2018-11-15T16:43:45-06:00 2017-12-31 BDO USA LLP 3601 C STREET STE 600 ANCHORAGE AK 99503 990 2017-01-01 920014712 Golden Valley Electric Association Inc % RONALD E WOOLF GVEA GOLD 9074521151 PO Box 71249 Fairbanks AK 99707 CORY R BORGESON PRESIDENT & CEO 9074521151 2018-11-15 true Nayyir Rawhani CPA P01772194 9072788878 69.161.24.166 92085320183195000016 2018-11-15 P FC2F5E6784B23CAA401875CC095F44096B9E0314 FC2F5E6784B23CAA401875CC095F44096B9E0314 2017 2019-02-21 02:37:17Z CORY R BORGESON GVEA- OFFICE OF CEO PO BOX 71249 FAIRBANKS AK 71249 250935332 false X WWW.GVEA.COM X 1946 AK To safely provide our member-owners and communities with quality electric service, quality customer service, and innovative energy solutions at fair and reasonable prices. 7 7 292 18 115445 100673 0 0 229329190 243664217 12876220 3467313 470831 387440 242676241 247518970 45119 47188 20469460 21835492 33481710 33414463 0 0 0 177996137 188219848 231992426 243516991 10683815 4001979 733247680 728297266 539704607 515114628 193543073 213182638 TO SAFELY PROVIDE OUR MEMBER-OWNERS AND COMMUNITIES WITH QUALITY ELECTRIC SERVICE, QUALITY CUSTOMER SERVICE, AND INNOVATIVE ENERGY SOLUTIONS AT FAIR AND REASONABLE PRICES. false false Provide electric power to approximately 34,890 members. All members were provided electricity on a cooperative basis through the allocation of patronage capital. false false false false false false false false false true false false false true true false true false false false false false false false false false true true true true false false true false false false false false false false false false false true true false false true 286 0 true 292 true true true false false false false 242820727 12352908 false X 7 7 false false false false true true true true false false false true true true true true true true true false X X RONALD E WOOLF GVEA 9074521151 758 ILLINOIS ST FAIRBANKS AK 99707 X Rick Schikora Chairman 13.33 0.0 X X 25060 0 0 Tom DeLong Vice-Chairman 12.0 0.0 X X 23354 0 0 John Sloan Secretary 11.0 0.0 X X 20700 0 0 Aren Gunderson Treasurer 8.0 0.0 X X 10120 0 0 Chris Bunch Director 11.0 0.0 X 13726 0 0 David Messier Director 7.0 0.0 X 5187 0 0 Gary Newman Director 13.2 0.0 X 16859 0 0 William Nordmark Director 16.0 0.0 X 27470 0 0 Cory Borgeson President & CEO 52.0 0.0 X 397940 0 46130 Ronald Woolf VP Finance & CFO 50.0 0.0 X 237226 0 50152 Gary Betsill VP Operations 50.0 0.0 X 190894 0 12113 John Burns VP and General Counsel 45.0 0.0 X 272604 0 38188 Lynn Thompson VP Power Supply 50.0 0.0 X 240308 0 105888 Brian Youngberg VP Member Services 50.0 0.0 X 211868 0 154969 Daniel Bishop Mgr Engineering Services 50.0 0.0 X 187130 0 114658 Paul Morgan Gas Turbine Plant Manager 40.0 0.0 X 187774 0 25579 Richard Piech Operations Manager 45.0 0.0 X 181872 0 35930 Pete Sarauer Power Systems Manager 50.0 0.0 X 181568 0 31195 Sheila Swanguarin Accounting Manager 48.0 0.0 X 157970 0 33414 2589630 0 648216 118 false true false MILLPRO LLC 2245 SEQUOIA DR STE 300 AURORA IL 605066220 TECHNICAL CONSULTING 5331969 ALYESKA PIPELINE SERVICE COMPANY PO BOX 196606 ANCHORAGE AK 99519 METER FACILITY 2486648 JAFFA CONSTRUCTION INC PO BOX 107 MOOSE PASS AK 99631 CONSTRUCTION SRVS 1451635 FULLFORD ELECTRIC INC 303 EAST VAN HORN ROAD FAIRBANKS AK 99701 CONSTRUCT CONTRACT 1232296 SENVION WIND ENERGY SOLUTIONS BERSEERING 10 GM CONTRACT OPERATIONS 653020 39 0 SALES OF ELECTRICITY 221000 239749914 239749914 INTERCONNECT/MEMBER FEE 221000 1116005 1116005 POLE RENTAL INCOME 221000 1082744 1082744 PATRONAGE DIVIDENDS 221000 1695461 1695461 ALLOWANCE FOR FUNDS USED DURING CONSTRUCTION 221000 87291 87291 -67198 -67198 243664217 3580423 3580423 0 0 859701 48773 516321 343380 48773 392153 120158 271995 2645843 141088 2647244 252797 -1401 -111709 -113110 -111709 -1401 0 0 0 0 0 0 0 0 0 NET CONTRACT REVENUE 541300 -4713 -4713 -4713 247518970 242469764 115445 4933761 21813 25375 0 21835492 2437836 0 18734629 4522111 5443166 2276721 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 18972894 0 27034486 0 COST OF OPS-GEN,TRANS,DIST,CUS 141724644 GROSS REVENUE TAX 618187 UNRELATED BUSINESS INCOME TAX -130363 243516991 0 0 8355 8355 0 0 39567977 28828531 0 0 0 0 0 0 25664026 25218285 3327106 5482180 1079214148 445197297 634754309 634016851 0 0 0 0 11062529 11854131 0 0 18863378 22888933 733247680 728297266 24122312 28811924 0 0 3590 4280 67893836 63441780 0 0 0 0 406298467 382522435 7551391 4844502 33835011 35489707 539704607 515114628 X 0 0 0 0 193543073 213182638 193543073 213182638 733247680 728297266 X 4001979 1975646 13661940 X X false true X true false 2513242 5521486 8034728 2786764 87920284 39486253 51220795 62103 902202039 405711044 496553098 78208230 78208230 634016851 0 PENSION PROVISION 25747598 CIAC REFUNDABLE 3399547 ASSET RETIRE. OBL.- DECOM. & E 3672043 CONSUMER DEPOSITS 1712068 SNAP MEMBER CONTRIBUTIONS 18642 GOLDEN VALLEY ELECTRIC FOUNDAT 10416 DEFERRED CREDITS 929393 35489707 X Form 990, Schedule D, Part X, Line 2: The Association is exempt from federal income taxes under the provisions of Section 501(c)(12) of the Internal Revenue Code of 1986, as amended, and meets the requirements to maintain its exemption from federal income taxes under those provisions. An analysis of whether the position the Association took with regard to particular items of income would meet the definition of an uncertain tax position was made and the Association concluded no uncertain tax positions existed at December 31, 2017. The Association is no longer subject to examinations by tax authorities for years before 2014. The Association is subject to taxes on unrelated business income for some activities in its non-operating revenues resulting in current and deferred taxes as disclosed in Note 16. true UNITED WAY OF THE TANANA VALLEY PO BOX 74396 FAIRBANKS AK 997074396 926003642 501(C)(3) 17813 CHARITABLE CONTRIBUTION TO FUND ACTIVITIES IN THE LOCAL AREA 1 SCHOLARSHIPS 11 25375 FORM 990, SCHEDULE I, PART I, LINE 2: UNITED WAY - IS VETTED BY THE COMMUNITIES OF INTERIOR ALASKA. SCHOLARSHIPS - ARE SELECTED BY COMMITTEE AND QUALIFICATIONS ARE REVIEWED. FUNDS ARE PAID DIRECTLY TO THE EDUCATIONAL INSTITUTIONS ON BEHALF OF THE INDIVIDUALS. X true true X X X X X false false false Cory Borgeson President & CEO 391807 0 0 0 6133 0 26222 0 19908 0 444070 0 0 0 Ronald Woolf VP Finance & CFO 233713 0 0 0 3513 0 28156 0 21996 0 287378 0 0 0 Gary Betsill VP Operations 161460 0 0 0 29434 0 0 0 12113 0 203007 0 0 0 John Burns VP and General Counsel 270185 0 0 0 2419 0 18950 0 19238 0 310792 0 0 0 Lynn Thompson VP Power Supply 238968 0 0 0 1340 0 86481 0 19407 0 346196 0 0 0 Brian Youngberg VP Member Services 209549 0 0 0 2319 0 134171 0 20798 0 366837 0 0 0 Daniel Bishop Mgr Engineering Services 184661 0 0 0 2469 0 92820 0 21838 0 301788 0 0 0 Paul Morgan Gas Turbine Plant Manager 183431 0 0 0 4343 0 4692 0 20887 0 213353 0 0 0 Richard Piech Operations Manager 179553 0 0 0 2319 0 16173 0 19757 0 217802 0 0 0 Pete Sarauer Power Systems Manager 179241 0 0 0 2327 0 11959 0 19236 0 212763 0 0 0 Sheila Swanguarin Accounting Manager 118904 0 0 0 39066 0 18095 0 15319 0 191384 0 0 0 FORM 990, SCHEDULE J, PART I, LINE 1B: FIRST CLASS TRAVEL TO THE EAST COAST OF THE UNITED STATES IS ALLOWED IF APPROVED BY THE CEO. IN 2017, THIS BENEFIT WAS NOT EXERCISED. CHARTER HELICOPTERS ARE USED FOR REMOTE TRANSMISSION LINE WORK. A GOLDEN VALLEY ELECTRIC ASSOCIATION 920014712 2012-03-02 81250000 NEW CLEAN RENEWABLE ENERGY BONDS false true false A 13356164 0 81274297 730583 25744 0 31149 82107 0 0 77708114 0 2013 false false true true A false false false false 0 false false false false A false false false false false false 0 false 0 false false A false . FORM 990, SCHEDULE K, PART 1, LINE A(F): DESCRIPTION OF PURPOSE: NEW CLEAN RENEWABLE ENERGY BONDS - 12 REPOWER WIND TURBINES 24.3MW FORM 990, SCHEDULE K, PART II, LINE 3: INVESTMENT EARNINGS - CUMULATIVE INVESTMENT EARNINGS OF $24,697 WERE EARNED ON THE UNEXPENDED CREB FUNDS WHILE ON DEPOSIT WITH COBANK, ACB AT 0.05% INTEREST RATE. FORM 990, PART VI, SECTION A, LINE 6: THE ASSOCIATION (GVEA) IS AN ELECTRIC COOPERATIVE OWNED BY ITS MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A: THE BOARD'S DIRECTORS ARE ELECTED BY MEMBERS AND SERVE THREE-YEAR TERMS. FORM 990, PART VI, SECTION A, LINE 7B: CHANGES TO THE ASSOCIATION'S BYLAWS AND ARTICLES OF INCORPORATION ARE SUBJECT TO APPROVAL BY THE MEMBERSHIP. IN ADDITION, SOME DISPOSITIONS OF ASSETS AND MERGERS AND CONSOLIDATIONS ARE ALSO SUBJECT TO APPROVAL OF THE MEMBERSHIP AS OUTLINED IN THE BYLAWS, ARTICLE IX. FORM 990, PART VI, SECTION A, LINE 8B: BOARD COMMITTEES DO NOT HAVE AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY; HOWEVER, BOARD COMMITTEES DO MAKE RECOMMENDATIONS TO THE BOARD AS A WHOLE FOR APPROVAL DURING BOARD MEETINGS. FORM 990, PART VI, SECTION B, LINE 11: FORM 990 AND 990T ARE DRAFTED IN-HOUSE, REVIEWED BY THE EXECUTIVE AND FINANCIAL OFFICERS, AND SUBMITTED TO THE ASSOCIATION'S TAX FIRM FOR FINALIZATION. THE RETURNS ARE PROVIDED TO THE BOARD OF DIRECTORS FOR REVIEW PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C: DIRECTORS ARE REQUIRED TO SUBMIT ANNUAL CONFLICT OF INTEREST DISCLOSURES, WHICH ARE REVIEWED BY THE BOARD AS A WHOLE. IN 2010, THE EMPLOYEE CONFLICT OF INTEREST POLICY WAS AMENDED TO REQUIRE DISCLOSURES FROM THE PRESIDENT AND VICE-PRESIDENTS. THESE DISCLOSURES ARE RETAINED BY THE ASSOCIATION ATTORNEY. THE ASSOCIATION IS NOT REQUIRED TO MAKE THE CONFLICT OF INTEREST DISCLOSURES AVAILABLE TO THE PUBLIC. FORM 990, PART VI, SECTION B, LINE 15: THE COMPENSATION OF THE CHIEF EXECUTIVE OFFICER IS DETERMINED BY THE BOARD OF DIRECTORS AS A WHOLE, AND IS ESTABLISHED IN A WRITTEN CONTRACT. COMPENSATION IS BASED ON DATA PROVIDED BY AN OUTSIDE CONSULTANT SPECIALIZING IN UTILITY COOPERATIVES. THE BOARD MEETS IN EXECUTIVE SESSION TO DISCUSS THIS CONTRACT, BUT VOTES IN AN OPEN BOARD MEETING TO APPROVE THE CONTRACT. COMPENSATION OF OFFICERS AND KEY EMPLOYEES ARE DETERMINED BY THE CHIEF EXECUTIVE OFFICER (CEO) UTILIZING THE FOLLOWING PROCESS: ALL NON-BARGAINING POSITIONS WITHIN THE ASSOCIATION OTHER THAN THAT OF THE CEO ARE COMPENSATED WITHIN SPECIFIC WAGE GROUPS WHICH HAVE PREDETERMINED PAY RANGES. THE WAGE GROUP MID-POINTS ARE ADJUSTED ANNUALLY AND THE WAGE GROUPS THEMSELVES ARE REVIEWED AND ADJUSTED EVERY FIVE YEARS. BOTH THE MID-POINT AND WAGE GROUP ADJUSTMENTS ARE BASED ON RECOMMENDATIONS FACILITATED BY AN OUTSIDE CONSULTANT SPECIALIZING IN UTILITY COOPERATIVES. THE MID-POINT ADJUSTMENTS AND THE COMPANY WIDE COMPENSATION ARE REVIEWED BY THE BOARD OF DIRECTORS AS A WHOLE AS PART OF THE BUDGET APPROVAL PROCESS. INDIVIDUAL COMPENSATION WITHIN THE APPROPRIATE RANGE IS DETERMINED BY THE EMPLOYEES' SUPERVISOR BASED ON DOCUMENTED PERFORMANCE REVIEWS, AND ARE EFFECTIVE THE FIRST OF EACH YEAR. FORM 990, PART VI, SECTION C, LINE 19: THE ASSOCIATION'S BYLAWS ARE AVAILABLE ON ITS WEBSITE. AN ANNUAL REPORT OF THE COOPERATIVE IS ALSO AVAILABLE ON THE WEB WHICH INCLUDES AN ABBREVIATED SUMMARY OF THE BALANCE SHEET AND STATEMENT OF INCOME AND EXPENSES. THE ASSOCIATION IS NOT REQUIRED TO MAKE THE CONFLICT OF INTEREST POLICIES AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC; HOWEVER, THEY ARE AVAILABLE UPON REQUEST BY A MEMBER. FORM 990, PART VII: THE ASSOCIATION DISTRIBUTED QUESTIONNAIRES TO EACH CURRENT AND FORMER OFFICER, DIRECTOR, AND KEY EMPLOYEE TO SOLICIT INFORMATION PERTINENT TO THE COMPLETION OF FORM 990 AND ITS SCHEDULES. FORM 990, PART VIII, LINE 2D: PATRONAGE DIVIDENDS 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, 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 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 COOPERATIVE'S BY-LAW ARTICLE VIII - NOT-FOR-PROFIT OPERATION. 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 2017 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. HOWEVER, PATRONAGE DIVIDENDS ARE NOT AN EXPENSE FOR FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. FORM 990, PART IX, LINE 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 LINE 5-7 TO TOAL WAGES ACCRUED AND/OR PAID. TOTAL PER LINES 5-7 $21,172,465 DIRECTORS FEES REPORTED ON 1099-MISC (142,476) EMPLOYEE OFFICER BENEFITS INCLUDED IN LINE 5 (744,520) SALARIES & WAGES ALLOCATED TO NONOPERATING MARGIN 262,782 SALARIES & WAGES CAPITALIZED DIRECTLY TO PLANT 1,973,449 SALARIES & WAGES CAPITALIZED INDIRECTLY & OTHER BALANCE SHEET ACCOUNTS 4,132,530 TOTAL WAGES PAID 26,654,230 FORM 990, PART IX, LINE 24A: COST OF OPERATION - DETAILED LISTING: POWER PRODUCTION EXPENSE $84,805,787 COST OF PURCHASED POWER 56,709,710 TRANSMISSION EXPENSE 3,808,256 DISTRIBUTION EXPENSE- OPERATION 3,777,826 DISTRIBUTION EXPENSE- MAINTENANCE 9,132,933 CONSUMER ACCOUNT EXPENSE 7,100,886 CUSTOMER SERVICE AND INFORMATIONAL EXPENSE 1,283,408 ADMINSISTRATIVE AND GENERAL EXPENSE 8,148,221 OTHER DEDUCTIONS LESS LINE 1 GRANTS 372,079 SALARIES, WAGES, BENEFITS AND TAXES TO LINE 5-10 (33,414,462) FORM 990, PART IX, LINE 24A 141,724,644 FORM 990, PART XI, LINE 9: OTHER CHANGES IN NET ASSETS OR FUND BALANCES CHANGE IN OTHER COMPR. INCOME $(722,395) PATRONAGE CAPITAL RETIRED - TOTAL (10,658,617) PATRONAGE CAPITAL RETIRED - DISCOUNT 3,231,270 CHANGE IN SCHOLARSHIP INVESTMENT (23,810) PATRONAGE EXP (FORM 990,PART IX, LINE 4) NOT F/S EXP 21,835,492 TOTAL 13,661,940 FORM 990, PART XII, LINE 1: FORM 990 AND THE ASSOCIATION'S FINANCIAL STATEMENTS ARE PREPARED ON AN ACCRUAL BASIS UTILIZING THE RURAL UTILITIES SERVICE (RUS) UNIFORM SYSTEM OF ACCOUNTS 7 CFR PART 1767. HOWEVER, EXPENSED WAGES AND SALARIES ARE ITEMIZED FOR BETTER DISCLOSURE. ELECTION FORM 990: ELECTION TO CAPITALIZE SECTION 266 COSTS - CONSISTENT WITH PAST PRACTICE, GOLDEN VALLEY ELECTRIC ASSOCIATION ELECTS TO CAPITALIZE ALL CARRYING CHARGES PURSUANT TO SECTION 266 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, AND THE PROVISIONS OF TREASURY REGULATION SECTION 1.266-1 THERE UNDER. Golden Valley Electric Foundation Inc PO Box 71249 Fairbanks AK 99707 271487351 PUBLIC FNDTN AK 501(c)(3) 170(B)(1) GVEA true false false false false false false false false false false false false false false true false false false false GOLDEN VALLEY ELECTRIC FOUNDATION N/A FORM 990, SCHEDULE R, PART II, LINE 1: (B) PRIMARY ACTIVITY: PUBLIC FOUNDATION (E) PUBLIC CHARITY STATUS: 170(B)(1)(A)(VI) FORM 990, SCHEDULE R, PART V: GVEA IS NOT TRANSFERING ITS OWN RESOURCES, RATHER PASSING THROUGH MEMBER CONTRIBUTIONS. WE ARE CHOOSING TO REPORT ON LINE 2 TO ADDRESS "YES", THOUGH NOT REQUIRED.