Cooperatives are democratic organizations by nature, governed by a local board of directors elected by cooperative members. Having a voice in the democratic process that guides the cooperative may be the most significant advantage. You have a board of directors and nearly 100 employees dedicated to bringing the same technology to your doorstep that others enjoy in more populated parts of the country.

As a member of a cooperative, you are able to participate in the election of directors at the annual meeting, take advantage of special offerings, and receive capital credits.


One of the principle requirements in order to be a member of the Ace cooperative is having telephone service with Ace Telephone Association. If you do not keep your telephone line with Ace, you will no longer be a member of the Ace cooperative—you will not earn capital credits on any of your services nor be eligible to vote at the annual meeting or at special meetings. Even if you keep other Ace services, such as High-speed Internet or digital TV, you will not be considered a member. You must have Ace telephone service.

What are the types of memberships?

  1. Single membership—Your account lists only your name and only you are eligible
  2. Joint membership—Your membership is joint if two or more people are listed on your account. Any person listed on a joint membership is eligible to vote; however, only one person per member ship is allowed to vote at each meeting. The capital credits check will come in all names listed on the joint membership.
  3. Corporate—Your membership is in the name in which you are legally organized. Only authorized persons of the corporation are eligible to vote. The capital credits check will come in the name in which you are legally organized.

Capital Credits

Perhaps the single, most noticeable advantage to belonging to a cooperative like Ace is capital credits.

What are capital credits?
They are the difference between your cooperative’s operating cost and revenues. This amount is allocated to all members based on their business (patronage) with Ace.

Your patronage includes the services and products that are billed on your monthly Ace phone bill, such as:

  • Ace Communications Long Distance
  • Ace 800 Service
  • Ace Digital TV Service
  • Ace Wire Assurance
  • Directory advertising & extra listings
  • Local telephone service
  • Leased or purchased equipment
  • Ace Advantage Plan
  • Ace High-speed Internet
  • Ace Net (dial up)
  • Calling features
  • Install, labor, & connect chg
  • Service calls
  • Voice Mail

At the discretion of the board of directors and based on the financial status of the cooperative, profits from other sources (such as our subsidiaries in Mesick, Michigan, and Caledonia, Minnesota, and other business ventures) may be included in capital credits allocations as non-member sources.

How and when are capital credits allocated?
Ace maintains an individual capital credits record for each member. Every year, usually in the fall, we determine the amount of capital credits we will allocate to our members for the previous year. The allocation percentage varies each year according to the revenues and expenses of the cooperative.

Your allocation amount will vary from other members since it is based on the services you used during the year. The capital credit allocations remain assigned to each member even if they no longer receive telephone service from Ace and have moved away from the area. Therefore, it is important for current and past members to keep Ace informed if their address changes. Until the capital credits are paid to members, Ace uses member allocations for day-to-day business operations and capital equipment investments.

When are capital credits paid?
Our board of directors determines the schedule for returning capital credits to our members each year. Capital credits checks are usually mailed mid-December and include a small portion of the most recent year’s allocation so nearly all Ace customers receive a capital credits check and experience the benefit of belonging to a cooperative.

Members who move out of our service area or close their business, if the business had its own membership, have the option of cashing out their capital credits allocations at a discounted amount immediately or waiting for the normal allocation retirement.

What other companies providing telephone service, Internet access, or TV service send money back to their customers? Receiving capital credits prove the value of belonging to your cooperative—Ace Communications Group.

Who can I contact if I have questions?

Call 1811 or 888-404-4940 (option 9)
Stop at our office at 207 E Cedar in Houston between 8 a.m. and 4:30 p.m.