Capital Credits
Hamilton County Telephone Co-op (“Co-op”) is a non-profit cooperative owned by its members and governed by a Board of Directors.
If you are a Co-op member, your payments for “Telephone or Internet service” (“Services”) to the “Co-op” is considered patronage and used as capital to upgrade network facilities to provide those “services”. Any amounts that exceed the cost of providing those “services” are called “margins” and is applied to a members account, apportioned by both, the amount of “services” being purchased and the number of members receiving “services”.
Once a year the Co-op sends a statement of the patronage capital that is credited to the member’s account, showing the previous year credits (if margins were realized), as well as, the total accumulated credits for the members account.
While this allocation notice is for informational purposes, the board of directors, each year, weighs the financial condition of the Co-op and makes the determination if it has the wherewithal, and if so, the amount to refund to the members. If there is such a determination declared for retirement of capital credits, it is usually distributed by mid-December, but may also be disbursed at other times of the year.
However, as the Co-op continues to upgrade its network facilities with both copper and fiber technologies, it is dependent on this capital to continue the mission of “service”.
Things to always remember is a membership account may be held by an individual or jointly. The by-laws of the Co-op stipulate that the member has the responsibility to make sure that the name and address on your membership account is correct, especially, if you are no longer a member, your marital status has changed, or you have changed your address.
Below is a list of former members that have unclaimed capital credit refunds from the Co-op. if you are on the list please notify our office at 618-736-2211.
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