CHAPTER III - MEMBERSHIP CHAPTER III MEMBERSHIP Fan nee may have two (2) nds of members twit 4. Regular members; and 2. Associate members. ber nay ‘one who has complied with all the membership requirements and entitled to all the rights and privileges of membership. Associate member It is one who has no right to vote nor be voted upon and shall be entitled only to such rights and privileges as the bylaws may provide: Provided, That an associate who meets the minimum requirements of regular membership, continues to patronize the cooperative for two (2) years, and signifies his/her intention to remain a member shall be considered a regular member. ‘A cooperative organized by minors shall be considered a and must be affiliated with a registered cooperative.t Laboratory Cooperative It refers to a cooperative duly recognized by the Cooperative Development Authority formed and managed primarily by minors, and is affiliated with another registered cooperative which is called the Guardian Cooperative? Guardian Cooperative It refers to a duly registered cooperative to which a Laboratory Cooperative is affiliated with. Minor Icrefers to an individual below eighteen (18) years of age. Affiliation It refers to the act of being formall ined by @ Laboratory Cooperative to a Guardian’ Spore nected tied MP ‘ardian Cooperative. 4 Are 26, PoC 2 MC 2015-03 604CHAPTER III - MEMBERSHIP A cooperative may assist in cooperative of the organization of a laboratory who may be and are actually studying or residing within the nearest area of operati . ; cooperative. eration of the intended guardian Area of Operation It refers to the area where the Guardian Cooperative operates and where the members come from as provided for in its Arti i where the me Pl for in its Articles of Cooperation Purposes of Laboratory Cooperatives A laboratory cooperative shall be organized for any or all of the following purposes: 1. To serve as a training ground for its members to prepare them for membership in regular cooperatives. 2. To teach the values of thrift and saving mobilization among its members. 3. To instill cooperative values, principles, financial discipline, business skills and leadership skills among its members. 4. To promote and advocate Filipino social and cultural values, financial education, ecological awareness and sustainable development? Affiliation A Laboratory Cooperative shall be affiliated with a duly registered cooperative, to be known as the Guardian Cooperative. A Laboratory Cooperative primarily composed of students from a particular school may affiliate with the school's cooperative, if any, or select a cooperative of its choice within its area of operation. If the laboratory cooperative is composed primarily of out-of- school youth minors, it shall be affiliated with a cooperative of its own choice within or nearest its area of operation. Documentary Requirements for the Recognition of Laboratory Cooperative : ‘The Guardian Cooperative shall submit the following documentary requirements to the Cooperative Development Authority for the issuance of a Certificate of Recognition: , ; 1. Articles of Cooperation and By-laws of the Guardian Cooperative stating the acceptance of its responsibilities as Guardian Cooperative; and See ee *me 2015.03, ésCHAPTER III - MEMBERSHIP i f the Guardian Cooperati 2. Resolution of the Board of Directors o! ¢ i accepting its responsibility and liability as Guardian of the Laboratory Cooperative. Manual of Operation . : The Guardian Cooperative shall, in addition, submit a manual of operation for the Laboratory Cooperative, which shall include but not limited to the following: a. Thename ofthe Laboratory Cooperative , b. The purpose/s and business activities for which it is organized; c. The qualifications, rights, duties and responsibilities of members and the procedure to be followed in the termination of membership; d. The area of operation and the postal addresses of Laboratory Cooperative; e. The common bond of membership; The organizational structure of the Laboratory Cooperative which shall likewise indicate the officer/s of Guardian cooperative tasked to supervise/oversee/monitor the laboratory cooperative; g. Duties and responsibilities of officers of the Laboratory Cooperative; h. The rules and procedures on the agenda, time, place and manner of calling, convening, conducting meetings, quorum requirements, voting systems, and other matters relative to the business affairs of the officers and general assembly; The rate of interest on savings and deposit, if applicable; j. Duties and Responsibilities of the Guardian Cooperative; and k. Other matters incident to the purposes and activities of the cooperative. Name of Laboratory Cooperative The Laboratory Cooperative shall include in its name the word “Laboratory Cooperative of (Name of Guardian Cooperative)”. Issuance of Certificate of Recognition A Certificate of Recognition shall be issued by the Cooperative Development Authority upon compliance with all the requirements set forth in these Guidelines. It serves as a conclusive evidence that the Laboratory Cooperative is duly recognized by the Cooperative Development Authority a5 affiliate of the Guardian Cooperative and which shall remain valid unless such recognition has been earlier revoked or cancelled. The issuance of the Certificate of Recognit 0 ignition does not bestow upon a laboratory cooperative a juridical personality. 606CHAPTER II - MEMBERSHIP Certificate of Recognition It refers to the certificate duly issued by the Authority to the Laboratory Cooperative upon compliance with all the requirements set forth in these guidelines. It serves as a conclusive evidence that the Laboratory Cooperative is duly recognized by the Authority as an affiliate of the Guardian Cooperative. Duties and Responsibilities of the Guardian Cooperative The following shall be the duties and responsibilities of the Guardian Cooperative over the Laboratory Cooperative: 1. Formulate the programs, plans, and activities appropriate for the education and training of the members of the Laboratory Cooperative; 2. Supervise the conduct of Officers and General Assembly meetings of the Laboratory Cooperative; 3. Represent the laboratory cooperative in its dealings and transactions with third parties; 4. Formulate, adopt, and implement of internal control policies and procedures of laboratory cooperative which shall be embodied in manual of operation for the Laboratory Cooperative; 5. Prepare, keep, and maintain the list of members; 6. Submit an annual report on the activities and economic operations of the Laboratory Cooperative; 7. Maintain separate subsidiary ledgers, passbooks of members, and other accountable forms; and 8. Adopt and implement a systematic procedure in the collection of savings deposits. Liability of the Guardian Cooperative The Guardian Cooperative shall be liable for any violations committed in the operation of the Laboratory Cooperative. Election of Officers of the Laboratory Cooperative The set of officers of the laboratory cooperative shall be in accordance with the organizational structure of the Laboratory Cooperative as prescribed by the Guardian Cooperative. The Guardian Cooperative shall prescribe the election guidelines governing the election of officers. Termination of Membership The following shall be the causes for termination of membership ina laboratory cooperative: 1. Upon reaching the age of majority (18 years of age); and 2. Such other causes as may be provided for in the By-Laws of the Guardian Cooperative and in the Manual of Operations for the Laboratory Cooperative. 607CHAPTER III - MEMBERSHIP Option of Member who reaches the Age of Majority ‘Any member who reaches the age of majority has the option to joj, the Guardian Cooperative by signifying his/her intention to become » member upon compliance with all the requirements for membership, Supervision by a Guardian Cooperative AGuardian Cooperative may supervise more than one (1) laboratory cooperative. Effect of Dissolution of Guardian Cooperative The dissolution of the Guardian Cooperative shall result in the revocation of the Certificate of Recognition of the Laboratory Cooperative, Government Officers and Employees 1. Any officer or employee of the Authority shall be disqualified to be elected or appointed to any position in a cooperative; Provided, That the disqualification does not extend to a cooperative organized by the officers or employees of the Cooperative Development Authority. 2. All elective officials of the Government shall be ineligible to become officers and directors of cooperatives: Provided, That the disqualification does not extend to a party list representative being an officer of a cooperative he or she represents. Note: For uniform interpretation of the above cited provision, please be advised that the ineligibility of officers and directors of cooperatives shall commence upon their assumption of office. This interpretation is anchored on the fact that an elective officer shall become an elected official only upon commencement of his official functions as public officer.* 3. Any government emplovee or official may, in the discharge of his duties as member in the cooperative, be allowed by the head of office concerned to use official time for attendance at the general assembly, board and committee meetings © cooperatives as well as cooperative seminars, conferences: workshops, technical meetings, and training courses locally ° abroad: Provided, That the operations of the office concern are not adversely affected.5 +c 2011-03 +A 27, POC 608CHAPTER III - MEMBERSHIP Under the afore quoted Provisions, officials as officers of the cooperatives following: 1. Members of the Board of Directors; 2, Members of the different ¢ wemeer® committee created by the general General Manager or the Chief Executive Officer; Secretary; Treasurer; and Members holding other positions as may be provided for the by- laws of the cooperative. itis prohibited to appoint elective which include among others the aaaye Elective officials for purposes of the Cooperative Development Authority includes the National, Local and Barangay elective officials except party list representatives being an officer ofa cooperative he or she represents.6 Application for membership An applicant for membership shall be deemed a member after and shall exercise the rights of member after having made such payments to the sooperative in respect to membership or acquired interest in the cooperative as may be prescribed in the bylaws. In case membership is refused or denied by the board of directors, an appeal may be made to the general assembly and the latter’s decision shall be final. For this purpose, the general assembly may opt to create an the members of which, shall serve for a period of one (1) year and shall decide appeals on membership application within thirty (30) days upon receipt thereof. If the committee fails to decide within the prescribed period, the appeal is deemed approved in favor of the applicant.” Liability of Members ‘Amember shall be liable for the debts of the cooperative to the extent of his contribution to the share capital of the cooperative. Termination of Membership 1. Amember of a cooperative may, for any valid reason, withdraw his membership from the cooperative by giving a sixty (60) day notice to the board of directors. Subject to the bylaws of the cooperative, the withdrawing member shall be entitled to a refund of his share capital contribution and all other interests in swca012- 19 7Are 28, PoC Art 29, cc 609CHAPTER III - MEMBERSHIP the cooperative: Provided, That such fund shall not be made ig Jue of the assets of the cooperative upon such payment the val r would be less than the aggregate amount of its debts ang ital contribution. liabilities exclusive of his share capi 2. The death or insanity ofa member in a primary cooperative, and the insolvency or dissolution of a member in a i may be considered valid grounds for tertiary cooperative iu termination of membership: Provided, however, That in case of death or insanity of an agrarian reform beneficiary-member of a cooperative, the next-of-kin may assume the duties and responsibilities of the original member. 3. Membership in the cooperative may be terminated by a vote of the majority of all the members of the board of directors for any of the following causes: a. When a member has not patronized any of the services of the cooperative for an unreasonable period of time as may be previously determined by the board of directors; b. When a member has continuously failed to comply with his obligations; cc. Whena member has acted in violation of the bylaws and the rules of the cooperative; and d. For any act or omission injurious or prejudicial to the interest or the welfare of the cooperative. A member whose membership the board of directors may wish to terminate shall be informed of such intended action in writing and shall be given an opportunity to be heard before the said board makes its decision. The decision of the board shall be in writing and shall be communicated in person or by registered mail to said member and shall be appealable within thirty (30) days from receipt thereof to the general assembly whose decision shall be final. The general assembly may create an appeal and grievance committee whose members shall serve for a period of one (1) year and shall decide appeals on membership termination. The committee is given thirty (30) days from receipt thereof to decide on the appeal. Failure to decide within the prescribed period, the appeal is deemed approved in favor of the member. Pending a decision by the general assembly, the membership remains in force? Ar. 30, PCC 610CHAPTER III - MEMBERSHIP Allsums computed in accordance with the bylaws to be due from a cooperative to a former member shall be paid to him either by the cooperative or by the approved transferee, as the case may be, in accordance with the Philippine Cooperative Code.1° An 31, PCC 611CHAPTER III - MEMBERSHIP MULTIPLE CHOICE 1, Acooperative may ha a. Regular members b. Associate members c. Allofthe above d. None of the above 2. It is one who has complied with all the membership requirements ang entitled to all the rights and privileges of membership. ve 2 kinds of members, to wit: a. Regular members b. Associate members c. Allofthe above d._ None of the above 3, Itisone who has no right to vote nor be voted upon and shall be entitled only to such rights and privileges as the bylaws may provide. a. Regular members b. Associate members c. Allofthe above d. None of the above 4. LA cooperative organized by minors shall be considered a laboratory cooperative and must be affiliated with a registered cooperative Il. An associate who meets the minimum requirements of regular membership, continues to patronize the cooperative for 3 years, and signifies his/her intention to remain a member shall be considered a regular member. a. Only lis true b. Only Ilis true c. Both are true d. Both are false 5. It refers to a duly registered cooperative to which a Laboratory Cooperative is affiliated with. a. Guardian cooperative b. Laboratory cooperative ¢. Principal cooperative 4. Subsidiary cooperative Alaboratory cooperative shall be organized for any or all of the following purposes: a. To serve as a training ground for its members to prepare them for membership in regular cooperatives, b. To teach the values of thrift and saving mobilization among its members, To instill cooperative values, i ial discipline, ‘ , principles, financial discipli business skills and leadership skills amon, members. 612 ©CHAPTER III - MEMBERSHIP 10. 11. d. Allofthe above. IL The dissolution of th. revocation of the Certieste ot laces an ranattiny Cooperative. ©f Recognition of the Laboratory a. Onlylis true b. Only His true Botharetrue d. Both are false 1. Any officer or employee of the CD, i f (A shall be i or appointed to any position in a cooperative. Sealieiobecent IL All elective officials of the Gi i officers and directors of cooperatives egble become a. Only lis true b. Only lis true c. Bothare true d. Both are false L Anapplicant for membership shall be deemed a member after approval of his membership by the general manager. IL In case membership is refused or denied by the board of directors, an appeal may be made to the chairperson and the latter's decision shall be final. a. Only lis true b. Only Ilis true c. Bothare true d. Both are false LA member shall be liable for the debts of the cooperative to the extent of his contribution to the share capital of the cooperative. IL A member of a cooperative may, for any valid reason, withdraw his membership from the cooperative by giving 30 day notice to the board of directors. a. Only lis true b. Only lis true c. Bothare true d. Both are false + insanity of a member in a primary cooperative may be ination of membership. considered valid grounds for termination of me " IL The insolvency or dissolution of a member in a secondary or tertiary ic for termination of cooperative may be considered valid grounds for o membership. a. Only listrue I. The death o1 613CHAPTER III - MEMBERSHIP 12. 13. b. Only Ilis true c. Bothare true d. Both are false Membership in the cooperative may be terminated by a vote of the majority of all the members of the board of directors for any of the following causes, except: a. When a member has not patronized any of the services of the cooperative for an unreasonable period of time as may be previously determined by the board of directors; b. When a member has continuously failed to comply with his obligations; c. When a member has acted in violation of the articles of incorporation; and d. Forany act or omission injurious or prejudicial to the interest or the welfare of the cooperative. 1. A member whose membership the board of directors may wish to terminate shall be informed of such intended action in writing and shall be given an opportunity to be heard before the said board makes its decision. |. In case of death or insanity of an agrarian reform beneficiary-member of a cooperative, the next-of-kin may assume the duties and responsibilities of the original member. a. Onlylistrue b. Only lis true . Botharetrue d. Bothare false 614