The SIEC Board of Directors has approved payment of patronage dividends in 2017. The refund includes dividends allocated by SIEC to members for 1996, 1997, 1999 and 2016. The total payment will be $400,000. The retirement of capital credits is the tangible demonstration of your ownership in Southern Iowa Electric Cooperative.
This refund was distributted to you on September 1st in the form of a bill credit for all active members of the Cooperative. Former members received a check in September.
Capital credit distributions from member-owned, not-for-profit utilities such as SIEC are somewhat similar to the dividends paid to share holders of investor-owned utilities. The difference is that a co-op’s “shareholders” are also the members that it serves and the “dividends” (capital credits) are distributed to the co-op’s member owners.
Even if you move off the Cooperative lines you will still receive the capital credits that you have earned; however, your check will be issued when the general refund is made to all the other members who have earned capital credits for that same period. Therefore, it is very important that you keep us updated with your current address so we can mail your capital credits to you. Should the member of record pass away, capital credits are refunded to the surviving spouse or heirs.
Before distributing the capital credits, SIEC Directors must consider the financial condition of the cooperative, the need for capital funds and the availability of loan funds.
With this distribution, members will have received a total of $8,388,085 in patronage dividends and refunds. SIEC directors and employees would like to thank you for your continued support, and we look forward to serving you.