2016-08-02T14:04:57-05:00 2015-12-31 450250958 EIDE BAILLY LLP 4310 17TH AVE S PO BOX 2545 FARGO ND 581082545 990 2015-01-01 380289531 Alger Delta Cooperative Electric Association ALGE 9064284141 426 N 9th ST Gladstone MI 49837 Thomas Harrell General Manager 9064284141 2016-07-21 1 LISA CHAFFEE CPA P00193453 7012398500 2016-07-21 2015 2016-12-15 16:53:06Z Thomas Harrell 426 N 9th ST Gladstone MI 49837 14379640 0 X www.algerdelta.com X 1937 MI Electrical distribution utility providing service to rural areas 9 9 18 0 0 0 0 0 14218394 14202891 84102 176749 0 0 14302496 14379640 0 201 1323411 1474860 1455127 1701846 0 0 0 11636875 11287053 14415413 14463960 -112917 -84320 37113924 39323382 24825816 25829471 12288108 13493911 Electrical distribution utility providing service to rural areas 0 0 Provided electrical service to the rural areas of Marquette, Alger, Delta, Dickinson, Schoolcraft and Menominee counties in the Upper Peninsula of Michigan a total of 9,974 members were served in 2015. 0 0 0 0 0 0 0 0 0 1 0 0 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 0 0 0 1 33 0 1 18 1 0 0 0 0 0 14634077 150266 0 X 9 9 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 1 0 X X Amanda Seger 9064284141 426 N 9th Street Gladstone MI 49837 X Ron Oberg President 3.00 X X 5050 0 0 Mike Nason Vice President 3.00 X X 6250 0 0 Sue Alexander Secretary/Treasurer 3.00 X X 5125 0 0 Paul Sederquist Director 3.00 X 6650 0 0 Sam Simonetta Director - Partial Year 3.00 X 2300 0 0 Nancy Gardner-Platt Director 3.00 X 8300 0 0 Raymond Young Director 3.00 X 4700 0 0 Karen Alholm Director - Partial Year 3.00 X 4350 0 0 Dave Anthony Director 3.00 X 7850 0 0 Dave Prestin Director 3.00 X 4600 0 0 Thomas Harrell General Manager 40.00 X 150876 0 99149 Amanda Seger Financial Manager 40.00 X 93196 0 35496 299247 0 134645 1 0 1 0 WPPI 1425 Corp Center Dr Sun Prairie WI 53590 Power Supplier 6419966 Fox Power Inc 900 Superior Ave Gladstone MI 49837 Highline Contractor 1109556 Bugle Contracting 11880 CO 426 R RD Cornell MI 49818 Brushing 987342 RESCO PO Box 684141 Chicago IL 60695 Material Supply 981919 Border State Electric NW 7235 Minneapolis MN 55485 Material Supply 430437 14 Electricity Sales 221000 14064385 14064385 Capital Credits 221000 142656 142656 Miscellaneous Revenue 900099 2979 2979 ATC LLC K-1 Investment 900099 -7129 -7129 14202891 169049 169049 7700 0 7700 7700 7700 14379640 14202891 0 176749 X 201 1474860 403715 1068892 130805 98434 1138444 1434528 Cost of Power 6547064 Distribution 2055438 Admin & General 1077426 Miscellaneous Expenses 423220 -1389067 14463960 946257 979587 830843 768395 350154 299388 772695 669451 50440656 15695394 32413378 34745262 1784022 1844490 16575 16809 37113924 39323382 1557336 1529655 232304 230265 23036176 23954876 0 114675 24825816 25829471 X 80923 80923 0 0 12207185 13412988 12288108 13493911 37113924 39323382 X -84320 1290123 X 0 1 X 1 0 179524 179524 632502 417676 214826 46961810 15277718 31684092 2666820 2666820 34745262 Consumer Deposits 114675 114675 X 14463963 77194 77194 14386769 -7129 -7129 14379640 12989100 0 12989100 1474860 1474860 14463960 Part X, Line 2: The Association is exempt from federal income tax under Section 501(c)(12) of the United States Internal Revenue Code. The Association evaluates its tax positions that have been taken or are expected to be taken on income tax returns to determine if an accrual is necessary for uncertain tax positions. As of December 31, 2015 and 2014, the unrecognized tax benefit accrual was zero. The Association will recognize future accrued interest and penalties related to unrecognized tax benefits in income tax expense if incurred. Under normal circumstances, the Association is no longer subject to Federal tax examinations by tax authorities for years before 2012 and State tax examination for years before 2012. The Association undergoes an annual analysis of its various tax positions, assessing the likelihood of those positions being upheld upon examination with relevant tax authorities. Part XI, Line 2d - Other Adjustments: ATC Book Income (Loss) 77,194. Part XI, Line 4b - Other Adjustments: ATC K-1 Income (Loss) -7,129. Part XII, Line 4b - Other Adjustments: Patronage Capital Credits Allocated During Current Year 1,474,860. X X X 0 0 0 Thomas Harrell General Manager 127699 0 0 0 23177 0 72390 0 26759 0 250025 0 0 0 Schedule J, Part II, column C, Deferred Compensation: Included in other compensation is the estimated current year increase in the actuarial value of the defined benefit plan. These amounts do not represent any current year contributions to the plan. They are estimates of the increase in the actuarial value of the plan received from the NRECA. The current year expense and the increase in actuarial value for each employee is reflected in the Schedule O statement for Form 990, Part VII, column F. Form 990, Part VI, Section A, line 6 Alger Delta Cooperative is an electric cooperative providing electricity to customers in nine rural districts. Each customer is a member of the Cooperative with one voting right each. Form 990, Part VI, Section A, line 7a Alger Delta Cooperative is an electric Cooperative consisting of nine districts. The members in each district nominate and vote for their director. Each director is elected for a term of three years. Three directors are elected each year. Form 990, Part VI, Section A, line 7b Members retain the right to vote on the sale, merger, acquisition or dissolution of the cooperative; members have the right to vote to reinstate expelled members; they have the right to vote to elect or remove their district representative (board member); and they have the right to vote to amend the bylaws of the organization. Form 990, Part VI, Section A, line 8b There are no committees that can act on behalf of the governing board. Form 990, Part VI, Section B, line 11 The Form 990 is reviewed by the General Manager. It is also provided at a board meeting for the Board's review and approval prior to being filed with the IRS. Form 990, Part VI, Section B, line 12c All employees and Directors are annually required to review the conflict of interest policy and disclose if they have an actual or potential conflict of interest. The General Manager reviews all reported actual or potential conflicts to determine if a conflict exists. The Board of Directors reviews the General Manager and other manager disclosures. If an actual or potential conflict is determined to exist that individual must abstain from any participation relative to the conflicting issue(s). Form 990, Part VI, Section B, line 15a The Board annually reviews the General Manager's performance based on the performance review and the National Compensation Survey. The deliberation process was substantiated in board minutes. The General Manager reviews the CFO's performance annually using same survey. Form 990, Part VI, Section C, line 19 Each new member is mailed a copy of the company's by-laws, and our "Code of Conduct". The governing documents and the financial statements are available on our website. They are also available upon request, along with the conflict of interest policy. Form 990, Part VII, Section A, Column (F) Included in column "F", estimated amount of other compensation, is the estimated annual increase in the actuarial value of the defined benefit plan. The estimated increase for Thomas Harrell is $72,390 and for Amanda Seger is $7,359. These amounts are estimates in the increase of the value of the plan and are not current year expenses of the cooperative. The current year expense for this defined benefit plan was $30,094 and $19,478, respectively. Form 990, Part IX, Statement of Functional Expenses, Line 24e The labor, pension, and payroll taxes reported on lines 5-10 are already included in distribution expense, administrative & general expense and customer expense. Therefore, these amounts are being subtracted out as an other deduction included on line 24e in the amount of $(1,701,846). Form 990, Part IX, Line 4 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 Bylaws of the Cooperative. Form 990, Part XI, line 9: Patronage Capital Credits Allocated During Current Year 1,474,860. Retirement of Capital Credits -370,959. Unclaimed Credits 101,899. ATC LLC Book to K-1 Difference 84,323.