What are Capital Credits?
High Plains Power is a private, non-profit 501-c(12) corporation. We sell and deliver electricity to our members at cost plus a small margin. The amount of revenue earned each year in excess of expenses is called the net margin. We use these margins to provide the working capital necessary to maintain the electric distribution system, upgrade facilities, and provide new service to members. Over the years these margins represent the member's equity in the assets of the cooperative. Every year each member has a share of the co-ops net margins allocated to them based on their patronage, or amount of electricity they have purchased. These allocations are referred to as capital credits.
As a cooperative we ultimately return these margins or capital credits to our member-owners. As the financial status of the co-op permits, the board of directors will decide to retire some of these capital credits by returning them to the members. Under current board policy, capital credits are being retired approximately fifteen to twenty years after they are earned.
Are You Moving?
If you are currently a member and have plans to move out of the High Plains Power service area, you need to make sure our office has your forwarding address. This will allow us to send your capital credit check when it comes due.
Unclaimed Capital Credits
Unfortunately, many members leave our service area without leaving us their forwarding address. As a result, we are unable to contact them when their checks have been processed. We have thousands of dollars in unclaimed Capital Credits each year. We publish this list each year in our newsletter and this list is also available on our website.
If you suspect you may have unclaimed Capital Credits with High Plains Power or you are making a claim on behalf of a deceased individual, you need to call our office at (307) 856-9426 and speak with one of our customer service representatives.
Deceased Member Capital Credits
The Bylaws and Board Policy 109 provide that upon the death of a person to whom Capital Credits have been allocated or assigned, the legal representatives of the deceased person’s estate must request in writing that the Capital Credits be paid to the persons legally entitled. When Capital Credits are retired early, they are discounted and paid in a lump sum.
High Plains Power will require written documentation which establishes who is entitled to receive the Capital Credits. Upon review of the submitted documentation by High Plains Power’s legal counsel, the request will be submitted to the Board for consideration at a regularly scheduled meeting.
The Bylaws do not provide for early retirement of Capital Credits held by any entity. An entity may include, but is not limited to, a trust, partnership, limited liability company, sole proprietorship, or corporation.