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2025 Kay Electric Annual Meeting Prize Drawings Winners

2025 Kay Electric Annual Meeting Prize Drawings Winners

**All winners have been contacted via phone**

Milwaukee String Trimmer: Gene Wittum

Milwaukee Leaf Blower: Aaron Kreger

Milwaukee Vacuum: Angel Moyer

John Deere ZTR Mower: Darren Swopes

John Deere Gator: Linda Row

Crock Pot: Kylee Paschal & Noble County District 1

Black and Decker Leaf Blower: Ricky Buchanan

$250 Gas Card: Terry White & Schley Wensler

$50 Gift Card: Rod Reese & Steve'E Body Shop

$100 Home Depot Gift Card: Russell Whiles

$75 Walmart Gift Card: Carolyn Sennett

$100 Walmart Gift Card: Tammy Ross

$50 Gift Card: Michelle Vap

$100 Gift Card: Robert Evans

HP Laptop PC: Matt Young

$50 Zift Gift Card: John Hercyk & Tiffany Jordan

$50 Cabela’s Gift Card: Leon D Compala

$50 Bass Pro Gift Card: Cody Vap

$100 cash: Alice Andrews, James Holba, Michelle Williams, Phillips Duncan, Sue Schmidt, Shara Sargent, Kevin Henderson, Mike Mccann, Todd Wyckoff, and Greg Ternary

How does KEC restore your power in an outage?

Outages occur for a number of reasons. In the event of a large or wide-spread outage, we prioritize repairs in order to get the largest number of members back on first.

  • First, we check and repair any damaged transmission lines. These are the lines that bring power to our electrical system.
  • Equipment or line repairs at substations will be done next in order to transfer power from transmission lines to the main distribution lines throughout our service area.
  • After the substations are repaired, we turn our attention to our main distribution lines, and then to tap lines, which carry electricity from the main distribution lines to smaller groups of members.
  • Once all distribution lines and tap lines are repaired, we begin working on service lines, which typically bring power to only one or two locations.

Restoring power during inclement weather or after a large accident can be a big job. Kay Electric maintains a 24-hour, 365 day-a-year dispatch center so if you should lose power, be assured we’re working as quickly as possible to get your lights back on.

What causes the lights in my house to flicker or blink?

A "power blink" is when your lights appear to flicker for just a split second up to a few seconds. Power blinks occur when an object, such as a tree limb, comes into contact with a power line or other equipment. To prevent an extended outage, damage to the line, or your home, a "recloser" will sense a change in current caused by the obstruction and briefly interrupt electricity up to a second or two to clear the fault current.  This is a normal safety feature designed for an electrical distribution system, and there is no need to report power blinks. There is no need to report power blinks.

Occasionally during an outage, your power may temporarily go out after being restored. In these situations, it usually means linemen are working on a power line or other electrical equipment in order to restore power to other members.

What can I do to help get my power back on?

Before calling to report an outage, check your home’s breaker panel (and any outdoor disconnects) to make sure the outage is not due to a tripped breaker. Check to see if your neighbors are also out of power. This will help you determine if the problem exists within your home, or on Kay Electric’s system.

If you determine the problem is outside of your home, report your outage to Kay Electric.

Login online, or call (800) 535-1079 or (580) 363-1260.

You will need the following information available when you call:

  • Name on the account
  • Account number or phone number on the account
  • Any details related to the outage

Please let us know if you heard a loud bang, saw damaged equipment, or if your neighbors have power but you do not.

How do you decide whose power to restore first?

The outage restoration process begins at the point where power feeds into Kay Electric’s system. This could be at a substation, transmission line, or a main distribution line. After these repairs have been made, crews work on remaining outages and correct the trouble, beginning with areas serving the greatest number of members and continuing until electricity is restored to each member’s home.

If you see a Kay Electric service crew passing but not stopping, it is because work must first be performed at a nearby location or device before electric service can be restored to your home. Following the outage restoration process ensures all members have their power restored as quickly and safely as possible.

On occasion, your power may go out while your neighbor's power remains on. There are a couple reasons this could happen. Remember to check for a tripped breaker or other electrical problems to rule out an outage caused by something in your home. Your neighbor may also be receiving their electricity from a different power line or substation.

Why can’t you tell me how long it will take to restore my power?

Each outage is a result of different circumstances, and some may take longer to identify and restore than others. As a result, outage restoration information may not be immediately available.

In some sectors of our service territory, lineman must physically walk through remote territory to investigate the cause of an outage, which can be time consuming. Kay Electric often provides updates on the status of outages on our Facebook page.

How do I protect appliances in my house?

A lighting strike or downed power line can send a surge of electricity through your home, potentially damaging appliances. Computers, TV’s, and other electronic equipment are expensive investments that are worthy of protecting from storm-related damage. Surge protectors provide a defense against power spikes and surges.  During an electrical storm, it’s always best to disconnect/unplug items to protect them.

How should I prepare for outages?

Kay Electric recommends having an emergency kit on hand so you are ready for any emergency. Include items like a portable radio, batteries, corded phone, and a flashlight. Store this kit in a designated place so it is easy to find.

Is a generator safe to use when I lose power?

A generator can be a wonderful tool during an outage, especially if you have special medical needs and require electricity. But, it can also be extremely dangerous if used improperly. Be aware that it’s against the law, and a violation of electrical codes, to connect a generator to your home’s electrical circuits without a transfer switch or compliant isolation device. Otherwise, if a generator is online when electrical service is restored, it can become a major fire hazard. In addition, the improper connection of a generator to your home’s electrical circuits may endanger service crews helping to restore power in your area.  Read more generator safety tips:

Visit Kay Electric’s Home Backup Generators page to learn more about whole home generators and how to purchase.

Commercial 3

Commercial 3

Availability

Available for commercial, industrial, and farm services for all uses including lighting, heating, and power, over 150 kVA of transformer capacity, and subject to the established rules and regulations of the Cooperative. This rate is to be used for all commercial grow facilities over 150 kVA of transformer capacity, regardless of total kVA size. This rate is to be used for all primary metering points.

Type of Service

Single and/or three-phase, 60 Hertz, at standard voltages.

Rate

Service Access Fee:

  • $100 for single-phase
  • $125 for three-phase

Transformer kVA Charge: $0.50 per all kVA over 250 kVA

Demand Charge: $13.50 per kW of billing demand

Energy Charge: $0.0730 per kWh

Transformer kVA Capacity Charge

A monthly charge of $0.50 per kVA for all transformer kVA capacity in excess of 250 kVA.

Determination of Billing Demand

The contract demand used for billing purposes shall be the kilowatt demand as indicated on a 15-minute maximum demand meter for the month for which the bill is rendered, but shall not be less than 22 kW and not less than 65% of the highest kilowatt demand so supplied during the previous 11 months.

Minimum Charge

The minimum charge shall be the highest 1 of the following charges:

  1. The total of the service access fee, transformer kVA charge, demand charge, energy charge, and applicable adjustments.
  2. Minimum as stated in Agreement for Purchase of Power.

Adjustments

Power Factor: The consumer agrees to maintain unity power factor as nearly as practicable. The bill will be adjusted to correct for power factors lower than 90%, when the Cooperative deems necessary. Such adjustment will be made by increasing the total bill by 1% for each 1% by which the power factor is less than 90% lagging. The Cooperative reserves the right to measure such power factor at any time during a period of maximum demand.

Power Cost Adjustment: The above rate may be subject to an increase or decrease due to a power cost change from our power supplier.

Tax Adjustments: This rate shall be subject to all taxes which the Cooperative may be required to collect, including any franchise tax or other fees.

Gross Receipts Tax: All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma. Currently the tax is 2%

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view. A late fee of 5% of the net bill, but not less than $5, shall be added after the due date. If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days' written notice.

Commercial 2

Commercial 2

Availability

Available for commercial, industrial, and farm services over 30 kVA of transformer capacity and up to 150 kVA of transformer capacity for all uses including lighting, heating, and power subject to the established rules and regulations of the Cooperative.

Type of Service

Available for commercial, industrial and farm services over 30 kV A of transformer capacity and up to 150 kVA of transformer capacity.

Rate

Service Access Fee:

  • $80 for single-phase
  • $105 for three-phase

Transformer kVA Charge: $0.50 per all kVA over 30 kVA

Demand Charge: $7.50 per kW of billing demand

Energy Charge: $0.085 per kWh

Transformer kVA Capacity Charge

A monthly charge of $0.50 per kVA for all transformer kVA capacity in excess of 30 kVA.

Determination of Billing Demand

The contract demand used for billing purposes shall be the kilowatt demand as indicated on a 15-minute maximum demand meter for the month for which the bill is rendered, but shall not be less than 10 kW and not less than 65% of the highest kilowatt demand so supplied during the previous 11 months.

Minimum Charge

The minimum charge shall be the highest 1 of the following charges:

  1. The total of the service access fee, transformer kVA charge, demand charge, energy charge, and applicable adjustments.
  2. Minimum as stated in Agreement for Purchase of Power.

Adjustments

Power Factor: The consumer agrees to maintain unity power factor as nearly as practicable. The bill will be adjusted to correct for power factors lower than 90%, when the Cooperative deems necessary. Such adjustment will be made by increasing the total bill by 1% for each 1% by which the power factor is less than 90% lagging. The Cooperative reserves the right to measure such power factor at any time during a period of maximum demand.

Power Cost Adjustment: The above rate may be subject to an increase or decrease due to a power cost change from our power supplier.

Tax Adjustments: This rate shall be subject to all taxes which the Cooperative may be required to collect, including any franchise tax or other fees.

Gross Receipts Tax: All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma. Currently the tax is 2%

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view. A late fee of 5% of the net bill, but not less than $5, shall be added after the due date. If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days' written notice.

Commercial 1

Commercial 1

Availability

Available for commercial, industrial, and farm services up to 30 kVA of transformer capacity, for all uses including lighting, heating, and power, subject to the established rules and regulations of the Cooperative.

Type of Service

Available for commercial, industrial and farm services over 30 kV A of transformer capacity and up to 150 kVA of transformer capacity.

Rate

Service Access Fee:

  • $45 for single-phase
  • $70 for three-phase

Demand Charge: $7 per kW of billing demand

Energy Charge: $0.099 per kWh

Determination of Billing Demand

The contract demand used for billing purposes shall be the kilowatt demand as indicated on a 15-minute maximum demand meter for the month for which the bill is rendered.

Minimum Charge

The minimum charge shall be the highest 1 of the following charges:

  1. The total of the service access fee, demand charge, energy charge, and applicable adjustments.
  2. Minimum as stated in Agreement for Purchase of Power.

Adjustments

Power Cost Adjustment: The above rate may be subject to an increase or decrease due to a power cost change from our power supplier.

Tax Adjustments: This rate shall be subject to all taxes which the Cooperative may be required to collect, including any franchise tax or other fees.

Gross Receipts Tax: All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma. Currently the tax is 2%

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view. A late fee of 5% of the net bill, but not less than $5, shall be added after the due date. If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days' written notice.

Agricultural Power Service

Agricultural Power Service

Availability

The application of this rate is limited to members of the Cooperative for the operation of single-phase and three-phase qualifying agriculture motors over 30 kW or having a total of 37.5 kVA of transformer capacity for single-phase and 45 kV A capacity for three-phase, which agree not to use electric energy during Western Farmers Electric Cooperative's called peak days between the hours of 3 and 7 p.m. CST, from June 20 and September 9. The Cooperative will notify consumers of peak days through member provided cell numbers, text, and/or emails.

Type of Service

Single and/or three-phase, 60 Hertz, at standard voltages

Rate

Service Access Fee: 

  • $40 for single-phase
  • $70 for three-phase

Transformer kVA Charge: $0.50 per kVA of transformer capacity

Demand Charge: $11 per kW of billing demand

Energy Charge: $0.099 per kWh

Contract Terms

This rate is effective from the date the contract is signed and shall automatically be renewed from subsequent 1 year terms unless terminated by either party giving notice prior to new summer control season. The consumer is responsible to pay for any demand charges on any kilowatt demand set by the consumer during any summer load control period for a term of 12 months, even if the load is disconnected. If the load is disconnected, the demand charges are in addition to any minimum charges that might be remaining on the original contract.

Metering

Certain monitoring devices (metering) designated by Kay Electric will be placed at load location and shall be and remain the property of the Cooperative. A non-refundable contribution from the consumer will be collected to cover the initial cost of the metering device.

Transformer kVA Capacity Charge

A monthly charge of $0.50 per kVA for all transformer kVA capacity.

Determination of Billing Demand

The Billing demand shall be the higher of the following:

  • The kW demand set during the called peak days of summer control period.
  • 5% of the previous 11 months peak kW.
  • 35% of the present month kW peak.

The summer load control demand is the averaged highest kW demand recorded during the called peak days between the hours of 3 and 7 p.m. of the summer load control period coinciding with our power suppliers 3 highest called peak days.

The monthly peak demand shall be the maximum kilowatt demand as indicated on a 15-minute demand interval.

If the consumer does not control his load during the summer control period, then he is responsible for any demand set during the summer load control period. The consumer agrees to pay the billing demand charge that is based on the summer load control kW demand for the next 12 months beginning with the first billing period following the end of the summer load control period. If the consumer disconnects the account before paying all 12 months of the demand charge, then the consumer will be billed the remaining demand charge on the final bill.

Minimum Charge

The minimum charge shall be the greater of the following charges:

  1. The total of the service access fee, transformer kVA charge, demand charge, energy charge, and applicable adjustments.
  2. Minimum as stated in Agreement for Purchase of Power.

Power Factor

The consumer agrees to maintain unity power factor as nearly as practicable. The bill will be adjusted to correct for power factors lower than 90%, when the Cooperative deems necessary. Such adjustment will be made by increasing the total bill by 1% for each 1% by which the power factor is less than 90% lagging. The Cooperative reserves the right to measure such power factor at any time during a period of maximum demand.

Billing Adjustments

Power Cost Adjustment: The above rate may be subject to an increase or decrease due to a power cost charge from our power supplier.

Tax Adjustments: This rate shall be subject to all taxes which the Cooperative may be required to collect, including any franchise tax or other fees.

Gross Receipts Tax: All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma. Currently the tax is 2%.

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view. A late fee of 5% of the net bill, but not less than $5, shall be added after the due date. If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days' written notice.

Peak Day Notifications

Member is responsible to provide Kay Electric with all current email, text, or telephone information in order for KEC to provide member with Peak Day Notices.

Large Power Rate – LP6

Large Power Rate - LP6

Availability

The application of this rate schedule is limited to Consumers that establish a minimum demand of 1,000 kilowatts through a single meter subject to the established rules and service regulations of the Cooperative.

Type of Service

Three-phase, 60 Hertz, at available voltage.  At its sole discretion, the Cooperative may elect to meter the customer with either primary or secondary metering and make the appropriate correction for losses.

Rate

Level I Substation

Service Access Fee: $500 per month

Demand Charge: $0.60 per NCP kW

Energy Charge: 

  • First 1,000,000 kWh: $0.00725 per kWh
  • Over 1,000,000 kWh: $0.00525 per kWh

Level II Distribution Primary - Metered at Substation Level

Service Access Fee: $500 per month

Demand Charge: $2.20 per NCP kW

Energy Charge: 

  • First 1,000,000 kWh: $0.00725 per kWh
  • Over 1,000,000 kWh: $0.00525 per kWh

Level III Distribution Primary

Service Access Fee: $500 per month

Demand Charge: $2.75 per NCP kW

Energy Charge:

  • First 1,000,000 kWh: $0.00755 per kWh
  • Over 1,000,000 kWh: $0.00545 per kWh

Level IV Distribution Secondary

Service Access Fee: $500 per month

Demand Charge: $3.85 per NCP kW

Energy Charge: 

  • First 1,000,000 kWh: $0.00775 per kWh
  • Over 1,000,000 kWh: $0.00555 per kWh

Wholesale Power Costs

The Cooperative's approved wholesale cost of power method using power supplier's applicable Rate Schedule shall be the cost of power to serve the Customer including, but not limited to taxes, capacity, demand, ancillary services, delivery, energy and fuel charges for the billing period plus adjustments applied to the current monthly billing to account for differences in actual purchased electricity costs billed in previous periods. The power cost will be calculated using the billing units defined in the same manner as defined in the wholesale rate to the customer, including any ratchet provisions in the wholesale rate. The Customer's billing units may be adjusted for line losses, as determined by the Cooperative, to calculate the Customer's power cost at the wholesale supplier's metering point to the Cooperative.

Facilities Charge

The facilities charge may be applicable to consumers requiring extension of service based on the actual cost of construction plus applicable interest cost {determined by the interest rate of the most current fixed loan), billed to the Customer monthly as developed on the following formula: (Actual Construction Cost + Applicable Interest Cost)/ Term of Agreement = Monthly Charge

Construction Costs

Construction costs for large project investments could be required to be paid upfront entirely in lieu of a facility charge(s). These construction costs are for large projects built for the purpose of servicing load(s) that could be financially detrimental to the cooperative if funds were not collected upfront. These pre-collected construction costs could be paid back to the consumer over time as a credit on the consumer's monthly electric bill if certain minimum usage and load factor parameters are contractually met provided that the Cooperative's financial investment on facilities built do not adversely affect the overall membership.

Minimum Monthly Charge

The minimum monthly charge shall be the service access fee plus the highest 1 of the following charges:

  1. The service access fee plus all kWh charges, plus the Cooperative's demand charge based on the Cooperative's appropriate demand charge rate times the greatest of 1,000 kW or the current billing month's NCP recorded (metered) kW demand, plus any facilities charges, including all monthly wholesale power supplier charges, and applicable adjustments.
  2. Minimum as stated in Agreement for Purchase of Power.

Determination of Kay Electric Billing Demand

The Consumer's Kay Electric Billing Demand shall be the maximum rate at which energy is used for any period of 15 consecutive minutes of the month for which the bill is rendered as shown by the cooperative's or WFEC’s demand meter.

Determination of Western Farmers Electric Wholesale Energy Charge & Billing Demands

For Consumers who qualify for this rate, the Consumer's WFEC wholesale Energy Charge and Billing Demand(s) shall be based on the WFEC wholesale rate selected. WFEC's rate schedule R16 Commercial / Industrial rider rate is the normal rate utilized for the LP-6 rate, but other WFEC rate schedules could be applied if beneficial for both the Consumer and the Cooperative. The Consumer is responsible to pay for any and all demand(s) or other charges according to the WFEC rate through the end of any given calendar year. If WFEC replaces the existing contract rate used by this agreement with a new contract rate, the newest contract rate would immediately be applied to this agreement and any associated fee changes applied.

Peak Demand Period

The Peak Demand Period shall be any day of the year.

Power Factor Adjustment

The consumer agrees to maintain unity power factor as nearly as practicable.  The power factor during the month for billing purposes shall be obtained from the measured reactive kilovolt-ampere demand taken during the month.  If the power factor during the month is less than ninety percent (90%) lagging or greater than ninety percent (90%) leading, a power factor adjustment shall be applied.  Such adjustments shall be based on the higher of a power factor penalty charge from Western Farmers Electric Cooperative, or the amount from increasing the total monthly charges by one percent (1%) for each one percent (1%) that the power factor for the month is less than ninety percent (90%) lagging or greater than ninety percent (90%) leading.

Power Cost Adjustment (PCA)

The PCA shall be passed on to the Consumer using the same factor per kWh as is passed on to the seller as Fuel Adjustments by Cooperative’s wholesale supplier.

Line Loss Adjustment

A line loss adjustment shall be applied by taking the total kilowatt-hours and increasing it by the amount of the line loss factor, which shall be determined based on the maximum expected load, if the metering for this service is not located at the beginning of a dedicated feeder to serve this load.

Tax Adjustment

The above rate shall be subject to an increase or decrease in proportion to the amount of new or increased taxes which the Cooperative may hereafter be required to pay, which are levied, imposed, increased, or decreased by laws or tax rates which were not in effect on April 1, 2024.

Gross Receipt Tax

All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma.  Currently the tax is two percent (2%).

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view.  A late fee of 5% of the net bill, but not less than $5.00, shall be added after the due date.  If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days’ written notice.

Farm & Residential Service

Farm & Residential Service

Availability

Available to Farm and Residential Consumers for farm and residential uses, subject to the established rules and regulations of the Cooperative. This rate is not applicable for multiple residences through a single meter nor for a residence in which a portion of the dwelling is regularly used for business and professional service.

Type of Service

Single-Phase, 60 Hertz, at available secondary voltage

Rate

Service Access Fee: $30 per month

Transformer kVA Charge: $0.50 per kVA over 25 kVA

Demand Charge: $1 per kW of billing demand

Energy Charge: $0.1020 per kWh

Minimum Charges

The minimum monthly charge shall be the highest 1 of the following:

  1. The total of the service access fee, transformer kVA charge, demand charge, energy charge, and applicable adjustments.
  2. Minimum as stated in the Agreement for Purchase of Power.

Adjustments

  • Power Cost Adjustment: The above rate may be subject to an increase or decrease due to a power cost change from our power supplier.
  • Tax Adjustment: This rate shall be subject to all taxes which the Cooperative may be required to collect, including any franchise tax or other fees.
  • Gross Receipts Tax: All charges are subject to the Gross Receipts Tax levied by the State of Oklahoma. Currently the tax is 2%.

Terms of Payment

The monthly bill is due within 10 days after the bill is mailed or presented online for the consumer to view. A late fee of 5% of the net bill, but not less than $5, shall be added after the due date. If the consumer fails to pay by the due date, the Cooperative may discontinue service by giving 5 days' written notice.

1. Voluntary & Open Membership

Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political, or religious discrimination.

2. Democratic Member Control

Cooperatives are democratic organizations controlled by their members, who actively participate in setting policies and making decisions. The elected representatives are accountable to the membership. In primary cooperatives, members have equal voting rights (1 member, 1 vote), and cooperatives at other levels are organized in a democratic manner.

3. Members’ Economic Participation

Members contribute equitably to, and democratically control, the capital of their cooperative. At least part of that capital is usually the common property of the cooperative. Members usually receive limited compensation, if any, on capital subscribed as a condition of membership. Members allocate surpluses for any or all of the following purposes: developing the cooperative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the cooperative; and supporting other activities approved by the membership.

4. Autonomy & Independence

Cooperatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their cooperative autonomy.

5. Education, Training, & Information

Cooperatives provide education and training for their members, elected representatives, managers, and employees so they can contribute effectively to the development of their cooperatives. They inform the general public, particularly young people and opinion leaders, about the nature and benefits of cooperation.

6. Cooperation Among Cooperatives

Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional, and international structures.

7. Concern for Community

While focusing on member needs, cooperatives work for the sustainable development of their communities through policies accepted by their members.

Safe Tree Planting Tips

Trees and shrubs are attractive additions to your landscape, but can also cause electrical hazards if you don't pay attention to where you plant. Trees growing too close to power lines can cause sparks, fires, power outages and shock hazards. Trees and shrubs located too close to utility equipment can cause delays in power restoration and create safety hazards.

To avoid these problems, make sure to give trees and shrubs plenty of room to grow to full size without getting too close to utility equipment.

Safe Tree Planting Tips

  • Consider the size of the tree when fully grown to be sure they won't interfere with power lines.
  • Consider the location of overhead lines and underground equipment when choosing where you plant.
  • Don't plant right next to transformers or your meter and keep these areas clear. This is for your safety and so crews can quickly access equipment when needed.
  • Call 811 at least 3 days before you plant to have underground lines marked for safe digging.

Safe tree planting infographic.Leave 10 feet of room around electrical equipment.

Notify by Calling 811

Notify your local one-call center by calling 811 or making an online request 2 to 3 days before work begins. View the 811 In Your State webpage about your local one-call center and online service availability. The one-call center will transmit information to affected utility operators.

Wait 2 to 3 Days

Wait 2 to 3 days (varies by state; view state law information) for affected utility operators to respond to your request. On average, between 7 to 8 utility operators are notified for each request.

Confirm Affected Utilities Have Responded

Confirm all affected utility operators have responded to your request by comparing the marks to the list of utilities the one-call center notified. State laws vary on the process for confirmation. Please check with your local one-call center for more information.

Respect the Marks Provided By Utilities

Respect the marks provided by affected utility operators. These marks are your guide for the duration of your project. If you are unable to maintain the marks during your project, or the project will continue past your request's expiration date, please call 811 to ask for a re-mark.

Dig Carefully

Dig carefully. If you can't avoid digging near the marks (within 18 to 24 inches on all sides, depending on state law), consider moving your project to another part of your yard. If you must dig near the marks or use machinery of any kind, please read The 811 Process for Contractors.

How do capital credits work?

Capital Credits - How Do They Work?

Capital Credits infographic

  • At the end of the year, KEC settles all financial matters and determines whether there are excess revenues, called net margins.
  • KEC allocates net margins as "capital credits" to members who belong to the co-op during the year in which a net margin is generated.
  • When KEC's financial conditions permit, the board of directors may decide to retire (pay) capital credits to members.
  • When KEC's board of directors retires capital credits, checks are mailed to members with a capital credits retirement of at least $5.

KEC has retired $15,790,000 to members.

A Benefit of Membership

  • Because electric co-ops operate at cost, any excess revenues - called net margins - are returned to members in the form of capital credits.
  • KEC's board of directors is committed to retiring capital credits. The allocation and retirement of capital credits is 1 of the most unique and rewarding benefits of being a Kay Electric member.
  • Since 2007, KEC's board has used a hybrid, first-in, first-out, and a last-in, first-out retirement method so the maximum number of members receive some return of investment. KEC is currently at a rotation of approximately 13 years.
  • Not all co-ops retire capital credits, and not all co-ops retire capital credits in a way that benefits the most members. It's 1 aspect of co-op membership that is unique to KEC.
When will I get a capital credit refund?

The profits of KEC are allocated to our members every year. Allocation means the funds that you have invested into the cooperative are tracked, but not accessible in the form of cash. The actual distribution of funds, or retirement of capital credits, happens at the discretion of the board of directors.

At the end of each year, your board carefully assesses the financial condition of the cooperative, and determines what amount of capital credits to retire to our members. Capital credits may not be retired every year. If the board decides to retire capital credits, anyone who was a member in the year(s) being retired will receive some type of credit.

What do cooperatives do with capital credits when they are not retired?

Electric utilities are capital intensive businesses requiring large investments in equipment. Like all businesses, KEC must maintain a balance between debt and equity to ensure financial stability. Capital credits are a significant source of equity and help to fund the growth and maintenance of the system.

During periods of fast growth, a large amount of cash (or equity) is needed to build our system. In order to fund this growth, KEC has to borrow money from banks, re-invest member capital, or in some cases, do both. By re-investing your capital credits, KEC is able to keep rates competitive by reducing the funds that must be borrowed from other sources.

Do I have to claim capital credits as income on my taxes?

Capital credits are a return of money paid for electricity in a previous year and are generally not taxable income for residential consumers—unless the electric bills were deducted for tax purposes. Businesses may be subject to different IRS guidelines. Members should consult a tax professional for questions related to income tax filings—Kay Electric does not provide legal, tax, or accounting advice and this information is provided as a courtesy.

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