N.Y. Cooperative Corporations Law § 72

§ 72. Reserves, net margins, net retained proceeds, distributions, and\npatronage refunds. The directors shall periodically set aside reasonable\nsums for reserves. The net margins or net retained proceeds may, in the\ndiscretion of the directors, be distributed at least once every twelve\nmonths to members or patrons, by uniform distribution and calculated on\nsuch bases as the by-laws or marketing contract may prescribe.\nDistributions may be credited on account of the issuance to members or\npatrons of capital stock or other securities of the corporation. In the\ncase of cooperatives with capital stock, dividends shall not exceed\ntwelve per centum per annum on any class of stock.\n