Cooperatives supply the power that helps communities grow. Sometimes, cooperatives want to go a step further — directly supporting the families in their hometowns with financial help and special opportunities, like college scholarship programs.
Homestead gets it. We focus on providing the best results at the lowest cost to our investors. And profits earned by RE Advisers, the investment advisor for the Homestead Funds, go back to our nonprofit parent, NRECA. This additional source of revenue is available to support member needs and initiatives.
Working with co-ops across the country, we’ve seen some interesting ideas for how you can give back to your community.
New Mexico is sometimes called the Land of Enchantment. For the high school students who receive college scholarships from local cooperatives, it certainly seems that way.
New Mexico’s laws allow cooperatives to retain up to half of their unclaimed capital credits, if they use them to benefit the community. Some New Mexico cooperatives have established scholarship trust accounts with Homestead to keep that money invested until it’s needed. For rural New Mexico kids, these scholarships are a huge opportunity and a path to fulfill their potential.
Scholarship trusts are only one option. Roosevelt County Electric Cooperative uses a revolving loan fund for renewable energy loans such as heat pumps, storm windows and doors – essential in one of the hottest parts of the country.
There are many other states with similar laws. Homestead knows about how co-ops are giving back because we know co-ops – what they are doing, how they are using their money, how they are solving financial challenges in their communities.
Homestead is happy to share our experiences working with other cooperatives and how their good ideas can help your community. Contact us.