It Pays To Be a Member

Citizens Electric is more than your local electric utility and you are more than a consumer.  The decisions we make are not to satisfy investors or generate profits, but to serve our members and our communities, ensuring our system is well-maintained and delivers reliable power. When you make a payment to Citizens Electric, a portion of that payment goes toward your "capital" investment in our electrical system.  As a not-for-profit corporation, Citizens Electric returns margins to members in the form of capital credits.  At the discretion of the Board of Directors, capital credits are refunded to members whenever they determine that returning capital credits will not jeopardize the Corporation's financial stability. Citizens began retiring capital credits in 1993 and has since retired over $48 million to its members. It is just part of what makes cooperative membership different. 

What are capital credits?

Although Citizens Electric is a corporation, it conducts business as a member-owned, not-for-profit cooperative. Funds paid to the Corporation that exceed expenses are called patronage capital or capital credits. At the end of every year, these funds are assigned to each member according to the amount of electricity purchased during that year. By using these funds to build new lines and update Citizens’ electric system, the Corporation is able to reduce borrowings and provide reliable electric service at the lowest possible cost.

2024 Retirement of Capital Credits

Citizens Electric Corporation’s Board of Directors has authorized a capital credit retirement of approximately $2.25 million to members who had service with the Corporation during the years of 1998, 1999, & 2020. The retirement refund will clear 100% of the remaining 1998 patronage, 10.47% of 1999 patronage and 35.03% of 2020 patronage. If any amounts from past retirements exist, they will also be reflected in the retirement amount received. Statement credit will reflect on member accounts in August.

How does CEC pick which years to refund?

The decision to refund capital credits is the sole discretion of Citizens Electric’s Board of Directors and the amount to retire is determined each year based upon the financial condition of the Corporation. For the past six years a portion of the most current and oldest patronage dollars have been returned to our members. 

What if I move?

Capital credits that are unclaimed two years after being retired are published in the local newspaper and on the Corporation’s website. It is important that you notify CEC with changes to your mailing address if you move outside the service territory. Any capital credits unclaimed after this notice is published are considered donated capital and are reassigned with current year margins.

Due to the expense of issuing checks, credits totaling less than $20.00 will be held until future capital credit retirements are processed and the cumulative total to be paid reaches $20.00.

Estate Retirements are available at a discounted rate. If a member receives a retirement check as Power of Attorney, contact our Member Services team to complete the necessary paperwork to obtain a final retirement.

Questions concerning capital credits can be directed to our Member Services team by calling us at (877) 876-3511 or emailing the team at citizens@cecmo.com

Important Reminders

• If you move, please be sure to leave your new address with us so we can continue to refund any capital credits you are eligible to receive in the future. 

• Upon death, the deceased member’s capital credit account is available for estate retirement. The representative of the estate should contact Citizens Electric to settle the capital credit account.