Q: What is patronage capital?
A: Patronage capital, also called margins, for any given year, is the difference between that year's operating income and operating expenses. Margins are allocated on an annual basis to the Cooperative membership based upon their individual usage during that year. Each member has a patronage capital account, which represents that member's ownership in the Cooperative. Cooperatives operate differently than other businesses in two ways:
Q: Why did I receive this check?
A: Howell-Oregon Electric Cooperative is pleased to announce that it has retired patronage capital for the years 1989 and 1990. Members that received electric service from the Cooperative during the year 1989 or 1990 were included in this retirement.
Q: How did you determine the amount of my check?
A: The amount of the check is based upon the amount of margins generated the year(s) being retired. Each member was allocated a portion of the margins generated based upon their individual usage during that year. These allocated margins represent that member's ownership in the Cooperative for that year. The patronage capital retired by Howell-Oregon Electric Cooperative is for the years of 1989 and 1990.
Q: I received a check from a previous retirement, why is this one smaller?
A: The initial retirement of patronage capital was for the years 1947 to 1988, covering a period of forty-two years. This retirement of patronage capital covers a two year period that includes the years 1989 and 1990.
Q: Why did I receive multiple checks?
A: Patronage capital retirement checks were mailed to accounts based upon the proper name and the last known mailing address. In many cases the same individual might have their information listed slightly different resulting in what appears to be two separate accounts (ex. Jane Doe vs. Jane C. Doe). Individual checks help to ensure that each member that should receive a check does so. For those accounts where all information matched completely, the allocation for each year and all location numbers were combined into one total. If you received a check that is not yours, please return it to the Cooperative.
Q: Why did some members not receive a patronage capital check?
A: Membership with Howell-Oregon Electric Cooperative is established by having electric service with the Cooperative for a fixed period of time. This retirement of patronage capital is for the years 1989 and 1990, so only those who were members during this time period received a patronage capital check. We are estimating that it could take up to two weeks for all checks to reach their destination. After the two week period, if you have not received a check and you were a member of Howell-Oregon Electric Cooperative during either 1989 or 1990, please visit our website at www.hoecoop.org to download a claim form, or contact the Cooperative office. A claim form and photo ID will be required before any checks returned to Howell-Oregon Electric Cooperative can be issued to the owner.
Q: My relatives are deceased/legally incapable. What happened to their check?
A: All checks were mailed to the last known address of the member. Checks deemed to be undeliverable by the Postal Service will be returned to the Cooperative. Legal guardians/heirs/estates may claim these checks subject to submitting a request and providing the necessary documentation to establish a relationship. The State of Missouri sets forth the documentation for determining who should receive these funds. If you are acting as Guardian, Conservator or Agent under Power of Attorney, submit a copy of your Appointment or Power of Attorney. If you are claiming on behalf of an estate, submit a copy of the death certificate along with your Letters of Administration, a judgement from the court or a small estate affidavit. Your photo ID will be required for all claims. A claim form needs to accompany the above documentation and can be found on the Howell-Oregon Electric Cooperative website at www.hoecoop.org.
Q: Will I receive a check each year?
A: Each year the financial position of the Cooperative will be evaluated and a decision on the retirement of patronage capital made. The amount of any check would be dependent on the year(s) being retired. In 2009, Howell-Oregon Electric Cooperative retired patronage capital for the years 1947 to 1988. This year your Cooperative has retired patronage capital for the years 1989 and 1990.
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