The most unique aspect of being a member of Fall River Electric Cooperative is that members are considered “owners” and as such earn margins which are considered profits by investor-owned utilities. Last month, owner-members of Fall River Electric were each mailed their summary of the Patronage Capital each earned in 2016 plus any amounts previously earned. Unlike for-profit businesses that generate profit, any excess revenue collected by Fall River as a Cooperative, called margins, are paid back to owner-members on a 20-year cycle. The board reviews the financial condition of the Cooperative and determines each year the total amount of Patronage Capital to be paid back to members.
The mailing members recently received represents the summary of each member’s earnings since they became a member (customer). This summary does not represent funds that can be cashed out now or applied to a member’s present statement. Those payments are made in December of each year. Last year (2016), qualifying owner-members received a total of $1,093,000.00 in Patronage Capital funds!
For more information about Patronage Capital, click the QUICK LINK on this website’s homepage or call a friendly Member Services representative during normal business hours of 8 a.m. to 4:30 p.m. Monday through Friday at 800.632.5726.