Sulphur Springs Valley Electric Cooperative, Inc. OWNED BY THOSE WE SERVE A Touchstone Energy Cooperative 2023 CAPITAL CREDIT RETIREMENT ANNOUNCED One benefit of being a member of Sulphur Springs Valley Electric Cooperative (SSVEC) is sharing in the margins (profits). Money earned by the cooperative in excess of expenses are called margins and the money set aside to return to members are called patronage capital credits. How Does The Allocation Process Work? At the end of the year the SSVEC Board of Directors decides the percentage of margins to be allocated, based on the net energy consumed by each member. This means the sales of kilowatt hours are divided into the total dollar amount of margin allocated. The capital credit amount is proportional to the net energy purchased in kilowatt hours. If you consume twice the energy during the year compared to your neighbor, your margin share would be twice your neighbor's amount. Each member's share is updated annually and entered on a ledger maintained by SSVEC. Revenue generated by SSVEC pays for the operation of the cooperative, maintenance of the transmission grid, the purchase of electricity, and any other expenses incurred providing service to the members. Margins assist in paying expenses and reduce the cost of borrowing additional funds. Capital credits do not earn interest and cannot be withdrawn at a member's discretion. SSVEC's elected Board of Directors review the financial status of the cooperative each year and determine whether to allocate capital credits. If capital credits are authorized, board members decide the amount to retire (pay out to members) and the method of allocation. The most common way to retire capital credits is FIFO (first in, first out). Using this method, the oldest capital credits are selected for return. In 2023, SSVEC retired $3 million to members. With few exceptions, members with active accounts will receive a billing credit in December. Members with an inactive SSVEC account will receive a check. Please note: Because of the lag time between allocation and retirement of capital credits, it is very important for members who close their SSVEC accounts to keep the cooperative informed of their mailing addresses. This will ensure receipt of their capital credits when the cycle for return occurs. For the 2023 retirement, SSVEC directors approved retiring capital credits to members with service during 1999 and part of 2000. Sulphur Springs Valley Electric Cooperative , Inc. OWNED BY THOSE WE SERVE A Touchstone Energy Cooperative 2023 CAPITAL CREDIT RETIREMENT ANNOUNCED One benefit of being a member of Sulphur Springs Valley Electric Cooperative ( SSVEC ) is sharing in the margins ( profits ) . Money earned by the cooperative in excess of expenses are called margins and the money set aside to return to members are called patronage capital credits . How Does The Allocation Process Work ? At the end of the year the SSVEC Board of Directors decides the percentage of margins to be allocated , based on the net energy consumed by each member . This means the sales of kilowatt hours are divided into the total dollar amount of margin allocated . The capital credit amount is proportional to the net energy purchased in kilowatt hours . If you consume twice the energy during the year compared to your neighbor , your margin share would be twice your neighbor's amount . Each member's share is updated annually and entered on a ledger maintained by SSVEC . Revenue generated by SSVEC pays for the operation of the cooperative , maintenance of the transmission grid , the purchase of electricity , and any other expenses incurred providing service to the members . Margins assist in paying expenses and reduce the cost of borrowing additional funds . Capital credits do not earn interest and cannot be withdrawn at a member's discretion . SSVEC's elected Board of Directors review the financial status of the cooperative each year and determine whether to allocate capital credits . If capital credits are authorized , board members decide the amount to retire ( pay out to members ) and the method of allocation . The most common way to retire capital credits is FIFO ( first in , first out ) . Using this method , the oldest capital credits are selected for return . In 2023 , SSVEC retired $ 3 million to members . With few exceptions , members with active accounts will receive a billing credit in December . Members with an inactive SSVEC account will receive a check . Please note : Because of the lag time between allocation and retirement of capital credits , it is very important for members who close their SSVEC accounts to keep the cooperative informed of their mailing addresses . This will ensure receipt of their capital credits when the cycle for return occurs . For the 2023 retirement , SSVEC directors approved retiring capital credits to members with service during 1999 and part of 2000 .