Capital Credits

The search below will allow you to search your name or a family name to see if there are any unclaimed Capital Credits sitting at the cooperative for you. If you do find your name, call the office at 607-293-6622 and we will help you from there!

Cooperatives are not like for-profit companies that are owned by investors. As a member of Otsego Electric Cooperative (OEC), you aren’t just a customer, you’re also a part-owner of your Co-op. This means you get to vote on who will represent you on the Co-op’s Board of Directors and when the Co-op earns excess revenue or margin, you are allocated a portion of that equity.

This equity is first used to fund capital projects to keep our distribution system safe and reliable but it will eventually be returned to our members when the Co-op’s finances allow. Member equity in OEC is represented by Capital Credits.

Member Capital Credits being returned is a large part of what distinguishes a cooperative from an investor-owned or municipal utility. As you use, you earn!

Search Below!

Select any filter and click on Apply to see results

Capital credits are OEC members’ share of equity in their Co-op. Co-op members are allocated capital credits every year if OEC collects more money through its distribution rates than it spends each year. This difference would very roughly be considered profit in a traditional for-profit business and is also referred to as “margins.” These margins are first used to fund needed investments in OEC’s distribution system and to keep electric rates affordable but will eventually be returned to the members who paid the rates.

When new members sign up for service with OEC, two accounts are created in their name: a billing account and a capital credit account. The capital credit account is specific to you (and your spouse if the account is joint). Regardless of how many times you move or how many billing accounts you may have with OEC, you have one capital credit account that stays with you. At the end of each year, OEC’s margins are allocated to the members. Your share is tracked in your permanent capital credit account for that year.

We will need a copy of your divorce decree. You might be able to receive the capital credits if there is a provision in your divorce decree that disposed of the capital credits as part of marital property. If there is no provision taking care of transfer of the credits, you might have to get your ex-spouse to sign a document transferring the payment to you. Please call us about specific details of these situations.

The Cooperative’s Board of Directors determines every year whether the Cooperative is in good enough financial standing to distribute capital credits and, if so, how much can be distributed. If a capital credit is to be paid, it will usually be sent by check to your last known address in the Co-op’s records. If the credit is less than a certain amount, sometimes the Board will elect to give you a credit on your bill, if you are an active member of OEC.

If a member or former member dies, the capital credits in the member’s account become a part of the estate. For the capital credits to be properly refunded, an executor or administrator must present two items: 1) Proof of death such as a death certificate or obituary; and 2) a Certificate of Appointment from the Surrogate’s Court. Sometimes OEC will accept an Affidavit from the Administrator or Executor of an estate if the amount to be paid is not large. Please call the office if a family member has passed away so we can update our records and we will tell you what we need.

Our Apologies:

Capital Credits

Search Below!

FAQ's

Our Apologies:

What are Capital Credits?

How are Capital Credits allocated to members?

How are members' Capital Credits tracked?

Could OEC lower rates instead of returning Capital Credits?

What do I do if my spouse and I are divorced?

What if I was a former member & have Capital Credits?

What if I receive a check that is not mine?

How & when will I receive my Capital Credit refund?

What determines the amount of my Capital Credit refund?

Why can't my Capital Credit allocations be refunded to me all at once?

Are my Capital Credit refunds taxable?

What happens to my Capital Credits if I move out the Co-op's service area?

What happens to the Capital Credits of a deceased member?

What if I am due on my OEC bill when Capital Credits are returned to members?