UEC to Distribute $2.5 Million into Local Economy
UEC is pleased to announce the Board of Directors has approved $2.5 million to be distributed to members in April 2020 as part of the cooperative’s Capital Credits program.
The refunds are based on the amount of power consumed during the year 2018. A residential member (customer) who consumed an average amount of electricity during 2018 would receive a check for about $70. All classes of service – homes, farms, businesses, industries – will receive refunds.
As a not-for-profit, member-owned company, UEC operates at cost, with net operating revenues, or margins, returned to members in the form of Capital Credits refunds.
Robert Echenrode, UEC General Manager and CEO, said employees’ hard work and fiscal responsibility have a positive effect on the bottom line, making such distributions possible. “We are proud to be able to make this distribution in a time of need to help stimulate a portion of the economy,” he said.
In all, 9,905 UEC members who purchased electricity during 2018 will receive a refund. Checks are scheduled to appear in mailboxes by mid-April.
Refunds of less than $10 will not be mailed, but rather retained in the member’s Capital Credits account until it surpasses that amount in a future distribution.
Since it began Capital Credits refunds in 1960, UEC has returned more than $80 million to members.
If you have questions regarding your refund, please call UEC at 541-567-6414 or email firstname.lastname@example.org.
Unclaimed Capital Credits
Umatilla Electric Cooperative is operated on a not-for-profit basis. Electric cooperatives, unlike investor-owned utilities, are owned by the members they serve. When you pay your electric bill, you are accumulating equity in your cooperative.
All funds collected above the cost of operation (called margins) are annually assigned to our members in the form of Capital Credits. Margins are the funds left over at the end of the year after all bills are paid. Each year the board of directors, which are elected by the members, review our financial position and determines the most financially prudent amount of capital credits to pay out.
Whether your capital credit refund is taxable generally depends on whether or not you claimed your electric bills as a business expense. Most Capital Credit refunds for residential bills are not taxable; however, it would be wise to check with a tax accountant if you are in doubt. If you no longer receive electric service from Umatilla Electric, please keep us informed of changes in your mailing address so that any future refunds will reach you.
If you have questions regarding your capital credits, please call the office in Hermiston at 541-567-6414. Our toll-free number is 1-800-452-2273.