Powder River Energy returns capital credits in December

Powder River Energy Corporation (PRECorp) is pleased to announce a capital credit retirement that will be processed in December 2020. This general retirement returns a portion of the money members paid for electric service during select years. Many Powder River Energy members will receive a credit on their bill or a check in the mail as a result.

The PRECorp Board of Directors reviewed the financial condition of the cooperative, including a review of the recently adopted financial management plans, before making the decision to approve a second retirement for 2020.

This year-end capital credit retirement is from service in the years of 1987, 1988 and portions of 1989 and 2019. Any member who had service with PRECorp in one or more of those years will receive a capital credit retirement.

An additional capital credit retirement of $2.7 million from Basin Electric Cooperative, PRECorp’s power supplier, is also being retired, covering 1989, 1990 and a portion of 1991.

In all, PRECorp members will receive approximately $4.6 million through this retirement of capital credits. PRECorp paid out $8.6 million in capital credits in June 2020, in the form of a credit on their bill to assist members during the pandemic response.

Capital credits are one of the major benefits of being a member-owner of a not-for-profit electric cooperative and reflect one of the seven cooperative principles: Member Economic Participation. At the close of each fiscal year, the cooperative determines how much revenue is left after paying all expenses for that year. Capital credits are then allocated to each member’s capital credit account based on the patronage contributed through the member’s power purchases.

As in past years, PRECorp will not issue checks for less than $5. The retired amount will remain on the member’s account and will be paid once the balance exceeds $5.

Members who do not have a valid address on file with PRECorp will still be eligible for their retirement, but it will be posted as unclaimed on their account. A member may claim their capital credits by providing proof of legal interest. Unless they are claimed within three years, those funds will go back to the cooperative and can be retained as equity or be used for the benefit of the membership.

Since 2011, PRECorp has provided the opportunity for members to help build the PRECorp Foundation’s giving to non-profit organizations in northeast Wyoming. To date, the membership has generously donated almost $300,000 of their earned capital credits to the Foundation. Several other members have pledged to donate all future capital credit retirements to the Foundation.

Since its founding in 2007, the Foundation has supported local charities with more than $1.4 million of direct and in-kind donations. In 2020 alone, the Foundation is on track to donate more than $230,000 to local organizations that are working for pandemic relief, social services and other causes important to northeast Wyoming communities.

If you would like to donate retired, unclaimed or future capital credit retirements, please contact PRECorp for a donation form.

Please direct any questions or concerns about capital credits to PRECorp Member Service Representatives at 1-800-442-3630.