Member Economic Participation

By Keith Dubas, Board Chair

Our expansion has begun! We hope you will pardon the mess for the next few months but we are finally underway to build the bigger and better co-op that you have long been waiting for. The co- op needs your help. The Third Cooperative Principle is Member Economic Participation. Members contribute equitably to, and democratically control, the capital of their cooperative. There are two monetary concerns facing Open Harvest. One has to do with the expansion and one has to do with updating member-owner annual equity.

Our financial goal for expansion remains unmet. We still need to raise an additional thirty to forty thousand dollars. We are very grateful to those that have made a loan or a donation. The member- owners that pledged have completed their loan process receiving an interest rate up to 4% per year, a very favorable return on investment. A few members that pledged needed to reduce the amount of their pledges while a few members had to rescind their pledge altogether.

The need to raise this additional money is crucial so we can purchase all of the equipment, fixtures and finishing supplies necessary to complete the expansion project. Our co-op has 3,000 member-owners now. We are seeking 30 people to help us out with a $1,000 loan to complete our expansion campaign or fve people that can offer greater support. We can accept loans up to $5,000. Can you help us with a loan of $1,000 to $5,000 to complete our Open Harvest's expansion? Call Jim Nelson or Margot at 475-9069 if you want to discuss options.

Union Bank has continued to be supportive of the co-op's plans, but this would be an ideal time for those who are long time member-owners and who use the store to consider showing their appreciation for its continuation by stepping forward with as generous a loan as possible.

Equity Increase

The second issue has to do with the annual equity investment to become a member-owner of the co-op. Since the mid 1990's, it has been $25 to join Open Harvest. This is among the lowest priced equities in the co-op network. And Open Harvest is one of only co-ops that still offers its member- owners monthly discounts. Using the 5% monthly discount can pay back a member- owner their annual investment in a few months. Many member-owners utilize more discounts than their $25 annual equity investment. The Board has chosen to raise annual equity investment to $40 beginning January 1, 2010. The co-op also has a grant program for those facing financial hardship. Information is on the bulletin board, and on the website. Please contact Jackie at 475- 9033, or Margot at 475-9069 if you have further questions.

Pay Forward Program

At the same time, the Board has approved a Pay Forward Program that will help support the expansion while offering the member-owners the opportunity to pay four years of equity prior to the increase in annual equity investment payment. This plan also allows the members-owners that have expressed interest in supporting expansion but who have not been able to make a loan to participate in the expansion. Member-owners who elect to prepay four years of equity will pay $100. This Pay- Forward Equity Program will save the member-owner $60 over the next four years while helping to provide additional funds to assist the expansion.

Thank you for your continued support of your co-op! We appreciate you shopping the store and maintaining your membership. Tell your friends!