Seward Co-op Ownership Stock Increase Ballot Proposal

This year’s Board of Directors election ballot will include a proposal to change full owner equity from $75 to $99 by increasing the number of ($3) Class A voting shares from twenty-five (25) to thirty-three (33).

The current $75 owner equity has not changed since it was established in 1987—the equivalent of $208 today and is significantly lower than most other Twin Cities area co-ops. This proposal gives our owners a vote to strengthen the co-op’s financial position for years to come.

Please keep an eye out for future communications and opportunities to connect and ask questions about this upcoming ballot initiative.

FAQ

If this ballot initiative passes, when will the increase go into effect?

The ownership increase would go into effect on January 1, 2026.

I am already an owner. Will I need to pay the remaining $24 to make my ownership “paid in full”?

All owners will be required to pay the remaining $24 to make them “paid in full.” This can be done as a one-time payment of $24 at any of our locations, or it can be paid off through future patronage refunds during profitable years.

If no payment is made by June 30, 2026 (the end of our fiscal year), the co-op will assume you are opting to earn the remainder of your ownership through future patronage refunds.

How will this change impact needs-based ownerships? Will this change limit access to ownership at the co-op? How will it affect the payment schedule?

The needs-based ownership and ownership benefits will not change. Eligible new owners will still pay a $15 initial equity investment, with the remaining $84 being paid off through future patronage refunds. Owners with an existing needs-based ownership will continue as normal, with patronage refunds being put toward the cost of ownership until $99 is reached. Owners on the needs-based payment plan also always have the option to pay for the remainder of their ownership all at once at either store.

What about the installment payment plan option for ownership? How will it affect the payment schedule?

The installment payment option will change so that new installment owners pay an initial equity investment of $33 (11 shares), then two more payments of $33.

Existing, fully paid installment ownerships will be in the same position as regular paid-in-full ownerships. Existing, unfinished installment ownerships will be expected to pay the full equity agreed upon at the time of signing up for the ownership ($75). Once completed, they will have the same option to pay the additional $24 or have it paid via future patronage refunds.

What about staff ownership?

Seward Co-op will pay the $24 difference for staff members who are already co-op owners, and staff will continue to earn a paid-in-full ownership after 1000 hours of employment.

I have further questions or feedback about this process or my circumstances.

We will provide future communications, further details on this proposal, and plenty of opportunities to connect and ask questions about this upcoming ballot initiative before the vote in October. Feel free to contact us online at https://seward.coop/contact-us for any questions.