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The Latest News from Wheatsville

Guadalupe Store News

A message from the General Manager




Howdy Wheatsvillagers,

It’s been a few months since we first announced Owner Extras, our new exclusive benefit for Wheatsville owners. We officially launched the program with the start of our new fiscal year in June, and we’re excited to share that owners are now reaping the benefits with each and every shop!

In case you missed the prior announcement, this program grants owners an additional 10% off all sale items marked with our green Co+op Deals signage. As our flagship sales program, these deals were already some of the best and most numerous sales in our stores, with more than a 1,000 SKUs marked down in any given week. With Owner Extras, they now offer even better savings for co-op owners! If you haven’t taken advantage of this program yet, I would encourage you to check out our latest sales flyer to explore some of your opportunities to save this week.

The success and long-term sustainability of this new owner benefit hinges upon the participation of our ownership. In modeling the cost and impact of this program, we determined that it can pay for itself if each active owner—defined as those who have shopped within the past year—visit our stores just one more time per year on average. We hope that this day-to-day benefit will encourage you to come and see us just a little more frequently. As Board President Brandon Hines notes elsewhere in this newsletter, the strength of our shared cooperative enterprise depends heavily on the regular participation of our community of co-op owners. We literally cannot do it without you!

In addition to highlighting this new program, I also wanted to take a moment to thank those of you who participated in our recent shopper survey. Because this was sent to a random sample of owners and shoppers, many of you reading this may not be aware it was conducted. Nonetheless, we appreciate the candid and insightful feedback of those who participated. We look forward to using your feedback to continuously improve the co-op shopping experience and to further refine our products and services with the goal of better meeting your needs. Serving as the heart of this community is our highest purpose, and your feedback is critical to that process.

And finally, I would be remiss not to highlight the many events we have undertaken at both co-op locations as yet another reason to come and see us. If you haven’t been to one yet, we would love to see you at one of our Party on the Patio events, held each third Thursday of the month on the Guadalupe patio. Come enjoy an affordable meal and beverage (adult or otherwise) along with live local music. Our Taste of Plant-Based sampling was on Saturday, July 22. We went even bigger this year, with sampling and activities throughout the store and spilling out into the parking lot.

Thank you all for your ongoing support and patronage of the only
consumer-owned grocery co-op in Texas. Take care y’all!

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Wheatsville Sustainability Report

As a community owned co-op, we take our Cooperative Values & Principles very seriously. We fulfill the ideals of Principle #7, Concern for Community, in a number of different ways – one of which is being a good environmental steward. Through thoughtful, small daily actions – such as sorting our trash from recycling and compost after we eat – we can make a HUGE impact.

Thank you for doing your part – bringing your containers to refill, remembering your reusable bags, sorting your trash, composting, planting gardens, collecting rainwater, and for supporting your co-op!

Here are some things your co-op does to stay green:

1. We recycle metal, cardboard, plastic, paper, glass, food scraps, and cooking oil.
2. Break it Down, our local recyclers, estimate that we divert 20 tons of cardboard each month between both stores. That’s the equivalent of 3 elephants!
3 .Break it Down also estimates that we divert 100 tons of recycling (cardboard, glass, and plastic) each month between both stores. That’s the same as 50 full-grown cows!
4. Wheatsville is part of Austin Energy’s Green Choice program which uses the money we pay for utilities to build wind farms and help Austin reach its goal of 55% renewable energy use by 2025!
5. S. Lamar has 57 SolaTubes which use highly reflective fiber optic tubes to direct sunlight into our store so that we don’t have to use as    much electricity.
6.Ceiling lights at S. Lamar adjust intensity depending on the amount of natural sunlight coming in from our SolaTubes.
7.We only buy energy efficient coolers, refrigeration units, and equipment.
8.We offer bulk refills of wellness products like     Dr. Bronner’s soaps and lotions!
9.We use noVOC or lowVOC building materials and paint in order to have an odor-free store.
10.Our waterless urinal at S. Lamar saves 1.5 gallons of water per flush! 12 flushes per day saves 6,552 gallons of water per year!
11.Our rainwater collection tanks at Guadalupe give us enough water to irrigate all of our landscaping!
12.Our paper bags are made with 100% recovered fiber, minimum of 85% post consumer content, and are printed with water-based inks.
13.Lots of bike parking, showers for staff at S. Lamar, a bike to work benefit for staff members who ride 8+ hours/month.
14.Concrete parking lots that absorb less sunlight than asphalt and reflect less heat, light paint colors, and awnings help keep us cool through the hot summers.
15.Email receipts, double-sided receipts, and no receipts option significantly cut down the amount of paper register tape (BPA free) we have to buy.

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All Aboard For The Coming Light Rail Project

By Bill Bickford - General Manager

I’ve received a handful of questions from staff and customers in recent months regarding Project Connect and the light rail line that will eventually run along Guadalupe. In responding to the topic, I should first disclose that, for the past year, I have represented Wheatsville as a neighborhood and business representative on the board of Transit Forward, an organization that exists “to inform the Austin metro community about the benefits of an accessible regional public transit system.” This is a volunteer position for which I receive no compensation.

With that said, I want to assure co-op owners that your board and management are aware of the coming light rail project and that it run will directly in front of our Guadalupe location. I’ve closely followed the plans as they’ve developed and have discussed with your board the potential impacts to store operations. These are likely to include significant disruption during the acute period of construction as well as changes to traffic patterns and store ingress when it is complete.

The most important thing to note here is that we have time. It is likely that construction will not begin in our area for three or more years, giving us ample time to develop a mitigation strategy. While we do not yet have fully developed a plan for how your co-op will navigate these challenges, I can assure you that your board and management are actively working on solutions. As soon as we have further news to share on this topic, our owners will of course be the first to know.

Speaking more broadly, I would note that Wheatsville’s board and management are generally supportive of increased public transit options in Austin, even while recognizing the significant challenges this particular option may pose to us as an organization. A robust public transit system compliments Wheatsville’s own mission and ends by promoting environmental sustainability and equitable access to goods and services within our community. Our task is to find a path by which our co-op and light rail can thrive together in a future, more connected Austin.

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Apple Butter Recipe

The Best Fall Condiment is Apple Butter

The falling leaves and golden grasses may be more from the dry heat of summer than a signifier of chilly autumn temperatures, but as the first cool mornings arrive, I am ready to celebrate fall. The first local crops of apples will be showing up in produce soon, and apples are one of the most versatile and delicious of fall fruits. Apples are satisfyingly crunchy eaten out of hand, or soft and gooey sweet baked into a pastry. There is so much potential in an apple and one of my favorite autumn recipes is apple butter!

Apple butter is a humble but delicious condiment. A richer spicier version of the more ubiquitous apple sauce; it relies on heat and time to develop its signature smooth velvety texture. I like to make mine from a variety of apples but I usually skew towards the tarter varieties like Granny Smith, Braeburn, or Cortland. One perk of apple butter is that it does not require perfect apples. If you have a few apples that returned in lunch bags or backpacks a bit jostled and bruised. They are perfect candidates for cooking down into apple butter.

Peel and core the apples, then slice them into rough chunks about ½ inch in size. You can compost the scraps. My chickens enjoy the peels as a treat. Combine the chopped apples and water in a large pot and bring to a boil. Lower the heat to a steady simmer and cover. Occasionally stir and mash until the apples are soft and broken down. They will reach an apple sauce consistency. You could stop here and have unsweetened apple sauce, but I strongly recommend adding sugar and continuing to cook the apples further.

Add about 1/2 cup of brown sugar. The exact amount will vary based on the sugar level in the apples and your personal preference. I usually end up with between ½ to one cup of brown sugar to three pounds of apples. Further seasoning is up to you. I like to add one tablespoon of molasses, ½ teaspoon of vanilla, and ½ teaspoon of pumpkin pie spice. Any warm spice will do in this recipe. Use what you like and have on hand. Continue cooking on low for several hours, stirring every 20-30 minutes to keep the bottom from browning too quickly. Your kitchen will be filled with the most delightful spicy sweet fall aroma. It will put you in the mood for a hot beverage and cozy scarf, even if it is still 90 degrees outside!

Eventually the apple butter will turn a uniform deep shade of brown and take on a glossy sheen. At this point it is ready. Turn off the heat and do a taste test for sweetness and seasoning. Resist the urge to eat it all straight from the pot! Once you have your preferred sweetness and spice allow the apple butter to cool slightly. The sauce will thicken up as it cools from the pectin in the apples.

I store my apple butter in a large ball jar in my fridge. Apple butter can be spread on toast, or dolloped on yogurt, or ice cream. It also adds a punchy, flavorful filling for homemade cinnamon rolls and coffee cake. It needn’t all be used on sweets; apple butter makes a fabulous partner as a glaze on pork or chicken. I usually find myself scraping the bottom of the jar within a month of making a batch. Happy Fall Cooking!

Apple Butter


INGREDIENTS

•   3lbs apples - peeled, cored,
     & roughly chopped
•   2 cups water
•   ½ - 1 cup brown sugar
•   1 Tbsp molasses
•   ½ tsp vanilla extract
•   ½ tsp pumpkin pie spice
     (any warm spice is fine)
•   ¼ tsp salt

DIRECTIONS

1.  Simmer the apple chunks and water in a covered pot, stirring occasionally until the apples turn into apple sauce.
2.  Add ½ cup sugar and the molasses, spices, vanilla, and salt. Mix well and continue to simmer until the sauce thickens and turns dark brown. It should take about an hour and a half.
3.  Adjust seasonings to taste and allow to cool.
4.  Store in a container in the fridge.

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State of the Co-op

By Bill Bickford - General Manager

Among the most basic responsibilities we hold in common as Wheatsville owners is to remain informed regarding the state and health of our shared community asset. As we wrap up our annual audit and finalize financial statements for our 2021-2022 fiscal year, it seems an appropriate time for a general update on where your co-op stands and where we may be headed in the future.

Strong Financial Year
As Board Treasurer Stephanie Wong notes within the Audit & Review Committee’s report, Wheatsville produced very favorable financial results in our 2021-2022 fiscal year. We generated our strongest net income in many years, increased our cash balance, and reduced our liabilities. This could not be said in recent previous years, so we are very pleased to be in a much stronger financial position today.

It’s important to recognize that co-ops do not exist for the purpose of generating profit. It is also true, however, that operating profitably is a necessary prerequisite to increasing the positive impact we can have on our community. What ultimately sets co-ops apart from other businesses is how we use our profit.

I was delighted this past summer to pay our first staff bonus since 2015. We were also able to increase both our starting wage scales and available raise ranges. Our staff have persevered through some challenging years to work in the grocery business, so it has been gratifying to share our success with the folks who helped make it possible.

In addition to taking care of staff, we were also able to raise $130,580.10  for our Community Action partners, invest in needed fixtures and equipment, and have our first real conversations about patronage rebates to owners in several years. I’ll definitely take that as a win!

Caution: Bumpy Road Ahead
Despite the many positives of last fiscal year, we are nonetheless likely to face tough headwinds in the year ahead. Sales remain in decline at both stores, a trend your co-op has now contended with for several years running. With wages increased and pressure to raise them further likely in the future, profitability in the current fiscal year is far from guaranteed. In fact, your co-op posted a loss in our first quarter (June through August), consistently our most challenging quarter of the year.

Need for Growth
Our most critical challenge moving forward is to grow store sales. We must not only reverse the current negative sales trends; we must grow sales at a rate that can outpace current wage and cost inflation, which is no easy task. We are currently developing and implementing a variety of strategies to do so, perhaps the most important of which is improving our food service operations, discussed elsewhere in this newsletter.

That said, improving our current store operations—while critically important—is not the only avenue to increased market share and sales volume. As I shared with owners during a recent GM Connect event, your co-op is actively exploring growth opportunities for the first time since opening our Lamar store in 2013. Despite sales decline and wage pressures, our balance sheet is in its strongest position in several years. We have a higher cash balance and lower debt-to-equity ratio today than at any point since opening South Lamar, which may present an opportunity to grow our organization beyond the current locations.

Any plan to add locations would require the support and engagement of our community of more than 27,000 Wheatsville owners. We quite literally cannot do it without you! While there is not yet one specific opportunity we are committed to pursuing, your board and management do hope to reach alignment on a feasible growth opportunity over the next several months. When that time comes, I look forward to earning your support in furthering our founders’ vision of a robust community “that will grow and promote a transformation of society toward cooperation, justice, and non-exploitation” 

After 23 years connected to this co-op, I truly believe that Wheatsville sits at the heart of this Austin community. It is that community’s support that has sustained and nurtured the co-op to this point; and it will be your support again that ultimately sets our course moving forward. We shall endeavor to earn that support each

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Message From The General Manager: Bill Bickford

As this newsletter goes to print, we have just concluded our 2021-2022 fiscal year. Annual reports will be made available in an upcoming issue, following completion of our audit, but what I can confidently share today is that your co-op has had its most favorable financial year in at least a decade. After a number of years spent treading water financially, store operations have now produced positive cashflow for several consecutive quarters. This is an enormous improvement over our performance just a few years ago.

While the co-op was also profitable in each of the past two years, it was only minimally so—and not enough to do anything particularly exciting. This year, we get to make the kinds of energizing choices that are only possible with strong financial performance.

For starters, we plan to pay our first staff bonus since 2015. It was difficult to impossible to pay year-end bonuses when the co-op was not operating profitably, so I am very excited to be able to do so this year. Our staff has absolutely earned it. The operational and staffing challenges of the past two years have not been easy to work through, and our financial performance this past year is a direct result of our staff’s combined efforts. I am optimistic that this will mark a return to the regular staff bonuses of years past based on continued profitability moving forward.

Additionally, I anticipate the board having the opportunity to consider issuing a patronage rebate for the first time since 2013. The ability to pay a patronage rebate back to owners based on their purchases is a privilege unique to cooperative businesses. Much like staff bonuses, patronage rebates are only possible when the co-op is financially successful. While the authority to issue a patronage rebate rests solely with our Board of Directors, I am excited to be able to explore this option for the first time in several years. At minimum, your board and I will have an opportunity to discuss how best to invest this surplus toward our co-op’s future.

While the above is exciting news to share, it’s important to remember that strong financial performance is much more easily lost than achieved. Last year’s performance was strong, yet the co-op still faces several financial and operational challenges moving forward—all the more reason to invest this surplus wisely.

Most importantly, sales and customer count continue to decline year-over-year. That fact, combined with high cost inflation and the continual need to increase staff wages, will ultimately either reduce or eliminate financial gains or force us to operate with fewer staff, which in turn will impact service. The only mathematical way to avoid that outcome is to increase sales, which must be our focus in the year ahead in order to produce similar year-end results.

To that end, if you have feedback on how we can better meet your needs or those of your friends and neighbors, we would love to hear from you. What can we carry that you have to go elsewhere to get? What could we do to make it easier for you to visit your co-op over a competitor? We would appreciate an email to [email protected] with your thoughts!

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Letter from our General Manager - Mark Jacob

Dear Owners,

First off, I just want to say thank you to you all for supporting Wheatsville! It is a great time to be part of your coop and to support local businesses. Over the last year and half I have gotten to connect with many of you whether it be through email, our virtual Meet the GM series or even in person and so many of you have shared your stories of what Wheatsville means to you. Thank you.

This last June, myself and the members of the Senior Leadership Team presented our business plan to the whole organization. Every staff member, from the produce clerks to kitchen managers was given a clear vision of where we are headed for financial success and given the opportunity to share feedback. I would like to share some of those key areas with you and even celebrate some succsess.

People Matter – At the Co-op we stay focused on our staff, owners, and community. Below are some key updates.

-  Turnover – With turnover in the food industry averaging over 130% according to the Bureau of Labor Statistics, we are very proud we have been able to keep turnover below 75% at Wheatsville. Being able to do this during a time many are seeing record turnover numbers is a key indicator to how our staff feel about working here.

-  Internal Staff Promotions – 70% senior leadership have been internally promoted, 78% of department managers have been internally promoted and overall, we are close to 80% all internal promotions. We are proud to work with our staff to develop their talents and grow their career. If you are looking for a career with growth opportunities, Wheatsville is a great place to be.

-  Pay and benefits – We are proud to offer an average hourly wage of over $15 per hour for front line staff and a competitive benefit package. In addition to two paid holidays, we were able to celebrate our added paid holiday of Juneteenth for the second year in a row. Stay tuned for some exciting pay and staff benefits enhancements we are working to have ready by April 2022.

-  Customer Scores – We average an  81% overall satisfaction for our customer scores ranking us as a leader amongst cooperatives at the national level. We want to remain your favorite place to shop so please keep the feedback coming. 

Financial Health – Part of our Ends statement is to ensure a robust cooperative economy. Below is how we are doing in some key financial metrics.

-  Sales growth – We are seeing weekly sales growth for the first time in years, other than during initial panic buying from Covid19. Thank you so much for being part of Wheatsville’s growth! We are just getting started!

-  Profit – We were able to do what unfortunately so many other small and local businesses were not able to do during this pandemic and that is stay open. Words can’t express how painful it is to see so many local businesses close. But even with the hardest challenge we have seen in years we were able to show a modest profit. We have even started off our new fiscal year in what appears will be a profitable one.

-  Though our profit may seem small we are grateful to the staff and customers that helped us earn it. As Wheatsville again begins to gain strong financial footing we look forward to all that we can accomplish such as supporting our staff, store renovations, growing our store count, and of course continuing to give back to our community.

Where does the money go we spend at Wheatsville?

•  Roughly 24 cents of every dollar you spend at Wheatsville goes back to our staff to ensure we can offer a competitive wage and strong benefits package.

•  Roughly 62 cents of every dollar goes to our cost of goods we purchase to sell to our shoppers. Wheatsville’s focus is on ensuring our producers, farmers, and suppliers are paid a fair price for their goods.

•  Roughly 14 cents of every dollar goes to the other items such as rent, electricity, and other basic expenses.

•  After it all, we have a goal to end up showing 1 to 2 percent of total sales as profit this year.


Here are some things to remember as to why co-ops are a great place to spend your money. We focus on staff benefits, fair pay for farmers and producers and supporting the local economy. We will do all we can to continue to be fair priced while also ensuring we stay true to fair pay for everyone in the supply chain from farm to shopper.

Thank you all for being part of our Co-op! It is because of you we are doing great and thriving for our local community.
 - Mark Jacob

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