PEC has paid almost $30 million in capital credits since 1986
Our 85th anniversary celebration continues as we look forward to our upcoming Annual Meeting on Saturday, September 30, 2023, at the Pontotoc County Agri-Plex in Ada. This month we ‘flashback’ to 1986, when PEC resumed paying capital credits to members and returned approximately $300,000 in capital credit payments during the 1987 Annual Meeting. 921204300
We are proud to say, PEC members still get the credit – capital credits, that is – for helping build, sustain, and grow your local electric cooperative. Since 1986, almost 30 million dollars have been returned to members receiving power in the co-op’s eleven-county service area. When you receive your capital credit check in the mail this year, we want you to understand the value of being a cooperative member.
How It Works
When you sign up to receive service from PEC, you become a member of PEC, your local cooperative. While investor-owned utilities return a portion of any profits back to their shareholders, electric co-ops operate on an at-cost basis. Instead of returning leftover funds to folks who might not live in the same community or even the same state, PEC assigns and pays capital credits to its members based on the amount of kilowatt hours you used in previous years. Capital credits are those margins that are left over at the end of every year when all bills and expenses have been paid. Expenses include things like power generation, transmission, maintenance, and operations. Capital credits are paid to members only when the financial condition of the cooperative allows it to retire a portion of the funds according to the guidance of the co-op’s bankers and Board of Trustees.
Currently, PEC’s retired capital credits are distributed in the form of a check to members via mail and should arrive in members’ mailboxes by mid-September. Capital credit checks are only written for retired amounts of $5 or more.
“All PEC members are encouraged to attend this year’s annual meeting and should start looking to receive their check in the mail around mid-September,” said Jennifer Boeck, PEC Day organizer and PEC’s vice president of corporate communications and community relations. “It’s important that our members not throw away their PEC Day mailer, since it will be needed to register for the many great prize drawings and to receive this year’s registration gift, an electric USB lighter.”
Save the date
This year, PEC Day takes place on Saturday, September 30 at the Pontotoc County Agri-Plex in Ada. The event includes free admission and will open to the public at 9 a.m. Again this year, PEC Day goers should be aware that PEC’s registration will be drive-thru only to help avoid and alleviate the crowd at the entrance of the Big Red Barn. 560400112
Visit our Annual Meeting page for more information on PEC’s annual meeting or to secure a booth.