2022 CFC Form 7 Submitters Share Insights, Value of KRTA

The first cooperative to submit its CFC Form 7 this year was Boaz, Alabama-based Marshall-DeKalb Electric Cooperative. 

“The form submission process is relatively simple and easy to navigate,” Marshall-DeKalb Chief Financial Officer Jennifer Oliver said. “Each field has a drop-down that explains what accounts should be entered in that field. That feature is very helpful if you are not sure. CFC’s template checks everything to ensure it all balances, which is a big help.” 

DeRidder, Louisiana-based Beauregard Electric Cooperative was the second cooperative to submit its CFC Form 7. Beauregard Electric Cooperative Vice President of Finance and Corporate Services Ashley Mazilly attributed the early submission to the accounting staff’s increased training that provided “more hands on deck” for the year-end closeout and reporting.

CFC Form 7 Submission Work Followed Year-end Financial Reporting

They use the Key Ratio Trend Analysis (KRTA) report, which is compiled from Form 7 data, to benchmark how their cooperative compares with others for a number of financial metrics.

“The KRTA report is a powerful tool that we can use to compare ourselves with several different types of metrics,” Marshall-DeKalb General Manager Scott Bobo said. “It is important for our board that we review the information to see areas where we can improve. The KRTA gives us an important summary of our system’s performance and it is important to look at trends to plan for the future.”

Mazilly attributes her interest in the KRTA reports and the value they provide to taking the Cooperative Financial Professional Certificate (CFPC) training program. “Over the years I’ve gained more understanding on what the KRTA ratios represent, their relevance and the opportunities found within the reports,” Mazilly said. “The CFPC class provided education on all aspects of cooperative accounting and finance, with KRTA being a major topic. This is where I gained the most understanding of KRTA ratios and was able to use the KRTA reports to their full potential. I encourage all cooperative financial leaders to take advantage of the program.” 

Bobo added, “I would like to thank Jennifer and her team for being invaluable to me and the board. They are consummate professionals and always strive and work to do what is best and correct. Our cooperative is better because of people like Jennifer and her team.”

CFC Form 7 Submission Deadline Is April 30

Rural Utilities Service (RUS) borrowers have until March 31 to submit Form 7s to the federal agency and non-RUS borrowers have until April 30 to submit the CFC Form 7. Data submitted to RUS are automatically retrieved by CFC to compile the KRTA. The report provides an in-depth look at the financial and operational performance of more than 800 electric cooperatives annually since 1975. The CFC Form 7 assists in credit underwriting and loan decisions in addition to letting members see how they perform in the KRTA.