Co-op Puts $2.3 Million Back in Members’ Pockets
LIVINGSTON, August 31, 2014 – The Sam Houston Electric Cooperative Board of Directors recently voted to approve the return of $2.3 million to Co-op member-owners. Returned as capital credits, these refunds will be issued as a credit on members’ September electric bills.
Capital credits are allocated from revenues collected in excess of operating expenses during the previous year. Once the determination has been made that the financial condition of the Cooperative is stable and adequate to meet operating costs, debt covenants and emergency expenses, the Board can elect to return a portion of excess capital in the form of capital credits to Cooperative members. Capital credits are proportionate to individual electric use.
“Unlike investor-owned utilities that pay out dividends to shareholders, Sam Houston EC returns unused capital, or monies collected in excess of operating costs, to our memberowners in the form of capital credits,” said Kyle J. Kuntz, Sam Houston Electric Cooperative CEO. “We work hard to find the best deals on electricity and operate as efficiently as possible in order to pass savings on to our members.”
To date, Sam Houston EC has returned more than $30 million in capital credit refunds to its member-owners.
Sam Houston EC members with questions regarding capital credits are encouraged to contact a Cooperative member service representative at 1-800-458-0381.
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