Tipton, Mo. (Dec. 5, 2014) — Co-Mo Electric Cooperative members are receiving their portion of $2 million in retired capital credits on their electric bills.
The Cooperative’s Board of Directors at its September meeting authorized the return of $869,409.70 to active members and $1,130,590.30 to those who last earned capital credits in 2003.
Since the cooperative was formed in 1939, the board of directors has authorized the return of more than $44 million to members.
“This is what separates us as a cooperative from other forms of businesses,” said Ken Johnson, Co-Mo CEO and general manager. “Any part of our members’ investment in the cooperative above and beyond the cost of doing business is allocated to back to them and can then be returned after approval from the board.”
The retired capital credits were used to finance the cooperative’s operation in previous years.
“The investment members make in their cooperative is vital to improving and maintaining the system,” said Co-Mo Finance Manager Sean Friend.
This is the 10th straight year the cooperative has returned money via a credit on members’ electric bills. By not mailing checks to active members, the cooperative has saved more than $120,000 for its members.
Johnson said it’s rewarding to be part of a business that gives money back to its members, especially at this time of year.
“We look at this as a great time to be taking some pressure off the bills for our members,” Johnson said.
Credits are distributed based on how long members have been part of the cooperative. Those who joined this year have not earned any credits yet.
Most members will receive a credit on their bills lower than in previous years. The cooperative’s Board of Directors was able to keep electricity rates level for 2015, but to do so it retired a smaller dollar total of capital credits.
“This was obviously a tough decision,” Johnson said. “We felt it important to keep rates the same because of how difficult that is going to be in coming years, and we’re happy that, despite the smaller amount most members will see, we’re still able to return a significant total dollar amount.”