• Q: My neighbor received a capital credit refund but I didn't. Why?
• A: The most common reasons: The account in 1988 was only in a roommate or a former spouse's name. Refunds are made to the individual whose name(s) is on the account for that particular year's refund. Or you lived in the core of downtown, which was still served by the City of Fairbanks until 1997. If neither of these scenarios applies to you, contact us and we'll research it.


• Q: My parents have since moved from the Interior. Will they still receive a refund?
• A: Yes. For members who had service with the co-op in 1988, we will mail capital credit refund checks provided we have a good mailing address.

We are currently refunding capital credits from 1988 and before. If you were a GVEA member during that time and are eligible, there are many ways to apply for your capital credit refund:

• Print and mail an application to us. You can download an application here (PDF).
• This email address is being protected from spambots. You need JavaScript enabled to view it.  and request an application be mailed to you.
• Call us at (907)451-5625 or (800)770-4832 and request we mail you an application.

• Q: What is this allocation good for?
• A: Think of this capital credit allocation like a savings bond. Like a savings bond is a loan to the U.S. Department of Treasury to help pay for our government's borrowing needs, GVEA capital credits help reduce our co-ops borrowing needs. Similar to how a savings bond matures after a period of time, capital credits are retired and returned to you after a period of about 20-25 years.


• Q: What are capital credits?
• A: Because GVEA is a cooperative, owned by its members, it doesn’t technically earn profits. Instead, if revenues exceed the cost of doing business (expenses), the co-op has earned "margins" (profits). Each year, margins earned are assigned to GVEA members in proportion to the amount of electricity each member purchased during that year – these are called capital credits.


• Q: When should I expect to receive a capital credit refund check?
• A: Capital credit refunds have been issued or "retired" by the Board of Directors approximately 20 years after they are allocated. 


• Q: What is the difference between assigned and retired capital credits?
• A:Assigned capital credits are the amounts allocated to each member who was billed for service during a year margins were earned. While the credits are assigned to members, they are retained by the co-op for a period of time – approximately 20 years – and are used as capital and to reduce borrowing money from banks. They reflect your ownership in GVEA. When capital credits are retired, GVEA issues a check to you.


• Q: How will I know how much my capital credit refund will be?
• A: In a year when GVEA earns margins, the amount of capital credits you earn is based on the total amount you were billed for electricity during that year. The more electricity you buy, the greater your capital credits assignment. The sum of your monthly bills for a year is multiplied by a percentage to determine your capital credits. That percentage varies from year to year, depending on how successful the co-op was in a given year.


• Q: What if I had service at more than one location at the same time?
• A: Members with multiple accounts for different locations will receive a separate capital credit notice for each account. If there are more than six accounts under one membership name, the member will receive one notice and an attachment listing the accounts and amounts.


• Q: Do I earn capital credits every year?
• A: Capital credits are only assigned for a year in which GVEA earns margins. Since capital credits are a member’s share of the margins, no credits are allocated for a year with no margins. Also, you would not earn capital credits for any year that you did not purchase electricity from GVEA.


• Q: Are capital credits taxable?
• A: For individuals, capital credits are generally not taxable. We suggest you seek the advice of a tax professional for any specific questions. For businesses, according to new Internal Revenue Service guidelines, members receiving capital credits checks in excess of $600 are required to complete the IRS' Form W-9.


• Q: Can I use capital credits that have been assigned to pay my electric bill?
• A: No. Assigned capital credits may not be used to pay current bills. Your electric bill is due now, whereas you may not be entitled to receive your capital credits for many years.


• Q: Will I receive a capital credit check if I have an outstanding debt with GVEA?
• A: The amount of your capital credits checks will be reduced by any unpaid bills you may have with GVEA for disconnected accounts.


• Q: Do I have to be a GVEA customer for an entire year to earn capital credits?
• A: No. Capital credits are calculated based on a member’s total bills during the year. If you are billed for service for even one month, you will have accumulated some capital credits, if GVEA earns margins that year.


• Q: How often will I receive an assignment notice?
• A: Active members should receive an allocation notice annually.


• Q: What happens to the capital credits of a member who is deceased?
• A: The capital credits of a deceased member may be paid without waiting for a general retirement. However, these estate payments are not automatic. A representative of the estate must provide proof the person requesting the refund has been appointed by a court, executor or administrator of the estate (e.g. the Letters Testamentary or Statement Appointing Personal Representative), along with a copy of the death certificate. A check will be issued to the estate. The refunded amount will be reduced to reflect the early retirement of the account. Forms may be picked up at GVEA or requested by phone or email.


• Q: How often will I receive a capital credit check?
• A: The refund or "retirement" of capital credits is not automatic. The GVEA Board of Directors must specifically authorize each retirement after considering the financial impact on the co-op. Capital credits earned through 1987 are being retired. Active members whose refunds are $50 or less will receive a credit on their January bill. Checks will be mailed for refunds greater than $50. However, checks are not issued for less than $25, or for five years, whichever occurs first.


• Q: What happens to my capital credits if I leave GVEA’s service area?
• A: If you leave GVEA's service area, you are eligible for an early discounted capital credit refund. If you choose to wait for your full refund, please keep a current address on file with GVEA.