Director,
T.E.(Terry)
Manning,
Schoener 50,
1771 ED
Wieringerwerf,
The Netherlands.
Tel:
0031-227-604128
Homepage:
http://www.flowman.nl
E-mail:
(nameatendofline)@xs4all.nl : bakensverzet
and
"Money is not
the key that opens the gates of the market but the bolt that bars them"
Gesell, Silvio The
Natural Economic Order
Revised English edition,
Peter Owen,
“Poverty is created scarcity”
Wahu Kaara, point 8 of the Global Call to Action Against Poverty, 58th
annual NGO Conference, United Nations,
05.07 Statutes of the NGO[name] for the on-going management
of the project structures.
STATUTES OF THE COOPERATIVE ASSOCIATION NAMED
COOPERATIVE FOR KIOGORO
KENYA
INTRODUCTION
To set the bases for self-financing ecological sustainable development in
the Kiogoro area, Kisii Central District,
(hereafter «the project area »),
Considering
the supply of structures such as those foreseen in the Millennium Development
Goals (MDGs) adopted in 2000 to reduce the proportion of the population without
access to safe drinking water by 50% by 2015,
and the decisions taken in Johannesburg in 2002 during the World Summit
on Sustainable Development (WSSD) to reduce the number of people without
sustainable sanitation services by 50% and to promote efficient and integrated
management of water resources
Considering
the improvement of the quality of life of the inhabitants in the project area
is not limited to clean drinking water and sanitation facilities but also
requires, by way of example, the
creation of social, financial, productive and services structures including
hygiene education, sustainable recycling of organic and inorganic wastes, local
Money systems, interest-free micro-credit systems for productivity increase,
facilities for the local production of most of the items necessary for basic project structures, lighting systems
for study purposes, local production of high efficiency cookers to eliminate
smoke hazards inside and around homes and of mini-briquettes for their
operation, water harvesting systems, school construction, nursing centres,
medicine distribution points, bicycle ambulance services, food storage
facilities, grain mills (all together amongst others hereafter referred to as
«the structures »)
To
create the structures and support their permanent management by the local
populations themselves
AAAAA(complete
details)
BBBBBB (complete details)
CCCCCC (complete details)
(hereafter “the signatories”)
have
drafted an integrated project for the improvement of the quality of life of all
of the inhabitants in the project area called “Kiogoro Integrated Development
Project” (hereafter “the project”) which is attached to and forms an integral
part of this document.
Considering
that passage from the executive phase of the project during which the
structures are created to the phase of their on-going management requires the
formation of a permanent cooperative
association to take full responsibility for the structures and their exclusive
ownership
the
signatories hereby create a non-profit humanitarian cooperative association called
Cooperative for Kiogoro in accordance with law number [law] and the rules
applying in
CHAPTER 1 : NAME – SEAT –
DURATION
Article
1 : A non-profit apolitical cooperative association named Cooperative for
Kiogoro (hereafter «the association »)
is hereby created.
Article
2 : The association has its seat in Kiogoro.
The seat can be transferred elsewhere at the decision of the Central
Commission.
Article
3 : The association is created for an unlimited period of time.
CHAPTER II : GOAL AND MEANS OF
ACTION.
Article
4 : The goal of the Association is the on-going management of the structures,
of which it will become sole owner, following their creation under the
framework of the project.
Article
5 : The Association may use any legal means it may consider necessary to reach
its goal.
Article
6 : The association is a non-profit charity.
CHAPTER III : MEMBERS
Article
7 : The association is made up of all the inhabitants, without exclusion ,
living in the project area who enjoy civil and moral rights, without
distinction of sex, race, or political or religious convictions.
Membership
of the association is automatic subject to legal residence in the project area
and to payment of an individual monthly membership fee into the Local
Cooperative Development Fund described in article 43. (hereafter «the
contributions»)
Article
8 : Membership is terminated by :
-Departure
from the project area,
-Death
-Non-authorised default in the payment of the contributions.
CHAPTER IV : ORGANISATIONS –
OPERATION
Article
9 : The organs of the Association are:
-The
central committee.
-The management,
-The well commissions.
-The tank commissions.
-The audit commission.
THE
CENTRAL COMMITTEE
Article
10 : The Central Committee is the supreme organ (‘the Parliament’) of the
Association. It is composed of one representative chosen for a period of three
years by the members of each well commission in the project area. It meets at
least once a year in ordinary sitting and from time to time as necessary on the
request of the management or of 50%+ 1
of the members of the Central Committee itself or of 50%+1 of the well commissions or of 50%+1 of the tank commissions or of 50%+1 of the
members of the Association.
The
Central Committee is charged with:
-Definition of the policies of the Association.
-Ownership on behalf of the inhabitants in the project area of all real and
personal property connected with the structures and their management
-Regulate the methods of management of the structures and supervise their
management.
-Elect for a period of one year the members of the project Management and of
the Audit Commission and supervise the activities of the project management.
The Central Committee can release the project management from its duties at any
time. In the absence of serious professional misconduct, the Central Committee
may replace the Audit Commission only on the occasion of its annual renewal.
-Wind the Association or any of its other organs up.
-Decide on any problems which is not expressly the responsibility of the
management or any other organ of the association.
-Resolve all litigation relating to the project.
-Nominate as it may consider necessary permanent or ad hoc commissions or
representatives including those with investigative tasks.
-Deliberate individually on every decision connected with real property
owned by the Association.
-Deliberate individually on every purchase and/or investment and/or sale of
personal property of the association for a value equal to or greater than Euro 15.000.
Article
11: The Central Committee elects one of its members Chairman for a period of
three years, and a secretary who may be nominated for a full period of three
years or on the occasion of each meeting.
Article
12: The Central Committee represents the Association. It may delegate some of
its tasks to a general management which it elects and the activities of which
it controls.
Property
of the Association is held in the name of
Cooperative for Kiogoro "the
Central Committee"
Property of the well commissions is held in the name of Cooperative for Kiogoro "the Central Committee for the account
of the [well commission in question]"
Property of the tank commissions is held in the name of Cooperative for
Kiogoro " the Central Committee for
the account of the [tank commission in question]"
Ownership of the local money structures is held in the name of Cooperative for
Kiogoro " the Central Committee for
the account of [the local money
structures]"
Ownership of the micro-credit structures is held in the name of Cooperative for
Kiogoro “the Central Committee for the
account of the [the micro-credit structure]"
And
so on for all of the structures set up during execution of the project.
Article
13 : Members of the Central Committee are paid under the local Money systems
set up by the project by the well commissions who elect them. Their retribution
may vary from one member to another according to the decision of the well
commission that elects them.
The
Chairman and the other officers such as the Secretary, the Treasurer etc
nominated by the Central Committee receive supplementary payments under the
local money system at the decision of the Central Committee itself. These
payments are equally distributed amongst the well commissions.
The
administrative costs of the general management are expressed in local money and
equally distributed amongst the well commissions.
Eventual
formal Money costs of the Central Committee are covered by part of the monthly
payments made by the members of the Association into the Cooperative Local
Development Fund.
Article 14 : Decisions of the Central
Committee are taken in the presence of at least
2/3 of its members. They are valid with a majority vote of at least 50%
+ 1 of 100% of the members of the Central Committee.
A
second meeting of the Central Committee will be convened within 2 weeks where 2/3 of the members are not
present at the first meeting.. During this second meeting members may decide in
the presence of 50% + 1 of 100% of the members of the Central Committee. The
decisions are taken with a majority of
at least 50% + 1 of 100% of the members of the Central Committee..
Should
50%+1 of the members not be present at the second meeting or should a majority
vote of 50%+1 of 100% of the members not be reached, the Central Committee is
automatically and immediately dissolved and the well commissions each elect, on
immediate invitation of the ex-Chairman of the Central Committee or his
replacement or replacements, a new
representative (different from the preceding one) to the Central
Committee.
Article
15 : Decisions of the Central Committee are noted in minutes and read to the
meeting before the close of the meeting. After approval by the meeting they are signed by the Chairman and the
person chosen as secretary for the meeting and by any three other members
present at the meeting.
Article
16 : The Central Committee may request all assistance, in principle but not
necessarily free of charge, in the form of
technical and other consultancy by the Project Coordination team during
the first two years of management of the structures. During the third and up to
and including the tenth year of
management of the structures, the Central Committee may request all assistance,
in principle but not necessarily free of charge, in the form of technical and
other consultancy from the Project Coordination team.
THE
GENERAL MANAGEMENT
Article
17 : The General Management of the Association is responsible for the
supervision of the day to day running of the project structures. It is the
organ responsible for the execution of the decisions of the Central
Committee. It drafts the rules and the
budget of the Association and submits them to the Central Committee for
approval.
It
submits proposals for new policy and proposals for reaching the goals of the
Association and proposals for the exclusion of members to the Central
Committee.
It
submits the annual programme of activities of the Association to the Central
Committee for approval.
It
records the status of inventories, accounts, and budget documents submitted to
the Central Committee.
It
opens and operates all bank accounts including current accounts in the name of the Association on behalf of
the Central Committee.
It
answers to the Central Committee and informs the Audit Commission of its
activities, payments and receipts.
Elected
in principle each year by the Central Committee, the General Management
comprises
-A general
manager who is responsible for the good day to day running of the Association.
He is responsible for taking all measures necessary for the life and operation
of the Association according to the statutes of the Association and to the
instructions received from the Central Committee. He is chosen once a year and
his nomination is renewable indefinitely.
-A
general secretary who is responsible for the archives of the Association. He is
responsible for correspondence and administrative affairs.
-A treasurer
who is responsible for the material and financial patrimony of the Association.
He collects the funds of the Association and is responsible for their
management.. He co-signs payments authorisations together with the General
Manager. He submits a financial report each year and a financial budget at the
close of his period of office to the Audit Commission, to the central
Committee, and to other persons eventually indicated by the General Manager, by
the Audit Commission, or by the Central Committee .
Article
18 : The members of the General Management are paid under the local money
system set up by the project. They are paid in the name of the Central
Committee, which is in turn reimbursed by way of equal distribution of the
costs amongst the Well Commissions.
Formal
Money costs of the General Management are to the charge of the Central
Committee. They are covered by a part of the monthly contributions paid by the
members into the Cooperative Local Development Fund.
Article
19 : The General Management receives at its own request, in principle but not
necessarily without charge, assistance in the form of technical advice from the Project Coordination team and/or its
consultants during the first two executive years of project execution. From the
third year of project management up to and including the tenth year, in
principle but not necessarily free of charge, assistance and technical advice
from the Project Coordination team.
THE
WELL COMMISSIONS
Article 20: Every well/bore hole area comprises:
- The well or bore hole itself
- The backup hand pump installation
- The washing area
- The enclosure for PV systems and supports (the pumps themselves, their PV
panels supports and accessories belong to the tank commissions)
- A guard system for the PV installations
- A building for the registration of local money LETS transactions.
And, with the passage of time, various public health and education
structures.
The well commission, elected by the tank commissions,
supervises the use of the structures common to the water supply system, and
carries out minor maintenance operations such as cleaning washing areas, well
areas, and backup hand pump systems. The well commission also regulates use of
the well area in case of crisis or calamity. It collectively receives a small
monthly payment in the local LETS currency which it is free to spend as it
wishes. Since women enjoy the greatest benefits from the execution and on-going
management of the project, they should provide most of the well commission
members.
The well commission will nominate one of its members
to liaise with the system maintenance structures set up and with those
responsible at tank commission level for maintenance.
The well commissions will nominate a female candidate
from their own area to monitor the cooperative inspection of the sanitation,
rainwater harvesting, and cooking facilities carried out at tank commission
level, and arrange for her training.
Article
21 : Each well commission nominates a representative to the Central Committee
and pays the representative for his/her work at its own discretion under the
local Money system set up by the project. It distributes the local Money costs
on an equal basis amongst the tank commissions it serves. The representative
may be chosen by the well commission amongst its own members or amongst the
inhabitants in the well commission area. The representative is chosen for one
year, renewable from year to year.
Article
22 : Well commission members are elected one by each tank commission served by
the well commission. The well commission members are chosen for one year,
renewable from year to year.
Article
23 : Each well commission nominates one of its members as Chairperson, and
another as secretary. It can also nominate persons with other specific tasks at
its own discretion.
Article
24 : The well commissions meet at least once a month or more often as required.
Each well commission meets also at the request of 50%+1 of its members or 50%+1
of the tanks commission it serves or 50%+1 of the members of the Association it
serves.
Article
25 : All of the members of the well commission must be present at a first call
of a meeting. In the absence of one or more members, a second call is made
within 7 days. At the second call 50%+1
of the well commission members must be present.
Article
26 : : Decisions taken by well commissions are valid at the majority decision
of at least 50% + 1 of 100% of their members.
In
the absence on second call of 50%+1 of the well commission members or in the
absence of a majority vote of at least 50%+1 of the members, the well
commission in question is automatically dissolved and the tank commissions it
serves each elect, at the invitation of the ex-Chairperson of the Well
Commission or of the person or persons who replace the Chairperson, a new
representative different from the preceding one to the well commission.
Article
27 : The services of the well commission members are paid under the local money system set up by the project. Since
women benefit most from the project services, it is expected that most of the
well commission members be women. Each tank commission decides the salary its
representative on the well commission receives.
THE
TANK COMMISSIONS.
Article
28 : The tank commissions are the heart of the project management..
All
activities will be carried out by the users themselves. The structures are
worked out during the organisational workshops foreseen. The following is what
might expect to result from the workshops.
The tasks of the Tank Commission are numerous
and include, by way of example,:
- Analysis of the local situation (200 people - 20 extended family groups)
- Definition of the local issues and problems
- Liaison with the Health Clubs already established
- Liaison with the local currency LETS systems about to be formed
- Organisation of monthly users' meetings
- Identification of the best projects for Micro-credit development loans
- Setting priorities for Micro-credit loans
- Deciding the priorities for positioning the wells and washing places, with
special input from women's groups
- Deciding the positioning of tanks and water pipeline routes
- Deciding priorities for the positioning and installation of sanitation units
- Deciding the pot sizes for stoves and solar cookers
- Liaison with the compost collection and recycling network
- Liaison with the grey water/urine collection and recycling network
- Planning what can be done by the local people themselves at the normal ruling
daily rate of pay (which is usually about Euro 3 per person per day) and what
can be done in the local LETS currency
- Systematically monitoring project progress and on-going administration with
the users' commissions (comprising mostly women)
- Organising daily maintenance of the tank areas, rules of use
- Managing any local disputes relating to the project
- Collection of the monthly contributions to the Cooperative Development Fund
- Nomination of participants to various organisational workshops
- Proposals for the support of families with difficulty in making their
contributions
Article
29 : Each tank commission nominates a
representative to the well commission to which it refers and pays its
representative under the local Money system set up by the project. The amount
paid to the representative is decided by the tank commission and is equally
distributed amongst all of the members of the Association served by the tank
commission. The representative to the well commission may be freely chosen
amongst the members of the tank commission itself or amongst the members of the
Association served by the tank commission. The representative is chosen for a
period of one year, annually renewable.
Article
30: The tank commission members (at
least 3) are chosen directly by the members of the Association served by the
tank commission for a period of one year, annually renewable. The members of
the Association served by each tank commission decide in meeting with a vote of
at least 50%+1 of the Members how many members their tank commission will have.
Article
31 : Each tank commission nominates amongst its members a Chairperson and a
secretary. It may nominate other members to carry out specific tasks as it
thinks fit.
Article
32 : The tank commissions meet at least once a month. Or more frequently as
required. They also meet at the request of 50%+1 of their members or at the
request of 50%+1 of the members of the association served by the tank
commission.
Article
33 : All of the tank commission members must be present at a meeting on first
call. In the absence of one or more members, a second call for the meeting is
made within 7 days. At least 50%+1 of the members of the commission must be
present on second call.
Article
34 : Decisions taken by the tank commissions take effect with a majority vote
of at least 50%+1 of 100% of the tank commission members.
Article
35 : In the absence of 50%+1 tank
commission members on second call or in the absence of a majority vote of at least 50%+1 of the tank commission
members, the tank commission is automatically and immediately dissolved and the
members of the Association served by it
elect, at the immediate invitation of the ex-Chairperson of the tank
commission or the person or persons who replace the chairperson, a new tank
commission.
Article
36 : The services of the tank commission members are paid under the local Money
system set up by the project. Since women benefit most from the project
structures, it is expected that a majority of the tank commission members be
women. All of the tank commission members receive the same basic payment,
decided by the tank commission itself on the basis of the indications given by
the elected commission members to the members of the Association during their
election campaigns. The local Money costs of the tank commission members are
divided equally amongst all of the members of the Association served by the
tank commission in question.
Article
37 : The Chairperson, the Secretary, the Treasurer and other officers of the
tank commission receive an extra local
money retribution for their specific tasks at the decision of the tank
commission itself, taking into account any indications given by elected members
during their election campaigns. The supplementary payments are divided equally
amongst all of the members of the Association served by the tank commission in
question.
THE
AUDITING COMMISSION
Article
38 : The activities of the Association are placed under the control of an
independent auditing commission. The auditing commission may include, by way of
example, a former national auditor general (chairperson) ; accountants of the
founding parties, a representative of the regional association of NGOs , a
representative of the National Federation of NGOs of the host country; a
representative of the [Rural Development Ministry], a representative of the [Ministry of
Finance].
The
members of the auditing commission are elected by the Central Committee for a
period of 12 months, renewable for a maximum of two periods for a maximum
consecutive period of three years’ continuous tenure. For each year of tenure,
the members must wait one year before seeking re-election to the auditing
commission.
Article
39 : The Central Committee may only discharge the Auditing Commission on
presentation and acceptation of the annual
report and balance sheet of the Association
for the year in question.
Article
40 : Payment where necessary of the auditing commission is made where possible
under the local Money system set up by the project. The costs are equally
distributed amongst the well commissions who distribute their costs equally
amongst the tank commissions they serve who distribute their costs equally
amongst the members of the Association they serve.
Formal
money payments, where necessary, for members of the auditing commission are
paid out of administration account reserves which are part of the Cooperative
Local Development Fund formed by the monthly contributions made by the members
of the Association.
Article
41 : The auditing commission answers exclusively to the Central Committee. It
has full rights on inspection without notice of all the activities of the
management of the Association and of all accounts and documents of the
Association.
CHAPTER V : FINANCIAL
PROVISIONS.
Article
42 : The resources of the Association come from:
a)
Within the framework of the local Money LETS systems set up during execution of
the project, for the amounts for salaries and management costs decided by the
various above-described organs of the association:
-
for costs at Central Committee, auditing commission and project management
levels, equally amongst all of the members of the Association
- for costs at well commission level, equally amongst all of the members of the
Association served by the well commission in question
-
for costs at tank commission level, equally amongst all of the members of the
Association served by the tank commission in question
-
for costs of other organs set up during the course of the management of the
project, equally amongst all of the member of the Association served by the
organ in question.
b)
Within the formal money system, by the compulsory monthly contributions made by
the members of the Association into the Cooperative Local Development Fund, in accordance
with the indications given by the organs of the Association in the course of
the execution of their duties. The Cooperative Local Development Fund also
includes reserves specifically destined to cover administration and maintenance
costs, spare parts, social support and micro-credit structures and unforeseen costs.
c)
Within the formal Money system, voluntary monthly contributions made by groups
of members of the Association in
specific use funds such as cooperative purchasing groups; health funds,
education funds, cooperative insurance funds etc.
d)
Contributions from national or international organisations
e)
Revenues from eventual commercial or
promotional activities.
f) Testamentary donations and provisions.
g)
Any other legal contribution of right the Association may have.
Article
43 : The Cooperative Local Development Fund.
Each
extended family of ten in the project area makes a monthly payment of Euro 6 or
Euro 0,60 per person, subject to increase to Euro 0,75 per person after the first
three years of operation ,into the association’s Cooperative Local Development
Fund. Family savings from the use of the various services made available by the
project are expected to exceed the monthly contribution. The payments, with
80.000 members of the Association provide an average annual total of Euro
[360.000] of which about Euro [100.000] is reserved for the management of the
project structures. The remaining part
(Euro [260.000]) per year is continuously recycled for interest-free micro-credits.
After ten years, taking into account an increase to [Euro 0,75] per person per
month after 4-5 years’ operation and the reimbursement of the repayment of
initial credits made for productive facilities the fund will reach at least
[Euro 3.750.000]. During that period each family will have received on an
average at least Euro [2.600] in micro-credits in support of productivity
increase.
Article
44 :One or more bank accounts will be opened in the name of the Association
with a bank institution in [place]. Separate accounts may be opened at the
decision of the General Manager or at
the decision of the Central Committee for the operation of specific funds and
activities.
Article
45 : All withdrawals of funds from bank accounts requires the signatures of the
treasurer and the General Manager. Withdrawals equal to or higher than [Euro 5.000] require to extra signature of
the Chairperson of the Central Committee. Withdrawals equal to or higher than [Euro 15.000] are subject to a specific
authorisation by the Central Committee.
Article
46 : The annual balance sheet at 31st
December each year is submitted within 120 days for the approval of the Central
Committee.
Article
47 : The budget for the next following period of 12 months is submitted for the
approval of the Central Committee on or before the 30th October each year.
CHAPTER VI : ALIENATION OF
PROPERTY
Article
48 : The project is cooperative in.nature. Real and personal property of the Association
is the collective property of the Members of the Association. It is in
principle inalienable. It is transferable only under circumstances expressly
foreseen under these statutes in the interests of good management without risk
to the cultural, social and economic integrity of the members.
Article
49 :Transfer of property of the Association to foreign or foreign owned
persons, companies or organisations is prohibited.
Article
50 :Transfer of property of the Association to persons, companies or organisations
resident outside the project area is prohibited.
Article
51 :Transfer of property of the Association to companies or organisations or
informal businesses inside the project area which make use of employer-employee
relationships is prohibited.
Article
52 Transfer of property of the
Association to cooperatives, family interests, and individuals without
employer-employee relationships is permitted
subject to a formal undertaking, backed by a penalty clause, from the
buyer/s not to subsequently establish an employer-employee relationship.
Article
53 :Transfers of property of the Association as foreseen in article 52 are
subject to inclusion of a first option for the Association to buy the property
in question back at a fair market price in case of on-sale, and to provisions
ensuring the application of articles 49-
CHAPTER VII : FINAL
PROVISIONS.
Article
54 : The first book year of the Association terminates on [date].
Article
55 : The provisions of these statutes may be modified only by vote after
discussion by the Central Committee with a majority of at least 65% of 100% of
the members of the Central Committee.
Article
56 : In the event of winding up of the Association, the distribution of its
possession will be decided by the Central Committee.
Article
57 : Provisions not foreseen in these statutes will be included in the internal
regulations of the Association to be submitted by the General Management, once
it is chosen by the Central Committee, will prepare and submit to the Central
Committee for approval.
Article
58 : These statutes take effect on the date they are signed by the founding
parties.
Article
59 : The law of
Article
60 : Any litigation involving the Association or arising from these Statutes
will be referred to the court in Kisii.
CHAPTER VIII: TRANSITORY
PROVISIONS.
Article
61 : Until to commencement of execution of the project all of the costs of the
Association and the costs of all legal formalities involving the Association
are to the charge of the founding parties.
Article
62 : After the commencement of execution of the project and prior to the
formation of the first Central Committee of the Association all of the costs of
the Association and the costs of all legal formalities involving the
Association are to the charge of the project.
Signed
in [place] [date]
Assembly
of the founding parties
Attachment
: Full documentation for the project Kiogoro
Integrated Development Project
Next file :
05.08 Statutes of the NGO Project New
Horizons for Kiogoro for the execution of the project structures.
Back to:
05.06 Summary of the project structures.