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HomeMy WebLinkAboutWK June 13, 2001 CITY OF ANDOVER 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923. WWW.cJ.ANDOVER.MN,US SPECIAL COUNCIL WORKSHOP STRATEGIC PLANNING SESSION Conference Room A, City Hall June 13,2001 -7:00 p.m. TENTATIVE AGENDA 1. Call To Order 2. Adopt Agenda 3. Strategic Planning a. Review of Previous Planning Goals b. Progress Report c. Review Mission/Value Statements d. Council Discussion e. Action Items 4. Management Expectations . a. Presentation of Staff Report b. Council Discussion c. Action Items 5. Council-Administrator Team Building a. Presentation of Staff Report b. Council Discussion c. Action Items 6. Adjourn CD / CITY OF ANDOVER 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923. WWW.CI.ANDOVER,MN.US TO: Mayor and Councilmembers FROM: John Erar, City Adrninistrator SUBJECT: Strategic Planning Update DATE: June 13,2001 INTRODUCTION The City Council held a strategic planning workshop on June 8, 2000 that led to the identification of a number of internal and external goals, and the formulation of value staternents that support Council's community vision. In light of the fact that there are now two new mernbers of the City Council, it is both timely and appropriate to revisit the outcornes of the strategic planning process to affirm, revise or identify additional issues as may be determined by the Council. In addition to the Strategic Planning Retreat held last year, information is attached relative to a planning effort conducted on March 8, 1999. Planning outcomes [rom this previous effort resulted in a mission statement and vision staternents regarding the following issues: 1) development; 2) Public Safety; 3) Council Leadership Responsibilities; 4) City Staff and 5) CitizenlPublic Sector Input. For historical purposes, I have attached a copy of this information for Council review and file. DISCUSSION In review of the strategic planning process conducted by Council and staff in 2000, relative to challenges facing the City, it appears that several of the perceived challenges facing the City are interrelated in terms of their respective irnplication for the community and/or organization. The table on the following page illustrates four major categories of strategic concerns and assigns respective issues to the category based on their associative values. Some of the challenges identified may fit one or more strategic categories. In addition, given that there may be rnore comrnents or concerns, additional space is provided for Council rernarks. Mayor and Council Strategic Planning Workshop June 13,2001 / Greatest Challem es Facin!!: the City Growth Mana!!:ement Or~anizational Issues 1. Preserving the City's Open Spaces 1. Maintaining Integrity with the Council 2. Transportation Issues 2. * The recruitment and retention of 3. *Economic Developrnent Firefighters 4. 3. 5. 4. 5. 6. City Services Plannin~ 1. Providing Adequate Law Enforcement 1. Developing a Long-Range Plan for the 2. *Balancing Services w/Available City Resources 2. Being able to finance City Projects 3. *The recruitment and retention of 3. *Economic Development Firefighters 4. *Balancing Services w/Available 4. Resources 5. 5. 6. * Appears in more than one category. . / 2 Mayor and Council Strategic Planning Workshop June 13,2001 HIGHEST PRIORITY EXTERNAL GOALS Goal # I To Prudentlv Manage the City's Growth Status . Through the continued development and implementation ofthe Development Policy Guideline limiting the amount of urban development to come on line each year, the City has effectively managed growth. . Efforts are continually being made to improve communication and convey to prospective developers the City's development policy guidelines and associated development time frames. A good example of this is the 2002/2003 property owner/developer meeting on April 30, 2001. . The completion and acceptance of the 2020 Comprehensive Plan will be an important growth management tool for City policy makers. . Continued review of existing policies to ensure appropriateness with changing develooment dynamics. Comments Goal #2 To Enhance Communication with the Public Status . The City uses a number of different communication channels including a monthly newsletter, City website and public access channel. . City staff will be exploring ways to enhance the City's website over the next several months. For example, adding forms, handouts and other miscellaneous customer information. . To promote effective Customer Service policies through employee training and continued educational opportunities . To improve multi-media presentation capabilities and voice transmission quality within the Council Chambers. Comments Goal #3 To Develop and Update the City's Capital Improvement Program Status The City is currently working to produce a Five Year Capital Plan that will identify proposed capital projects for each ofthe next five years. Completion of this goal should be achieved by November of this year. A draft plan will be submitted to Council for review and approval. Comment Goal #4 To Broaden the City's Tax Base Through Increased Industrial and Commercial Development Status . The development of Andover Station and the continued marketing of the area has produced new commercial business including, The Courtyards of Andover, 1st Regions Bank, Pine Ridge Pet Care Center, Northwest Commercial Office/Warehouse Building and a number of other office/warehouse building south of the Andover Cinema. 3 Mayor and Council Strategic Planning Workshop June 13,2001 . The acquisition of Anoka Auto Wrecking on the north side of Bunker Lake Boulevard marks the removal of the last of eight recycling yards in the City. . The future development of the area north of Bunker and west of Hanson Boulevard will continue to broaden the City's tax base. Comments Goal #5 To Develop a Long-Term Transoortation Plan Status Additional discussion will need to occur regarding this item. The backbone of the city's transportation system is the County highway system. The county does have a long range study/plan for their system. The parameters of a city transportation plan will need to be identified in order to move forward with this study/plan. The process of developing a long-term transportation plan is generally conducted through a separate review process involving Council and appropriate staff. It may include the use of a facilitator, and professional consultants to develop an initial draft plan. Scheduling public information meetings with the community to receive feedback on recommended transportation components would be required. As road expansions and long-term route designations will have implications to City residents, it would be appropriate to include residents in the process. Comments Goal #6 To Effectivelv Balance the Services that the City Provides with Available Resources Status . The City will be looking for opportunities to implement user fees for services that generally benefit a specific or limited segment of the City's residential/customer base. It is generally held by most municipalities that services provided and received by a select group of users/customers should not be underwritten through the general tax levy. . Implementing a new budgeting model in the development of the 2002 Budget leading to greater participation and recognition of service costs. The budget model will continue to migrate to cost center accounting practices to more fully recognize specific service related costs. . Adoption offormal financial Policies . The development of a five year Capital Improvement Plan will identify both sources and uses of project funding. Prioritization of projects will be a critical element in project scheduling. . The introduction of a separate Capital Project Levy to fund capital outlays and to build a capital reserve fund to avoid levy spikes and ensure a consistent, and specifically earmarked revenue source. . To promote the use of technology to increase staff efficiency and reduce unnecessary labor intensive costs. . To look at opportunities to realign and restructure the organization to streamline unnecessary duplication, reduce overly bureaucratic procedures and improve interdeoartmental communications. Comments ) 4 Mayor and Council Strategic Planning Workshop June 13,2001 OTHER GOALS AS IDENTIFIED BY COUNCIL 5 Mayor and Council Strategic Planning Workshop June 13,2001 / HIGHEST PRIORITY INTERNAL GOALS Goal #1 The need to improve communication between the Council and staff Status . Keeping communication lines open and consistent have been facilitated through the use of weekly Management Reports. . The introduction of a new standardized rnemorandum format for Council agenda should also provide Council with a more efficient way of reading staff reports. . Scheduling an Annual Goal-setting Workshop with Council will afford additional opportunities to share ideas, thoughts and concerns. . Adopting policies that articulate specific communication protocols between Council, the administrator and City departrnents Comrnents Goal #2 The need to recruit, retain and develop high quality employees Status Management practices, policies and programs will be updated and refined to promote the retention of existing staff, the recruitrnent of high quality candidates and the continued development of staff in the areas of building skills and leadership through training, education and professional development opportunities. With. the addition of a Human Resources Manager, the City will be in a better position to effectuate changes in support of these key objectives. As the City continues to grow in terms of complexity, service population and work- load, employee performance programs will need to be implemented; customer service policies will need to be decentralized; and compensation and benefit packages will need to be enhanced to ensure competitiveness with sirnilarly sized cornmunities to attract and retain talented, high quality staff. Comments Goal #3 The need to establish rules that will result in more efficient Council meetings. Status With respect to Council procedures, I would like to explore the adoption of Council By-Laws that address the following issues: 1) Citizen Participation policies; 2) Revise the Council Agenda to better define and categorize Council agenda items; 3) Identify and clarify Council procedures with respect to gaining efficiency and economy in the discussion of agenda business items; and 4) Promote the enforcement of rules of order that allow the presiding officer (Mayor) to rnore effectively move business items to closure and voting. If Council concurs with this concept, my office will draft the necessary provisions for Council review and adoption. Cornments 6 Mayor and Council Strategic Planning Workshop June 13,2001 \ Goal #4 The need to provide a positive work environment for City staff Status Feedback frorn City departments suggest that a positive work environment currently exists. Promoting participation, teamwork and professional standards of conduct will continue to support this objective. Cornments Goal #5 The need to rnore effectively utilize the resources of the City's Commissions and advisorv committees. Status Continue to hold joint rneetings with City commissions; promote training and educational opportunities for appointed members of City commissions; Adopt policies that clarify how Council will receive, interpret and act on recommendations from City cornmissions, advisory committees and City staff. While the very nature of advisory commissions and committee are to assist Council in the decision-rnaking process by studying specific issues and providing "advisory" recommendations to Council, Council should clearly cornmunicate its prerogative in policy matters in a manner that is constructive, supportive and encouraging to its advisory cornmissions/committees, yet assures that Council, as the elected body, reserves its rights to make independent decisions. Meeting with each commission is an important tool in clarifying expectations and keeping communication lines open. Prefacing Council actions that may be contrary to commission/committee recommendations with specific reasons or facts would be helpful to promote respectful and non-adversarial working relationships. Look at scheduling an annual City Cornrnission appreciation dinner to recognize volunteers who give of their time and talents. Comments Other Goals / 7 Mayor and Council Strategic Planning Workshop June 13,2001 Mission/Value Statements (Attachment G) / In addition to a discussion of high priority external/internal goals, Council is respectfully requested to review, discuss and select one of the Proposed Mission Staternents or, in the absence of consensus regarding one of the existing statements, develop a different City Mission Statement. The use of an approved rnission staternent would create a unifying vision for the City and could be incorporated in a variety of comrnunication materials such as City letterhead, newsletter, public programming on cable television etc. With respect to the value statements articulated under Attachment G, Council review, modifications, if any, and approval of these statements are requested. With Council approval, the City would then use these statements to promote rnunicipal service themes with the general public. The development of brochures that would be available at department service counters, institutionalizing service values within the organization through ernployee training curriculums and the placernent of this information on the City's website would allow the City to promote its commitment to exceptional public services. ACTION REQUIRED Council consideration is respectfully requested in the following areas. I) Affirm, revise or add to the list of challenges/opportunities facing the City. 2) Affirm, revise or add to the Highest Priority External Goals; discuss additional action items Council would like staff to explore. 3) Affirm, revise or add to the Highest Priority Internal Goals; discuss additional action items Council would like staff to explore. 4) Select a proposed City Mission Staternent as identified in Attachment G. 5) Consider approval of the Proposed Values Statements for the City as identified in Attachment G. Attachments ) 8 Attachment G / !PROPOSED REVISED CITY MISSION STATEMENTI OPTION #1 "The City of Andover shall be guided by the principles of quality development, protection of natural resource, and people" OPTION #2 "Our mission is to provide high quality public services to address citizen and community needs in a fiscally responsible, customer- friendly manner" OPTION #3 "Our mission is to provide high quality public services that effectively address changing citizen and community needs in a fiscally responsible and customer-friendly manner" OPTION #4 "Our mission is to deliver excellence and quality of services with integrity and effectively realize changing citizen and community needs in a fiscally responsible and customer-friendly manner. OPTION #5 "Our mission is to achieve excellence in providing public services to the residents of Andover and to do so in a fiscally responsible, customer-friendly manner" I 25 Attachment G I (continued) jPROPOSED VALUES STATEMENT FOR THE CITYI THE FOLLOWING VALUES ARE FUNDAMENTAL TO THE CITY OF ANDOVER'S SUCCESS AND THE FULFILLMENT OF OUR MISSION: 1) EXCELLENCE AND QUALITY IN THE DELIVERY OF SERVICES WE BELIEVE THA T SERVICE TO THE PUBLIC IS OUR REASON FOR BEING, AND STRIVE TO DELIVER QUALITY SERVICES IN A PROFESSIONAL AND COST-EFFECTIVE MANNER. 2) FISCAL RESPONSIBILITY WE BELIEVE THAT FISCAL RESPONSIBILITY AND PRUDENT / STEWARDSHIP OF PUBLIC FUNDS IS ESSENTIAL IF CITIZENS ARE TO HA VE CONFIDENCE IN GOVERNMENT. 3) ETHICS AND INTEGRITY WE BELIEVE THAT ETHICS AND INTEGRITY ARE THE FOUNDA TION BLOCKS OF PUBLIC TRUST AND CONFIDENCE AND THA TALL RELA TIONSHIPS ARE BUlL T ON THESE VALUES. 4) TREATING THE CITIZEN AS OUR CUSTOMER WE BELIEVE THA T THE CITIZEN IS OUR CUSTOMER AND; AS SUCH, SHOULD BE TREA TED WITH COURTESY, RESPECT, AND DIGNITY. 5) OPEN AND HONEST COMMUNICATION WE BELIEVE THA T OPEN AND HONEST COMMUNICATION WITH EACH OTHER AND THE PUBLIC WE SERVE IS THE KEY TO HAVING AN EFFECTIVE ORGANIZA TION AND INFORMED CITIZENS. 26 Attachment G (continued) 6) POSITIVE RELATIONS WITH THE COMMUNITY WE BELIEVE THA T POSITIVE RELA TlONS WITH THE COMMUNITY AND THE PUBLIC WE SERVE LEADS TO POSITIVE, IN VOL VED, AND ACTIVE CITIZENS. 7) COOPERATION AND TEAMWORK WE BELIEVE THA T THE PUBLIC IS BEST SERVED WHEN OFFICIALS AND CITY EMPLOYEES WORK CO OPERA TlVEL Y TOGETHER RA THER THAN AT CROSS-PURPOSES. 8) PROFESSIONALISM WE BELIEVE THA T CONTINUOUS IMPROVEMENT IS THE MARK OF I PROFESSIONALISM, AND ARE COMMITTED TO APPLYING THIS PRINCIPLE TO THE SERVICES WE OFFER AND TO THE DEVELOPMENT OF OUR EMPLOYEES, I 27 Attachment E / ISUGGESTED GOALS PROGRAM FOR THE CITYI I HIGHEST PRIORITY - EXTERNAL I GOAL #1 TO PRUDENTLY MANAGE THE CITY'S GROWTH GOAL #2 TO ENHANCE COMMUNICATION WITH THE PUBLIC GOAL #3 TO DEVELOP AND UPDATE THE CITY'S CAPITAL IMPROVEMENT PROGRAM GOAL #4 TO BROADEN THE CITY'S TAX BASE THROUGH INCREASED INDUSTRIAL AND COMMERCIAL DEVELOPMENT / GOAL #5 TO DEVELOP A LONG-TERM TRANSPORTATION PLAN GOAL #6 TO EFFECTIVELY BALANCE THE SERVICES THAT THE CITY PROVIDES WITH AVAILABLE RESOURCES / 17 Attachment E j (continued) !SUGGESTED GOALS PROGRAM FOR THE CITYI I HIGHEST PRIORITY. INTERNAL I GOAL #1 TO IMPROVE COMMUNICATION BETWEEN THE COUNCIL AND STAFF GOAL #2 TO RECRUIT, RETAIN, AND DEVELOP HIGH QUALITY EMPLOYEES GOAL #3 TO CONDUCT MORE EFFICIENT COUNCIL MEETINGS / GOAL #4 TO PROVIDE A POSITIVE WORK ENVIRONMENT FOR CITY EMPLOYEES GOAL #5 TO MORE EFFECTIVELY USE THE CITY'S COMMISSIONS AND ADVISORY COMMITTEES 18 Attachment C , ANTICIPATED CHANGES THAT WILL IMPACT THE CITY IN THE NEXT FIVE YEARS I MOST SIGNIFICANT CHANGES I 1) The continuing growth of the city's population 2) Changes in federal, state, and metropolitan council mandates 3) The city's commercial and industrial growth 4) Dealing with issues related to the city's two new schools 5) Changes in the transportation needs of the city 6) An increasing emphasis being placed on planning I OTHER CHANGES I 7) An aging population with different service needs 8) Changes in the economy 9) Changes in the services the city provides 10) Changes in personnel with the council and staff 14 Attachment A I GREATEST CHALLENGES FACING THE CITYI 1) "Growth management" . 2) ."Balancing the services the city provides with available resources" * 3) "Being able to finance the city's projects" 4) "Developing a long-range (ten year) plan for the city" 5) "Providing adequate law enforcement as relates to the city's growth" 6) "Economic development" 7) "Maintaining integrity with the council" 8) ''Transportation issues" 9) "Preserving the city's open space" 10) "The recruitment and retention of the city's fire fighters" . Indicates multiple responses 7 , CITY OF ANDOVER I MEMORANDUM DATE: March 8, 1999 TO: Mayor and City Council FROM: Richard Fursman RE: Council/Staff Workshop - Item # 2 Included with this memo you will find an agenda and a mission statement brief. The mission statement was developed during a two day work session in the summer of 1995. The brief includes staff suggestions for alternate language and some comments that were not part of the original document. , MISSION STATEMENT I The elected and appointed officials of the City of Andover shall be guided by the principles of providing for the good and betterment of the community, through quality developrnent, protection of natural resources and regulation of the use of property to ensure the safety and well being of all residents. Community These objectives promote a sense of community, identity and pride. A) A new or enhanced City logo will be created for better community identity. B) Community and business events will be held to promote identity and enhance a sense of community pride. Comments: Andover Family Fun Fest, Arbor Day C) The City shall plan and direct development of community facilities for rneetings, recreation and other public needs in conjunction with other public entities within the City. Development Focuses on the safety, values and interests of future residents and business. J A) It shall be a City Policy to develop or plan for, pedestrian walkways, trails and rights-of-way for alternate transportation in not only new developments but throughout the City. (Engineering - lead, Cornpletion Goal - June '96) Proposed Alternate A) It shall be City Policy to develop and/or plan for alternative modes of transportation within the City. This shall include but not be limited to; transportation trailways, lateral trailwavs within develoDments and Dedestrian sidewalks. Comments: to-date the City has implemented the comprehensive plan in relation to the construction of the transportation trailways typically located within road rights- of-way. Lateral trailways and/or sidewalks have not consistently been applied to new developments. A clarification on including these onfuture development reviews is needed. B) The City will adopt its own Wetlands Conservation and Marginal Land Use Ordinance to define and protect land within the City from inappropriate development. (Planning - lead, Engineering - support - Sept. '96) Proposed Alternate B) The City will utilize the Planned Unit Development Ordinance and Wetland Buffer Ordinance to protect marginallandfrom inappropriate development. I C) The Planning and Zoning Commission and the City Council shall review land zoned for retail, commercial and light industrial, to assure an optimal siting throughout the City for the convenience of citizens and to provide for an expanded tax base. (Planning - lead, Engineering - support - Sept. '96) , . Proposed Alternate C) The City through the use of staff, EDA and various commissions and committees shall promote economic development throughout the City considering convenience to citizens, local employment and to providefor an expanded tax base. D) The Tree Preservation Policy shall be amended to require tree planting as well as preservation of trees in developrnents. (planning - lead, Engineering - support - Sept. '96) Proposed Alternate D) It shall be the City Policy to encourage and promote tree preservation and reforestation within the City. Comments: The Tree Preservation Policy currently has limited enforcement capabilities. At the present, time staff encourages developers and builders to preserve trees within the City. This is currently being implemented through recommendations and encouraging custom grading within new developments. The jury is still out on its effectiveness. If this is an acceptable level of preservation for the council, we will continue to encourage preservation whenever possible. E) To accommodate a maturing population, elderly housing units will be encouraged in appropriate areas. Such options shall include consideration of transportation, convenience for shopping and medical assistance. (Planning -lead, June '97) / Proposed Alternate E) The City will encourage the development of senior housing units in appropriate areas of the City. F) The City shall develop an ordinance on unit clustered housing which will allow diversity in density and provide for green space. Such green space shall, at a minimum, be no less than for an unclustered development within the same zoning district. (Planning - lead, Engineering - support - June '96) Proposed Alternate F) The City shall promote the use ofp1anned unit developments when appropriate to enchance the appearance, use and livability of neighborhoods. G) The City shall identify public transportation needs and develop either public or private plans to meet those needs. (PlanninglEngineering - June '97) Proposed Alternate G) The City will identify transportation needs and investigate alternatives. H) Within areas reachable by City water and sewer services, a master plan will be developed to serve such areas, along with a financial plan on determining costs and financing. (Engineering/Planning/Finance - Sept. '96) Proposed Alternate H) It shall be city policy to maintain and keep up-to-date a comprehensive water and sanitary sewer plan for the City. 2 Comments: The City's Comprehensive Water Plan was redone in 1997. The Comprehensive Sanitary Sewer Plan is currently being reevaluated by Howard R. Green and J Assoc. Cost estimates from these plans will be incorporated into the Capital Improvement Plan for the City. I) The City shall develop stormwater districts with appropriate areas of the City and develop the necessary financing tools to implement the districts (EngineeringlFinance - Adoption of Plan - June '97 Irnplementation in January of 1998) Proposed Alternate I) The City shall develop storm water districts within the City in order to maintain the City's stormdrainage system at a level which will help insure the health, safety and welfare of the residents. Comments: Storm water districts have not yet been established for the City. The City currently uses generalfund $ to maintain the system. As our system ages additionalfunding will be necessary to maintain the systems we have. It is recommended to combine H and I as follows: It is the policy of the City to maintain the infrastructure of the City at a level which will help insure the health, safety and welfare of the residents. Examples of specific tasks associated with this item are: 1. Deve10p and maintain a comprehensive water and sanitary sewer plan for the City. 2. Develop and maintain a pavement management system for the City. 3. Develop storm water districts for the City to provide for tire maintenance of tire City storm sewer system. 1) Negotiations shall be held with the City and Anoka County to negotiate expansions and improvements in the County roadway system within the City. (Administration - lead, Engineering - support - Ongoing) K) Development within the City shall minimize impacts on farm and agricultural tracts. (A - 1) Public Safety A) The City will, on an annual basis, determine the adequacy of its police and fire protection and publish a report for the citizens. (Fire, Sheriff, Health Span - May '96) I B) Pavement Management Systems: Both new and existing streets will be maintained to a plan which will address routine maintenance schedules and standards. (EngineeringlPublic Works June '97) 3 -- . C) All plats shall require streets and roads to assure access to and between all nearby developable properties. (Ongoing) , POLICY: It shall be the policy of the City to locate public safety facilities throughout the City to provide for a minirnum response time. Council Leadership Responsibilities A) All City services shall be reviewed to determine if a charge should be levied to the beneficiaries of the service, and what that fee should be. This review shall be completed during budget process. (Finance Dept. - June '96) Proposed Alternate A) It shall be the policy of the City to charge fees for services to appropriate beneficiaries. B) The City shall adopt ordinances to encourage telecommunications suppliers to provide new services to the citizens of the City and allow the use of telecommunications options. Fees shall be established for all uses of rights- of- way. (Clerks Office - lead, Engineering - support - March '96) Prnnosed Alternate B) The City shall adopt an ordinance regulating the use of the City's rights- of-ways and charge fees accordingly. Comments: The City Engineers' Association is working on an ordinance. There was one proposed ordinance from the League of Minnesota Cities and another from Tom Creighton, our cable commission attorney. C) The City shall aggressively seek competition each year prior to budgeting, between the City, private providers and other governmental units to procure the service requirements of the City. (All Departments - Ongoing) Proposed Alternate B) The City shall consistently review services for more cost effective delivery including out sourcing. D) Council shall hold at least one town rneeting every six months as a forum for citizens of the community to voice their views on the state of the City, its direction and other matters. (City Clerk -lead - September 1996 & March 1997) Proposed Alternate D) Council shall hold town meetings as aforumfor citizens of the community to voice their views on the state of the City, its direction and other matters. 4 E) The Planning and Zoning Commission, Council and Staff, with input from Citizen ; Advisory Conunittees, shall review and report those ordinances which are either outdated, unenforceable or otherwise suggested to be removed from the City regulation. Such review shall take place in each even number year. (Administration - lead, Staff. support - Dec. '96) Proposed Alternate E) Ordinances Shall be revised and updated on a regular basis. F) The City shall develop a Capital Improvernents Program. (Finance - lead, Staff - support - June '96) G) On significant issues, input into the Council decision making process will be sought through citizen forums and focus group. (Council - Ongoing) Policy: The City shall investigate the use of its facilities, equipment and staff by other entities, as a profit center for the City. City Staff A) City staff shall develop professional relationships with representatives of their respective state, county and other agencies. B) Each City employee and Council member shall be encouraged to attend at least one education or training session in their field each year. C) The City shall provide adequate space, equipment and facilities to meet the needs of staff. (All above - Ongoing) D) Staff shall advise Council once each year as to progress made within their various departments during the year and department goals for the coming year. (All Departments - May - June '96) Citizen/Public Sector Input A) Meeting with officials of neighboring cities, the school district and the County will be held to define areas of mutual benefit. B) A task force will be created to review the need for parks, prioritize the needs and develop methods of financing needed improvements. / 02/25/99FILE:DA T AlDEPT/ ADMINIMISION98.DOC 5 6) '. CITY OF ANDOVER ) 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923. WWW.CLANDOVER.MN.US TO: Mayor and Councilrnembers FROM: John F. Erar, City Adrninistrator SUBJECT: Organizational Managernent Expectations DATE: June 13,2001 ~. INTRODUCTION A review of organizational management expectations and practices that I would like to discuss with Council are presented for your review and consideration. These suggested changes have been identified as a means of stimulating dialogue on issues where alternate approaches would suggest a more appropriate and efficient rneans of addressing organizational rnatters. DISCUSSION / 1) Discuss whether there is a continued need for a City Personnel Committee. This particular standing committee reviews personnel activities that are essentially an administrativelorganizational responsibility under the City Code. When the need arises to inform Council on specific personnel matter, a meeting with the full Council is a more appropriate and desirable mechanism to communicate personnel issues. As indicated previously, Council involvernent in personnel actions as prescribed by the City Code are limited to rnatters pertaining to ratifying adrninistrative recommendations on full-time staff appointments and/or termination actions. These two actions are specifically identified and authorized in the City Code. I 2) Discussion on the appropriateness of having Council legislatively approve organizational policies, specifically personnel policies, as stipulated in the City Code? As personnel policies control organizational issues, Council should not have a formal need to adopt policies legislatively, but rather' should expect that appropriate policies be promulgated by the adrninistrator as provided for in City personnel policy. I Ordinance No. 216, Section 2. Major Areas of Accountability. 2 Ordinance No. 216, Section 2. Major Areas of Accountability. 3 Section 1. Purpose. subd. (c) The City Council hereby provides the City Administrator, or designee, with the responsibility and authority to interpret and administer the Personnel Policy, and promulgate appropriate rules, regulations and implement administrative policies and procedures. Mayor and Council Organizational Management Expectations June 13,2001 Page 2 of3 J I have reviewed this aspect of the city code with the City Attorney, and he concurs with this position. In attending a recent labor/human resources seminar, cities are also being advised not to have personnel policies adopted through the governing body as legislative approval elevates policies to a more restrictive level of City law. In rnost cases, personnel policies follow both federal and state ernployrnent laws eliminating the need for Council to adopt policies. With respect to policies that rnay have a budgetary implication, programs will generally be included in the annual budget process or be brought to Council directly if they fall outside of normal budgetary appropriations. The City Code authorizes the adrninistrator to develop appropriate internal controls, procedures and policies as needed and/or necessary. If Council would like copies of new or modified personnel policies as they are irnplemented, I would be happy to include Council on the distribution list, and generally prefer to keep Council apprised of new or revised policies. Again, my rationale for including this item for discussion is related to organizational management issues associated with administrative responsibility and accountability for rnanaging the organization and delivery of City services in the most efficient, cost-effective, and professional manner possible. Should Council concur with this concept, an amendment to City Ordinance No. 216 would be required that would eliminate the need to bring personnel policies to Council for formal adoption. J 3) With respect to City Personnel Policy, Section 29. Employee Complaint Procedure Sub (f), this provision appears to be in direct conflict with City ordinances relative to Council's involvement in employee cornplaint resolution. As rnentioned previously, under the City Code, the Council's role is specifically limited to final ratification of appointment and termination recommendations, with organizational disciplinary matters addressed through administrative processes. However, this policy section provides that Council sit as "court of last resort" contrary to the limitations expressed within City ordinance. The more desirable and appropriate procedure at this stage in the process is to refer complaints to an arbitrator or an administrative law judge to make a final determination based upon the facts of the situation. Very rarely, if at all, do governing bodies actually participate in the grievance process in order to avoid the undesirable politicalization of the situation and minirnize potential personal liability associated with Council participation. The City Attorney has indicated his concerns with respect to Council's involvement in the disciplinary process. 4) ~iscussion on how resident complaints, which are brought to a Council member's specific attention, should be handled. It is assumed that the citizen may want action taken irnmediately. Relative to communication protocol, I have attached a proposed policy for Council review and discussion. / Mayor and Council Organizational Management Expectations June 13,2001 Page 3 on / 5) Discussion on establishing guidelines for the conduct of City Council meetings and the participation of citizens at Public Hearings. If Council wishes to review and discuss this item, I have attached a proposed policy for Council's consideration. 6) Proposed policies on Council-staff communication protocols; Council expectations of Staff Work Assignments; Council-Management Team Staternent of Commitrnent to Productive Working Relationship are also included for Council review and consideration. It has been rny observation that rnany of these concepts are, in effect, practiced on a daily basis. Committing these practices to written policies will serve to reinforce and clarify these irnportant mechanisms of Council-staff working relationships. ACTION REQUESTED Council review and discussion of the items as listed. These proposed Council policies have been discussed and reviewed by the City attorney and management team. Council action relative to policy adoption is respectfully requested. Attachments COUNCIL POLICY - PROPOSED Council MeetinglPublic Hearing Citizen Participation Protocol I POLICY PURPOSE The purpose of this policy is to establish guidelines for citizen participation at public meetings that will ensure that the following Council objectives are achieved. . Welcome and encourage citizen comments on matters of interest or concem . Preserve and promote the accurate exchange of information . Preserve the equal rights of citizens to communicate their views . Provide for an orderly, courteous and efficient meeting . Provide adequate time for Council to review and consider agenda items COUNCIL MEETING The following Council meeting guidelines are established and shall be enforceable by the Mayor or presiding Council member. The following guidelines may be amended by a majority vote of Council. I. Questions are to be addressed to Council during the meeting; citizens are encouraged to contact City staff prior to or following the Council meeting for further information. Council is free to call upon or direct a question to staff as necessary or appropriate. 2. A citizen desiring to speak may do so only after being recognized by the Mayor. Upon recognition, the citizen should approach the podium and clearly state his/her name and address. 3. To allow for equal time, citizens are limited to (5) five minutes to address Council. 4. Complaints or concems expressed during 'Resident Forum', and not on the regular Council meeting agenda, will be responded to by the next regularly scheduled Council meeting and placed on Council Agenda. Citizens will receive a copy of the City's response prior to the next meeting. PUBLIC HEARING Citizen testimony, opinions or questions at a public hearing are encouraged, and are considered by Council in their respective deliberations. The following guidelines are established by Council and are enforceable by the Mayor or the presiding Council member. I. A member of the City staff will introduce and explain the agenda item. 2. The Mayor will invite public comment and set a time limit for each speaker so that all citizens desiring to address the issue may have the opportunity to do so. A group of persons may select one spokesperson to speak for group; that person may be granted more time at the Mayor's discretion. 3. A citizen desiring to speak may do so upon recognition by the Mayor. He/she shall approach the podium and state their name and address. Citizens not recognized by the Mayor should refrain from interrupting a speaker who has been recognized as a matter of general courtesy. 4. Questions should be addressed to the Mayor, Council and/or staff as appropriate. Council is free to call upon or redirect a question to a, staff member. Citizens are encouraged to contact staff members prior to or following the public hearing to obtain further information. 5. Each citizen will be permitted to address Council once during the meeting. At the Mayor's discretion, second comments may be heard if time exists or ifnew information is to be presented. 6. After citizen comments have been heard, Council will close the public portion of the hearing and then hold its own discussion on the issue. A decision may be made at this time or postponed until a later meeting. No further public comment on the topic will be allowed unless specifically invited by the Mayor. These guidelines may be amended upon a majority vote of Council. / Draft Copy 1/20/98 COUNCIL POLICY - PROPOSED Council-Resident Complaint Resolution Process / The handling and resolution of resident cornplaints is a very high service priority for Council and staff. In order to effectively and efficiently address resident complaints brought directly to Council rnembers, the following procedures and value statements are proposed: a) If a Council member is uncertain as to the proper referring department of a resident service complaint, she or he is encouraged to contact the City Administrator, or if the referring service department is known, the Council member is encouraged to contact the Department Director directly. Consequently, all resident service complaints or process questions should be taken either to the City Administrator or to the affected Department Director to rnaintain consistency in service communications, accuracy, appropriate managernent accountability and general courtesy to the rnanaging director. b) All resident service complaints or concerns are important, however, in order to effectively resolve the issue and rnaintain consistency in resolving existing service priorities, a reasonable amount of time rnay be required to address the issue in the order received. In cornplaint situations where the level of difficulty is high and/or sorne amount of time is needed to focus organizational resources on the issue, Council members and the respective resident will be updated on status. c) In situations, where either the City Adrninistrator or Department Director is unavailable, leaving a detailed message on voice mail is encouraged. Staff will respond to these rnessages within a reasonable amount of time, usually within the day / or next business day at the latest. d) The reporting Council member will receive service feedback on the complaint by the responding departrnent director/designated staff person or the City Administrator upon resolution or as rnay be requested by the Council rnember. e) Once a resident service cornplaint is brought to the attention of the City Administrator/Department Director, it is expected that staff will handle the issue exclusively to ensure direct comrnunications with the resident, and will handle the issue in question according to the City Code, professional judgement and reasonable service time frames. f) Council members are encouraged to refer the resident to the appropriate department director, or indicate that the administrator or department director will contact them on their respective concerns. COUNCIL POLICY - PROPOSED \ Council-Staff Communication Protocol I In order to maintain a consistent, open and mutually productive relationship, it is encouraged that Council members communicate with the administrator or appropriate department director on all service related issues. It is important that when a service related issue affecting the organization is in question, that the administrator or affected departrnent director is notified to provide Council with a senior level management response. COUNCIL POLICY - PROPOSED Council Expectations of Staff Work Assignments All City-related issues will be objectively and professionally reviewed by staff. Staff research and concluding opinions will be based upon all available relevant sources of data, and based upon respective staff expertise. Staff is hired to provide Council with professional expertise on a variety of subjects and issues to be presented in an unbiased, objective manner. Council is free at all times to question staff rationale, process and procedures issues and associated background information, but should allow staff to exercise their professional judgement with confidence. In situations where Council disagrees with a particular staff recommendation(s) or action requested items, Council is free at all times, and staff will respect Council's prerogative to take different courses of action based upon alternative legislative viewpoints. In such cases, however, staff is obligated to identify the implications or consequences of an alternative Council action with respect to administrative, operational and legal considerations. COUNCIL POLICY -101-04-1997 Council-Management Team Statement of Commitment to Productive Working Relationship Council and staff roles are rnutually supportive and respectful; comrnitted to working together as a team. Keeping communication lines open, mutually respectful and honest are key to a productive, high-quality and mentally healthy work environment. Staff respects Council's role as that of preeminent policy maker on all issues affecting the comrnunity. Conversely, Council respects the managernent team's role as professional, competent managers committed to implementing Council policies in a credible, considered and objective manner. .. , , . \ / CITY OF ANDOVER COUNTY OF ANOKA STATE OF MINNESOTA ORDINANCE NO. 216 An Ordinance repealing Ordinance No. 31 adopted Septernber 16, 1975 and Ordinance No. 3lA adopted May 13, 1976. AN ORDINANCE ESTABLISHING THE POSITION OF CITY ADMINISTRATOR AND DEFINING DUTIES AND RESPONSIBILITIES. The City Council of the City of Andover hereby ordains as follows: The position of City Adrninistrator is hereby established providing for the Administrator to be the Chief Administrative Officer of the rnunicipality. Section 1. Position Summary. Directs and manages all City operations as delegated by the City Council within the J parameters of state statute and City policy to ensure the effective and efficient operation of all City departments through a subordinate departrnent head structure. Serves as primary liaison with the City Council to inform them ofrelevant projects and issues. Recommends policy changes and communicates council decisions to appropriate City staff. Guides the developrnent and implementation of departmental managernent, human resource and labor relations policies and practices. Serves as the City's key representative in cooperative efforts with other governmental or private entities. Responds to citizen questions and complaints either directly or through appropriate personnel. Reports to and serves at the discretion of the elected mayor and council. Exercises supervisory authority over all City employees, through a department structure. Oversees all hiring, promotion, and termination recornmendations as well as rewards, discipline, grievances, training, performance aJ?praisaI and other employment conditions. Directs and oversees the development of annual City budget and periodically monitors revenues and expenditures against approved budgets to ensure the soundness of City fmances. Section 2. Maior Areas of Accountability. 1 I / Supervise directly or indirectly all personnel of the City, making recommendations to the City Council regarding employment and dismissal. Budgeted temporary personnel may be hired and discharged by the City Administrator. Administer personnel rnatters for the City consistent with City personnel policy. Develop and issue administrative rules, policies and procedures necessary to ensure the proper functioning of all departments. Negotiate or delegate the negotiation of terms and conditions of employee labor contracts for presentation to the City Council. Inform the City Council on matters dealing with administration of the City and prepare and submit to the City Council for adoption an administrative code encompassing the details of administrative procedure (personnel policy). Attend and participate in all meetings of the City Council. Coordinate the preparation of the City Council, Planning and Zoning and Park COlmnission agendas. Recommend to the City Council such measures as deemed necessary for the welfare of the citizens and the efficient administration of the City. May attend at own discretion or at the direction of the Council, other committee and commission rneetings. Represent the City at functions as directed by the Council. Maintain good public / relations with the citizens of the community. Consult with officials of both public and private agencies as may be required, while maintaining knowledge offederal, state and county prograrns which affect the municipality. Oversee the preparation of annual fiscal budget and capital improvement plan. Maintain fmancial guidelines for the City within the scope of the approved budget and capital program. Ensure reports are submitted to the Council on the fmancial condition of municipal accounts, and ensure the annual fmancial statement is prepared in accordance with Minnesota Statutes. Supervise the purchasing function of the City, by ensuring all purchases are in accordance with approved municipal budgets.' Has the authority to sign purchase orders for routine services, equipment and supplies for which the cost does not exceed one thousand dollars ($1,000). Present to the City Council all claims resulting from orders placed by the City for Council audit. Negotiate or delegate contract negotiation responsibilities for any kind of merchandise, materials, equipment or construction work for presentation to the City Council. J Coordinate municipal programs and activities as directed by Council. Monitor all consultant and contract work perfonned for the City. Coordinate the activities of the City attorney. 2 , I Take an oath of office, be bonded at City expense with a position bond to indemnify the City. Perfonn such other duties as prescribed by law, required by ordinance, resolution adopted by the Council and as apparent or assigned. Section 3. Background and Experience. Bachelor's degree (Master's degree preferred) in public or business administration, fmance, economics or related field and ten years experience in municipal government administration with at least five years in a responsible managernent position, Considerable knowledge of municipal government operations, procedures, public relations, finances, purchasing and all administrative requirements for proper municipal operation. Have knowledge of or access to all laws affecting the municipality. Have the ability to provide hannonious relations with municipal employees and the general public. Have the ability to plan development, to collect material and analyze for reporting and to conduct and irnplement standards of procedure, operation and organization. Excellent oral and written communication skills. Bondable at City expense, through a position bond which will indemnify the City. Section 4. Term of Office. The administrator shall be chosen by the City Council solely on the basis of training, experience and administrative qualifications. The City Administrator shall be appointed for an indefinite period by a majority ofthe City Council and may be removed from office only by a majority of the City Council in accordance with the rules and procedures set forth in the City personnel policy. Adopted by the City Council of the City of Andover on this 17th day of March, 1998. ATTEST: CITY OF ANDOVER Victoria Volk, City Clerk 1. E. McKelvey, Mayor 3 - (a) Immediate Supervisor: The employee shall discuss the concern with their immediate supervisor in an attempt to resolve the concern. If the employee is not satisfied, the employee - may file a complaint with the Department Head, or designee. (b) Department Head: In filing a complaint with the Department Head, or designee, the employee shall forward a written complaint to the Department Head. Upon receipt of the ,- written complaint, the Department Head, or designee, shall meet with the employee in a timely manner to hear and consider the complaint. A written response will be given the employee in a timely manner. The Department Head, or designee, shall take steps to I investigate the employee's complaint and take necessary actions, such as: (I) Take action appropriate tothe authority of the Department Head, or designee, to resolve the employee complaint, or; I (2) lnfoffil the employee there is no basis for City action. (e) Administrative Level: If the employee is not satisfied, the employee may submit the I complaint to the City Administrator, or designee. The City Administrator, or designee, shall review as necessary and issue a written statement of disposition of the complaint in a timely manner. I -? @ City Council: If the employee is not satisfied with the disposition of the complaint by the City Administrator, or designee, the employee may request a hearing with the City Council. The City Council shall hear the complaint, review as necessary, and issue a decision. The decision of the City Council shall be final. I Sec. 30. Employee Conduct. I (a) Employees are expected to use available working hours to the best adVantage in carrying out work -related duties. I (b) The conduct of an employee on the job shall not bring negative public opinion upon the City. ) (c) Employees are expected to treat each other in a professional, respectful manner. Hurtful, I disparaging, cutting remarks illfended to defame, demoralize, disrespect or otherwise demean others will not he tolerated. Instructive comments and suggestions for improvement are encouraged provided they are given in a positive, constructive way. I (Revised 6/01/99) (d) Following are general rules of behavior relative to an employee's political activities. I (I) An employee of the Ci.ty may express personal opinions on political subjects and candidates and take an active part in political management and campaigns as long as it does not interfere with job perfoffilance or duties and such activities occur outside of the workplace. (2) An employee ofthe City may not, directly or indirectly, during working hours or on City property, solicit or receive funds for political pUrposes. (3) An employee of the City may not, at any time, use authority or official influence as a result of their employment to compel any person to do any of the following: apply for membership in any political organization; payor promise to pay any assessment (other than their own), subscription, or contribution for political purposes; or take part in any political activity. Sec. 31. Outside Employment. \ The purpose of this section is to establish standards for the reporting of outside employment to ~ protect both the City and employees from engaging in an activity which might be construed to be a conflict of interest between the employee's regular duties with the City and the outside employment. 17 @ \ CITY OF ANDOVER ) 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755.5100 FAX (763) 755-8923. WWW.C1.ANDOVER,MN.US TO: Mayor and Councilrnembers FROM: John Erar, City Administrator SUBJECT: Council-Adrninistrator Team Building Session DATE: June 13,2001 INTRODUCTION Discuss the purpose, scheduling and facilitation of a Council-administrator team building seSSiOn. DISCUSSION The purpose of holding a team-building work session is best described as an opportunity to strengthen working relationships between the Council and administrator in the areas of communications, leadership, governance roles and performance expectations. More specifically, it allows the Council, as a board, to communicate its vision and expectations of how the Board and the administrator should work together. Secondly, to encourage a dialogue of appropriate Council and administrator roles relative to mutually understood governance rnodel principles and concepts. Thirdly, depending upon the framework and dynamics of the work session, it allows individual council rnembers to express their views and thinking on how to better work together as a.team. And, finally, it generally increases the Board's awareness and appreciation of the differences and sirnilarities between individual members, and to harness those distinct characteristics into meaningful and productive leadership outcomes. In anticipation of scheduling a proposed work session, I have solicited a proposal from Mr. Jirn Brimeyer to serve as the session facilitator. His experiences as a former City manager, current Council member and managernent consultant should provide the Council with a balanced, insightful and productive work session. The elements of the proposed work session include the completion of a DISC profile, a leadership assessment tool; a discussion of conternporary governance model principles and concepts - see attachment on Carver Governance Model; Council-administrator roles, responsibilities and decision-making processes; and a review of Council's adrninistrative performance expectations. BUDGET IMPACT \ The professional service proposal as submitted by Mr. Brimeyer carries a total cost of$I,225 for / a 4 hour session and five DISC profiles. Funding for this work session would be available in the 2001 Budget. ACTION REOUIRED Consider the following dates for a Council-administrator work session: Thursday, July 19; Wednesday, August 8 or Thursday, August 9. The work session times could begin at 6:00 p.m with dinner provided and would allow for adjournment at 10:00 p.m. R~oct~, 'I . J Erar ity Adrninistrator / / . The Brlmeyer Group, Inc. \ EXECUTIVE SEARCH CONSULTANTS J Fifty South Ninth Avenue, Suite #101 Hopkins, MN 55343 City of Andover RECEIVED Proposal for Consulting Services JUN 0 4 2001 CITY OF ANDOVER Objective Conduct a session with the Council and Administrator to develop a more effective team. Discuss the framework for decision making utilizing the Carver Governance Model Methodology Phase I Pre-session / June 18 to July 6, 2001 Participants complete DiSC Profiles, a self-assessment tool designed to identify behavior styles, management strategies, and how participants can work effectively with each other. Phase II Session with Council and Administrator Possible dates: July 19, August 8, or August 9 4:30 to 9:00 PM Conduct session with Council and Administrator - Discuss behavior styles - Review individual Profiles - Review results of information gathering Introduce Governance Model Discuss current situation - Council policy development Discuss framework for decision making. / Determine next steps. (952) 945-0246 . fax (952) 945-0102 , \ , Page Two - Proposal for Consulting Services Phase III (As part of the City Administrator six month performance evaluation) Assess: - Decision making process - Definition of roles and responsibilities - Status of policy direction FEE Phase I and II $800.00 DiSC Profiles $85.00 per participant I The Policy Govemance@ Model http://www,carvergovemance.comlmodel.htm \ I carvergovernance.com I , Policy Governance@ Defined John Carver's Policy Governance@ rnodel is the world's only complete, universal theory of governance-a conceptually coherent paradigm of principles and concepts (not of structure). The model enables boards-as "servant-leaders" of shareholders, public, members (or other "ownership" equivalent)-to ensure that organizations achieve board-stated goals and conduct themselves with probity. . Because it is a complete theory, it informs board planning, mission, committee work, agenda control, budgeting, reporting, CEO evaluation, management relationships, fiduciary responsibility, and all other aspects of the board job. . Because it is universally applicable, it works for organizations that are new or mature, large or small, profit or nonprofit (including government), and troubled or successful. · Because it is carefully crafted, it enables an efficient summing of board wisdom capable of adequate control without micromanagement. Policy Governance@ in a Nutshell , Leadership is an important, yet elusive concept. It takes on different forms in different settings. The intent of Policy Governance@ is to give operational definition to "leadership" as it applies in the specific context of a governing board. It addresses the questions: "How can a group of peers be a responsible owner-representative, exercising authority over activities they will never completely see, toward goals they cannot fully measure, through jobs and disciplines they will never master themselves? How can they fulfill their own accountability while not, at the same time, infringing unnecessarily on the creativity and prerogatives of management? How can they do so when within themselves they disagree, there is a limited time for the task, and there is an unending stream of organizational details demanding inspection?" All fields of endeavor encounter their peculiar dilemmas and challenges. It is common in natural development of any pursuit for experience to yield helpful tips and shortcuts. To the extent a field continues to advance, frameworks or paradigms of thought develop in which the principles and concepts provide more effective guidance than tips ever can. Management as a social science has certainly seen such a growth over the centuries - most strikingly in the past few decades. Technologies of management from time-and-motion, to MBO, to CPM, to Total Quality have characterized the rapidly growing integrity of the management function. But while the performing function (management) has undergone impressive growth in this century, the purposing function (governance) has remained the least developed element in enterprise, typically the orphan of management more than its master, This is true in business, nonprofit and governmental bodies, though the typical flaws differ some from one setting to the other. We regularly accept a level of mediocrity in board process that would never be accepted in management. Policy Governance is a departure from that primitive state of conceptual development. It is a radical redesign of board leadership that makes new sense of the board-staff relationship, planning, evaluation, and all other aspects of the board job. Unlike virtually every other ./ approach to the board challenge, Policy Governance is a conceptually coherent model, intended as lof4 5/31/2001 1 I:24 AM The Policy Govemance@ Model http://www.carvergovemance.comlmodel.htm . a complete replacement of the deeply flawed traditional wisdom about boards. \, In light of the leadership opportunities made possible by Policy Governance, governance as J traditionally and widely practiced in all settings appears ill conceived, ineffective, and wasteful. Watching a city council, school board, social service board, or trade association board reveals varying degrees of ritual, rework, trivia, and failure to act as a group, Watching a corporate board reveals a CEO-driven charade in which directors are more advisors in the CEO's service than governors in the service of stockholders. Our missions and our own integrity demand that boards govern rather than either rubber stamp or meddle. Our busy lives demand that time, energy and wisdom be well used and that boards and managements should both be optimally empowered in their work. The message of Policy Governance is not that individual boards should work harder toward what has long been held out as the ideal for board behavior, but that the ideal itself is flawed. By far most literature currently available to help boards is written within the patchwork ideas of the past. Books, articles, course work, seminars, consultants, and associations teach outdated forms of governance we should have discarded long ago. This is a primitive field, indeed. And it means that school boards, city councils, corporate boards, social service boards, trade association boards and a host of others are wasting the bulk of their potential leadership and wasting their operational staff resource due to inadequate leadership(whether laissez faire or intrusive). It means that virtually all sources to which they turn for help only assist in miring them more deeply in outdated governance ideas, Thus it is that most board training is merely teaching boards how to do the wrong things better than they did them before. It has long been said that boards should stick to making policy and leave administration to managers. But conceptual development of principles and rules for policy making has been scant, consisting mostly of ideas inappropriately borrowed from internal management rather than crafted for the specialized role of governance. Policy Governance, as its name implies, is about governing by policy, but it is policy of a more sophisticated nature than policy as we have heretofore loosely defined it. It has also long been said that boards should be (a) more involved and (b) more arm's-length, The truth is that boards should be more involved in some things and less involved in others. Only a creditable model - not anecdotal wisdom - can reliably and powerfully help a board and its CEO know which is which. The model is a thorough working theory of board leadership that cannot be fully presented in a brief exposure. Nevertheless, here are a few of its basic tenets. Let's begin with the purpose of any governing board's job: The purpose of [1] the board job is, [2] on behalf of some ownership, [3] to see to it that the organization[4] achieves what it should and [5] avoids what is unacceptable. 1. The board job. It is the board's responsibility to govern; the board has a commensurate authority to govern. Individual board members do not. That is, whatever authority is legitimately wielded by a board is wielded by the board as a group. Hence, a CEO is bound by what the board says, but never by what any board member says. A board should pledge to its CEO that it will never hold him or her accountable for keeping board members happy as individuals and will never hold him or her accountable for any criteria except those expressed officially by the full board. In other words, the board as a body is obligated to protect its staff from the board as individuals. For nonprofit and governmental organizations, the "one voice" aspect of governance is regularly lost by having a host of board committees running about involving themselves in issues ostensibly delegated to staff. Staff members end up taking direction from segments of the board. Common committee roles do grave damage to the integrity of CEO delegation. Personnel, finance, program, publicity, and other such committees are the prime offenders. The board should not have committees either to help or instruct staff, Board members can serve on staff committees if asked (removing their board hats in the process), but foisting I 20f4 5/31/200 I II :24 AM The Policy Govemance@ Model http://www.carvergovemance.com/model.htm board help and advice, at best, makes a mockery of the board-CEO relationship and, at worst, renders the CEO no longer a CEO. , I The suggestion here, also, is that the board has a specific job to do, a specific set of "values added" that justify its position. This differs from having a job that is essentially looking over everyone else's shoulders, reacting, and largely being steered around by whatever staff have been doing (the show-and-tell board meeting of staff reports) or are thinking about doing (reviewing and approving detailed plans). That a board has its own job to do means, if the board is responsible for getting its own job done, that board agendas should be the board's agendas, not the CEO's agenda for the board, Yet most board agendas are products of those who work for the board - a practice that would rarely occur anywhere else in an organization. 2. On behalf of some ownership. Boards rarely "own" an organization themselves. They ordinarily are a microcosm of a larger ownership, The owners may be legal owners (stockholders for an equity corporation) or more a "moral" ownership(the whole community in the case of a local social service organization).But in any event, the board speaks on their behalf, a task that requires (a) knowing who the owners are and what their desires are, (b) being able to distinguish owners from customers (clients, students, patients) and other stakeholder groups. Finding ways to link with owners even more than with management is a major challenge to any board, Most nonprofit and governmental attempts to do so deteriorate into linkage with disgruntled customers instead(watch any city council or school board meeting). 3. To see to it. Seeing to it implies a commitment to assure, not simply to hope that things come out right. Seeing to it that things come out right requires three steps: First, the board must describe "right" - that is, the criteria that would signify success. These are noted below. Second, the board must hold someone accountable for reaching these criteria. This is most easily done by using the CEO function, for that role allows the focusing of performance in one individual even though actual performance occurs due to many individuals. Proper use of the CEO role has been hard to achieve in business and in some non profits and ; government in that boards abdicate to their CEOs until disaster is full blown. Proper use has been hard to achieve in many non profits and government (though not so much in business) in that boards interfere with their CEOs, not cleanly delegating sufficient authority to them. Third, the board must systematically and rigorously check to see if criteria are being met, that is, the board must monitor performance regularly. Traditional board operation fails in all three areas, especially in the first and third, Outcome expectations (what difference is to be made in recipients' lives) are rarely or incompletely stated. Acceptability of practices and methods is rarely clarified. Hence, when a board tries to monitor, it has no criteria against which to do so. The result is not monitoring, but foraging about. Observe any board approving a financial statement or a budget: the board has no idea what it would disapprove, for it has given the CEO no criteria to be met. Traditional board "development" will help a board to follow this path with more ability to read financial statements, but does nothing to help the board find a more effective way to use its time. 4. Achieves what it should. What should any organization achieve? This is the most important aspect of instructing the CEO. The only achievement that justifies organizational existence is that which causes sufficient benefits for the right recipients to be worth the cost. What good is this organizations to accomplish, for whom, at what cost or relative worth? (I refer to these ways of describing achievement as "ends" as opposed to means.)Traditional approaches to governance have allowed boards to sidestep this crucial determination. We have focused far more on what activities the organization will be engaged in, not the consumer results to be achieved. Consequently, boards give their CEOs credit for programs, services, and curricula rather than demanding data (even crude data arebetter than none) on whether the right recipients received theright results at the right cost. In order to lead, boards mustlearn that services, I programs and curricula have no value exceptas they produce the desired ends. Therefore, 30f4 5/31/200111:24AM The Policy Governance@ Model http://www.carvergovernance.comlmodel.htm boards are well-advisedto look past these operational means and on to the ends that reallymatter. \ 5. Avoids what is unacceptable. Putting the board's emphasis on ends is a powerful tactic for board leadership, but the board cannot forget that it is also accountable for the means as well. "Means" include not only practices and methods, but situations and conduct as well _ in other words, all aspects of the organization that are not ends (given the definition above).Concerning itself with means, however, is ordinarily an opening for boards to become entangled in operational details. This is where micro-management and meddling are born. It is a dilemma: on the one hand, boards are accountable for staff practices and situations, yet dealing with them directly trivializes the board job. Policy Governance offers a safer way for boards to deal with this dilemma: The board can simply state the means that are unacceptable, then get out of the way except to demand data (monitor) that the boundaries thus set are being observed, As counterintuitive as this approach sounds, it works magically, The board can succinctly enumerate the situations, circumstances, practices, activities, conduct, and methods that are off-limits, that is, outside the authority granted to the CEO. For most boards, this can be done in a half-dozen pages dealing with staff treatment, financial management, compensation, asset protection, and a few other areas of legitimate board concern. These proscriptions avoid telling the CEO how to manage, but do tell him or her how not to manage, Although verbally phrased in an intentionally negative or limiting way (to avoid the board's tendency to slip back into prescribing means), this approach is psychologically quite positive. The message to the CEO is, with regard to operational means, "if the board has not said you can't, you can." To fulfill board leadership in this more effective way, the board produces four categories of policies in Policy Governance: (1) policies about ends, specifying the results, recipients and costs of results intended, (2) policies that limit CEO authority about methods, practices, situations, and conduct, (3) policies that prescribe how the board itself will operate, and (4) policies that delineate the manner in which governance is linked to management. These are exhaustive policy categories; except for , I bylaws, there is nothing else for the board to decide. Moreover, they are policy categories designed for the job of governing, not for the job of managing as are traditional categories used for board policy-making, There is a great deal more to the Policy Governance@ model - some critical principles have been omitted from this brief summary - but these comments provide a glimpse of the wide differences between conventional practice and the Policy Governance redesign of board leadership. The implication is no less than an assertion that what most boards do most of the time is a waste of time and inimical to good governance and good management. It is a hopeful model, in that it asserts that the process is more the problem than the people. (Good managers on boards, by the way, are caught up in almost the same errors as non-managers,) No matter how dedicated or intelligent, people cannot be all they can be in a poor system - and that is exactly what boards have been handicapped with. Policy Governance provides an advanced framework for strategic and visionary board leadership. , , 40f4 5/31/2001 11 :24 AM