2017-08-02T07:47:24-05:00 2016-12-31 450250958 EIDE BAILLY LLP 200 EAST 10TH ST PO BOX 5125 SIOUX FALLS SD 571175125 990 2016-01-01 460213171 FEM ELECTRIC ASSOCIATION INC FEME 6054266891 PO BOX 468 IPSWICH SD 574510468 SCOTT MOORE GENERAL MANAGER/CEO 6054266891 2017-07-26 1 LAURIE HANSON P00851848 6053391999 2017-07-26 199.116.169.103 2017-07-26 08:26:09 CD P 171BAB973F07BBF56AF44147332F3B8F939E6447 92FA066E8274E2B577DB6CECDEFB9BF5F3A81194 2016 2021-01-29 14:40:06Z SCOTT MOORE PO BOX 468 IPSWICH SD 574510468 15346777 0 X WWW.FEMELECTRIC.COOP X 1949 SD TO SAFELY PROVIDE RELIABLE, COST-EFFICIENT ELECTRICITY AND OTHER SERVICES. 5 5 19 0 -23966 -24878 0 0 14026703 15146246 70738 -112274 32298 -7587 14129739 15026385 7870 8995 898526 349802 1895151 1827147 0 0 0 11068713 11910719 13870260 14096663 259479 929722 33476761 36326003 22679764 24458650 10796997 11867353 X TO ENHANCE THE QUALITY OF LIFE OF OUR MEMBERS, BY SAFELY PROVIDING RELIABLE, COST-EFFICIENT ELECTRICITY AND OTHER SERVICES. 1 0 PROVIDED ELECTRIC SERVICE TO APPROXIMATELY 1339 MEMBERS AND HAVE APPROXIMATELY 2,061 MILES OF OVERHEAD AND UNDERGROUND LINE. IN 2016, OVERHEAD LINE DECREASED 53 MILES AND UNDERGROUND INCREASED 51 MILES. 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 1 0 0 0 0 0 0 1 1 0 0 1 54 0 1 19 1 0 0 0 0 0 14653659 52539 0 X 5 5 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 1 0 X SCOTT MOORE 6054266891 PO BOX 468 IPSWICH SD 574510468 FRANK HEINZ PRESIDENT 5.00 X X 10361 0 0 GARY BACHMAN VICE PRESIDENT 8.80 X X 10811 0 0 LARRY BOWAR SECRETARY 5.00 X X 7811 0 0 GERALD HAUPT TREASURER 7.00 X X 7511 0 0 TOM THORPE ASSISTANT SEC/TREASURER 5.00 X X 10811 0 0 SCOTT MOORE GENERAL MANAGER/CEO/CFO 40.00 X 119232 0 80328 166537 0 80328 1 0 1 0 QUEST CONSTRUCTION 2301 8TH AVE NE 120 ABERDEEN SD 57401 BUILDING GENERAL CONTRACTOR 568864 MOORE BROTHERS CONSTRUCTION 3411 JONES ST SIOUX CITY IA 51104 LINE CONSTRUCTION CONTRACTOR 390482 K&H ELECTRIC INC 243 S SAINT PAUL AVE LINTON ND 58552 UNDERGROUND LINE BUILD 301404 3 SALE OF POWER 221000 14096663 14096663 COOP CAPITAL CREDITS 221000 963726 963726 OTHER NON-OPERATING 221000 60725 60725 PARTNERSHIP INCOME 541900 25132 -26496 51628 15146246 40912 40912 153186 -153186 -153186 -153186 159619 167206 -7587 -10117 2530 15026385 15110997 -23966 -60646 8995 349802 221604 1222410 280542 102591 809409 899328 COST OF POWER 9515402 ADMIN & GENERAL 919388 DISTRIBUTION-MAINTENANC 512890 DISTRIBUTION-OPERATIONS 426669 -1172367 14096663 297210 895017 854868 1110273 45946 34097 489439 355019 540270 497937 33346824 7377561 24713617 25969263 777341 802474 5749156 6655891 8914 6032 33476761 36326003 1641956 1647566 21026612 22796098 11196 14986 22679764 24458650 X 0 0 0 0 10796997 11867353 10796997 11867353 33476761 36326003 X 929722 140634 X 0 1 X 1 0 2674 2674 3416225 171161 3245064 29542262 7206400 22335862 385663 385663 25969263 MEMBERSHIPS 4300 C EAST RIVER ELECTRIC POWER COOPERATIVE 5253297 C RURAL ELECTRIC SUPPLY COOPERATIVE 84002 C NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORPORATION 965368 C NATIONAL RURAL TELECOMMUNICATIONS COOPERATIVE 206557 C OTHER COOPERATIVES 31336 C FEDERATED RURAL ELECTRIC INSURANCE 71031 C RURAL ELECTRIC ECONOMIC DEVELOPMENT, INC. 40000 C 6655891 CUSTOMER DEPOSITS 7319 DEFERRED CREDITS 7667 14986 X 15026385 0 15026385 0 15026385 13746861 0 13746861 349802 349802 14096663 PART X, LINE 2: THE ASSOCIATION IS EXEMPT FROM INCOME TAXES UNDER SECTION 501(C)(12) OF THE INTERNAL REVENUE CODE AND IS ANNUALLY REQUIRED TO FILE A RETURN OF ORGANIZATION EXEMPT INCOME FROM INCOME TAX (FORM 990) WITH THE IRS. IN ADDITION, THE ASSOCIATION IS SUBJECT TO INCOME TAX ON NET INCOME THAT IS DERIVED FROM BUSINESS ACTIVITIES THAT ARE UNRELATED TO ITS PURPOSE. THE ASSOCIATION FILES AN EXEMPT ORGANIZATION BUSINESS INCOME TAX RETURN (FORM 990T) WITH THE IRS TO REPORT ITS UNRELATED BUSINESS TAXABLE INCOME. THE ASSOCIATION BELIEVES IT HAS APPROPRIATE SUPPORT FOR ANY TAX POSITIONS TAKEN AFFECTING ITS ANNUAL FILING REQUIREMENTS, AND AS SUCH, DOES NOT HAVE ANY UNCERTAIN TAX POSITIONS THAT ARE MATERIAL TO THE FINANCIAL STATEMENTS. THE ASSOCIATION WOULD RECOGNIZE FUTURE ACCRUED INTEREST AND PENALTIES RELATED TO UNRECOGNIZED TAX BENEFITS IN INCOME TAX EXPENSE IF SUCH INTEREST AND PENALTIES ARE INCURRED. PART XII, LINE 4B - OTHER ADJUSTMENTS: ALLOCATION OF 2016 MARGINS TO MEMBERS IN 2017 349,802. X X 0 0 0 SCOTT MOORE GENERAL MANAGER/CEO/CFO 117609 0 0 0 1623 0 55081 0 25408 0 199721 0 0 0 SCHEDULE J, PART II, LINE 1, COLUMN C PART II COLUMN C INCLUDES $50,121 OF CHANGE IN ACTUARIAL BENEFITS FOR MR. MOORE'S DEFINED BENEFIT PLAN. ACTUAL CONTRIBUTIONS TO THIS PLAN BY THE COOPERATIVE WERE $24,698. MOORE BROTHERS CONSTRUCTION BROTHERS OF SCOTT MOORE, MANAGER 390482 INSTALL POLES/MATERIAL, RETIRE OH LINE. 0 FORM 990, PART III, LINE 2 FEM STARTED AN ELECTRICAL WIRING DEPARTMENT IN MAY 2015. FORM 990, PART VI, SECTION A, LINE 6 EACH MEMBER HOLDS ONE MEMBERSHIP AND HAS ONE VOTE. FORM 990, PART VI, SECTION A, LINE 7A A NOMINATION COMMITTEE IS FORMED FROM THE MEMBERSHIPS IN THE DISTRICT(S) OF THE BOARD MEMBER BEING ELECTED. THAT COMMITTEE IS RESPONSIBLE FOR NOMINEES TO BE PLACED ON THE BALLOT. AN ELECTION IS HELD AT THE ANNUAL MEETING AND EACH MEMBERSHIP HAS ONE VOTE IN THE ELECTION OF THE BOARD MEMBERS. FORM 990, PART VI, SECTION A, LINE 7B CHANGES TO BY-LAWS MUST BE APPROVED BY MEMBERS. EACH MEMBERSHIP HAS ONE VOTE WITH THE SAME VOTING RIGHTS. FORM 990, PART VI, SECTION A, LINE 8B THE COOPERATIVE DOES NOT HAVE COMMITTEES WITH BROAD AUTHORITY TO ACT ON BEHALF OF THE GOVERNING BODY. FORM 990, PART VI, SECTION B, LINE 11B THE GENERAL MANAGER/CEO WILL REVIEW THE FORM 990 BEFORE IT IS SUBMITTED TO THE IRS. THE FORM 990 IS PROVIDED TO THE BOARD OF DIRECTORS AT A BOARD MEETING HELD PRIOR TO THE FILING OF THE 990. FORM 990, PART VI, SECTION B, LINE 12C EACH DIRECTOR WILL DISCLOSE IN WRITING TO THE BOARD OF DIRECTORS AT THE NEXT SCHEDULED BOARD MEETING ANY CONFLICT OF INTEREST, AS OUTLINED IN THE POLICY, AS THEY EXIST OR WHEN THEY MAY BE INVOLVED IN THE FUTURE. THE BOARD OF DIRECTORS MONITORS CONFLICTS AND IS OVERSEEN BY THE ASSOCIATION'S ATTORNEY. FORM 990, PART VI, SECTION B, LINE 15A THE SDREA ANNUAL WAGE AND SALARY STUDY IS USED AS A BENCHMARK FOR WAGES FOR ALL EMPLOYEES. THE BOARD USES THE SDREA WAGE AND SALARY SURVEY RESULTS. IT IS REVIEWED IN EXECUTIVE SESSION AND DECIDED ON BY THE BOARD. THIS PROCESS WAS UNDERTAKEN IN 2016. FORM 990, PART VI, SECTION C, LINE 19 ALL DOCUMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. AN ANNUAL REPORT ON FINANCIAL STATEMENTS IS GIVEN TO THE MEMBERS ANNUALLY. FORM 990, PART XI, LINE 9: RETIREMENT OF CAPITAL CREDITS -249,152. INCREASE IN OTHER EQUITIES 39,984. ALLOCATION OF 2016 MARGINS TO MEMBERS IN 2017 349,802. FORM 990, PART VI, SECTION B, LINE 16B THE ORGANIZATION HAS NOT ADOPTED A WRITTEN POLICY HOWEVER, THE RURAL DEVELOPMENT UTILITITES PROGRAM LIMITS THE AMOUNT OF INCOME THAT CAN BE MADE FROM NONOPERATING VENTURES. OVER 85% OF GROSS REVENUES NEED TO COME FROM COOPERATIVE MEMBERSHIPS. FORM 990, PART VII, COLUMN F, OTHER COMPENSATION: INCLUDED IN OTHER COMPENSATION IS THE ESTIMATED CURRENT YEAR INCREASE OR DECREASE IN THE ACTUARIAL VALUE OF THE DEFINED BENEFIT PLAN FOR THE EXECUTIVE DIRECTOR. THE CURRENT YEAR INCREASE OR DECREASE DOES NOT REPRESENT CURRENT YEAR CONTRIBUTIONS TO THE PLAN. RATHER, IT IS AN ESTIMATE OF THE INCREASE OR DECREASE IN THE ACTUARIAL VALUE OF THE PLAN AS CALCULATED BY THE PLAN ADMINISTRATOR. FORM 990, PART IX, LINE 24E STATEMENT OF FUNCTIONAL EXPENSES: THE LABOR, PENSION AND PAYROLL TAXES REPORTED ON LINES 6-10 ARE INCLUDED IN DISTRIBUTION EXPENSE, ADMINISTRATIVE & GENERAL EXPENSE AND CUSTOMER EXPENSE. THEREFORE, LABOR, PENSION AND PAYROLL TAXES ARE SHOWN AS A REDUCTION TO OTHER EXPENSES ON LINE 24E. FORM 990, PART IX, LINE 4, BENEFITS PAID TO OR FOR MEMBERS: THE COOPERATIVE HAS INTERPRETED THE INSTRUCTIONS TO PART IX, LINE 4, TO MEAN PATRONAGE CAPITAL ALLOCATED FOR THE YEAR, RATHER THAN PATRONAGE CAPITAL RETIRED. THIS IS CONSISTENT WITH THE BY-LAWS OF THE COOPERATIVE. RURAL DAKOTA DEVELOPMENT LLC PO BOX 468 IPSWICH SD 57451 260078214 HOUSING DEVELOPMENT SD FEM ELECTRIC ASSOCIATION INC UNRELATED -894 70442 0 1 0.33330 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0