Capital Credits

Capital Credit Retirement

Capital credits from 2017, 2018 and 2019 have been retired. Current members eligible for a capital credit payment will see it reflected on their next utility bill. Former members will be mailed a check. Request your capital credit statement to check your eligibility. If you are unable to request a capital credit statement online, please call 239-992-0711 and ask for the Capital Credit Department.

BSU is a member-owned, not-for-profit cooperative. Customers, who are our members, are eligible to earn capital credits.

Each year, any revenue remaining after expenses, debt service, system renewal and replacement and other capital improvement funding, as well as accounting for depreciation and reserves, is allocated to members as capital credits. A member’s capital credit is calculated based on their service payments for the year in proportion to all member service payments for the year.

In some years, there are no capital credits to allocate to members. In those years, annual revenue has been fully committed to utility operations.

$11.1M in capital credits have been retired

Current members are notified each year of their capital credit allocation. The Board of Directors determines when to retire capital credits on a year-to-year basis. That decision is based on the financial condition and needs of the utility. Capital credits are retired in chronological order, according to Company Bylaws. Current members receive a credit on their utility bill and former members are mailed a check.


At the end of the year, Company revenue may exceed expenses. This excess revenue is called the net margin and is allocated to members as capital credits. The allocation is based on a member’s service payments for that year as a percentage of all utility revenue.


Retirement is the process of paying out capital credits to members.