What is a Facilities Charge?

A facilities charge is a charge meant to pay for most of the fixed cost of making electric service and ensuring it reaches each member. This charge is determined by the Cooperative’s investment in the 4,400 miles of distribution lines, 88,000 poles, 25,000 transformers, 34,000 meters, fleet, inventory, administrative support and building maintenance.  The facilities charge is billed even if a member uses no electricity. Members are billed $0.95 per day. The remainder of cost needed is captured in the actual energy charges.

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What causes the facility charge to rise?

Every three to four years CFEC does an overall rate analysis to determine if rates or charges need to be adjusted. Cost of poles, conductors, hardware material, transformers, maintenance and right of way costs are primary factors in the increase of the facility charge.

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What are capital credits?

Ideally at CFEC, rates and budgets are set perfectly so that we spend the exact amount collected during the year.  However, given weather and expense variations, it is nearly impossible to predict. Therefore, at times there can be a margin generated. At year end, if there is a margin, the Board of Trustees has the authority to allocate the margin to members in the form of capital credits and distribute them at a future date. For example, in 2018 CFEC allocated the margin from 2018 to our 2018 members and we distributed 1991 capital credits to those who were members in 1991. Members were paid their portion of the margin based on their usage in that year.

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Why does CFEC need access to my property?

CFEC has facilities on the property and an easement to access the property for safety reasons. CFEC also maintains and ensures the equipment is in good condition. These facilities include the meter box, wire, power pole, etc. 

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What is a meter seal and why is it important?

Meter seals come in different colors and indicate at a distance if an account is active, inactive or off for non-payment. Most importantly it helps us know the status of the meter and allows for a quick glance to provide a measure of assurance that the meter is safely sealed or has not been tampered with.

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What happens if a meter seal is cut?

It must be known that cutting a meter seal is illegal and is a prosecuting offense. The property owner is responsible for the damage to the meter or any CFEC facilities. When a meter seal is cut, the integrity of the meter has been compromised and an investigation is conducted by CFEC. The investigation will determine the damages, energy losses and assure all safety requirements are still in place. In most cases an investigation charge is applied.

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Where does CFEC power come from?

CFEC purchases it's power from Seminole Electric Cooperative. Seminole provides power to 9 cooperatives in the state of Florida. Seminole is one of the largest "Generation and Transmission" (G&T) stations in the country.

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