News > CEO’s Message – November 2024

CEO’s Message – November 2024

Stearns Electric Returns $2.2 Million in Capital Credit Patronage in 2024

As a non-profit electric cooperative, Stearns Electric is jointly owned by its member-consumers. Unlike investor-owned utilities, which aim to make a profit for shareholders, Stearns Electric refunds capital (money), above the cost of operations, to our member-consumers in the form of Capital Credits. 

In September 2024, your Stearns Electric Association Board of Directors approved and authorized this year’s Capital Credit retirements totaling $1.75 million which include: 

• Cooperative Capital Credits of $1,200,000 
• Generation and Transmission (G&T) Capital Credits of $550,000 
• Additional Estate Retirements of $471,000 were already paid out this year, bringing the total Capital Credit patronage to $2,221,000 in 2024. 

COOPERATIVE CAPITAL CREDITS
If you purchased electricity from Stearns Electric during the years of 2002 and/or 2019-2023, you may receive a Capital Credit check based on the Cooperative Capital Credit distribution. 

Retired Capital Credit amounts of less than $10 are held until additional Capital Credits are retired. Checks can be expected to arrive in the mail in early December. 

GENERATION AND TRANSMISSION (G&T) CAPITAL CREDITS
Our wholesale power provider, Great River Energy, also retires patronage capital to its member-owner cooperatives, including Stearns Electric. These are called Generation and Transmission (G&T) Capital Credits. Stearns Electric’s Board of Directors passes these G&T Capital Credits on directly to you, our members. Members who purchased electricity from Stearns Electric during the years of 1994-1997 may receive a Capital Credit check based on the G&T Capital Credit distribution. 

ESTATE RETIREMENTS
Estate retirements are processed throughout the year for deceased members. With required documentation, heirs can claim these Capital Credit funds at a discounted rate. Member-consumers are encouraged to note Stearns Electric Capital Credits within their legal papers so that heirs know to contact us should a death occur. In 2024, a total of $471,000 was paid out in estate retirements. 

If you have any questions regarding Capital Credits, please contact our Capital Credits Coordinator during regular business hours at (800) 962-0655. You can also visit our website at stearnselectric.org/capital-credits. 

These Capital Credit payments are quantifiable proof that as a member of Stearns Electric, you are an owner of a successful, effective organization. Since Stearns Electric’s beginning, we have distributed more than $43 million in Capital Credits to our members. 

We are grateful to serve you with safe and reliable electricity, and we look forward to returning margins back to you at the end of every year. Thank you for your membership, partnership and ownership in your local electric cooperative. 

Sincerely,

Matt O’Shea
Chief Executive Officer