October is Co-op Month- Cooperatives enhance people's lives
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October is Co-op Month: Cooperatives enhance people's lives

Cooperatives are special! Cooperative people are special! There is no other business model in which the customer has such a direct voice in the operations of the business, or shares in the economic success of the business.

October is National Co-op Month. I remember that my first experience with cooperatives happened when I was a child. I opened an account at a credit union by depositing the money for a load of wheat sold at the local farmers' co-op. As a boy and young man, I remember my father and grandfather talking about the challenges associated with grain marketing.

Our forefathers knew there had to be a better way to enhance their marketing opportunities and farming operations. Hence, the formation of grain co-ops and credit unions as well as rural electric cooperatives and rural telephone companies. Those people who pooled their resources to organize cooperatives knew that they could enhance their livelihood by forming member-owned/member-controlled cooperative businesses. Time has proven that they were correct. Cooperatives in Kansas have been successful for more than 100 years.

Co-ops are just as important today as when they were first formed. Most of the cooperatives in Kansas are still governed by the tried and true principle of one member, one vote, thereby giving every member a voice in co-op governance.

Also today, the co-ops still are a valuable business, and sometimes the only business in their communities. The property and sales taxes generated are significant for the communities; the jobs created provide local people with a livelihood and are the lifeblood of rural Kansas. And the cooperatives have been successful in providing the services needed in our rural communities.

One of the biggest benefits is that the profits of the cooperative are returned to the members who own and use the co-op. Kansas cooperatives return thousands, hundreds of thousands, and in some cases millions of dollars back to the patrons in the form of patronage refunds and equity retirements.

I am very proud to be associated with cooperatives. The people involved in cooperatives are special. We can look at cooperators that have been inducted into the Kansas Cooperative Hall of Fame as an example of leaders who helped the cooperative system evolve into what we see today--people like Arthur Capper, Jimmie Dean and Kent Stamper. By no means, however, are they the only people who have had an impact on the development and growth of cooperatives. Every member and every employee has played a part in the cooperative growth that we have seen in our lifetime.

The purpose of co-ops has not changed and still, today, co-op members know that they can do together what would be difficult to accomplish individually. Granted, today most co-ops are much more complex and sophisticated, and look entirely different than they did decades ago when I first opened that credit union account, but their purpose is still to enhance the livelihood of their members and the communities in which they serve.

--Steve Magette, chairman, Kansas Cooperative Council. Magette oversees the ag operations at the Dodge City Cooperative Exchange in Dodge City, Kan.

10/6/08
6 Star Midwest Ag\4-B

Date: 10/1/08


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