND RESIDE IN THE DISTRICT IN WHICH THE VACANCY OCCURS." ARTICLE XII, AMENDMENTS, WAS REVISED TO SPECIFY THAT "IN ACCORDANCE WITH STATE LAW, DIFFERENT METHODS OF NOTICE MAY BE AUTHORIZED BY ACTION OF THE BOARD OF TRUSTEES UNDER ARTICLE XI, SECTION 9 ELECTRONIC DOCUMENTS AND ACTIONS OF THESE BY-LAWS." FORM 990, PART VI, SECTION A, LINE 6 THE COOPERATIVE WAS FORMED BY THE MEMBERS TO PROVIDE ELECTRIC SERVICE AT COST ON A COOPERATIVE BASIS. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF THE COOPERATIVE VOTE ON THE BOARD OF TRUSTEES. ELECTIONS ARE DONE ON A ONE MEMBER ONE VOTE BASIS BY DISTRICT. FORM 990, PART VI, SECTION A, LINE 7B THE FOLLOWING ACTS REQUIRE APPROVAL OF THE MEMBERS OF THE COOPERATIVE: 1. DISSOLUTION/LIQUIDATION OF THE COOPERATIVE 2. MERGER OR CONSOLIDATION OF THE COOPERATIVE WITH ANOTHER ORGANIZATION 3. DISPOSAL OF A SUBSTANTIAL PORTION OF THE COOPERATIVE'S ASSETS 4. AMENDMENT TO THE ARTICLES OF INCORPORATION 5. AMENDMENT TO THE BYLAWS FORM 990, PART VI, SECTION A, LINE 8B THE COOPERATIVE HAS NO COMMITTEES WITH AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY. THEREFORE, AND PURSUANT TO FORM 990 INSTRUCTIONS, THE QUESTION HAS BEEN ANSWERED "NO". FORM 990, PART VI, SECTION B, LINE 11B MANAGEMENT PRESENTED A COPY OF THE FORM 990 TO THE BOARD FOR DISCUSSION AND REVIEW PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C EACH TRUSTEE AND EMPLOYEE MUST DISCLOSE ANY SITUATION, WHICH IN HIS OR HER OPINION VIOLATES, MAY VIOLATE, OR COULD APPEAR TO VIOLATE THE INTENT OF THIS POLICY. A REVIEW OF THE POLICY WILL TAKE PLACE AS NEEDED, AND AMENDMENTS TO THE POLICY WILL BE MADE AS NECESSARY. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF TRUSTEES PERIODICALLY USE A COMPENSATION SURVEY WHEN DETERMINING THE COMPENSATION OF THE GENERAL MANAGER. THE SURVEY SHOWS COMPARATIVE SALARIES FOR GENERAL MANAGERS FROM COOPERATIVES LOCATED IN OKLAHOMA AND THE NATION. FOR OFFICERS AND HIGHLY COMPENSATED EMPLOYEES THE BOARD APPROVES ANNUAL COST OF LIVING ADJUSTMENTS AND BUDGET FOR TOTAL LABOR. THE CEO ULTIMATELY APPROVES THE SALARIES BASED ON THESE ACTIONS OF THE BOARD. FORM 990, PART VI, SECTION C, LINE 19 THE COOPERATIVE PROVIDES A SUMMARIZED COPY OF THE AUDITED FINANCIAL STATEMENTS TO THE MEMBERS OF THE COOPERATIVE AT THE ANNUAL MEETING. THE COOPERATIVE WILL PROVIDE A COMPLETE COPY OF THE AUDITED FINANCIAL STATEMENTS, CONFLICT OF INTEREST POLICY, OR GOVERNING DOCUMENTS TO ANY MEMBER WHO REQUESTS A COPY. FORM 990, PARTS VI & VII: THE COOPERATIVE ANNUALLY PROVIDES EACH DIRECTOR WHO SERVED ON THE BOARD DURING THE YEAR A QUESTIONNAIRE AND TIME LOG. THE COMPLETED QUESTIONNAIRES AND TIME LOGS ARE USED TO COMPLETE THE APPLICABLE QUESTIONS ON THE FORM 990 PERTAINING TO BUSINESS RELATIONSHIPS AMONG DIRECTORS, OFFICERS, AND KEY EMPLOYEES, AS WELL AS TO DETERMINE IF THERE ARE ANY TRANSACTIONS WHICH MUST BE REPORTED IN DETAIL ON SCHEDULE L - "TRANSACTIONS WITH INTERESTED PERSONS". IF THE COOPERATIVE WAS UNABLE TO OBTAIN A COMPLETED QUESTIONNAIRE AND/OR TIME LOG, THE COOPERATIVE RELIED UPON THE COMPLETED INFORMATION FOR THE PRIOR YEAR. DURING THE YEAR, TRUSTEE GLENN PROPPS AND DIRECTOR JAMES HEDRICK RETIRED AND THEIR QUESTIONNAIRES FOR THE PRIOR YEAR WERE USED IN PREPARING THIS RETURN. THERE WERE NO KNOWN CHANGES BETWEEN 2021 AND 2022. THE COOPERATIVE WAS ALSO UNABLE TO OBTAIN A COMPLETED QUESTIONNAIRE FROM TRUSTEE JOHN SCOTT. NO KNOWN RELATIONSHIPS OR TRANSACTIONS WITH INTERESTED PERSONS WERE REQUIRED TO BE REPORTED FOR THIS 2022 RETURN. FORM 990, PART VII, COLUMN F: IN ORDER TO PROVIDE RETIREMENT BENEFITS TO ITS EMPLOYEES, THE COOPERATIVE PARTICIPATES IN A MULTI-EMPLOYER DEFINED BENEFIT PLAN. CONTRIBUTIONS TO THIS PLAN ARE BASED ON THE FULL FUNDING LIMITATION OF SUCH PLAN. EMPLOYER CONTRIBUTIONS TO THE PLAN ARE AVAILABLE TO PARTICIPATING EMPLOYEES, INCLUDING EMPLOYEE OFFICERS, KEY EMPLOYEES, AND HIGHLY COMPENSATED EMPLOYEES, MEETING THE ELIGIBILITY REQUIREMENTS OF THE PLAN. THE COOPERATIVE ALSO PROVIDES HEALTH, DENTAL, VISION AND LIFE INSURANCE TO ALL ELIGIBLE EMPLOYEES THROUGH A QUALIFIED PLAN. THE AMOUNTS REPORTED ON PART VII COLUMN (F) FOR EMPLOYEE OFFICERS, KEY EMPLOYEES, AND HIGHLY COMPENSATED EMPLOYEES IS COMPRISED OF THE ACTUARIAL INCREASE IN THE DEFINED BENEFIT PLAN AND INSURANCE PAID ON BEHALF OF AND FOR THEIR BENEFIT. IN ADDITION TO THE ABOVE PLANS, THE COOPERATIVE ALSO PROVIDES POST-RETIREMENT HEALTH INSURANCE BENEFITS THROUGH AN UNFUNDED WELFARE BENEFIT PLAN. THE VALUE OF THESE BENEFITS HAS NOT BEEN ESTIMATED. FORM 990, PART VIII, LINE 2: PATRONAGE DIVIDENDS RESULT FROM THE PURCHASE OF WHOLESALE POWER FROM A GENERATION & TRANSMISSION COOPERATIVE. PATRONAGE DIVIDENDS ALSO RESULT FROM THE PAYMENT OF INTEREST FROM COOPERATIVE BANKS AND THE PURCHASE OF SUPPLIES AND SERVICES FROM OTHER COOPERATIVE ORGANIZATIONS. THE EXPENSES ASSOCIATED WITH PURCHASES FROM AND PAYMENTS TO SUCH COOPERATIVE ORGANIZATIONS ARE A DIRECT COMPONENT OF COST OF THE ELECTRIC SERVICE PROVIDED BY THE COOPERATIVE TO ITS MEMBERS. FORM 990, PART IX: THE ACCOUNTING RECORDS OF THE COOPERATIVE ARE MAINTAINED IN ACCORDANCE WITH THE RURAL UTILTIES SERVICES (RUS) UNIFORM SYSTEM OF ACCOUNTS (USOA) AS PRESCRIBED FOR RUS ELECTRIC BORROWERS. THE USOA DOES NOT RECORD EXPENSES IN THE GENERAL EXPENSE CATEGORIES PROVIDED ON PART IX LINES 1-23. THE COOPERATIVE SEPARATELY REPORTS SALARIES AND WAGES, EMPLOYEE BENEFITS AND PAYROLL TAXES THAT ARE ALLOCATED IN ACCORDANCE WITH THEIR ACCOUNTING SYSTEM, BUT OTHER EXPENSES THAT ARE DESCRIBED IN LINES 1-23 ARE REPORTED ON LINE 24 UNDER THE EXPENSE CATEGORIES REQUIRED BY THE USOA. FORM 990, PART IX, LINE 4: PURSUANT TO THE FORM 990 INSTRUCTIONS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID TO THE MEMBERS (HEREINAFTER REFERRED TO AS "PATRONS") SHOULD BE REPORTED ON PART IX, LINE 4. THE PHRASE "PATRONAGE DIVIDENDS PAID" REFERS TO THE PROCESS, SUBSEQUENT TO YEAR-END, BY WHICH THE COOPERATIVE ALLOCATES PATRONAGE CAPITAL TO AND, THEREFORE, OPERATES AT COST WITH ITS PATRONS. THE COOPERATIVE'S TAX EXEMPT PURPOSE IS TO PROVIDE ELECTRICITY TO ITS PATRONS AND TO DO SO ON A COOPERATIVE BASIS. TAX LAW DEFINES "OPERATING ON A COOPERATIVE BASIS" AS SUBORDINATION OF CAPITAL, DEMOCRATIC CONTROL, AND OPERATION AT COST. THE COOPERATIVE OPERATES AT COST THROUGH THE ALLOCATION OF TRUE PATRONAGE DIVIDENDS (ALSO REFERRED TO AS ALLOCATIONS OF PATRONAGE CAPITAL) TO ITS PATRONS. PATRONAGE DIVIDENDS ARE CONSIDERED PAID IF THE ALLOCATION IS MADE (1) PURSUANT TO A PRE-EXISTING OBLIGATION, (2) FROM THE MARGINS PRODUCED FROM THE TRANSACTIONS DONE WITH OR FOR PATRONS, AND (3) IN A FAIR AND EQUITABLE MANNER ON THE BASIS OF PATRONAGE (I.E. PURCHASES). ADDITIONALLY, THE ALLOCATION OF PATRONAGE DIVIDENDS SHOULD BE MADE WITHIN A REASONABLE TIME PERIOD AFTER THE CLOSE OF THE COOPERATIVE'S YEAR-END OF DECEMBER 31. EACH ONE OF THESE REQUIREMENTS FOR A TRUE PATRONAGE DIVIDEND IS PROVIDED FOR IN THE NON-PROFIT OPERATION ARTICLE OF THE COOPERATIVE'S BYLAWS. THE AMOUNT REPORTED ON PART IX, LINE 4 REPRESENTS THE AMOUNT OF PATRONAGE CAPITAL THAT IS EITHER ALLOCATED OR TO BE ALLOCATED TO THE PATRONS RESULTING FROM THEIR PURCHASE OF ELECTRICITY FROM THE COOPERATIVE FOR THE 2022 CALENDAR YEAR. BECAUSE PATRONAGE DIVIDENDS ARE THE PROCESS BY WHICH THE COOPERATIVE OPERATES AT COST WITH ITS PATRONS AND THEREBY A KEY COMPONENT TO ACCOMPLISHING ITS EXEMPT PURPOSE, THE COOPERATIVE HAS REPORTED SUCH AMOUNTS AS AN EXPENSE FOR FORM 990 REPORTING. PATRONAGE DIVIDENDS ARE NOT AN EXPENSE FOR FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, HOWEVER. FORM 990, PART IX, LINES 5-7: SALARIES AND WAGES ARE ALLOCATED TO ASSET, LIABILITY, AND EXPENSE ACCOUNTS BASED ON THE ACCOUNTING SYSTEM DESCRIBED ABOVE. THE FOLLOWING SCHEDULE RECONCILES THE AMOUNTS REPORTED ON LINES 5-7 TO TOTAL WAGES ACCRUED AND/OR PAID: TOTAL PER LINES 5-7 $ 7,741,590 LESS: TRUSTEE FEES REPORTED ON FORMS 1099-NEC (263,806) LESS: EMPLOYEE OFFICER BENEFITS INCLUDED ON LINE 5 (662,145) LESS: KEY EMPLOYEE BENEFITS INCLUDED ON LINE 5 PLUS: SALARIES AND WAGES ALLOCATED TO NONOPERATING MARGIN 21,466 PLUS: SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 1,541,896 PLUS: SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING & OTHER ACCOUNTS 831,939 TOTAL WAGES ACCRUED AND/OR PAID $ 9,210,940 FORM 990, PART IX, LINE 24D: ADMINISTRATIVE & GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL SALARIES, BENEFITS, & OTHER $ 1,402,949 OFFICE SUPPLIES 218,639 OUTSIDE SERVICES 69,588 INSURANCES 774,020 EMPLOYEE BENEFITS 165,516 TRUSTEES 383,161 MISCELLANEOUS GENERAL 152,370 MAINTENANCE OF GENERAL PLANT 453,422 DUPLICATE CHARGES (CREDIT) (58,532) REGULATORY COMMISSION 6,691 TOTAL ADMIN & GENERAL EXP PER FINANCIAL STATEMENTS $ 3,567,824 LESS: RECLASS OF TRUSTEE FEES TO PART IX, LINE 5 (263,806) LESS: RECLASS OF LABOR TO PART IX, LINES 5 & 7 (1,301,057) LESS: RECLASS OF BENEFITS TO PART IX, LINES 8-10 (847,973) LESS: RECLASSED DONATIONS (285,000) TOTAL ADMIN & GENERAL EXPENSE PER FORM 990, PART IX $ 869,988 FORM 990, PART IX, LINE 24E: OTHER EXPENSES IS COMPRISED OF THE FOLLOWING: CONSUMER ACCOUNTS $ 817,165 CUSTOMER SERVICE & INFORMATION 984,651 SALES 1,506,593 ELECTRICIAN SERVICE 88,825 TOTAL OTHER EXPENSES PER FORM 990, PART IX $ 3,397,234 FORM 990, PART IX, LINE 1: ALL GRANTS, SPONSORSHIPS, AND/OR DONATIONS ARE MADE TO NON-PROFIT AND CIVIC ORGANIZATIONS THAT ARE LOCATED IN THE COOPERATIVE'S SERVICE AREA, AND ARE INTENDED TO IMPROVE THE COMMUNITIES IN WHICH OUR MEMBERS RESIDE. EACH GRANT, SPONSORSHIP, AND/OR DONATION MADE DURING THE YEAR WAS BELOW THE REPORTING THRESHOLD OF SCHEDULE I, PART II. FORM 990, PART XI, LINE 9: PATRONAGE CAPITAL ALLOCATED OR TO BE ALLOCATED 3,571,182. PATRONAGE CAPITAL RETIRED -65,682. UNCLAIMED PATRONAGE RETIREMENTS RETAINED UNDER STATE LAW -272. OTHER COMPREHENSIVE INCOME - PROVISION FOR PENSION AND BENEFITS 2,045,253. NET CHANGE IN MEMBERSHIPS 520. FORM 990, PART XII, LINE 2C: THE BOARD OF TRUSTEES HAVE ASSIGNED MEMBERS TO AN AUDIT COMMITTEE TO OVERSEE THE FINANCIAL STATEMENT AUDIT AND SELECT THE INDEPENDENT FINANCIAL STATEMENT AUDITOR. PROCEDURAL CHANGES DID NOT OCCUR DURING THE YEAR. CKENERGY ELECTRIC FOUNDATION INC PO BOX 70 BINGER OK 73009 271018673 DISBURSE FUNDS FOR CHARITABLE PURPOSES OK 501(C)(3) LINE 7 CKENERGY ELECTRIC COOPERATIVE INC 1 CADDO ELEC COOP ENTERPRISES INC PO BOX 70 BINGER OK 73009 731563867 INACTIVE OK CKENERGY ELECTRIC COOPERATIVE INC C 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 CKENERGY ELECTRIC FOUNDATION INC N N/A - LESS THAN $50,000 CKENERGY ELECTRIC FOUNDATION INC O N/A - LESS THAN $50,000