YVEA customers to see refund checks in June
April 30, 2011
Yampa Valley Electric Association is refunding about $2.8 million to customers who were members in 1996, the association reported this week.
YVEA is a member-owned, nonprofit group.
Money received over the actual cost of service is treated as capital furnished by the member, the association reported in a news release.
"As financial conditions of the association permit, the patronage capital is refunded to the membership," YVEA stated in the release.
Mail distribution of the refund checks in bright pink envelopes is planned for the first week of June.
Each calendar year, members receive notice of the money allocated to their patronage capital account.
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This is each member's share of the margins (earnings) from the previous calendar year.
It is important that customers maintain a current address with YVEA to receive future notices and payments, according to the release.
Association officials suggest that any tax questions regarding a capital credit refund be taken up with tax advisors or the Internal Revenue Service.
Deceased consumer's estates have two options: the estate can wait until the normal patronage capital is paid, or take an immediate payment on a discounted basis.
The discount rate is based upon the 10-year treasury bond interest rate.
Application forms for payment of deceased consumer's estates are available at association offices.