Capital Credit Refunds Exceed $5 Million
Capital credit checks to be mailed in early August
General Manager/CEO Dan L. Brown announces Cuivre River Electric Cooperative will refund a record $5.05 million in member equity this year.
The refunds include a portion of the cooperative's 2015 and 1993 margins, also called "capital credits," and will be distributed next month.
Refunds will include 28% of members' equity from 2015 and the remaining equity from 1993 (portions were refunded in 1994 and 2015).
Manager of Finance and Accounting Susan Dollins reports the average check amount for members who had service during 2015 is $42. The average amount for members who had service in both 2015 and 1993 is $124. "For long-term members, the refund amount equals almost one month of free electricity," says Dollins.
The majority of current members will receive a check, to be mailed the first week of August. Exceptions: members with refunds of less than $15 or with a 30-day past-due balance. These refunds will be posted as energy bill credits.
Prior to being refunded this member capital has been used in place of commercial loans to construct the Cooperative's physical plant. Using member capital holds down interest expenses that would otherwise be borne by members.
This decision to issue refunds and the amount that can be refunded is determined by the Cuivre River Board of Directors on a year-by-year basis, as financial circumstances permit. Directors' commitment to the refund process is in keeping with the cooperative's long-standing tradition to acknowledge members' ownership interest by refunding a portion of their equity investment.
Capital credits and member control make cooperatives very different from most Missouri utilities. The cooperative is accountable to, owned and governed by the people it serves.
Things you should know:
- Your capital credits are reserved for you even if you discontinue Cuivre River service. Cuivre River will attempt to reach you when refunds are made if a current address is on file.
- Checks will expire after six months. Checks returned by mail are held while they remain valid. After six months they are applied as bill credits to their respective active accounts. By request, they may also be donated to Operation Round Up to help families in need.
- To claim a check returned to us in the mail, you must provide valid identification.
- In accordance with Cuivre River Bylaws, if your check is unclaimed after two years, your name is published in two consecutive issues of a local newspaper in the county where you last received Cuivre River service. Checks unclaimed after 60 days of this publication requirement are assigned to the Cooperative.
- If you call to establish new service in the future, tell us if you've previously been a Cuivre River member to help us keep past and current records up to date.
Questions? Check the FAQs on the next page, or call Kristen Turgeon or Roman Schuette at (800) 392-3709, ext. 4384.