Message-ID: <9706018678.AA867802713@hudsmtphq.hud.gov> Date: Tue, 1 Jul 1997 17:25:29 EST From: mailto:Michael_O._Patterson@HUD.GOV Subject: LCN part 2 [shared w/permission] To: mailto:DEVEL-L@AMERICAN.EDU
Lopez Hour Steve Ludwig Rt. 1, Box 1913 Lopez Island, WA 98261 360/468-2104 Currency 1st issued: November '95 100 participants, 35 with professional offerings, 5 storefront businesses Outreach: Quarterly newsletter/directory, The Commonwealth Times, distributed throughout island community; posters; announcements at town meetings. Background: Organized by group of individuals who later formed Lopez Island Commonwealth. Offers grants and no-interest loans in Lopez Hours.Madison Hours Laura Lentz P.O. Box 3204 Madison, WI 53704 608/256-9853 mailto:lrlentz@students.wisc.edu Currency 1st issued: May '96 380 individuals, 60 storefront businesses Outreach: 4500 monthly newsletters, Hour Community, distributed throughout community, 900 listings. Background: Planning committee overwhelmed with response to initial press release; continuing excellent media coverage. Originally funded by Madison Community Co-op, currently supported mainly by directory advertising; advertisement representatives paid commission in Hours. Incorporated as co-operative, broad-based group administration.
***CANADA & MEXICO***
Bow Chinook Hours Linda Grandinetti 233 10th St. NW Calgary, Alberta Canada T2N 1V5 403/270-3201 mailto:gasca@freenet.calgary.ab.ca Currency 1st issued: January '96 270 participants Outreach: Bi-monthly Bow Chinook Barter Bulletin, 380 listings. Background: Volunteer run; directory printing funded by advertisement revenue.
Kootenay Hours Suzy Hamilton P.O. Box 843 Nelson, British Columbia Canada V1L 6A5 604/825-9372 mailto:kbarter@netidea.com Currency 1st issued: May '94 540+ individuals Outreach: Bi-monthly Kootenay Barter Bulletin ($.50 at public distribution points), 400-700 services listed; barter fairs; bi-monthly potlucks. Background: Began with a vision to publish an alternative newspaper providing advertising to promote barter; funded and administered by single individual; currently planning to join with non-profit West Kootenay Community EcoSociety; carefully building community support instead of relying on outside grants; working to make the Bulletin a long-term vehicle for revenues.
shuSwap Hours Erik Hansen 2151 21st St. NE Salmon Arm, British Columbia Canada V1E 3E4 250/832-6715 mailto:Bartnet@jetstream.net Currency 1st issued: April '94 90+ participants Outreach: Bi-monthly shuSwapper, distributed free, 250+ listings; monthly potlucks; newspaper and radio coverage; lectures; workshops. Background: Initiated by activist, currently maintained by group of volunteers through non-profit shuSwap Barter Network. Currently discussing building and maintaining website in lieu of printing directory, since local library just installed 4 computer terminals with web access.
Maritime Hours Bob Cervelli Regional Atlantic Trading Association (RATNA) P.O. Box 151 Halifax, Nova Scotia Canada B3J 2X1 902/494-1288 mailto:ab580@chebucto.ns.ca Currency 1st issued: June '94 30 individuals, 12 storefront businesses Outreach: 300 monthly Maritime Money directories, 45 listings Background: Started by small committee of volunteers under the umbrella of RATNA; originally issued discount notes with 10 participating businesses, then expanded to Hour program. Credit union supplied grant for printing. Experienced initial boom, went into hiatus for a year, and now rebuilding on a smaller scale. Two employees of RATNA will now be paid small stipend to administer. Difficulties connected with urban setting inspired original organizer to secure 3-year declining grant from provincial government to begin organizing currencies in 3 nearby rural communities (see Coastal Gems, p. 10).
Kingston Hours Dave Steele 262 MacDonnell St. Kingston, Ontario Canada K7L 4C3 613/549-0066 mailto:ds21@post.quensu.ca Currency 1st issued: October '96 300+ participants Outreach: Bi-monthly directory, 120 listings; public meetings; canvassing; media coverage. Background: Organizing committee consists of 10 volunteers, under auspices of Ontario PIRG, with open democratic structure for regulation of currency by registered participants at monthly meetings.
Tlalocs Luis Lopezllera M. Promocion del Desarrollo Popular (PDP) Tlaloc 40-3 11370 Mexico D. F. 011-52-5-66-4265 mailto:espacios@laneta.apc.org Currency 1st issued: Early 1996 130 participants Outreach: "Yellow pages supplement" listing goods and services is distributed locally and also through quarterly magazine LA OTRA Bolsa de Valores (THE OTHER Stock Ex-change), which is distributed to 70 countries and 850 organizations. Background: PDP, a small non governmental organization created 30 years ago to organize peasants, workers, suburban settlers, and indigenous people, works to foster exchange of knowledge related to self-reliance and sustainablility among grassroots and non governmental organizations. Started publishing LA OTRA in 1990, and in the past three years has been exploring economic issues; initiated BOJA money with indigenous people in a rural valley, but was halted by government harrassment. Started Tlalocs in Mexico City, issues both scrip and LETS-style checking system, produced brief video, Tiangas Tlaloc (in Spanish).
***OTHER LOCALLY BASED PROJECTS***
Time Dollar Institute Edgar Cahn P.O. Box 42160 Washington, D.C. 20015 202/686-5200 Http://www.cfg.com/timedollar Currency 1st issued: '86 Programs in 38 states Outreach: Each Time Dollar program is unique. Background: A "social currency," designed to reward altruism and supportive community- service exchange. Originally created to give elderly a means to pay for volunteer services; funded by foundations; has currently expanded into community-wide, computer-based "time banks"; integrated into health care systems, colleges, churches, state and federal social agencies, neighborhood security patrols, food banks, etc. Designed programs with inner-city state schools to compensate teens for tutoring, peer juror participation, and community service hours. Now established as tax-exempt non-profit. Because Time Dollars exchanges are morally rather than economically motivated exchanges between neighbors, they are not taxed by the IRS. Edgar sells PC software for a Time Dollar system and maintains a network of nationwide Time Dollar programs on his website (see homepage address above).
Commonweal Hero Card Joel Hodroff Commonweal, Inc. Riverplace, Suite 227 43 Main St., S.E. Minneapolis, MN 55414 612/378-7887 mailto:commonweal@isd.net Currency 1st issued: Demonstration launched February '97 100 card holders Outreach: 4000 copies of first issue of Commonweal HeroCard Newsletter and Catalog distributed to public. Background: Project initiated by for-profit Commonweal, Inc. (sponsored by Common-weal Institute, which is currently applying for non-profit tax-exempt status). Similar to Time Dollars, but involves merchants who accept part payment (10-50%) for goods and services in "C$Ds" (Commonweal Service Dollars). Participants earn C$Ds volunteering at one of 8 community sites and spend them at one of 15 businesses. After being spent, C$Ds lose their value; merchants absorb them as a discount. Accounts currently managed by National City Bank; plan underway to use a "dual currency" (combined C$D and $US) credit card for all account transactions. IRS has not yet decided on taxability of C$Ds.
WomanShare Jane Wilson and Diana McCourt 680 West End Ave. New York, NY 10025 212-662-9746 mailto:wshare@aol.com Currency 1st issued: '91 Outreach: Bi-annual directory; monthly potucks; group trading; educational outreach. Background: A community of urban women sharing skills "as our rural grandmothers used to do." A computer based bank service exchange system, $50 yearly membership, limited to 100 members. Membership commitments require active participation in administration. Administered by 2 individuals.
***SOON TO BE ACTIVE***
Santa Barbara Hours Amory Starr Bruce Bigenho Mark Phillips P.O. Box 91533 Santa Barbara, CA 93190 805/682-9972 mailto:sustain@silcom.com Scheduled issue date: July '97 Local foundation, Fund for Santa Barbara, providing seed money; planning tri-monthly directory. Currently has 60 individuals signed on; business support will be pursued following successful initial trading.
Thread City Bread Donna Nicolino P.O. Box 213 Willimantic, CT 06226 860/456-9213 mailto:kevnna@neca.com Scheduled issue date: May '97 Funded by tag-sale, grant, and membership fees; printer will print quarterly newsletter free in exchange for advertising. Has 40 participants, 4 storefront businesses signed on.
Gainesville Hours Gainesville Barter Network Shanti Vani P.O. Box 12504 Gainesville, FL 32604 352/376-1606 mailto:s.vani@worldnet.att.net Scheduled issue date: Summer '97 Starting small and low-key; outreach to members only. Currently 16 participants. Atlanta Hours Hugh Esco P.O. Box 5332 Atlanta, GA 30307 770/368-2805 Scheduled issue date: Summer '97 Using "sign-up bonuses" to encourage members to sign up friends; will print scrip when 50 participants signed on.
Columbia Hours Devin Scherubel P.O. Box 7653 Columbia, MO 65205 573/443-6832 mailto:dscherub@mail.coin.missouri.edu Scheduled issue date: Summer '97 Originally organized by local neighborhood association; joined with other neighborhood associations to print a small barter listing in their respective newsletters; now expanding with scrip. Local community college Social Work program is volunteering administrative time for credit. Brooklyn Greenbacks Tania Hollander 1702 11th Ave. Brooklyn, NY 11218 718/595-2034 mailto:tholland@uahc.org Scheduled issue date: Summer '97 Initiated by 2 individual community activists with support of Brooklyn Green Party; now community project co-sponsored by Brooklyn Ethical Cultural Society and non-profit Central Brooklyn Federal Credit Union; looking to become independent non-profit. Currently 50 individuals registered.
Burlington Currency Hours Mark Montalban P.O. Box 5789 Burlington, VT 05402 802/658-7454 Scheduled issue date: Fall '97 Grassroots origin; many committees and organizations cooperating; large municipal support base.
Bainbridge Bucks Shelby Rallis 321 High School Rd., #250 Bainbridge Island, WA 98110 206/842-8594 mailto:shelb@worldnet.att.net Scheduled issue date: Fall '97 Committee working with local Chamber of Commerce; seeking separate non-profit status; will have art contest to design scrip; waiting for 100 members before printing.
Prince George Hours Andrea Dulmage Prince George Barter Society 715 Victoria St., Room 208 Prince George, British Columbia Canada V2L 2K5 250/964-0488 mailto:venture@techcentre.bc.ca Scheduled issue date: May '97 Started by individual; funding from donations, membership fees; trying to incoporate as non-profit. Currently 30 members, 10 businesses.
Coastal Gems Darlene Bowden General Delivery Parrsboro, Nova Scotia B0M 1S0 Canada 902/254-2994 Scheduled issue date: Late Summer '97 Started by individual with the help of Maritime Hours (see p. 7); currently designing currency; will approach both businesses and individuals; hoping to form organization soon.
******************************************************************** A RECENT HISTORY OF LOCAL CURRENCIES:
E. F. Schumacher Society President Robert Swann has been a tireless promoter of local currencies since 1972, when he worked with economist Ralph Borsodi to issue "Constants" in Exeter, New Hampshire. Constants were tied in value to a basket of commodities and circulated in shops in Exeter for over a year before the ninety-year-old Borsodi recognized that he must limit his activities. Inspired by the Exeter success, Bob wrote, lectured, and gradually built an intellectual climate for the decentralized issuing of scrip. In the 1980s Mark Kinney of Ohio hosted a discussion group through the mail on local currencies. Tom Greco, later to author New Money for Healthy Communities ($19, c/o author P. O. Box 42663, Tucson, AZ 85733 mailto:<circ@azstarnet.com>), was a part of that group, as was Bob. They argued over the proper backing for a local currency and whether or not scrip should be dated, thus depreciating in value over time and encouraging greater velocity in circulation. The current e-mail discussion groups have replaced the letters through the mail, but Mark played an important role at the time in prodding the growth of a movement. Also in the early 1980s the Canadian Michael Linton developed a Local Economic Trading System (LETS) in his home region on Vancouver Island. The system did not use paper scrip but did establish a credit and debit system via phone, and later computer, that proved especially successful in encouraging trade within the service community of the region. LETS programs now thrive in Great Britain, Australia, New Zealand, and Europe. Michael is busy providing technical assistance to new groups (1600 Embelton Crescent, Courtenay, BC V9N 6N8 CANADA <mailto:LCS@mars.ark.com>). North Americans, however, were hesitant about an alternative economic system in which transactions were dependent on a call to a centralized computer system. They are both more spontaneous and more private in their economic exchanges. In the mid 1980s the E. F. Schumacher Society- working with members of Self-Help Association for a Regional Economy (SHARE), a micro-credit program in the Southern Berkshires-developed a program for a local currency denominated in units of cordwood to be called "Berkshares." While Berkshares were still on the drawing table, a local restaurant approached SHARE for a loan to finance a move to a new location. We suggested using scrip as a self-financing technique rather than tapping the loan pool. As a result, in October of 1989 the Deli in Great Barrington, Massachusetts, issued "Deli Dollars," a transferable and dated note. Deli customers bought $5,000 worth of notes in the first 30 days of issue, financing both the move and renovation costs. Berkshire Farm Preserve Notes, Monterey General Store Notes, and Kintaro Notes were quick to follow. In the spring of 1991 a Washington Post reporter wrote a front page story on the Berkshire local currency phenomenon. A host of international TV, radio, newspaper, and magazine reporters all rushed to Great Barrington to tell the tale of how these independent Yankees printed their own money. Unlike the computer-generated credit programs, locally issued hand-to-hand scrip had the power to capture the North American imagination. Paul Glover of Ithaca, New York, heard a radio report about the Berkshire currencies and decided something even better could happen in his hometown. He launched Ithaca Hours. It combined many of the features of the LETS program with a hand-to-hand scrip. Paul proved to be a great marketer of the idea. His monthly newspaper HOUR Town is entertaining, informative, and lists all businesses that accept payment in Ithaca Hours. The program has grown and flourished and now includes over 1,500 listings of individuals and businesses trading in scrip, with $62,000 worth of scrip in circulation. The majority of the groups listed in this directory got their start by buying Paul's Hometown Money Starter Kit (see directory listing for ordering information). A good idea is best recognized when it emerges in several places simultaneously. Local currencies have taken many forms. Gurunam Kaur Khalsa's work in the early 1990s with women in the university system of the Connecticut River Valley has grown into a broad-based program known as Valley Dollars, under the sponsorship of the Franklin County Community Development Corporation in Greenfield, Massachusetts (see directory listing). Diana McCourt and Jane Wilson began WomanShare in 1991 as a skills exchange program. Their spunk and charm as they tell the story of WomanShare have helped turn it into a hopeful model for women's groups around the country. Edgar Cahn's Time Dollars concept (P. O. Box 42160, Washington, DC 20015) has helped mobilize tens of thousands of volunteers in the service community across the nation by employing scrip. Professor Lewis Solomon of George Washington University understood that the rapid growth of the movement would inevitably raise legal questions about the local issue of scrip. In addition to traditional academic resources, he relied on the computer-indexed pamphlet collection in the library of the E. F. Schumacher Center for much ofthe research for his book Rethinking Our Centralized Monetary System: The Case for a System of Local Currencies which provides useful background material for any actively forming local currency group (see ordering information on last page). In Great Barrington the interest in local currencies has grown to include the business and banking communities. For three years the Main Street Action Association issued Berkshares as a summer promotion involving 70 storefront businesses. As a result five local banks, the Chamber of Commerce, and the E. F. Schumacher Society are seeking first-year operational funding for a year-round Berkshares program. Structured as a 10% discount note, Berkshares will be issued through local banks with the Chamber of Commerce providing program coordination. If successful it is anticipated that participating businesses will carry overhead expenses in subsequent years' operations, providing continuity and sustainability to the program. Other regions will undoubtedly structure local currency programs best fitted to their own particular place and the consumer and producer communities at home there. Local Currency News plans to provide a continuing record of this growth and experimentation. Your comments, support, and stories are most welcome. Our thanks to the Lynde and Harry Bradley Foundation for its initial funding for Local Currency News. Susan Witt, Executive Director E. F. Schumacher Society
******************************************************************** ADDITIONAL RESOURCES AVAILABLE FROM THE E. F. SCHUMACHER SOCIETY:
Cities and the Wealth of Nations - Jane Jacobs ($12.50) A concrete and lucid argument for redirecting economics to the regional scale, including a compelling case for regional currencies. With verve and humor Jacobs identifies cities and their surrounding regions as the salient economic entities within a national economy: "Societies and civilizations in which the cities stagnate don't develop and flourish further. They deteriorate."
Inflation and the Coming Keynesian Crisis: The Story of the Exeter Experiment - Ralph Borsodi ($10.00) In 1972 Borsodi became convinced that what was needed was not another book about the evils of inflation but a demonstration of what could be done to combat it. In addition to essays on the nature of money, inflation, and banking, this book describes Borsodi's establishment of a commodity-backed currency, the "Constant," that circulated in Exeter, New Hampshire in 1972. With an introduction by Robert Swann and a bibliography of materials on free banking and currency competition.
Interest and Inflation Free Money - Margrit Kennedy ($15.00) Margrit Kennedy is a German architect, urban planner, and author of many books and articles on women and architecture, urban ecology, permaculture, and land and tax reform. This is her first book on monetary issues, an outgrowth of her recognition that ecology and economy follow opposite growth patterns and that the implementation of her ecological proposals will encounter difficulty within the present money system.
Invested in the Common Good - Susan Meeker-Lowry (17.00) "Meeker-Lowry has worked passionately and tirelessly to research, develop, map, and reconstruct restorative economic pathways rooted in the values of community, humanity, and ecological sanctity. This is real work for the common good." -Paul Hawken
People, Land and Community: The Collected E. F. Schumacher Society Lectures - Ed. Hildegarde Hannum, introductory material by Nancy Jack Todd ($17.00) Includes contributions by Kirkpatrick Sale, Dana Lee Jackson, Winona LaDuke, Frances Moore Lappe, David Ehrenfeld, John McClaughry, Hazel Henderson, Jane Jacobs, Wendell Berry, John McKnight, Wes Jackson, Cathrine Sneed, Thomas Berry, Hunter Hannum, David Orr, David Brower, John Todd, Stephanie Mills, and Benjamin Strauss. Also includes Robert Swann and Susan Witt's essay on local currencies.
Rethinking Our Centralized Monetary System: The Case for a System of Local Currencies - Lewis Solomon ($55.00) Solomon is a Professor of Law at George Washington University. His thoroughly researched book discusses the legal aspects of local currencies and builds a case for a system of decentralized issue.
Short Circuit: Strengthening Local Economies for Security in an Unstable World - Richard Douthwaite ($25.00) Proposes that each community build an independent local economy capable of supplying the goods and services its people would need should the mainstream economy collapse, details the financial structures necessary for self-reliance, and describes the techniques already in use by pioneering communities across the industrialized world.
Whole Life Economics: Revaluing Daily Life - Barbara Brandt ($15.00) Brandt reminds us that we each help to create the economy, and "this also means we can change it, through the activities of our daily lives, so that it more fully meets our real needs and expresses our deepest values." Brandt offers a critique of the "failure of the addictive economy" and then charts the widespread community alternatives to corporate control of our lives.
To order or for additional information, please contact the E. F. Schumacher Society 140 Jug End Rd. Great Barrington, MA 01230 413/528-1737 mailto:EFSSOCIETY@aol.com