For immediate release:
7:00 a.m. – Tuesday, September 7, 2021
More than 18,000 checks were mailed to San Isabel Electric consumers on Tuesday, September 7, returning nearly $1 million in capital credits to San Isabel Electric member-owners. Checks range from $10 to hundreds of dollars for residents, school districts, businesses, with a few larger businesses and governments receiving several thousand dollars.
This year, members from 1990, 1991, and 2020 will receive capital credit checks in the mail, reflecting their ownership of the cooperative during those years.
In the last five years, San Isabel Electric has returned $6.7 million in capital credits to schools, businesses, and residents.
What are capital credits?
Unlike investor-owned utilities, electric cooperatives provide electricity at cost, charging just enough money to run and expand the business. Money paid to the co-op by members is used to cover expenses to keep the electricity flowing – expenses like poles, wire, trucks and staff. Co-ops save a portion of the money paid by members to cover emergency expenses and to build and maintain a reliable electric delivery system.
At the end of each calendar year, operating expenses are subtracted from the total amount of money collected during the year. Any remaining revenue is allocated to members. The co-op does not immediately distribute the full amount of allocated capital credits to keep rates low and to plan for unforeseen changes that could affect rates or the strength of the company. When it’s safe to do so, San Isabel Electric’s board retires a portion of the retained capital credits and refunds the money to member-owners. Every year, allocation statements are sent out letting members know the dollar amount of their share of what the co-op saved.
As a not-for-profit cooperative utility, San Isabel Electric provides affordable, reliable electricity with exceptional service to communities throughout southern Colorado. Serving nearly 20,000 member-owners and 24,000 meters, San Isabel Electric has been keeping the lights on since 1938. We don’t just serve communities. We are part of communities.