Cooperative Life White Paper, Best Practices, Assessment and Alumni Engagement

Toward the Sustainability of Cooperative Living at Purdue University

1. 1. 1. 1. Brief History
            
            

            Purdue University was founded in 1869 as a land-grant university, with the mission of a providing an affordable education to students in agriculture and the mechanical arts. In 1935, a group of young men moved into a house funded by Reverend William McFadden. This house, called the Wesley Boys’ House, was the first cooperative house on Purdue’s campus. By 1940, there were sixteen houses in the cooperative community, and their mission was to create a cooperative learning environment while maintaining affordable housing. Students in cooperatives cooked and cleaned for themselves, elected leaders to manage their day-to-day affairs, and developed important leadership and life skills as a result. Throughout the years, cooperative houses have been formed, merged, improved, strengthened, and sadly, some have been discontinued.
            
            

         2. Cooperative Living Today
            
            

            There are currently twelve separate cooperative housing organizations on Purdue’s campus: five men's houses and seven women’s houses. The oldest house that still thrives on campus opened its doors in 1936. In total, there are roughly 400 Purdue students that are part of the cooperative community every year. The biggest organization has a house capacity of 68 members and the smallest organization has a house capacity of 17 members. Each house is governed by their executive board, comprised of elected student members of the house that serve in roles including President, Treasurer, Recruitment Chair, Risk Manager, and Alumni Chair. They enjoy the fact that they are all student-run, with no “house moms” or “maintenance men.” All of the cooking, cleaning, budgeting, fixing, planning and other responsibilities are led and completed by the students. This keeps costs down and makes cooperative housing amongst the most affordable living options on campus. Most houses also have a Corporation and/or Alumni board made up of alumni from the specific house. These boards act like a corporate office for a company. They deal with big picture items and capital expenses such as a mortgage, large maintenance requirements, and legal dealings such as insurance and non-profit status. The three boards associated with each house (Executive Board, PCC, and Corporation Board) all govern different parts of each organization.
            
            Below are the current Cooperative Houses that make up the Purdue-only Cooperative Community:
            
            
            1. Men’s Organizations, year founded and current capacity:
               Gemini Cooperative, 1972, 52
               Marwood Cooperative, 1936, 26
               Circle Pines Cooperative, 1939, 64
               Chauncey Cooperative, 1937, 22
               Beta Upsilon Chi (formally known as Fairway Cooperative), 1958, 68
            2. Women’s Organizations, year founded and current capacity:
               Stewart Cooperative, 1986, 33
               Maclure Cooperative, 1966, 23 
               Shoemaker Cooperative, 1938, 39
               Ann Tweedale Cooperative, 1937, 40 T
               win Pines Cooperative, 1952, 29
               Devonshire Cooperative, 1997, 17
               Glenwood Cooperative, 1939, 35
               
               

         3. The Purdue Cooperative Council (PCC)
            
            

            Within cooperative housing, there is a governing group of student members called the Purdue Cooperative Council (PCC), comprised of 17 elected board members and 12 house presidents. This group of students guides and somewhat governs the cooperatives on a year-to-year basis. They coordinate large events in the community such as philanthropic fundraisers, they assist in the implementation of risk management policies, they organize the recruitment of new members, and they sponsor an annual talent show. PCC also provides a link between individual cooperative houses and Purdue University. The PCC President often meets with Purdue University officials and other leaders on campus. Other Council members meet regularly with University administrators such as the Vice President of Risk Management, the Vice President of Finance and the Vice President of Marketing. The 17 board members are interviewed and elected by the outgoing Council at the end of the academic year. However, the house presidents are individually voted on by the members of their own house at the end of the calendar year. PCC is essential to the unity, tradition, culture and continuity of the cooperative community.
            
            

         4. Purdue’s Office of Fraternity, Sorority and Cooperative Life (FSCL)
            
            

            The work of the FSCL Office is directed towards creating the conditions for the FSC community to contribute meaningfully to the institutional mission and supporting the safety and success of every student. The Purdue FSCL Office supports the FSC community by building its work around five strategies: Assessment, Personnel, Risk Prevention, Organization-Level Development, and Housing. Essential functions of the FSCL Office include:
            • Community advocacy
            • Alumni, volunteer and community engagement
            • Training, development, and coaching for students, alumni and volunteers
            • Supporting student self-governance at the individual, chapter, and council level.
            • Creating recognition and incentives to celebrate innovative practices that address university priorities for the student experience.
            • Establishing a long-term continuity plan for fraternity, sorority and cooperative housing that is safe, financially secure, relevant to future generations and supported by students and stakeholders.
            • Partnering with interdisciplinary groups of stakeholders to explore the underlying causes and contributors of problematic behavior, including The Office of Student Rights and Responsibilities, Purdue Police, Health and Wellness, the Office of Institutional Equity, the Center for Advocacy, Response and Education and other related offices.
            • Investing in evidence-based and research-supported strategies for addressing risky, unhealthy and problematic behavior.
              
              

         5. History of Purdue Research Foundation (PRF) Involvement
            
            

            Bruce Pershing of PRF was invited to address the Task Force in January of 2018 regarding the turnover of funds and responsibility from PRF to individual cooperative house corporations. He provided a history of the Purdue Student Housing Corporation (PSHC), for which he served as Assistant Treasurer from 1983 to 1996. Residents in each of the nine cooperative houses were considered members and appointed a director from each house to PSHC, which in turn elected officers. PSHC served as landlord to the houses, collecting rent, providing maintenance and establishing a reserve fund for maintenance purposes. In addition to PSHC, there was also SCA (Student Cooperative Association) which handled the social aspect of cooperative life, so there was some dual governance. On 4/30/2000, PSHC was dissolved. The properties were deeded by PRF to the individual alumni housing corporation boards, and $30,000 was also given to each of these houses. Chauncey, Devonshire and Marwood, who owned their own houses, did not receive this money. In addition, a $500,000 endowment was created to provide scholarships and leadership development opportunities for members. Rationale for the dissolution included discipline, recruitment and competition issues, but also that the houses wanted more control.
            
            

         6. The Purdue Cooperative Life Task Force
            
            

            The Purdue Cooperative Life Task Force is a FY 2017-18 ad hoc group comprised of Student Life Advisory Council members, Student Life staff members, alumni and student members of cooperative houses. In appointing this group, Vice Provost for Student Life (VPSL) Dr. Beth McCuskey stated the following: “There is a long and storied history of cooperative houses at Purdue, and we want to do everything we can to ensure their successful future.”
            
            Task Force Members:
            Bob Miles (Co-Chair), member of Student Life Advisory Council, Fairway Alumnus
            Bob Mindrum (Co-Chair), VPSL staff member
            Skyler Clingan, PCC President
            Hollyn Culley, PCC Past President, Twin Pines Alumna
            Brandon Cutler, Director of FSCL
            Scott Downey, College of Agriculture, former Chauncey Faculty Advisor
            Mark Diekman, College of Agriculture, Chauncey Alumnus and Advisor
            Alex Eickholtz, PCC Alumni Relations Chair
            Briee Landis, former PCC Chair of Alumni Engagement
            Tom Lester, member of Student Life Advisory Council
            Joyce Miles, Student Life Advisory Council, Twin Pines Alumna
            Mark Rosenberger. Past PCC President, Circle Pines Alumnus
            Chris Skiba, Student Life Director of Capital Projects
            
            Task Force Charge:
            
            • Review and analyze the status of current cooperative houses, to include gender balance, occupancies, capacities, governance/oversight, pricing and financial stability. A matrix of these and other metrics is recommended for comparison purposes.
            • Recommend a process for assessing the facility needs of the cooperative houses.
            • Identify potential sources of capital to renovate existing houses or construct new ones. Possibilities may include development/fundraising, public-private partnerships, etc.
            • Develop a financial model(s) that would allow cooperative houses to be financially sustainable.
            • Design a forecasting model based upon perceived demand that would justify the construction of new cooperative houses.
            • Pursue the possibility of themed cooperative houses (e.g., Honors, International, Assisted Living) or even a Cooperative Village similar to the Greek Village concept.
              
              Expectations and Deliverables:
         7. • Conduct meetings/conference calls as least monthly beginning in September, 2017.
            • Provide written, quarterly updates on progress.
            • Present findings at an onsite meeting prior to June 30, 2018.
            • Generate a final, written report by July 31, 2018.
              
              Future Plans:
              Once the task force has completed its work and submitted its report and recommendations, there are plans to initiate an ongoing Cooperative Alumni Advisory Council, which will move forward to implement the recommendations of the task force, beginning in the fall of 2018.
              
              

         8. Task Force Process
            
            

            The Task Force met regularly beginning in October of 2017 and completed its work in August of 2018. A general outline and chronology of their work is shown below, with references to more detailed documents:
            
            1. A “Clear Purpose” exercise was conducted in December of 2017. Similar to a SWOT analysis, this exercise helped the task force focus on their charge. Results are shown in Attachment A.
            2. An Assessment Information List was developed to be used in requesting data about the 12 cooperative houses. See Attachment B.
            3. House Self-Assessments by all 12 cooperative houses were conducted at the request of PCC and were provided to the task force. An example of the self-assessment is shown in Attachment C.
            4. A Data Matrix was developed on 12 key assessment items, to be used for comparison and discussion purposes. See Attachment D.
            5. The Cooperative House Community Assessment Report, similar to the Data Matrix but including grade point and average cost averages, was reviewed by the task force. See Attachment E.
            6. Team Visits to each of the 12 cooperative houses were conducted, using teams of two task force members each. Other attendees included the house advisors, corporate board members and executive board members.
            7. SWOT Analyses were developed by the task force teams for each of the 12 houses. Confidentiality of the information was assured, but an aggregate of the SWOT results is shown in Attachment F.
            8. Best Practices for corporate boards, house executive boards and alumni boards were generated after the team visits. This document is seen as one of the central results of the task force’s work and critical to the future of the cooperative houses. See Attachment G.
            9. Organizational and Rubric Scales were developed for use by the 12 houses in assessing their current performance relative to the Best Practices. See Attachments H and I.
            10. A Financial Sustainability Model was developed to assist the houses in understanding the amount of capital reserve necessary to maintain their houses long-term. Sensitivity Analyses were also done for each house to demonstrate the effects of interest income and inflation assumptions in the model. See Attachments J and K.
            11. Building a Case for Alumni Engagement in Cooperative Housing was seen as a critical step for houses to pursue as they seek support, financial and otherwise, from their alumni. See Attachment L.
            12. A Presentation to the Vice Provost for Student Life (VPSL) was given on July 25, 2018 in which the task force presented initial findings and recommendations. See Attachment M.
            13. Recommendations/Next Steps The following items represent the final recommendations and “next steps” to be undertaken as a result of the task force’s work:
                1. Meet with the Purdue Cooperative Council (PCC) in the fall of 2018 to discuss the white paper, to present the “best practices,” to encourage the cooperative houses to complete the rubric and organizational scales as part of their self-assessment efforts and start implementation, and to answer any questions.
                2. Meet with house presidents at the PCC President’s Meeting to present the individual SWOT analyses, the financial sustainability model, and the attendant sensitivity analyses relative to interest income and inflation assumptions.
                3. Present the best practices and financial sustainability information to a joint meeting of corporate/alumni board members and respond to questions.
                4. Encourage Purdue Admissions and University Residences to provide information on cooperative houses to “overflow” students who cannot readily gain access to residence halls.
                5. Encourage PCC and the individual cooperative houses to update their websites and to utilize a common branding and unified message about cooperative living.
                6. Establish an ongoing Student Life Cooperative Advisory Council to implement the task force recommendations and to provide ongoing support for cooperative living.
                7. Determine the proper level of assistance, coordination and collaboration needed from the newly formed Cooperative Advisory Council, the FSCL staff, the Purdue Cooperative Council, the house executive boards, and the house corporate/alumni boards in order to efficiently and effectively support cooperative living at Purdue.

The Purdue Cooperative Life Task Force wishes to thank all 12 of the cooperative houses, their advisors and their corporate/alumni board representatives for their assistance and involvement in this process. Through the implementation of the Best Practices and careful consideration of their individual finances, and with assistance and support from the Cooperative Advisory Council and the FSCL Office, we believe that the legacy of cooperative living at Purdue can be sustained for many years to come. We also thank the Vice Provost for Student Life, Dr. Beth McCuskey, for her vision and commitment to this process. 

Cooperative Life Best Practices

1. Corporate Board

   1. General
      • Make “Corporate Board” the formal name (i.e., versus Alumni Board) unless the house has both of these entities.
      • Establish a sound business and corporate board model.
      • Hold meetings with house E-Board at least biannually.
      • Establish guidelines to indicate which services, repairs and replacements are corporate responsibilities versus house responsibilities.
      • Prepare the long-range plan (see Item C).
      • Provide the house with a list of recommended vendors and service companies.
      • Develop an atmosphere of transparency and trust with house members, including the following:
        • Establish monthly fees and explain to house members how they were derived, including allowances to reserve.
        • Include the house president and treasurer on the corporate board, with voting privileges if possible.
        • Share corporate financial reports with house members.
      • Meet annually with corporate representatives from all of the cooperative houses to discuss like problems and solutions.
      • Review service contacts (e.g., trash pickup, telephone, cable, internet, insurance, etc.) on a regular basis to ensure cost and quality, and renegotiate if possible.
   2. Finances
      • Review annual house operating budget and provide feedback to house E-Board.
      • Develop an agreement with house E-Board as to which items are included in the house operating budget and which items are in the corporate budget.
      • Maintain separate financial accounts for the corporate board and house.
      • Provide a template to the house treasurer that generates budget-to-actual reporting on at least a quarterly basis.
      • Provide the house treasurer with a state tax-exempt card for making purchases.
      • Arrange for annual financial audits of both house and corporate books by a third party (not necessarily a CPA – could be the house advisor).
      • Develop a fundraising philosophy and an action plan.
   3. Long Range Planning
      • Develop a long-range plan for maintenance to include the expected life of the item and the repair or replacement costs. A partial list is as follows:
        • Roof
        • Plumbing upgrade o Electrical upgrade
        • Painting (inside and out) o Parking lot repair
        • Appliances
        • Heating, ventilating and air conditioning
        • Interior furnishings
      • Utilize the attached financial model that incorporates the age of the house, square footage, general condition and current reserves as a guide for the long-range plan.
      • Determine the reserve required to meet ongoing capital needs and establish a plan to work toward establishing the appropriate reserve (may entail increasing monthly fees).
   4. Insurance
      • Review and comply with the University’s requirements for liability insurance.
      • Provide Officers and Directors insurance for both house and corporate boards.
      • Review insurance for replacement value.
      • Explore possibility of all houses purchasing insurance from the same company to achieve better rates.

2. House Executive Board

   1. General 
      • Make the House Alumni chairman a member of E-Board.
      • Have E-Board officers serve on an annual basis, or at least the president and treasurer.
      • Develop and maintain a checklist for opening and closing the house.
      • Develop and/or review manuals for each officer and committee chair that are updated annually and passed on to the successor.
      • Encourage members to take an active role in house repairs and maintenance.
      • Consider having members and house share 50/50 toward the cost of approved, individual room projects.
      • Establish a plan to monitor the house during breaks when the house is vacant, particularly during winter break and summer.
   2. House Operations
      • Ensure attendance at officer training sessions conducted by the PCC.
      • Develop and/or review manual for house rules.
      • Develop and/or review manual for house duties.
      • Have all kitchen workers trained and certified in ServeSafe.
   3. Promotion and Recruitment
      • Participate in as many campus-wide events as possible to promote cooperative living.
      • Notify alumni of recruitment dates and encourage them to spread the word in their local areas.
      • Advise high school guidance counselors of recruitment dates and request their assistance.
      • Encourage members to invite their friends and classmates to participate in recruitment.
      • Utilize social media and websites to inform students and prospective students about cooperative living.
      • Encourage Purdue Admissions to provide information on cooperative living to overflow students. Seek assistance from the Vice Provost for Student Life.

3. Alumni Board

   Note: if the house does not have a separate alumni board, the responsibilities below would fall to the corporate board.
   • Provide training on alumni relations and fundraising.
   • Host an alumni dinner/event to welcome the graduating seniors into the alumni group.
   • Host pledge class annual reunions at the house to better engage alumni.
   • Publish a monthly electronic newsletter to inform alumni of house activities, awards, etc. and to keep them engaged. 
   • Develop an alumni board.
   • Have the pledge class utilize composite pictures to update the alumni list and work with the PAA to obtain current emails.
   • Keep alumni aware of house needs and encourage them to help with fundraising efforts to meet those needs.

We invite you to request the Cooperative Life Best Practices rubric by emailing: fscl@purdue.edu.