STAFF REPORT
Pedernales Electric Cooperative is calling on its members and former members to claim capital credits worth about $4.2 million that were distributed in 2007 for memberships from 1960-1976.
As of May 2011, about 40,000 capital credits checks issued in 2007 and 2008 still had not been cashed and have expired. PEC sent checks to members’ last known addresses.
This month, the public can go to www.pec.coop and review a list of members for whom PEC is holding unclaimed property. Members with funds to claim can fill out a form to get a check reissued. Members with rights to claim a deceased member’s capital credits are asked to call the Co-op to discuss options for reissuing a check.
“Capital credits are one of the great benefits of being a Co-op member,” said PEC Chief Executive Officer RB Sloan. “We’re doing what we can to make sure the credits distributed in ’07 are returned to their rightful owners – our members and former members.”
Funds not claimed by Aug. 1 will be turned over to the state of Texas in October, and although members will still be able to claim their money after that, they will have to do so through the state. Under Texas law, unclaimed property that an entity, such as a cooperative, is in possession of becomes the property of the state if the rightful owner does not claim it after a specified period of time.
PEC mailed 835 letters in early June to the last known addresses of members in Texas who are owed $250 or more – the $250 is in accordance with Texas law — and also to out-of-state members for all owed amounts. Most of the almost 40,000 checks that have not been cashed are for amounts less than $250 for members with Texas residences listed as their last known addresses.
The co-op’s Board of Directors approved a resolution at its June meeting to ensure PEC continues to take steps to return the unclaimed money to members and to help members avoid the need to file a claim with the state.
“PEC is working diligently to go above and beyond what is required by law to match up these people with their money,” said PEC Special Counsel Pete Slover.
Members can call PEC at 1-888-554-4732 or send the Co-op an email at [email protected] if they have any questions.
