A contract asset represents an entity's right to consideration in exchange for goods or services that the entity has transferred to a customer when that right is conditioned on something other than the passage of time (for example, the entity's future performance). Tri-State had no contract assets as of March 31, 2026 and December 31, 2025.

Tri-State records accounts receivable for its unconditional rights to consideration arising from its performance under contracts with the Members and other parties. Uncollectible amounts, if any, are identified on a specific basis and charged to expense in the period determined to be uncollectible. See Note 13 – Revenue.

A contract liability represents an entity’s obligation to transfer goods or services to a customer for which the entity has received consideration from the customer. Tri-State has received deposits from others and these deposits are reflected in unearned revenue (included in other deferred credits and other liabilities on Tri-State's consolidated statements of financial position) before revenue is recognized, resulting in contract liabilities. During the three months ended March 31, 2026, Tri-State recognized $0.1 million of this unearned revenue in other operating revenues on its consolidated statements of operations.


	March 31, 2026		December 31, 2025
Accounts receivable - Utility Members	$	86,635	$	83,743

Other accounts receivable - trade:
Non-member electric sales	17,262		20,921
Other	16,278		3,807
Total other accounts receivable - trade	33,540		24,728
Other accounts receivable - nontrade	21,371		8,164
Total other accounts receivable	$	54,911	$	32,892

Contract liabilities (unearned revenue)	$	3,051	$	3,182