Each month when you pay your electric bill, Columbia REA uses that revenue to pay the operating expenses for providing electrical service. All excess revenues provide operating capital for the Cooperative and equity for you, the member. Your equity is called patron’s equity, or patronage capital. We retain this equity to retire debt, fund system improvements and for operating capital. As this equity accumulates we retain the amount needed and then distribute the balance to members of the Cooperative.
In April of each year all Columbia REA members receive an "allocation statement" in the mail that shows their "Patron’s Capital" for the previous year. The Patronage Capital statement you receive in the spring is a record of the amount allocated to your account for the subject year. Save this statement for your records. This is the amount that you will receive when that equity is refunded in the future. If you have questions or would like more information about patron’s equity please contact us at:email@example.com
Presently we are on approximately a fourteen-year cycle for distributing equity back to members. In December of each year we distribute excess patronage capital collected approximately fourteen years previous. Individuals or businesses who were members in that year or individuals assigned by the member according to the bylaws of Columbia REA receive a check or credit to their account.