An essential part of a co-op board’s fiduciary duty is the annual external monitoring of their co-op’s finances and financial systems. This Field Guide introduces a process for making important board-level decisions about the two standard types of external monitoring: audits and reviews. Choosing audits or reviews An audit of financial statements is a thorough examination of the cooperative’s financial statements, allowing the auditor [...]
UPDATED: September, 2018 Directors of food cooperatives have a position of great responsibility. Should directors be reasonably compensated for shouldering this responsibility on behalf the co-op’s owners? What counts as reasonable compensation? What is the best way to provide compensation? Here are some ideas to help you in your own decision making. Why compensate directors at all? A food cooperative is a business owned [...]
Was your last Board election a thoughtful exercise in democracy in which members chose a well-qualified set of directors that add value to the Board and to the co-op? More than anyone else in the cooperative, the Board itself is responsible for ensuring that the answer to this question is “Yes!” Elections should be neither mundane nor contentious, but should honor and reinforce the [...]
Board Leadership Illustrated
Board president David Woo of Weaver’s Way food co-op in Philadelphia, Penn. said that while the staff treatment policy is part and parcel of all the management limitation policies, he thinks that this particular policy can also function as an example to the greater community. It shows that the co-op values its employees and has high standards for human resources. “Consumer co-ops should be [...]
Talking about board leadership and officer positions a few months before a new board is seated can be an important strategic conversation for a board. Board members who do take on an officer position might be positioned to understand their roles and more prepared to handle them. At Whole Foods Co-op in Duluth, Minn. vice president Theresa Koenig said that before they had [...]
