ASC 980 - Regulatory Accounting for Electric Cooperatives

CPE: 1 Credit Hour

Electric cooperatives operate in a unique environment where board-approved rates are designed to recover costs and maintain long-term financial stability. This session examines how ASC 980, Regulated Operations, allows cooperatives to align accounting results with the realities of the ratemaking process. Through practical examples and real-world cooperative scenarios, participants will learn how to account for regulatory assets and liabilities, navigate RUS considerations, and implement effective policies surrounding and supporting revenue and expense deferrals. 

Learning Objectives:
• Identify the scope criteria required for electric cooperatives to apply ASC 980 and understand why most cooperatives qualify for regulatory accounting.
• Analyze real-world examples of regulatory accounting transactions frequently encountered by electric cooperatives.
• Apply best practices for documentation, financial statement presentation, disclosure requirements, and annual assessments of recoverability under ASC 980.
• Identify key audit risks and common deficiencies related to ASC 980 documentation

Presenter and Moderator Bios

Presenter: Aaron Clayton, CPA, CGMA, National Energy Services Industry Leader, Eide Bailly LLP

Aaron Clayton is a seasoned public accounting professional and Partner at Eide Bailly LLP, where he leads the firm’s Telecommunications & Electric Industry Practice. With over two decades of experience, Aaron has built a reputation for delivering insightful financial audits and consulting services to clients across the electric utility industry sector.

Since joining Eide Bailly in 2004, Aaron has been instrumental in helping organizations navigate complex regulatory environments and adapt to industry changes through a combination of strategic insight, technical expertise, and personalized service. Aaron is known for his collaborative approach, working closely with clients to understand their goals and develop strategies that foster long-term success.

His commitment to client success is matched by his passion for mentorship and professional development—he actively engages with local universities and professional societies to inspire the next generation of CPAs. In addition to his technical skills, Aaron is an active contributor to his professional community, staying current on industry trends and continuously seeking opportunities to enhance his expertise. His dedication to providing value and delivering results has earned him a reputation for reliability and integrity within the accounting profession.

Aaron is a graduate of the AICPA Leadership Academy and a recipient of the AICPA Outstanding Young CPA Award. He has served in leadership roles within the South Dakota CPA Society and contributes to community initiatives through Junior Achievement, Habitat for Humanity, and Ronald McDonald House Charities of South Dakota.

Outside of work, Aaron enjoys coaching youth sports, spending time with his family, hunting, fishing, and golf – of course for the arithmetic.

Presenter: Parker Van Zee, Senior Manager, Eide Bailly Advisory LLC

Parker Van Zee, CPA, is a Senior Manager with Eide Bailly Advisory LLC. He has extensive experience working with cooperative clients, including electric cooperatives, and serving clients through audit and financial reporting engagements.Parker earned his degree from the University of South Dakota Beacom School of Business and became a licensed CPA in South Dakota in 2018. 

Moderator: Wayne Sine, CPA, MBA, Education Director, National Society of Accountants for Cooperatives

After retiring as Tax Director of a regional supply cooperative on the East Coast, Wayne Sine was asked to serve as Education Director for NSAC. As an active and long-term member of NSAC, Wayne previously served as Chair of NSAC’s Tax Committee, President of the Atlantic Chapter, and was a recipient of NSAC’s Silver Bowl Award. In addition to his work with NSAC, Wayne has also served on the Legal, Tax, and Accounting (LTA) Committee of the National Council of Farmer Cooperatives, Chaired the Tax Committees for both the Virginia Chamber of Commerce and the Virginia Manufacturers Association, served on the Tax Policy Committee of the Virginia Society of CPAs, and served as Region Vice President for Tax Executives Institute.