Co-ops are stewards of the hard-earned money of their members.  Their foundation is trust. 

The Stabilization Fund System (SFS) is a “solidarity fund” patterned after the models in Germany, Netherlands, Canada and South Korea, where membership for co-ops is mandatory.

The NATCCO Network established the SFS in 2008 with 3 elements that ensure sound business operations, and maintain depositors’ trust and confidence: 

1) SUPERVISION & MONITORING;

2) OFF-SITE MONITORING AND FOLLOW-THROUGH; and 

3) FINANCIAL ASSISTANCE as last resort.

2018 saw the highest membership growth rate, bringing membership to 73. 

Risk-Based Evaluation (RBE) began in 2017 with billionaire co-ops.  In 2018, Annual RBEs were conducted and will soon be automated.  Risks covered are Compliance, Credit, Financial, Governance, Operational, Security, and Strategic & Organizational.

Offsite Monitoring Process Flow has been established, and will enable the issuance of a Network-wide Annual Performance Report

With the Stabilization Fund System as the core of co-op self-regulation, the NATCCO Network will lobby with the Cooperative Development Authority and with Legislation for participation of co-ops SFS to be included in co-op requirements.