As a Hood River Electric Cooperative member, you benefit in many ways from our successful operations. This month, I’d like to share the good news about one benefit you receive.
One of the seven cooperative principles is Member Economic Participation, and a good example of this principle is our capital credit program. Member equity is created when earnings are left over at the end of each year. This creates a margin called a capital credit, which is allocated proportionally to each member.
Capital credits are used by the co-op to fund investments in our distribution system and to meet operational needs. Capital credits are returned to members when the board authorizes their retirement.
At its September meeting, your board of directors authorized the retirement of $800,000 in capital credits. Members who bought energy from HREC in 2007 should receive a check for their patronage in November.
On a percentage basis, HREC’s return of capital credits is among the highest in the nation. In a 2017 ranking of 709 co-ops, HREC ranked No. 1 in Oregon, No. 3 among similarly sized co-ops and No. 10 of all co-ops.
Following this retirement, HREC will have returned more than $12.3 million in capital credits to past and current members.
Celebrating National Cooperative Month
The arrival of fall coincides with National Cooperative Month, which is celebrated each October. We are glad to be joined by other local businesses that embrace the co-op model: Hood River Supply, Diamond Fruit Growers, credit unions and many more. The publisher of this magazine, Ruralite Services, is also a cooperative.
On behalf of all of us at HREC, thank you for the opportunity to serve you.
General Manager Libby Calnon