Members of Nishnabotna Valley REC share in
the benefit of doing business with the
Cooperative. That benefit is in the form of
capital credits, or patronage dividends. The
capital credits you get are revenues in
excess of expenses to operate the REC.
Patronage dividend notices are mailed to
members each April to indicate how much
money was allocated to them for the previous
calendar year. Each member's share is in
proportion to the electricity they use.
Patronage dividends are returned to members
on a 20-year roll. Iowa law also allows a
percentage of the current year's dividends
to be returned.
While retained by Nishnabotna Valley REC,
allocated patronage capital contributes to
the Co-op's equity and strengthens its
financial position. Annually, the Board of
Directors reviews the financial position and
determines whether a percentage of the
current year's allocation may be paid to the
members without jeopardizing the
cooperative's financial stability.
Members of Nishnabotna Valley REC have
received over $2.0 million in patronage
dividends since the Cooperative began in
1936.
