In July 2022, people who were members of LPEA in 1998, 1999, or 2021 will receive Capital Credit refunds based on the amount of electricity they used in those years. Amounts over $100 will be mailed as a check, while amounts under $100 will be applied as a bill credit.
We are a not-for-profit utility delivering electric services to its members at cost. As such, any payments made by members over what is needed to provide their electric service are placed into a Capital Credit account in each member's name. When LPEA is financially able, those Capital Credits are returned to members as part of LPEA’s CashBack program. Since its incorporation in 1939, LPEA has returned close to $90 million in Capital Credits to its members.
"This year and moving forward, we are conducting Capital Credit allocations and retirements together and earlier in the year," said LPEA CEO Jessica Matlock. "We hope this will raise awareness of this key benefit of being a co-op member. When our members pay their electric bills, they are also investing in the cooperative, and we enjoy being able to return that investment."
The decision to retire Capital Credits and the amount retired is determined by the LPEA Board of Directors on an annual basis, as financial circumstances permit. This year, the board decided to retire Capital Credits using both the "first in, first out" (FIFO) and "last in, first out" (LIFO) methods, which will return some of the remaining capital investment of LPEA's older members while also showcasing the benefits of being a co-op member to LPEA's newest members.
Dollars become unclaimed after three years when LPEA cannot locate members deserving of the refund and are then reinvested in our community through LPEA's various grant programs.