Question & AnswerQ&A (CDA Memorandum Circular No. 2015-05)
The guidelines are titled "Guidelines For The Registration of Agriculture Cooperative."
These guidelines are pursuant to Republic Act No. 6939 and Republic Act No. 9520.
The declared policy is to foster the creation and growth of cooperatives as a practical vehicle for promoting self-reliance and harnessing people power towards economic development and social justice.
The guidelines provide for the orderly registration of proposed primary agriculture cooperatives in compliance with RA 9520, its Implementing Rules and Regulations, and other pertinent laws.
The guidelines cover proposed primary agriculture cooperatives engaged in raising or culture of plants, animals for gainful objectives.
An Agriculture Cooperative is a primary cooperative whose members are involved or engaged in raising or culture of plants, animals, fungi, and other living organisms for productive and economic purposes, including related activities that lead to cost reduction or value addition of outputs.
At least fifteen (15) or more natural Filipino citizen persons having a common bond of interest and residing or working in the intended area of operation are required for registration.
The authorized share capital must be stated in the Articles of Cooperation; at least 25% of the authorized share capital must be subscribed by members, and at least 25% of the subscribed capital must be paid prior to registration. The paid-up capitalization must not be less than Fifteen Thousand Pesos (₱15,000.00).
Documents include the original Cooperative Name Reservation Notice, Economic Survey, signed Articles of Cooperation and By-Laws, Treasurer's Affidavit, Surety Bonds of Accountable Officers, Certificate of Pre-Membership Seminar, undertakings related to compliance with auditing/accounting standards and other regulatory requirements, Tax Identification Numbers of cooperators, and payment of registration fees.
Activities include raising and culture of plants and animals, procurement of farm inputs, processing and marketing of members' products, and other activities that reduce cost or add value to outputs. They may also provide allied services like storage and transport of members' products.
The cooperative's name must include 'Agriculture', 'Cooperative', 'Kooperatiba', or 'Kooperatiba' and specify the type of cooperative. Names identical or confusingly similar to existing cooperatives, or that use prohibited words such as 'Incorporated', 'Corporation', 'Federation', or 'Union' (except under certain conditions) are not allowed.
Bond of Membership refers to the condition linking members to the cooperative which can be residential (farmers physically residing in the area), occupational (those engaged in raising and culture of plants or animals), or associational (members from a registered association or group).
Dual membership within the same area of operation is allowed only if provisions are included in the cooperative's by-laws and consent is obtained from the other cooperative involved.
Persons required to be bonded include the Chairperson, Treasurer and Cashier, Manager, Warehouseman, Loan/deposit Collectors, signatories of checks, and other authorized custodians of funds or assets.
No member may own more than ten percent (10%) of the subscribed share capital of the cooperative.