Oregon Trail Electric Cooperative’s board of directors approved the return of $2.95 million to the cooperative’s member-owners in December at its Nov. 16 meeting.
The money is being returned to members in the form of capital credits, also known as members’ equity or margins, according to a press release. Because OTEC is a nonprofit utility, margins earned during the year are invested in capital projects that keep the cooperative’s infrastructure in good working order so power is available when it is needed. On an annual basis, part of the margins earned from past years is returned to members served by the cooperative.
This December, capital credits will be distributed to members by a credit on their electric bill or a check. Capital credits less than $15 will be applied as a billing credit to the member’s account. Members with capital credit balances $15 or greater will receive a check through the mail.
“Capital credits are an important part of being a cooperative, said OTEC General Manager and CEO Les Penning. “Because we are a nonprofit cooperative, OTEC is returning excess revenues generated during the harsh winter season last year in addition to capital credits already scheduled for retirement.”
Since 1995, OTEC has returned $33 million in capital credits to members. This year’s distribution is the largest return of capital credits in the history of the cooperative. Anyone with questions about their capital credit account should call their local OTEC office.
Oregon Trail Electric Cooperative is a member-owned electric utility serving 25,000 member-owners in Baker, Union, Grant and Harney counties. For more information visit otecc.com.