PALMER, ALASKA
Dorothy M, Bell, Editor
Published every Thursday at Palmer, Aladca, for the Matanuska Valley Farmers’
Cooperating Association for the purpose of giving news of the Associations Work,
Problems and Accomplishments.
SUBSCRIPTION BY MAIL $1,75BOX $1,00SINGLE COPT 10/
WHAT ARE THE RESPONSIBILITIES OF YOUR COOPERATIVE?
According to a recent study made by the Ohio Agricultural Experiment Station of Farm
Cooperatives in five Ohio Counties, it was decided that the principal responsibilities
of a Cooperative arc*:
1, Membership sh ■ \a be open to all agricultural prouucers. The cooperative Board
may set up requiv-mBtts for membership, but the main th-’ng is that all agricultural
producers have the opportunity of joining the Association. Whether he becomes a full
fledged active member or not would then rest with vhn.
B. Voting should be democratic. It lias long been the standard rule that each member
in a cooperative should have one vote. However, there arc co-ops where the producers
vote according to the amount of business done with tho Association. Generally,speak
ing this is rare in co-ops and is net democratic' becauso it favors the privileged.
classes.
It is still possible to be undemocratic even though the "one man-one vote” system
is employed. Whenever voting on important questions'or elections is dono by accli
mation the Association ceases to bo fully democratic*. Members do not always want
• ’'.sir neighbors to know, how they vote and a member might not voto tho same by ballot
as ho would by acclimation.' Therefore, voting by acclimation does not expross the
true sentiment of the group.
The Rotation of Directors is important. G. F. Hanning, Rural Economist, Ohio
Ovate University, states that there should ho a by-law providing for the rotation of
’.•rectors, so that one individual could be re-elected for a certain’' period. • The
o? ’ Director could be rc-olected after serving the period of ineligibility two of
loroo years if the members desired. If the "ineligible" man is good and capable,then
he can servo as consultant or advisor, flotation is advisable in order to keep clipoes
from controlling the cooperativo affairs.
'■■■. statements should bo sent annually to every member. In a study raado of one co
v aiativc it was found that 40$ of the members of one cooperative did not know that
they wore members. This annual report to members1 should include—
u. an;.’adequate statement of the activities of the Board and management of tho As
sociation.
b. tho financial statement (balance sheet and inccrie and cxocnsc statement)
c. a statement of each members share Of the patronage dividends for the current year
'and total dividends held in reserve.
d. an invitation to attend tho annual meeting.
5* Savings should bo distributed according to patronage. Dividends may bo paid in'
cash each year or held in reserve for expansion of the- Co-op for a period of years.
Tr. this case a at .temopit or certificate of Equity is issued to "the member showing his
investment and staling at what time it may bo rodeemod in cash.
6, flrvolyinp Capitol is tho result when dividends are issued in stock cortificate^'of
-■ev.tty ?-c l-o rcieomed at some future date. As one certificate is redeemed in cash,
ar.e l' r may be i.suod on tae current dividends accumulated,
7. TliQ records should be open to tho members and patrons, A cooperative is more
than a Vjs.h an Corpcration. It is o. farmer owned and controlled business in which
each farmv.' irh:created and has a share. Therefore, overy member is entitled to
see the records of the Association.
Tho above seven responsibilites are the leading principles of Cooperatives in this
survey made in Ohio and it was taken as fairly representative of most Cooperatives
over the country- Checking over the list wo believe that it applies very favorably
to our own local association.
Democratic (in the truest sonso of the word) tho cooperatives arc based on the enter--'
price and initiative of individuals who bonded to-gethor of their own free will to
better their lot in life. Marquis Childs, Columnist