Join the Campaign for Cooperation

The National Cooperative Development Act of 2011 introduced

On December 15, Congressman Chaka Fattah officially introduced the National Cooperative Development Act - H.R. 3677 on the floor of the House of Representatives.

"It’s high time for Cooperatives -- a great idea that has emerged from and gained success in our urban neighborhoods as well as rural communities – to move onto the national radar,” said Fattah, whose Philadelphia district includes numerous thriving co-ops. “This legislation brings federal resources and a policy priority to the effort.

“Cooperatives are a special kind of economic stimulus. Cooperatives benefit the communities they serve while building opportunities for shared wealth. Cooperatives are truly vehicles for protecting the middle class and creating economic growth,” Fattah said.

The Fattah bill, H.R. 3677, authorizes $25 million a year through 2016 to create and fund the National Cooperative Development Center to stimulate the development cooperatively-owned businesses in underserved communities throughout the country.

“We have food deserts in low-income urban areas where food cooperatives are often the only enterprises willing to bring food security and nutrition to the community while anchoring the buy-local campaigns we see happening everywhere,” Fattah said. “Every new or expanded cooperative, regardless of the goods or services it provides, will be a job creator and an economic engine where it’s most needed.”

Fattah pointed out that cooperatives still face many problems, including difficulty in gaining access to capital, which can stunt the growth of even the most successful enterprises.
In addition, Fattah noted, “the unique nature of the cooperative ownership model requires that cooperative operators receive specialized training and assistance in setting up the governance, operations, and financial structures that are required to run a successful cooperative.

“Co-ops need help that the federal government will now be in a position to provide,” Fattah said. “The legislation addresses these problems by establishing the Development Center to provide capital, training, and other resources to foster cooperative development.”

Legislation

The National Cooperative Development Act of 2011 will help create jobs and community development by supporting cooperative business development in underserved communities. It will:

• Provide loans and seed capital to groups who are attempting to form cooperatives
• Award grants to nonprofit organizations, colleges, and universities so that they can provide technical assistance to operating cooperatives or groups that are attempting to form cooperatives
• Provide guidance, information on best practices, and technical assistance to communities seeking to establish cooperatives
• Provide funding for training of providers of technical assistance and supporting existing professional development training for organizations engaged in cooperative development
• Establish cooperative development centers in areas that currently do not have them

As a co-op supporter and a constituent, you are the perfect person to ask your member of Congress to co-sponsor the National Cooperative Development Act. Read the Bill, and the Talking Points at campaign.coop to learn more.

The Campaign for Cooperation was initiated by members of Cooperation Works!, a network of cooperative business development centers and practitioners throughout the United States.
The Campaign has grown to include cooperative business owners and developers who support passage of the National Cooperative Development Act of 2011.

The Campaign is part of a broader effort to grow the cooperative economy in underserved communities. This work is supported by the National Cooperative Business Association.
For more information, visit the website http://campaign.coop