Evergreen Cooperative

Evergreen Cooperative
Name	Evergreen Cooperative
Formation	2008
Founders	Ohio Employee Ownership Center; Cleveland Foundation; Saint Luke's Foundation; City of Cleveland
Type	Worker cooperative, community wealth model
Location	Cleveland, Ohio, United States
Area served	Cleveland, Greater Cleveland
Key people	Vanita Gupta; Barbara Popovic; Kevin Walker
Products	sustainable services, green manufacturing, laundry services, urban agriculture

Evergreen Cooperative

Overview

Evergreen Cooperative is a worker-owned cooperative network based in Cleveland, Ohio that aims to create community wealth by establishing employee-owned enterprises, combining elements of community development financial institution strategies, social entrepreneurship ventures, urban agriculture projects, and cooperative business models to serve neighborhoods such as University Circle and HealthLine (RTA) corridors. The cooperative model draws on precedents like the Mondragon Corporation, Rochdale Society of Equitable Pioneers, Grameen Bank, Suma Wholefoods, and aligns with initiatives pursued by entities including the Cleveland Foundation, the Ford Foundation, and the W.K. Kellogg Foundation to address disinvestment in historically underserved neighborhoods. Evergreen's approach intersects with public policy instruments and programs from institutions such as the City of Cleveland, Cuyahoga County, and federal initiatives from the U.S. Department of Labor and the Small Business Administration.

History

Evergreen Cooperative emerged in the wake of the 2008 financial crisis, influenced by community development thinkers like Michael Shuman, cooperative advocates from the Ohio Employee Ownership Center, and civic leaders associated with the Cleveland Foundation and Saint Luke's Foundation. Early pilots drew inspiration from international experiments including the Mondragon Corporation in Spain and domestic projects like The Evergreen Cooperatives of Cleveland concept briefs circulated by local nonprofits and universities such as Case Western Reserve University and Cleveland Clinic. Initial capital and technical assistance arrived from a mix of philanthropic actors like the Annie E. Casey Foundation, mission-driven lenders such as Capital Impact Partners and RSF Social Finance, and local anchor institutions including Cleveland Clinic and University Hospitals.

Structure and Governance

Evergreen Cooperative organizes member enterprises as worker-owned cooperatives with democratic governance modeled on principles articulated by the International Co-operative Alliance and case studies from Mondragon. Each enterprise typically adopts bylaws that guarantee one-member, one-vote governance and profit-sharing mechanisms resembling structures promulgated by the National Cooperative Business Association. Oversight and technical assistance have been provided by intermediaries such as the Ohio Employee Ownership Center, Cleveland Foundation, and mission-oriented firms including Democracy Collaborative and Evergreen Cooperatives Inc.. Governance interfaces with local public entities like the City of Cleveland and regional financiers such as Local Initiatives Support Corporation when leveraging community benefits agreements linked to procurement from institutions like Cleveland Clinic.

Business Model and Operations

Evergreen enterprises operate in sectors including commercial laundry (e.g., large-scale linen services), green energy installations, and urban farming through projects like rooftop and greenhouse operations that supply institutions including Cleveland Clinic and Case Western Reserve University. The model combines cooperative ownership with long-term contracts from anchor institutions, capital structures mixing philanthropic grants and loans from organizations like KeyBank and Huntington Bancshares, and technical support from organizations such as Cooperative Development Institute. Operations emphasize local hiring, workforce training partnerships with entities like Cuyahoga Community College, adherence to sustainability standards influenced by LEED principles, and revenue diversification strategies similar to those employed by social enterprises like Greyston Bakery.

Impact and Community Development

Evergreen Cooperative's initiatives have been credited with creating jobs, building worker-owners' equity, and fostering neighborhood investment in areas connected to University Circle and adjacent neighborhoods. Evaluations by researchers affiliated with institutions like Case Western Reserve University, Cleveland State University, and policy groups such as the Brookings Institution and The Aspen Institute have examined outcomes related to employment, wealth-building, and local procurement. Evergreen's model influenced other community-wealth strategies adopted by municipalities including Pittsburgh, Detroit, and organizations in New York City and Philadelphia. Partnerships with anchor institutions such as Cleveland Clinic and University Hospitals enabled procurement commitments reminiscent of anchor mission models promoted by the Democracy Collaborative.

Criticism and Challenges

Critics from scholars and policy analysts at groups like Urban Institute and commentators in outlets such as The Atlantic and The New York Times have questioned Evergreen's scalability, long-term financial sustainability, and ability to overcome structural barriers including concentrated poverty and limited access to commercial markets. Challenges documented by cooperative advocates and evaluators include capital constraints, retention of worker-owners, reliance on a narrow set of anchor contracts, and tensions highlighted in studies from Case Western Reserve University and policy briefs from Brookings Institution. Other critiques reference comparative failures and successes from examples like Mondragon and community development cooperatives in Rochester, New York and Burlington, Vermont.

Notable Projects and Partnerships

Notable Evergreen enterprises and partnerships have included a commercial laundry serving institutional clients, urban greenhouses and market garden initiatives supplying University Circle institutions, and energy-efficiency retrofitting teams contracting with hospitals and universities. Key partners have included the Cleveland Clinic, Case Western Reserve University, University Hospitals, philanthropic funders such as the Cleveland Foundation and Saint Luke's Foundation, lenders like Capital Impact Partners, and technical advisors including the Ohio Employee Ownership Center and the Democracy Collaborative. The network's projects have been showcased in policy forums organized by Brookings Institution, featured in reports by the Aspen Institute, and discussed at conferences hosted by organizations such as The Carter Center and the National Community Reinvestment Coalition.

Category:Worker cooperatives Category:Organizations based in Cleveland Category:Community development