The Energy Cooperative is a not-for-profit, member-owned cooperative. Patronage capital is the cooperative’s margins, or money left over after all bills have been paid each year. The cooperative uses the margins for capital expenditures, such as storm recovery, the repair and building of line, maintenance and system upgrades. Each electric member’s share is allocated on paper to a patronage capital account. After being used by the cooperative as working capital, the money is returned to electric members as patronage capital. Patronage capital is allocated to members in proportion to the dollar amount of electricity each member uses. Money that has been reinvested in the cooperative represents each member’s ownership, or equity, in the cooperative. After a period of approximately 20 years, or determined by The Energy Cooperative Board, this money is allocated you based on that year’s calculation.
For example, if all your electric bills for the year totaled $1,400 and The Energy Cooperative’s margin percentage was 10%, your allocated share of patronage capital would be $114.
Your elected Board of Directors decides when capital credits will be allocated and retired. If you move off The Energy Cooperative’s lines, please keep us informed of your current address so your capital credits can be mailed to your new address.