FSCC EXTENDS CALAMITY LOAN TO ITS MEMBERS

In response to the Covid-19 pandemic, the Board of Directors of FSCC from its first online meeting held on August 2, 2020 approved to extend a calamity loan of up to 50% of the paid-up share capital payable up to six (6) months for an interest rate of 6% per annum or 1% per month. To avail the said loan, members should not have any other existing loan with FSCC.

The following are the finance charges for the calamity loan:

    Service Fee: 1% of Loan Amount

    Credit Redemption Insurance (CRI): 1% of Loan Amount
    Capital Build Up (CBU): 5% of Loan Amount
    Other term & condition: Interest can be deducted from the proceed of the loan or to be paid in equal installments along with the principal loan amount at the discretion of the borrower.

All loan applications can be made online which will be posted at FSCC's group messenger and page. Due to the covid-19 pandemic, the grace period on the loan repayment of 5 days was increased to 30 days and the penalty charges of 10% was reduced to 5%. These changes on the grace period and penalty charges are also applicable to all other types of credit services extended by FSCC. 

Further, FSCC's credit services resume this month and the loan repayments will be in September. With the resumption of credit services, members may avail the maximum repayment term for the productivity loan of up to 24 months and may decide whether the interest will be deducted from the loan proceeds or to be paid in equal installments along with the principal loan amount.

FSCC BODs declared Dividends and Patronage Refunds

Through Board Resolution Number 03 series of 2020, FSCC's Board of Directors declared 70% dividends and 30% patronage refunds from its net surplus in Financial Year (FY) 2019 after fund allocation and deduction of net loss from FY 2018. The said Board Resolution was from the excerpt of the BODs minutes of meeting on February 16, 2020 at Purok Pungian, Loakan Proper, Baguio City.

FSCC's result of financial operation for the period ended December 31, 2019 showed a net surplus of P76,713.39. The fund allocations as prescribed by the Cooperative Development Authority (CDA) and FSCC's by-laws from its net surplus were as follows: Reserve Fund (50%) in the amount of P38,356.70, Education & Training Fund (10%) of P7,671.34, Community Development Fund (3%) of  P2,301.40 and Optional Fund (7%) equivalent to P5,369.94 respectively.

The said financial report of FSCC also indicated a net surplus after fund allocation of P23,014.02.  However, in 2018, FSCC incurred a net loss of P10,832.26 thereby resulting to a net surplus available for dividends and patronage refund distribution after fund allocation and net loss in the amount of P12,181.76.

The aforementioned dividend and patronage refund distribution declared by the BODs resulted to a dividend rate of 4.01% which is higher than the banks' interest rates on time deposits and patronage refund rate of 14.63%. The highest computed dividend is P599.49 from a member’s average monthly share capital of P52,562.50 while the patronage refund is in the amount of P914.86 from the total Interest and Service Fee on loans paid by the same member of P22,000.00. 

However, such dividends and patronage refunds will not be paid in cash but rather be credited to individual members' share capital contribution for every fraction of P100.00 par value and its excess shall be credited to their savings deposits on top of the required minimum opening account. The BODs hope to have higher dividends and patronage refund rates in the next FY by extending more loans to FSCC's members and engaging in other investment opportunities as it will apply for a multi-purpose type of cooperative in the coming months.

FSCC Ploggers on the Go to Help Baguio City Clean and Green

The FSCC members and junior savers mark its first plogging activity on July 28, 2018, with the theme "Floral Savings & Credit Cooperative supports the Baguio Ploggers Community for a clean and green Baguio". This activity is in line with FSCC's cooperative social responsibility and in response to the Cooperative Development Authority's (CDA's) mandate on the annual conduct of every cooperative's Social Civic Activities particularly on the Clean Up Drive of the Environment. This activity is also timely to support one of the City Government of Baguio’s 10-point Agenda.

Catherine B. Puckett, FSCC's BOD Chairperson spearheaded the plogging activity from the Panagbenga Park, Loakan Road up to Barangay Kias. Louisse Gabrielle Alcedo, a junior saver of FSCC is the youngest plogger at the age of 5. A total of 6 bags full of garbage were picked and collected during the said event. This initiative of FSCC is a reminder to all tourists and residents alike to help keep the city clean and green.

To encourage active participation of other Floral Kinfolks members in the next plogging activities and other clean and green programs, a certificate of appreciation was awarded to the participants. BOD member Jane B. Alcido and Jerry sponsored the breakfast of the ploggers at their residence in Barangay Kias.

FSCC Genrates P14,340.00 Initial Savings Deposit from the Launching of Its Junior Savers Program

On July 20, 2019, FSCC launches its Junior Savers Program. The principal objective of this program is to instill in the minds of all Floral kids the value of Savings at a very young age. They are encouraged to set aside some of their daily allowances before they spend, thereby teaching them the modern way of savings with the economic equation S= Y-C where S is Savings, Y is Income being their daily allowance and C is Consumption.

A total of P14,340.00 were generated as initial deposits of 11 junior savers which they have accumulated from their piggy bank. These junior savers will be issued with passbook to monitor their savings and its interest earnings to be paid by FSCC on a monthly basis for 1% interest rate per annum. Other features of this program which is intended for all dependents of FSCC members include an initial opening of P100.00 and a minimum balance of P500.00 to earn interest based on its Average Daily Balance (ADB) which is tax free.

The launching was graced by its BOD Chairperson, Catherine B. Puckett along with BOD members Ernestine B. Lalto-og, Rebecca Cynthia B. Batong, Mary Jane B. Alcido, and Oliver B. Alcido. Also present during the said event is FSCC's General Manager, Valentina B. Abnasan. As FSCC opens and operates its Junior Savers Program, more kiddie Florals are also expected to open their savings deposit account.

FSCC Joins the BCCDC's Annual General Council Meeting

FlorAl Savings & Credit Cooperative (FSCC) joins the Baguio City Cooperative Development Council's (BCCDC) annual general council meeting on December 11, 2018 at the Baguio-Benguet Community Credit Cooperative (BBCCC) Seminar Hall, Assumption Road, Baguio City. This annual general council meeting was participated by twenty-four (24) other registered cooperatives at the Cooperative Development Authority (CDA).

One of the highlights of the said meeting was the election of BCCDC's officers for 2019. The Audit Committee Chairperson of FSCC, Martin B. Papay Jr. was elected as a member of the Election Committee along with Ms. Venus Britanico, Chairperson of San Luis Proper Credit Cooperative and Ms. Jane A. Galutan, General Manager of the Guisad Multi-Purpose Cooperative as the Election Committee's Chairperson and Secretary.

Mr. Oscar Adversalo, Chairperson of the BBCCC was re-elected as the Chairperson of BCCDC. Other re-elected officers include Mr. Ruperto Ferrer Jr. with twelve (12) votes for the position of Vice-chairperson, Ms. Ofelia Valencia as the Secretary, Ms. Brenda Navalta as the Treasurer and Mr. Joseph Del Rosario with fifteen (15) votes for the position of Auditor.

Other nominated representatives from the participating cooperatives include Jhumar Guimpayan and Bernard Briones for the position of Vice Chairperson with nine (9) and four (4) votes respectively. On the other hand, Ms. Mina Castro was also nominated for the position of Auditor with ten (10) votes.

Based from the BCCDC's election guidelines, all cooperatives' chairperson are automatically qualified to be nominated and elected as Chairperson while cooperative's representative other than the Chairperson may be nominated and elected for the positions from Vice-chairperson down to the Auditor by virtue of coop's board resolution. Other coop representative without board resolution during the election may also signify their intent to be nominated and elected for the positions of Auditor to the Vice-chairperson provided that such resolution will be submitted after the election.

Also, during the said meeting, the BDCCDC's accomplishment report was presented by its Chairperson, Mr. Adversalo and the Financial Report was presented by its Auditor, Mr.  Del Rosario.

FSCC Attends Forum on the Proposed Creation of Cooperative Bank of Baguio

         On December 4, 2018, BOD member Rebecca Cynthia B. Batong and Audit Committee Chairperson Martin B. Papay Jr. attended the Forum on the Proposed Creation of Cooperative Bank of Baguio at the Multipurpose Hall of the City Government of Baguio as FSCC’s representatives. The said forum was an initiative of the City Government of Baguio in partnership with the Cooperative Development Authority (CDA).

          Ms. Amelita B. Damian, Bank Officer V of the Banko Sentral ng Pilipinas (BSP), Mr. Miguel P. Luma-ang, Chairperson of the Cooperative Bank of Benguet, and Rev. Fr. Charleston L. Buking, Chairperson of the Cooperative Bank of Mountain Province served as resource persons.

          Ms. Damian presented the current performance of cooperative banks in the country, the relevance and definition of a cooperative bank, its difference from rural banks, requirements on its establishment, relevant regulations, and issues and challenges faced by cooperative banks.

          Accordingly, there are a total of twenty-five (25) Cooperative Bank Head Offices in the country of which fifteen (15) are in Luzon and five (5) each in Visayas and Mindanao. There are one hundred thirty-one (131) cooperative bank branches for a total of one hundred fifty-six (156) cooperative banks nation wide owning 0.1% assets of the Total Assets registered in the Philippine Banking System as of June 30, 2018.

          A Cooperative Bank is defined as one organized for the purpose of providing a wide range of financial services to cooperatives and their members. Article 100 of the Republic Act No. 9520 on the Philippine Cooperative Code of 2008 provides that "A cooperative bank shall primarily provide financial, banking, and credit services to cooperative organizations and their members".

             The said act further states that a cooperative bank shall be organized only by cooperative organizations that are duly established and registered under the Philippine Cooperative Code of 2008. A Cooperative Bank shall be considered as a cooperative that should be registered with the CDA, subject to authorization and supervision of the BSP.

          To create the proposed Cooperative Bank of Baguio, at least five (5) primary cooperatives located in the same location of the proposed head office are needed with at least twenty million (20 M) initial capitalization. BSP allows only one (1) coop bank per province.

          On the other hand, Mr. Luma-ang Rev. Fr. Buking shared their experiences as chairperson of the Cooperative Bank of Benguet and Cooperative Bank of Mountain Province respectively in terms of Organization, Capitalization, Operation, and Management.

          In closing, a survey/ questionnaire on the possible establishment of the Cooperative Bank of Baguio was distributed for each participating cooperative to fill-out which should be submitted to the CDA on or before the mid of January 2019. 

The FlorAl Savings and Credit Cooperative Kicks Off its Operations

The FlorAl Savings and Credit Cooperative (FSCC) has finally kicked off its operations on November 10, 2018 through the inauguration of its office at 37 Lower Atab Sto. Tomas Proper, Baguio City, induction of its officers, and the launching of its credit services.

Apart from these events, the first batch of the 3rd Pre-Membership Seminar (PMES) was conducted by the BDO Vice Chairperson and Chairperson for the Training and Education Committee Lea C. Papay to three (3) new member applicants. This was followed by other activities to include a simple thanks giving mass officiated by Pastor Victor Sibayan, the unveiling of the FSCC's cooperative logo led by the Chairperson Catherine B. Puckett with the assistance of the General Manager Valentina B. Abnasan, and the awarding of Share Certificates (SC) to ten (10) members who were able to pay in full their subscriptions. They were Jennelyn M. Acma, Jose B. Buclay, Mary Alice B. Bernal, Robert L. Bernal, Valentina B. Abnasan, Louie Joe C. Banaken, Gladys B. Alcido, Oliver B. Alcido, Dan Gerald A. Salunga, and Dra. Stephanie Joy B. Abnasan.

Mr. Romy Denis of the Cooperative Development Authority (CDA) who had consistently provided assistance to FSCC since the conduct of the 1st Pre-Registration Seminar (PRS) gave his inspirational message to all the cooperative members and guests present, after which he inducted the elected and appointed officers of FSCC. Mrs. Teresita Guisala also gave her short inspirational message.

As the members and guests enjoyed the sumptuous food prepared for the day, the credit services of FSCC were launched using the systems designed by the Chairperson of the Audit Committee, Martin B. Papay Jr. that were installed to the newly purchased computer of the cooperative. A total of five (5) members availed the credit services of FSCC of which four (4) were granted with Regular/Personal Loan while only one (1) was released with Grocery Loan. The verification of the members' qualifications to borrow were done using the Members' Data Management and Information System (MDMIS), the Loans Management and Information System (LMIS) was used for the processing of the loans, the Cash Management & Information System (CMIS) for the payments and release of the loan proceeds, and the Financial Management & Information System (FMIS) for the recording of the loans processed, paid, and released.

Further, a business meeting was held which was facilitated by the BOD Chairperson to finalize the unfinished business on the deposit services of FSCC. On the said business meeting, it was unanimously agreed that the supplemental deposit services will start on December 1. The Certificate of Time Deposits (CTDs) will be open for FSCC members only with a minimum deposit amount of P10,000.00 to earn an interest of 6% per annum for a term of either 3, 6, 9, and 12 months. It was also unanimously agreed that any CTD withdrawn in less than 50% of its term shall not earn an interest and CTDs withdrawn in more than 50% of its maturity shall be paid 80% of the total computed interest upon pre-termination. Deposits generated from the CTDs will be used for development/ productive loans to qualified members who do not have existing loan obligations upon application. The minimum loanable amount is equivalent the member's Paid-up Share Capital and the maximum loanable amount is up to three (3) times but shall not exceed P150,000.00.

On the other hand, in response to the CDA's advocacy to promote savings among dependents of cooperative members in the country, it was also agreed that a savings deposit shall be offered to the dependents of FSCC members as junior savers. The initial amount to open a savings deposit account is P100.00 and to earn an interest of 1% per annum, the junior savers shall maintain a minimum balance of P500.00.

Finally, to close the said events, a second batch of PMES was given by one of the members of the Training and Education Committee, Dra. Stephanie Joy B. Abnasan. This was participated personally by Heide Yuri B. Dumaran and Mary Alice B. Bernal through a teleconference. As of November 10, 2018, FSCC has forty-two (42) official members with a total subscribed share capital of P1,357,600.00 of which the paid-up share capital is P581,900.00, the total loans released during the launching of its credit services is P57,000.00 with five (5) borrowers.