2024-10-01T13:57:40-05:00 2023-12-31 410746749 CLIFTONLARSONALLEN LLP 2689 COMMERCE DRIVE NW SUITE 201 ROCHESTER MN 55901 990 2023-01-01 410581955 TRAVERSE ELECTRIC COOPERATIVE INC TRAV 3205638616 6590 ST HWY 27 PO BOX 66 WHEATON MN 562960066 JEREMY HUHNSTOCK GENERAL MANAGER 3205638616 2024-09-23 1 0 KATHERINE LUTZKE CPA P01760889 5072802300 2024-09-23 2023 2024-10-15 13:58:12Z X DOUGLAS DIEKMANN 6590 ST HWY 27 PO BOX 66 WHEATON MN 562960066 14885052 0 X WWW.TRAVERSEELECTRIC.COM X 1940 MN AN ELECTRIC COOPERATIVE PROVIDING ELECTRIC SERVICE TO MEMBERS AT THE LOWEST POSSIBLE COST. 9 9 17 0 2217 0 0 0 12181691 13196324 110484 277582 1441058 1227872 13733233 14701778 0 0 1948350 2057693 540975 568186 0 0 0 11243908 12075899 13733233 14701778 0 0 36319243 43938330 19638031 25801765 16681212 18136565 TO PROVIDE ELECTRIC SERVICE AT THE LOWEST POSSIBLE RATES, CONSISTENT WITH SOUND BUSINESS PRINCIPLES. 0 0 SALES OF ELECTRIC POWER TO 2,267 MEMBERS WITH AN AVERAGE OF 3,258 ACTIVE ELECTRIC SERVICES. 0 0 0 0 0 0 0 0 0 1 1 0 0 1 0 0 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 19 0 17 1 1 1 0 0 0 0 12782670 1686070 0 0 0 X 9 9 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 0 1 1 0 X MELISSA PRZYMUS 3205638616 6590 ST HWY 27 PO BOX 66 WHEATON MN 56296 DOUG DIEKMANN PRESIDENT 2.00 X X 4000 0 0 TOM FRISCH VICE PRESIDENT 2.00 X X 3750 0 0 MATTHEW GLYNN SECETARY 2.00 X X 3875 0 0 MARK PEARSON SECRETARY (LEFT MARCH 2023) 1.00 X X 1500 0 0 MICHAEL MARKS TREASURER 3.00 X X 5875 0 0 STACY EHLERS DIRECTOR 1.00 X 3500 0 0 MICHAEL GAULRAPP DIRECTOR 2.00 X 4625 0 0 BRADLEY RUDOLPH DIRECTOR 2.00 X 4375 0 0 TERRY MONSON DIRECTOR 3.00 X 6250 0 0 JARED HAMLING DIRETOR (SEPT-DEC 2023) 2.00 X 1250 0 0 JEREMY HUHNSTOCK GENERAL MANAGER 44.00 X 157912 0 48950 DALE SCHWAGEL OPERATIONS MANAGER/INTERIM GM 1/1/23-3/5/23 45.00 X 151832 0 60771 LONNIE TEKRONY JOURNEY LINEWORKER 44.00 X 102091 0 50263 KAREN LUPKES OFFICE MANAGER 44.00 X 146118 0 60618 RICHARD DAVIS JOURNEY LINEWORKER/LINE FOREMAN 43.00 X 104646 0 51453 JOSEPH GAHLON JOURNEY LINEWORKER 43.00 X 101419 0 51630 803018 0 323685 6 0 1 0 COOPERATIVE BUILDING SOLUTIONS 77 WESTPORT PLAZA DR-STE 250 ST LOUIS MO 63146 NEW FACILITY CONSTRUCTION & GENERAL CONT 5443246 STAR ENERGY SERVICES 6841 POWER LN SW ALEXANDRIA MN 56308 SAFETY, IT, ENGINEERING, OUTAGE MANAGEME 228407 2 ELECTRIC SERVICE 221000 13196324 13196324 13196324 272360 272360 22307 2658 19649 19649 19649 5222 0 5222 5222 5222 197119 180616 16503 14286 2217 CAPITAL CREDITS 221000 791720 791720 OTHER ELECTRIC REVENUE 221000 400000 400000 1191720 14701778 14402330 2217 297231 2057693 568186 806253 914937 PURCHASED POWER 7833664 DISTRIBUTION EXPENSE - 743865 DISTRIBUTION EXPENSE - 488027 ADMINISTRATIVE AND GENE 480060 809093 14701778 3314987 4580843 922266 911385 136994 105380 890307 1056158 94440 182142 41020753 12176095 23259938 28844658 7700311 8257764 36319243 43938330 2008732 1054831 1195467 374567 16387905 24316439 34077 40078 11850 15850 19638031 25801765 X 0 0 575313 611997 16105899 17524568 16681212 18136565 36319243 43938330 X 0 1455353 X X 0 0 0 669113 669113 9784269 383903 9400366 30567371 11792192 18775179 28844658 ERC LOANS 92565 C CAPITAL CREDITS IN OTHER CO-OPS 8165199 C 8257764 CONSUMERS DEPOSITS 15850 15850 PART XI: THE ORGANIZATION HAS AUDIT REPORTS WITH YEAR-ENDED OF MARCH 31, 2024 AND 2023, WHICH IS DIFFERENT YEAR-END THAN TAX RETURNS. X X X X 0 0 0 DALE SCHWAGEL OPERATIONS MANAGER/INTERIM GM 1/1/23 151832 0 0 0 0 0 36458 0 24313 0 212603 0 0 0 JEREMY HUHNSTOCK GENERAL MANAGER 157912 0 0 0 0 0 38715 0 10235 0 206862 0 0 0 KAREN LUPKES OFFICE MANAGER 146118 0 0 0 0 0 35858 0 24760 0 206736 0 0 0 RICHARD DAVIS JOURNEY LINEWORKER/LINE FOREMAN 104646 0 0 0 0 0 27284 0 24169 0 156099 0 0 0 JOSEPH GAHLON JOURNEY LINEWORKER 101419 0 0 0 0 0 26111 0 25519 0 153049 0 0 0 LONNIE TEKRONY JOURNEY LINEWORKER 102091 0 0 0 0 0 26112 0 24151 0 152354 0 0 0 PART I, LINE 3 OUR HR CONSULTANT MEETS WITH THE BOARD OF DIRECTORS AND FACILITATES THE GM ANNUAL PERFORMANCE REVIEW AND GIVES THE BOARD SALARY COMPARISONS FROM OTHER MN CO-OP'S OUR SIZE AND RECOMMEND A SALARY RANGE. THE BOARD THEN DECIDES ON THE GM'S SALARY. FORM 990, PART VI, SECTION A, LINE 6 ALL ELECTRIC CUSTOMERS OF THE COOPERATIVE ARE MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A COOPERATIVE MEMBERS ELECT THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7B ALL ACTIVE MEMBERS VOTE ON ANY BYLAW AMENDMENTS. EACH MEMBER HAS ONE VOTE. FORM 990, PART VI, SECTION A, LINE 8B THE ORGANIZATION DOES NOT HAVE ANY COMMITTEES THAT HAVE AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY. FORM 990, PART VI, SECTION B, LINE 11B THE BOARD OF DIRECTORS RECEIVE A COPY OF THE FORM 990 AND REVIEW IT AT A BOARD MEETING AFTER IT IS FILED. THE GENERAL MANAGER, OFFICE MANAGER, AND ACCOUNTANT REVIEW THE PREPARED 990 BEFORE IT IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C A. EACH DIRECTOR AND EMPLOYEE OF TRAVERSE ELECTRIC SHALL MAKE EVERY REASONABLE EFFORT TO COMPLY WITH THE LETTER AND SPIRIT OF THIS POLICY. B. THE MANAGER SHALL MAKE EVERY REASONABLE EFFORT TO INFORM ALL EMPLOYEES ABOUT THE CONTENT OF THIS POLICY AND MAKE EVERY REASONABLE EFFORT BASED ON THE INFORMATION AVAILABLE TO HIM TO SEE THAT IT IS COMPLIED WITH AND REPORT TO THE BOARD OF DIRECTORS PERIODICALLY ON HOW THIS POLICY IS BEING CARRIED OUT. C. CONSISTENT WITH THE BYLAWS OF TRAVERSE ELECTRIC ANY DIRECTOR OR EMPLOYEE WHOSE CONDUCT INFRINGES UPON EITHER THE LETTER OF SPIRIT OF THIS POLICY, SHALL BE SUBJECT TO: (1) IF DIRECTOR OR MANAGER, EXPULSION OR TERMINATION BY APPROPRIATE ACTION OF THE BOARD OF DIRECTORS, OR (2) IF AN EMPLOYEE, TERMINATION BY APPROPRIATE ACTION OF THE MANAGER. THE ORGANIZATION DOCUMENT PROCEEDINGS RESULTING FROM CONFLICT OF INTEREST IN BOARD MINUTES AND THAT THE BOARD MEMBER ABSTAINED FROM VOTING. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS IS RESPONSIBLE FOR REVIEWING THE GENERAL MANAGER SALARY. AN OUTSIDE CONSULTANT PROVIDES THE BOARD WITH METHODS TO PROPERLY EVALUATE THE PERFORMANCE OF THE GENERAL MANAGER (GM) AND REVIEWS COMPARABLE GM COMPENSATION TO VERIFY THE GM'S COMPENSATION IS WITHIN A COMPETITIVE RANGE FOR GM'S OF COMPARABLE ORGANIZATIONS AND PROVIDES THIS INFORMATION TO THE BOARD OF DIRECTORS. THE BOARD OF DIRECTORS REVIEWS AND APPROVES THE GM'S COMPENSATION ANNUALLY. THE PROCESS WAS LAST CONDUCTED IN 2023. AN OUTSIDE CONSULTANT CONDUCTED A SALARY STUDY OF ALL NON-UNION POSITIONS WITHIN THE ORGANIZATION UTILIZING UPDATED JOB DESCRIPTIONS FOR EACH POSITION AND RECOMMENDED COMPARABLE SALARY RANGES FOR EACH POSITION. IT DID NOT GUARANTEE AN INCREASE TO ANY EMPLOYEE. THIS INFORMATION WAS PROVIDED TO THE GENERAL MANAGER TO DETERMINE A BUDGET FOR SALARY INCREASES, WHICH IS APPROVED BY THE BOARD OF DIRECTORS. DEPARTMENT MANAGERS COMPLETED A WRITTEN JOB/PERFORMANCE EVALUATION FOR EACH EMPLOYEE IN THEIR DEPARTMENT AND RECOMMENDED A SALARY INCREASE BASED UPON THE SALARY STUDY AND PERFORMANCE EVALUATION. THE GENERAL MANAGER REVIEWS THE SALARY RECOMMENDATIONS AND PROVIDES FINAL APPROVAL. THIS PROCESS WAS LAST CONDUCTED IN 2023. FORM 990, PART VI, SECTION C, LINE 19 THE COOPERATIVE MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART XI, LINE 9: DONATED CAPITAL AND CAPITAL CREDITS RETIRED -602,340. PATRONAGE DIVIDENDS ALLOCATED 2,057,693. FORM 990, PART XII LINE 2: THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AUDITED BY AN INDEPENDENT ACCOUNTANT FOR YEAR ENDED MARCH 31 ANNUALLY. THE 990 IS REPORTED WITH A YEAR END OF DECEMBER 31. FORM 990, PART IX LINE 4: THE IRS INSTRUCTIONS STATE THAT PATRONAGE DIVIDENDS PAID BY SECTION 501(C)(12) ORGANIZATIONS TO THEIR MEMBERS SHOULD BE REPORTED ON LINE 4. THE ORGANIZATION HAS INTERPRETED PATRONAGE DIVIDENDS PAID TO MEAN PATRONAGE DIVIDENDS ALLOCATED OR TO BE ALLOCATED FOR THE CURRENT YEAR. SINCE THIS ALLOCATION IS NOT AN EXPENSE UNDER GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP), THIS HAS RESULTED IN A RECONCILING ITEM TO NET ASSETS IN PART XI, ON PAGE 12 OF THE FORM 990.