2006 New York Code - Refunds To Members.

 
    § 60. Refunds  to  members.  Revenues  of a cooperative for any fiscal
  year in excess of the amount thereof necessary:
    (a) To defray the expenses of the operation  and  maintenance  of  the
  facilities of the cooperative during such fiscal year;
    (b)  To  pay  interest  and  principal  obligations of the cooperative
  coming due in such fiscal year;
    (c) To finance, or to provide a reserve  for  the  financing  of,  the
  construction  or acquisition by the cooperative of additional facilities
  to the extent determined by the board of directors;
    (d) To provide a reasonable reserve for working capital as  determined
  by the board of directors;
    (e)  To  provide  a  reserve  for  the  payment of indebtedness of the
  cooperative in an amount not less than the total  of  the  interest  and
  principal payment in respect thereof required to be made during the next
  following fiscal year; and
    (f)  To  provide  a  fund  for  education  in  cooperation and for the
  dissemination of information concerning the effective  use  of  electric
  energy  and  other  services  made  available by the cooperative, shall,
  unless otherwise determined by a vote of the members, be distributed  by
  the  cooperative  to  its  members  and  to  other  persons  to whom the
  cooperative supplies electric energy or  other  services,  as  patronage
  refunds  prorated in accordance with the patronage of the cooperative by
  the respective members and such other  persons,  paid  for  during  such
  fiscal year; provided, however, that such distribution shall not be made
  to  any  such  other  person  until  he  has  become  a  member  of  the
  cooperative. If such other person  does  not  become  a  member  of  the
  cooperative  within  one year after the amount of his distributive share
  or accumulated distributive shares equals the membership fee required by
  the by-laws of the cooperative, or, if no membership  fee  is  required,
  within  two years after the declaration of any such patronage refund, he
  shall cease to be entitled to such share or shares, which shall, in such
  case, be paid into the fund provided  for  in  this  subdivision.    The
  cooperative  shall  make  such  additional  provision, in the by-laws or
  otherwise,  relative  to  the  disposition  of  the  revenues   of   the
  cooperative,  as  may  be  necessary  and  appropriate  to establish and
  maintain the non-profit character of  the  cooperative.  Nothing  herein
  contained shall be construed to prohibit the payment by a cooperative of
  all  or  any  part  of  its indebtedness prior to the date when the same
  shall become due.