Returning capital credits is a two-step process:

Step One: Allocation
First, an allocation determines each member’s share of the cooperative’s margin for a given year. Margins are allocated—or assigned—to members who purchased electricity from the cooperative during the year. The co-op keeps a permanent record of each member’s capital credit account, which is where the allocated amount remains until it is paid—or “retired.”

Step Two: Retirement
After reviewing the financial health of the cooperative, the board of trustees may declare a retirement, at which time all or part of each member’s allocated amount is paid. Cimarron Electric uses a first-in, first-out method (FIFO), meaning earlier years are paid before later years. Cimarron Electric has retired capital credits for all years through 2000.

Capital credits are a significant source of equity for most electric cooperatives. Equity is used to help meet the operating expenses of the co-op, such as paying for new equipment to serve members and repaying debt.

Sometimes, Cimarron does not have a good address for a member and therefore does not mail a check. Other times, for whatever reason, a check will go uncashed. This money is considered “unclaimed.” A list of “unclaimed” capital credits is available below. Members or heirs to members on this list should contact capitalcredits@ce.coop for more information on claiming these credits.