Co-op 101: What is a cooperative? October 12, 2021 October is National Co-op Month and a time to celebrate the cooperative model and the strength it brings to local communities. “CHS is proud to be part of the cooperative system and we’re driven by our purpose to create connections to empower agriculture,” says Jay Debertin, CHS president and CEO. “Our values of inclusion, integrity, cooperative spirit and safety guide us as we work together for shared success and to strengthen our communities.” Do you know what a co-op is? Here we break it down. What is a cooperative? A cooperative is defined by USDA as a user-owned and controlled business from which benefits are derived and distributed equitably on the basis of use or as a business owned and controlled by the people who use its services. Who determines policy? The CHS Board is made up of 17 member-owners, elected by the members. How are profits distributed? The business is operated for a profit; it’s how the profit is divided that makes a co-op unique. Unlike most corporations where the profits are distributed to stockholders, co-ops distribute profits to member-owners on a patronage basis. Patronage is a method of sharing profits among the members. It is based on how much they purchase and the profitability of the co-op. What kind of co-op system is CHS? CHS is a blended federated and centralized cooperative system. CHS is unique in that along with the federated system of member cooperatives, we also have Country Operations, made up of centralized retail locations dedicated to serve member-owners in their respective geographies. Along with member cooperatives, those member-owners of Country Operations locations vote for board members at the CHS annual meeting or are represented by delegates from their business unit at the annual meeting. Help us celebrate National Co-op Month by joining the conversation on social media using #CoopMonth.
Keep your rural road safe June is National Safety Month. CHS and Nationwide are proud to share a partnership focused on safety. The following information is provided by Nationwide, the #1 farm and ranch writer… Read More
CHS Inc. owners elect seven board members during CHS Annual Meeting Officers of board also elected by board peers following annual meeting CHS Inc. owners elected seven board members to three-year terms during the cooperative’s 2020 annual meeting held virtually Dec…. Read More
Control the chaos of harvest The following information is provided by Nationwide, the #1 farm and ranch insurer in the U.S.1 During the busy harvest season, farms and grain-handling facilities are some of the most… Read More