Chugach Electric Association is facing backlash from members after announcing that its new “Cents of Community” program will automatically round up electric bills to the nearest dollar unless customers take the time and effort to opt out.
The program, set to launch in October, will add an average of 50 cents per month to each account — about $6 per year per member, the association said. With more than 92,000 members, that adds up to over half a million dollars annually. The money will be pooled into a grant fund and distributed to 501(c)(3) charities through a Chugach-appointed board. Chugach Electric Association’s board is dominated by Democrat- and union activists.
What has many members upset is not the amount, but the process. When Chugach first floated the program, it was described as voluntary. Members say they were told it would be opt-in, meaning they could choose to participate. Instead, every member has now been automatically enrolled, and those who don’t want to take part must call a Chugach hotline, provide their account number and service address, and ask to be removed. Normal people don’t have their electric account numbers handy, so this is a burden of time that not all will commit.
Chugach Consumers, a member watchdog group, has been warning against the program since before the vote. The group points out that Chugach already donates money to charities out of ratepayer revenue, and argues the round-up program forces members into giving under the utility’s terms. “This bylaw is further inducing members to donate their own moneys for Chugach image building,” the group stated.
Members voicing frustration say they feel misled by the shift from an opt-in to an opt-out system. Some see the program as a distraction from Chugach’s core responsibility of keeping power affordable. Others resent being automatically committed to charitable donations without their explicit consent.
Customers who wish to decline the program must call (907) 762-4129 with their account details to opt out.