AgGeorgia's Hurricane Relief Programs | Director Election Open; Vote Through 11/20
AgGeorgia Farm Credit is disbursing $7,828,920 to current and former borrowers of the cooperative. Members who held loans with AgGeorgia in 2016 will receive a portion of this payout, with checks expected to be mailed the first week of July. AgGeorgia’s board already declared a cash dividend of over $14 million in April to members who had loans in 2023. The upcoming distribution brings the total paid to borrowers in 2024 to $22,310,920.
Glee Smith, Chair of AgGeorgia’s Board of Directors, said the distribution underscores the value of the cooperative model. “AgGeorgia was established for the benefit of our members, and as with any cooperative, our objective is to maximize value for them,” said Ms. Smith. “The funds to be distributed are no longer needed to capitalize the Association, so we are happily putting those dollars back into our borrowers’ pockets.”
The payout consists of surplus revolvement from AgGeorgia’s 2016 Patronage Refunds. Surplus portions were taxable when declared at that time, so no additional income taxes are due on the disbursement. Members with outstanding surplus earned from 2017-2020 will continue to receive surplus checks over the next few years, subject to annual board approval, while AgGeorgia completes its transition to the all-cash patronage plan. Starting with the 2021 refund, annual patronage refunds are now paid in all-cash rather than a cash/retained surplus split.
2024 marks the 36th consecutive year the cooperative has returned profits to its borrowers, with over $472 million in cash being paid out since 1988.
