Celebrating Cooperative Membership: The Heart of Kanokla
By: Leah Sparks-Eakes, Communications Manager
As we recognize National Cooperative Month this October, it’s a perfect time to reflect on what it truly means to be a part of a cooperative like Kanokla. Established in 1951, Kanokla is a member-owned telecommunications cooperative, meaning our commitment isn’t just to provide exceptional service but to create lasting value for our members, the people who live and work in our communities.
What is Cooperative Membership?
When you become a member of Kanokla, you’re not just a customer—you’re an owner. Unlike traditional businesses owned by shareholders seeking profits, cooperatives like ours exist solely to serve our members’ needs. This member-driven model means that we can invest in high-quality service and broadband infrastructure that prioritizes our communities, not just the bottom line.
Profit Sharing and Capital Credits
One of the key ways cooperatives benefit members is through profit-sharing. In a typical business, profits flow back to shareholders. At Kanokla, any profit made beyond operational needs goes right back to our members through capital credits. Your capital credits are essentially your share of the cooperative’s profits or margins based on how much you used the cooperative’s services (internet and phone services). Each year, if Kanokla earns a profit, the earnings are allocated to member-owners based on the amount of business they did with the cooperative during that year. After our annual audit is finalized in April, the Kanokla board decides what amount is retired (paid out) to members through a capital credit check. The decision to retire credits is made by the board of directors and is based on factors like cash flow, capital needs, and the cooperative’s overall financial health. In a telecommunications cooperative like Kanokla, members who used more services would be allocated a larger portion of the margins than those with fewer services. Retirements are a cooperative’s way of distributing the financial benefits of membership. It rewards member-owners by returning a portion of the earnings previously allocated to them while keeping enough capital in reserve to maintain financial stability and support future infrastructure.
Governance and Representation: 7 Districts, 7 Directors
Cooperatives operate democratically, which means you have a voice. Kanokla is divided into seven districts, each represented by a director on our board. Every three years, members have the opportunity to vote on these directors, giving you direct input into the direction of the cooperative. Our directors, who each serve a maximum of 15 years, bring a local understanding to their role, advocating for community priorities and ensuring decisions align with the cooperative’s mission.
Looking to the Future Together
As a member of Kanokla, you’re part of a legacy that has supported South Central Kansas and North Central Oklahoma for over seven decades. Our commitment to our cooperative model—emphasizing shared ownership, democratic participation, and profit-sharing—strengthens our communities and allows us to grow together.
Thank you for being an essential part of Kanokla. This Cooperative Month, let’s celebrate what we’ve built together and look forward to even brighter possibilities on the horizon!