Frequently Asked Questions about the PLENTY, NCPlenty, and Local Currency

What Is A PLENTY?
Who Is NCPlenty, Inc.?
How Do I Contact NCPlenty?
What Is Local Currency?
Is It Legal?
What About Taxes?
Is It Secure?
Has This Been Done Before?
What Are The Risks?
How Do PLENTYs Enter Our Economy?
How Does The PLENTY Benefit Our Community?
How Does The PLENTY Benefit Our Environment?
How Does The PLENTY Facilitate Fairer Wages?
How Does The PLENTY Benefit Local Business?
If I Already Shop Locally, Why Not Use Dollars?
If I Accept PLENTYs, Does That Mean I Can't Take Dollars?
What Are The Benefits Of Membership?
How Can I Get Some?
Where Can I Spend My PLENTYs?
How Do I Get Involved?

1. What Is A PLENTY?
    
   The Piedmont Local EcoNomy Tender (PLENTY) is a new kind of local money that began circulating around the heart of the North Carolina Piedmont region in October 2002. This region includes Orange, Durham, and parts of Chatham and Alamance Counties.
    
   The PLENTY comes in three denominations. Each note celebrates the Piedmont's culture and natural beauty. For tax and accounting purposes, the PLENTYs have the following U.S. Dollar equivalent value:
    
   
   1 PLENTY = $10.00
   1/2 PLENTY = $5.00
   1/4 PLENTY = $2.50
   
    
   Members of NCPlenty agree to accept PLENTYs as full or partial payment for goods or services they provide. Membership is open to any member of our community who wants to offer time, skills, or products in exchange for PLENTYs. The keystone of a local currency is the network of participants willing to trade the currency, so the more folks who agree to accept the PLENTY, the greater the positive impact upon the community.
 
 

2. Who Is NCPlenty, Inc.?
    
   NCPlenty, Inc. is a non-profit organization working to promote local commerce, fair wages, environmental responsibility, self-reliance, and neighborliness, through the implementation and support of a local currency, the PLENTY.
    
   Founded by a group of friends and neighbors in the summer of 2001, NCPlenty is strictly a volunteer organization, whose sole function is to champion the PLENTY. NCPlenty, Inc. is governed by a Board of Trustees, elected by and from its general membership. There is no direct financial benefit for any Trustee or other volunteer from NCPlenty activities. To see a copy of our bylaws, click here. For biographical information on our current Trustees, click here.
 
 

3. How Do I Contact NCPlenty?
    
   What follows is a complete list of NCPlenty contacts for different purposes.
   If you don't see what you need, you can always send a general email to ncplenty@ncplenty.org.
   
   By e-mail:
   
   Member Support Committee (membership@ncplenty.org )
   
       Updates to membership or directory information
       Questions on how to use the PLENTY
       Reporting a member not accepting the PLENTY
       Requesting replacements for torn/damaged bills
       Requesting  “PLENTY Accepted Here” signs
       Reporting problems with the website
   
   Outreach Committee (outreach@ncplenty.org )
   
       Requesting membership information
       Requesting recruitment materials
   
   Finance Committee (finance@ncplenty.org )
   
       Inquiries pertaining to NCPlenty’s fundraising activities
       Correspondences of a financial nature
   
   Organization Working Group (organization@ncplenty.org )
   
       Inquiries regarding the Bylaws and Annual Policies of NCPlenty
   
   Board of Trustees (ncplenty@ncplenty.org )
   
       Inquiries into matters not listed above
       General suggestions and/or feedback for NCPlenty as a whole
       Feedback on any of the groups above
       Requests for items to be discussed at Board/Exec. Committee meetings
   
   
   By mail:
   
   NCPlenty, Inc.
   1603 Homestead Road
   Chapel Hill, NC 27516
 
 

4. What Is Local Currency?
    
   Local currencies have cycled in and out of popularity for the last two hundred years. They have often been issued during times of economic stress, when local resources - goods, talent, and labor - have been under-utilized. For a brief history of alternative currencies from ancient Egypt through the 20th Century, read Bernard Lietaer's "Community Currencies: A New Tool for the 21st Century" at www.transaction.net. In this article, Lietaer writes, "Today, local currencies are again mushrooming all over the world in an impressive diversity and increasing sophistication. ... [T]he key to the success of a community currency, just as for any currency, is trust. In this case it is trust in your neighbors, in the community as a whole, and in the community's leaders."
    
   There are, in fact, almost 200 U.S. communities and around 2,000 communities worldwide circulating some kind of local currency. The form these currencies take varies from printed money to mutual credit databases to ATM cards, but the basic ideas stay the same. Local currencies promote community ties, support local businesses, protect the environment, and empower individuals who may not otherwise flourish in the dollar economy.
    
   Visit some of the websites listed on our Links page to learn more about Local Currencies.
 
 

5. Is It Legal?
    
   The PLENTY meets all criteria for legal scrip as defined by the IRS, Federal Reserve, and Treasury Department. Among these are the provisions that the PLENTY must:
    
   
   • Have a U.S. dollar equivalent (for taxes)
   • Not look like U.S. currency
   • Equal at least $1 in value
 

6. What About Taxes?
    
   The law generally requires that all earned income be declared to the IRS, including that earned in PLENTYs. Our rule of thumb is to treat the PLENTY like cash. Ask yourself, "What would I do if this were a $10 bill?"
    
   If you would declare it on your tax return in U.S. Dollars, declare it for PLENTYs. If you would deduct it in U.S. Dollars, on your tax return, deduct it for PLENTYs.
 
 

7. Is It Secure?
    
   The same rules govern local currencies as federal currency, making it illegal to counterfeit the PLENTY. Nevertheless, several security features have been built into the printing and production of the PLENTY making it extremely difficult to duplicate.
 
 

8. Has This Been Done Before?
    
   As mentioned above, nearly 200 communities across the country support some form of local currency. The HOUR in Ithaca, NY, which has been circulating for over a decade, has more than 2000 members. Five million US dollars worth of transactions in HOURs has invigorated Ithaca's once faltering economy. For more information on other local currencies, please visit our Links page.
 
 

9. What Are The Risks?
    
   Just as with US currency, the value of the PLENTY is not guaranteed by any organization or government. Unlike the US dollar, however, the PLENTY is backed by the commitment of your friends and neighbors to trade in PLENTYs. To minimize any potential risk, it is in everyone's interest that members not accumulate more PLENTYs than they can soon spend.
 
 

10. How Do PLENTYs Enter Our Economy?
     
    There are several ways. First, members are issued PLENTYs when they join and periodically thereafter. The initial issuance will be 5 PLENTYs per member, for a total issuance of about $5,000 (US cash equivalent). Second, NCPlenty can use an amount equal to 5% of member issuance for expenses such as printing the currency or producing outreach materials. This amounts to about a 25 PLENTY ($250) limit for the first issuance. Third, our bylaws authorize the Board of Trustees to use a maximum of 20% of issuance for purposes that support our mission. Such uses might include grants or zero-interest loans to community non-profit organizations or an exchange bank where community members can exchange dollars for PLENTYs. Our bylaws require that the Board of Trustees annually generate a disbursement policy that sets member issuance and that specifies how much of the 20% will be used during any year and for what purpose. The NCPlenty Board of Trustees will determine this policy based on the needs of the community and its members for an optimal supply of PLENTYs. This policy must be approved by NCPlenty members at our annual meeting.
 
 

11. How Does The PLENTY Benefit Our Community?
     
    By creating a pool of money that can only be spent within our community, the PLENTY helps to insulate our community during times of economic stress by keeping wealth at home. The PLENTY is not an invisible or electronic currency - it can only be spent by people making face-to-face exchanges for real goods and services. By bringing producers and consumers into such close contact, the PLENTY places renewed focus on cooperation, neighborliness, conviviality, frugality and self-reliance.
     
    As all involved parties see the direct impact of their consumption, the PLENTY helps our community to properly value local material, labor and talents. Use of the PLENTY also strengthens local control of our area as we become less dependent on outside corporations or the government to provide jobs.
     
    Finally, use of the PLENTY protects our community against the encroachment of "Generic Americana:" chain stores and big box retailers who care little about the local environment, local people, and local culture. Whereas 80 cents of every dollar spent at a McDonald's or Wal-mart immediately leaves the area never to return again,1 the PLENTY will stay here, circulating and creating wealth as it changes hands over and over.
    

    Gunn, Hazel Dayton and Christopher Eaton, Reclaiming Capital: Democratic Initiatives and Community Development. Ithaca, NY: Cornell University Press, 1991.

 

12. How Does Local Currency Benefit Our Environment?
     
    
    • Encourages environmental responsibility and best practices -- helping protect local ecology. No one wants to "foul their own nest."
    • Discourages over-extraction of natural resources, unmanageable growth, and unnecessary consumption.
    • Local production means less transport, hence less use of fossil fuels to get products to consumers.
 
 

13. How Does Local Currency Facilitate Fairer Wages?
     
    
    • Allows employers to stretch payrolls by paying partial salaries and/or bonuses in PLENTYs.
    • Creates new jobs!
    • Rewards non-profit and other "third sector" economics.
 
 

14. How Does Local Currency Benefit Local Business?
     
    For a detailed answer to this question, please see our Good For Business page.
 
 

15. If I Already Shop Locally, Why Not Just Use U.S. Dollars?
     
    The PLENTY adds value to local goods and services while U.S. dollars inflate prices to offset transportation costs, interest, etc. U.S. Dollars enter and leave our area, while the PLENTY stays here -- strengthening our local economy. The PLENTY reflects our local values.
     
    Everyone who has a stake in the local economy benefits from the PLENTY. These benefits come from the increased demand for local goods and services among members and from a heightened public awareness of the importance of our local economy.
 
 

16. If I Accept PLENTYs, Does That Mean I Can't Take Dollars?
     
    The PLENTY is meant to supplement, not entirely replace, the US Dollar. Members choose to accept them at a level they can themselves easily spend - anywhere from 1/4 PLENTY per purchase to full price in PLENTYs.
 
 

17. What Are the Benefits of Membership?
     
    Membership in NCPlenty confers the following benefits:
     
    
    • An equal share of the initial issuance
    • Voting rights in NCPlenty
    • A listing in the printed NCPlenty Provider Directory
    • An online listing
     
    For a detailed answer to this question, please see our Membership Information page.
 

18. How Can I Get Some?
     
    
    • Join NCPlenty!
    • Accept partial wages in local currency
    • Ask for part of your change in local currency
    • Receive a non-profit grant
    • Exchange U.S. and local currencies at a bank or participating store
 

19. Where Can I Spend My PLENTYs?
     
    You can spend them anywhere they are accepted. This might include your neighbor's garage sale, a local shop, or a local restaurant. PLENTYs function somewhere between U.S. currency and barter, while replacing neither. The best way to learn if you can pay with PLENTYs is to ask!
     
    We have compiled a preliminary NCPlenty Provider Directory, which lists the goods and services available for purchase with PLENTYs. The directory will be printed and circulated, and also available online.
 
 

20. How Do I Get Involved?
     
    Lend A Hand
     
    Sign up to accept PLENTYs!