Hart EMC Members to Receive Capital Credit Refund

Some good news for many Hart EMC customers – you’re getting some money back.

This week, the Board of Directors announced they have approved the return of $3.52 million dollars patronage capital for members who received electric service from Hart EMC during 1997 and 1998.

Board members voted to give the money back at their June meeting.

Members who received electric service from Hart EMC during 1998 will be entitled to their share of 100 percent of the capital credits for that year.

Members receiving service during 1997 will share in the remaining 60 percent of the capital credits for that year.

The amount a member will receive is based on his or her energy use for that specified year.

As a nonprofit electric cooperative, Hart EMC assigns any margins or would-be profits to its members in the form of patronage capital.

That means that each year, after all expenses have been deducted from the electric revenue billed, any remaining revenue is assigned to the accounts of members who received electric service from the cooperative during the designated year.

Assigned margins are not immediately returned to the cooperative members but are retained for a period of time and used, in place of borrowed capital, as a source of funding for distribution facilities and general utility plant expenses.

That enables Hart EMC to borrow less money and thus incur lower interest charges and save money for its members.

Then later, the cooperative returns those margins or would-be profits to qualifying members through capital credit payments.

To reduce cost, individual members and businesses that have active accounts will receive their refund on their November bill as a credit.

Inactive Hart EMC members who were on our lines in 1997 and/or 1998 will receive a check.

Checks for less than $5 will not be issued, and that amount will be added to a future capital credit payment for the consumer.

Through December 2018, Hart EMC has returned $32.22 million to their members through capital credit distribution.