Talk:Co-operativesUK Community Finance Model Rules

The Co-operativesUK Community Finance Model Rules rules contain approx 6,500 words.

Somerset Rules Amendments

At the Hazelhurst CSA Committee 2010-01-06 it was suggested that it might be better to add the good features from the Somerset Rules CSA to the Co-operativesUK Community Finance Model Rules rather than using the Somerset Rules themselves. Following is an attempt to list the amendments that the Community Finance Model Rules might need to achieve this.

Seven Cooperative Principles

To add the Seven Cooperative Principles to the rulesisn't so simple -- the wording of the Seven Cooperative Principles isn't suited to be simply dropped in and the Somerset Rules have embedded them in a manner that doesn't make extracting so simple, however following is an attempt at simply extracting them.

Voluntary and Open Membership

Principal one is Voluntary and Open Membership, insert 1.4 from The Somerset Rules as a new point 2.1:

2.1 The co-operative has the aim of building membership within its stakeholder groups, and ensuring that its membership fully reflects the diversity of those groups and of the wider community.

Democratic Member Control

Principal two is Democratic Member Control, insert 2.1 from The Somerset Rules as a new point 2.2:

2.2 The co-operative has a general aim of consulting with, empowering and serving its membership.

Members' Economic Participation

Principal three is Members' Economic Participation, insert 3.1 from The Somerset Rules as a new point 2.3:

2.3 The co-operative has the general aims of creating common wealth, building an indivisible reserve and providing a return on investment no more than is necessary to attract and retain the capital it requires.

Autonomy and independence

Principal four is Autonomy and Independence, insert 4.1 from The Somerset Rules as a new point 2.4:

2.4 The co-operative has the general aims of maintaining its autonomy and independence and empowering members and other stakeholders at the most local level possible.

Education, Training and Information

Principal five is Education, Training and Information, insert 5.1 from The Somerset Rules as a new point 2.5:

2.5 The co-operative has a general aim of educating its members and the public in the principles of co-operation.

Co-operation among Co-operatives

Principal six is Co-operation among Co-operatives, insert 6.1 from The Somerset Rules as a new point 2.6:

2.6 The co-operative has the general aim of supporting the development and growth of the co-operative movement.

This however misses, 6.2, 6.3, 6.5 and 6.6 which could also do with being included.

Concern for Community

Principal seven is Concern for Community, insert 7.1 from The Somerset Rules as a new point 2.7:

2.7 The co-operative has the general aim of evaluating its impact on the community and the environment in which it operates, and developing policies that reduce harmful impacts and increase positive impacts.

Social accounts

The Somerset Rules require the Co-op to produce social accounts, rule 7.2, insert this as a new points 72:

72. Social accounts

1. The committee is responsible for preparing annual social accounts. These will consist of quantitative and qualitative data relating to the agreed indicators of achievement. They should cover, and clearly distinguish between, outputs (what the co-operative has done), outcomes (what the direct effects of this have been) and impacts (what indirect changes can be reasonably attributed to the co-operative's activities in this and previous years).
2. The indicators used should clearly correspond to the aims and objects in these rules, and should allow where possible for comparison with other accounting periods.

Social accounting panel

The Somerset Rules provides for a social accounting panel, rule 7.3, insert this as a new point 73:

73. Social accounting panel

1. At least one month before being presented to the annual general meeting, the social accounts will be verified by a social accounting panel which will consider
1. to what extent the accounts are comprehensive
2. whether the information gathered is reliable and reasonably interpreted
3. whether the indicators used should be changed in order to better correspond to the aims and objects of the co-operative
4. whether the aims and objects of the co-operative remain relevant or require modification
2. The panel should be chaired by an independent, qualified social auditor, unless a general meeting allows for the current or following year's social audit panel to be
   1. chaired by a lay social auditor, or
   2. chaired by a member of the co-operative, in which case the chair of the panel may not be a committee member, unless more than half the members of the co-operative are committee members.
3. The panel will be made up of members of the co-operative nominated by the commonwealth council. If the membership of the co-operative is more than 20, there will be at least three members of the panel in addition to the chair.

Membership

The Somerset Rules regarding membership application make provision for "the willingness of the applicant to take on the responsibilities of membership that have been agreed by the committee", and the "completion of any application procedure that may have been agreed by the committee, which may include a reasonable probationary period". There is no such provision in the Co-operativesUK Community Finance Model Rules.