A solid return on investment:

GreyStone has returned $41 million since founded by members

OCTOBER 2008: During a year when the stock market is uncertain and finances are strained, people who receive electricity from GreyStone Power, known as members, received a total combined solid return of $3 million for their investment in the cooperative.

GreyStone Power has returned more than $41 million to members since 1936, with the latest installment of $3 million made this fall. The money, called capital credits, was sent out to approximately 101,000 members during the first week of October.

 “Some of our members don’t realize we’re a nonprofit electric cooperative, owned by everyone who receives power from us,” says GreyStone Power President/CEO Gary Miller. “This is a great time of the year for us because we’re able to give our members a return on their investment in GreyStone Power and remind them of the difference between getting power from us or from another utility.”

Revenues exceeding the cost of service to individuals and businesses that purchase energy from the Cooperative are credited to a special account in each member’s name. Whenever financially feasible, a portion of the money is returned to members in the form of capital credit checks. In 2008 members will receive a return on their investment in GreyStone Power from the years 1988, 1989 and 2007.

Checks can range anywhere from $5 to several thousand dollars for commercial members. The amount of money members receive is determined by how much electricity they used during the years for which capital is being retired, and the co-op’s cost of distributing the power during that time. This year, residential members who have been with GreyStone Power for all three years will receive an average of $54.10.

Business members also receive capital credit checks, and often these checks are much larger than a residential member’s check because of the amount of power factories and large buildings consume. While most members do not choose their power supplier, some large businesses may have the option to select between GreyStone Power and other power suppliers, depending on their size. One of the unique advantages GreyStone offers these businesses is capital credits.

The Douglasville-Douglas County Water & Sewer Authority will receive the largest single capital credits check this year for $25,189. Other top capital credit commercial members include Quaker Oats, Kroger, AT&T and Wal-Mart. Education gets the highest overall return on their investment in GreyStone Power.

The school systems in Douglas, Paulding and Fulton County will receive a combined $45,161 in capital credits from GreyStone Power.

 “We are pleased to be a co-op member and realize the benefits of the capital credits program. It’s another way GreyStone Power helps our students succeed," says Douglas County School System Superintendent Don Remillard. Douglas County schools received $22,573 back on their long-time investment in GreyStone Power.

 “School systems really benefit from capital credits,” says Gary Miller, GreyStone Power President/CEO. “GreyStone Power is able to give money back to the schools each fall. That’s the power of receiving electricity from a nonprofit cooperative!”

GreyStone Power does not immediately distribute the full amount of surplus capital at the end of each year; some of the member capital is put in reserves in order to keep rates as low as possible, and to deal with unforeseen challenges and rising power costs. Annually the Board of Directors reviews the cooperative’s financial health, government restrictions and fluctuating power costs to determine if money can be released to members or if it needs to be kept in reserves to handle fluctuating market costs.

In 2008, checks were sent out to members who earned capital credits in 1988, 1989 and 2007 and were sent to each member’s last known address. Since some members may have moved from GreyStone’s service area after 1988 and 1989, it’s important to leave a forwarding address with the Cooperative. If a check isn’t claimed after five years, the money is used through the GreyStone Power Foundation, Inc. to fund scholarships for deserving students and assist members through charitable organizations in the community.