Determined by the cooperative
Recognizes business performance
Patronage is based on three things:
Fuels growth for farmer-owners and co-ops
Cooperative decisions about patronage and equity deliver value for owners and fuel long-term cooperative growth. When a cooperative board calculates patronage, it also determines what portion will be retained as member equity in the organization. That equity is a key source of capital for cooperative maintenance and growth.
Provides for cash patronage and/or equity
Cooperatives determine how to distribute patronage and/or equity to owners after the close of each fiscal year. More than $3.2 billion has been returned to owners by CHS via patronage and equity over the past 10 years.