To the Editor:
I read in the Aug. 23 Blue Mountain Eagle that Oregon Trail Electric Cooperative will be increasing our electricity costs due to a 5.4 percent power rate and 0.7 percent transmission rate increase from Bonneville Power.
We may be in trouble.
I recently applied to OTEC for a friend’s capital credits. Documents from OTEC said capital credits less than 15 years old were subject to a discount rate of “5.3 percent”. Anything older than 15 years were paid 100 percent. When I went to school, 5.3 percent of $100 was $5.30; of $1,000.00 was $53.00 and 5.3 percent on his capital credits totaling $1,472.99 would be $78.07. OTEC withheld $343.52 from $1,472.99. That is almost 24 percent (23.32127).
I sent OTEC a letter on June 19 asking how they calculated the “5.3 percent discount,” but they never responded. Plus some of his capital credits were probably older than 15 years and exempt from withholding.
I admit, I went to school before the schools started teaching what they referred to as “the new math.” I don’t know if OTEC is using the “new math” or creative math to calculate their capital credits refunds.
Maybe one of the math teachers who read this letter can tell me what is wrong with my math calculations. Or maybe the math teachers can give OTEC lessons on how to calculate percentages before they use their creative math to calculate the rate increases they will charge us in October.