2023-11-09T14:06:11-07:00 2022-12-31 990 2022-01-01 710748158 SOUTHWEST POWER POOL INC SOUT 5016143200 201 Worthen Drive Little Rock AR 72223 Barbara Sugg President and CEO 5016143200 2023-11-09 1 1 11 1 AAL2 X 2022 2023-04-26 12:10:37Z Barbara Sugg 201 Worthen Drive Little Rock AR 72223 249826324 0 X www.spp.org X 1994 AR Regional transmission organization that provides the following services to its members and customers: tariff administration, electric reliability coordination, regional transmission scheduling, regional transmission expansion planning, day-ahead and real time markets, transmission congestion rights, reliability unit commitment, operating reserve market, and consolidated balancing authority. 10 9 723 0 0 0 642000 690000 197619814 247270723 82823 1865601 0 0 198344637 249826324 0 0 0 0 114623754 125331773 0 0 0 80195972 97201495 194819726 222533268 3524911 27293056 1101785399 1777102042 1230736213 1879418809 -128950814 -102316767 Regional transmission organization that provides the following services to its members and customers: tariff administration, electric reliability coordination, regional transmission scheduling, regional transmission expansion planning, day-ahead and real time markets, transmission congestion rights, reliability unit commitment, operating reserve market, and consolidated balancing authority. 0 0 222533268 0 249826324 See Statement 1 0 0 0 N/A 0 0 0 N/A 0 0 0 222533268 0 0 0 0 0 0 0 1 0 1 0 0 0 1 0 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 1 131 0 1 723 1 0 0 0 0 0 0 1 0 X 10 9 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 0 1 1 0 0 X Barbara Sugg President and CEO 5016143200 201 Worthen Drive Little Rock AR 72223 X Barbara Sugg President and CEO 40 0 X X 2247973 0 -61513 Lanny Nickell Executive Vice President and COO 40 0 X 1094374 0 -49534 Paul Suskie Executive Vice - General Counsel 40 0 X 683706 0 20474 Bruce Rew Senior Vice President - Operations 40 0 X 680933 0 -12346 Thomas Dunn Senior Vice President Finance and CFO 40 0 X 662644 0 -18683 Michael Ross Senior Vice President - External Affairs 40 0 X 555140 0 66614 Michael Desselle Vice President - Process Integrity and CCAO 40 0 X 504108 0 40585 Antoine Lucas Vice President - Engineering 40 0 X 499073 0 213 Kelly Carney Vice President - Human Capital & CPO 40 0 X 412883 0 84070 Philip Bruich Director - Markets 40 0 X 354012 0 140629 Keith Norman Collins Executive Director - Market Monitoring 40 0 X 451324 0 35473 John Sam Ellis Vice President, IT and Chief Information Security Officer 40 0 X 450139 0 9524 Ralph Chapman Jr Director - IT Applications 40 0 X 297401 0 64387 Leonard Tao Director - FERC Policy 40 0 X 302281 0 48289 Bert Bressers Director - Operations Support 40 0 X 310004 0 31732 Jerome Wild Director - Technology & Services 40 0 X 295319 0 35315 Carlie M Brown Jr Director - Systems Operations 40 0 X 329284 0 -804 Charles Yeung Executive Director - Interregional Affairs 40 0 X 296587 0 16386 David Kelley Jr Director Seams & Tariff Services 40 0 X 303820 0 7044 Larry Altenbaumer Board Member 5 0 X 193625 0 0 Susan Certoma Chair 5 0 X 164625 0 0 Joshua Martin Board Member 5 0 X 142500 0 0 Elizabeth Moore Vice Chair 5 0 X 141500 0 0 Phillip Mark Crisson Board Member 5 5 X 139500 0 0 John Ben Trowbridge Board Member 5 5 X 125750 0 0 Bastone Bronwen Board Member 5 5 X 121000 0 0 John Cupparo Board Member 5 0 X 113500 0 0 Steve Wright Board Member 5 0 X 27750 0 0 Raymond Hepper Board Member 5 0 X 22500 0 0 11923255 0 457855 453 0 1 0 GE Energy Management Services LLC and GE Renewables 4200 Wildwood Parkway Atlanta GA 30339 Consulting & Professional Services 10605291 Electric Power Engineers Inc 13001 W Hwy 71 Suite G100 Austin TX 787386546 Study Analysis/Consulting Services 2333155 Pearl Street Technologies Inc 6392 Melissa Street Pittsburgh PA 15206 Study Analysis/Consulting Services 2190228 OATI Inc 3660 Technology Drive NE Minneapolis MN 55418 Consulting & Professional Services 1916279 Burns & McDonnell Engineering Company Inc PO Box 411883 Kansas City MO 641411883 Professional Services for Engineering Studies 1378321 28 0 690000 0 0 0 0 0 690000 Tariff Administration Service 221121 186206855 186206855 0 0 Fees and Assessments 221121 27391916 27391916 0 0 Contract Services 221121 15429536 15429536 0 0 18242416 18242416 0 0 247270723 1865601 1865601 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 249826324 249136324 0 0 X 0 0 0 0 10649239 0 86241236 13542371 8386210 6512717 0 1526109 136401 0 0 0 0 0 1472765 16055252 0 2491817 815831 0 574636 6991295 0 17540505 2222025 FERC Fees 27314120 Consulting Services 20255165 Communication Expenses 4901546 -5095972 222533268 0 0 0 631042 1040101 850834021 1309749810 0 0 140275285 234518773 0 0 0 0 0 0 0 0 8317132 8649668 332330053 269946600 66652905 62383453 25679840 153946804 0 0 0 0 0 0 9395174 6813433 1101785399 1777102042 248972314 454665723 0 0 7845665 6494606 0 0 740018874 1218672596 0 0 2107400 1901800 190087521 159356082 41704439 38328002 1230736213 1879418809 X 0 0 0 0 -128950814 -102316767 -128950814 -102316767 1101785399 1777102042 27293056 -659009 0 0 0 0 X 0 1 X 1 0 0 1 X 4811902 0 4811902 68493334 0 38628898 29864436 0 0 0 0 65819029 0 58352908 7466121 193205788 0 172964794 20240994 62383453 0 Defined Benefit Plan Liability 28675219 457(b) Deferred Compensation Liability 4330508 Retiree Healthcare Liability 3403850 457(f) Deferred compensation liability 998425 Installment Plan Agreement 920000 38328002 249167315 -659009 0 0 0 -659009 249826324 0 0 0 249826324 222533268 0 0 0 0 0 222533268 0 0 0 222533268 Schedule D, Part IV, Line 2b Customers may be required to make deposits prior to performance of various services. These amounts are typically held for the duration of the service and may be applied towards amounts due from customers. Funds are also held in escrow for any disputed invoices until the dispute is resolved. Certain customers are required to deposit cash collateral for provision of transmission or energy market services that are also held in custodial accounts. X X 0 1 X X 1 1 0 Barbara Sugg President and CEO 792221 0 1033300 0 422453 0 -81980 0 20466 0 2186460 0 0 0 Lanny Nickell Executive Vice President and COO 576757 0 383300 0 134318 0 -71002 0 21468 0 1044841 0 0 0 Paul Suskie Executive Vice - General Counsel 370347 0 278300 0 35058 0 -1740 0 22214 0 704179 0 0 0 Bruce Rew Senior Vice President - Operations 348969 0 241300 0 90663 0 -34384 0 22039 0 668587 0 0 0 Thomas Dunn Senior Vice President Finance and CFO 343057 0 243300 0 76287 0 -28567 0 9885 0 643962 0 0 0 Michael Ross Senior Vice President - External Affairs 320806 0 214300 0 20034 0 50826 0 15788 0 621754 0 0 0 Michael Desselle Vice President - Process Integrity and CCAO 304941 0 183300 0 15867 0 20946 0 19639 0 544693 0 0 0 Antoine Lucas Vice President - Engineering 324551 0 165300 0 9222 0 -1985 0 2198 0 499286 0 0 0 John Sam Ellis Vice President, IT and Chief Information Security Officer 275162 0 166300 0 8677 0 109 0 9416 0 459664 0 0 0 Kelly Carney Vice President - Human Capital & CPO 278934 0 122300 0 11649 0 59204 0 24866 0 496953 0 0 0 Keith Norman Collins Executive Director - Market Monitoring 292670 0 150480 0 8174 0 11928 0 23544 0 486796 0 0 0 Carlie M Brown Jr Director - Systems Operations 220931 0 101900 0 6453 0 -24111 0 23307 0 328480 0 0 0 Ralph Chapman Jr Director - IT Applications 223199 0 65200 0 9003 0 39968 0 24419 0 361789 0 0 0 Jerome Wild Director - Technology & Services 223621 0 63900 0 7798 0 15666 0 19649 0 330634 0 0 0 Philip Bruich Director - Markets 53891 0 44000 0 256121 0 135496 0 5133 0 494641 0 0 0 Bert Bressers Director - Operations Support 232604 0 65900 0 11500 0 16183 0 15549 0 341736 0 0 0 David Kelley Jr Director Seams & Tariff Services 203108 0 94600 0 6112 0 -16098 0 23142 0 310864 0 0 0 Leonard Tao Director - FERC Policy 239092 0 52700 0 10488 0 46589 0 1700 0 350569 0 0 0 Charles Yeung Executive Director - Interregional Affairs 228257 0 60400 0 7930 0 -7985 0 24371 0 312973 0 0 0 Larry Altenbaumer Board Member 193625 0 0 0 0 0 0 0 0 0 193625 0 0 0 Susan Certoma Chair 164625 0 0 0 0 0 0 0 0 0 164625 0 0 Schedule J, Part I, Line 1a Southwest Power Pool (SPP) board members are permitted to travel first class. SPP's expense policy allows for executive level management to use private planes or charter travel for business purposes. Also, all employees of the organization who are eligible to receive benefits are provided an insurance credit which is grossed-up for payroll purposes and reported as taxable compensation. Schedule J, Part I, Line 1b Southwest Power Pool (SPP) has a travel and expense reimbursement policy in place to govern expenses incurred by employees for the benefit of the company that specifically addresses first class, charter or private aircraft travel. There's no specific policy that governs the insurance gross-up payments, however it's a longstanding company-wide practice applied to all employees. Schedule J, Part I, Line 3 The Human Resources (HR) Committee is responsible for conducting periodic compensation surveys and determining the benchmark peers for SPP officers. The surveys are typically conducted every 2-3 years, by an outside consultant engaged by the committee. The Human Resources Committee is responsible for ensuring the critical job functions and goals of the SPP President are reviewed with the SPP President annually. The committee annually recommends compensation and benefit adjustments for the SPP President to the SPP Board of Directors. The HR Committee reviews compensation for SPP officers but does not make recommendations. All compensation decisions for the SPP officers are determined by the SPP President and CEO. Schedule J, Part I, Line 4 In April 2022, Philip Bruich, director of markets, left Southwest Power Pool (SPP). Upon his departure, he received a severance payment of $224,500. SPP has a 457(f) plan for the executive officers. The following officers are participants in the plan: Barbara Sugg, Paul Suskie, Thomas Dunn, Michael Desselle, Michael Ross, Bruce Rew and Lanny Nickell. Schedule J, Part II The retirement and other deferred compensation amount includes the annual increase/(decrease) in the actuarial value of the pension plan. In 2022, as a result of the increase in the discount rate used for valuation of pension obligations from 4% as of 12/31/2021 to 5.25% as of 12/31/2022, the present value of future pension compensation decreased for most of the individuals reported resulting in a negative amount in column C, retirement and other deferred compensation. Form 990, Part VI, Section A, Line 6 The organization consists of members. Form 990, Part VI, Section A, Line 7a Members are responsible for electing the independent positions of Board of Directors. Form 990, Part VI, Section A, Line 7b SPP's Board of Directors are elected by its members, which are those entities that have executed the SPP Membership Agreement and met the membership qualifications defined in the SPP Bylaws. Form 990, Part VI, Section B, Line 11b Data is accumulated from various sources and entered in the 990 forms by accounting staff. The form is then reviewed by the Accounting Manager and the Controller prior to submission to the CFO for final concurrence. Form 990, Part VI, Section B, Line 12c All employees are required to read the code of conduct, which contains the conflict of interest policy, on an annual basis. The employee electronically confirms that he or she has read and agrees to abide by the policy. SPP monitors this process electronically. Form 990, Part VI, Section B, Line 15 The Human Resources (HR) Committee is responsible for conducting periodic compensation surveys and determining the benchmark peers for SPP officers. The surveys are typically conducted every 2-3 years, by an outside consultant engaged by the committee. The Human Resources Committee is responsible for ensuring the critical job functions and goals of the SPP President are reviewed with the SPP President annually. The committee annually recommends compensation and benefit adjustments for the SPP President to the SPP Board of Directors. The HR committee reviews compensation for SPP officers but does not make recommendations. All compensation decisions for the SPP officers are determined by the SPP President and CEO. Form 990, Part VI, Section C, Line 19 Governing documents and financial statements are available on the spp.org website. Form 990, Part VII, Section A, Line 1a The estimated amount of other compensation from the organization includes the annual increase/(decrease) in the actuarial value of the pension plan. In 2022, as a result of the increase in the discount rate used for valuation of pension obligations from 4% as of 12/31/2021 to 5.25% as of 12/31/2022, the present value of future pension compensation decreased for most of the individuals reported resulting in a negative amount in column F, the estimated amount of other compensation from the organization and related organizations. Form 990, Part IX, Line 24e All other expenses credit balance of $5,095,972 consists of the following gains and expense reductions: change in funded status of retirement plans $3,567,652, swap valuation gain $771,454, non-service component costs of retirement plans $2,043,289 offset by 457f plan $1,177,104 and non-operating expense accrual adjustments and other of $109,319.