Co-op Election Best Practices

8/14/2019 Co-op Election Best Practices

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COOPERATIVE ELECTION BEST PRACTICES

Survey & Ballot Systems7653 Anagram DriveEden Prairie, MN 55344-7311800-974-8099surveyandballotsystems.com

COOPERATIVE ELECTIONBEST PRACTICES

Fair, transparent elections

that connect your membership

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The democratic process requires a democratically elected board thatwill set policies and make decisions which are in the best interestof the cooperative and its membership. In order for this to happen,members must have an opportunity to elect board representatives

in fair, open and transparent elections that are accessible to all.

Many cooperatives, well aware of the numerous benets of havingan informed and engaged membership, willingly comply with industryrecommendations regarding annual elections.

Unfortunately, some cooperatives do not make elections a priority.Some cooperatives, either knowingly or unintentionally, are notfollowing standards for democratic elections. As a result, anincreasing number of cooperatives are the target of litigation in casesof alleged mismanagement, corruption and fraud. One of the mostcommon factors underlying these allegations appears to be impropergovernance of election practices.

Running fair and transparent elections is simply the right thing do.Aside from keeping the organization in compliance with cooperativeprinciples, it is one of the best ways to gain member trust. Whenmembers are encouraged to participate in the election, the cooperativeis more likely to operate at full capacity. Open elections convey tomembers that their input is valued. In turn, a high response rateindicates that members care about the future of their organizationand are committed to its success.

There is a right way and a wrong way to run elections. The rightway requires adherence to a list of Best Practices that will ensure

the actions and decisions of your board reect the voices of yourmembers and that you have an auditable process in place.

Seven Principles of CooperationPrinciples of cooperation date to theRochdale Pioneers consumer cooperativein northern England in 1844. Theseprinciples set standards for cooperativesworldwide, but have had minor adjustmentby the International CooperativeAlliance (Geneva).

1st Principle: Voluntary and Open Membership

2nd Principle: Democratic MemberControl (one member, one vote)

3rd Principle:

Member Economic Participation4th Principle: Autonomy and Independence

5th Principle: Education, Training and Information

6th Principle: Cooperation among Cooperatives

7th Principle: Concern for Community

Source: International Cooperative Alliance

www.ica.coop/coop/principles.html

A cooperative, by denition, is an

association of people voluntarily united tomeet a common goal through democraticprocess and voluntary membership.
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COMMONMISCONCEPTIONS

Change is often met with trepidation. There is concern that changinglong-held election practices will be detrimental to the organization.The following are some common misconceptions about changingelection practices:

MISCONCEPTION 1:Running our election a different way will dramatically changethe face of the board and the running of the cooperative.

REALITY:Running a best-practice election will enhance your organizationby building member trust and increasing member engagement.

MISCONCEPTION 2:If we do not hold our election on-site, it will ruin our annual meeting.

REALITY:Broadening your election to facilitate full voter membership willultimately benet your organization. In addition, by reducing thestress of running an election during the annual meeting, you canuse the meeting to celebrate your success!

MISCONCEPTION 3:Weve never had a problem with the way we run elections,

so it must be ne.REALITY:You havent had a problem..yet. Proper governance of electionsis one of the best ways to avoid lawsuits.

How doesyour cooperativestack up?

Full votermembership willultimately benetyour organization.
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BEST PRACTICESFOR RUNNING ELECTIONS:When implementing best practices, consider Ben Franklinsprolic words: An ounce of prevention is worth a pound of cure.Cooperatives are often targets for costly litigation. Adhering tothe following best practices can help protect your cooperativeagainst costly lawsuits, renegade membership groups andnegative media coverage:

Communication is KeyIt is not uncommon for board representatives to get reelected forseveral terms simply because members are unaware an electionis taking place. This results in uncontested elections, which candiscourage voters, breed skepticism, and even lead to lawsuits. On

the other hand, a well-promoted election will increase voter turnoutand engage members. It is therefore imperative that all membersare well aware of the election process, from nominating proceduresto voting instructions. This requires a comprehensive communicationstrategy. The following communication practices are highlyrecommended:

Educate and Inform:Enable your nominees by providing clear and simplecommunications throughout the year (emails, newsletters, web-pages, etc.) Explain upcoming board vacancies, procedures fornominating leaders and the date of the next election. There shouldalso be information about board member responsibilities and

compensation. Prepare:

Six to eight weeks prior to the election, compile information thatmembers will need to vote. This should include nominee proles,ballots and concise instructions for voting.

Deliver:Plan to have your members receive their voting information twoweeks prior to the election. This applies to information that isdelivered by regular mail, email or automated phone message.

Remind:Reminders increase voter response rate. These can take the formof postcards, email blasts, or phone calls. As a general rule, themore reminders, the greater the voter turnout.

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Prioritize Your MembersWhile we recommend providing a variety of voting options, alwayskeep your members in mind when planning any event at which voting

will take place. Encourage member attendance at these events byscheduling a time and place that is convenient for them, not justfor your board members. Holding your meeting during hours whenmembers are working will deter attendance, as will holding themeeting at an inconvenient location.

More Voting Options = More VotersConsider the demographics of your membership when designingyour election. Older members from rural communities tend to rely ontried-and-true mail ballots or on-site voting methods, while youngeror urban members may prefer online voting options. Others mayfavor the expediency of a call-in voting option. Some co-ops are nowconducting hybrid elections, which include elements of on-site,

mail, online and call-in voting methods.Prepare Your Staff!Running open and fair elections requires staff time and energy. Beprepared to have staff members take charge of the following tasks:

Database Management:Updating member contact information.

Coordinating Voting Materials:Creating design and content of materials, including nomineeproles, proposed policy/by-law changes, voting instructionsand ballot.

Delivery of Ballots:Ordering mailing materials, lling mailing packets, arrangingfor postage and mailing the packets according to schedule.For online voting, ballot delivery will need to be coordinatedwith the database manager.

Registration & Credentials Committee:Facilitating on-site election and tabulation. Includes checking-inmembers, passing out ballots and providing voting instructions.

Analyzing Results:Tabulating and reporting results, with attention to securityand condentiality of ballots.

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Consider thedemographics ofyour membershipwhen designing

your election.


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No small task, to be sure but when assessing the potential risksassociated with poorly run elections with the rewards of fair and openelections, the choice is clear:

A Third-Party SolutionIn lieu of running elections in-house, many cooperativesare opting to employ third-party vendors to run their elections.There are compelling reasons to do so:

Experience and expertise in election management

Automated systems and online solutions to facilitateelection process

Cost-efcient, especially when taking into accountstaff time requirements

Transparency and neutrality, eliminating speculationof fraud or tampering

Increased security and condentiality

FAULTYELECTIONS

FAIRELECTIONS

LOW VOTERTURNOUT

INCREASED VOTERTURNOUT

UNENGAGEDMEMBERS

ENGAGEDMEMBERS

DISCONTENT& SPECULATION

STRONGERORGANIZATION

An ounce ofprevention is wortha pound of cure.-Benjamin Franklin


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THE SBS ADVANTAGEFor over 20 years, Survey & Ballot Systems (SBS) has been helping

cooperatives connect with their members through efcient and fairelections. Commitment to data security and individualized design,combined with unparalleled customer service, has made SBS a trustedpartner in election management.

We take pride in customizing our services to the individual needs ofeach cooperative and its membership. This often means designinghybrid elections that incorporate both paper ballots and online voting.We even offer online tools to automate the nomination process, makingit easier for your members to take on leadership positions within yourorganization.

Best of all, when you partner with SBS, you can:

Reduce your election budget

Redirect your staffs attention to your core products and services

Increase voter response rate

Build a stronger organization by gaining member trustand involvement

We Get It!Read what our satised co-op customers say abouttheir SBS experience:

The ballots were tallied before our guest speaker nishedhis presentation! SBS stood with us every step of the way...Myles L. Jenson, Member Services Manager, Poudre Valley REA

We had a wonderful SBS experience and would highly recommendthem to others in search of an election management partner.Elaine McConkey, Finance and Accounting Manager, SMECO

The SBS account manager and client service representativewere extremely responsive to our needs.Theresa Quiroz, Administrative Services Supervisor,Rio Grande Electric Cooperative

At SBS, were proud of our reputation, and well work hard to earnand maintain your trust.

PROUD MEMBER

Find Out MoreTo learn more about SBS, check usout at surveyandballotsystems.com or contact us by phone at 800-974-8099.

We had a wonderfulSBS experienceand would highly-recommend them

(SBS) to othersin search of anelection manage-ment partner.
http://surveyandballotsystems.com/http://www.surveyandballotsystems.com/http://www.nreca.coop/Pages/default.aspxhttp://www.surveyandballotsystems.com/http://surveyandballotsystems.com/

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Co-op Election Best Practices