Dividends Are Here

This October, United Cooperative Services joins the more than 900 electric cooperatives and 40,000 other cooperatives from other sectors across the country to celebrate National Cooperative Month. 

The purpose of this annual celebration is to recognize the cooperative difference and remind members about United’s purpose to serve its membership with exceptional service and value.

Electric cooperatives power 56 percent of the national landscape and serve 42 million people, according to the National Rural Electric Cooperative Association. These co-ops power more than 22 million businesses, homes, schools and farms in 48 states, all while upholding the Seven Cooperative Principles that put a focus on providing members with service rather than profits.

“We’re pleased to return member dividends back to United members again this year, especially as we celebrate National Cooperative Month,” said United CEO Cameron Smallwood. “United is owned by the members we serve, and member dividends are one of the clearest examples of what that ownership means. When the cooperative is financially strong, we have the opportunity to share that success with our members.”

Member dividends accumulate based on the amount of electricity used by each member. Each year, United’s board of directors may vote to retire a portion of these dividends, based on the financial stability of the cooperative. This year, the board voted to retire $2.4 million. Dividend checks are issued to active members when the credited amount is $20 or greater. Credits up to $19.99 are applied to active accounts. Since 2000, United has distributed $90 million in member dividends. These member dividends represent the member-owners’ return on equity. Member equity is the essential tool for United to build, maintain and upgrade the facilities necessary in providing reliable, affordable electric service to the cooperative’s membership.

“Member dividends are a reflection of the cooperative difference and the value of being a United member,” Smallwood said. “Everything we do comes back to serving our members well and delivering the exceptional service and value they expect from their cooperative.”