Capital Credits Coming in April
Members: check your April bill for your capital credit retirement! Being a not-for-profit utility means it exists soley to serve its members. One of the biggest advantages of being a CEC member are capital credit retirements. In 2025, CEC's Board of Directors voted to retire over $2 million to our membership in 2026. Below are some of CEC's most frequently asked capital credit questions.
Capital credits are a return of members’ equity or ownership in the cooperative that has accumulated over a period of time.
A few factors determine how much capital credit money the co-op can retire. CEC must have enough cash on hand to cover operating costs to provide reliable service and pay expenses. Additionally, the co-op must maintain a good equity ratio. Retiring capital credits reduces CEC’s equity ratio, so this must remain in good standing after paying members.
Once CEC’s finance and accounting department determines how to keep the cooperative within a healthy equity ratio, the board of directors is presented with four options for approval. The board prefers an option that gives something back to everyone, whether the member has been with CEC for one year or 25 years.
CEC operates on a 17 year capital credit rotation. The goal of the rotation is to maintain healthy business operations and equity levels.
The co-op is retiring $2.1 million in 2026. Members will see this appear as a bill credit on their April bill.
Members who have an active account with CEC will receive their capital credits via a bill credit on their April electric bill. If someone has moved or is no longer a member, they will still receive their capital credit allocation. However, since they no longer have an account, a check is issued to them instead.
CEC seeks out former members who are due capital credits, even if they are no longer a member. If the member does not claim them and the capital credits remain unclaimed for three or more years, they are transferred to a fund for charitable and educational purposes. Scholarships, the Youth Tour program and various community donations are just a few examples of what unclaimed capital credits are used for.
Since capital credits may not be retired for several years, it is important that you keep the cooperative informed of your current address. If you move and are no longer a member, be sure to update your contact information so we can send you a capital credits check.