CFNE NewsFall 2018

Cooperative Fundof New England

Financing Cooperatives since 1975 www.coopfund.coop

Our MissionWe work for economic, social, and racial justice by advancing communi-ty-based, cooperative, and demo-cratically owned or managed enter-prises with a preference to assisting cooperatives in low-income commu-nities by:

• providing financial products at reasonable rates

• developing business skills• offering an investment opportu-

nity that promotes socially con-scious enterprise

What Is a Cooperative?A cooperative is an autonomous association of persons united voluntarily to meet their common eco-nomic, social, and cultural needs and aspirations through a jointly owned and democratically controlled enter-prise.

ValuesCooperatives are based on the values of self-help, self- responsibility, democracy, equality, equity, and solidarity.

PrinciplesCooperatives embrace the principles of voluntary open ownership, democratic owner control, owner economic partici-pation, autonomy and independence, education, training and information, cooperation among cooperatives, and concern for community.

Visit us on line atwww.coopfund.coop

to find links about our borrowers; print out our loan application;

download our prospectus; and to learn more about cooperatives.

I n the second four months of 2018 the Cooperative Fund made 27 loans which totaled over $2.3 million and at this writing

we still have well over $2.5 million in loans approved and awaiting funding. Since its inception, CFNE made over $54.8 million in 954 loans. We are again looking for investors since all funds received from investors are in use. Worker cooperatives funded include current and new borrowers Artisan Beverage Cooperative in Greenfield, MA; Timberhomes, a builder in Montpelier, VT; Green Mountain Spinnery in Putney, VT, Gaia Host Collective in Greenfield, MA; the start up Democracy Brewing in Boston, MA; Isuken Co-op’s food truck purchase in Lewiston, ME; A Yard & A Half, a landscaping company in Waltham, MA; Woodbelly Pizza in Montpelier, VT; Ewing Controls, an engineering firm in Greenfield, MA; Boston TechCollective, a computer support company in Somerville, MA; The New School, a school for special needs children in Montpelier, VT; Pioneer Valley Photovoltaics (PV2) in Greenfield, MA; and WarrenStreet Architects in Concord, NH.

Conferences and Outreach Cooperative Fund borrower Equal Exchange was recently featured at the opening plenary session of the Opportunity Finance Network’s (OFN) national Small Business Forum in Chicago. Daniel Fireside and Rebecca Dunn were interviewed by Next City’s Oscar Perry Abello. Over 550 CDFI professionals heard about the history between our organizations, the benefits of cooperation as a wealth creation tool, and worker ownership as a model of successful business management. The session was extremely well received and is available for viewing on our website: www.coopfund.coop. After the plenary Maggie Cohn led a successful breakout session on lending to

Isuken Co-op worker-owner displays food truck in Lewiston, ME

C O N T I N U E D O N P A G E 4

Loans Approved and Funded

Oscar Perry Abello and Daniel Fireside both reference CFNE during the opening plenary session at Opportunity Finance Network’s national Small Business Forum in Chicago

photo by Sam LevitanC O N T I N U E D O N P A G E 3

July 4th opening day at Democracy Brewing, a worker co-op in Boston, MA

P A G E 2 • C F N E N E W S • F A L L 2 0 1 8

FROM THE EXECUTIVE DIRECTOR KEEPING YOU UP TO DATE

From the CFNE Board

The Board of Directors of CFNE has regretfully accepted the resignation of Rebecca Dunn as our Executive Director effective February 2, 2019. We are extremely grateful for the incredible leadership that Rebecca has provided for the last 33 years! During Rebecca’s tenure the fund has grown from under $160,000 to over $30 million in assets. We have provided $55 million in over 950 loans. Cooperatives all over New England have been able to start, expand and strengthen with help from CFNE under Rebecca’s guidance. We are sad that Rebecca will be leaving CFNE, but we are happy for her to have more time to travel and spend time with her family. We wish her all the best always! While it will be challenging to find someone with Rebecca’s vast experience and skill, we are hopeful that we will attract a qualified candidate due to the strength of our organization, our board, and our staff. The board has authorized our Executive Committee to lead the recruitment process. We will seek the assistance of external resources to help us conduct a broad search using a good process. We are also developing a contingency plan so we will not be rushed to make the best decision possible for CFNE. We are planning opportunities for the broader CFNE community to celebrate and thank Rebecca for her 33 years of service. Please contact Susy Ellis (coastal@roadrunner.com, 207-596-6569) to learn how you can participate. In other board news, at the September 29 annual meeting held at the Brattleboro (Vermont) Food Co-op, the board elected new officers and re-appointed 5 directors to new 3-year terms. Incoming officers are Marilyn Scholl, President, Bonnie Hudspeth, Vice President, Matt Feinstein, Clerk, and Andy Danforth, Treasurer. We gave sincere thanks to Jon Reske for his 3 years of service as our Board President. We also thank Camille Kerr who resigned from board because she has moved out of the area. For more information or to inquire about the Executive Director position, please contact Board President, Marilyn Scholl at 802-387-6013 or marilynscholl@cdsconsulting.coop.

Help Wanted at CFNE We are looking for a multilingual Cooperative Business Support Officer (CBSO) who will manage CFNE’s business support services to its prospective, applicant, and borrowing co-ops as well as create and maintain systems to track and ensure the quality of CFNE and partner provided technical assistance (TA). That TA includes business planning, loan readiness aid, and project feasibility analysis. The CBSO will also support underwriting and outreach activities, especially to those needing Spanish language service. The new hire will support various in-house projects related to bookkeeping, compliance, and loan servicing. The position requires bilingual, bi-cultural skills in Spanish and English. The hiree could work from a home office in southern New England (preferably Worcester, MA or Providence, RI). Contact us for a job description.

H appy Cooperative Month, everyone! I have been shopping at co-ops pretty much my whole life and I

still think they are the world’s best kept secret. We know that they are a way to help democratize the economy, to create and to redistribute wealth, and to offer a community owned means of economic development that deters gentrification. Encouraging cooperative development and finance has been my work for most of my career. I have enjoyed taking what I originally practiced in my bank regulation, commercial lending, and small business management work and sharing it with the cooperative community. The picture below depicts my first home office with a two year old and a pregnant belly. Those kids are both grown men who have homes and children of their own. (grandkids pictured above). All are cooperative members. It is a way of life for our family, as I hope it is for yours. In 1986 when I started CFNE had $160,000 in total assets. Now we have over $30 million. Under my direction and leadership I have tried to provide insightful strategy, sound financial management, and a progressive forward thinking strategic mission that has increased the size and the scope of the organization. The Fund is well respected nationwide and I am proud to have run it for so long. Yet, there is so much work still to be done. Sometimes it feels like all the work I have done is just a drop in the bucket. But I remember, as the Gandhi quote on my desk says, “Whatever you do may seem insignificant, but it is most important that you do it.” I am grateful for the amazing team helping me. Also, Yogi Berra said “Keep Trying. Stay humble. Trust your instincts. Most importantly, act.“ I agree. He also said, “when you come to a fork in the road, take it.“ Thus, after 33 years of working with the Cooperative Fund it will be time for me to retire at the end of January, 2019. I leave you in good hands. All will be well. We will keep you posted. As always, your feedback is welcome and your support is most appreciated! - Rebecca

People at CFNE Dorian Gregory, CFNE’s Loan Outreach Officer since 2014, visits current and potential borrowers, providing technical assistance, and marketing the Fund in southwest New England. She also helps with loan portfolio administration. A CPA with almost 20 years in public accounting, including as a senior manager with PriceWaterhouse, she joined her first food co-op in 1981 and today she serves on the board of directors of River Valley Co-op. She views co-op enterprise as a kind of self-defense for communities, building economic self-reliance and autonomy, within a network of cooperation. Her work for CFNE is a natural extension of her passion for the martial arts. Dorian has been a devoted student of multiple martial arts since 1989 but began to study the Chinese art of Taijiquan in 2005. She says, ”Taijiquan encompasses the Chinese philosophical concept of Yin and Yang, and is the study of change. Through my practice I learn to listen, understand, and accept changes as they occur and adjust accordingly to stay balanced and calm. I don’t always succeed, but I keep learning from my successes and my mistakes.” The above photo is from her 2016 trip to China for advanced level training in the mountains of Danqingshan, in Shandong province.

BOARD OF TRUSTEESMarilyn Scholl, PresidentBonnie Hudspeth, Vice PresidentMatthew Feinstein, Clerk Andy Danforth, TreasurerClark ArringtonDuke Bouchard Rebecca DunnLydia EdwardsSusy EllisJonah Fertig-BurdJon ReskeDaniel Ross

BOARD OF ADVISORSErbin Crowell Daniel FiresideLinda GallagherCory Greenberg Mary HoyerD. Maurice KreisGlen OhlundPhebe Quattrucci Lionel RomainTim WIngate

STAFF Rebecca DunnExecutive Directorrdunn@coopfund.coop

Maggie CohnSoutheastern New England Loan and Outreach Officermaggie@coopfund.coop

Lane FuryNorthwestern New EnglandLoan and Outreach Officerlane@coopfund.coop

Dorian GregorySouthwestern New EnglandLoan and Outreach Officerdorian@coopfund.coop

Deborah HawkinsNortheastern New England Loan and Outreach Officerdeborah@coopfund.coop

Micha JosephyProgram Managermicha@coopfund.coop

Beverly PerryOffice Assistantbeverly@coopfund.coop

To be added to our mailing list, invest in, or borrow from CFNE, email: cfne@coopfund.coop.

And, don’t forget to check us out on Facebook .

P A G E 3 • C F N E N E W S • F A L L 2 0 1 8

cooperatives. To see the plenary session visit or to read the blog interview with Daniel and Rebecca please visit www.coopfund.coop. CFNE staff and board members attended and presented at the national CCMA (Consumer Co-op Managers Association) in Portland, OR. Dorian Gregory presented the current status of CFNE’s racial equity work on a panel as part of Opportunity Finance Network Fellows Program for emerging, mid-career and executive leaders who are committed to ensuring equitable investment in under-served and disenfranchised communities. The panel “CDFIS Addressing Racial Equity” included on-the-ground stories of how to further racial equity within organizatons. It is anticipated and hoped that the hiring of a multilingual staff person and the availability of our new loan products (collateral support and predevelopment loans) will have a significant impact on our lending to co-ops in communities of color. Read more about CFNE’s work in this area as addressed in the OFN’s guest blog by Lane Fury available on our website:www.coopfund.coop.

Conferences and OutreachC O N T I N U E D F R O M P A G E 1

Borrower Profile TIMBERHOMES, MONTPELIER, VT

Purpose: Construction of a new shop site in Montpelier

Testimonial:“We are grateful for the flexibility of CFNE financing. It allows us to build and maintain strong relationships with local subcontractors by making timely payments during the construction process.” Timo Bradley, Timber Homes

Dorian is pictured with Lauren Stebbin of OFN and Brittany Bennett from Self-Help Credit Union at the Network Fellows Program

CFNE’s Lane Fury and worker-owner Timo Bradley at the new shop site

CFNE board member Andy Danforth presented with Maggie Cohn, CFNE staff, at the MA ROC meeting in Kingston, MA

At CCMA, CFNE board member Duke Bouchard presented with Dorian and Brenda Pfahnl from Shared Capital

Dorian, Rebecca, Bonnie Hudspeth (CFNE board member) and Lane toured co-ops by bike during CCMA in Portland, OR

Administrative office address: 5533 Peden Point RoadWilmington, NC 28409

Electronic Service Requested

www.coopfund.coop

NONPROFIT ORG

US POSTAGE PAID

WILMINGTON, NC

PERMIT # 11

Clyde, ME. We also made another housing co-op loan to Medomak Cooperative in Castleton, ME. Loans were made to retail food cooperatives including Good Tern Cooperative in Rockland, ME; Chatham Cooperative Market in Chatham, NY and Concord Food Co-op in Concord, NH. Peter Delault, Concord’s controller said, “Thanks to CFNE we have successfully restructured our member loan debt, improving our cash flow and

Loans Approved and Funded C O N T I N U E D F R O M P A G E 1

Like us on Facebook

P A G E 4 • C F N E N E W S • F A L L 2 0 1 8

New Roots Farm stand opening celebration in Lewiston, ME

The Cooperative Fund of NewEngland (CFNE) was founded in1975 by co-op activists and social investors to provide financial assistance to food cooperatives. Since then, the organization has expanded its focus, offering development loans and technical assistance to a wide range of co-ops and nonprofit groups that share CFNE’s vision of equality, justice, and social responsibility.

As a “virtual” organization, CFNE serves the New England region through an administrative office in North Carolina and four outreach offices in New England.

Cooperative Fund of New England is a nonprofit community loan fund. CFNE provides loans and technical assistance to cooperatives and nonprofit community-based organizations. CFNE is a U.S. Treasury certified Community Development Financial Institution (CDFI).

Community nonprofits recently funded include Dollars & Sense, a publishing collective in Boston, MA; Association for Training and Development in St. Albans, VT; Wellspring Harvest Greenhouse in Springfield, MA; and Cultivating Community in Portland, ME. Seasonal working capital was made available to Midcoast Fisherman’s Cooperative in Port

Groundbreaking for Putney Food Co-op expansion in Putney, VT

Pioneer Valley Photovoltaics (PV2) installation in western MA

management going forward. I cannot speak highly enough of CFNE and the help and support it provides cooperatives. It is such a good organization and it does so much good for so many communities. It is truly amazing! “

Cooperative Fundof New England

Financing Cooperatives since 1975 www.coopfund.coop