Advocacy

Congresswoman Caraveo introduces the Strengthening Rural Cooperatives and Communities Act 

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Show your support for the Strengthening Rural Cooperatives and Communities Act!

As the only federal program dedicated to advancing domestic cooperative businesses, RCDG helps create and sustain vibrant rural communities.

On Friday, December 8, Congresswoman Yadira Caraveo (D-CO-08) announced the introduction of the bipartisan Strengthening Rural Cooperatives and Communities Act. The bill, co-sponsored by Representative David Valadao (R-CA-22), will help strengthen cooperatives that form the economic foundation of rural communities. 

The Strengthening Rural Cooperatives and Communities Act builds on the successes of the Rural Cooperative Development Grant (RCDG) program by reauthorizing the program and making key improvements to maximize federal dollars while building capacity for rural technical assistance providers.  

As the only federal program dedicated to advancing domestic cooperative businesses, the Rural Cooperative Development Grant (RCDG) program helps create and sustain vibrant rural communities. Authorized through the Farm Bill, the RCDG program provides grants to co-op development centers to improve the economic condition of rural areas by helping communities start, expand or improve rural cooperatives through technical assistance.   

This bill would:  

  • Reduce regulatory burden and increase the effectiveness of RCDG program delivery by allowing the Secretary to implement multi-year grants for applicants with a demonstrated track record of success;  
  • Allow under-resourced and often more rural applicants to compete within the program by removing barriers such as “scoring on a curve” within program match requirements; and  
  • Have the Interagency Working Group on Cooperative Development (authorized in the 2014 Farm Bill) submit an annual report on their progress and analyze data on cooperatives provided through the Economic Census.

Caraveo announced the bill during a tour of a local electric cooperative, United Power, which provides electricity to members located in Colorado’s 8th District. Caraveo was joined during the tour by representatives of local cooperatives, including the Rocky Mountain Farmers Union, the Colorado Farm Bureau, CoBank, Tri-State Generation & Transmission, and the Historic Splendid Valley Commission. 

“Because cooperatives are engines of the rural economy, NCBA CLUSA applauds Representatives Caraveo and Valadao for their bipartisan commitment to modernize the Rural Cooperative Development Grant (RCDG) Program,” said Doug O’Brien, president and CEO of NCBA CLUSA. “As the only federal program solely dedicated to cooperative development, the improvements within this bill will allow cooperative development centers to create better quality jobs while preserving small businesses and co-ops at the heart of rural economies.”

“The Rural Cooperative Development Grant (RCDG) program has been a vital impetus for growth in the worker cooperative sector, leading to strong businesses and good jobs in local communities,” said Esteban Kelly, Executive Director of the U.S. Federation of Worker Cooperatives and chair of NCBA CLUSA’s Board of Directors. “We applaud Representatives Valadao and Caraveo for recognizing the importance of cooperative business to strengthen our economy through collective ownership and worker voice. The reauthorization of this program will prioritize businesses that best serve Americans, and we are proud to support this effort.” 

“We appreciate the leadership of Representatives Caraveo and Valadao to enhance the Rural Cooperative Development Grant program,” said Brian Cavey, Senior Vice President of the Government Affairs and Knowledge Exchange Division at CoBank. “Cooperatives have a unique ability to serve every industry and advance shared goals of individuals and businesses. We applaud the work to support rural cooperatives and are committed to working to help create a healthy and thriving rural America.” 

NCBA CLUSA encourages your organization to support the Strengthening Rural Cooperatives and Communities Act by filling out this endorsement form.  

Learn more about the Strengthening Rural Cooperatives and Communities Act


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