While in start-up mode the Black Star Co-op has experimented with different classes and types of membership. Now that we are months away from opening we need to clarify and slightly redefine memberships. Below are the proposed changes to be voted on at the Members’ Assembly meeting on May 22nd.
Current:
1.2 Cost of Membership
All applicant members, except Neighborhood Members as described in section 1.4.3, must pay a nonrefundable joining fee and make a capital investment in the Co-op. The capital investment assessed for membership shall be set by the Board and may be adjusted from time to time.
Proposed:
1.2 Cost of Membership
All applicant members, except Neighborhood Members as described in section 1.4.3, must pay a nonrefundable joining fee and make a capital investment in the Co-op. The joining fee and capital investment assessed for membership shall be set by the Board and may be adjusted from time to time.
Explanation: The only change here is allowing the Board to set the joining fee. The fee is not set anywhere in the by-laws or policy so this just ties up a loose end.
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Current:
1.4 Types of Members
There shall be four types of members – Invested, Joining, Neighborhood, and Business.
Proposed:
1.4 Types of Members
There shall be three types of members – Individual, Neighborhood, and Business. All types of members may be referred to collectively as “member-owners,” “members,” or “owners.”
Explanation: There has always been a little confusion between Invested and Joining members. This change collapses the two into a single membership type of Individual, while still allowing people to buy into their membership at a lower level and pay over time. The next section details the benefits (or lack of benefits) between fully invested members and non-fully invested members.
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Current:
1.4.1 Invested Members
All natural persons who have paid the joining fee and fully contributed their assessed capital investment shall be known as Invested Members. Invested Members are entitled all the benefits of membership.
Proposed:
1.4.1 Individual Members
All natural persons who have paid the joining fee and contributed to their assessed capital investment shall be known as Individual Members. All Individual Members hold the same voting power whether they are fully invested or not. Individual Members who have not fully contributed to their assessed capital investment shall receive no other benefits of membership and may not serve on the Board.
Explanation: This section declares that members who have not fully paid their capital investment are only allowed to vote. It also changes the membership type from Invested to Individual.
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Current:
1.4.2 Joining Members
All natural persons who have paid the joining fee but contributed only a portion of their assessed capital investment shall be known as Joining Members. Joining Members hold the same voting power as Invested Members, but shall receive no other benefits of membership and may not serve on the Board.
Proposed:
Stricken
Explanation: Joining members will be rolled into Individual members.
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Current
1.4.3 Neighborhood Members
In accordance with the principle of participatory self-management, all natural persons residing within a 100-meter radius of the brewpub’s location, and meeting the requirements of section 1.1, may claim a voting share without paying a joining fee or making a capital investment in the Coop. Neighborhood Members hold the same voting power as Invested Members, but shall receive no other benefits of membership and may not serve on the Board.
Proposed
1.4.3 Neighborhood Members
In accordance with the principle of participatory self-management, all natural persons residing in Phase I of Midtown Commons and meeting the requirements of section 1.1 may claim a voting share without paying a joining fee or making a capital investment in the Co-op. Neighborhood Members hold the same voting power as Individual Members, but shall receive no other benefits of membership and may not serve on the Board.
Explanation: Black Star has always wanted to include all of its stakeholders in the Co-op but before we had a location it was envisioned the general area around the pub would take care of this. Now we have a location and can clearly and easily define the residents of Midtown Commons as the local stakeholders.
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Mason Gross says:
Why are their neighborhood members?
Steven says:
Mason,
There are two main reasons for including neighborhood members in the structure of our Co-op.
First, they’re stakeholders in our community, and given their geographic proximity, our actions (or inactions) disproportionately affect them. As such, we want their voices to be heard, and offering them a vote in the Members’ Assembly is the means to that end.
Second, it provides a path toward the Neighborhood Members becoming full member-owners. They come in to have a beer, we talk to them about a ownership. Maybe they’re not ready for that yet, but the Neighborhood Member program piques their interest. It brings them back to the brewpub, and pretty soon they’re dedicated and active owners. Given the 316 units already built and 50+ undeveloped acres on the site, developing a strong following among the residents would be an invaluable asset to the Co-op.
I hope that helps clear up our motivations. I really think the Neighborhood Member concept is one of the most unique and innovative aspects of our structure.
Mason Gross says:
I guess I can see that, although I think they would come by anyway. Convenience is a nice thing.
Also, what is a “Business Member?”
Garth says:
Looks good to me. I like the idea of neighbors getting a vote. How many neighbors are there within 100 meters?
Fred Nemecek says:
Steve,
Don’t you need to change section 1.6.2 Joining Member Inactivation since there will no longer be a membership level refered to as Joining Members? Just a thought…
Fred
Steven says:
@Garth – I’m not sure exactly how many members are in the 100-meter boundary, but the issue is that it cuts right through one of the apartment buildings in the development. We wanted to redefine the standard to recognize that our primary “neighbors” are the apartment buildings that have been already built (Phase 1).
@Fred – Good catch. I’ll forward it on the Board.
JP Sayers says:
How many neighbors is a good question. At 2 adult per abode, it could add up.
Getting something for nothing is a bit out there.
Could the free neighborhood vote become a sizable subset of all votes? Could the neighborhood, at some future time, hold a vote that could disproportionately affect paying members?
What are Business Members?
I’m not a member but I am looking to join/ invest and this topic caught my eye.
Steve Randall says:
Fred – great catch.
Mason – we allow business to join by buying 2 memberships (and they get to vote both of them). However, our current interpretation of applicable laws and regulations limits the type of businesses that may join to other Co-ops. Wheatsville Co-op and a couple of student housing co-ops are members.
Steven says:
@ JP – There are 316 units of apartment housing at Midtown Commons (Phase 1). They’re a mix of 1-bedroom and 2-bedroom units, so theoretically we could have a few hundred neighborhood members. However, given that they are apartments, they’re likely to be fairly transient residents. It’s inconceivable that they’d all be organized in lockstep on any given issue before the Members’ Assembly, and if they were, it’d still constitute a minority of the voting membership.