For over seventy years, White River Electric Association (WREA) members have helped build, grow and sustain their local electric cooperative through revenue s generated from electric sales. Revenues that exceed annual expenses are referred to as margins. WREA retains these margins to use as working capital to operate, maintain and expand the electric distribution system. Each year margins are allocated to members in the form of capital credits.
Capital credit allocations are based upon the annual amount members pay for electric service. The allocated capital credits remain in the members’ name until the Board of Directors determines that it is in a financial position to pay (retire) them back to the membership. Generally capital credits are paid out to members on an average twenty - year rotation.
In 2018, WREA retired over $600,000 dollars to its members and former members. Specifically, the board approved to pay out twenty - five percent of the patronage capital from 2003 in the amount of $264,000. Because WREA also allocates and retires capital credits received from its wholesale power supplier Tri-State Generation & Transmission, the WREA Board also approved to pay out $345,000 in Tri-State capital credits for WREA members receiving electric service in 1995.
Uncashed checks remain “unclaimed” and are eventually used for educational scholarships if former members cannot be located. If you were a member of WREA and believe you’re missing a capital credits refund, please contact our office at 970 - 878 - 5041.
“Allocated” capital credits are the profits assigned to a member based on their electric consumption and reflect the members’ equity, or ownership, in WREA. The allocated credits remain in the members’ name until credits are fully “retired” (or paid) to the member. Currently, WREA sends retirement checks each August as authorized by the board of directors.
Not necessarily. The WREA Board of Directors assesses the financial condition of the cooperative annually and determines what amount of capital credits to retire to our members. If the board determines money is to be retired, checks will be mailed to members whose capital credits have been allocated the longest - known as the first - in - first - out method (FIFO).
No. Allocated capital credits may not be used to pay current bills. Your electric bill is due monthly, whereas you may not be entitled to receive your capital credits for several years. Currently, WREA is on a 16 year “retirement cycle” and recently reti red a portion of credits earned in 2003.
Your capital credits remain on our books, and in your name, until they are fully retired. Because retirements continue to be made many years after credits are earned and allocated, we encourage you to make sure that WREA always has your current mailing address. To verify your address for future capital credit refunds, please call 970 - 878 - 5041.
The capital credit s allocated to a deceased member belong to that member’s estate. For an estate to be considered for an early refund, the legal representative of the estate must provide WREA with:
- Certified death certificate
- Request (in writing) from the personal representative, executor, or other identified legal heir of the deceased member, requesting that the patronage capital estate be retired in full.
- A copy of the legal heir’s claim to such property, (i.e. Last Will and Testament, Letter of Testamentary issued by the court, Small Claims Affidavit, etc.)
Please contact WREA’s Capital Credits department at 970-878-5041 to initiate a capital credits refund for a decedent’s estate.