Q. When are bills mailed?
This depends on where the meter is located on the system. NNEC has 4 billing cycles or areas. Bills are mailed on or around 8th, 15th, 20th, and 26th of each month.
Q. When is payment due?
Bills are due and payable when presented. If not paid by the due date on the bill, a late payment charge of one and one half percent (1 ½%) per month will be added to the unpaid balance. Any past due balance must be paid by the date listed to avoid possible disconnection of service.
Q. What is the fuel adjustment?
The fuel adjustment is a charge which reflects changes in the fuel related component of the wholesale power costs to the Cooperative. This can be either a credit or a charge to your electric bill.
Q. What is the VA Consumption Tax?
During the 2000 session of the Virginia General Assembly, legislation was passed to change the current "State Gross Receipts Tax"to a "Consumption Tax". Previously, these charges were included in the Cooperative's base rates and the approximate amount of the tax was specified in a statement on your electric bill. Effective January 1, 2001, these charges must be itemized as a line item on your bill. This is not a new or an additional tax.
The Cooperative will remit the entire amount of the 'VA CONSUMPTION TAX" collected to state and local governments.
Q. What are Capital Credits?
Capital Credits are each member's share of the Cooperative's margins.
Q. What are margins?
Margins are what is left over at the end of the year after the Cooperative has paid all the operating costs. Your share of any operating margins are credited to your capital credit account.
Q. Why don't you call this "profit"?
As a cooperative, we are here to provide a service, not to make a profit. Any revenue collected that is not needed to cover the cost of providing service is set aside and divided among the members in proportion to their patronage (how much electricity they paid for during the year).
Q. Why don't you send me the money?
As with any other business, it is necessary to maintain a certain amount of equity capital. Your Board of Directors determines annually the prudent balance between retained equity and capital credit refunds. Also, we must meet any restrictions placed by our mortgage holders.
Q. Is interest paid on Capital Credits?
No. If the Cooperative paid interest on Capital Credits, the money to pay the interest would have to be collected from the members. The Cooperative has only one primary source of income - the sale of electricity. Rates would have to be increased to pay interest on Capital Credits.
Q. When will I get my Capital Credits back?
According to the mortgage agreement, there are certain limitations as to the general retirement of Capital Credits. The Board of Directors determines the amount and percentage of the years to be refunded.
Q. If I move off the cooperative's lines, will I get my Capital Credits?
Yes, but not until a general refund is made to all members who furnished capital at the same time you did. Facilities were built to serve you, and leaving the area does not alter your obligation to furnish capital to help pay for those facilities. It would be discriminating to refund to those who move away and not refund to others served during the same time. You should keep the Cooperative informed of your current address so that you will receive your check when a payment is made for a general refund of Capital Credits.