Fresh Tracks: Can a Cooperative Save Shames Mountain (Cont'nd)
Shames Mountain is located in northwestern British Columbia, 30 minutes from the bustling city of Terrace (population 20,000). It is accessed by multiple, daily, two-hour flights from Vancouver with Air Canada and Hawkair. But due to a lack of advertising and worldwide marketing, this gem has yet to hit the radar screen for those who love great skiing and snowboarding.
This lack of publicity (i.e. ticket sales)—despite such expansive ski lines, deep powder and ease of accessibility—is causing an uncertain future for Shames Mountain. In fact, there are rumors that this might be the last season if things don’t change. Currently on the market for $1.5 million Canadian, this hidden gem is for sale to the right buyers (the current owners are very conscience of the community and the important role that the mountain plays in the outdoor recreation of Terrace and will not just sell to anyone).
The idea of a global cooperative was originally brought to the table by a soul skier far, far away from Terrace, BC. Jamie Schectman, a self-proclaimed citizen-of-the-world, 100-day-plus skier who lives year-round in Patagonia, had always dreamt of owning and running a ski area with other members of the ski and snowboard tribe, “I, along with a lot of other skiers I have skied with through the years, are becoming increasingly frustrated with the profit-only approach that many ski resorts are adopting. Seeing our ski areas caring less and less about the guest, not to mention the environment, made me think there had to be another way.
Unbeknownst to him, his vision didn’t seem so farfetched.
One day he received an email from a good ski buddy detailing a ski area in northern BC that was on the market for what seemed an amazing price. He did some research on the terrain and liked what he saw. “One of my big passions is searching out the best skiing around the world. There are a couple things that us big mountain skiers look for: steep terrain and a reliable snow pack. Well, Shames gets an A+ in both of those departments.”
The next step was to contact some locals and get their thoughts on the possibility of a cooperative. Schectman explains, “Through the giant circle of skiers and snowboarders around the world, I was able to make contact with some of the local Terrace riders. The initial response was, ‘Are you an angel?’ With the locals’ blessing, I started throwing the idea out via social networking channels like Facebook. Within a few days it was obvious that the global snow lovers were excited about becoming a united cooperative. The locals don’t want to lose their mountain and the global community is excited to ski some new terrain they never knew about. ”
Currently there are a few ski areas, such as Mad River Glen and Magic Mountain, that prove cooperative business model to be a viable choice. Mad River Glen, located in Vermont, originally adopted the practice in the 1990s and is now a profitable enterprise. Magic Mountain has recently jumped on the co-op band wagon and has found it a helpful means to continuing business.
Although it is still not certain if the cooperative model should be a profit non-profit or a non-profit society, the Shames Co-op movement (currently going under the name “Friends of Shames” until a decision is made) has already given much needed exposure to the mountain and the Terrace area. The Facebook fan page has over a 1,000 members only a month after its creation. The website is getting nearly 200 individual hits a day, and the message board is nearing 300 members. In response to the overwhelming interest, a local steering committee has been formed and they are currently evaluating the best course of action as well as taking the necessary steps to provide a sustainable future for Shames Mountain.
The basic premise behind the Shames Mountain Co-op idea is to create a ski area that leaves its guests satisfied and smiling at the end of the day; a ski area run by snow enthusiasts for snow enthusiasts. Schectman explains, “The core values on the table include making business decisions based on what is best for the environment, community and guest. As long as we use this as a baseline, I believe everything else will fall into place.”
Schectman believes that the co-op model brings a lot to the equation for several reasons, “For one, by having a co-op, we can achieve many things that an individual owner or owners cannot. By tapping into the collective global intelligence, the co-op will have unlimited resources to find solutions to challenges, as well as receive input on how to best proceed. In addition, by selling reasonably priced shares that most skiers and snowboarders can afford, it will work as a free marketing campaign that will increase mountain guest visits. I believe that not only will shareholder’s visit to check on their investment, but they will tell their friends about Shames because of the amazing experience that they enjoyed and their pride of ownership.”
The nay-sayers tend to remain skeptical on the business idea. A few reasons that people feel that it won't work include the location, lack of lodging at the mountain and the need for updating its infrastructure. Schectman feels that all of these challenges are surmountable, "In studying the current state of the mountain, I believe that Shames Mountain most definitely faces some obstacles. But I truly believe that by networking for solutions, we can find the best course of action. The challenges Shames Mountain will face have already been addressed by other ski areas. We don't have to reinvent the wheel, only identify the best solution based on past experiences."
One thing is for certain: when bringing multiple people together to work for the common good it takes the pressure, whether financial or otherwise, off of one person’s shoulders. Or as said by the ILO, “The financial and ensuing economic crisis has had negative impacts on the majority of enterprises; however, cooperative enterprises around the world are showing resilience to crisis. Financial cooperatives remain financially sound; consumer cooperatives are reporting increased turnover; worker cooperatives are seeing growth as people choose the cooperative form of enterprise to respond to new economic realities.” For Shames Mountain the future is uncertain. Will the cooperative business model help a little-known ski area? Only time will tell.
MORE INFORMATION ON COOPERATIVES
A practice that was born in Great Britain, fathered by a Welsh cotton merchant, Robert Owen, and expanded upon by Dr. William King and Friedrich Raiffeisen, the cooperative ideal was built on the belief that a community works together in the common interest of each other and the creation of a needed product. The National Cooperative Business Association defines the ideology as a style of business, “…formed by their members when the marketplace fails to provide needed goods or services at affordable prices and acceptable quality. Cooperatives empower people to improve their quality of life and enhance their economic opportunities through self-help.”
Co-ops have assisted people throughout the centuries. Everything from agriculture to electrical issues, from banking to grocery shopping, cooperatives have stepped in to assist citizens around the world. In fact, there are 750,000 co-ops worldwide helping 730 million members, as reported by the NCBA. And more importantly, these cooperatives have been found in a study issued by the International Labour Organization to be a resilient business model in times of financial uncertainty, both historically as well as in today’s fiscal climate. In fact, as described by ILO, “The recent massive public bail-out of private, investor-owned banks has underlined the virtues of a customer-owned cooperative…savings and credit cooperatives, also known as credit unions or SACCOS, building societies and cooperative banks, all over the world are reporting they are still financially sound and that customers are flocking to bank with them because they are highly trusted.” nth