The difference between a member-owned cooperative such as Barron Electric and an investor-owned utility is that the same people who purchase electricity from Barron Electric also own the cooperative. As owners, all members share
in the cooperative's margins. Barron Electric has retired capital credits through 1995. When the board of directors retires capital credits that you earned while purchasing electricity from Barron Electric, you may receive a check. In 2017, Barron Electric returned $600,000 in capital credits. Continuously from 1965, the cooperative has paid back over $25 million in capital credits. If a member passes away, there are two payment options for capital credits. These include:
1. Annual Pay-Out: The cooperative will pay out capital credits on an annual basis until the account is settled.
2. Lump Sum Discounted to Present Day Value: “Present day value” takes into consideration the fact that money presently received has the power to earn more money in the future. Therefore, the amount paid to an estate is discounted by the amount of interest it would have earned if held until it was due.
To ensure that capital credits are properly received, please inform Barron Electric of any address changes.
Barron Electric tries to locate people who have not claimed their capital credits through advertisements in local media. Unclaimed capital credits are put into a trust and used for such things as scholarships, library donations, cooperative education, and specific donations.