Class-Action Lawsuit Focuses on Cooperative Board Compensation
A South Carolina electric cooperative, Tri-County Electric Cooperative, Inc., was recently named in a class-action lawsuit focusing on its board’s compensation. The lawsuit was filed by member Roy C. Smith on behalf of …
Three executives of Eastern Oregon Telecom (EOT) announced in May they have purchased the internet and phone provider from its parent company Umatilla Electric Cooperative. EOT General Manager and CEO Joe Franell, CFO Paul Keeler and COO Richard Holbo, …
Mississippi’s utility regulator, the Public Service Commission, wants to permit electric cooperatives to offer broadband to its customers. PSC Commissioner Presley, along with 48 lawmakers and representatives of more than a dozen Mississippi electric cooperatives, recently traveled to Alabama to …
One of the initial questions for a group forming a cooperative in Georgia is whether the cooperative should be legally organized in Georgia or in another state. This question most often comes up because Georgia, unlike some other states, has …
The following article is reprinted with permission from Cooperative Grocer, March/April 2018.
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Part II of the series on the impact of tax reform on cooperatives discusses the changes to Unrelated Business Income Tax (“UBIT”). Whereas Part I primarily focused on taxable cooperatives and new Section 199A, this part focuses on tax-exempt …
Cooperatives provide high-speed broadband services in metropolitan and rural areas throughout the country. So they should pay attention to the Federal Communications Commission’s recent action affecting broadband service providers.
The FCC issued a ruling on the regulatory classification of broadband …
On December 22, 2017, Congress’ new tax reform bill became law as Public Law 115-97 (the “Act”). The Act substantially amends the Internal Revenue Code including provisions that directly impact cooperatives. This post is the first in a series that …
The United States Department of Agriculture (USDA) announced this month the recipients of over $200 million in loans and grants to bring broadband to hundreds of unserved and underserved rural communities. These awards, part of the Community Connect Program, are …
Taxable cooperatives – including Subchapter T cooperatives and taxable rural telephone and electric cooperatives – must determine whether income and expenses are considered patronage-sourced or not. This is called patronage determination. It is critical to taxable cooperatives because it determines …