As a member-owner of your electric co-op you earn Capital Credits with your electric usage every year.
When the financial health of the co-op is strong, and all expenses have been paid (such as capital projects, debt, etc.), the Board of Directors can elect to retire excess revenues to our members through Capital Credits. In 2020, the Board of Directors distributed over $1.4 million in capital credits to members. Currently, Capital Credits are retired to our longest standing members.
Claiming Capital Credits for a Deceased Member
In the event of a member’s passing, capital credits are refundable at their death and payable to the estate (not to exceed in the amount of $2,500). The following steps must be completed in order for Capital Credits to be distributed to an estate:
1. The deceased member’s MEA account must be inactive and a sole account.
2. Certified copy of Death Certificate.
3. Complete the Early Retirement of Capital Credits Request Form with notarization (free notary services are provided at any MEA office).
4. Complete the W-9 IRS Form.
5. Complete the Capital Credits Assignment Form with notarization (please request this form by contacting Member Services at 907-761-9300; free notary services are provided at any MEA office).
In addition to these forms, MEA also requires one of these documents: a Will of Testament, Letters Testamentary and Acceptance, or Letters of Administration stating the executor. If there is not an Estate established please use the State of Alaska Affidavit for Collection of Personal Property of Decedent form with notarization. Once you have all the required documentation completed, forms can be mailed, faxed or brought to any MEA office locations. For questions regarding Capital Credits for deceased members, please contact Member Services at 907-761-9300.
Q: What are Capital Credits?
Capital credits represent your equity in MEA which is a not-for-profit, member-owned electric cooperative. Capital Credits are not cash, nor represent credit to your account or bill. Each year, your capital credits earned are based on the amount of electricity you use. Members will receive an annual capital credit allocation notice summarizing how many capital credits they earned the previous year and their prior capital credit balance to reflect the total capital credits a member has earned with MEA.
Q: When will my capital credits be paid out to me?
Capital credits are paid out to members when the financial health of the co-op is strong and the Board of Directors elects to retire capital credits to members. Capital credits that are not retired are reinvested back into the cooperative to pay for technical improvements and account for system growth. There are currently no requirements for the cooperative to retire capital credits at a specific time. It has been the Board of Directors’ practice to payout capital credits going back to MEA’s older members; in 2020 retired capital credits were paid out to MEA’s 1987 membership.
Q: Do I lose my capital credits when I am no longer a member of MEA?
You do not lose your capital credits when you are no longer a member of MEA. It is important to keep your address and contact information current with MEA so that payments may be forwarded to you if capital credits are retired for the year of your membership.
Q: Is there a list of unclaimed Capital Credits from members?
After MEA pays out capital credits to members any uncashed checks from the payout are moved to an ‘unclaimed capital credit’ account. At any time, no matter how long ago the initial check was issued, a member with an unclaimed capital credit may follow up with MEA to request the check be re-issued. Below please find a list of unclaimed capital credits from members. If you are on this list or believe you have an unclaimed capital credit check from a previous year, please contact our Member Services at 907-761-9300.