Ag co-op calls member refunds ‘unprecedented’
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Indianapolis-based Co-Alliance Cooperative Inc. calls this year’s $45 million refund to its owner-members “unprecedented.” The agriculture and energy co-op says the amount paid back to each member is based on the volume of business they completed with the cooperative in the fiscal year.
Co-Alliance says approximately 5.5% of the members’ business is being paid back this year. The organization says 51% of its net income will be paid back in patronage this month. The remaining profit will be reinvested into the business.
“Our cooperative has seen a record year in business because of the partnership we have with our farmer-members. When the cooperative profits, we ensure a percentage of those dollars go back to our farmer-members. This year more than half of our profits were returned to our local farm families. That is a very clear benefit of doing business with the cooperative,” said Kevin Still, Co-Alliance president and CEO.
In the 2022 fiscal year, Co-Alliance says in FY 2022, it donated more than $500,000 back to local communities through support of agriculture education and leadership, food security, and farm and energy safety training.
Also this past year, the organization relocated to its new headquarters in Indianapolis.