-
TIN:
SCHEDULE O
(Form 990 or 990-EZ)
Department of the Treasury
Internal Revenue Service
(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 990-EZ or to provide any additional information.
Attach to Form 990 or 990-EZ.
Information about Schedule O (Form 990 or 990-EZ) and its instructions is atwww.irs.gov/form990.
OMB No. 1545-0047
2015
Open to Public
Inspection
Inspection
Name of the organization
MORA-SAN MIGUEL ELECTRIC COOPERATIVE
INC
INC
Employer identification number
85-0084487
85-0084487
| Return Reference | Explanation |
|---|---|
| Form 990, Part VI, Section A, line 6 | THE COOPERATIVE WAS FORMED BY THE MEMBERS TO PROVIDE ELECTRIC SERVICE AT COST ON A COOPERATIVE BASIS. |
| Form 990, Part VI, Section A, line 7a | THE MEMBERS OF THE COOPERATIVE VOTE ON THE BOARD OF TRUSTEES THROUGH VOTING DISTRICTS. BASED ON GEOGRAPHICAL LOCATION, THE MEMBERS ARE ASSIGNED TO A DISTRICT AND REPRESENTED BY A TRUSTEE VOTED ON AND LIVING IN THE RESPECTIVE DISTRICT. EVERY THREE YEARS AT THE END OF THE RESPECTIVE TRUSTEE'S TERM, ELECTIONS ARE DONE ON A ONE MEMBER ONE VOTE BASIS WITHIN THE ASSIGNED DISTRICT. PURSUANT TO THE REQUIREMENTS OF ARTICLE IV, SECTION OF THE BYLAWS, MEMBERS ALSO HAVE THE ABILITY TO PETITION AND VOTE FOR THE REMOVAL OF A TRUSTEE. |
| Form 990, Part VI, Section A, line 7b | THE FOLLOWING ACTS REQUIRE APPROVAL OF THE MEMBERS OF THE COOPERATIVE. 1. AMENDMENT TO THE ARTICLES OF INCORPORATION; 2. AMENDMENT TO THE BYLAWS; 3. DISPOSAL OF A SUBSTANTIAL PORTION OF THE COOPERATIVE'S ASSETS; 4. DISSOLUTION/LIQUIDATION OF THE COOPERATIVE; AND 5. MERGER OF CONSOLIDATION OF THE COOPERATIVE WITH ANOTHER ORGANIZATION. |
| Form 990, Part VI, Section A, line 8b | FROM TIME TO TIME THE ENTIRE BOARD WILL GO INTO EXECUTIVE SESSION FOR DISCUSSING ITEMS OF A SENSITIVE AND CONFIDENTIAL NATURE. WHEN THIS OCCURS MANAGEMENT AND OTHERS IN ATTENDANCE ARE REMOVED FROM THE MEETING ROOM. ITEMS DISCUSSED IN EXECUTIVE SESSION ARE NOT DOCUMENTED. HOWEVER, ACTIONS TAKEN BY THE BOARD AFTER EXECUTIVE SESSIONS ARE ADJOURNED ARE FULLY DOCUMENTED. |
| Form 990, Part VI, Section B, line 11 | THE FORM 990 WAS REVIEWED AND DISCUSSED BY THE BOARD AT THE FIRST BOARD MEETING OCCURRING SUBSEQUENT TO THE DATE THE FORM 990 WAS FILED. |
| Form 990, Part VI, Section B, line 12c | THE BOARD OF TRUSTEES AND OFFICERS ARE RESPONSIBLE TO REVIEW AND BE FAMILIAR WITH THE POLICIES OUTLINED IN THE COOPERATIVE'S CONFLICT OF INTEREST POLICY. THE BOARD OF TRUSTEES AND OFFICERS ARE REQUIRED TO ANNUALLY COMPLETE A DISCLOSURE OF ANY ACTION OR SITUATION THAT MIGHT VIOLATE THE POLICY TO THE FULL BOARD OF TRUSTEES. |
| Form 990, Part VI, Section B, line 15 | THE BOARD OF DIRECTORS IS RESPONSIBLE FOR DETERMINING THE COMPENSATION FOR THE CEO BASED ON AN ANNUAL REVIEW. INTERNAL AND/OR EXTERNAL RESOURCES ARE ALSO USED TO COMPARE ANNUAL COMPENSATION WITHIN THE INDUSTRY. THE CEO DETERMINES COMPENSATION FOR TOP MANAGEMENT OFFICIALS, OFFICERS, AND KEY EMPLOYEES. |
| Form 990, Part VI, Section C, line 19 | THE COOPERATIVE PROVIDES A SUMMARIZED COPY OF THE AUDITED FINANCIAL STATEMENTS TO THE MEMBERS OF THE COOPERATIVE AT THE ANNUAL MEETING. THE COOPERATIVE WILL PROVIDE A COMPLETE COPY OF THE AUDITED FINANCIAL STATEMENTS, TO ANY MEMBER WHO REQUESTS A COPY. ADDITIONALLY, THE COOPERATIVE POSTS A COPY OF THE BYLAWS, BOARD OPERATING POLICIES, AND MINUTES OF THE BOARD OF TRUSTEE MEETINGS ON ITS WEBSITE AT WWW.MORASANMIGUEL.COOP/CONTENT/BOARD-DIRECTORS. |
| FORM 990, PART VI, SECTION A, LINE 1 | THE COOPERATIVE HAS 5 BOARD MEMBERS; ALL 5 ARE ALLOWED TO VOTE, HOWEVER THE BOARD CHAIRMAN VOTES ONLY IN THE CASE OF A TIE. |
| FORM 990, PART VI, LINE 9 | THE NAME AND ADDRESSES OF DIRECTORS, OFFICERS AND HIGHLY COMPENSATED EMPLOYEES, WHO CANNOT BE REACHED AT THE COOPERATIVE'S ADDRESS, ARE AS FOLLOWS: DIEGO QUINTANA P.O. BOX 215 PECOS, NM 87552 GREGORY LOW 502 PERTH VICTORIA, TX 77904 |
| FORM 990, PART VI, LINE 14 | THE COOPERATIVE DOES NOT HAVE A FORMAL RECORD RETENTION AND DESTRUCTION POLICY. HOWEVER, AS A BORROWER OF THE RURAL UTILITIES SERVICES (RUS), THE COOPERATIVE FOLLOWS THE GUIDANCE PROVIDED BY RUS BULLETIN 180-2. |
| FORM 990, PART VII, COLUMN F | IN ORDER TO PROVIDE RETIREMENT BENEFITS TO ITS EMPLOYEES, THE COOPERATIVE HAS ESTABLISHED A DEFINED CONTRIBUTION PLAN UNDER SECTION 401(K) OF THE INTERNAL REVENUE CODE. AS PART OF THE PLAN DOCUMENT, THE COOPERATIVE CONTRIBUTES UP TO 12% OF A PARTICIPATING EMPLOYEE'S BASE SALARY. EMPLOYER CONTRIBUTIONS FOR THE PLAN IS AVAILABLE TO PARTICIPATING EMPLOYEES, INCLUDING OFFICERS,MEETING THE ELIGIBILITY REQUIREMENTS OF SUCH PLANS. THE COOPERATIVE ALSO PROVIDES HEALTH, DENTAL, VISION AND LIFE INSURANCE TO ALL ELIGIBLE EMPLOYEES THROUGH A QUALIFIED PLAN. THE AMOUNTS REPORTED ON PART VII, COLUMN (F) FOR THE OFFICERS, IS COMPRISED OF THE TOTAL AMOUNT CONTRIBUTED BY THE COOPERATIVE TO THE DEFINED CONTRIBUTION PLAN AND INSURANCE PAID ON BEHALF OF AND FOR THEIR BENEFIT. |
| FORM 990, PART VIII, LINE 2 | PATRONAGE DIVIDENDS RESULT FROM THE PURCHASE OF WHOLESALE POWER FROM A GENERATION & TRANSMISSION COOPERATIVE. PATRONAGE DIVIDENDS ALSO RESULT FROM THE PAYMENT OF INTEREST FROM COOPERATIVE BANKS AND THE PURCHASE OF SUPPLIES AND SERVICES FROM OTHER COOPERATIVE ORGANIZATIONS. THE EXPENSES ASSOCIATED WITH PURCHASES FROM AND PAYMENTS TO SUCH COOPERATIVE ORGANIZATIONS ARE A DIRECT COMPONENT OF COST OF THE ELECTRIC SERVICE PROVIDED BY THE COOPERATIVE TO ITS MEMBERS. |
| FORM 990, PART IX | THE ACCOUNTING RECORDS OF THE COOPERATIVE ARE MAINTAINED IN ACCORDANCE WITH THE RUS UNIFORM SYSTEM OF ACCOUNTS AS PRESCRIBED FOR ELECTRIC BORROWERS OF THE RURAL UTILITIES SERVICES (RUS). THE UNIFORM SYSTEM OF ACCOUNTS DOES NOT RECORD EXPENSES IN THE GENERAL EXPENSE CATEGORIES PROVIDED ON PART IX LINES 1 - 23. THE COOPERATIVE SEPARATELY REPORTS SALARIES AND WAGES, EMPLOYEE BENEFITS AND PAYROLL TAXES THAT ARE ALLOCATED IN ACCORDANCE WITH ITS ACCOUNTING SYSTEM, BUT OTHER EXPENSES THAT ARE DESCRIBED IN LINES 1 - 23 ARE REPORTED ON LINE 24 UNDER THE EXPENSE CATEGORIES REQUIRED BY THE UNIFORM SYSTEM OF ACCOUNTS. |
| FORM 990, PART IX, LINES 5-7 | SALARIES AND WAGES ARE ALLOCATED TO ASSET, LIABILITY, AND EXPENSE ACCOUNTS BASED ON THE ACCOUNTING SYSTEM DESCRIBED ABOVE. THE FOLLOWING SCHEDULE RECONCILES AMOUNTS REPORTED ON LINES 5-7 TO TOTAL WAGES ACCRUED AND/OR PAID: TOTAL PER LINES 5-7 $ 1,339,711 LESS DIRECTORS FEES REPORTED ON 1099-MISC (21,652) LESS EMPLOYEE OFFICER BENEFITS INCLUDED IN LINE 5 (48,267) PLUS SALARIES AND WAGES CAPITALIZED DIRECTLY TO PLANT 163,803 PLUS SALARIES AND WAGES CAPITALIZED/EXPENSED INDIRECTLY THROUGH CLEARING AND OTHER ACCOUNTS 319,044 TOTAL WAGES ACCRUED AND/OR PAID $ 1,752,639 |
| FORM 990, PART IX, LINE 24B | ADMINISTRATIVE AND GENERAL EXPENSE IS COMPRISED OF THE FOLLOWING: ADMINISTRATIVE & GENERAL $ 51,638 OFFICE SUPPLIES AND POSTAGE 79,214 OUTSIDE SERVICES EMPLOYED 157,896 INJURIES AND DAMAGES 54,347 DUES AND SUBSCRIPTIONS 76,462 REGULATORY COMMISSION EXPENSE 123,276 DIRECTORS' EXPENSE 18,477 ANNUAL AND DISTRICT MEETING EXPENSE 24,448 MAINTENANCE OF GENERAL PLANT 53,874 MISCELLANEOUS GENERAL EXPENSE 74,445 TOTAL ADMINISTRATIVE AND GENERAL EXPENSE PER 990 $ 714,077 |
| FORM 990, PART IX, LINE 4 | PURSUANT TO THE FORM 990 INSTRUCTIONS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID TO THE PATRONS SHOULD BE REPORTED ON PART IX, LINE 4. THE PHRASE "PATRONAGE DIVIDENDS PAID" REFERS TO THE PROCESS, SUBSEQUENT TO YEAR-END, BY WHICH THE COOPERATIVE ALLOCATES PATRONAGE CAPITAL TO AND, THEREFORE, OPERATES AT COST WITH ITS PATRONS. THE COOPERATIVE'S TAX EXEMPT PURPOSE IS TO PROVIDE ELECTRICITY TO ITS PATRONS AND TO DO SO ON A COOPERATIVE BASIS. TAX LAW DEFINES "OPERATING ON A COOPERATIVE BASIS" AS SUBORDINATION OF CAPITAL, DEMOCRATIC CONTROL, AND OPERATION AT COST. THE COOPERATIVE OPERATES AT COST THROUGH THE ALLOCATION OF TRUE PATRONAGE DIVIDENDS (ALSO REFERRED TO AS ALLOCATIONS OF PATRONAGE CAPITAL) TO ITS PATRONS. PATRONAGE DIVIDENDS ARE CONSIDERED PAID IF THE ALLOCATION IS MADE (1) PURSUANT TO A PRE-EXISTING OBLIGATION, (2) FROM THE MARGINS PRODUCED FROM THE TRANSACTIONS DONE WITH OR FOR PATRONS, AND (3) IN A FAIR AND EQUITABLE MANNER ON THE BASIS OF PATRONAGE (I.E. PURCHASES). ADDITIONALLY, THE ALLOCATION OF PATRONAGE DIVIDENDS SHOULD BE MADE WITHIN A REASONABLE TIME PERIOD AFTER THE CLOSE OF THE COOPERATIVE'S YEAR-END OF DECEMBER 31. EACH ONE OF THESE REQUIREMENTS FOR A TRUE PATRONAGE DIVIDEND IS PROVIDED FOR IN THE NON-PROFIT OPERATION ARTICLE OF THE COOPERATIVE'S BYLAWS. THE AMOUNT REPORTED ON PART IX, LINE 4 REPRESENTS THE AMOUNT OF PATRONAGE CAPITAL THAT IS EITHER ALLOCATED OR TO BE ALLOCATED TO THE PATRONS RESULTING FROM THEIR PURCHASE OF ELECTRICITY FROM THE COOPERATIVE FOR THE 2015 CALENDAR YEAR. BECAUSE PATRONAGE DIVIDENDS ARE THE PROCESS BY WHICH THE COOPERATIVE OPERATES AT COST WITH ITS PATRONS AND THEREBY A KEY COMPONENT TO ACCOMPLISHING ITS EXEMPT PURPOSE, THE COOPERATIVE HAS REPORTED SUCH AMOUNTS AS AN EXPENSE FOR FORM 990 REPORTING. PATRONAGE DIVIDENDS ARE NOT AN EXPENSE FOR FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, HOWEVER. |
| FORM 990, PART X, LINES 8 AND 15 | THE COOPERATIVE PREVIOUSLY INCLUDED DEFERRED CHARGES, COMPRISED OF (1) REGULATORY ASSETS AND (2) PRELIMINARY SURVEY & INVESTIGATION COSTS, AS COMPONENTS OF OTHER ASSETS ON LINE 15 OF PART X. HOWEVER, FOR THE 2015 CALENDAR YEAR, THE COOPERATIVE BEGAN REPORTING THESE AMOUNTS ON LINE 8. TO INCREASE CONSISTENCY, THE TOTAL AMOUNT OF $625,126 FOR DEFERRED CHARGES FOR THE 2014 CALENDAR YEAR HAVE BEEN RECLASSIFIED FROM LINE 15 TO LINE 8 AS "PREPAID EXPENSES AND DEFERRED CHARGES'. |
| FORM 990, PART X, LINES 17 AND 23 | THE COOPERATIVE PREVIOUSLY INCLUDED CAPITAL LEASE OBLIGATIONS ON LINE 17 "ACCOUNTS PAYABLE AND ACCRUED EXPENSES". HOWEVER, FOR THE 2015 CALENDAR YEAR, THE COOPERATIVE BEGAN REPORTING THESE AMOUNTS ON LINE 23 AS "SECURED MORTGAGES AND NOTES PAYABLE TO UNRELATED THIRD PARTIES". TO INCREASE CONSISTENCY, THE TOTAL AMOUNT OF $589,970 OF CAPITAL LEASE OBLIGATIONS FOR THE 2014 CALENDAR YEAR WERE RECLASSIFIED FROM LINE 17 TO LINE 23. |
| Form 990, Part XI, line 9: | NET CHANGE IN MEMBERSHIP 990. DONATED CAPITAL - TRANSFER UNCLAIMED PROPERTY TO DEFERRED CREDIT -50,783. PATRONAGE CAPITAL ASSIGNABLE 815,397. PATRONAGE CAPITAL RETIRED -20,096. |
| FORM 990, PART XII, LINE 2C | MEMBERS OF THE BOARD OF TRUSTEES ARE ASSIGNED TO A FINANCE COMMITTEE; THE RESPONSIBILITIES OF WHICH INCLUDE OVERSEEING THE FINANCIAL STATEMENT AUDIT AND SELECTING THE INDEPENDENT FINANCIAL STATEMENT AUDITOR. PROCEDURAL CHANGES DID NOT OCCUR DURING THE YEAR. |
For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
Cat. No. 51056K
Schedule O (Form 990 or 990-EZ) 2015
Additional Data
| Software ID: | |
| Software Version: |