SOUTH PHILLY FOOD CO-OP& KENSINGTON COMMUNITY FOOD CO-OP

Katy TravalineExploring Cooperatives:

Economic Democracy and Community Development in Pennsylvania and Wisconsin

Wednesday, June 13, 2012Philadelphia, PA

Lehigh Avenue → Girard Avenue, Delaware Avenue → American Street

Lombard St. → Oregon Ave., 26th St. → Front St.

Mission

To open a member-owned cooperative grocery store in the Kensington area that will provide healthy, quality food, products and services to its members and the community.

To open a member-owned, co-operative grocery store that  makes good  food available at a fair price to all residents of South Philadelphia, while empowering the local community through sustainable practices, food-centric education, outreach, and community building.

Historical Overview

Lena Helen 2008

Civic association Positive response Steering committee

Outreach and survey Feasibility study

2010 Membership recruitment Incorporated Buyer’s Club

Allison Fritz 2010

Civic assoc., comm. mtg Positive response Steering, legal/finance, and

outreach committees Outreach and survey Studied co-ops, market study

2011 Community forum (March) Incorporated (May) Membership drive (June) Elected first board of directors

Weaver’s Way Co-op, Food Co-op Initiative, Keystone Development Corp., NKCDC, LISC

tabling at events targeted email

messages websites community meeting

house parties facebook newsletters

Ongoing Outreach

kcfoodcoop.com

Albert Yee

225 goal organizing stage → planning

stage Site search committee Fundraising coordinator Member recruitment

248 members

250 goal organizing stage → feasibility stage

Real Estate Committee Product Sourcing Committee Loan Committee Member recruitment

260 members

Structure and Functions

‘Centralized Cooperative’ ‘Consumer Cooperative’ Membership

one-time investment of $200 per household installments refundable nontransferable

own a share of the business one vote

Governance Structure

Board of Directors President, Vice President,

Secretary, Treasurer, and 4 Directors-at-Large

Committees Membership and Outreach,

Planning and Finance, Buyer's Club, Market Place

General manager

Board of Directors President, Vice President,

Secretary, Treasurer, and 7 Directors-at-Large

Committees Bookkeeping/Administration,

Financial Planning, Grants, IT, Leadership, Legal, Marketing and Communications, Membership, Operations, and Programs and Events

General manager

Membership Participation

Serve on & vote for the board

Attend meetings & vote semi-annual member

meetings Serve on committee

Why Join?

Pre-existing interest Positive experiences Founding member Expedite the process Participation in a local community-

building effort

Member Benefits(now)

Shop Local Program

Buyer's Club Influence

Shop South Philly Program

Educational classes, workshops

Influence

Member Benefits(then)

Discounts and pre-determined benefits Potential yearly rebates Continued power

Voting Serving

Open to public Working members?

Volunteering

Buyer’s Club 2x month Event tabling Hosting dinner parties Packaging food 1x

month Board and committees Volunteer coordinator

Membership recruitment Fundraising events Referring new members Board and committees Partnerships with local

civic associations or non-profits

“we’ve got this” & “we need help”

Albert Yee

Costs

Market and feasibility studies tens of thousands $$$$

A building Construction Equipment Supplies General manager

Economics and Politics

USDA $ → Rural Co-ops Small Business Association

technical assistance to all small businesses except co-ops

Banks hesitant to lend to co-ops Incorporation ≠ 501(c)(3) charitable status Local friendly financing institutions

The Reinvestment Fund Philadelphia Industrial Development Corporation

(PIDC) Philadelphia-area Cooperative Alliance (PACA)

Economics and Politics

Economic crisis Alternative business models Doubling – regionally and nationally 2012 International Year of Cooperatives National Cooperative Development Act

“underserved areas” “contention on the margins of the polity to

participation within it” …on their own…

Financing

Membership investments Fund-raisers hosted by local

businesses Scholarships Food stands * certification Dept

Health Greensgrow Norris Square, Palmer Park

Buyer’s Club Common Market & Lancaster Farm

Fresh

Member investments Fundraising

Happy Hours Garden Tours

Energy Co-op Partnership Fair Food Partnership Tax-deductable donation

*outreach and member recruitment tools* and funding sources

Albert Yee

“Co-operation among Co-operatives”

Weaver’s Way Food Co-op, Food Cooperative Initiative, South Philly Food Co-op, Philadelphia-area Cooperative Alliance (PACA), Mid Atlantic Food Co-op Alliance

Keystone Development Corporation, NKCDC, LISC

Greensgrow Farmers Market, Food Trust, Common Market, Lancaster Farm Fresh , local businesses

Weaver’s Way Food Co-op, Food Co-op Initiative, Kensington Community Food Co-op, Energy C-op, Mid Atlantic Food Co-op Alliance

Keystone Development Corporation

Fair Food, local businesses Cooperative Grocers’

Information Network and CDS Consulting Co-op

Philadelphia Long history of alternative food practices

and advocacy a strong culture of food enthusiasts urban agriculture food co-op communities

Three recent expansions

South Philadelphia Rich food culture Italian Market 1862, South Philadelphia was home to

Philadelphia's first consumer-owned grocery store The Union Cooperative no. 1

900 block of Federal Street.

The Neighborhoods

Large areas Many very

diverse neighborhoods

Redevelopment Transitioning

Power and Privilege Asymmetries

Risk reflecting and reinforcing the power and privilege asymmetries of the conventional food system and society-at-large

Both KCFC and SPFC low-income and minority residents are well aware of the socioeconomic divide need to focus on opening a successful

business

Power and Privilege Asymmetries

SPFC: intensive outreach and education efforts, exploring ways to more effectively recruit

SPFC & KCFC: guided by the Food Co-op Initiative hosted recruitment training workshop to learn

how to talk about and recruit for the Co-op and how to overcome people’s barriers to joining

Power and Privilege Asymmetries

KCFC Healthy Cart Program (Department of Public Health )

business and food safety training electronic benefit transfer (EBT) machines VISA debit fees for six months

Developing a program Burlington Food Co-op’s Food For All Program Mariposa Food Co-op “stand-in equity”

“a ton of work to do”

“Concern for the Community”

For all residents Profits back into the community Attracting and promoting businesses Community activities

“building a democratic association of people”

community problem-solving small-scale locally oriented organization the social processes of communities

Democratic rights and responsibilities

Scaling up democratic practices

Conclusion Driving forces

Market failure Economic crisis Cooperative advocacy Favorable public policy

“Co-operation among Co-operatives” Supporting federal legislation Democratic at micro- and macro-scale? Balance: Inclusion & Economics

Thank You

Questions?