When it comes to making decisions in a co-operative, the provincial and federal governments have a lot of rules to follow. They may outline special requirements about certain decisions in legislation, and it’s important to know and follow these rules. For example, there is a different procedure to follow if your members are voting to accept a report, versus if they’re voting to amend the co-op’s bylaws. Co-ops generally use Robert’s Rules of Order to guide their decision-making processes, just like most Canadian governments and corporations.
To make a formal decision, a co-op needs vote on a resolution. A resolution is a formal decision, action, or policy that is (usually) proposed by the board and decided at a board or members’ meeting. Resolutions need a majority vote to be accepted and implemented. There are two types of resolutions:
The provincial government has rules about the type of resolution that’s required for various decisions. Check your province’s appropriate legislation to find out the procedure you need to follow for different decisions or actions. (For more on legislation and how to use it, check out our blog post).
It’s good practice to be formal when writing resolutions and to maintain a consistent style. This will provide a template for future resolutions. Consider using the format below that relies on 4 commonly used elements:
If you need more information about decision-making in a co-operative or help drafting resolutions, please contact us to find out how we can help.
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