MCREA Retires $2.5 Million in Patronage Capital, Issues Capital Credits Checks
Cooperative businesses like Morgan County Rural Electric Association differ from investor-owned utilities because we operate to serve the needs of our members, not to increase the profits of stockholders. For example, when MCREA experiences greater income than expense (called margins), those returns (called patronage capital) are reissued to our members in the form of capital credits checks. In contrast, investor owned utilities send their profits to their stockholders.
In November, 2018, the Morgan County REA Board of Directors authorized patronage capital retirements totaling $2.5 million for a complete retirement of 2003 and 2004 and partial retirement of 2005 MCREA allocations, along with a complete retirement of 1998, 1999, and 2000 and partial retirement of 2001 generation and transmission margin allocations. This year the Morgan County REA Board of Directors returned $500,000 more than the previous two years. If you were an MCREA member in any (or all) of those years, you should have received a capital credits check for your share of the margin allocations in December, 2018.
Unclaimed Capital Credits
In November, 2018, the Morgan County REA Board of Directors authorized patronage capital retirements totaling $2.5 million for a complete retirement of 2003 and 2004 and partial retirement of 2005 MCREA allocations, along with a complete retirement of 1998, 1999, and 2000 and partial retirement of 2001 generation and transmission margin allocations. This year the MCREA Board of Directors has returned $500,000 more to the membership than the previous two years.
It is not unusual for MCREA to have unclaimed or uncashed capital credit checks from our margin allocations. In some cases, letters containing refunds were returned due to lack of current address. We also have instances in which capital credits checks were never cashed.
Capital credits checks were mailed in December, 2018. If you did not received a capital credit check, and you were a Morgan County REA member in the years listed above, please contact MCREA to verify that we have your current address to ensure that your capital credits check finds you. For information or questions, please call us at 970-867-5688 or email: customerservice@mcrea.org.