Jones-Onslow EMC is a not-for-profit organization owned by its customers. Ownership is reflected through the disbursement of Capital Credits. Funds received above the cost of operation (Capital Credits) are assigned annually to each member account. A percentage of these funds is returned to the customers on a modified twenty-year cycle.
The cooperative retains Capital Credit funds for two reasons:
- to keep the cooperative financially sound
- to build equity and reduce debt
Capital Credit refunds are distributed annually. Customers with active accounts will receive their Capital Credits as a “credit” on one of their electric bills. Those customers that have inactive accounts will receive refund checks. If you move or change your address, be sure to notify the cooperative office to ensure receipt of your refund.
The Board of Directors of the Cooperative has authorized retirement of all capital credits for 1993 and 25% of the capital credits for 2015. The aggregate amount of capital credits deemed available for retirement is $3,760,708.
Capital credits are monies that remain at the end of the year after operating costs are paid. Capital credits are assigned to each member based on the amount of the member’s electric bills for the year. For example if a member’s electric bills for the year of 2015 totaled $2,990.71 (this is considered the member’s patronage) their portion of the capital credits (also known as allocation) would be $103.68. This is calculated by multiplying the patronage of $2,990.71 times the 2015 allocation factor of 3.4666% to arrive at the current year’s allocation amount of $103.68. So to calculate how much credit you would receive since we are retiring 25% of the allocation for 2015 you would simply multiply the $103.68 times 25% to realize you should receive a $25.92 credit on your bill this year. If you had service with us in 1993, you would need to add any unpaid capital credits to this $25.92 for your total refund amount.