Cooperative Returns Capital Credits Early to Members
A&N Electric Cooperative and its Board of Directors understand the difficult times many of our members are facing during the COVID-19 outbreak.
In response, the cooperative’s board voted to return capital credits to its members earlier this year to assist when it is needed most.
As a not-for-profit utility company, A&N Electric Cooperative works hard to provide affordable and reliable service. Each year, revenues that exceed expenses (margins) are returned to members in the form of capital credits.
The cooperative typically returns capital credits to its members in August, but the board of directors elected to expedite refunds to June, to help members dealing with the current state of emergency. Refunds will be shown as a credit on an active member’s June bill statement and will vary based on length of membership and the amount of electricity used during the years retired. A total of $2.5 million in capital credits will be returned to eligible cooperative members.
Each year, the A&N Electric Cooperative Board of Directors reviews the financial condition of the cooperative to determine if a retirement of capital credits can be made. Capital credits are retired using a hybrid first-in, first-out and percentage method that distributes a portion of the approved retirement amount to all co-op members.
The commitment to our members has led to the return of over $26.8 million in capital credits since the cooperative was established.
In March, the cooperative suspended service disconnects and related fees for residential members throughout the state of emergency and have been working diligently with members to help find payment solutions for those who need them.
While the cooperative is making extraordinary efforts to ease the current burden placed on some of our members, it is important that all of our members know and understand that the waiver of disconnects is not a forgiveness of payment for electric service received. In fairness and concern for all cooperative members, everyone who receives electric service is still responsible to pay for the electricity they use.
Over the next few weeks, the cooperative will be reaching out to our members who have been unable to make payments due to the coronavirus. While it is not our typical practice to make phone calls to members, we understand the difficulty the coronavirus has posed on our members and would like to proactively help members develop a payment plan.
Our member service representatives are here for you to discuss payment programs and options with those experiencing unprecedented financial hardships. To set-up a payment arrangement or extension, members can call 757.787.9750 to speak with one of our member service representatives. Members can also request a payment extension by calling our automated system at 1.855.386.9921 or on SmartHub.