The Vermont Electric Cooperative will return $1.2 million to its members this fall. It’s the seventh consecutive year that co-op members have received a patronage capital distribution, with over $6 million refunded over that time.
As all electric co-ops do, Vermont Electric allocates to its members any money that’s left after paying its operating expenses. This “patronage capital” is kept in reserve and used to help the co-op secure good borrowing rates and invest in infrastructure, which allows the co-op to provide safe, reliable power to its members and maintain stability over time.
Annually, the co-op board of directors decides if the organization is in a strong enough financial position to return money to members.
This year’s distribution will take the form of a September bill credit for eligible members. Both active and former members can choose to donate their patronage capital refund to the co-op’s Community Fund, which supports local organizations.