Dear Seward Co-op Owners,
Just months from now is the scheduled opening of the Friendship store, which is a realization of the co-op’s long-term vision of expanding our community-owned business. In October 2015, nearly 2,000 households that are current owners of Seward Co-op will have a store less than 1½ miles from their home. We are writing to address the conversations the board of directors has been having, and the questions and comments we have been hearing regarding the Friendship store.
We started this project over two years ago when The Carrot Initiative, a non-profit formed by residents of the four neighborhoods around 38th and Chicago to attract a grocer to the community, invited Seward Co-op to consider opening at the former site of the Greater Friendship Missionary Baptist Church. Their building had been on the market for a couple of years. It proved to be a good site. We decided to call it the Friendship store to honor this history. We believe it will be a place to bring neighbors, family and friends together.
Since our very first community meeting at Sabathani Community Center in July 2013, co-op board, management, and staff have been engaged in conversations and outreach with the neighborhoods surrounding the Friendship store. For example, members of the co-op management, staff, and board have attended and participated in the Future of East 38th Street community meetings; engaged in conversations and education with community members through door-to-door outreach; and attended many neighborhood events, fairs, and educational programs. The board is energized by the support and encouragement the co-op has received in our direct conversations with members of the community throughout the surrounding neighborhoods of Bryant and Central.
At our May meeting, the board welcomed owners who presented a petition and wished to discuss the decision to postpone the conversation regarding creating a Mutual Benefits Agreement (MBA). After that meeting the board expressed its continued agreement with the decision made by Bryant Neighborhood Organization (BNO) and co-op management that our focus needs to be on opening the Co-op Creamery Café and Friendship store. We responded to those owners who signed this petition to inform them of our continued support of that decision.
At the June board meeting, representatives of Central Area Neighborhood Development Organization (CANDO) were given time to state their reasons why Seward Co-op should accept the Community Benefits Agreement (CBA) that they drafted as a starting point for negotiations. The board discussed their request and decided to continue, as planned, with the decision made by Seward Co-op and BNO to defer this conversation until after the Friendship store opens. You can find a letter to CANDO on our website.
The board agrees that management’s efforts to enter into an MBA is the correct approach. The proposed CBA is not congruent with co-op values. However, we want to be clear that this does not mean that the co-op’s board and management have ceased our conversations with the community or compromised our goals, aspirations, or ideals related to the Friendship store. To the contrary, many of the provisions that have been proposed in the CBA have already been addressed by the co-op, independent of the recent proposal by CANDO. For example:
• The co-op voluntarily set construction hiring goals that are used by the City of Minneapolis.
• The co-op has set hiring goals to be a more inclusive workplace.
• The Seward Co-op Nourish program offers both a needs-based ownership option and a discount.
• Seward Co-op has used the Minneapolis living wage model for more than eight years. Factoring in discounts, benefits and insurance, all vested co-op employees earn at least $15 per hour.
• Seward Co-op has engaged in outreach and partnerships throughout the neighborhoods surrounding the store. We have supported, and will continue to support, many Bryant-Central based organizations and nonprofits.
Our website has more information about the co-op’s efforts with respect to the Friendship store. In addition, we must note that the CBA proposed by CANDO has several provisions that could potentially put the co-op in fiscal jeopardy, including a stipulation that the co-op can be fined $1,000 a day (up to $100,000) if it does not operate in accordance with the CBA. We cannot accept these kinds of terms as a starting point for any conversation.
The board believes that management’s actions and decisions on these issues are entirely consistent with and further Seward Co-op’s Ends Statement and the International Cooperative Principles. The board supports management’s efforts to ensure that any agreement that the co-op enters into be consistent with the International Cooperative Principles. Finally, and fundamentally, the board believes that the co-op has had, and will continue to have, a positive effect on the communities within which the co-op operates.
From the beginning of this process, we heard concerns regarding racial equity and social justice. We invite owners to review our Scorecard to see our progress on our goals. Make no mistake, we still have work to do, and we look forward to doing that work in the months and years to come. We thank everyone who has been involved with the Friendship store to this point. Promoting healthy food, living wages, affordability, accessibility, and concern for community have long been a priority of the cooperative and we look forward to building trust and meeting the expectations that our shared values require.
In Cooperation,
Leah Janus - President, Board of Directors
Joe Riemann - Vice-President, Board of Directors