capital credits faq

What are capital credits?

Capital Credits represent each member’s ownership of the cooperative. They are the margins credited (or allocated) to the members of the cooperative based on their electricity from the cooperative in previous years. These margins are used by the cooperative as capital to operate the business for a period of time.

What’s the difference between an allocation and a retirement?

Allocations are made annually for each member, based upon the amount of electricity purchased the previous year. An allocation is the amount set aside into a separate account to be used as operating capital for reliability improvements and maintenance over a period of years. Your allocation notice will be mailed to you usually during the month of JULY.

A retirement is the amount you receive back as a capital credit refund. It is a percentage of your total capital credit balance. The percentage of your total capital credit balance. The percentage to retire is decided by the Board of Directors annually, based upon the financial condition of the cooperative.

Can I use my capital credit allocation to pay on my bill?

No. Allocations are used as the operating capital of the cooperative. They are not available until a percentage is retired and refunded back to you as the Cooperative’s financial condition warrants and the Board of Directors approves.

Why can’t my capital crEdit allocations be refunded to me all at once?

Remember that capital credit funds are used for reliability improvements and maintenance – and these are long term investments. Capital credits cannot be refunded all at once because they help the cooperative remain financially sound, thereby ensuring a stable, reliable electric service for the benefit of the members we serve.

when do you refund (or retire) capital credits?

When the Board of Directors has determined the Cooperative’s financial condition allows a retirement of capital credits, the Board of Directors can approve a certain percentage of the capital credit funds to be retired (or refunded) to the membership.

How will i receive my capital credit refund?

A check will be mailed to you, usually during the month of October. Checks are mailed only if the dollar value is greater than $10.00. Please be sure we have your current address on file. To avoid any delays, please call us at 800-332-8634 or our local number at 719-384-2551 or email us at to verify your current address.

What happens to my capital credits if I move away?

A member who terminates service no longer receives additional capital credits allocations. The balance in the member’s capital credits account is maintained until it is retired in full. IT IS THE MEMBER’S RESPONSIBILITY to notify the co-op of any changes in address, so the member can be located when it is time for the co-op to retire capital credits allocated to the member’s account.

What happens to the capital credit of a deceased member

In the event a member dies, the capital credits in the member’s account becomes a part of the estate. At this time, the estates retirement will apply only to the current year being retired and approved by the Board of Directors. Upon request by the personal representative of the estate, or the heirs of a deceased member where no personal representative has been appointed, the cooperative will provide a listing of the documentation required to retire the account.

·         Complete the Collection of Personal Property Affidavit form

·         Provide a copy of the Death Certificate, if applicable


See Below for UNCLAIMED MONIES to see a list of names of those who have patronage capital refund checks that have either been returned by the postal service as undeliverable or have remained uncashed. Sometimes, Southeast Colorado Power does not have a good address for a member and therefore does not mail a check. Other times, for whatever reason, a check will go uncashed. This money is considered “unclaimed.” Once a year, Southeast Colorado Power updates a list of names associated with unclaimed capital credits on our website. Members on the list may complete the address verification form to provide a good address to claim their refunds. Checks are mailed only if the dollar value of the check is greater than $10.00.



If your name is on the list, please fill out the Collection of Personal Property by Affidavit to claim your credits (this form must be notarized). The form can be mailed or brought into our main office located at:

Southeast Colorado Power Association

27850 Harris Rd

P.O. Box 521

La Junta, CO 81050

Capital Credit Forms


This form must be notarized!


If you have any questions, please contact the Capital Credit Department at 1-800-332-8634 or email