Form990
Click to see attachment
Department of the Treasury
Internal Revenue Service
Return of Organization Exempt From Income Tax
Under section 501(c), 527, or 4947(a)(1) of the Internal Revenue Code (except black lung benefit trust or private foundation)

MediumBullet The organization may have to use a copy of this return to satisfy state reporting requirements.
OMB No. 1545-0047
2010
Open to Public Inspection
A For the calendar year, or tax year beginning 01-01-2010 and ending 12-31-2010
BCheck if applicable:
CName of organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Doing Business As
 
 
Number and street (or P.O. box if mail is not delivered to street address)
PO BOX 727
 
Room/suite
City or town, state or country, and ZIP + 4
MANDAN, ND585540727
D Employer identification number

45-0231058
E Telephone number

G Gross receipts $ 5,006,842
F Name and address of principal officer:
DENNIS HILL
PO BOX 727
MANDAN,ND585540727
I
Tax-exempt status: ( 6 ) LeftBullet (insert no.) or
J
Website:MediumBullet
WWW.NDAREC.COM
H(a)
Is this a group return for
affiliates?
H(b)
Are all affiliates included?
If "No," attach a list. (see instructions)
H(c)
Group exemption number MediumBullet  
K Form of organization:
 
L Year of formation: 1958
M State of legal domicile: ND
Part I
Summary
Activities & Governance 1 Briefly describe the organization’s mission or most significant activities: NDAREC'S VISION IS AN INDISPENSABLE NETWORK OF MEMBER COOPERATIVES THAT ENRICHES THE LIVES OF THEIR CONSUMERS AND THE COMMUNITIES IN WHICH THEY LIVE. OUR MISSION IS TO: ADVANCE THE VALUE OF THE MEMBER COOPERATIVE NETWORK IN NORTH DAKOTA; CREATE A POSITIVE LEGISLATIVE, REGULATORY AND BUSINESS CLIMATE IN WHICH OUR MEMBER SYSTEMS CAN SUCCESSFULLY AND SAFELY DELIVER SERVICES; SUPPORT THE PEOPLE WHO DELIVER THE POWER OF HUMAN CONNECTIONS TO THEIR CONSUMERS AND THE COMMUNITIES IN WHICH THEY LIVE; CULTIVATE A SHARED VISION AMONG OUR MEMBER SYSTEMS, COMMITTED TO BUILDING THE FUTURE OF NORTH DAKOTA; ADD NEW WEALTH TO THE ECONOMY BY CREATING, RETAINING AND EXPANDING VALUE-ADDED COOPERATIVES AND OTHER PRIMARY SECTOR BUSINESS ENTERPRISES.
2 Check this box MediumBullet
3 Number of voting members of the governing body (Part VI, line 1a) .... 3 21
4 Number of independent voting members of the governing body (Part VI, line 1b) .... 4 21
5 Total number of individuals employed in calendar year 2010 (Part V, line 2a) ... 5 25
6 Total number of volunteers (estimate if necessary) .... 6 0
7a Total unrelated business revenue from Part VIII, column (C), line 12 .. 7a 205,506
b Net unrelated business taxable income from Form 990-T, line 34 .. 7b -38,509
Revenues; Prior Year Current Year
8 Contributions and grants (Part VIII, line 1h) ......... 1,770,474 3,093,691
9 Program service revenue (Part VIII, line 2g) ......... 892,273 1,171,720
10 Investment income (Part VIII, column (A), lines 3, 4, and 7d ) .... 27,335 38,347
11 Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e) 61,048 27,089
12 Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)................... 2,751,130 4,330,847
Expenses; 13 Grants and similar amounts paid (Part IX, column (A), lines 1–3 )... 125,000 0
14 Benefits paid to or for members (Part IX, column (A), line 4) .... 0 0
15 Salaries, other compensation, employee benefits (Part IX, column (A), lines 5–10) 1,293,943 1,367,433
16a Professional fundraising fees (Part IX, column (A), line 11e).... 0 0
b Total fundraising expenses (Part IX, column (D), line 25) MediumBullet0    
17 Other expenses (Part IX, column (A), lines 11a–11d, 11f–24f).... 1,375,640 2,832,357
18 Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25) 2,794,583 4,199,790
19 Revenue less expenses. Subtract line 18 from line 12...... -43,453 131,057
Net Assets or Fund Balances; Beginning of Current Year End of Year
20 Total assets (Part X, line 16)............ 2,520,156 2,646,415
21 Total liabilities (Part X, line 26)............ 543,145 538,347
22 Net assets or fund balances. Subtract line 21 from line 20 ..... 1,977,011 2,108,068
Part II
Signature Block
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than officer) is based on all information of which preparer has any knowledge.
Sign Here
JumboBullet
Signature of officer Date
JumboBullet
Type or print name and title.
Paid Preparer's Use Only Preparer's
signatureBig Right Arrow 		Date
right pointing bullet image Preparer’s taxpayer identification number
(see instructions)
Firm’s name (or yours
if self-employed),
address, and ZIP + 4Big Right Arrow




 		EIN right pointing bullet image
Phone no. right pointing bullet image
May the IRS discuss this return with the preparer shown above? (see instructions) .........
For Privacy Act and Paperwork Reduction Act Notice, see the separate instructions.
Cat. No. 11282Y
Form 990 (2010)
Form 990 (2010)
Page 2
Part III
Statement of Program Service Accomplishments
Check if Schedule O contains a response to any question in this Part III . . . . . . . . . .
1
Briefly describe the organization’s mission: OUR MISSION IS TO: ADVANCE THE VALUE OF THE MEMBER COOPERATIVE NETWORK IN NORTH DAKOTA; CREATE A POSITIVE LEGISLATIVE, REGULATORY AND BUSINESS CLIMATE IN WHICH OUR MEMBER SYSTEMS CAN SUCCESSFULLY AND SAFELY DELIVER SERVICES; SUPPORT THE PEOPLE WHO DELIVER THE POWER OF HUMAN CONNECTIONS TO THEIR CONSUMERS AND THE COMMUNITIES IN WHICH THEY LIVE; CULTIVATE A SHARED VISION AMONG OUR MEMBER SYSTEMS, COMMITTED TO BUILDING THE FUTURE OF NORTH DAKOTA; ADD NEW WEALTH TO THE ECONOMY BY CREATING, RETAINING AND EXPANDING VALUE-ADDED COOPERATIVES AND OTHER PRIMARY SECTOR BUSINESS ENTERPRISES.
2
Did the organization undertake any significant program services during the year which were not listed on
the prior Form 990 or 990-EZ? ....................
If “Yes,” describe these new services on Schedule O.
3
Did the organization cease conducting, or make significant changes in how it conducts, any program services? ..........................
If “Yes,” describe these changes on Schedule O.
4
Describe the exempt purpose achievements for each of the organization’s three largest program services by expenses.
Section 501(c)(3) and 501(c)(4) organizations and section 4947(a)(1) trusts are required to report the amount of grants and allocations to others, the total expenses, and revenue, if any, for each program service reported.
4a (Code:   ) (Expenses $   including grants of $   ) (Revenue $   )
MAGAZINE- IN 2010, A MAJOR CURRENT ACTION ITEM WAS TO PROMOTE ENERGY CONSERVATION AND EFFICIENCY. TO ADVANCE THIS COMPONENT, NORTH DAKOTA LIVING SHOWCASED THE TOUCHSTONE ENERGY TOGETHER WE SAVE PROJECT. - OVER 2010, NORTH DAKOTA LIVING AND NDAREC DEVELOPED AND CIRCULATED NORTH DAKOTA UTILITY REBATE PROGRAM SUPPORT MATERIALS. THE MAGAZINE CREATED FEATURE AND LOCAL CO-OP CENTER PAGE MATERIAL TO ANNOUNCE THE PROGRAM. IN ADDITION, THE MAGAZINE AND NDAREC COLLEAGUES COORDINATED THE PRINTING AND DISTRIBUTION OF UTILITY REBATE APPLICATION FORMS TO EACH COOPERATIVE AND CREATED A BILLING ENVELOPE INSERT ON THE PROGRAM FOR COOPERATIVES TO USE. - IN 2010, NORTH DAKOTA LIVING HELPED BUILD UNDERSTANDING OF THE ENVIRONMENTAL CHALLENGES AND OPPORTUNITIES FOR OUR COOPERATIVES. NORTH DAKOTA LIVING ALSO PROVIDED FEATURE COVERAGE OF COOPERATIVE DEDICATION TO THE ENVIRONMENTAL STEWARDSHIP STANDARD SET BY THE LATE GOVERNOR ARTHUR LINK, WHO DIED IN JUNE. - RENEWABLE ENERGY EDUCATION AND ADVANCEMENT WAS ANOTHER WORK PLAN COMPONENT. MAGAZINE ITEMS PUBLISHED INCLUDED BIOFUELS FEEDSTOCK RESEARCH NEAR STREETER; A CENTER PAGES Q&A STORY ON WIND FACILITIES DEVELOPMENT AS IT CONCERNS LANDOWNERS; WIND ENERGY TECHNICIAN TRAINING OFFERED AT LAKE REGION STATE COLLEGE; AND UPDATES FROM THE N.D. ALLIANCE FOR RENEWABLE ENERGY AND THE GREAT PLAINS ENERGY CORRIDOR. LATE IN 2010, NORTH DAKOTA LIVING CARRIED A COVER STORY ON THE WIND ENERGY ACCOMPLISHMENTS OF COOPERATIVES, INCLUDING INVESTMENT AND PUBLIC POLICY PERSPECTIVES. - IN 2010, THE LOCAL CENTER PAGES OF NORTH DAKOTA LIVING CONTINUED TO BE A PRIMARY FOCAL POINT OF SERVICE EXCELLENCE FROM NORTH DAKOTA LIVING. MAGAZINE STAFF CONTINUES TO PRODUCE SUGGESTED, TOPICAL CENTER PAGES MATERIAL FOR LOCAL CO-OPS. CONSIDERABLE COVERAGE IN THE FIRST HALF OF THE YEAR FOCUSED ON STORM DAMAGE OUR COOPERATIVES SUFFERED. OTHER KEY NORTH DAKOTA LIVING FEATURE STORY COVERAGE IN 2010 INCLUDED: OIL DEVELOPMENT IN WESTERN N.D.; RURAL DEVELOPMENT FINANCE CORPORATION WORK PLAN ACCOMPLISHMENTS; PRIDE OF DAKOTA MEMBERSHIP ACTIVITY; TOUCHSTONE ENERGY COOPERATIVE COMMITMENT TO RELIABILITY; AND TELECOM CO-OP BROADBAND ACHIEVEMENTS.- OVER 2010, NDAREC COLLEAGUES EXAMINED OPPORTUNITIES FOR EXPANDING THE PUBLICATION OF NDAREC PRODUCTS, INCLUDING NORTH DAKOTA LIVING, IN NEW ELECTRONIC MEDIA FORMATS. IN DEVELOPMENT ARE NEW ELECTRONIC FORMATS FOR THE MAGAZINE, AND FOR CO-OP CENTER PAGES IN THE MAGAZINE.
4b (Code:   ) (Expenses $   including grants of $   ) (Revenue $   )
SAFETY SERVICES- OUR SAFETY SERVICES DEPARTMENT ASSISTED IN STORM RESTORATION EFFORTS, HELPING CO-OPS COORDINATE CONTRACTOR ASSISTANCE AND MUTUAL AID FROM OTHER COOPERATIVES. ON-SITE OBSERVATION AND SAFETY MANAGEMENT ASSISTANCE WAS ALSO PROVIDED TO BOTH CONTRACTOR AND COOPERATIVE CREWS WORKING IN THE FIELD. WE HELPED COORDINATE COMMUNICATIONS WITH NEWS MEDIA, ND EMERGENCY SERVICES AND FEMA. NDAREC ALSO HOSTED MEETINGS BETWEEN FEMA, STATE OFFICIALS, AND COOPERATIVE PERSONNEL ON REPORTING REQUIREMENTS FOR FEMA REIMBURSEMENT. - THE AT&S TRAINING CONFERENCE WAS HELD IN JANUARY WITH 137 PARTICIPATING LINEMEN, APPRENTICES, AND TRAINEES ATTENDING. PROGRAMS AT THE CONFERENCE INCLUDED NEW FR CLOTHING PRODUCTS, THE H1N1 FLU EPIDEMIC, METERING SAFETY FOR LINEMEN, FALL PROTECTION DEMONSTRATIONS AND TRAINING, A COMMERCIAL MOTOR VEHICLE UPDATE, AND SECURITY FOR UTILITY WORKERS.- APPRENTICESHIP ENROLLMENT IN THE LINE WORKER PROGRAM FOR 2010 WAS 28 PARTICIPANTS. NINE APPRENTICES SUCCESSFULLY COMPLETED ALL REQUIREMENTS FOR THE U.S. DEPARTMENT OF LABOR-APPROVED APPRENTICESHIP PROGRAM. - FIVE APPRENTICES WERE ENROLLED IN THE METER TECH APPRENTICESHIP PROGRAM THAT FEATURES ON-LINE RELATED ACADEMIC INSTRUCTION FROM BISMARCK STATE COLLEGE. - THE CORE 2010 TRAINING PACKAGE INCLUDED THREE CLASSROOM SESSIONS, ONE INJURED-MAN RESCUE/CERTIFY-TO-CLIMB CLASS, ONE MEDICAL TRAINING CLASS, AND TWO FIELD OBSERVATION EXERCISES. SAFETY SERVICES DEPARTMENT CONDUCTED OR SPONSORED ABOUT 160 SAFETY TRAINING SESSIONS THAT WERE ATTENDED BY MORE THAN 2,400 PARTICIPANTS. WE ALSO PROVIDED DIELECTRIC TESTING OF 155 AERIAL MAN LIFTS AND DIGGER/DERRICKS. - WE CONTRACTED WITH THE MEDCENTER ONE DEPARTMENT OF EMS EDUCATION TO OFFER THE REQUIRED CPR, BLOODBORNE PATHOGEN, AND AED REFRESHER TRAINING. IN CONJUNCTION WITH REFRESHER TRAINING ON HEARING CONSERVATION, WORKLIFE OCCUPATIONAL MEDICINE PERFORMED HEARING TESTS ON 323 COOPERATIVE EMPLOYEES.- POLE CLIMBER TRAINING AND INJURED-MAN RESCUE TRAINING WAS PROVIDED FOR EMPLOYEES OF MIDCONTINENT COMMUNICATIONS AND OSTER BROTHERS CONSTRUCTION.- SAFETY SERVICES CONDUCTS A RUBBER GLOVING SCHOOL EVERY OTHER YEAR TO TEACH YOUNGER LINEWORKERS THE SAFE WORK PRACTICES REQUIRED TO WORK ON ENERGIZED CONDUCTORS.- THE DEPARTMENT ALSO PROVIDED A SPECIAL SCHOOL ON VOLTAGE REGULATORS. IT WAS ATTENDED BY 25 COOPERATIVE LINE WORKERS AND ENGINEERS.- SAFETY SERVICES EARNED A DISCOUNT FROM WORKFORCE SAFETY & INSURANCE ON NDAREC'S ANNUAL WORKERS COMPENSATION PREMIUM. DIFFERENT SAFETY PROGRAMS WERE IMPLEMENTED THROUGHOUT THE YEAR AND WERE CERTIFIED BY AN AUDIT OF WSI PERSONNEL. - THE SAFETY SERVICES DEPARTMENT ADMINISTERS THE NRECA RURAL ELECTRIC SAFETY ACCREDITATION PROGRAM (RESAP) FOR DISTRIBUTION COOPERATIVES IN ND. THE DEPARTMENT SCHEDULED AND CONDUCTED SIX RESAP ACCREDITATION AUDITS. THE STATEWIDE ASSOCIATION ALSO RECEIVED ITS FIRST-EVER RESAP ACCREDITATION THIS PAST YEAR.
4c (Code:   ) (Expenses $   including grants of $   ) (Revenue $   )
RURAL DEVELOPMENT- PROVIDED TECHNICAL ASSISTANCE TO MEMBER SYSTEMS SEEKING TO ACCESS TO LOCAL, STATE AND FEDERAL ECONOMIC DEVELOPMENT FINANCING AND/OR GRANTS PROGRAMS. PREPARED A SUCCESSFUL RURAL ECONOMIC DEVELOPMENT LOAN APPLICATION ON BEHALF OF KEM ELECTRIC FOR GREEN IRON EQUIPMENT, NAPOLEON. PREPARED A SUCCESSFUL RURAL ECONOMIC DEVELOPMENT GRANT APPLICATION ON BEHALF OF NORTHWEST COMMUNICATIONS FOR THE RENOVATION OF ST. LUKE'S HOSPITAL, CROSBY, AND THE ADDITION OF A CLINIC ON TO THE HOSPITAL. PREPARED A SECTION 9007 APPLICATION FOR CAPITAL ELECTRIC FOR A COMMERCIAL GEOTHERMAL SYSTEM. - OPERATED THE RURAL ELECTRIC AND TELECOMMUNICATIONS DEVELOPMENT CENTER. *HELD A RURAL DEVELOPERS' ROUNDTABLE TALK ON JULY 27 AT NORTH CENTRAL RESEARCH CENTER IN MINOT, TO BRING 35 RURAL DEVELOPMENT PROFESSIONALS TOGETHER WITH RESOURCE PROVIDERS TO LEARN NEW IDEAS AND TO BUILD POSITIVE WORKING RELATIONSHIPS. THE FEATURED TOPIC AT THIS MEETING WAS RURAL BUSINESS SUCCESSION PLANNING AND PROVIDED ADVICE AND PLANNING ASSISTANCE TO RURAL DEVELOPERS FOR ENSURING THE CONTINUITY OF COMMUNITY SERVICES AND SUPPORT FOR COMMUNITY BUSINESS LEADERS. NDAREC WAS AWARDED A $225,000 GRANT FROM THE USDA RURAL COOPERATIVE DEVELOPMENT GRANT PROGRAM. NDAREC HAS A CONTRACT TO ADMINISTER THE AGRICULTURAL RESEARCH FUND. THIS FUND PROVIDES GRANTS FOR AGRICULTURAL RESEARCH THAT POTENTIALLY COULD PROVIDE A POSITIVE ECONOMIC IMPACT FOR PRODUCERS OF CROPS AND LIVESTOCK AND IMPROVES THE QUANTITY AND/OR QUALITY OF COMMODITIES. NDAREC ALSO HAS AN AGREEMENT WITH THE NORTH DAKOTA DAIRY COALITION TO PROVIDE EXECUTIVE AND ADMINISTRATIVE SERVICES. - RESPONDING TO REQUESTS FOR TECHNICAL ASSISTANCE IN THE AREAS OF HOUSING, TRIBAL ECONOMIC DEVELOPMENT, USDA "HARD-TO-SERVE" TERRITORIES, RENEWABLE ENERGY AND SENIOR IN-HOME CARE: *RURAL HOUSING - PROMOTE THE CONCEPT OF SENIOR COOPERATIVE HOUSING ACROSS RURAL NORTH DAKOTA, ESPECIALLY IN AREAS WITH AN ACTIVE HOUSING MARKET. *DAIRY PROCESSING - WORKING WITH THE RED RIVER REGIONAL COUNCIL IN GRAFTON, N.D. AND SEVERAL LARGE DAIRY PRODUCERS WHO WANT TO DEVELOP A PROCESSING FACILITY IN THE EASTERN PART OF ND. *BOWDON MEAT PROCESSING COOPERATIVE - ASSISTED IN SECURING GRANT FUNDS FROM THE AGRICULTURAL PRODUCTS UTILIZATION COMMISSION, FARMERS UNION MARKETING AND PROCESSING ASSOCIATION AND OTHER LOCAL ENTITIES FOR THE FINAL DEVELOPMENT PHASE OF THIS PROJECT. *RURAL DEVELOPMENT FINANCE CORPORATION (RDFC) - PROVIDE ADMINISTRATIVE SERVICES TO RDFC. RDFC HAS BEEN COLLECTING FEES FOR THE PLACEMENT OF NEW MARKET TAX CREDIT AND PLACING THE REVENUES IN A FUND TO PROMOTE RURAL DEVELOPMENT. *NORTH DAKOTA DAIRY COALITION - ATTRACT INTEREST IN OUR STATE'S DAIRY INDUSTRY AT TRADE SHOWS. DURING THE PAST SIX MONTHS WE'VE HAD SOLID INTEREST EXPRESSED FROM FAMILIES IN OREGON, IOWA, COLORADO, MINNESOTA, KANSAS, MICHIGAN, WISCONSIN, MONTANA, OHIO, GERMANY AND THE NETHERLANDS. STAFF WORKED WITH THE ND DEPARTMENT OF AGRICULTURE TO HOST A DAIRY TOUR SHOWCASING NEW TECHNOLOGIES IN THE INDUSTRY. *COMMUNITY OWNED DAYCARE - ASSIST THE COMMUNITIES OF PARSHALL AND NEW TOWN TO DEVELOP COMMUNITY-OWNED DAY CARES. WE HAVE BROUGHT IN RESOURCE PROVIDERS FROM CHILD CARE RESOURCE AND REFERRAL TO DISCUSS THE AMENITIES AND CONSIDERATIONS NEEDED FOR LICENSED DAYCARE PROVIDERS. *REFINING CAPACITY STUDY--NDAREC RECEIVED A FEDERAL APPROPRIATION TO STUDY THE POTENTIAL FOR INCREASING REFINING CAPACITY IN ND. THIS STUDY WAS SUCCESSFULLY COMPLETED LAST YEAR, WITH THE FINAL REPORT ACCEPTED BY THE DEPARTMENT OF ENERGY LAST FALL. TO COMPLETE THIS WORK, THE STAFF SELECTED A STEERING COMMITTEE TO OVERSEE THE PROJECT, PREPARED A REQUEST FOR PROPOSALS AND SELECTED A CONSULTING GROUP - CORVAL GROUP, PURVIN & GERTZ AND MUSTANG ENGINEERING TO DO THE ACTUAL STUDY (CONDUCTED OVER TWO PHASES). FOR MOST OF 2010, CENTER STAFF WORKED WITH THE STEERING COMMITTEE AND THE CONSULTING GROUP TO MODIFY PHASE II OF THE STUDY BASED ON THE FINDINGS IN PHASE I.
(Code:   ) (Expenses $   including grants of $   ) (Revenue $   )
COMMUNICATIONS AND GOVERNMENT RELATIONS-STATE ISSUES/LEGISLATIVE PREPARATION: ATTENDED THREE MEETINGS OF THE EMPOWER COMMISSION, AND GAVE A PRESENTATION AT ONE OF THE MEETINGS REGARDING EFFORTS BY ELECTRIC CO-OPS TO PROMOTE ENERGY EFFICIENCY. HELD TWO LEGISLATIVE ADVISORY COMMITTEE MEETINGS TO DISCUSS 2011 LEGISLATIVE ISSUES. KEY ISSUES WILL LIKELY RELATE TO RENEWABLE ENERGY DEVELOPMENT, TAXATION, AND INFRASTRUCTURE NEEDS. REPRESENTED NORTH DAKOTA'S UTILITIES ON A CHILD SUPPORT ENFORCEMENT BUSINESS RELATIONS TASKFORCE ESTABLISHED BY THE LEGISLATURE TO PROVIDE BUSINESS INPUT TO THE CHILD ENFORCEMENT DIVISION OF THE DEPARTMENT OF HUMAN SERVICES. ALSO, WORKED WITH THE CHILD SUPPORT ENFORCEMENT DIVISION, NISC, AND OUR MEMBER CO-OPS TO DEVELOP A REVERSE MATCH SYSTEM TO PROVIDE IMPORTANT LOCATE AND CAPITAL CREDIT INTERCEPT INFORMATION FOR CHILD SUPPORT ENFORCEMENT WITHOUT COMPROMISING THE PRIVACY OF CO-OP CUSTOMER RECORDS. WORKED WITH THE STATE DEPARTMENT OF COMMERCE, OTHER UTILITIES, AND OUR MEMBERS TO DEVELOP AND TO SUCCESSFULLY APPLY FOR A UTILITY REBATE PROGRAM GRANT FOR $2.4 MILLION FOR CUSTOMER REBATES FOR ENERGY EFFICIENCY AND RENEWABLE ENERGY TECHNOLOGIES. NDAREC IS ADMINISTERING THE PROGRAM. THROUGH THE END OF THE YEAR (7 MONTHS OF A 19 MONTH PROGRAM), NDAREC HAS PAID OUT OVER $850,000 IN REBATES.-FEDERAL ISSUES: HELPED ORGANIZE NORTH DAKOTA'S PARTICIPATION IN NRECA'S LEGISLATIVE CONFERENCE, WHICH FOCUSED ON THE FOLLOWING ISSUES: INCREASING RUS LOAN AUTHORIZATION AND ELIMINATING RESTRICTIONS ON USE OF LOAN FUNDS; PROMOTING NEW RUS LOAN PROGRAM TO PROVIDE LENDING TO CO-OP CONSUMERS FOR MAJOR ENERGY EFFICIENCY IMPROVEMENTS; AND OPPOSING OR DELAYING EPA REGULATION OF GREENHOUSE GASES UNDER THE CLEAN AIR ACT* WORKED WITH NRECA, BASIN ELECTRIC AND OTHERS TO POSITION NORTH DAKOTA'S ELECTRIC COOPERATIVES TO ADDRESS CLIMATE CHANGE LEGISLATION IN THE MOST RESPONSIBLE MANNER POSSIBLE, AND TO ENSURE THAT SUCH LEGISLATION IS FAIR, AFFORDABLE AND ACHIEVABLE.* MAINTAINED CONTACT WITH CONGRESSIONAL STAFF ON OTHER ISSUES OF CONCERN TO ELECTRIC COOPERATIVES.* WORKED WITH NRECA AND OUR CO-OP MEMBERS ON FEDERAL REGULATORY ISSUES INCLUDING THE ENVIRONMENTAL PROTECTION AGENCY NATIONAL ENVIRONMENTAL STANDARD FOR HAZARDOUS AIR POLLUTION RELATING TO COMPRESSION IGNITION RECIPROCATING INTERNAL COMBUSTION ENGINES, THE EPA PROPOSAL TO FURTHER REGULATE COAL ASH, AND THE DEPARTMENT OF ENERGY ELECTRIC WATER HEATER RULE.MEMBER SERVICES:-PROFESSIONAL DEVELOPMENT SERVICES * THIRTEEN DISTRIBUTION COOPERATIVES AND ONE G&T PURCHASED PREPAID EDUCATION PLANS. REVENUE GENERATED: $77, 900. THIS EXCEEDED THE PROJECTED REVENUE GOAL OF $70,700. NDAREC DELIVERED THREE NRECA CREDENTIALED COOPERATIVE DIRECTOR (CCD) AND TWO BOARD LEADERSHIP (BL) COURSES.* THE NUMBER OF NORTH DAKOTA DIRECTORS EARNING THE NRECA CCD AND BL CERTIFICATES HAS INCREASED TO 85 DIRECTORS (61 PERCENT). THIS COMPARES TO 59.4 PERCENT AT THE END OF 2009. SEVENTEEN DIRECTORS (12 PERCENT) HAVE EARNED THE BL CERTIFICATE, WHICH COMPARES TO 8 PERCENT AT THIS SAME TIME LAST YEAR. NATIONWIDE, 60 PERCENT OF ELECTRIC COOPERATIVE DIRECTORS HOLD THE CCD CERTIFICATE AND 24 PERCENT HOLD THE BL CERTIFICATE. * IN FEBRUARY, NRECA BL #972.1, "ENERGY EFFICIENCY, CONSERVATION AND DEMAND RESPONSE IN TODAY'S COOPERATIVE," WAS HELD IN CONJUNCTION WITH THE N.D. MEMBER SERVICES ASSOCIATION WINTER MEETING. * IN MARCH, "VARIABLE SPEED DRIVES AND POWER QUALITY" AND "OPERATING LARGE HORSEPOWER MOTORS FROM SINGLE-PHASE LINES" WAS OFFERED IN CONJUNCTION WITH THE ANNUAL N.D. ENGINEERING AND OPERATIONS CONFERENCE. * TWO EMPLOYEE WORKSHOPS, "E-MAIL STRESS: MANAGING THE MESS" AND "GIVE 'EM THE PICKLE," WERE RESCHEDULED AND DELIVERED. * TOTAL ENROLLMENT FOR THE 2010 MENU OF EDUCATION PROGRAMS: 306 REGISTRANTS. THIS COMPARES TO 273 IN 2009.MEETING, CONFERENCE AND SPECIAL EVENTS PLANNING: MEETING AND CONFERENCE PLANNING FOR THREE REC EMPLOYEE ASSOCIATIONS INCLUDED THE WINTER AND SUMMER MEETINGS OF THE REC MEMBER SERVICES ASSOCIATION, THE ANNUAL CONFERENCE FOR THE REC ENGINEERING AND OPERATIONS ASSOCIATION, AND THE ANNUAL MEETING FOR THE REC OFFICE MANAGERS AND ACCOUNTANTS ASSOCIATION MEETING. * HELPED PLAN AND PROMOTE THE ANNUAL REPAC/PAC-T GOLF FUNDRAISER. SEVENTY-NINE PEOPLE PARTICIPATED IN THE GOLF TOURNAMENT, REPRESENTING 15 RECS, 4 RTCS AND 7 NDAREC ASSOCIATE MEMBERS.* ADMINISTERED THE ANNUAL NDAREC AWARDS PROGRAM. THIS ENTAILED PROMOTING PARTICIPATION BY MEMBER- COOPERATIVES AND EMPLOYEE ASSOCIATIONS, COORDINATING THE SELECTION PROCESS AND DEVELOPING THE RECOGNITION PROGRAM FOR THE ANNUAL MEMBERSHIP MEETING.ASSOCIATE MEMBER PROGRAM:* THE NDAREC ASSOCIATE MEMBER PROGRAM IS IN ITS 10TH YEAR, AND HAS GROWN FROM 54 MEMBERS AND A NON-DUES REVENUE STREAM OF $13,500 TO 70 MEMBERS AND A NON-DUES REVENUE STREAM OF $30,750. YOUTH TOUR:* THIRTEEN COOPERATIVES PARTICIPATED IN THE NATIONAL YOUTH TOUR PROGRAM TO LEARN ABOUT ELECTRIC COOPERATIVES, AMERICAN HISTORY AND U.S. GOVERNMENT. THEY JOINED UP WITH 25 YOUTH TOUR PARTICIPANTS FROM MONTANA AND ONE FROM IDAHO, JUNE 12 TO 18 IN WASHINGTON, D.C. THE TOUR ATTRACTED 1,510 STUDENTS. NORTH DAKOTA STUDENTS ALSO VISITED WITH SEN. DORGAN, SEN. CONRAD AND REP. POMEROY AS PART OF THE SCHEDULED ACTIVITIES.
4d Other program services. (Describe in Schedule O.)
(Expenses $   including grants of $   ) (Revenue $   )
4e Total program service expensesMediumBullet$  
Form 990 (2010)
Form 990 (2010)
Page 3
Part IV
Checklist of Required Schedules
Yes
No
1
Is the organization described in section 501(c)(3) or 4947(a)(1) (other than a private foundation)? If “Yes,” complete Schedule A.....................
1
 
No
2
Is the organization required to complete Schedule B, Schedule of Contributors? Click to see attachment........
2
Yes
 
3
Did the organization engage in direct or indirect political campaign activities on behalf of or in opposition to candidates for public office? If “Yes,” complete Schedule C, Part IClick to see attachment..........
3
Yes
 
4
Section 501(c)(3) organizations. Did the organization engage in lobbying activities? If “Yes,” complete Schedule C,
Part II.........................
4
 
 
5
Is the organization a section 501(c)(4), 501(c)(5), or 501(c)(6) organization that receives membership dues, assessments, or similar amounts as defined in Revenue Procedure 98-19? If “Yes,” complete Schedule C, Part IIIClick to see attachment........................
5
Yes
 
6
Did the organization maintain any donor advised funds or any similar funds or accounts where donors have the right to provide advice on the distribution or investment of amounts in such funds or accounts? If “Yes,” complete
Schedule D, Part IClick to see attachment.......................
6
 
No
7
Did the organization receive or hold a conservation easement, including easements to preserve open space,
the environment, historic land areas or historic structures? If “Yes,” complete Schedule D, Part IIClick to see attachment...
7
 
No
8
Did the organization maintain collections of works of art, historical treasures, or other similar assets? If “Yes,” complete Schedule D, Part III Click to see attachment....................
8
 
No
9
Did the organization report an amount in Part X, line 21; serve as a custodian for amounts not listed in Part X; or provide credit counseling, debt management, credit repair, or debt negotiation services? If “Yes,”
complete Schedule D, Part IVClick to see attachment...................
9
Yes
 
10
Did the organization, directly or through a related organization, hold assets in term, permanent,or quasi-endowments? If “Yes,” complete Schedule D, Part VClick to see attachment
10
 
No
11
If the organization’s answer to any of the following questions is ‘Yes,’ then complete Schedule D, Parts VI, VII, VIII, IX, or X as applicable:
a
Did the organization report an amount for land, buildings, and equipment in Part X, line10? If “Yes,” complete Schedule D, Part VI.Click to see attachment
11a
Yes
 
b
Did the organization report an amount for investments—other securities in Part X, line 12 that is 5% or more of its total assets reported in Part X, line 16? If “Yes,” complete Schedule D, Part VII.Click to see attachment
11b
 
No
c
Did the organization report an amount for investments—program related in Part X, line 13 that is 5% or more of its total assets reported in Part X, line 16? If “Yes,” complete Schedule D, Part VIII.Click to see attachment
11c
 
No
d
Did the organization report an amount for other assets in Part X, line 15 that is 5% or more of its total assets reported in Part X, line 16? If “Yes,” complete Schedule D, Part IX.Click to see attachment
11d
 
No
e
Did the organization report an amount for other liabilities in Part X, line 25? If “Yes,” complete Schedule D, Part X.Click to see attachment
11e
 
No
f
Did the organization’s separate or consolidated financial statements for the tax year include a footnote that addresses the organization’s liability for uncertain tax positions under FIN 48 (ASC 740)? If “Yes,” complete Schedule D, Part X.Click to see attachment
11f
Yes
 
12a
Did the organization obtain separate, independent audited financial statements for the tax year? If “Yes,” complete Schedule D, Parts XI, XII, and XIII Click to see attachment
12a
Yes
 
b
Was the organization included in consolidated, independent audited financial statements for the tax year? If “Yes,” and if the organization answered ‘No’ to line 12a, then completing Schedule D, Parts XI, XII, and XIII is optional Click to see attachment
12b
 
No
13
Is the organization a school described in section 170(b)(1)(A)(ii)? If “Yes,” complete Schedule E
13
 
No
14a
Did the organization maintain an office, employees, or agents outside of the United States?....
14a
 
No
b
Did the organization have aggregate revenues or expenses of more than $10,000 from grantmaking, fundraising, business, and program service activities outside the United States? If “Yes,” complete Schedule F, Part I.........
14b
 
No
15
Did the organization report on Part IX, column (A), line 3, more than $5,000 of grants or assistance to any organization or entity located outside the U.S.? If “Yes,” complete Schedule F, Part II..
15
 
No
16
Did the organization report on Part IX, column (A), line 3, more than $5,000 of aggregate grants or assistance to individuals located outside the U.S.? If “Yes,” complete Schedule F, Part III..
16
 
No
17
Did the organization report a total of more than $15,000, of expenses for professional fundraising services on Part IX, column (A), lines 6 and 11e? If “Yes,” complete Schedule G, Part I
17
 
No
18
Did the organization report more than $15,000 total of fundraising event gross income and contributions on Part VIII, lines 1c and 8a? If “Yes,” complete Schedule G, Part II..........
18
 
No
19
Did the organization report more than $15,000 of gross income from gaming activities on Part VIII, line 9a? If “Yes,” complete Schedule G, Part III...................
19
 
No
Form 990 (2010)
Form 990 (2010)
Page 4
Part IV
Checklist of Required Schedules (continued)
20a
Did the organization operate one or more hospitals? If “Yes,” complete Schedule H.....
20a
 
No
b
Did the organization attach its audited financial statement to this return? Note: All Form 990 filers that operate one or more hospitals must attach audited financial statements. .....
20b
 
 
21
Did the organization report more than $5,000 of grants and other assistance to governments and organizations in the United States on Part IX, column (A), line 1? If “Yes,” complete Schedule I, Parts I and II..
21
 
No
22
Did the organization report more than $5,000 of grants and other assistance to individuals in the United States on Part IX, column (A), line 2? If “Yes,” complete Schedule I, Parts I and III.....
22
 
No
23
Did the organization answer “Yes” to Part VII, Section A, questions 3, 4, or 5, about compensation of the organization’s current and former officers, directors, trustees, key employees, and highest compensated employees? If “Yes,” complete Schedule J................ Click to see attachment
23
Yes
 
24a
Did the organization have a tax-exempt bond issue with an outstanding principal amount of more than $100,000 as of the last day of the year, that was issued after December 31, 2002? If “Yes,” answer questions 24b–24d and complete Schedule K. If “No,” go to line 25................
24a
 
No
b
Did the organization invest any proceeds of tax-exempt bonds beyond a temporary period exception?...
24b
 
 
c
Did the organization maintain an escrow account other than a refunding escrow at any time during the year
to defease any tax-exempt bonds?......................
24c
 
 
d
Did the organization act as an “on behalf of” issuer for bonds outstanding at any time during the year?...
24d
 
 
25a
Section 501(c)(3) and 501(c)(4) organizations. Did the organization engage in an excess benefit transaction with a disqualified person during the year? If “Yes,” complete Schedule L, Part I......
25a
 
 
b
Is the organization aware that it engaged in an excess benefit transaction with a disqualified person in a prior year, and that the transaction has not been reported on any of the organization’s prior Forms 990 or 990-EZ? If “Yes,” complete Schedule L, Part I................
25b
 
 
26
Was a loan to or by a current or former officer, director, trustee, key employee, highly compensated employee, or disqualified person outstanding as of the end of the organization’s tax year? If “Yes,” complete Schedule L,
Part II...........................
26
 
No
27
Did the organization provide a grant or other assistance to an officer, director, trustee, key employee, substantial contributor, or a grant selection committee member, or to a person related to such an individual? If “Yes,” complete Schedule L, Part III...............
27
 
No
28
Was the organization a party to a business transaction with one of the following parties? (see Schedule L, Part IV instructions for applicable filing thresholds, conditions, and exceptions):
a
A current or former officer, director, trustee, or key employee? If “Yes,” complete Schedule L, Part IV .........................
28a
 
No
b
A family member of a current or former officer, director, trustee, or key employee? If “Yes,”
complete Schedule L, Part IV...................
28b
 
No
c
An entity of which a current or former officer, director, trustee, or key employee (or a family member thereof) was an officer, director, trustee, or owner? If “Yes,” complete Schedule L, Part IV..
28c
 
No
29
Did the organization receive more than $25,000 in non-cash contributions? If “Yes,” complete Schedule M
29
 
No
30
Did the organization receive contributions of art, historical treasures, or other similar assets, or qualified conservation contributions? If “Yes,” complete Schedule M............
30
 
No
31
Did the organization liquidate, terminate, or dissolve and cease operations? If “Yes,” complete Schedule N,
Part I...........................
31
 
No
32
Did the organization sell, exchange, dispose of, or transfer more than 25% of its net assets? If “Yes,” complete Schedule N, Part II.......................
32
 
No
33
Did the organization own 100% of an entity disregarded as separate from the organization under Regulations sections 301.7701-2 and 301.7701-3? If “Yes,” complete Schedule R, Part I........ Click to see attachment
33
 
No
34
Was the organization related to any tax-exempt or taxable entity? If “Yes,” complete Schedule R, Parts II, III, IV, and V, line 1..................... Click to see attachment
34
Yes
 
35
Is any related organization a controlled entity within the meaning of section 512(b)(13)? .....
35
 
No
a
Did the organization receive any payment from or engage in any transaction with a controlled entity within the meaning of section 512(b)(13)? If “Yes,” complete Schedule R, Part V, line 2... Click to see attachment
36
Section 501(c)(3) organizations. Did the organization make any transfers to an exempt non-charitable related organization? If “Yes,” complete Schedule R, Part V, line 2...........
36
 
 
37
Did the organization conduct more than 5% of its activities through an entity that is not a related organization and that is treated as a partnership for federal income tax purposes? If “Yes,” complete Schedule R, Part VIClick to see attachment
37
 
No
38
Did the organization complete Schedule O and provide explanations in Schedule O for Part VI, lines 11 and 19? Note. All Form 990 filers are required to complete Schedule O. ............
38
Yes
 
Form 990 (2010)
Form 990 (2010)
Page 5
Part V
Statements Regarding Other IRS Filings and Tax Compliance
Check if Schedule O contains a response to any question in this Part V . . . . . . . . . .
Yes
No
1a
Enter the number reported in Box 3 of Form 1096. Enter -0- if not applicable. .......
1a
60
b
Enter the number of Forms W-2G included in line 1a. Enter -0- if not applicable.
1b
0
c
Did the organization comply with backup withholding rules for reportable payments to vendors and reportable gaming (gambling) winnings to prize winners? ..................
1c
Yes
 
2a
Enter the number of employees reported on Form W-3, Transmittal of Wage and Tax Statements filed for the calendar year ending with or within the year covered by this return .....................
2a
25
b
If at least one is reported on line 2a, did the organization file all required federal employment tax returns?

Note. If the sum of lines 1a and 2a is greater than 250, you may be required to e-file. (see instructions)
2b
Yes
 
3a
Did the organization have unrelated business gross income of $1,000 or more during the year?.............................
3a
Yes
 
b
If “Yes,” has it filed a Form 990-T for this year? If “No,” provide an explanation in Schedule O.....
3b
Yes
 
4a
At any time during the calendar year, did the organization have an interest in, or a signature or other authority over, a financial account in a foreign country (such as a bank account or securities account)?.......................
4a
 
No
b
If "Yes," enter the name of the foreign country: MediumBullet
See instructions for filing requirements for Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts.
5a
Was the organization a party to a prohibited tax shelter transaction at any time during the tax year?..
5a
 
No
b
Did any taxable party notify the organization that it was or is a party to a prohibited tax shelter transaction?
5b
 
No
c
If “Yes” to line 5a or 5b, did the organization file Form 8886-T? ........
5c
 
 
6a
Does the organization have annual gross receipts that are normally greater than $100,000, and did the organization solicit any contributions that were not tax deductible?..........
6a
 
No
b
If “Yes,” did the organization include with every solicitation an express statement that such contributions or gifts were not tax deductible?........................
6b
 
 
7
Organizations that may receive deductible contributions under section 170(c).
a
Did the organization receive a payment in excess of $75 made partly as a contribution and partly for goods and services provided to the payor?....................
7a
 
 
b
If “Yes,” did the organization notify the donor of the value of the goods or services provided?.....
7b
 
 
c
Did the organization sell, exchange, or otherwise dispose of tangible personal property for which it was required to file Form 8282?...........................
7c
 
 
d
If “Yes,” indicate the number of Forms 8282 filed during the year ....
7d
 
e
Did the organization receive any funds, directly or indirectly, to pay premiums on a personal benefit contract?..........................
7e
 
 
f
Did the organization, during the year, pay premiums, directly or indirectly, on a personal benefit contract?..
7f
 
 
g
If the organization received a contribution of qualified intellectual property, did the organization file Form 8899 as required?...................
7g
 
 
h
If the organization received a contribution of cars, boats, airplanes, or other vehicles, did the organization file a Form 1098-C?...............
7h
 
 
8
Sponsoring organizations maintaining donor advised funds and section 509(a)(3) supporting organizations. Did the supporting organization, or a donor advised fund maintained by a sponsoring organization, have excess business holdings at any time during the year?................
8
 
 
9
Sponsoring organizations maintaining donor advised funds.
a
Did the organization make any taxable distributions under section 4966?.........
9a
 
 
b
Did the organization make a distribution to a donor, donor advisor, or related person?......
9b
 
 
10
Section 501(c)(7) organizations. Enter:
a
Initiation fees and capital contributions included on Part VIII, line 12 ...
10a
 
b
Gross receipts, included on Form 990, Part VIII, line 12, for public use of club facilities
10b
 
11
Section 501(c)(12) organizations. Enter:
a
Gross income from members or shareholders .........
11a
 
b
Gross income from other sources (Do not net amounts due or paid to other sources against amounts due or received from them.) ........
11b
 
12a
Section 4947(a)(1) non-exempt charitable trusts. Is the organization filing Form 990 in lieu of Form 1041?
12a
 
 
b
If “Yes,” enter the amount of tax-exempt interest received or accrued during the year.
12b
 
13
Section 501(c)(29) qualified nonprofit health insurance issuers.
a
Is the organization licensed to issue qualified health plans in more than one state?
Note. All 501(c)(29) organizations must list in Schedule O each state in which they are licensed to issue qualified health plans, the amount of reserves required by each state, and the amount of reserves the organization allocated to each state.
13a
 
 
b
Enter the aggregate amount of reserves the organization is required to maintain by the states in which the organization is licensed to issue qualified health plans.
13b
 
c
Enter the aggregate amount of reserves on hand.
13c
 
14a
Did the organization receive any payments for indoor tanning services during the tax year?.....
14a
 
 
b
If "Yes," has it filed a Form 720 to report these payments? If “No,” provide an explanation in Schedule O..
14b
 
 
Form 990 (2010)
Form 990 (2010)
Page 6
Part VI
Governance, Management, and Disclosure For each “Yes” response to lines 2 through 7b below, and for a “No” response to lines 8a, 8b, or 10b below, describe the circumstances, processes, or changes in Schedule O. See instructions.
Check if Schedule O contains a response to any question in this Part VI . . . . . . . . . .
Section A. Governing Body and Management
Yes
No
1a
Enter the number of voting members of the governing body at the end of the tax year ..............
1a
21
b
Enter the number of voting members included in line 1a, above, who are independent .................
1b
21
2
Did any officer, director, trustee, or key employee have a family relationship or a business relationship with any other officer, director, trustee, or key employee? .................
2
 
No
3
Did the organization delegate control over management duties customarily performed by or under the direct supervision of officers, directors or trustees, or key employees to a management company or other person? ..
3
 
No
4
Did the organization make any significant changes to its governing documents since the prior Form 990 was filed?
4
 
No
5
Did the organization become aware during the year of a significant diversion of the organization’s assets? .
5
 
No
6
Does the organization have members or stockholders? ................
6
Yes
 
7a
Does the organization have members, stockholders, or other persons who may elect one or more members of the governing body? .........................
7a
Yes
 
b
Are any decisions of the governing body subject to approval by members, stockholders, or other persons? ..
7b
 
No
8
Did the organization contemporaneously document the meetings held or written actions undertaken during the year by the following:
a
The governing body? .........................
8a
Yes
 
b
Each committee with authority to act on behalf of the governing body? ............
8b
Yes
 
9
Is there any officer, director, trustee, or key employee listed in Part VII, Section A, who cannot be reached at the organization’s mailing address? If “Yes,” provide the names and addresses in Schedule O .....
9
 
No
Section B. Policies (This Section B requests information about policies not required by the Internal
Revenue Code.)
Yes
No
10a
Does the organization have local chapters, branches, or affiliates? ............
10a
 
No
b
If “Yes,” does the organization have written policies and procedures governing the activities of such chapters, affiliates, and branches to ensure their operations are consistent with those of the organization? ....
10b
 
 
11a
Has the organization provided a copy of this Form 990 to all members of its governing body before filing the form?
11a
Yes
 
b
Describe in Schedule O the process, if any, used by the organization to review the Form 990. .....
12a
Does the organization have a written conflict of interest policy? If “No,” go to line 13.......
12a
Yes
 
b
Are officers, directors or trustees, and key employees required to disclose annually interests that could give rise to conflicts? ...........................
12b
Yes
 
c
Does the organization regularly and consistently monitor and enforce compliance with the policy? If “Yes,” describe in Schedule O how this is done ....................
12c
Yes
 
13
Does the organization have a written whistleblower policy? ...............
13
Yes
 
14
Does the organization have a written document retention and destruction policy? .........
14
Yes
 
15
Did the process for determining compensation of the following persons include a review and approval by independent persons, comparability data, and contemporaneous substantiation of the deliberation and decision?
a
The organization’s CEO, Executive Director, or top management official ...........
15a
Yes
 
b
Other officers or key employees of the organization ................
15b
Yes
 
If "Yes" to line a or b, describe the process in Schedule O. (See instructions.)
16a
Did the organization invest in, contribute assets to, or participate in a joint venture or similar arrangement with a taxable entity during the year? ......................
16a
 
No
b
If “Yes,” has the organization adopted a written policy or procedure requiring the organization to evaluate its participation in joint venture arrangements under applicable federal tax law, and taken steps to safeguard the organization’s exempt status with respect to such arrangements? ............
16b
 
 
Section C. Disclosure
17
List the States with which a copy of this Form 990 is required to be filedMediumBullet
18
Section 6104 requires an organization to make its Form 1023 (or 1024 if applicable), 990, and 990-T (501(c)(3)s only) available for public inspection. Indicate how you make these available. Check all that apply.
19
Describe in Schedule O whether (and if so, how), the organization makes its governing documents, conflict of interest policy, and financial statements available to the public.
20
State the name, physical address, and telephone number of the person who possesses the books and records of the organization: MediumBullet
JANE PORTER
3201 NYGREN DRIVE
MANDAN,ND58554
(701) 667-6417
Form 990 (2010)
Form 990 (2010)
Page 7
Part VII
Compensation of Officers, Directors,Trustees, Key Employees, Highest Compensated Employees, and Independent Contractors
Check if Schedule O contains a response to any question in this Part VII . . . . . . . . . .
Section A. Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees
1a Complete this table for all persons required to be listed. Report compensation for the calendar year ending with or within the organization’s tax year.
RoundBullet List all of the organization’s current officers, directors, trustees (whether individuals or organizations), regardless of amount
of compensation, and current key employees. Enter -0- in columns (D), (E), and (F) if no compensation was paid.

RoundBullet List all of the organization’s current key employees, if any. See instructions for definition of "key employee."
RoundBullet List the organization’s five current highest compensated employees (other than an officer, director, trustee or key employee)
who received reportable compensation (Box 5 of Form W-2 and/or Box 7 of Form 1099-MISC) of more than $100,000 from the
organization and any related organizations.

RoundBullet List all of the organization’s former officers, key employees, or highest compensated employees who received more than $100,000
of reportable compensation from the organization and any related organizations.

RoundBullet List all of the organization’s former directors or trustees that received, in the capacity as a former director or trustee of the
organization, more than $10,000 of reportable compensation from the organization and any related organizations.

List persons in the following order: individual trustees or directors; institutional trustees; officers; key employees; highest
compensated employees; and former such persons.
Check this box if neither the organization nor any related organizations compensated any current or former officer, director, or trustee.
(A)
Name and Title 		(B)
Average hours per week (describe hours for related organizations in Schedule O) 		(C)
Position (check all that apply) 		(D)
Reportable compensation from the organization (W- 2/1099-MISC) 		(E)
Reportable compensation from related organizations (W- 2/1099-MISC) 		(F)
Estimated amount of other compensation from the organization and related organizations
Individual Trustee or Director; Institutional Trustee; Officer; Key Employee; Highest compensated employee; Former;
(1) ROBERT GRANT
PRESIDENT
 10.00 X   X       9,825 0 0
(2) DONALD LINK
VICE PRESIDENT
 8.00 X   X       1,125 0 0
(3) CHRISTINE PETERSON
TREASURER
 6.00 X   X       1,125 0 0
(4) RUSSELL BERG
SECRETARY
 4.00 X   X       750 0 0
(5) LYNN JACOBSON
DIRECTOR
 3.00 X           125 0 0
(6) DAVID LIUSKA
DIRECTOR
 2.00 X           125 0 0
(7) OWEN GOESER
DIRECTOR
 4.00 X           0 0 0
(8) RON KINZLER
DIRECTOR
 2.00 X           0 0 0
(9) DEL SAYLER
DIRECTOR
 3.00 X           125 0 0
(10) MILTON BRANDNER
DIRECTOR
 2.00 X           250 0 0
(11) JOE DUNN
DIRECTOR
 3.00 X           0 0 0
(12) LEE MCLAUGHLIN
DIRECTOR
 4.00 X           0 0 0
(13) RUSSELL CARLSON
DIRECTOR
 5.00 X           0 0 0
(14) LAUREN KLEWIN
DIRECTOR
 2.00 X           250 0 0
(15) CLIFF GJELLSTAD
DIRECTOR
 2.00 X           0 0 0
(16) DOUG GEIER
DIRECTOR
 2.00 X           0 0 0
(17) DON HOLL
DIRECTOR
 5.00 X           0 0 0
Form 990 (2010)
Form 990 (2010)
Page 8
Part VII
Section A. Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees (continued)
(A)
Name and Title 		(B)
Average hours per week (describe hours for related organizations in Schedule O) 		(C)
Position (check all that apply) 		(D)
Reportable compensation from the organization (W- 2/1099-MISC) 		(E)
Reportable compensation from related organizations (W- 2/1099-MISC) 		(F)
Estimated amount of other compensation from the organization and related organizations
Individual Trustee or Director; Institutional Trustee; Officer; Key Employee; Highest compensated employee; Former;
(18) HARVEY TALLACKSON
DIRECTOR
 4.00 X           0 0 0
(19) DAVID SIGLOH
DIRECTOR
 3.00 X           0 0 0
(20) DOUG LUND
DIRECTOR
 3.00 X           0 0 0
(21) DAN PRICE
DIRECTOR
 2.00 X           0 0 0
(22) ERVIN MUND
DIRECTOR
 2.00 X           0 0 0
(23) HENRY HANSON
DIRECTOR
 2.00 X           0 0 0
(24) ROBERT HUETHER
DIRECTOR
 2.00 X           0 0 0
(25) RALPH BIRDSALL
DIRECTOR
 4.00 X           125 0 0
(26) DENNIS HILL
EXECUTIVE VP & GEN MGR
 44.00     X       166,211 0 116,024
(27) JANE PORTER
FINANCE DIRECTOR
 38.00     X       62,643 0 22,667
(28) HARLAN FUGLESTEN
COMMUNIC. & GOV. RELATIONS
 43.00         X   121,546 0 47,213




1b Sub-Total................MediumBullet
c Total from continuation sheets to Part VII, Section A....MediumBullet
d Total (add lines 1b and 1c)............MediumBullet 364,225 0 185,904
2
Total number of individuals (including but not limited to those listed above) who received more than $100,000 in reportable compensation from the organizationMediumBullet2
Yes
No
3
Did the organization list any former officer, director or trustee, key employee, or highest compensated employee on line 1a? If “Yes,” complete Schedule J for such individual .............
3
 
No
4
For any individual listed on line 1a, is the sum of reportable compensation and other compensation from the organization and related organizations greater than $150,000? If “Yes,” complete Schedule J for such individual...........................
4
Yes
 
5
Did any person listed on line 1a receive or accrue compensation from any unrelated organization or individual for services rendered to the organization? If “Yes,” complete Schedule J for such person .....
5
 
No
Section B. Independent Contractors
1
Complete this table for your five highest compensated independent contractors that received more than $100,000 of compensation from the organization.
(A)
Name and business address 		(B)
Description of services 		(C)
Compensation
CORVAL GROUP
1633 EUSTIS STREET
ST PAUL,MN55108 		ND REFINERY STUDY 414,000
FORUM COMMUNICATIONS PRINTING
4601 16TH AVE N
FARGO,ND58107 		PRINTING OF MONTHLY MAGAZINE 355,093
2
Total number of independent contractors (including but not limited to those listed above) who received more than $100,000 in compensation from the organization MediumBullet2
Form 990 (2010)
Form 990 (2010)
Page 9
Part VIII
Statement of Revenue
(A)
Total revenue 		(B)
Related or
exempt
function
revenue 		(C)
Unrelated
business
revenue 		(D)
Revenue
excluded from
tax under sections
512, 513, or 514
Contributions, gifts, grants and other similar amounts 1a Federated campaigns..1a  
b Membership dues....1b 1,491,595
c Fundraising events....1c  
d Related organizations...1d  
e Government grants (contributions)1e 1,556,204
f All other contributions, gifts, grants, and
similar amounts not included above1f 		45,892
g Noncash contributions included in lines 1a-1f:$  
h Total. Add lines 1a-1f.......MediumBullet 3,093,691
Program Service Revenue Business Code
2a MAGAZINE SUBSCRIPTIONS 541,800 663,149 663,149    
b CONTRACT SERVICES 541,900 217,990   217,990  
c FEES FOR SEMINARS 611,600 136,290 136,290    
d EDUCATIONAL SERVICES 611,600 64,774 64,774    
e MISCELLANEOUS 900,099 53,660 45,017 8,643  
f All other program service revenue . 35,857 56,984 -21,127  
g Total. Add lines 2a–2f........MediumBullet 1,171,720
Other Revenue 3 Investment income (including dividends, interest
and other similar amounts).....MediumBullet 48,347     48,347
4 Income from investment of tax-exempt bond proceeds..MediumBullet        
5 Royalties............MediumBullet        
(i) Real (ii) Personal
6a Gross Rents 58,084  
b Less: rental expenses 30,995  
c Rental income or (loss) 27,089  
d Net rental income or (loss).......MediumBullet 27,089     27,089
(i) Securities (ii) Other
7a Gross amount from sales of assets other than inventory 635,000  
b Less: cost or other basis and sales expenses 645,000  
c Gain or (loss) -10,000  
d Net gain or (loss)..........MediumBullet -10,000     -10,000
8a Gross income from fundraising events (not including
$  
of contributions reported on line 1c). See Part IV, line 18 ...
a  
b Less: direct expenses ...b  
c Net income or (loss) from fundraising events..MediumBullet      
9a Gross income from gaming activities.
See Part IV, line 19 ...
a  
b Less: direct expenses ...b  
c Net income or (loss) from gaming activities...MediumBullet        
10a Gross sales of inventory, less
returns and allowances .
a  
b Less: cost of goods sold ..b  
c Net income or (loss) from sales of inventory..MediumBullet        
Miscellaneous Revenue Business Code
11a            
b            
c            
d All other revenue ....        
e Total. Add lines 11a–11d ......MediumBullet  
12 Total revenue. See Instructions....MediumBullet 4,330,847 966,214 205,506 65,436
Form 990 (2010)
Form 990 (2010)
Page 10
Part IX
Statement of Functional Expenses
Section 501(c)(3) and 501(c)(4) organizations must complete all columns. All other organizations must complete column (A) but are not required to complete columns (B), (C), and (D).
Do not include amounts reported on lines 6b,
7b, 8b, 9b, and 10b of Part VIII. 		(A)
Total expenses 		(B)
Program service expenses 		(C)
Management and general expenses 		(D)
Fundraising expenses
1 Grants and other assistance to governments and organizations in the U.S. See Part IV, line 21    
2 Grants and other assistance to individuals in the U.S. See Part IV, line 22    
3 Grants and other assistance to governments, organizations, and individuals outside the U.S. See Part IV, lines 15 and 16    
4 Benefits paid to or for members    
5 Compensation of current officers, directors, trustees, and key employees .... 325,062      
6 Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....        
7 Other salaries and wages 670,056      
8 Pension plan contributions (include section 401(k) and section 403(b) employer contributions) .... 180,621      
9 Other employee benefits ....... 128,201      
10 Payroll taxes ........... 63,493      
11 Fees for services (non-employees):        
a Management ......        
b Legal .........        
c Accounting ........... 11,475      
d Lobbying ...........        
e Professional fundraising. See Part IV, line 17..    
f Investment management fees ......        
g Other .......... 414,010      
12 Advertising and promotion .... 26,497      
13 Office expenses ....... 72,957      
14 Information technology ......        
15 Royalties ..        
16 Occupancy ........... 73,429      
17 Travel ............ 72,752      
18 Payments of travel or entertainment expenses for any federal, state, or local public officials ......        
19 Conferences, conventions, and meetings .... 79,263      
20 Interest ........... 78      
21 Payments to affiliates .......        
22 Depreciation, depletion, and amortization ..... 108,233      
23 Insurance .............. 12,195      
24 Other expenses. Itemize expenses not covered above. (Expenses grouped together and labeled miscellaneous may not exceed 5% of total expenses shown on line 25 below.)
a UTILITY REBATE EXPENSES 858,566      
b MAGAZINE READERSHIP EXP 646,892      
c RURAL DEVEL GRANT EXP 203,697      
d ND DAIRY COALITION 116,696      
e WORKSHOPS & RELATED EXP 58,282      
f All other expenses 77,335      
25 Total functional expenses. Add lines 1 through 24f 4,199,790      
26 Joint costs. Check here MediumBullet if following
SOP 98-2 (ASC 958-720). Complete this line only if the organization reported in column (B) joint costs from a combined educational campaign and fundraising solicitation 		       
Form 990 (2010)
Form 990 (2010)
Page 11
Part X Balance Sheet
(A)
Beginning of year 		(B)
End of year
Assets 1 Cash—non-interest-bearing .......... 127,459 1  
2 Savings and temporary cash investments ....... 75,228 2 12,513
3 Pledges and grants receivable, net ......... 43,011 3 16,617
4 Accounts receivable, net ......... 75,762 4 231,980
5 Receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of
Schedule L ..........   5  
6 Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B). Complete Part II of
Schedule L ..........   6  
7 Notes and loans receivable, net .............   7  
8 Inventories for sale or use ..............   8  
9 Prepaid expenses and deferred charges ............ 1,830 9 251,768
10a Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D 10a 3,397,109
b Less: accumulated depreciation. ..... 10b 2,309,712 1,099,407 10c 1,087,397
11 Investments—publicly traded securities .......... 338 11 338
12 Investments—other securities. See Part IV, line 11 ...... 1,089,235 12 1,034,186
13 Investments—program-related. See Part IV, line 11 ..   13  
14 Intangible assets .........   14  
15 Other assets. See Part IV, line 11 ........... 7,886 15 11,616
16 Total assets. Add lines 1 through 15 (must equal line 34)... 2,520,156 16 2,646,415
Liabilities 17 Accounts payable and accrued expenses . 308,129 17 329,184
18 Grants payable ..........   18  
19 Deferred revenue .......... 58,727 19 75,801
20 Tax-exempt bond liabilities ..........   20  
21 Escrow or custodial account liability. Complete Part IV of Schedule D.. 36,874 21 58,362
22 Payables to current and former officers, directors, trustees, key
employees, highest compensated employees, and disqualified
persons. Complete Part II of Schedule L..........   22  
23 Secured mortgages and notes payable to unrelated third parties ..   23  
24 Unsecured notes and loans payable to unrelated third parties .... 39,415 24  
25 Other liabilities. Complete Part X of Schedule D..... 100,000 25 75,000
26 Total liabilities. Add lines 17 through 25..... 543,145 26 538,347
Net Assets or Fund Balance Organizations that follow SFAS 117, check here MediumBullet and complete lines 27 through 29, and lines 33 and 34.
27 Unrestricted net assets .....   27  
28 Temporarily restricted net assets .....   28  
29 Permanently restricted net assets .....   29  
Organizations that do not follow SFAS 117, check here MediumBullet and complete lines 30 through 34.
30 Capital stock or trust principal, or current funds ..... 0 30 0
31 Paid-in or capital surplus, or land, building or equipment fund ..... 0 31 0
32 Retained earnings, endowment, accumulated income, or other funds 1,977,011 32 2,108,068
33 Total net assets or fund balances ..... 1,977,011 33 2,108,068
34 Total liabilities and net assets/fund balances ..... 2,520,156 34 2,646,415
Form 990 (2010)
Form 990 (2010)
Page 12
Part XI
Reconcilliation of Net Assets
Check if Schedule O contains a response to any question in this Part XI . . . . . . . . . .
1
Total revenue (must equal Part VIII, column (A), line 12) . . .
1
4,330,847
2
Total expenses (must equal Part IX, column (A), line 25) . . . . .
2
4,199,790
3
Revenue less expenses. Subtract line 2 from line 1 . . . .
3
131,057
4
Net assets or fund balances at beginning of year (must equal Part X, line 33, column (A)) . .
4
1,977,011
5
Other changes in net assets or fund balances (explain in Schedule O) . . . .
5
 
6
Net assets or fund balances at end of year. Combine lines 3, 4, and 5 (must equal Part X, line 33, column (B)) . . . . . .
6
2,108,068
Part XII
Financial Statements and Reporting
Check if Schedule O contains a response to any question in this Part XII . . . . . . . . . .
Yes
No
1
Accounting method used to prepare the Form 990:  
If the organization changed its method of accounting from a prior year or checked "Other," explain in
Schedule O.
2a
Were the organization’s financial statements compiled or reviewed by an independent accountant?..
2a
 
No
b
Were the organization’s financial statements audited by an independent accountant?........
2b
Yes
 
c
If “Yes,” to 2a or 2b, does the organization have a committee that assumes responsibility for oversight of the audit, review, or compilation of its financial statements and selection of an independent accountant?
If the organization changed either its oversight process or selection process during the tax year, explain in Schedule O............................
2c
Yes
 
d
If “Yes” to line 2a or 2b, check a box below to indicate whether the financial statements for the year were issued on a separate basis, consolidated basis, or both:
3a
As a result of a federal award, was the organization required to undergo an audit or audits as set forth in the Single Audit Act and OMB Circular A-133? ................
3a
Yes
 
b
If “Yes,” did the organization undergo the required audit or audits? If the organization did not undergo the required audit or audits, explain why in Schedule O and describe any steps taken to undergo such audits. ..
3b
Yes
 
Form 990 (2010)
Additional Data


Software ID:  
Software Version:  
Form 990, Special Condition Description:
Special Condition Description
Schedule B
(Form 990, 990-EZ,
or 990-PF)
Department of the Treasury
Internal Revenue Service
Schedule of Contributors
Arrow Bullet Attach to Form 990, 990-EZ, or 990-PF.
OMB No. 1545-0047
2010
Name of organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Organization type (check one):
Filers of:
Section:
Form 990 or 990-EZ





Form 990-PF




Check if your organization is covered by the General Rule or a Special Rule.  
Note. Only a section 501(c)(7), (8), or (10) organization can check boxes for both the General Rule and a Special Rule. See instructions.
General Rule—
Special Rules
......................... Arrow Bullet   $    
Caution. An Organization that is not covered by the General Rule and/or the Special Rules does not file Schedule B (Form 990,
990-EZ, or 990-PF), but it must answer “No” on Part IV, line 2 of its Form 990, or check the box in the heading of its
Form 990-EZ, or on line 2 of its Form 990-PF, to certify that it does not meet the filing requirements of Schedule B (Form 990,
990-EZ, or 990-PF).
For Paperwork Reduction Act Notice, see the Instructions
for Form 990, 990-EZ, or 990-PF.
Cat. No. 30613XSchedule B (Form 990, 990-EZ, or 990-PF) (2010)

Schedule B (Form 990, 990-EZ, or 990-PF) (2010)
Page 1 of 1 of Part I
Name of organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES 		Employer identification number

45-0231058
Part I
Contributors (see Instructions)
     
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
RESTRICTED
RESTRICTED
 

     
RESTRICTED
RESTRICTED  
RESTRICTED, RESTRICTED   RESTRICTED

$RESTRICTED




(Complete Part II if there is
a noncash contribution.)
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
 
 
 

     
 
   

$  




(Complete Part II if there is
a noncash contribution.)
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
 
 
 

     
 
   

$  




(Complete Part II if there is
a noncash contribution.)
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
 
 
 

     
 
   

$  




(Complete Part II if there is
a noncash contribution.)
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
 
 
 

     
 
   

$  




(Complete Part II if there is
a noncash contribution.)
(a)
No.		 (b)
Name, address, and ZIP + 4		 (c)
Aggregate contributions		 (d)
Type of contribution
 
 
 

     
 
   

$  




(Complete Part II if there is
a noncash contribution.)
Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Schedule B (Form 990, 990-EZ, or 990-PF) (2010)
Page 1 of 1 of Part II
Name of organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES 		Employer identification number

45-0231058
Part II
Noncash Property (see Instructions)
     
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
(a) No.
from
Part I		 (b)
Description of noncash property given		 (c)
FMV (or estimate)
(see instructions) 		(d)
Date received
 
$    
Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Schedule B (Form 990, 990-EZ, or 990-PF) (2010)
Page 1 of 1 of Part III
Name of organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES 		Employer identification number

45-0231058
Part III
Exclusively religious, charitable, etc., individual contributions to section 501(c)(7), (8), or (10) organizations
aggregating more than $1,000 for the year. (Complete columns (a) through (e) and the following line entry.)
For organizations completing Part III, enter the total of exclusively religious, charitable, etc.,
contributions of $1,000 or less for the year. (Enter this information once. See instructions.) Arrow Bullet $  
(a) No.
from
Part I		 (b)
Purpose of gift		 (c)
Use of gift		 (d)
Description of how gift is held
 
(e)
Transfer of gift
Transferee's name, address, and ZIP 4 Relationship of transferor to transferee
 
 
       
 
(a) No.
from
Part I		 (b)
Purpose of gift		 (c)
Use of gift		 (d)
Description of how gift is held
 
(e)
Transfer of gift
Transferee's name, address, and ZIP 4 Relationship of transferor to transferee
 
 
       
 
(a) No.
from
Part I		 (b)
Purpose of gift		 (c)
Use of gift		 (d)
Description of how gift is held
 
(e)
Transfer of gift
Transferee's name, address, and ZIP 4 Relationship of transferor to transferee
 
 
       
 
(a) No.
from
Part I		 (b)
Purpose of gift		 (c)
Use of gift		 (d)
Description of how gift is held
 
(e)
Transfer of gift
Transferee's name, address, and ZIP 4 Relationship of transferor to transferee
 
 
       
 
Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Additional Data


Software ID:  
Software Version:  
SCHEDULE C
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service
Political Campaign and Lobbying Activities

For Organizations Exempt From Income Tax Under section 501(c) and section 527
SchCMd Bullet Complete if the organization is described below.
SchCMd Bullet Attach to Form 990 or Form 990-EZ. SchCMd Bullet See separate instructions.
OMB No. 1545-0047
2010
Open to Public
Inspection
If the organization answered “Yes,” to Form 990, Part IV, Line 3, or Form 990-EZ, Part V, line 46 (Political Campaign Activities), then
Round Bullet Section 501(c)(3) organizations: Complete Parts I-A and B. Do not complete Part I-C.
Round Bullet Section 501(c) (other than section 501(c)(3)) organizations: Complete Parts I-A and C below. Do not complete Part I-B.
Round Bullet Section 527 organizations: Complete Part I-A only.
If the organization answered “Yes,” to Form 990, Part IV, Line 4, or Form 990-EZ, Part VI, line 47 (Lobbying Activities), then
Round Bullet Section 501(c)(3) organizations that have filed Form 5768 (election under section 501(h)) Complete Part II-A. Do not complete Part II-B.
Round Bullet Section 501(c)(3) organizations that have NOT filed Form 5768 (election under section 501(h)): Complete Part II-B. Do not complete Part II-A.
If the organization answered “Yes,” to Form 990, Part IV, Line 5 (Proxy Tax) or Form 990-EZ, Part V, line 35a (Proxy Tax), then
Round Bullet Section 501(c)(4), (5), or (6) organizations: Complete Part III.
Name of the organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Part I-A
Complete if the organization is exempt under section 501(c) or is a section 527 organization.

1
Provide a description of the organization's direct and indirect political campaign activities on behalf of or in opposition to candidates for public office in Part IV.
2
Political expenditures ....................................SchCMd Bullet
$  
3
Volunteer hours ........................................
 

Part I-B
Complete if the organization is exempt under section 501(c)(3).
1
Enter the amount of any excise tax incurred by the organization under section 4955 .........SchCMd Bullet
$  
2
Enter the amount of any excise tax incurred by organization managers under section 4955 ......SchCMd Bullet
$  
3
If the organization incurred a section 4955 tax, did it file Form 4720 for this year? ..............
4a
Was a correction made? .........................................
b
If "Yes," describe in Part IV.
Part I-C
Complete if the organization is exempt under section 501(c) except section 501(c)(3).
1
Enter the amount directly expended by the filing organization for section 527 exempt function activities SchCMd Bullet
$  
2
Enter the amount of the filing organization's funds contributed to other organizations for section 527 exempt funtion activities ....................................SchCMd Bullet

$  
3
Total exempt function expenditures. Add lines 1 and 2. Enter here and on Form 1120-POL, line 17b..SchCMd Bullet

$  
4
Did the filing organization file Form 1120-POL for this year? ..........................
5
Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filing
organization made payments. For each organization listed, enter the amount paid from the filing organization’s funds. Also enter the amount of political contributions received that were promptly and directly delivered to a separate political organization, such as a separate segregated fund or a political action committee (PAC). If additional space is needed, provide information in Part IV.
(a) Name (b) Address (c) EIN (d) Amount paid from filing organization's funds. If none, enter -0-. (e) Amount of political contributions received and promptly and directly delivered to a separate political organization. If none, enter -0-.
(1) NORTH DAKOTA RURAL ELECTRIC POLITICAL ACTION COMMITTEE
  		PO BOX 727
MANDAN,ND58554 		45-0457989   225
(2) ACTION COMMITTEE FOR RURAL ELECTRIFICATION
  		PO BOX 758778
BALTIMORE,MD212758778 		52-6147497   575








For Privacy Act and Paperwork Reduction Act Notice, see the instructions for Form 990.
Cat. No. 50084S
Schedule C (Form 990 or 990-EZ) 2010

Schedule C (Form 990 or 990-EZ) 2010
Page 2
Part II-A
Complete if the organization is exempt under section 501(c)(3) and filed Form 5768 (election under section 501(h)).
A Check
B Check
Limits on Lobbying Expenditures
(The term "expenditures" means amounts paid or incurred.) 		(a) Filing
Organization's
Totals 		(b) Affiliated Group
Totals
1a Total lobbying expenditures to influence public opinion (grass roots lobbying) ......    
b Total lobbying expenditures to influence a legislative body (direct lobbying) .......    
c Total lobbying expenditures (add lines 1a and 1b) ...................    
d Other exempt purpose expenditures ........................    
e Total exempt purpose expenditures (add lines 1c and 1d) ...............    
f Lobbying nontaxable amount. Enter the amount from the following table in both
columns.		    
  If the amount on line 1e, column (a) or (b) is:The lobbying nontaxable amount is:    
  Not over $500,00020% of the amount on line 1e.    
  Over $500,000 but not over $1,000,000$100,000 plus 15% of the excess over $500,000.    
  Over $1,000,000 but not over $1,500,000$175,000 plus 10% of the excess over $1,000,000.    
  Over $1,500,000 but not over $17,000,000$225,000 plus 5% of the excess over $1,500,000.    
  Over $17,000,000$1,000,000.    
       
g Grassroots nontaxable amount (enter 25% of line 1f) .................    
h Subtract line 1g from line 1a. If zero or less, enter -0-. ................    
i Subtract line 1f from line 1c. If zero or less, enter -0-. ................    
j If there is an amount other than zero on either line 1h or line 1i, did the organization file Form 4720 reporting
section 4911 tax for this year? ......................................

4-Year Averaging Period Under Section 501(h)
(Some organizations that made a section 501(h) election do not have to complete all of the five
columns below. See the instructions for lines 2a through 2f on page 4.)
Lobbying Expenditures During 4-Year Averaging Period
  Calendar year (or fiscal year
beginning in) 		(a) 2007 (b) 2008 (c) 2009 (d) 2010 (e) Total
             
2a Lobbying non-taxable amount          
             
b Lobbying ceiling amount
(150% of line 2a, column(e)) 		         
             
c Total lobbying expenditures          
             
d Grassroots non-taxable amount          
             
e Grassroots ceiling amount
(150% of line 2d, column (e))		          
             
f Grassroots lobbying expenditures          
Schedule C (Form 990 or 990-EZ) 2010


Schedule C (Form 990 or 990-EZ) 2010
Page 3
Part II-B
Complete if the organization is exempt under section 501(c)(3) and has NOT filed Form 5768 (election under section 501(h)).
(a)
Yes
No
(b)
Amount
1
During the year, did the filing organization attempt to influence foreign, national, state or local legislation, including any attempt to influence public opinion on a legislative matter or referendum, through the use of:
a
Volunteers? .........................................
 
 
b
Paid staff or management (include compensation in expenses reported on lines 1c through 1i)? ....
 
 
c
Media advertisements? ....................................
 
 
 
d
Mailings to members, legislators, or the public? .........................
 
 
 
e
Publications, or published or broadcast statements? .......................
 
 
 
f
Grants to other organizations for lobbying purposes? .......................
 
 
 
g
Direct contact with legislators, their staffs, government officials, or a legislative body? ........
 
 
 
h
Rallies, demonstrations, seminars, conventions, speeches, lectures, or any similar means? ......
 
 
 
i
Other activities? If "Yes," describe in Part IV ..........................
 
 
 
j
Total. lines 1c through 1i ...................................
 
2a
Did the activities in line 1 cause the organization to be not described in section 501(c)(3)? .....
 
 
b
If "Yes," enter the amount of any tax incurred under section 4912 .................
 
c
If "Yes," enter the amount of any tax incurred by organization managers under section 4912 .....
 
d
If the filing organization incurred a section 4912 tax, did it file Form 4720 for this year? .......
 
 
Part III-A
Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6).
Yes
No
1
Were substantially all (90% or more) dues received nondeductible by members? ................
1
Yes
 
2
Did the organization make only in-house lobbying expenditures of $2,000 or less? ................
2
 
No
3
Did the organization agree to carryover lobbying and political expenditures from the prior year? ..........
3
 
No
Part III-B
Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6) if BOTH Part III-A, lines 1 and 2 are answered “No” OR if Part III-A, line 3 is answered “Yes”.
1
Dues, assessments and similar amounts from members .....................
1
 
2
Section 162(e) non-deductible lobbying and political expenditures (do not include amounts of political
expenses for which the section 527(f) tax was paid).
a
Current year .........................................
2a
 
b
Carryover from last year ....................................
2b
 
c
Total ...........................................
2c
 
3
Aggregate amount reported in section 6033(e)(1)(A) notices of nondeductible section 162(e) dues .
3
 
4
If notices were sent and the amount on line 2c exceeds the amount on line 3, what portion of the excess does the organization agree to carryover to the reasonable estimate of nondeductible lobbying and political expenditure next year? ................................
4
 
5
Taxable amount of lobbying and political expenditures (see instructions) ..............
5
 
Part IV
Supplemental Information
Complete this part to provide the descriptions required for Part l-A, line 1; Part l-B, line 4; Part l-C, line 5; and Part ll-B, line 1i.
Also, complete this part for any additional information.
Identifier Return Reference Explanation
ORGANIZATIONS DIRECT AND INDIRECT POLITICAL CAMPAIGN ACTIVITIES: PART I-A, LINE 1: NDAREC OPERATES A STATE POLITICAL ACTION COMMITTEE (REPAC) IN COMPLIANCE WITH LAWS OF THE STATE OF NORTH DAKOTA, INCLUDING SECTION 16.1-08.1-03.3 OF THE NORTH DAKOTA CENTURY CODE. NDAREC PROVIDES ADMINISTRATIVE SUPPORT FOR REPAC BY SOLICITING CONTRIBUTIONS TO REPAC, DEPOSITING THE FUNDS IN A SEPARATE AND SEGREGATED ACCOUNT, AND APPOINTING A BOARD TO ALLOCATE THE FUNDS TO CANDIDATES FOR STATE AND LEGISLATIVE OFFICES, NDAREC ALSO OFFERS ITS EMPLOYEES THE OPPORTUNITY TO USE PAYROLL DEDUCTION FOR REPAC CONTRIBUTIONS. NDAREC EMPLOYEES ALSO HAVE THE OPPORTUNITY TO CONTRIBUTE TO A FEDERAL POLITICAL ACTION COMMITTEE, THE ACTION COMMITTEE FOR RURAL ELECTRIFICATION (ACRE), ORGANIZED BY THE NATIONAL RURAL ELECTRIC COOPERATIVE ASSOCIATION (NRECA), UNDER FEDERAL LAW. NDAREC ALSO OFFERS ITS EMPLOYEES THE OPPORTUNITY TO USE PAYROLL DEDUCTION FOR ACRE CONTRIBUTIONS.
Schedule C (Form 990 or 990EZ) 2010

Additional Data


Software ID:  
Software Version:  

SCHEDULE D
(Form 990)
Department of the Treasury
Internal Revenue Service
Supplemental Financial Statements
SchDMd Bullet Complete if the organization answered "Yes," to Form 990,
Part IV, line 6, 7, 8, 9, 10, 11, or 12.
SchDMd Bullet Attach to Form 990. SchDMd Bullet See separate instructions.
OMB No. 1545-0047
2010
Open to Public Inspection
Name of the organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Part I
Organizations Maintaining Donor Advised Funds or Other Similar Funds or Accounts. Complete if the organization answered "Yes" to Form 990, Part IV, line 6.
(a) Donor advised funds (b) Funds and other accounts
1 Total number at end of year .......    
2 Aggregate contributions to (during year) ...    
3 Aggregate grants from (during year) ...    
4 Aggregate value at end of year .......    
5
Did the organization inform all donors and donor advisors in writing that the assets held in donor advised
funds are the organization's property, subject to the organization's exclusive legal control? ............
6
Did the organization inform all grantees, donors, and donor advisors in writing that grant funds may be
used only for charitable purposes and not for the benefit of the donor or donor advisor, or for any other purpose conferring impermissible private benefit. ...................................
Part II
Conservation Easements. Complete if the organization answered "Yes" to Form 990, Part IV, line 7.
1
Purpose(s) of conservation easements held by the organization (check all that apply).
2
Complete lines 2a–2d if the organization held a qualified conservation contribution in the form of a conservation easement on the last day of the tax year.
Held at the End of the Year
a Total number of conservation easements ....................... 2a  
b Total acreage restricted by conservation easements .................. 2b  
c Number of conservation easements on a certified historic structure included in (a) ..... 2c  
d Number of conservation easements included in (c) acquired after 8/17/06 ........ 2d  
3
Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during
the taxable year SchDMd Bullet  
4
Number of states where property subject to conservation easement is located SchDMd Bullet  
5
Does the organization have a written policy regarding the periodic monitoring, inspection, handling of violations, and
enforcement of the conservation easements it holds? .............................
6
Staff and volunteer hours devoted to monitoring, inspecting and enforcing conservation easements during the year SchDMd Bullet  
7
Amount of expenses incurred in monitoring, inspecting, and enforcing conservation easements during the year SchDMd Bullet $  
8
Does each conservation easement reported on line 2(d) above satisfy the requirements of section
170(h)(4)(B)(i) and 170(h)(4)(B)(ii)? ....................................
9
In Part XIV, describe how the organization reports conservation easements in its revenue and expense statement, and
balance sheet, and include, if applicable, the text of the footnote to the organization’s financial statements that describes
the organization’s accounting for conservation easements.
Part III
Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets.
Complete if the organization answered "Yes" to Form 990, Part IV, line 8.
1a
If the organization elected, as permitted under SFAS 116, not to report in its revenue statement and balance sheet works of
art, historical treasures, or other similar assets held for public exhibition, education or research in furtherance of public service,
provide, in Part XIV, the text of the footnote to its financial statements that describes these items.
b
If the organization elected, as permitted under SFAS 116, to report in its revenue statement and balance sheet works of art,
historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public service,
provide the following amounts relating to these items:
(i)
Revenues included in Form 990, Part VIII, line 1 ........................SchDMd Bullet $  
(ii)
Assets included in Form 990, Part X ..............................SchDMd Bullet $  
2
If the organization received or held works of art, historical treasures, or other similar assets for financial gain, provide the
following amounts required to be reported under SFAS 116 relating to these items:
a
Revenues included in Form 990, Part VIII, line 1 ..........................SchDMd Bullet $  
b
Assets included in Form 990, Part X ...............................SchDMd Bullet $  
For Privacy Act and Paperwork Reduction Act Notice, see the Intructions for Form 990
Cat. No. 52283D
Schedule D (Form 990) 2010

Schedule D (Form 990) 2010
Page 2
Part III
Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets (continued)
3
Using the organization’s accession and other records, check any of the following that are a significant use of its collection
items (check all that apply):
a
d
b
e
 
c
4
Provide a description of the organization’s collections and explain how they further the organization’s exempt purpose in
Part XIV.
5
During the year, did the organization solicit or receive donations of art, historical treasures or other similar
assets to be sold to raise funds rather than to be maintained as part of the organization’s collection?........
Part IV
Escrow and Custodial Arrangements. Complete if the organization answered "Yes" to Form 990,
Part IV, line 9, or reported an amount on Form 990, Part X, line 21.
1a
Is the organization an agent, trustee, custodian or other intermediary for contributions or other assets not
included on Form 990, Part X? ....................................
b
If "Yes," explain the arrangement in Part XIV and complete the following table:
Amount
c Beginning balance ................................. 1c 380,228
d Additions during the year .............................. 1d 137,440
e Distributions during the year ............................. 1e 143,018
f Ending balance ................................... 1f 374,650
2a
Did the organization include an amount on Form 990, Part X, line 21? .....................
b
If “Yes,” explain the arrangement in Part XIV.
Part V
Endowment Funds. Complete if the organization answered "Yes" to Form 990, Part IV, line 10.
(a)Current Year (b)Prior Year (c)Two Years Back (d)Three Years Back (e)Four Years Back
1a Beginning of year balance ....      
b Contributions ........      
c Investment earnings or losses ...      
d Grants or scholarships .....      
e Other expenditures for facilities
and programs ........ 		     
f Administrative expenses ....      
g End of year balance ......      
2
Provide the estimated percentage of the year end balance held as:
a
Board designated or quasi-endowment: SchDMd Bullet  
b
Permanent endowment: SchDMd Bullet  
c
Term endowment: SchDMd Bullet  
3a
Are there endowment funds not in the possession of the organization that are held and administered for the
organization by:

Yes
No
(i) unrelated organizations ........................
3a(i)
 
 
(ii) related organizations ........................
3a(ii)
 
 
b
If "Yes" to 3a(ii), are the related organizations listed as required on Schedule R? .........
3b
 
 
4
Describe in Part XIV the intended uses of the organization's endowment funds.
Part VI
Investments—Land, Buildings, and Equipment. See Form 990, Part X, line 10.
Description of investment (a) Cost or other basis (investment) (b)Cost or other basis (other) (c) Accumulated depreciation (d) Book value
1a Land .................   98,834 98,834
b Buildings ................   2,227,207 1,526,244 700,963
c Leasehold improvements ............        
d Equipment ................   800,696 677,793 122,903
e Other .................   270,372 105,675 164,697
Total. Add lines 1a-1e. (Column (d) should equal Form 990, Part X, column (B), line 10(c).)........SchDMdBullet 1,087,397
Schedule D (Form 990) 2010

Schedule D (Form 990) 2010
Page 3
Part VII
Investments—Other Securities. See Form 990, Part X, line 12.
(a) Description of security or category
(including name of security)		 (b)Book value (c) Method of valuation:
Cost or end-of-year market value
(1)Financial derivatives    
(2)Closely-held equity interests    
(3)Other
(A) PATRONAGE CAPITAL CREDITS 		117,186 F

(B) ND SMALL BUSINESS INVESTMENT CORP 		17,000 F

(C) PROMISSORY NOTES 		875,000 F

(D) CFC MEMBER CAPITAL SECURITIES 		25,000 F





Total. (Column (b) should equal Form 990, Part X, col.(B) line 12.)Small Bullet 1,034,186
Part VIII
Investments—Program Related. See Form 990, Part X, line 13.
(a) Description of investment type (b) Book value (c) Method of valuation:
Cost or end-of-year market value








Total. (Column (b) should equal Form 990, Part X, col.(B) line 13.)Small Bullet  
Part IX
Other Assets. See Form 990, Part X, line 15.
(a) Description (b) Book value








Total. (Column (b) should equal Form 990, Part X, col.(B) line 15.)...........Small Bullet  
Part X
Other Liabilities. See Form 990, Part X, line 25.
1.(a) Description of Liability (b) Amount
Federal Income Taxes  
CONTRIBUTION PAYABLE 75,000








Total. (Column (b) should equal Form 990, Part X, col.(B) line 25.)Small Bullet 75,000
2. Fin 48 (ASC 740) Footnote. In Part XIV, provide the text of the footnote to the organization's financial statements that reports the organization's liability for uncertain tax positions under FIN 48 (ASC740).
Schedule D (Form 990) 2010

Schedule D (Form 990) 2010
Page 4
Part XI Reconciliation of Change in Net Assets from Form 990 to Financial Statements
1 Total revenue (Form 990, Part VIII, column (A), line 12) .................... 1 4,330,847
2 Total expenses (Form 990, Part IX, column (A), line 25) ..................... 2 4,199,790
3 Excess or (deficit) for the year. Subtract line 2 from line 1 ............. 3 131,057
4 Net unrealized gains (losses) on investments .......................... 4  
5 Donated services and use of facilities ............................. 5  
6 Investment expenses ................................... 6  
7 Prior period adjustments .................................. 7  
8 Other (Describe in Part XIV) ................................. 8  
9 Total adjustments (net). Add lines 4 - 8 ............................. 9 0
10 Excess or (deficit) for the year per financial statements. Combine lines 3 and 9 ......... 10 131,057
Part XII Reconciliation of Revenue per Audited Financial Statements With Revenue per Return
1 Total revenue, gains, and other support per audited financial statements ....... 1 5,072,192
2 Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a Net unrealized gains on investments .......... 2a  
b Donated services and use of facilities ......... 2b  
c Recoveries of prior year grants ........... 2c  
d Other (Describe in Part XIV): ............ 2d 741,345
e Add lines 2a through 2d ..................... 2e 741,345
3 Subtract line 2e from line 1..................... 3 4,330,847
4 Amounts included on Form 990, Part VIII, line 12, but not on line 1:
a Investment expenses not included on Form 990, Part VIII, line 7b . 4a  
b Other (Describe in Part XIV): ........... 4b  
c Add lines 4a and 4b....................... 4c 0
5 Total Revenue. Add lines 3 and 4c. (This should equal Form 990, Part I, line 12.) ...... 5 4,330,847
Part XIII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1 Total expenses and losses per audited financial statements ............. 1 4,941,135
2 Amounts included on line 1 but not on Form 990, Part IX, line 25:
a Donated services and use of facilities .......... 2a  
b Prior year adjustments .............. 2b  
c Other losses ................ 2c  
d Other (Describe in Part XIV): ............ 2d 741,345
e Add lines 2a through 2d...................... 2e 741,345
3 Subtract line 2e from line 1..................... 3 4,199,790
4 Amounts included on Form 990, Part IX, line 25, but not on line 1:
a Investment expenses not included on Form 990, Part VIII, line 7b .. 4a  
b Other (Describe in Part XIV): ............ 4b  
c Add lines 4a and 4b....................... 4c 0
5 Total expenses. Add lines 3 and 4c. (This should equal Form 990, Part I, line 18.) ...... 5 4,199,790
Part XIV
Supplemental Information
Complete this part to provide the descriptions required for Part II, lines 3, 5, and 9; Part III, lines 1a and 4; Part lV, lines 1b and 2b;
Part V, line 4; Part X; Part XI, line 8; Part XII, lines 2d and 4b; and Part XIII, lines 2d and 4b. Also complete this part to provide any additional information.
Identifier Return Reference Explanation
  PART IV, LINE 1B: NORTH DAKOTA DAIRY COALITION AND RURAL DEVELOPMENT FINANCE CORPORATION FILE THEIR OWN TAX RETURNS BUT THE FUNDS OF THE NORTH DAKOTA DAIRY COALITION AND A PORTION OF THE FUNDS OF THE RURAL DEVELOPMENT FINANCE CORPORATION ARE HELD BY NORTH DAKOTA ASSOCIATION OF RURAL ELECTRIC COOPERATIVES.
  PART IV, LINE 2B: NDAREC HOLDS FUNDS FOR SEVERAL ORGANIZATIONS SUCH AS THE STATEWIDE RURAL ELECTRIC COOPERATIVE EMPLOYEE ASSOCIATIONS, THE N.D. COORDINATING COUNCIL FOR COOPERATIVES AND AN ASSOCIATION VANDALISM AWARD (PAYMENTS MADE TO INDIVIDUALS WHO REPORT VANDALISM OF ELECTRIC COOPERATIVE EQUIPMENT AND LINES). NDAREC RECEIVES REVENUES FOR THE ORGANIZATIONS AND WRITES CHECKS WHEN APPROPRIATELY DIRECTED BY THE ORGANIZATION. A STATEMENT OF ACTIVITIES AND THE CASH BALANCE IS REPORTED TO THE ORGANIZATIONS ON A REGULAR BASIS.
DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: A TAX-EXEMPT STATUS WAS GRANTED THE ASSOCIATION BY THE INTERNAL REVENUE SERVICE ON NOVEMBER 24, 1967. HOWEVER, UNDER THE CURRENT TAX LAWS, THE ASSOCIATION IS LIABLE FOR FEDERAL AND STATE INCOME TAXES ON ADVERTISING AND OTHER BUSINESS INCOME UNRELATED TO ITS EXEMPT PURPOSE. THERE WAS NO SUCH TAX LIABILITY FOR 2010 OR 2009. THE ASSOCIATION HAS ADOPTED THE PROVISIONS OF FASB ACCOUNTING STANDARDS CODIFICATION TOPIC ASC 740-10 (PREVIOUSLY FINANCIAL INTERPRETATION NO. 48, ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES), ON JANUARY 1, 2009. THE IMPLEMENTATION OF THIS STANDARD HAD NO IMPACT ON THE FINANCIAL STATEMENTS. AS OF BOTH THE DATE OF ADOPTION, AND AS OF DECEMBER 31, 2010, 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.
PART XII, LINE 2D - OTHER ADJUSTMENTS:   LOSS ON INVESTMENT RECLASSED TO REVENUE FROM EXPENSE 10,000. MAGAZINE UBI COSTS 674,527. RENTAL EXPENSES 30,995. NDCC REIMBURSED EXPENSES 25,823.
PART XIII, LINE 2D - OTHER ADJUSTMENTS:   MAGAZINE UBI COSTS 674,527. NDDC REIMBURSED EXPENSES 25,823. RENTAL EXPENSES 30,995. LOSS ON INVESTMENT RECLASSED TO REVENUE FROM EXPENSES 10,000.
Schedule D (Form 990) 2010

Additional Data


Software ID:  
Software Version:  




Schedule J
(Form 990)
Department of the Treasury
Internal Revenue Service
Compensation Information
For certain Officers, Directors, Trustees, Key Employees, and Highest
Compensated Employees
SchJMediumBullet Complete if the organization answered "Yes" to Form 990,
Part IV, question 23.
SchJMediumBullet Attach to Form 990. SchJMediumBullet See separate instructions.
OMB No. 1545-0047
2010
Open to Public Inspection
Name of the organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Part I
Questions Regarding Compensation
Yes
No
1a
Check the appropiate box(es) if the organization provided any of the following to or for a person listed in Form
990, Part VII, Section A, line 1a. Complete Part III to provide any relevant information regarding these items.
b
If any of the boxes in line 1a are checked, did the organization follow a written policy regarding payment or reimbursement orprovision of all the expenses described above? If "No," complete Part III to explain....
1b
 
 
2
Did the organization require substantiation prior to reimbursing or allowing expenses incurred by all
officers, directors, trustees, and the CEO/Executive Director, regarding the items checked in line 1a? ....
2
 
 
3
Indicate which, if any, of the following the organization uses to establish the compensation of the
organization's CEO/Executive Director. Check all that apply.
4
During the year, did any person listed in Form 990, Part VII, Section A, line 1a with respect to the filing organization or a related organization:
a
Receive a severance payment or change-of-control payment? ...............
4a
 
No
b
Participate in, or receive payment from, a supplemental nonqualified retirement plan? ........
4b
 
No
c
Participate in, or receive payment from, an equity-based compensation arrangement? ........
4c
 
No
If "Yes" to any of lines 4a-c, list the persons and provide the applicable amounts for each item in Part III.
Only 501(c)(3) and 501(c)(4) organizations only must complete lines 5-9.
5
For persons listed in form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the revenues of:
a
The organization? ...........................
5a
 
 
b
Any related organization? .........................
5b
 
 
If "Yes," to line 5a or 5b, describe in Part III.
6
For persons listed in form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the net earnings of:
a
The organization? ...........................
6a
 
 
b
Any related organization? .........................
6b
 
 
If "Yes," to line 6a or 6b, describe in Part III.
7
For persons listed in Form 990, Part VII, Section A, line 1a, did the organization provide any non-fixed
payments not described in lines 5 and 6? If "Yes," describe in Part III ............
7
 
 
8
Were any amounts reported in Form 990, Part VII, paid or accured pursuant to a contract that was
subject to the initial contract exception described in Regs. section 53.4958-4(a)(3)? If "Yes," describe
in Part III .............................
8
 
 
9
If "Yes" to line 8, did the organization also follow the rebuttable presumption procedure described in Regulations section 53.4958-6(c)? .........................
9
 
 
For Privacy Act and Paperwork Reduction Act Notice, see the Intructions for Form 990
Cat. No. 50053T
Schedule J (Form 990) 2010

Schedule J (Form 990) 2010
Page 2
Part II
Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees. Use Schedule J-1 if additional space needed.
For each individual whose compensation must be reported in Schedule J, report compensation from the organization on row (i) and from related organizations, described in the
instructions on row (ii). Do not list any individuals that are not listed on Form 990, Part VII.

Note. The sum of columns (B)(i)-(iii) must equal the applicable column (D) or column (E) amounts on Form 990, Part VII, line 1a.
(A) Name (B) Breakdown of W-2 and/or 1099-MISC compensation (C) Retirement and other deferred compensation (D) Nontaxable
benefits		 (E) Total of columns
(B)(i)-(D) 		(F) Compensation
reported in prior
Form 990 or
Form 990-EZ
(i) Base compensation (ii) Bonus & incentive compensation (iii) Other reportable compensation
(1) DENNIS HILL (i)
(ii)		 161,073
0 		0
0 		5,138
0 		110,428
0 		8,792
0 		285,431
0 		0
0
(2) HARLAN FUGLESTEN (i)
(ii)		 118,545
0 		200
0 		2,801
0 		45,249
0 		4,373
0 		171,168
0 		0
0














Schedule J (Form 990) 2010

Schedule J (Form 990) 2010
Page 3
Part III
Supplemental Information
Complete this part to provide the information, explanation, or descriptions required for Part I, lines 1a, 1b, 4c, 5a, 5b, 6a, 6b, 7, and 8. Also complete this part for any additional information.
Identifier Return Reference Explanation
Schedule J (Form 990) 2010

Additional Data


Software ID:  
Software Version:  
SCHEDULE O
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service
Supplemental Information to Form 990 or 990-EZ

Complete to provide information for responses to specific questions on
Form 990 or to provide any additional information.
MediumBullet Attach to Form 990 or 990-EZ.
OMB No. 1545-0047
2010
Open to Public
Inspection
Name of the organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Identifier Return Reference Explanation
NEW PROGRAM SERVICES FORM 990, PART III, LINE 2 NDAREC ADMINISTERED THE NORTH DAKOTA UTILITY REBATE PROGRAM GRANT WHICH PROVIDES REBATES TO MEMBERS OF NORTH DAKOTA'S RURAL ELECTRIC COOPERATIVES FOR QUALIFYING ENERGY EFFICIENCY AND RENEWABLE ENERGY INSTALLATION.
FORM 990, PART VI, SECTION A, LINE 6   VOTING MEMBERS ARE MEMBER-OWNED, NON-PROFIT COOPERATIVES WHICH ARE OPERATING IN THE STATE OF NORTH DAKOTA FOR THE PRIMARY PURPOSE OF CONSTRUCTING AND OPERATING ELECTRIC GENERATION PLANTS OR TRANSMISSION AND DISTRIBUTION LINES OR SYSTEMS. NON-VOTING MEMBERS ARE LIMITED TO ENTITIES WHOSE OPERATIONS ARE CONSISTENT WITH THE OBJECTIVES OF NDAREC AND ITS VOTING MEMBERS. NON-VOTING MEMBERS CONSIST OF COMMERCIAL AFFILIATE MEMBERS AND ASSOCIATE MEMBERS.
FORM 990, PART VI, SECTION A, LINE 7A   EACH VOTING MEMBER OF NDAREC ELECTS A DIRECTOR AND AN ALTERNATE DIRECTOR FROM ITS BOARD OF DIRECTORS, WHO THEN SERVES OF THE BOARD OF DIRECTORS OF NDAREC FOR A TERM OF ONE YEAR. THE ALTERNATE DIRECTOR SERVES IN THE ABSENCE OF THE DIRECTOR WITH FULL POWER OF REPRESENTATION. ALL DIRECTORS, AS A CONDITION OF HOLDING OFFICE AND SERVING IN THAT CAPACITY, MUST REMAIN A DIRECTOR OF THAT MEMBER COOPERATIVE.
FORM 990, PART VI, SECTION B, LINE 11   NO FORMAL PROCESS HAS BEEN ADOPTED. THE FORM 990 WILL BE PROVIDED TO THE BOARD OF DIRECTORS PRIOR TO FILING WITH EXPLANATION OF SPECIFIC PARTS OF THE FORM. AN ADEQUATE TIME PERIOD WILL BE ALLOWED FOR REVIEW AND QUESTIONS PRIOR TO THE FORM 990 BEING FILED.
  FORM 990, PART VI, SECTION B, LINE 12C PERSONS COVERED BY THIS POLICY WILL ANNUALLY DISCLOSE OR UPDATE TO THE PRESIDENT OF THE BOARD OF DIRECTORS ON A FORM PROVIDED BY NDAREC THEIR INTERESTS THAT COULD REASONABLY GIVE RISE TO A CONFLICT OF INTEREST, SUCH AS A LIST OF FAMILY MEMBERS, SUBSTANTIAL BUSINESS OR INVESTMENT HOLDINGS, AND OTHER TRANSACTIONS OR AFFILIATIONS WITH BUSINESSES AND OTHER ORGANIZATIONS OR THOSE OF FAMILY MEMBERS. FOR EACH INTEREST DISCLOSED TO THE CHAIRMAN OF THE BOARD OF DIRECTORS, THE CHAIRMAN WILL DETERMINE WHETHER TO: (A) TAKE NO ACTION; (B) ASSURE FULL DISCLOSURE TO THE BOARD OF DIRECTORS AND OTHER INDIVIDUALS COVERED BY THIS POLICY; (C) ASK THE PERSON TO RECUSE FROM PARTICIPATION IN RELATED DISCUSSIONS OR DECISIONS WITHIN NDAREC; OR (D) ASK THE PERSON TO RESIGN FROM HIS OR HER POSITION IN NDAREC. IF THE PERSON REFUSES TO RESIGN, HE/SHE COULD BECOME SUBJECT TO POSSIBLE REMOVAL IN ACCORDANCE WITH NDAREC'S REMOVAL PROCEDURES. NDAREC'S EXECUTIVE VICE PRESIDENT AND GENERAL MANAGER AND FINANCE DIRECTOR WILL MONITOR PROPOSED OR ONGOING TRANSACTIONS FOR CONFLICTS OF INTEREST AND DISCLOSE THEM TO THE CHAIRMAN OF THE BOARD OF DIRECTORS IN ORDER TO DEAL WITH POTENTIAL OR ACTUAL CONFLICTS, WHETHER DISCOVERED BEFORE OR AFTER THE TRANSACTION HAS OCCURRED.
  FORM 990, PART VI, SECTION B, LINE 15 THE EXECUTIVE COMMITTEE OF THE NDAREC BOARD OF DIRECTORS MEETS ANNUALLY TO REVIEW THE COMPENSATION OF THE EXECUTIVE VICE PRESIDENT AND GENERAL MANAGER. THEY USE SURVEY DATA FROM THE RURAL ELECTRIC STATEWIDE MANAGERS ASSOCIATION TO DETERMINE COMPARABILITY OF SALARY INFORMATION. THE EXECUTIVE COMMITTEE RECOMMENDS THE SALARY TO THE BOARD OF DIRECTORS FOR THEIR APPROVAL. THE BOARD ACTION IS DOCUMENTED WITH A "SALARY CERTIFICATE" AND IS SIGNED BY THE PRESIDENT AND SECRETARY OF THE BOARD OF DIRECTORS, COMMUNICATED TO THE FINANCE DIRECTOR FOR PAYROLL PURPOSES, AND FILED IN THE PERSONNEL FILE. NDAREC HAS A WAGE AND SALARY PLAN POLICY ADOPTED BY THE BOARD OF DIRECTORS. THIS WAGE AND SALARY PLAN RANKS (USING SEVERAL CRITERIA) EACH JOB POSITION BY PAY GRADE AND PAY RANGE. THE PAY RANGE CONSISTS OF AN ENTRY LEVEL, A MARKET BAND, AND A MAXIMUM. EACH YEAR THE BOARD APPROVES AN ANNUAL ADJUSTMENT TO THE PAY RANGES BASED ON CERTAIN ECONOMIC FACTORS. THE GENERAL MANAGER APPROVES THE ANNUAL SALARY FOR THE FINANCE DIRECTOR AND ALL OTHER NDAREC EMPLOYEES.
  FORM 990, PART VI, SECTION C, LINE 19 THESE DOCUMENTS ARE NOT MADE AVAILABLE TO THE PUBLIC.
For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
Cat. No. 51056K
Schedule O (Form 990 or 990-EZ) 2010

Additional Data


Software ID:  
Software Version:  
SCHEDULE R
(Form 990)
Department of the Treasury
Internal Revenue Service
Related Organizations and Unrelated Partnerships
MediumBulletComplete if the organization answered "Yes" to Form 990, Part IV, line 33, 34, 35, 36, or 37.
MediumBulletAttach to Form 990. MediumBullet See separate instructions.

OMB No. 1545-0047
2010
Open to Public Inspection
Name of the organization
NORTH DAKOTA ASSOCIATION OF RURAL
ELECTRIC COOPERATIVES
Employer identification number

45-0231058
Part I
Identification of Disregarded Entities (Complete if the organization answered "Yes" on Form 990, Part IV, line 33.)
(a)
Name, address, and EIN of disregarded entity


(b)
Primary activity


 		(c)
Legal domicile (state
or foreign country)

 		(d)
Total income
(e)
End-of-year assets


 		(f)
Direct controlling
entity

















Part II
Identification of Related Tax-Exempt Organizations (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related tax-exempt organizations during the tax year.)
(a)
Name, address, and EIN of related organization


(b)
Primary activity


 		(c)
Legal domicile (state
or foreign country)

 		(d)
Exempt Code section
(e)
Public charity status
(if section 501(c)(3))

 		(f)
Direct controlling
entity

 		(g)
Section 512(b)(13) controlled organization
Yes No
(1) ND RURAL ELECTRIC POLITICAL ACTION COMMITTEE

PO BOX 727

MANDAN,ND585540727
45-0457989 		POLITICAL ACTION COMMITTEE ND 527 N/A N/A
 
No












For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 990.
Cat. No. 50135Y
Schedule R (Form 990) 2010
Schedule R (Form 990) 2010
Page 2
Part III
Identification of Related Organizations Taxable as a Partnership (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a partnership during the tax year.)
(a)
Name, address, and EIN of
related organization



 		(b)
Primary activity




 		(c)
Legal
domicile
(state or foreign
country)


 		(d)
Direct controlling
entity



 		(e)
Predominant income(related, unrelated, excluded from tax under sections 512-514)

(f)
Share of total income




 		(g)
Share of end-of-year
assets



 		(h)
Disproprtionate allocations?




 		(i)
Code V—UBI
amount in box 20 of
Schedule K-1
(Form 1065)
 		(j)
General or
managing
partner?



 		(k)
Percentage
ownership
Yes No Yes No












Part IV
Identification of Related Organizations Taxable as a Corporation or Trust (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a corporation or trust during the tax year.)
(a)
Name, address, and EIN of related organization



 		(b)
Primary activity



 		(c)
Legal domicile
(state or
foreign
country)
 		(d)
Direct controlling
entity


 		(e)
Type of entity
(C corp, S corp,
or trust)

 		(f)
Share of total income



 		(g)
Share of
end-of-year
assets

 		(h)
Percentage
ownership












Schedule R (Form 990) 2010
Schedule R (Form 990) 2010
Page 3
Part V
Transactions With Related Organizations (Complete if the organization answered "Yes" on Form 990, Part IV, line 34, 35, 35A, or 36.)
Note. Complete line 1 if any entity is listed in Parts II, III or IV.
Yes
No
1 During the tax year, did the orgranization engage in any of the following transactions with one or more related organizations listed in Parts II-IV?
a Receipt of (i) interest (ii) annuities (iii) royalties (iv) rent from a controlled entity . . . . . . . . . . . . . . . . . . . . . . .
1a
 
No
b Gift, grant, or capital contribution to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1b
 
No
c Gift, grant, or capital contribution from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1c
 
No
d Loans or loan guarantees to or for other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1d
 
No
e Loans or loan guarantees by other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1e
 
No
f Sale of assets to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1f
 
No
g Purchase of assets from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1g
 
No
h Exchange of assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1h
 
No
i Lease of facilities, equipment, or other assets to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1i
 
No
j Lease of facilities, equipment, or other assets from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . .
1j
 
No
k Performance of services or membership or fundraising solicitations for other organization(s) . . . . . . . . . . . . . . . . . . . . . .
1k
Yes
 
l Performance of services or membership or fundraising solicitations by other organization(s) . . . . . . . . . . . . . . . . . . . . . .
1l
 
No
m Sharing of facilities, equipment, mailing lists, or other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1m
Yes
 
n Sharing of paid employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1n
Yes
 
o Reimbursement paid to other organization for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1o
 
No
p Reimbursement paid by other organization for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1p
 
No
q Other transfer of cash or property to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1q
 
No
r Other transfer of cash or property from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1r
 
No
2
If the answer to any of the above is "Yes," see the instructions for information on who must complete this line, including covered relationships and transaction thresholds.
(a)
Name of other organization 		(b)
Transaction
type(a-r) 		(c)
Amount involved 		(d)
Method of determining amount involved
(1)
(2)
(3)
(4)
(5)
(6)
Schedule R (Form 990) 2010
Schedule R (Form 990) 2010
Page 4
Part VI
Unrelated Organizations Taxable as a Partnership (Complete if the organization answered "Yes" on Form 990, Part IV, line 37.)
Provide the following information for each entity taxed as a partnership through which the organization conducted more than five percent of its activities (measured by total assets or gross revenue) that was not a related organization. See instructions regarding exclusion for certain investment partnerships.
(a)
Name, address, and EIN of entity 		(b)
Primary activity 		(c)
Legal domicile
(state or foreign
country) 		(d)
Are all
partners
section
501(c)(3)
organizations? 		(e)
Share of
end-of-year
assets 		(f)
Disproprtionate allocations? 		(g)
Code V—UBI
amount in box
20 of Schedule K-1
(Form 1065) 		(h)
General or
managing
partner?
Yes No Yes No Yes No






























Schedule R (Form 990) 2010
Schedule R (Form 990) 2010
Page 5
Part VII
Supplemental Information
Complete this part to provide additional information for responses to questions on Schedule R (see instructions).
Identifier Return Reference Explanation
Additional Data


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