About RTC Networks

Capital Credits

What are Capital Credits?

Capital credits are your reward for doing business with your cooperative. RTC Networks uses capital credits to operate and to make capital improvements. By using capital credits, RTC Networks is able to hold down the cost of service and provide state-of-the-art service to you the member-owners.

1962-1999  $8,215,247
2000           $603,468
2001            $470,836
2002           $552,671
2003           $582,993
2004           $728,222
2005           $814,806
2006           $906,114
2007           $905,174
2008           $265,945
2009           $371,190
2010           $262,744

2011            $299,665
2012           $288,691
2013           $351,387
2014           $266,068
2015           $456,787
2016           $370,898
2017           $375,829
2018           $412,467
2019           $545,111
2020          $442,976
2021           $2,169,231
Total        $20,658,520

How are credits earned?

You accumulate patronage each year you receive internet, phone, and TV services from RTC Networks. At the end of each fiscal year the cooperative’s margin, the excess after operating costs and other expenses, is determined. The margin is allocated to you, the member, in the form of capital credits. The capital credits remain in your membership account until the board of directors authorizes the release of capital credits.

How does RTC decide what to pay out?

RTC Networks’ Board of Directors makes this decision by looking at the cooperative’s financial condition, cash flow, and upcoming projects. The First In First Out (FIFO) and Last In First Out (LIFO) methods are currently used for capital credit retirements.

What happens in the case of a closed business?

Capital credits associated with a closed business can be released if the business has been closed for at least 1 year prior to applying. The RTC Networks’ Board of Directors reviews each request at a board meeting and determines whether the cooperative will release the capital credits. See “How does RTC Networks decide what to pay out?” above.

Unclaimed Capital Credits

We have capital credit checks for individuals and businesses but the checks have been returned to us. These cooperative members may have moved out of the area without leaving a forwarding address or they may no longer be living.

Unclaimed Capital Credits

What does the allocation statement mean?

The allocation statement tells you how many capital credits were earned in that particular year.

Sample Statement

What happens in the case of an estate?

The individuals handling the final affairs of an estate must apply to have the capital credits released. The RTC Networks’ Board of Directors reviews each request at a board meeting and determines whether the cooperative will release the capital credits.

What if I moved out of RTC Networks’ service area?

It is very important that you keep us informed of your current mailing address. If we can’t find you it is very difficult to send you your capital credit dollars.