Board of Directors Approves $4 Million in Capital Credits in Capital Credit Retirement 

During this turbulent time, the Choptank Electric Cooperative Board of Directors wants to help by giving back. In an effort to relieve financial stress on members caused by the COVID-19 crisis, the Board voted on Friday, May 1, 2020, to retire $4 million in capital credits.  

The unprecedented $4 million will be returned to anyone who was a member during 2018. “We know that every dollar helps, and we want to be here for our members during this time of crisis,” said Jeff Rathell, Chairman of the Board at Choptank Electric Cooperative. “We are activating this equity return six-months in advance to benefit Co-op members when they most need it.” 

To make this as convenient as possible, the funds will be returned to members as a credit directly on June's electric bills. The amount received during any capital credit retirement is based on the amount of electricity the member purchased during the retirement year. 

“The average residential bill last June was $130,” explained Doug Scott, Secretary-Treasurer of the Board. “We expect the average credit generated by the Board action to be around $77 per member, which is a huge help particularly for those who are experiencing financial uncertainty during the pandemic.” 

Choptank Electric Cooperative delivers electricity to rural homes and businesses in nine counties on Maryland’s Eastern Shore. When someone signs up to receive electric service from Choptank Electric, they become a “member” of the Cooperative, not a customer.  While investor-owned utilities seek to generate profits that can be returned to their shareholders, electric co-ops operate on an “at-cost basis.” Co-ops return profits to their members. Choptank Electric Cooperative annually allocates and periodically retires capital credits to its members. That is the Cooperative difference, where members are first, every day.