Membership Policy
Membership Policy
Membership Policy
MEMBERSHIP POLICY
Article I
DECLARATION OF POLICY
This policy paper provides guidelines governing membership in the Barangay Bautista
Agriculture Cooperative drawn from CDA regulations, pertinent provisions of BBAC Bylaws, and
other policies and procedures as approved by the Board of Directors.
Article II
WHO CAN BECOME A MEMBER
Membership of BBAC is a privilege extended to farmers of Labo Camarines Norte, particularly
to the farmers of barangay Bautista with the following conditions:
Regular Members - only land owner, tenant, farm worker and agricultural products
vendor are qualified to become Regular Members of the Cooperative.
Article III
ENTITLEMENT OF MEMBERS
Section 1. Entitlements of Regular Members.
Article IV
HOW TO BECOME A MEMBER
Land Owner, tenant, farm worker and agricultural product vendor from Labo Camarines Norte
can apply for membership through the following procedure:
Article V
DUTIES OF A MEMBER
Every member shall have the following duties:
1. Fully pay the capital stock subscribed and participate in the continuous capital build-up
of the Cooperative.
2. Patronize the Cooperative business.
3. Participate in its parliamentary affairs (for Regular Members).
4. Attend membership meetings.
5. Obey rules, regulations, and policies set by the Board, the BBAC Bylaws, the General
Assembly, and the Cooperative Development Authority.
6. Pay cooperative obligations (e.g mandatory monthly capital build-up, savings, loan
payments, etc.) without the need for reminder.
7. Promote the aims and purposes of the Cooperative and the success of its business.
Article VI
SHARE CAPITAL
The main source of funds of the Coop comes from members’ share capital contributions. One
share has a par value of P100.00.
At year-end, the Coop shall send members a statement to confirm his/her outstanding balance
of loans and paid-up share capital contribution. This confirmation is also in preparation for the
annual computation of dividends on share capital and patronage refund.
Article VII
DIVIDENDS AND PATRONAGE REFUND
1. Upon completion of the external audit, the Board of Directors deducts the mandatory
reserves (10% General Reserve Fund, 1% Education Fund, 3% Community
Development Fund, 3% Optional Fund for land and building) from the annual surplus to
determine the net surplus for distribution.
2. Dividing the net surplus available for distribution into dividend and patronage refund is
presented for approval of the Board of Directors. This ratio determines the amount that
will be paid out as dividends and the amount that will be paid out as patronage refund.
3. Dividends Rate is computed in the following manner:
1.
Total Share Months – this is computed by adding the monthly balances of
each member’s share capital for 12 months.
Average Share Capital – this is computed by dividing the Total Share
Months by 12.
Total Average Share Capital – the average share capital of all members
are added together.
Dividend Rate- the net surplus available for distribution as dividend is
then divided by the Total Average Share Capital to get the dividend rate.
4. The Patronage Refund Rate is computed by dividing the net surplus available for
distribution as patronage refund by interest income from loans.
5. Patronage refund paid to each member is calculated by computing the interest members
paid on all loans for the entire year. Patronage Refund Rate is applied to Interest
payment.
6. Coop Bylaws provide that dividend and patronage refund can be paid out or retained.
7. Actual payment of dividends and patronage refund is affected at such time as the Board
of Directors may designate.
8. Members with past due loans may receive dividends and patronage refund but will be
deposited directly to their Share Capital.
9. Members who terminate their membership will be entitled to receive dividends on a pro-
rated basis. Unclaimed dividends and patronage refund are closed to the General
Reserve Fund after the 4-year prescription period provided by law.
REPUBLIC OF THE PHILIPPINES
PROVINCE O CAMARINES NORTE
MUNICIPALITY OF LABO
oOo
BARANGAY BAUTISTA ABRICULTURE COOPERATIVE
Purok 3, Barangay Bautista Labo, Camarines Norte
CDA Reg. No.9520-100500035297
Article VIII
TERMINATION OF EMPLOYMENT/MEMBERSHIP
Membership Status to the Cooperative is changed by either of the following:
2. Expulsion – a member 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 the products of the Cooperative for an
unreasonable period of time as may be fixed by the Board.
b. When a member has continuously failed to comply with his obligations.
c. When a member has acted in violation of the Bylaws and the rules of the
Cooperative.
d. For any act or omission injurious or prejudicial to the interest or the welfare of the
Cooperative.
Prepared by:
Signed by:
_____________ __________________
Andy B. Rocas Camilo P. Relaga
BOD BOD
______________________ _______________________
Gerry Vic L. Villaluz Lope P. Villaluz
BOD BOD
_____________________
Isabe B. Valenzuela
Chairman of the Board