MEMORANDUM CIRCULAR NO. 2015 - 09
Series of 2015
TO : ALL CONCERNED
SUBJECT : REVISED GUIDELINES IMPLEMENTING THE NEW TRAINING REQUIREMENTS OF COOPERATIVE OFFICERS
Pursuant to Article 44 of RA 9520 and Rule 7 of its Revised Implementing Rules and Regulations, the Authority hereby adopts and promulgates these revised guidelines on the implementation of the training requirements of cooperative officers.
Section 1. Title. This Memorandum Circular shall be known as the “Revised Guidelines Implementing the New Training Requirements of Cooperative Officers”.
Section 2. Scope. This Memorandum Circular shall apply to the officers of the cooperative regardless of type and size, such as:
- Board of Directors;
- Election Committee,
- Audit Committee;
- Ethics Committee;
- Mediation and Conciliation Committee;
- Other Committees created by the General Assembly and BOD; and
- General Manager or Chief Executive Officer.
Section 3. Required Trainings for cooperative officers
|CATEGORY OF COOP||TRAINING COURSE|
|Micro-cooperatives – cooperatives with total assets of 3 Million and below||Fundamentals of Cooperatives||8|
|Governance and Management of Cooperatives||8|
|All other cooperatives with total assets of more than 3 million||Fundamentals of Cooperatives||16|
|Governance and Management of Cooperatives||16|
|Additional trainings for officers of cooperatives engaged in savings and credit with at least Five Million Pesos (Php5,000,000.00) worth of deposit liabilities based on their latest Audited Financial Statement||Financial Management||8|
Section 4. Period of Compliance. Cooperative officers shall complete the required trainings within the first half of their term.
Section 5. Optional trainings for cooperative officers. Cooperative officers shall endeavor to undergo additional appropriate trainings such as but not limited to the following:
- Financial Management
- Policy Development
- Leadership and Values Re-Orientation
- Conflict Management
- Strategic Planning and Management
- Orientation on Labor and Other Related Laws
- Records Management (Financial/Non-Financial Transaction)
- Cooperative Standards
- Investment and Banking Procedures
- Basic Accounting for Non- Accountants
- Internal Control including Inventory System
- Cooperative Standards
- Audit Management
- Rules Formulation
- Human Resource Management
- Effective Communication Skills
- Entrepreneurship and Business Mgt. Skills
- Basic Computer Literacy
Section 6. Inclusion in the Cooperative Election Guidelines. Cooperatives shall include in their election guidelines the following:
- A policy requiring all officers to comply with the mandatory training requirements and the person responsible to ensure compliance thereof, this shall be the election committee, in case of elective officers, and in the case of appointed officers, the Board of Directors.
- Provision that non-compliance with the training requirements during their term shall be one of the grounds for disqualification for future election or appointment in any position in the cooperative.
- Provision that the cooperative shall ensure that all officers shall undertake/comply with the mandatory training during his/her half of his/her term.
Section 7. Notice to the cooperative. Upon finding that an officer/s of a cooperative has not complied with the required training/s, the Authority shall notify in writing the cooperative of such fact and direct the cooperative to ensure that its officers comply with the required trainings within a specified period of time.
Section 8. Sanctions for non-compliance/failure to comply with the mandatory training.
8.1. For the Cooperative Officers. Failure of a cooperative officer to comply with the required trainings during his/her term shall be a ground for his/her disqualification as future officer of the cooperative in any position until he/she has complied with the required trainings.
8.2. For the Cooperative. Willful failure of the concerned cooperative to comply with the training requirements for its officers, despite notice shall be a ground for the non-issuance of the Certificate of Compliance to the cooperative for the next immediate year.
Section 9. Standard Training Curricula for Cooperative Officers. The CDA Accredited Cooperative Training Provider shall adopt the Standard Training Course Outline for Cooperative Officers (Annex A hereof) in the conduct of the training for cooperative officers.
Section 10. Submission of the required report on the List of Officers and Trainings Undertaken/ Completed. In consonance with Rule 8 of the IRR which provides for the reports to be submitted to the Authority, the cooperative shall submit an annual report which shall reflect the specific names and positions of all the incumbent officers of the cooperative and the required trainings these officers have undertaken/completed for the year being reported in compliance to training requirements for cooperative officers. The cooperative shall submit the report even if the cooperative officers have not complied or partially complied with the required trainings.
All the provisions of Rule 8 of the IRR of RA 9520 shall apply relative to the submission of the report on the Cooperative’s List of Officers and Training Undertaken/Completed.
The attached standard reporting form called List of Officers and Trainings Undertaken/ Completed (Annex B) shall be used by the cooperative in the submission of the required report.
Section 11. Transitory Provision. Applicable trainings undertaken prior to the effectivity of the Revised Implementing Rules and Regulation and this Memorandum Circular shall be credited as compliance with these guidelines.
Section 12. Effectivity. This Memorandum Circular shall take effect upon approval of the CDA Board of Administrators and fifteen (15) days after filing with the Office of the National Administrative Registry (ONAR).
Approved by the CDA Board of Administrators on September 29, 2015 pursuant to Board Resolution No. 261, s-2015.
THE BOARD OF ADMINISTRATORS
(Sgd) ORLANDO R. RAVANERA
STANDARD TRAINING COURSE OUTLINE
|TITLE OF TRAINING||NO. OF HOURS|
|Cooperatives with total assets of more than 3 million||Micro cooperatives|
|FUNDAMENTALS OF COOPERATIVES||16||8|
|Origin, Philosophy and Concepts of Cooperatives||4||4|
|The Why, What and How of Cooperatives
|Cooperative Values, Principles & Practice|
|The Cooperative Difference|
|Cooperative Laws / Salient Provisions of Cooperative Laws (micro)||6||2|
|Cooperative Code of 2008 (RA 9520)|
|The Cooperative Development Authority (RA6939)|
|Implementing Rules & Regulations of RA 9520|
|Articles of Cooperation & Bylaws|
|Plans, Programs and Policies of the Cooperative||6||2|
|Cooperative Vision, Mission and Goals|
|Cooperative Strategic Plan|
|Policies and programs of the Cooperative|
|GOVERNANCE & MANAGEMENT COOPERATIVE||16||8|
|GOVERNANCE PRINCIPLES AND PRACTICES||4||2|
|Principles & Practice of Good Governance in Cooperatives|
|Including Definition, Benefits, Characteristics of Good Governance, the Governance Architecture, Preventing Abuses in Coop Governance|
|Duties and Responsibilities of Officers|
|Managing Successful Meetings|
|OPERATION AND MANAGEMENT OF COOPERATIVE||4||2|
|Importance of Financial Mgt, Human Resource (Personnel Management), Marketing, Production or Technical aspects|
|Allocation and distribution of net surplus|
|Overview of Ethical Standards in Cooperatives|
|Performance and Measurement (balance scorecard)|
|RELEVANT LAWS AFFECTING COOPERATIVES||4||2|
|Labor law (Social security; Philhealth; Pag-Ibig; Income Tax; Retirement Act)|
|LGU permits, business permits, fees and charges|
|CDA reportorial requirements|
|Certificate of Tax Exemption|
|Compliance with Anti- Sexual Harassment Law (Committee on Decorum and Investigation)|
|Secondary Licenses (BSP, IC, LTFRB, NWRB, NHA etc)|
|Other laws affecting specific type of cooperative (e.g. Housing, insurance, banks, transport, water service, labor service, etc), if applicable|
|OVERVIEW OF SOCIAL AND ECONOMIC STANDARDS FOR COOPERATIVES||4||2|
|Social Audit of Cooperatives|
|Economic (Performance Audit)|
Additional trainings for officers of cooperatives engaged in savings and credit with at least Five Million Pesos (Php5,000,000.00) worth of deposit liabilities based on their latest Audited Financial Statement
|TITLE OF TRAINING||NO. OF HOURS|
|CONCEPTS OF COOPERATIVE FINANCIAL MANAGEMENT||1|
|Scope of Financial Management|
|Sources & Uses of Funds|
|Reading and understanding of Statement of Operation, Statement of Financial Condition, Cash Flow Statement, Statement of Changes in Equity and Notes to Financial Statements|
|Tools and Techniques of Financial Analysis|
|Monitoring Financial Performance for Sustainability|
|P.E.S.O.S and P.I.S.O.: Meaning & Interpretation|
|ANNUAL PLANS AND BUDGET||1|
|Scope of Budgeting|
|Budgeting Process (Including Roles & Responsibility of Board and GM)|
|Approval of Plans and Budget (Powers of the General Assembly)|
|Implementation and Monitoring of the Plans and Budget|
|Principles of Risk Management|
|Types of Risks|
|Risk Management Plan|
|Adaptation and Mitigation of Risks|
|Concepts and Principles of savings and credit|
|Elements of Credit/Lending Policy|
|Effective Credit/Lending Process|