Capital Credits. MdBC is a cooperative and operates on a not-for-profit basis. The amount of revenue that exceeds MdBC’s expenses and operating costs is called a margin. The total margin for each year is allocated to members based upon the dollar value of their patronage of MdBC in that period. The margin allocated to each member’s account is called a capital credit. The books and records of MdBC are set up in such a manner that at the end of each fiscal year, the amount of capital credited, if any, will be clearly reflected in the capital account of each member, per the procedures captured in Article 8 of the Bylaws. Member/owners are notified each year when capital credits are assigned. The capital is retained by MdBC as working capital in order to maintain and improve the system until the Board of Directors decides to retire some portion of the member capital credits.
Capital Credits. For each amount allocated to a Patron, the Patron shall contribute a corresponding amount to the Cooperative as capital. The Cooperative must credit all capital contributions from a Patron to a capital account for the Patron. The Cooperative shall maintain books and records reflecting the capital contributed by each Patron. At the time of receipt by the Cooperative, each capital contribution is treated as though the Cooperative paid the amount allocated to the Patron in cash pursuant to a pre-existing legal obligation and the Patron contributed the corresponding amount to the Cooperative as capital. The term “Capital Credits” means the amounts allocated to a Patron and contributed by the Patron to the Cooperative as capital. Consistent with this Bylaw, the allocation of Capital Credits is in the discretion of the Board and the Board must determine the manner, method, and timing of allocating Capital Credits. The Cooperative may use or invest unretired Capital Credits as determined by the Board. To secure a Patron’s obligation to pay amounts owed to the Cooperative, including any compounded interest and late payment fee, and in return for the Cooperative providing a Cooperative Service to the Patron, the Cooperative has a security interest in Capital Credits allocated to the Patron. Through a security agreement signed or authenticated by a Patron, the Patron may grant the Cooperative a security interest in Capital Credits allocated to the Patron and authorize the Cooperative to perfect the security interest.
Capital Credits. In recognition of the non-firm, Split-the-Savings Principle specified in this Agreement, the Parties agree that there will be no capital credit assignments associated with Transactions under this Agreement.
Capital Credits. The Seller disposes of its earnings on an annual basis in accord with the provisions of its Articles of Incorporation, and may, on occasion, assign a portion of its earnings back to its members as patronage dividends. Seller shall assign patronage dividends to Customer in the same manner as patronage is assigned to Seller’s other members; however, in exchange for the special contract rate being provided to Customer herein, Customer hereby agrees to assign any such allocations back to Seller. No additional documentation shall be necessary to effectuate said assignment.
Capital Credits. In witness where of the parties hereto have executed this Assignment as of the effective date set forth above.
Capital Credits. Customer specifically agrees that amounts paid for electric energy in excess of the cost of service are paid to Cooperative as capital. Customer will be credited with capital so paid in accordance with the By-laws of Cooperative and applicable law.
Capital Credits. For each amount allocated to a Member, the Member shall contribute a corresponding amount to the Cooperative as capital. The Cooperative must credit all capital contributions from a Member to a capital account for the Member. The Cooperative shall maintain books and records reflecting the capital contributed by each Member. At the time of receipt by the Cooperative, each capital contribution is treated as though the Cooperative paid the amount allocated to the Member in cash pursuant to a pre-existing legal obligation and the Member contributed the corresponding amount to the Cooperative as capital. The term “Capital Credits” means the amounts allocated to a Member and contributed by the Member to the Cooperative as capital. Consistent with this Bylaw, the allocation of Capital Credits is in the discretion of the Board and the Board must determine the manner, method, and timing of allocating Capital Credits. The Cooperative may use or invest unretired Capital Credits as determined by the Board. To secure a Member’s obligation to pay amounts owed to the Cooperative, including any compounded interest and late payment fee, and in return for the Cooperative providing a Cooperative Service to the Member, the Cooperative has a security interest in Capital Credits allocated to the Member.
Capital Credits. If the undersigned are applying for joint membership, then they understand that capital credits for joint memberships will be payable on the general distribution schedule as determined by the Board of Directors, but estate settlements will be payable only after both joint members are deceased. Applicant grants to REA a continuing security interest in and recoupment claim against all capital credits allocated to Applicant to secure any indebtedness owed by Applicant, and Applicant authorizes any filing by REA required under the Uniform Commercial Code.
Capital Credits. MEA will remain a member of Chugach during the term of this Agreement and will be entitled to all the rights and privileges of members, including the allocation and payment of any capital credits resulting from the purchase of electric power hereunder. All capital credits earned by MEA under this Agreement will NOT be subject to the terms of the settlement agreement between the Association and Matanuska Electric Association in the matter entitled Matanuska Electric Association, Inc., vs. Chugach Electric Association, Inc., No. 3 PA-13-01006 CI, and will be separately accrued, allocated and distributed under rules generally applicable to other wholesale customers. Any such retirements shall be determined at the discretion of the Chugach Board of Directors. This Agreement does not alter the terms of the settlement between the parties in case number 3 PA-13-01006 CI.
Capital Credits. The Seller’s Board of Directors may classify its patrons and business and allocate the excess, if any, of its receipts over expenses in any year as patronage capital credits to the various patronage classifications. Allocations of the patronage capital credits may consider a variety of relevant factors such as the cost of rendering service, the margins produced by such service, the terms of the Agreement with patrons, and the obligations of the parties involved. The Seller has created or may create a separate classification of business applicable to its patrons receiving service under the rate schedule applicable to the Customer, and patronage capital credits may accrue at a different rate for that classification of members. The right of Customer to receive patronage capital credits shall survive the expiration or other termination of this Agreement.
