Chairman's Report 2009

We've seen another difficult year in the sector, with some co-operatives blooming despite adversity whilst others have had to fight to stay afloat. As a membership organisation we're directly affected by the prosperity of our members. But it's been a busy year, following on from our very successful Co-operative Progress Conference at the time of last year's AGM. The challenge for the Federation is to convince more co-operatives to attend what is a unique learning and networking event. Rainer Schlutter, the CEO of co-operatives Europe, was a particularly inspired keynote speaker, giving us many ideas based on initiatives that have worked in Europe. He also provided the kernel around which the desired co-operative publicity grew - good articles in newspapers, interviews on radio and a particularly positive television report. We need to keep spreading the word, making "co-operative" not such a seldom heard word in most quarters.

The template for an Effective Governance Workshop was designed, in conjunction with The Mercury Centre Co-operative, and the first presentation was made to a group of not-forprofit board members during 2009. This was a useful experience for those present, proving the relevance of the workshop and reinforcing our recognition of the need for training for directors. Further presentations are planned, mainly in response to requests, with relevant adjustments to the template according to the audience. The Federation is working on ideas for other training packages that we can offer to the sector. We always welcome specific requests, if we're not currently offering a suitable training alternative.

We continued to expand our new website throughout the year, adding resources, news and encouraging networking by having a members' page. The new members' page not only lists our members but also gives links to their sites, where relevant. We're also offering to help members set up their own site, where this doesn't currently exist. And during the year we migrated to the new .coop domain - we're encouraging all co-operatives to use this domain, to show their co-operative nature in a prominent manner and make people more aware of the co-operative difference.

Together with the Mercury Centre Co-operative we have spent more time developing The Petersham Model (an Australian co-operative housing solution which came out of the Living Co-operatively Symposium last year), and are looking for people keen to try out the model in real life. We've lost more members since last year, due primarily to the financial situation that co-operatives find themselves in, especially in the rural sector. Some have found themselves unable to afford membership, others have ceased to operate or demutualised. This, including the sale of our largest member, has brought about a significant drop in membership income. As previously noted, we need to run training and networking events that provide funds to supplement our running costs.

The Executive Officer continues to be active on the Co-operative Council, the statutory body charged with encouraging the development and integration of the sector and of advising the Minister. The Legislative Review Committee, a sub-committee of the Council which reviews existing legislation, has continued to be inactive as we await progress on the long-promised national legislation. Until the Bill for this template legislation is released for comment, no suggestions for changes can be made or implemented - a draft is expected to be released for comment soon and a working party drawing on members across the sector will be convened by the Federation to review the proposals.

The Federation has continued to have regular contact with the Registry of Co-operatives & Associations and works with the staff on common areas of interest. Each year we try to host a luncheon with the Minister for Fair Trading - the next one is due in early November. We will endeavour to expose the Minister, Hon Virginia Judge, to the wide variety of co-operatives in NSW and talk with her about some specific issues in particular co-operatives.

The Executive Officer has continued to assist members, when requested, and visited when possible. She's also assisted groups in their endeavours to create new co-operatives and has visited rural co-operatives, collecting information on their issues and offering assistance where relevant. The Directors and Executive Officer of the Federation continue to be invited to take part in discussions regarding co-operatives and co-operation, when organised by the NSW Government and the Office of Fair Trading. This recognition of the role of the Federation gives not only the active members of the Federation, but also the wider co-operative movement, a voice in these discussions.

Membership of the national body, the recently renamed Co-operatives Australia (CA), has continued as an avenue for addressing national matters. The list of Australia's Top 100 Co-operatives, Credit Unions and Mutuals was published during the year, illustrating the economic and social impact of these mutual businesses. It is hoped this will help encourage discussion and recognition of the value of the co-operative option. Policies are also being developed and representations are made when matters affect co-operatives across the country. Meetings have continued to be held in person and by teleconferencing. The
Executive Officer attended the recent WA conference to take part in the latest CA meeting, having useful discussions with the Federation there, with their excellent speakers and members.

Contact has been maintained with the New Zealand Co-operatives Association Inc and is also maintained with other overseas organisations. Each year visits by one or two delegations from other countries (usually from Asia and South America) prove an interesting way to keep abreast of developments overseas.

Plans are well under way for the Co-operative Opportunities conference coming up in February 2010. This forms part of The Co-operative Week – our keynote speakers are from the European Research Institute on co-operative and Social Enterprises (EURICSE) which has entered into a collaboration with Sydney University. They will be here taking part in The Italian and Australian Co-operative Sectors The Past, Present and Future Symposium - another part of The Co-operative Week.
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The Federation continues to make every effort to urge co-operatives to assist each other and to trade with each other, to build a more co-operative environment. We try to build relationships with co-operatives, government, bureaucracy and media to raise awareness and encourage networks. We consider education a key element in achieving our aims and will continue to look for innovative ways to implement this. Our Executive Officer, Helen McCall, has continued to promote the principles of co-operation to our members and to the co-operative sector in NSW, including regulators. The Board acknowledges Helen's efforts.

Jim Sneesby
Chairman of Directors