Bess Rural Energy Cooperative Lca
Public records raise at least one point you should look into before giving.
What it says it does
THE BESS RURAL ENERGY COOPERATIVE ELECTRIFIES RURAL AREAS TO CREATES ECONOMIC VIABILITY BY PROVIDING AFFORDABLE ENERGY SOLUTIONS THROUGH CURRENT TECHNOLOGICAL ADVANCES ENABLING CLEANER EFFICIENT. THROUGH PATRONAGE PURCHASING AND MEMBER PARTICIPATION, WE LOWER COSTS WHILST BUILDING COMMERCIAL ACTIVITY. MEMBERS ENGAGE WITH THE COOPERATIVE AS BOTH USERS AND VENDORS, CREATING MUTUAL BENEFIT.
- Income
- $43.5 million
- Spending
- $36.0 million
- Employees
- 0
- Volunteers
- 4
- Highest pay
- $10,000, ceo & chairman
Source: Form 990 for the year ending December 31, 2025, filed with the Internal Revenue Service. How we rate
Financial health
We do not score finances when yearly spending is very small or the return has too little detail. The ratios stop meaning much at that size.
Source: Form 990 for the year ending December 31, 2025, filed with the Internal Revenue Service. How we rate
Governance
This return does not answer enough of the governance questions to score.
Source: Form 990 for the year ending December 31, 2025, filed with the Internal Revenue Service. How we rate
Impact evidence
Describes programs. Its tax return describes what it does but we have found no measurable results in it.
Programs described in its return (3)
- HE COOPERATIVE ACQUIRED AND DEPLOYED 104 UTILITY-SCALE BATTERY ENERGY STORAGE SYSTEM UNITS (SUNGROW ST2236UX-US, ST3727KWH, AND SC4000UD-MV-US) AT OPERATIONAL SITES IN THE PERMIAN BASIN, LOVING COUNTY, TEXAS, FOR THE PURPOSE OF PROVIDING RELIABLE, DISPATCHABLE ELECTRICAL POWER TO OILFIELD COMPRESSION AND PRODUCTION FACILITIES OPERATED BY ITS MEMBERS. THE FLEET WAS PLACED IN SERVICE IN OCTOBER 2025. THE COOPERATIVE CONTRIBUTED THE FLEET TO ITS WHOLLY-OWNED SUBSIDIARY, DBD EXPRESS I, LLC, A TEXAS LIMITED LIABILITY COMPANY AND DISREGARDED ENTITY FOR FEDERAL INCOME TAX PURPOSES, TO FACILITATE PROJECT FINANCING AND OPERATIONS UNDER THE SUNWEST BANK CONSTRUCTION LOAN. THE DEPLOYMENT ADVANCES THE COOPERATIVE'S EXEMPT PURPOSE OF FURNISHING ELECTRIC ENERGY TO ITS MEMBERS AND RURAL COMMUNITIES UNDER IRC 501(C)(12). THE BESS FLEET WAS ORIGINALLY ACQUIRED FROM GRIDCORE INFRASTRUCTURE LLC PURSUANT TO A PURCHASE AND SALE AGREEMENT DATED SEPTEMBER 10, 2025, AT AN AGGREGATE PURCHASE PRICE OF $216,600,000, FUNDED BY THE $193,420,000 SENIOR SECURED LOAN, A $12,580,000 DEFERRED PURCHASE ADJUSTMENT, AND A $10,600,000 CASH DOWN PAYMENT DIRECTED BY GRIDCORE TO ITS EPC AND SOFTWARE PROVIDER, KYMA, AND FUNDED BY DBD FROM SUNWEST BANK LOAN PROCEEDS. AN INDEPENDENT THIRD-PARTY APPRAISAL COMMISSIONED BY SUNWEST BANK CONCLUDED A FAIR MARKET VALUE OF $92,000,000 FOR THE HARDWARE COMPONENT OF THE ACQUIRED ASSETS AS OF SEPTEMBER 9, 2025, UTILIZING A REPRODUCTION COST NEW APPROACH.
- THE COOPERATIVE QUALIFIED 101 RETAINED BESS UNITS FOR THE SECTION 48E INVESTMENT TAX CREDIT UNDER THE INFLATION REDUCTION ACT OF 2022 (P.L. 117-169). THE PROJECT QUALIFIES FOR THE PREVAILING WAGE AND APPRENTICESHIP MULTIPLIER, INCREASING THE BASE ITC RATE FROM 6% TO 30%, AND FOR THE 10% ENERGY COMMUNITY BONUS CREDIT UNDER IRC 45(B)(11), RELYING ON THE STATUTORY BROWNFIELD SITE DESIGNATION EXCEPTION AND THE PROJECT'S LOCATION WITHIN A DESIGNATED DEVELOPMENT ZONE IN THE PERMIAN BASIN. THE AGGREGATE ITC RATE IS 40% OF ELIGIBLE BASIS. THE EPC CONTRACTOR, MICROGRID DEVELOPMENT LLC, SUBSTANTIALLY FULFILLED THE PREVAILING WAGE AND REGISTERED APPRENTICESHIP REQUIREMENTS APPLICABLE UNDER IRC 3468 WITH THE GOOD-FAITH EFFORT EXCEPTION CONFIRMED. THE COOPERATIVE OBTAINED THE REQUISITE IRS PRE-FILING REGISTRATION NUMBER ON MARCH 18, 2026 AND WILL FILE THE APPLICABLE TAX RETURNS FOR DIRECT PAY DISBURSEMENT UNDER IRC 6417 BY MAY 15, 2026 DEADLINE. UNDER THE ITC PROCEEDS WATERFALL ESTABLISHED BY SECTION 2.5(B) AND SECTION 2.6(C) OF THE SENIOR SECURED LOAN AGREEMENT, ALL DIRECT-PAY ITC PROCEEDS RECEIVED BY THE COOPERATIVE MUST BE APPLIED FIRST IN FULL TO THE REPAYMENT OF THE SUNWEST LOAN OBLIGATIONS. ONLY AFTER THE SUNWEST OBLIGATIONS ARE FULLY SATISFIED MAY ANY REMAINING ITC PROCEEDS BE APPLIED TO THE COOPERATIVE'S SENIOR SECURED LOAN OBLIGATION TO GRIDCORE. THIS PROGRAM ENABLES THE COOPERATIVE TO MONETIZE FEDERAL CLEAN ENERGY INCENTIVES FOR THE DIRECT BENEFIT OF ITS MEMBERS AND TO REDUCE THE AGGREGATE COST OF ENERGY INFRASTRUCTURE DEPLOYMENT IN UNDERSERVED RURAL ENERGY MARKETS.
- THE COOPERATIVE, THROUGH ITS WHOLLY-OWNED SUBSIDIARY DBD EXPRESS I, LLC, EXECUTED A PURCHASE, SALE AND EPC AGREEMENT DATED NOVEMBER 30, 2025 (THE "HPS PSA") WITH HOMELAND POWER SOLUTIONS, LP ("HPS") (FORMERLY HOMELAND DIGITAL REIT, LP), A DELAWARE LIMITED PARTNERSHIP, FOR THE SALE OF A DESIGNATED PORTION OF THE BESS FLEET AND ASSOCIATED EPC SERVICES AT AN AGGREGATE CONTRACT PRICE OF $43,546,000. THE ASSETS SOLD COMPRISED: (I) THREE BESS UNITS NOT YET PLACED IN SERVICE; (II) THE POWIN BATTERY PURCHASE PACKAGE COMPRISING APPROXIMATELY 18 MW OF RATED POWER CAPACITY; AND (III) INVERTERS AND OTHER AUXILIARY EQUIPMENT COMPONENTS. AGGREGATE CONSIDERATION WAS STRUCTURED AS FOLLOWS: (I) A CLOSING PAYMENT NOTE OF $41,371,000, BEARING INTEREST AT AFR PLUS 6.00% PER ANNUM WITH A 10-YEAR CONTRACTUAL TERM AND A STRICT NO-ACCELERATION PROVISION; (II) AN HPS SHORT-TERM NOTE RECEIVABLE OF $1,675,000, BEARING INTEREST AT SOFR PLUS 1.50% PER ANNUM, DUE MARCH 30, 2026 (SUBSEQUENTLY PAID IN FULL ON MARCH 30, 2026); (III) $425,000 CASH FROM WACHTER HOLDINGS, LLC; AND (IV) $75,000 CASH FROM DJD CAPITAL. THE COMPANY HOLDS A PERFECTED FIRST-PRIORITY SECURITY INTEREST IN THE TRANSFERRED EQUIPMENT UNDER APPLICABLE PROVISIONS OF THE TEXAS UCC. COST OF GOODS SOLD OF $25,500,000 REPRESENTS THE AGGREGATE FACE AMOUNT OF A $3,500,000 SHORT-TERM PROMISSORY NOTE AND A $22,000,000 LONG-TERM REVENUE NOTE ISSUED TO GRIDCORE INFRASTRUCTURE LLC AS OBLIGATIONS INCURRED TO EFFECTUATE THE SALE, YIELDING GROSS PROCEEDS OF $18,046,000 (41.4% GROSS MARGIN). THIS PROGRAM SERVICE SUPPORTS THE COOPERATIVE'S MISSION OF DEPLOYING ENERGY STORAGE INFRASTRUCTURE TO SERVE ITS MEMBERS AND AFFILIATED ENERGY PARTNERSHIPS IN THE PERMIAN BASIN AND UTICA SHALE REGIONS.
Source: Form 990 for the year ending December 31, 2025, filed with the Internal Revenue Service. How we rate
Legitimacy checks
Is it registered with the IRS? Passed.
Listed in the IRS master file of tax-exempt organizations as a 501(c)(12) benevolent life insurance association or utility cooperative.
Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated September 7, 2026.
Has the IRS revoked its tax-exempt status? Passed.
Not on the IRS automatic revocation list.
Source: Automatic revocation of exemption list, Internal Revenue Service, file dated September 30, 2026.
Are donations tax-deductible? Caution.
The IRS master file records contributions to this 501(c)(12) benevolent life insurance association or utility cooperative as not deductible.
Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated September 7, 2026.
Is it keeping up with its IRS filings? Passed.
Most recent return on file covers the year ending December 2025.
Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated September 7, 2026.
How long has it been tax-exempt? Passed.
Recognized by the IRS since September 2025.
Source: Exempt Organizations Business Master File, Internal Revenue Service, file dated September 7, 2026.
Is it in good standing with state regulators? Passed.
Not on California's list of charities barred from soliciting. Other states are not yet checked.
Source: May Not Operate or Solicit for Charitable Purposes list, California Attorney General, Registry of Charities and Fundraisers, file dated October 7, 2026.
Ratings and checks are our reading of public records, using the published method. They are not a statement about anyone's honesty. If you work for this organization, you can send corrections or results, confirm you want gifts through Veridonate, or ask to be removed from giving.