Money Back To You!
Capital credits reflect the not-for-profit nature of our Cooperative. Capital Credits are actually the amount of money that is “credited” to a member’s account at the end of each year. This amount is based on revenue remaining after expenses have been paid. Investor-owned utilities return this margin (profit) to the stockholders through dividends. In the case of a member-owned non-profit cooperative like Douglas Electric Cooperative, the margin is credited to the member owner on a pro-rata basis as capital credits.
Capital credits represent your share of the Cooperative's operating income (operating revenue remaining after operating expenses). The amount earmarked in your name depends on your energy purchases. To calculate this, we divide your annual energy purchase by the Cooperative's operating income for the year. The more electricity you buy, the more capital credits you earn.
The Coop retains these capital credits for two reasons:
1. As working capital to keep the Coop financially sound and to allow for emergencies such as storm damage.
2. To retire debt and build equity in the Coop.
This year, 2020, $800,000 will be returned to the members. It will include those receiving service from 1990 to 1993.
As capital credits accumulate, the Coop still retains the amount needed for financial strength, but distributes an amount determined by the Board of Directors and within RUS regulations to their members in a general retirement of capital credits.
At times, the Coop may be unable to contact former members or their next of kin to distribute retired capital credits. Use the search box below determine if you or a family member has unclaimed capital credits. If you find that you or a family member has unclaimed capital credits, please call the office at 541-673-6616 with the full name and member number and one of our member service representatives will assist you.