Capital Credits Money Back In Your Pocket

On behalf of Butler Rural Electric Cooperative’s board of trustees, I’m happy to announce we’re retiring more than $2 million in capital credits to our members this year.

What sets cooperative utilities apart is their unique business model. Capital credits serve as a benefit to members of the co-op and represent your stake and investment in the cooperative. These credits are important to funding crucial elements such as poles, wires, transformers, and other essential infrastructure, all of which contribute to the long-term strength and reliability of the cooperative.

Retaining capital credits within the cooperative is not a financial strategy; it’s a commitment to ensuring our financial strength. By leveraging these credits, we finance capital improvements and projects that are important to sustaining your electric system. Additionally, retaining capital credits instead of borrowing money helps lessen the costs associated with electricity, ultimately benefiting all of our members.

Annually, Butler Rural Electric Cooperative’s board of trustees evaluates the cooperative’s financial health to determine the feasibility of retiring capital credits. The board of trustees approves the comprehensive retirement plan, ensuring both current and former members receive their capital credits retirements over time — to put money back in the pockets of you, the owners of our cooperative.

Capital credits applied to bills Nov. 5, checks mailed Nov. 12

In November, any member who received electricity from Butler Rural Electric Cooperative in 2007, 2008, and/or 2024 may receive a capital credits check or credit on their electric bill. You may have already noticed a credit on your bill generated November 5. Capital credits checks will be mailed from St. Louis, Missouri, Nov. 12 and can take up to one month to arrive through the mail.

Through our history, Butler Rural Electric Cooperative has retired $67 million in capital credits through our general retirement process, underscoring our commitment to our not-for-profit nature.

Capital credits are just one of the many benefits of co-op membership. Giving back to our local members instead of outside parties is one of the many aspects that set cooperatives apart from other types of businesses.