Patronage (Capital Credits)
As a member owned and operated cooperative, one of the principles we follow is a commitment to returning part of your investment.
Patronage, or capital credits, represent margins credited to members of a cooperative based on their purchases from the cooperative. Each year, Midland Power's Board of Directors reviews margins and sets aside excess funds through a patronage allocation. These funds will be used to help keep the electric co-op financially sound and maintain a quality of service as high as possible.
When will I receive this money?
Patronage allocations are returned to members in the form of patronage dividend retirements. These are returned at a future date, if or when, approved by the board of directors.
How is patronage calculated?
The amount a member earns in a given year is based upon the total dollar billing for that year. The sum of the member's bills for the year is multiplied by a percentage to determine the allocation.
Can these monies be used to pay my electric bill?
No. These funds are not available to the member until a future date.
What if I move?
If a member moves or no longer receives services from Midland Power Cooperative, it is important to keep their address current with the co-op, so future patronage retirements are mailed to the former member's current address.