Being a member of an electric cooperative entitles you to a share of the margins generated by the cooperative for the period of time you receive service.
Each year, any margins (revenues in excess of expenses) generated by Union Power are proportionally allocated to you as capital credits and are held in an account in your name. Those margins are then reinvested into the cooperative for capital expansion, system improvements and on-going operations and maintenance activities. This reduces the amount of money being borrowed which helps keep rates as low as possible.
Once the cooperative has met its financial requirements, and after a period of time, capital credits are returned (paid) to you. Capital credits may be paid to you in the form of a check or applied as a credit on your electric bill.
Capital Credit retirements were recently approved by your Board! Checks are being distributed in September to members and former members who received service in 1996 or 1997.
Note: If you terminate service, it is your responsibility to maintain a correct mailing address with Union Power for purposes of future capital credit payments.