Grange co-ops propose merger

Ballots on a proposed merger of four farm supply co-operatives have been mailed out to members. Colfax Grange Supply, Pullman Grange Supply, Dusty Farm Co-Op and Pomeroy Grange Supply have proposed a merger into a new organization which would be called Four Star Supply.

Larry Cochran, chairman of the Colfax board, said the merger has been under discussion since last February among officers of the four cooperatives. He said the aim is to increase the overall scale of the operation while retaining local service.

Information meetings have been scheduled for members at each town with the Colfax session Tuesday at 8 a.m. in the agronomy building.

Deadline for returning ballots is 5 p.m. Oct. 13.

Cochran said under provisions of incorporation, 25 percent of the ballots have to be returned with two-thirds of the members voting in favor for approval.

Board members have made the proposal with the aim of reducing costs through larger volumes of purchases, Cochran said. They also believe the merger would lead to cost savings in other areas such as accounting and insurance coverage.

Also, the members could see a quicker return on patronage dividends, he said.

Members of the cooperative receive a portion of the company’s profits each year. A portion of that is held in stock which is used for capital expenses. That stock is eventually retired and holders are repaid by the company.

Colfax and Dusty both have agronomy departments which would be available under the co-op format to members of the other two co-ops. Also, Pullman’s Grange supply includes the Potlatch operation.