TIN:
SCHEDULE O
(Form 990)
Department of the Treasury
Internal Revenue Service
(Form 990)
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.
Go to www.irs.gov/Form990 for the latest information.
OMB No. 1545-0047
2021
Open to Public
Inspection
Inspection
Name of the organization
CRAIGHEAD ELECTRIC COOPERATIVE CORP
Employer identification number
71-0039695
71-0039695
| Return Reference | Explanation |
|---|---|
| FORM 990 | FORM 990, PART IX, LINE 4: PURSUANT TO THE FORM 990 INSTRUCTIONS, THE AMOUNT OF PATRONAGE DIVIDENDS PAID TO MEMBERS (HEREINAFTER REFERRED TO AS "PATRONAGE DIVIDENDS PAID") REFERS TO THE PROCESS, SUBSEQUENT TO YEAR-END, BY WHICH THE COOPERATIVE ALLOCATES PARTRONAGE CAPITAL TO AND, THEREFORE, OPERATES AT COST WITH ITS PATRONS. THE COOPERATIVE'S TAX EXEMPT PURPOSES 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 CALENDAR TAX 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 COOEPRATIVE'S BY-LAWS. 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 2020 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, PAGE 2, PART III, LINE 4D | SALE OF BROADBAND SERVICES TO MEMBERS. |
| FORM 990, PAGE 6, PART VI, LINE 6 | MEMBERS |
| FORM 990, PAGE 6, PART VI, LINE 7A | YES |
| FORM 990, PAGE 6, PART VI, LINE 7B | YES |
| FORM 990, PAGE 6, PART VI, LINE 11B | FINAL DRAFT OF 990 IS REVIEWED BY THE BOARD OF DIRECTORS PRIOR TO SUBMISSION. |
| FORM 990, PAGE 6, PART VI, LINE 12C | ON A PERIODIC BASIS, ALL EMPLOYEES AND DIRECTORS WILL BE PRESENTED WITH A COPY OF THE CODE, RECEIVE TRAINING AND PERIODIC COMMUNICATIONS TO INSURE THAT EMPLOYEES AND DIRECTORS ARE FAMILIAR WITH THE CONTENTS AND REQUIREMENTS OF THIS POLICY. |
| FORM 990, PAGE 6, PART VI, LINE 15A | THE COMPANY RETAINS THE SERVICES OF AN OUTSIDE CONSULTANT FOR COMPENSATION REVIEW. |
| FORM 990, PAGE 6, PART VI, LINE 15B | THE COMPANY RETAINS THE SERVICES OF AN OUTSIDE CONSULTANT FOR COMPENSATION REVIEW. |
| FORM 990, PAGE 6, PART VI, LINE 19 | BY-LAWS ARE PROVIDED TO ALL NEW MEMBERS UPON MEMBERSHIP AND AVAILABLE ON THE COMPANY'S WEBSITE. |
| FORM 990, PART IX, LINE 11G | PURCHASED POWER-NET OF CREDIT 42,045,432 0 0 TRANSMISSION EXPENSE 30,238 0 0 DIST EXPENSE - OPERATION 4,375,451 0 0 DIST EXPENSE - MAINTENANCE 3,473,917 0 0 CUSTOMER ACCOUNTS EXPENSE 2,582,859 0 0 CUSTOMER SERV & INFO EXPNESE 229,248 0 0 SALES EXPENSE 315,525 0 0 ADMIN & GENERAL EXPENSE 4,299,513 0 0 TAX EXPENSE - OTHER 6,390 0 0 INTEREST EXP - LONG-TERM DEBT 3,845,010 0 0 INTEREST EXPENSE - OTHER 15,115 0 0 OTHER DEDUCTIONS 27,569 0 0 DIRECTOR COMP REPORTED ABOVE -146,126 0 0 NONQUAL COMP REPORTED ABOVE -1,313,187 0 0 KEY/HCE COMP REPORTED ABOVE -297,101 0 0 OTHER WAGES REPORTED ABOVE -8,279,938 0 0 EMPOWER LEASES - ELIMINATED -1,769,973 0 0 DISTRIBUTION EXPENSE - OP 4,900,653 0 0 DISTRIBUTION EXPENSE - MA 3,925,479 0 0 CUSTOMER ACCOUNTS 96,814 0 0 CUSTOMER SERVICES 796,573 0 0 SALES EXPENSE 580,903 0 0 ADMINISTRATIVE AND GENERA 1,205,142 0 0 TOTAL 60,945,506 0 0 |
| FORM 990, PART XI, LINE 9 | TEMPORARY DIFFERENCE BETWEEN ALLOCATED 5,776,168 CAPITAL CREDITS AND RETIRED CAPITAL CREDITS 0 EMPOWER PATRONAGE DIFFERENCE -495,196 MEMBERSHIPS -3,458 TOTAL 5,277,514 |
For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
Cat. No. 51056K
Schedule O (Form 990) 2021
Additional Data
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