Common use of Allocating Earnings Clause in Contracts

Allocating Earnings. For each Cooperative Service Provided during a fiscal year, the Cooperative shall equitably allocate to each Patron, in proportion to the quantity or value of the Cooperative Service Used by the Patron during the fiscal year, and timely paid for by the Patron, the Cooperative’s patronage earnings from Providing the Cooperative Service during the fiscal year. Patronage earnings mean the amount by which the Cooperative’s patronage sourced revenues from Providing a Cooperative Service exceed the Cooperative’s patronage sourced expenses of Providing the Cooperative Service, all as determined under federal cooperative tax law. For each fiscal year, the Cooperative shall allocate to each Patron, in proportion to the quantity or value of Cooperative Services Used by the Patron during the fiscal year may, as determined by the Board, use, retain, or equitably allocate the Cooperative’s nonpatronage earnings. Nonpatronage earnings mean the amount by which the Cooperative’s nonpatronage sourced revenues during a fiscal year exceed the Cooperative’s nonpatronage sourced expenses during the fiscal year, less any amount needed to offset a patronage loss.

Allocating Earnings. For each Cooperative Service Provided during a fiscal year, the Cooperative shall equitably allocate to each PatronMember, in proportion to the quantity or value of the Cooperative Service Used by the Patron Member during the fiscal year, year and timely paid for by the PatronMember, the Cooperative’s patronage earnings from Providing the Cooperative Service during the fiscal year. Patronage earnings mean the amount by which the Cooperative’s patronage sourced revenues from Providing providing a Cooperative Service exceed the Cooperative’s patronage sourced expenses of Providing the Cooperative Service, all as determined under federal cooperative tax law. For each fiscal year, the Cooperative shall allocate to each PatronMember, in proportion to the quantity or value of Cooperative Services Used by the Patron Member during the fiscal year mayand timely paid for by the Member, the Cooperative’s nonpatronage earnings, as determined by the Board, use, retain, or equitably allocate the Cooperative’s nonpatronage earnings. Nonpatronage earnings mean the amount by which the Cooperative’s nonpatronage sourced revenues during a fiscal year exceed the Cooperative’s nonpatronage sourced expenses during the fiscal year, less any amount needed to offset a patronage loss.