! ! ! Proposal!to!the!City!of!Greensboro!!

from!the!

Renaissance!Community!Coop! ! ! ! ! ! ! !
February!26,!2013!
! !

! 2! Proposal!to!the!City!of!Greensboro!from!the!Renaissance!Community!Coop! February!26,!2013! Executive!Summary! Working!with!the!City!and!other!partners,!the!Renaissance!Community!Coop!(RCC)!is! proposing!to!take!the!lead!on!a!new!community?ownership!approach!to!economic! development!in!Northeast!Greensboro!that!will!bring!good!jobs!with!good!benefits!and! meet!long?standing!community!needs.!The!model!begins!with!a!community?owned! grocery!store!and!leads!to!community!ownership!of!the!entire!Renaissance!shopping! center!(the!Center).!The!model!can!be!replicated!in!other!communities!in!Greensboro,! growing!in!size!and!impact,!making!lasting!change!that!will!inspire!other!cities!to!do! similar!projects.! The!RCC!requests!that!the!City!retain!ownership!of!the!Center!for!4?10!years,!allowing! time!for!a!democratically!governed!community!group!to!develop!capacity!to!assume! ownership.!When!such!a!group!is!ready!to!assume!ownership,!the!City!will!negotiate!a! reasonable!purchase!price!and!financing!terms,!with!conditions!that!ensure!ongoing! community!ownership.! The!RCC!requests!that!the!City!lease!15,000!square!feet!to!the!RCC!to!operate!a!full? service!community?owned!grocery!store!with!associated!community!space.!To!ensure! rapid!return!of!profits!to!the!community,!the!rent!for!the!grocery!store/community! space!should!be!set!at!a!variable,!capped!level!not!to!exceed!$2,000/month,!which!is! intended!to!cover!lost!property!tax!and!the!ongoing!cost!of!keeping!the!Center! maintained.!! The!RCC!requests!that!during!the!period!of!City!ownership,!the!City!will!work!closely! with!a!community?based!advisory!group!that!includes!significant!representation!from! stakeholders!in!the!community!surrounding!the!Center! The!RCC!requests!economic!development!assistance!from!the!City,!including:! o An!Economic!Development!Grant!of!$100,000!! o A!ten?year!Economic!Development!Loan!of!$600,000!at!0%!interest! o Assistance!from!the!Citys!Economic!Development!office!and!lobbyist!in! identifying!and!securing!grants,!loans,!and!loan!guarantees!from!Federal!and! state!sources!! More!details!follow,!broken!into!four!sections:! I. II. III. IV. A!New!Approach!to!Economic!Development! Requests!Concerning!the!Ownership!and!Management!of!the!Center! Requests!Concerning!the!RCC!Grocery!Store!and!Associated!Community!Space! Commitments!from!the!RCC!to!the!City!and!the!Community!

Renaissance!Community!Coop!

http://renaissancecoop.com!

! 3! I.!A!New!Approach!to!Economic!Development! Since!1998!when!the!Winn!Dixie!store!on!Phillips!Avenue!closed,!the!surrounding! community!has!expressed!a!consistent!desire!for!a!high!quality!full!service!grocery!store,! where!a!family!could!do!all!of!its!shopping.!By!current!terminology,!this!northeast! Greensboro!neighborhood!is!a!food!desert!where!healthy!food!choices!require!traveling! for!miles,!even!for!those!who!have!little!access!to!transportation.! Lack!of!progress!in!securing!a!grocery!store!has!been!a!source!of!frustration!for!many! residents,!causing!some!to!feel!that!City!government!is!not!doing!all!that!it!can,!and!leaving! others!to!conclude!that!there!is!something!wrong!with!the!community!or!its!residents.! Stagnant!economic!conditions!in!Northeast!Greensboro,!characterized!by!high! unemployment!and!low!wages!for!those!who!can!find!work,!are!a!product!of!the!national! economic!crisis!on!the!one!hand!and!remnants!of!patterns!of!social!inequality!on!the!other.! Many!people!are!discouraged,!especially!young!people!who!see!little!opportunity!in!their! futures.!The!lack!of!a!neighborhood!grocery!store!and!the!specter!of!the!mostly?empty! shopping!center!that!remains!are!daily,!discouraging!reminders!of!limited!opportunities.! Sadly,!the!Phillips!Avenue!area!is!not!alonefood!deserts!are!appearing!in!other! Greensboro!communities!that!were!once!well!served!with!diverse!food!choices.!Food! deserts!are!a!growing!local!and!national!problem!that!emerges!from!corporate!decisions! intended!to!maximize!overall!company!profit.!Major!grocery!chains!are!moving!to! consolidate!their!stores!into!larger!units,!despite!the!fact!that!people!still!have!to!eat!and! the!negative!effect!these!closures!have!on!neighborhoods.!Private!developers!simply!do!not! see!enough!profit!to!enter!into!this!arena.!This!can!be!seen!in!the!failure!of!nearly!15!years! of!efforts!to!attract!a!true!full!service!grocer!to!the!area,!even!with!the!Citys!offer!of! incentives!to!motivate!interest.!For!a!business!whose!prime!motivation!is!making!a!sizeable! profit,!the!numbers!simply!do!not!work!out.!Clearly,!we!need!to!try!something!new.!! We!need!a!new!approach!to!economic!development!that!provides!good!jobs!with!good! benefits!and!helps!to!create&community&wealth.!We!need!an!approach!to!economic! development!that!begins!to!address!longstanding!issues!of!disparity!along!lines!of!race!and! class!that!have!been!raised!by!the!community!for!years!and!were!recently!highlighted!in! official!studies!commissioned!by!the!city!government.!Disparities!of!income,!wealth,!and! the!availability!of!goods!and!services!are!not!consistent!with!a!healthy!democracy.! The!Renaissance!Community!Cooperative!(RCC)!is!pursuing!a!community&ownership& approach!that!assumes!satisfying!the!needs!of!the!community!as!its!core!purpose.!Higher! wages,!more!benefits,!and!higher!quality!goods!at!lower!prices!are!possible!if!the!driving! concern!of!the!store!is!not!maximum!profit,!but!rather!maximum!community!benefit.!The! RCC!is!working!to!create!a!self?sustaining,!viable!business!that!is!democratically!owned!and! controlled!by&the&community&itself.&The!RCC!model!requires!an!operation!that!will!have! enough!profit!to!assure!sustainability!and!growth,!but!it!will!not!operate!with!the!goal!of! maximizing!profit.!! The!RCC!model!begins!with!a!grocery!store,!but!it!doesnt!end!there.!As!the!RCC!grocery!

Renaissance!Community!Coop!

http://renaissancecoop.com!

! 4! store!meets!a!long?standing!community!need,!it!will!build!enough!community!wealth,! community!self?confidence,!and!community!know?how!that!the!community!will!be!able!to! assume!ownership!of!the!Center!at!an!appropriate!time!in!the!future.!!And!from!there,!who! knows?! There!is!a!lot!of!talk!these!days!about!community!wealth!building.!Thats!sensible:!the! wealth!that!is!attracted!to!a!community!and!remains&and&grows&in&that&community!impacts! the!quality!of!life,!determines!how!resilient!communities!are!to!economic!instability,!and! facilitates!the!capacity!of!communities!to!meet!their!own!needs.!Much!of!the!current!work! on!wealth!building!is!based!on!the!premise!that!all!that!is!missing!is!economic!literacy.!In! fact,!the!real!problem!is!that!often!there!is!very!little!community!wealth!from!which!more! can!be!built.!The!City!governments!support!of!the!RCCs!cooperative!business!effort!will! directly!impact!wealth!that!will!be!retained!and!grow!in!the!community!for!the!benefit!of! the!community!as!a!whole!rather!than!simply!for!the!benefit!of!a!few.!! With!the!ownership!of!the!RCC!grocery!store!in!the!hands!of!a!broad,!democratically! controlled!community!body,!the!strategic!direction!of!the!business!toward!meeting!the! needs!of!the!community!and!its!continued!presence!in!the!community!are!assured.!While! an!individual!entrepreneur!might!want!to!take!his!investment!out!at!some!point!in!order!to! attain!higher!returns!elsewhere,!the!community!as!a!group!will!have!no!such!desire,!given! their!ongoing!need!for!the!healthy!foods!that!their!store!will!provide.! The!community!is!empowered!when!it!can!be!directly!involved!in!its!own!development! through!community?based!approaches.!Engaged!communities!will!become!more!interested! in!the!whole!range!of!civic!functions!that!are!part!of!the!life!in!this!city.! Even!better,!the!RCCs!approach!is!Replicable,&Scalable,&and&Inspiring.!The!model!is!not! particularly!costly!or!hard!to!teach,!so!it!can!be!taken!up!in!other!neighborhoods!that!are! willing!to!invest!the!time!and!effort!to!do!the!community!building,!learning,!and!grassroots! fundraising.!The!RCC!is!finding!that!the!movement!readily!increases!in!size!and!engages! more!people!as!excitement!spreads.!As!the!RCC!approach!in!northeast!Greensboro!becomes! a!model!for!the!rest!of!the!city,!Greensboro!can!become!a!model!for!other!cities!in!the! country!that!are!experiencing!the!same!problems!that!we!face.! ! II.!Requests!Relating!to!Ownership!and!Management!of!the!Shopping!Center! 1. The!Renaissance!Community!Cooperative!(RCC)!requests!that!the!City!retain!ownership! of!the!Renaissance!shopping!center!and!land!(the!Center),!treating!the!whole!as!a! public!trust,!for!a!period!long!enough!to!allow!development!of!a!democratically! governed!community!group!(DGCG)!1!with!the!capacity!to!take!ownership!as!a!land!trust,! CDC,!or!other!appropriate!community?owned!entity.!We!expect!this!to!take!4?10!years.! ! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! 1!Democratically!governed!community!group!!(DGCG)!This!is!a!group!motivated!by!the!idea!of!
being!of,!by!and!for!the!community!and!characterized!by!accessibility&and&inclusion,!transparency,! accountability,!and!fair&and&well&understood&decision&processes.!

Renaissance!Community!Coop!

http://renaissancecoop.com!

! 5! 2. During!the!period!of!City!ownership,!the!RCC!requests!that:! a. The!City!work!with!the!RCC!to!establish!a!community!owned!grocery!store!as!the! anchor!tenant!(see!Part!III,!below)! b. The!City!give!priority!consideration!to!leasing!to!community?based!enterprises! (CBEs)2!for!the!remaining!space!in!the!Center,!especially!coops!and!other! enterprises!that!are!community!owned!and!controlled3! c. The!City!invest!sufficient!resource!into!the!shopping!center!to!bring!the!property!up! to!vanilla!box!standard!and!maintain!the!Center!and!its!systems!in!good!working! order!and!cleanliness!throughout!its!period!of!ownership! d. Because!of!the!public!trust!nature!of!the!Citys!ownership!role,!the!City!establish!and! work!closely!with!a!democratically!governed!advisory!group!(DGAG)!to!determine! best!uses!for!the!remainder!of!the!Center,!including!consideration!of!community? oriented!uses.!We!propose!that!the!DGAG!include!representatives!from:!Center! Tenants;!Neighborhood!Associations!in!the!immediate!area!(Claremont!Courts,! Concerned!Citizens!of!Northeast!Greensboro,!Woodmere!Park!Neighborhood! Association,!etc);!Citizens!for!Environmental!and!Economic!Justice;!McGirt?Horton! Library;!District!2!City!Council!representative;!representative!from!NC!A&T!SUs! urban!farming!initiatives;!Fund!for!Democratic!Communities!(as!a!provider!of! technical!assistance!in!grassroots!democratic!practice).! e. If!the!City!contracts!a!property!management!firm!to!manage!the!Center,!that!the!City! build!into!the!contract!reasonable!requirements!for!the!property!manager!to!work! in!a!collaborative,!community?focused!manner!with!the!RCC!and!the!DGAG.! f. The!City!take!advantage!of!the!long!history!of!City!and!community?sponsored!efforts! to!determine!best!uses!for!the!Center.!In!particular,!we!ask!that!the!City!and!DGAG! consider!the!2003!Neighborhood&Visions!report!that!named!a!health!clinic,! pharmacy,!and!job?training!center!as!strong!community!interests,!as!well!as!the! 2009!Focus!Groups!that!validated!those!uses!and!pointed!toward!an!overarching! theme!of!Health!and!Wellness.!! g. In!the!vein!of!job?training!and!the!communitys!expressed!interest!in!the!theme!of! health!and!wellness,!the!City!consider!reserving!roughly!3,000!square!feet!of!space! for!a!licensed!commercial!kitchen,!for!multiple!uses,!including:! Job!training!facility!for!preparing!people!in!culinary!careers! Culinary!incubator!where!local!entrepreneurs!making!value?added!food! products!from!locally!grown!produce!use!the!space!on!a!time!share!basis! (similar!to!the!Cookery!in!Durham;!see!http://durhamcookery.com/)! Healthy!cooking!classes,!sponsored!by!the!RCC!grocery!store! RCC!grocery!to!use,!to!extend!its!hot!bar!and!bakery!offerings! ! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! 2!CommunityObased!enterprise!(CBE)!!These!are!economically&and&environmentally&sustainable!
businesses!that!pay&a&living&wage!to!all!their!employees!and!are!woven&into&the&fabric&of&their& communities.! 3!Community!owned!and!controlled!enterprise!!These!are!a!sub?category!of!CBEs!that!have!a! broad&and&inclusive&membership&base!that!democratically&decides&the&long=term&vision!and!has!shared&& (often&indivisible)&ownership!with!decision!making!power!based!on!one!person?one!vote!rather!than! having!power!allocated!by!financial!share!quantity.!

Renaissance!Community!Coop!

http://renaissancecoop.com!

! 6! 3. The!RCC!requests!that!at!such!time!as!a!DGCG!is!ready!to!take!ownership!of!the!Center,! the!city!will!transfer!ownership!to!the!DGCG!under!terms!to!be!worked!out!between!the! City!and!the!DCCG,!including!appropriate!consideration!of!purchase!price!and!financing.! NOTE:!The!negotiated!terms!must!include!conditions!on!the!DGCG!that!ensure!ongoing! community!ownership!and!make!it!impossible!or!very!difficult!to!de?mutualize!or!have! the!property!move!back!into!private!ownership.!! ! III.!Requests!Specific!to!the!RCC!Grocery!Store!and!Associated!Community!Space! 1. The!RCC!requests!that!the!City!lease!15,000!square!feet!of!the!Center!(the!former!Winn? Dixie!footprint),!in!vanilla!box!condition,!to!the!RCC!for!use!as!a!full?service! community?owned!grocery!store!and!community!space.!Within!the!15,000!square!feet:! a. 10,000!square!feet!for!the!RCC!community!owned!grocery!store!(roughly!6,750! square!feet!for!retail!floor!space!and!3,250!square!feet!for!offices,!backroom! workspace,!inventory,!and!food!court)! b. 5,000!square!feet!to!be!held!in!reserve!for!future!expansion!of!the!grocery!store.! In!the!near!term,!this!expansion!space!to!be!used!in!the!following!ways:! i. 3,000!square!feet!for!community!meeting!space! ii. 2,000!square!feet!for!offices!for!neighborhood!organizations! ! 2. The!RCC!requests!that!the!City!build!into!the!contract!for!its!selected!construction! management!firm!for!the!renovation!of!the!Center!adequate!up?front!time!to!consult! with!the!RCC!and!its!architects.!The!idea!is!to!use!advance!consultation!during!the! design!phase!to!ensure!that!the!renovation!is!efficient,!minimizes!grocery!store!upfit! costs,!and!optimizes!the!design!of!the!grocery!store!and!the!associated!space.! ! 3. The!RCC!requests!that!as!soon!as!is!practical,!the!City!provide,!rent?free,!a!small! temporary!office!space!within!the!Center!to!serve!as!a!base!of!operations!during!the! coops!development!phase.!(We!can!move!this!space!as!needed!during!renovations.)! ! 4. The!RCC!requests!that!rent!for!the!15,000!square!foot!area!identified!in!(III)(1),!above! be!set!at!a!variable,!capped!level!that!provides!a!healthy!start!to!the!grocery!store!and! ensures!rapid!return!to!the!community!of!surplus!revenues.!In!specific:! Free!rent!during!the!upfit!and!pre?launch!phase!(i.e.,!prior!to!opening)! Discounted!rent!during!the!first!quarter!of!operations,!to!be!set!at!$500/month! Monthly!rent!in!successive!quarters!to!be!set!at!0.60%!of!average!monthly!gross! revenue!for!the!preceding!quarter,!capped!at!$2,000/month.!This!figure!represents! a!generous!approximation!of!the!pro?rated!share!of!lost!property!tax.! ! 5. The!RCC!requests!the!following!economic!development!assistance!from!the!City:! a. An!Economic!Development!Grant!of!$100,000,!which!is!proportional!to!the!grant! recently!made!to!Proctor!&!Gamble,!in!terms!of!jobs!created! b. A!ten?year!Economic!Development!Loan!of!$600,000!at!0%!interest.!We!are! committed!to!a!ten?year!pay?back,!to!make!it!possible!for!the!City!to!make!loans! available!for!successive!replications!of!the!model.! Renaissance!Community!Coop! ! http://renaissancecoop.com!

! 7! c. Assistance!from!the!Citys!Economic!Development!office!and!lobbyist!in! identifying!and!securing!additional!grants,!loans,!and!loan!guarantees!from! Federal!and!state!sources!including!the!US!Department!of!Agriculture,!the!Small! Business!Administration,!Federal!Block!Grants,!and!other!sources! ! ! ! The!Renaissance!Community!Coop!agrees!to:! ! 1. Through!community!outreach!anchored!in!the!area!immediately!surrounding!the! Renaissance!Center!and!spreading!outward,!build!our!membership!to!a!minimum!of! 1,000!members!by!March!2014.! 2. Acquire!necessary!training!and!continue!to!develop!our!democratic!practice,! community!accountability,!cooperative!governance!skill,!and!business!acumen!so!we! are!ready!to!assume!management!oversight!and!financial!oversight!of!an!operating! cooperative!grocery!store!by!summer!2014.!! 3. Participate!as!one!member!of!many!on!a!democratically!governed!advisory!group!that! consults!with!the!City!in!thinking!about!uses!and!operations!of!the!Renaissance!Center! 4. Build!community!partnerships!and!work!collaboratively!with!a!broad!array!of!local,! regional,!and!national!institutions!and!organizationsfoundations,!universities,! neighborhood!groups,!social!service!agencies,!City!government,!lendersto!access! expertise!and!resources!that!will!be!needed!to!make!the!grocery!store!a!success! 5. With!the!help!of!our!partners,!continue!to!raise!equity!for!the!grocery!store,!through! memberships,!grassroots!fundraising,!and!grants,!reaching!over!$600,000!in!equity!by! mid!2014.! 6. With!the!help!of!our!partners,!obtain!$1.4!million!in!financing!to!augment!our!equity! stake!for!a!total!investment!of!$2.0!million!in!our!grocery!store.!! 7. Design,!equip,!and!operate!a!welcoming,!clean,!well?stocked,!full?service!grocery!store! that!anyone!would!be!proud!to!shop!in!and!which!inspires!its!staff,!its!customers,!and! the!wider!community! 8. Pay!our!rent!to!the!City!on!time!every!month.! 9. Create!at!least!20!good!jobs!in!the!community,!and!model!good!employment!practices! by!paying!a!living!wage!to!all!staff!of!the!grocery!store!and!providing!health!benefits!to! every!full?time!worker.!We!will!put!almost!$2!million!in!wages!and!benefits!into!the! community!in!our!first!three!years.! 10. Repay!our!loans!in!full! IV.!Commitments!from!the!RCC!to!the!City!and!the!Community!

Renaissance!Community!Coop!

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! 8! 11. Use!democratic,!community?based!processes!to!decide!how!to!use!any!profit!from! grocery!store!operations!to!further!community!development! 12. Once!the!grocery!store!is!established!and!stabilized,!turn!our!attention!to!building!a! democratically!governed!community!group!with!the!capacity!to!take!ownership!of!the! Renaissance!Center!as!a!land!trust,!CDC,!or!other!appropriate!community?owned!entity.!!

Renaissance!Community!Coop!

http://renaissancecoop.com!

! 9!

More on Community-Based Enterprises!

Community Based Enterprises (CBEs) are economically and environmentally sustainable, pay a living wage to all their employees, and are woven into the fabric of their communities. We recognize that most businesses will exist on a continuum of practice in each area. Our general idea is that CBEs would consciously and continuously strive to advance further on each criterion within defined time frames. Community Based Enterprises are economically sustainable: With this criterion we are saying that a CBE must be a real business, not a charity. In particular, we are talking about businesses that are intended to produce a surplus (that is, operate in the black or with a net operating profit), based on sound business models taking into consideration market demand and the sustainable availability of labor, capital and raw materials. This criterion is not intended to exclude businesses that are just getting started or businesses undergoing expansions, both of which may not enter profitability for a while. Such businesses need initial infusions of capital to cover start-up and expansion costs and early business losses, as well as to smooth out business-cycle fluctuations. However, new businesses and expansions should have realistic projections for moving toward profitability and thus not require ongoing subsidy. Community Based Enterprises are environmentally sustainable: With this criterion we assert that CBEs should not pollute or otherwise damage the environment nor deplete resources that should remain available for generations to come. This means that CBEs should avoid environmental damage and depletion entirely, or where this is not yet possible, then include corrections and clean-ups of environmental problems as business costs, rather than putting the expense of clean-up on the community as an externalized cost to be paid by others. One very promising area of business development is in the area of green businesses, businesses that are built around a products or services that are expressly designed to mitigate or lessen environmental damage. Whether a CBEs products and services explicitly fit into this category or not, we think all CBEs should directly concern themselves with their environmental footprints and lessen those footprints. Community Based Enterprises pay a living wage: With this criterion, were stating that the wages paid by a CBE should not leave full-time workers in poverty. While families financial needs vary quite a bit depending on the number of people in each family and how many family members are working, a good figure to work from in North Carolina is $10 per hour as a minimum living wage. Working 2080 hours per year (40 hours per week for 52 weeks) yields an annual before-tax income of $20,800, which is enough to cover housing, food, medical, transportation at a most basic level for a single adult, according to the NC Justice Center. Community Based Enterprises are woven into the fabric of their communities: With this criterion, we affirm the need to building local, living economies within the context of particular places. There are two main considerations. The first is that CBEs Renaissance!Community!Coop! ! http://renaissancecoop.com!

! 10! must be anchored in their communities, so that they are unlikely to get up and leave in pursuit of higher profits elsewhere. There are a number of ways a CBE might be anchored in its community, including being owned by its workers or by the larger community. Or, a CBE might depend mightily on a particular place for its raw resources or marketsfor example, champagne can only be made in the Champagne region of France and North Carolina wines can only be made in the grape-growing areas on North Carolina. The second important way that CBEs are woven into the fabric of their communities is that they must expressly support the community on an ongoing basis. This might be accomplished by a reasonable portion of the businesss profit being contributed to the community in a conscious and deliberate way to meet social needs and improve the quality of life. This might include recreation, education, or economic development support for other community based enterprises. We arent sure yet how to combine these criteria to make final judgments about whether a business is or is not a community based enterprise (or where such judgments might come into play), but we think some clarity is needed or we run the risk of setting the bar too low and losing the transformative potential of the very notion of community based enterprise. Perhaps, in conversations with others engaged in this kind of economic development work, well decide a business needs to show high performance on all four criteria. Or perhaps well decide a business must show high performance on all but one criterion, and have clear timetables and plans to achieve the last one. For example, a business might be economically and environmentally sustainable and woven into the fabric of its community, yet not yet pay its workers a living wage. This might be the case with a newly formed worker-owned coop in which the workers have agreed to accept a lower wage as a way to capitalize initial losses. If their business plan was based on sound financial projections that showed a path to profitability with living wages for everyone, we would probably see that business as CBE. (We would hope, by the way, that the workers initially low wages would either be treated as a loan to be paid back out of future profits, or as part of each workers equity in the company.)

More on Democratically Governed Community Groups

Accessibility and Inclusion means that the group actively seeks to increase its membership among all kinds of people in the community. It should be widely known in the community how to contact members of the group and how to become directly involved as a member without unnecessary barriers. Transparency is necessary because good decisions can only be made when good information is available. Full disclosure of finances, including the sources and uses of funds, as well as alternative operational strategies with pros and cons need to be available for broad discussion before important decisions are made. Accountability is needed as a way of having regular times and structured means to literally give account to the broad community of ongoing activities, possibilities,

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! 11! difficulties, decisions, and results. Periodic community meetings, newsletters (paper or electronic), and emails are some of the things that can be used. Having a fair decision process is important in assuring that the will of the community determines the choices that are being made. The decision processes may differ according to the situation, but they must be appropriate to the decision that is being made and known and agreed to in advance. For any single decision, It is good to have alternative choices available to people, rather than simply approving of a single idea. This includes voting in public meetings as well as other democratic decision devices such as multiple dot voting or even the use of consensus. The basis of any and all of these processes should be the voting power of each individual is equal to that of any other.

More on Community Owned and Controlled Enterprises

In order to retain and expand the wealth of a community and utilize it for the benefit of the community rather than the personal elevation of individuals at the expense of the community, business entities can be structured in such a way that the community owns them jointly and governs business activities in a democratic manner. This requires a broad and inclusive base of ownership whose entry barrier is not so high as to only allow a few to be owners, nor should it be so low that ownership does not impart a sense of responsibility (skin in the game). The ownership of such businesses should be structured in such a way that individuals are not allowed to damage the whole by transferring their share to someone who then concentrates the ownership. For this reason, some of the ownership is often indivisible that is, it remains with the group rather than being subject to liquidation in a way that leads to breaking up group ownership. The decision-making process in these entities should be set up in such a way as to assure that overall direction of activities benefits the community broadly. This means that decisions are made on the basis of one person-one vote, rather than having power allocated by financial share quantity. Cooperatives, credit unions, land trusts and some mutual associations are set up on these principles. These kinds of entities allow for an expansion of the wealth of a community so that it meets community needs and leaves the community better than we found it for generations to come. !

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