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Cooperative
Development Authority
CONSTITUTIONAL MANDATE
Sec 15, Article XII
1987 Philippine
Constitution
The Congress shall create an
Agency to promote the
viability and growth of
cooperatives as instruments
for social justice and
economic development
CONSTITUTIONAL MANDATE
Sec 15,
Article XII
1987
Philippine
Constitution
The Congress shall create
an agency to promote the
viability and growth of
cooperatives as
instruments for social
justice and economic
development.
Exec. Order No. 1
Series , 2016
CDA back to OP
Under the supervision of the Cabinet
Secretary
The Authority shall be an agency
attached to the Department of Trade
and Industry (DTI) for policy and
program coordination for
cooperatives.
- - - - - - - - - - - - - - - - - - - - -
EO No. 67, series of 2018.
Signed into law on
March 10, 1990 by
then President
Corazon C. Aquino
RA 6939 In 2019, After 29 years, the
CDA “is hereby strengthened
and reorganized to carry out
the provisions of RA 11364
and those of Republic Act
9520, or the Philippine
Cooperative Code of 2008.”
RA 11364
!5 powers, functions
and responsibilities
37 powers, functions
and responsibilities
Published in the
Official Gazette on
August 14, 2019, took
effect fifteen (15)
days after
Cooperative Development Authority
Charter of 2019
RA 11364
Signed by the
President on
August 8, 2019
19 types ( RA 9520)
5 Additional based on CDA MCs
Cluster of Cooperatives
A B D E
C F
Co-ops serve a range of sectors
24
• Credit and
Financial
Services
• Banking
• Insurance
A
Human
Services:
• Health
• Housing,
• Workers
• Labor
Service
C
• Education
and
Advocacy
D
• Agriculture
• Agrarian
• Aquaculture
• Farmers
• Dairy
• Fisher folk
E
There shall be one director from each of the following
cluster of cooperatives:
• Consumers
• Marketing
• Producers
• Logistics
B
Public
Utilities:
• Electricity
• Water
• Communications
• Transport;
F
Cooperative Clusters in Region 1
CLUSTERS LEGEND
Credit and Financial Services,
Banking and Insurance
CFSBI
Consumers, marketing, producers
and Logistics
CMPL
Human Services HS
Agriculture, agrarian, aquaculture,
farmers, dairy and fisherfolk
AAAFDF
Public Utilities PU
Education and Advocacy EA
As part of the compliance
of Section 26 of R.A. 1364 or
otherwise known as the
Cooperative Development
Authority Charter of 2019, which
provides that, “the Board shall,
in consultation with the
cooperative sector and other
concerned government
agencies
Establish a consultative
mechanism consistent
with Sec. 18 of the Act in
order to provide the
cooperative sector a
system to ensure
participation on matters
concerning government
plans, programs, and
policies affecting
cooperatives (Sec.2, No 7
RA 11364)
• Establish partnerships with
the Local Government units on
the implementation of national
plans, programs and policies of
cooperative development
To ensure the maximum
participation of the cooperative
sector on matters of
government plans, projects and
policies affecting cooperatives
Sec 2 No 8. Coordinate with
the provincial, city, or
municipal cooperative offices
the adoption and
implementation of national
plans, programs and policies
of cooperative development,
and to establish partnership in
the promotion organization,
and development of
cooperatives within the
jurisdiction of the local
government units (Sec 2 No 8.
RA 11364)
MOU
March 10, 2021
Gen Concepts
• An autonomous duly registered association of
persons
• Common bond of interest
• Voluntarily joined together
• To achieve social, economic and cultural needs
• By making equitable contributions to the capital
required
• Patronizing the products and services
• Accepting fair share of the risk and benefits in
accordance with universally accepted co-op
principles
Art 3 RA 9520.
AUTONOMY AND
INDEPENDENCE
EDUCATION, TRAINING &
INFORMATION
COOPERATION AMONG
COOPERATIVES
CONCERN FOR
COMMUNITY
DEMOCRATIC MEMBER CONTROL MEMBER ECONOMIC PARTICIPATION
VOLUNTARY AND OPEN MEMBERSHIP
SELF-HELP SELF-RESPONSIBILITY EQUALITY
HONESTY OPENNESS
SOCIAL
RESPONSIBILITY
DEMOCRACY
CARING FOR
OTHERS
SOLIDARITY
CO-OP PRINCIPLES ARE PRACTICAL APPLICATIONS OF CO-OP VALUES
CO-OP /ETHICAL VALUES ARE THE FOUNDATION OF THE CO-OP PRINCIPLES
EQUITY
Co-op a Different Kind of Business
Single Proprietorship
Partnership
Corporation
Cooperative
• 15 natural person
• Registered with CDA
• Registration Requirements: Articles of
cooperation, By Laws, Economic Survey,
PRS, Surety Bond, Reg. Fee
• Membership contribution limited to
subscribed capital
• Voting rights 1 man = 1 vote, no proxy
voting
• Liability: Limited to subscribed share
capital
• Taxability: Net Surplus not taxable.
However members pay for the interest
on the share capital
• Motive of Existence ; Service and Profit
Benefits Derived from Co-ops
1. Patronage Refund. Proportionate distribution. Members are
actually savings while using the services of the cooperative
2. Interest on their capital invested to the cooperative.
3. Develop the habit of thrift and savings
4. Training ground for members in simple business operation,
democratic leadership, and responsible citizenship;
5. Teaches the members self discipline, self reliance, and other
desirable attitudes which make every member a better
individual and a better member of the community
6. develop members capabilities in productive purposes
• Know the services of the NGAs/LGUs/POs
• Know the requirements to avail of the services
of the NGAs/LGUs/POs
• Update themselves from time to time
(ITPPL/Websites)
• Invite NGAs/LGUs/POs to present their
programs and services during your meetings
Referrals to Concerned Agencies
Rice Competitiveness Enhancement Fund (RCEF)
To ensure food security and to make the country’s
agriculture sector viable, efficient and globally
competitive, Republic Act no. 11203, otherwise known
as the “Rice Ratification Law” was promulgated.
The law created the Rice Competitiveness Enhancement Fund
(RCEF) or Rice Fund to improve rice farmers’ competitiveness and
income amidst liberalization of the Philippine rice trade policy that
lifted quantitative restrictions on rice imports and replaced it with
tariffs, among others. RCEF has a PHP 10 billion annual
appropriation for the next six years, to be allocated and disbursed
as follows:
Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
Rice Competitiveness Enhancement Fund (RCEF)
The program aims to raise rice farmers’ productivity, profitability and
global competitiveness through strengthened access and use of
appropriate production and postproduction mechanization technologies,
which specifically aims to:
• Make accessible to rice farmers the appropriate rice production and
postharvest machinery and equipment through to the farmer
cooperatives, associations (FCAs).
• Promote among Filipino rice farmers the use of efficient and cost
reducing rice mechanization interventions.
• Strengthen local agricultural machinery manufacturing industry
through aggressive technology development, fabrication and
manufacturing.
Lead Implementing Agency: Philippine Center for Postharvest
PhP 5
Billion
Components
1. Rice farm machinery and equipment (50%)
- The Mechanization Program
Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
2. Rice seed development, propagation, and promotion (30%) -
The Seed Program
The program aims to to increase the adoption of certified inbred
seeds and integrated crop management through the following
projects:
• Promoting and distributing certified seeds of inbred rice
varieties
• Mobilizing and strengthening local seed production
Supporting variety development
Lead Implementing Agency: Philippine Rice Research Institute
PHP 3 Billion
Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
This component aims to make direct lending program available in the
form of a credit facility with minimal interest rates and minimum
collateral requirements to rice farmers and cooperatives, to be
managed equally by the Landbank of the Philippines (LBP) and
the Development Bank of the Philippines (DBP).For this, Landbank
will lend up to PHP 500 million annually for the next six years to rice
farmers registered in the RSBSA and to DA-accredited cooperatives.
For on-lending cooperatives, an interest rate of 0% per annum shall
be provided as long as effective pass-on rate to end borrowers is not
higher than 6% per annum.
PHP P 10
Billion
3. Expanded rice credit assistance (10%)
- The Credit Program
Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
4. This intends to enhance the capabilities of the Rice Fund beneficiaries
on modernized inbred rice and seed production and other relevant skills
for improved competitiveness and income, with the following projects:
• Design and Delivery of Training Programs, Enterprise Development
Assistance and Communication Support Services
• Development of Farm Schools
• Implementation of a Training Scholarship Scheme
Lead Implementing Agency: Agricultural Training Institute (ATI)
Partner Agencies: Philippine Center for Postharvest Development and
Mechanization (PhilMech), Philippine Rice Research Institute (PhilRice),
andTechnical Education and Skills Development Authority (TESDA)
PHP P 10
Billion
4. Rice Extension Services (10%)
Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
https://www.pearlpay.com/en/department-of-agricultures-loan-programs-
for-farmers-and-agripreneurs/
DA – enhanced kadiwa ni ani at kita
financial assistance ( grant)
1.Bacarra Zanjera Irrigators
MPC – P 5 Million
2.Bagnos MPC - P 1 Million
1.Accreditation DA – RFOs
2.Letter of Intent
3.Valid Certificate from CDA
4.Endorsement from LGU
5.Profile of Co-op (number of farmer-members, area of
rice farms, legitimacy and operational aspect, existing
facilities and equipment)
6.Filed validation on site to determine capabilities of co-ops
Accreditation
REBUILD Strategy—Revitalizing Businesses, Investments,
Livelihoods, and Domestic Demand
• DTI is its REBUILD Strategy to ensure the country’s economic
recovery.
• Since mid-2020, DTI has been rolling out its zero-interest loans for
MSMEs to help them restart their businesses and survive amid the
pandemic.
• The Small Business (SB) Corp. has already released PHP2.5 billion
worth of loans as of March 16 under the Covid-19 Assistance to
Restart Enterprises (CARES) program.
REBUILD Strategy—Revitalizing Businesses, Investments, Livelihoods, and
Domestic Demand
• Aside from these programs, DTI has other initiatives to help those
who were affected by the pandemic, such as digital up skilling
through reboot package for MSMEs and capacity building
interventions through BEST Boot camp 3A training program for
displaced overseas Filipino workers.
• “Given the important role of MSMEs helping to rebuild our economy,
DTI’s efforts are directed towards their swift recovery by enhancing
their resilience to recover and rebuild.
Working
together
ORGANIZATION
&
REGISTRATION OF
COOPERATIVES
COOPERATIVE DEVELOPMENT AUTHORITY
DAGUPAN EXTENSION OFFICE
COOPERATIVE DEVELOPMENT AUTHORITY
DAGUPAN EXTENSION OFFICE
• Fifteen (15) or more natural persons who
are
Filipino citizens;
• Of legal age (at least 18 years old);
• Having a common bond of interest;
• Actually residing or working in the intended
area of operation;
• Paid the required membership fee;
• Paid the required initial paid-up share
capital;
• Must have completed a Pre-Registration
Seminar (PRS).
ORGANIZING A PRIMARY COOPERATIVE
REGISTRATION OF A COOPERATIVE
COOPERATIVE DEVELOPMENT AUTHORITY
DAGUPAN EXTENSION OFFICE
Documentary Requirements
1. Economic Survey
2. Articles of Cooperation
3. Cooperative By-Laws
4. Treasurer’s Affidavit
5. Bond of Accountable Officers
6. Certificate of Attendance in Pre-
Registration Seminar issued by CDA
To be
submitted
in 4
original
copies
Cooperative
Enterprises Build a
Better World
By 2040, Filipinos
enjoy a strongly rooted,
comfortable, and secure
life.
“By working together, we may find solutions that we won’t be able to
figure out on our own,” Reynaldo Laguda, Executive Director of
Philippines Business for Social Progress,
Location : 3/F Siapno Bldg., Perez Blvd., Dagupan City
Phone Nos : 075 5228285;
Email : r1@cda.gov.ph
Facebook: https://www.facebook.com/cdaroi/

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Lecture for Philmech Module on Co-op

  • 2. CONSTITUTIONAL MANDATE Sec 15, Article XII 1987 Philippine Constitution The Congress shall create an Agency to promote the viability and growth of cooperatives as instruments for social justice and economic development
  • 3. CONSTITUTIONAL MANDATE Sec 15, Article XII 1987 Philippine Constitution The Congress shall create an agency to promote the viability and growth of cooperatives as instruments for social justice and economic development.
  • 4. Exec. Order No. 1 Series , 2016 CDA back to OP Under the supervision of the Cabinet Secretary
  • 5. The Authority shall be an agency attached to the Department of Trade and Industry (DTI) for policy and program coordination for cooperatives. - - - - - - - - - - - - - - - - - - - - - EO No. 67, series of 2018.
  • 6. Signed into law on March 10, 1990 by then President Corazon C. Aquino RA 6939 In 2019, After 29 years, the CDA “is hereby strengthened and reorganized to carry out the provisions of RA 11364 and those of Republic Act 9520, or the Philippine Cooperative Code of 2008.” RA 11364 !5 powers, functions and responsibilities 37 powers, functions and responsibilities
  • 7. Published in the Official Gazette on August 14, 2019, took effect fifteen (15) days after Cooperative Development Authority Charter of 2019 RA 11364 Signed by the President on August 8, 2019
  • 8. 19 types ( RA 9520) 5 Additional based on CDA MCs Cluster of Cooperatives A B D E C F Co-ops serve a range of sectors 24
  • 9. • Credit and Financial Services • Banking • Insurance A Human Services: • Health • Housing, • Workers • Labor Service C • Education and Advocacy D • Agriculture • Agrarian • Aquaculture • Farmers • Dairy • Fisher folk E There shall be one director from each of the following cluster of cooperatives: • Consumers • Marketing • Producers • Logistics B Public Utilities: • Electricity • Water • Communications • Transport; F
  • 10. Cooperative Clusters in Region 1 CLUSTERS LEGEND Credit and Financial Services, Banking and Insurance CFSBI Consumers, marketing, producers and Logistics CMPL Human Services HS Agriculture, agrarian, aquaculture, farmers, dairy and fisherfolk AAAFDF Public Utilities PU Education and Advocacy EA
  • 11. As part of the compliance of Section 26 of R.A. 1364 or otherwise known as the Cooperative Development Authority Charter of 2019, which provides that, “the Board shall, in consultation with the cooperative sector and other concerned government agencies Establish a consultative mechanism consistent with Sec. 18 of the Act in order to provide the cooperative sector a system to ensure participation on matters concerning government plans, programs, and policies affecting cooperatives (Sec.2, No 7 RA 11364)
  • 12. • Establish partnerships with the Local Government units on the implementation of national plans, programs and policies of cooperative development To ensure the maximum participation of the cooperative sector on matters of government plans, projects and policies affecting cooperatives Sec 2 No 8. Coordinate with the provincial, city, or municipal cooperative offices the adoption and implementation of national plans, programs and policies of cooperative development, and to establish partnership in the promotion organization, and development of cooperatives within the jurisdiction of the local government units (Sec 2 No 8. RA 11364)
  • 14.
  • 15. Gen Concepts • An autonomous duly registered association of persons • Common bond of interest • Voluntarily joined together • To achieve social, economic and cultural needs • By making equitable contributions to the capital required • Patronizing the products and services • Accepting fair share of the risk and benefits in accordance with universally accepted co-op principles Art 3 RA 9520.
  • 16. AUTONOMY AND INDEPENDENCE EDUCATION, TRAINING & INFORMATION COOPERATION AMONG COOPERATIVES CONCERN FOR COMMUNITY DEMOCRATIC MEMBER CONTROL MEMBER ECONOMIC PARTICIPATION VOLUNTARY AND OPEN MEMBERSHIP SELF-HELP SELF-RESPONSIBILITY EQUALITY HONESTY OPENNESS SOCIAL RESPONSIBILITY DEMOCRACY CARING FOR OTHERS SOLIDARITY CO-OP PRINCIPLES ARE PRACTICAL APPLICATIONS OF CO-OP VALUES CO-OP /ETHICAL VALUES ARE THE FOUNDATION OF THE CO-OP PRINCIPLES EQUITY
  • 17. Co-op a Different Kind of Business Single Proprietorship Partnership Corporation Cooperative • 15 natural person • Registered with CDA • Registration Requirements: Articles of cooperation, By Laws, Economic Survey, PRS, Surety Bond, Reg. Fee • Membership contribution limited to subscribed capital • Voting rights 1 man = 1 vote, no proxy voting • Liability: Limited to subscribed share capital • Taxability: Net Surplus not taxable. However members pay for the interest on the share capital • Motive of Existence ; Service and Profit
  • 18. Benefits Derived from Co-ops 1. Patronage Refund. Proportionate distribution. Members are actually savings while using the services of the cooperative 2. Interest on their capital invested to the cooperative. 3. Develop the habit of thrift and savings 4. Training ground for members in simple business operation, democratic leadership, and responsible citizenship; 5. Teaches the members self discipline, self reliance, and other desirable attitudes which make every member a better individual and a better member of the community 6. develop members capabilities in productive purposes
  • 19. • Know the services of the NGAs/LGUs/POs • Know the requirements to avail of the services of the NGAs/LGUs/POs • Update themselves from time to time (ITPPL/Websites) • Invite NGAs/LGUs/POs to present their programs and services during your meetings Referrals to Concerned Agencies
  • 20. Rice Competitiveness Enhancement Fund (RCEF) To ensure food security and to make the country’s agriculture sector viable, efficient and globally competitive, Republic Act no. 11203, otherwise known as the “Rice Ratification Law” was promulgated. The law created the Rice Competitiveness Enhancement Fund (RCEF) or Rice Fund to improve rice farmers’ competitiveness and income amidst liberalization of the Philippine rice trade policy that lifted quantitative restrictions on rice imports and replaced it with tariffs, among others. RCEF has a PHP 10 billion annual appropriation for the next six years, to be allocated and disbursed as follows: Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF Rice Competitiveness Enhancement Fund (RCEF)
  • 21. The program aims to raise rice farmers’ productivity, profitability and global competitiveness through strengthened access and use of appropriate production and postproduction mechanization technologies, which specifically aims to: • Make accessible to rice farmers the appropriate rice production and postharvest machinery and equipment through to the farmer cooperatives, associations (FCAs). • Promote among Filipino rice farmers the use of efficient and cost reducing rice mechanization interventions. • Strengthen local agricultural machinery manufacturing industry through aggressive technology development, fabrication and manufacturing. Lead Implementing Agency: Philippine Center for Postharvest PhP 5 Billion Components 1. Rice farm machinery and equipment (50%) - The Mechanization Program Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
  • 22. 2. Rice seed development, propagation, and promotion (30%) - The Seed Program The program aims to to increase the adoption of certified inbred seeds and integrated crop management through the following projects: • Promoting and distributing certified seeds of inbred rice varieties • Mobilizing and strengthening local seed production Supporting variety development Lead Implementing Agency: Philippine Rice Research Institute PHP 3 Billion Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
  • 23. This component aims to make direct lending program available in the form of a credit facility with minimal interest rates and minimum collateral requirements to rice farmers and cooperatives, to be managed equally by the Landbank of the Philippines (LBP) and the Development Bank of the Philippines (DBP).For this, Landbank will lend up to PHP 500 million annually for the next six years to rice farmers registered in the RSBSA and to DA-accredited cooperatives. For on-lending cooperatives, an interest rate of 0% per annum shall be provided as long as effective pass-on rate to end borrowers is not higher than 6% per annum. PHP P 10 Billion 3. Expanded rice credit assistance (10%) - The Credit Program Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
  • 24. 4. This intends to enhance the capabilities of the Rice Fund beneficiaries on modernized inbred rice and seed production and other relevant skills for improved competitiveness and income, with the following projects: • Design and Delivery of Training Programs, Enterprise Development Assistance and Communication Support Services • Development of Farm Schools • Implementation of a Training Scholarship Scheme Lead Implementing Agency: Agricultural Training Institute (ATI) Partner Agencies: Philippine Center for Postharvest Development and Mechanization (PhilMech), Philippine Rice Research Institute (PhilRice), andTechnical Education and Skills Development Authority (TESDA) PHP P 10 Billion 4. Rice Extension Services (10%) Source: https://ati.da.gov.ph/ati-main/PROGRAMS/RCEF
  • 26. DA – enhanced kadiwa ni ani at kita financial assistance ( grant) 1.Bacarra Zanjera Irrigators MPC – P 5 Million 2.Bagnos MPC - P 1 Million
  • 27.
  • 28. 1.Accreditation DA – RFOs 2.Letter of Intent 3.Valid Certificate from CDA 4.Endorsement from LGU 5.Profile of Co-op (number of farmer-members, area of rice farms, legitimacy and operational aspect, existing facilities and equipment) 6.Filed validation on site to determine capabilities of co-ops
  • 30.
  • 31. REBUILD Strategy—Revitalizing Businesses, Investments, Livelihoods, and Domestic Demand • DTI is its REBUILD Strategy to ensure the country’s economic recovery. • Since mid-2020, DTI has been rolling out its zero-interest loans for MSMEs to help them restart their businesses and survive amid the pandemic. • The Small Business (SB) Corp. has already released PHP2.5 billion worth of loans as of March 16 under the Covid-19 Assistance to Restart Enterprises (CARES) program.
  • 32. REBUILD Strategy—Revitalizing Businesses, Investments, Livelihoods, and Domestic Demand • Aside from these programs, DTI has other initiatives to help those who were affected by the pandemic, such as digital up skilling through reboot package for MSMEs and capacity building interventions through BEST Boot camp 3A training program for displaced overseas Filipino workers. • “Given the important role of MSMEs helping to rebuild our economy, DTI’s efforts are directed towards their swift recovery by enhancing their resilience to recover and rebuild.
  • 35. COOPERATIVE DEVELOPMENT AUTHORITY DAGUPAN EXTENSION OFFICE • Fifteen (15) or more natural persons who are Filipino citizens; • Of legal age (at least 18 years old); • Having a common bond of interest; • Actually residing or working in the intended area of operation; • Paid the required membership fee; • Paid the required initial paid-up share capital; • Must have completed a Pre-Registration Seminar (PRS). ORGANIZING A PRIMARY COOPERATIVE
  • 36. REGISTRATION OF A COOPERATIVE COOPERATIVE DEVELOPMENT AUTHORITY DAGUPAN EXTENSION OFFICE Documentary Requirements 1. Economic Survey 2. Articles of Cooperation 3. Cooperative By-Laws 4. Treasurer’s Affidavit 5. Bond of Accountable Officers 6. Certificate of Attendance in Pre- Registration Seminar issued by CDA To be submitted in 4 original copies
  • 38. By 2040, Filipinos enjoy a strongly rooted, comfortable, and secure life. “By working together, we may find solutions that we won’t be able to figure out on our own,” Reynaldo Laguda, Executive Director of Philippines Business for Social Progress,
  • 39. Location : 3/F Siapno Bldg., Perez Blvd., Dagupan City Phone Nos : 075 5228285; Email : r1@cda.gov.ph Facebook: https://www.facebook.com/cdaroi/