People's Cooperative Services awards unclaimed capital credit amounts to area schools for scholarship funds to be presented to graduating students.

Prior to 1988, the State of Minnesota required cooperatives to return any unclaimed capital credits to the government. Legislative action initiated by the Minnesota Rural Electric Association (MREA) paved the way for a change in this policy, making it possible for cooperatives to donate unclaimed capital credits to charity or educational institutions. People's Cooperative Services determined that providing scholarship funds for area students is the best use of this money.

No cooperative operating funds are used, only funds from the unclaimed capital credits of former cooperative members.