CEDTAP Forum 2000
Proceedings: Opening Panel

CO-OPERATIVES:  Lynne Toupin, Chief Executive Officer of the Canadian Co-operative Association (CCA)

CCA is involved in both international and domestic co-operative development.   Domestic co-operative development is done in concert with their regional associations (in B.C., Saskatchewan, and Ontario) and their affiliate organizations.   CCA also has 40 projects in 25 countries in Asia, Africa and Latin America.  

What are the Opportunities for the Co-op Sector?

At the federal level:

• There are finally more dollars available after years of scarcity.
• There is a return to a social agenda and a more balanced approach.
• CCA is close to securing a $ 32 million fund for a cooperative development partnership proposal.
• There is interest in community capacity building.

What are the Challenges Facing the Co-op Sector?

• It has a lack of visibility within the federal government, and there is no policy framework in which the co-op sector fits.
• There is a lack of financial resources to engage in more comprehensive co-op development (ex. Arctic co-ops and the desperate need for resources to train aboriginal managers).
• They are "thin on the ground" to actually provide training in coop development due to burn-out and low wages.
• Where does CED fit into the new economy, given Canada's obsession with hi-tech?
• There is a need for more research. How do you apply the co-op model to emerging industries?
• The atomization of families and individuals in communities. Is the co-op model passé?
• The federal government is putting $90 million into building the voluntary sector. Where do co-ops and CED fit into this model? The voluntary sector is not well defined.
• Co-ops need access to resources and capital.
• Co-ops  need to cut costs in order to remain competitive.
• There is also the question of management - is this done by the Board or by managers? Professional managers don't understand the values of coops.
• Strategic alliances and mergers are focused on the business side.
• Globalization -coops are making international alliances, and we'll see the results of this soon.
• The impact of technology.
• The challenge of diversification.

Where Do We Go From Here?

• People who are involved in CED and co-op development share similar goals and values. We need to sit down and discuss what we can do together.
• With the election in November, 2000, we have to see what the Red Book will say, especially on community capacity building.
• The challenge is to be articulate about who we are, what we want, how we can contribute to building community capacity and what results can be expected if investments are made in community and co-operative development initiatives. 
• What does the CED movement want?  A federal policy framework?  Resources, and if so, to do what?  Partners?  Legitimacy, and is whose eyes?  Funders, communities or governments?

Question to Forum Participants

What does the CED movement want?  What are its priorities?  What partnership, if any, would it like to entertain with the co-operative sector in Canada?

MUNICIPALITIES:  Mary Bishop, Senior Associate of Canning & Pitt and Associates

According to Bishop, it is an exciting time to be involved in local government:  We are living in a new economy, characterized by the unpredictable movement of people and businesses, suburbanization and sprawl, changing modes of education, and changing roles and responsibilities of citizens.

In Canada, there are changing roles and responsibilities for government, and changes in local government legislation. In rural municipalities, sustainable solutions are being sought. There is tremendous pressure on local leaders to act - to "get with it". Local governments are re-evaluating themselves and are doing some soul searching, and there is a growing understanding of the key role played by municipalities in CED.

What are the Opportunities for Local Government and their Role in CED?

• In Newfoundland, many municipalities are using their authority to encourage economic development in their communities. They want to work with community groups, and to understand the role of the social sector. This re-awakening stems, in part, from the system of regional economic boards in Newfoundland. There is much learning being done and a shift in how local governments view themselves.
• Local leaders are encouraging community groups to become involved in CED. This takes the leaders beyond their usual role.

What are the Challenges for Local Government and their Role in CED?

• In 2001, we will need more public input and more accountability from local governments. They will need to understand the link between physical and non-physical aspects CED.
• Small, local governments are limited in expertise and resources.
• Community-based organizations mush also see local governments as partners.

Question to Forum Participants

To what extent should local governments lead a CED process?

THE SOCIAL IMPERATIVE VERSUS THE BUSINESS IMPERATIVE:  Greg MacLeod, Director, Tompkins Institute

Background

According to MacLeod, government decided to make Halifax a growth centre in the mid-1970s. The same thing happened in New Brunswick, where Moncton became the federal growth centre and the north-eastern part of the province was left with high unemployment.   For MacLeod, this is a microcosm of the world: mega-corporations control 30% of the world's assets, and we have mega-cities.

But globalization will affect our major growth centres negatively too.   Is it possible to have a contrary business structure which which is oriented to the survival of communities? The survival of a community requires control over local businesses. The pioneers of the co-op movement knew this.

In the 1960s, there was the community development movement; an advocacy movement to gain better things for communities. Community development organizations survived on grants, and when the government turned to the right, many of these organizations died in Canada.

Today, CED is here. One of the reasons is that we are frightened of globalization. Everybody is talking about CED.   MacLeod doesn't use this term, and feels that the words are essentially useless.  CED means everything, and he prefers to use the term "community business".

The Challenge

The biggest obstacle to community development in the confusion between advocacy and business: the social imperative versus the business imperative. In a social organization, you need mass participation. In a business, you need competence. But this goes both ways: we need businesses that also have a social commitment.

In Canada, the community business sector is negligible, although Québec is an exception.

Question to Forum Participants

What percentage of the local economy do we control?

DISCUSSION

David Douglas, School of Rural Planning and Development, University of Guelph

There is a challenge for all of us in relating co-operatism, volunteerism, community development and CED. Is it time to rethink these threads?

I'm also not as convinced about the downloading - the provinces have not gone given the authority along with downloading. Let's get rid of the term local government. Can we have community government instead?

On Greg MacLeod's comment, if we attempt to control the local economy we should get rid of the term CED, but if we attempt to influence the local economy, let's keep the term. Control is at one end of the spectrum, and influence is at another.

Response from Greg MacLeod

We need to control assets and capital, or we don't control anything. I'm taking about real business.

Response from Lynne Toupin

The co-op sector's control over the economy is shrinking. Maybe we should focus on "Canadian-owned".

Russ Christianson, Canadian Co-operative Association, Ontario Region

The questions are all related. They're all about corporatism. There are many branches of science that look at human systems, and the answer to our survival is that we co-operate. We need to get beyond specific structures and products, and encourage children and citizens to co-operate. How do you get people excited about co-operating with each other? The dot.com entrepreneurs aren't asking.

Seth Asimakos, Saint John Human Development Council

Credit Unions must get back to investing in their communities.

With municipalities, the resources are being cut but they are being asked to do more.

In terms of CED, the Atlantic Canada Opportunities Agency (ACOA) has a CED Fund. But they tell the Saint John Human Development Council that we are too social.

Junior Achievement is growing. It feeds into the push for profit. We need a course on community ethics.

Response from Lynne Toupin

Credit unions are not supporting CED because they are independent. They are focusing on e-com. But, we need to continually push them, especially at the local level.

Regarding Junior Achievement, CCA used to have a program in schools across the country.

Stewart Perry, Centre for Community Enterprise

CED is not just economic, it is also social. But we shouldn't throw out CED. This would discard the idea that only a system of development will make a difference. Individual businesses by themselves will not make a difference - whatever ownership they have. We need a reciprocating system.

Response from Greg MacLeod

I agree with the end. The issue is about the means. We must resist a dog-eat-dog society. The old co-op pioneers said you learn by doing. If you want to change society, you begin by being in business. People learn a new way. If you want to make your society socially responsible, take control over the business.

Joel Lebossé, Pythagore

The issue is who holds the control. Another means in the local government. In smaller communities, the citizens and local government are the same people. In larger municipalities, we want to promote participation in decision-making. So the issue is, whether it be social or economic development, we need participation at all levels.

Colin MacInnes, Co-operative Regional Development Centre

How is change going to happen? How does a community participate in the change process? We have new generation co-ops (such as Mountain Equipment Co-op) that have participation in both governance and financial aspects. They are spreading out and are acting and linking internationally. Some are partnering with non co-operative organizations.

Laval Doucet, Laval University

Originally, the idea was to set the conditions for socio-economic prosperity. CED is community economic development, but economic development is not owned by the community.