STAKEHOLDERS CAN PANDER TO CO-OP HOUSING DIRECTORS AND OFFICERS

Revised in December 2025 and originally published on February 25, 2009.

By Ken Hummel, Member, Athol Green Co-operative Homes Inc

The Co-operative Housing Federation of Canada ("CHF") a self described umbrella group for non-profit housing co-operatives ("co-ops"), and the national voice of the co-op housing movement in Canada since 1968. CHF is also a lobbyist group that seek out funding from the federal government, provinces, and regional municipalities for co-ops, and other types of non-profit housing. CHF is also a business that profits mainly from its member co-ops.

CHF had some nine member housing federations or associations that sell memberships & services to its member co-ops, claimed to be over 900 across Canada outside of Quebec. Some other CHF members' include management companies, and other businesses partners that may not have direct affiliation with the non-profit co-operative housing sector.

Conflict of interest has tarnished the image and reputation of the Canadian Non-Profit Co-operative Housing Sector. An independent investigation is needed that is totally objective, impartial and transparent. Recommendations are needed to ensure an affordable and efficient system of accountability.

 

All levels of government are unwary and reluctant to allocate funds to non-profit co-ops, and other types of non-profit housing because of the millions of dollars spent and wasted for a combination of reasons such as conflict of interest, duplication, profiteering, suspected fraud, and a lack of accountability.

The non-profit housing sector has been described as a "money pit" that should raise "red flags", and a lucrative trough of public money that many have come to feast.

In Ken's view, CHF and other Co-op Stakeholders appear to pander and coddling Co-op board of directors and management companies or general managers/coordinators at Member Housing Co-ops, and hurt the reputation and future of co-ops.

In Ken's view, the lack of or absence of Principled Leadership, Integrity, core values and Ethics associated with Poor or Bad Governance and Management at Housing Co-ops with it's 'Inherent Problems' are often ignored and hidden away.

 

In Ken's opinion, some housing co-ops placed into "Receivership" appear directly related to the 'inherent problems' with co-op housing, and in Ken's view may also be related to how Housing Federations may exert influence on how their Member Housing Co-ops are Governed and Managed. Example: CLICK HERE   

There are about 2000 non-profit housing co-operatives across Canada and each is separately incorporated and self governed under co-op legislation in each province. CHF does not have legal or administrative control over the operation of individual Co-ops. However with Co-op Housing Federation model organizationl by-laws may exert how its Member Housing Co-ops are governed and managed. Example: CLICK HERE CHF provide services to Co-ops who are Members of CHF, however do not become involved as advocates for individual members of Co-ops as it is the housing Co-op that is their Member.

CHF and its Member Federations rely on their member support from the payment of annual membership dues each year, and buying their services. retaining member loyalty and support, and attracting new members is essential for CHF and its member federations continued operation.

National and regional Co-op Housing Federation education workshops, mediation services, meeting facilitators for chairing and/or recording member co-op meetings of members', and commercial programs that CHF has developed over the years such as insurance, and refinancing services are available to its members at additional cost.

Individual members' that live in member co-ops pay for the cost of membership dues, and services provided by CHF and its Member Federations. It is important to note that Co-ops boards of directors that may include staff ("coordinator/general manager") or a management company are usually the only stakeholders at Member Co-ops involved in the decision making process to acquire and pay for the Co-ops Membership and Annual Dues, and any associated services provided by CHF Canada and its Member Federations.

CHF Canada and its Member Federations that provide a chairperson and/or person to act as recording secretary at its member co-op meeting of members' or provide mediation services to Co-op projects in difficulty or crisis resulting from poor governance and management, can be viewed as a **Conflict of Interest** because CHF Canada and its Member Federations have a relationship with the Member Co-op board of directors that may also include a management company or general manager, and CHF Canada and Member Federations rely on them to pay for the annual membership dues, and any other services provided to their Member Housing Co-ops.

CHF Canada and its Member Federations can also be viewed as advocates for the board of directors, management companies or general manager, if any, at its Member Housing Co-ops.

Conclusions maybe reached that CHF Canada and its Member Federations are in a **Conflict of Interest** that "pander" to Co-op board of directors, management companies, and general manager, if any, at Member Co-ops in difficulty or crisis.

CHF Canada lobbied the government of Canada and Canada Mortgage and Housing Corporation ("CMHC") to contract their sole partner, the Agency for Co-operative Housing ("the Agency") in the administration of federal program housing co-ops to monitor whether co-ops are abiding by the terms of their operating agreement with CMHC, ("compliance monitoring").

 

CHF Canada helped create and establish "the Agency" that hire employees as staff, and board of directors from their sole partner CHF Canada, and its Member Federations.

Compliance monitoring is expensive, not done in detail, and many records that may document the co-ops management are not monitored. If a co-op breaches the operating agreement then obtaining a court order can be expensive in order to force the co-op to comply with the operating agreement ("specific performance"); or appoint a receiver to manage the Co-op Housing Project.

A conclusion can be reached that "the Agency" would not recommend this type of action be taken because of their close business partnership with CHF Canada, and over time will unlikely resolve the problems with many, if not all Federal Program Housing Co-ops in breach of the operating agreement. These two Co-op housing Stakeholders can be viewed as coddling and pandering to the board of directors, management companies, and general manager, if any, and this can help explain why there appears to be a **lack of accountability** in the Canadian co-op housing sector.

In addition, management companies or staff coordinators hired by the board of directors can also be seen as coddling and pandering to the board, in order to keep their job or build a more profitable relationship with the board of directors.

The Co-op General Membership and/or individual members can also be seen as coddling and pandering to the board that may build a relationship with them that they may appear "self-serving" in their own personal self-interest Over the Collective Best Interest for the Co-op, or that individual members maybe harassed and/or threatened with eviction. Poor 'Member Engagement is seen as a huge problem across the Canadian co-op housing sector!

A conclusion can be reached that its not in the best interest of co-ops or its general membership to be coddling and pandering to the board of directors, management companies or coordinators, if any. We all should expect **Good Governance and Management** at our Housing Co-ops that exemplify "Strong Principled Leadership and High Ethical Standards".

Some background information in regards to the business of lobbyists can be access in video links below.

youtube.com

Posted in 2013

John Stossel interviews Charles J. Sykes, author of the book "A Nation Of Moochers" CLICK HERE watch 8:00 video:

youtube.com

Posted in 2013

A Lobbyist And A Politician Walk into A Restaurant...CLICK HERE watch 2:45 video:

In Ken's view, there are plenty of news or social media outlets that report negative information about co-op housing and CHF Canada member non-profit co-ops that are often ignored and hidden away from view.

Lobbyist groups have been described as professional moochers that use their influence peddling, trying to shape public opinion that via for and expect Taxpayers dollars to support their special interest that include themselves.

Profiting in the Canadian non-profit co-operative housing sector, CHF Canada lobbyist expect Taxpayers money to solve the inherent problems with this type of housing that has been on the long road of self-destruction for over 50-years!

Ken is the organized voice that offer fair criticism about CHF Canada and its Member federations across Canada.

Information noted above may be revised and/or deleted without prior notification.

Ken Hummel, Administrator, CHIE