Texas Utilities Code - UTIL § 161.059. Nonprofit Operation

(1) pay all operating and maintenance expenses necessary or desirable for the prudent conduct of its business;

(2) pay the principal of and interest on the obligations issued or assumed by the cooperative in performing the purpose for which the cooperative was organized; and

(3) create reserves.

(1) first to the payment of operating and maintenance expenses and the principal and interest on outstanding obligations; and

(2) then to the reserves prescribed by the board for improvement, new construction, depreciation, and contingencies.

(1) in cash, by abatement of current charges for electric energy, or in another manner determined by the board; or

(2) through a general rate reduction to members.