January
21, 2004
Interim
Authority for Community Living, Ready or Not?
"Governors
are not managers. Governors do, however, carry the responsibility
for hiring good managers and holding them accountable for
specific outcomes."
The
Sage Report, September 24, 2003, p. 13.
Interim
Authority for Community Living Board member M. Lynn Rolko,
the Authority's Corporate Secretary and a member of its Executive
Committee, in an interview on the Rafe
Mair show on January 20th, alternated between defending
Doug Walls and denying that he was really the Authority's
CEO except for communication purposes with the Ministry and
as required by the Authority's by-laws. She went on to say
that he was one of two senior staff. Rolko's reference to
"communication purposes" may be in recollection
of the February 7, 2003, minutes of her Board which noted
her appointment as Corporate Secretary and also recorded that
"Doug Walls has been appointed as the Interim CEO and
will deal with all staffing issues". The minutes had
the unrelated heading "Communication Protocol".
Her recollection wasn't so good when it came to financial
matters. Despite her claim that "Mr. Walls was not managing
the taxpayer's money", the financial
statements on the Interim Authority's website, bear the
signature of Doug Walls dated May 9, 2003, with the title
Senior Consultant, Planning and Development and Chief Executive
Officer.
Community
living, the name used to describe services to people who were
previously housed in institutions like Woodlands, has a budget
in excess of $600 million. That is a lot of tax money that
will be handed over to an appointed board which must in turn
be accountable for those funds as well as for the services
its clients receive. The government's plan is to develop the
Interim
Authority for Community Living to the point where responsibility
for that budget can be handed over in what Minister Gordon
Hogg described as a "turnkey" operation. The resignation
of the Interim Authority's acting CEO may attract attention
to what the Interim Authority has been doing, and it may once
again delay Hogg's plans. The key was to turn by June 2004
but the Readiness Panel chaired by Vince Collins warned that
the Interim Authority is not ready.
Special
prosecutor Josiah Wood has made it clear that he is not looking
at any matter involving the Interim Authority, and that his
appointment is limited to matters related to a commercial
crime investigation in Prince George. Doug Walls should be
presumed innocent of whatever charges or allegations are made
with respect to him or his former company. That does not,
however, mean that the question of how he was appointed to
be acting CEO of the Interim Authority should be ignored,
nor should the performance of the Interim Authority under
his leadership escape careful examination. Two reports have
been done on the problems with the transition, the Sage
Report and the Readiness
Report.
The Readiness
Report (Vince Collins, chair), dated December 19, 2003, said
"that failure to appoint an interim CEO and to initiate
immediately the recruiting process for the permanent CEO and
the senior management team and to appoint the permanent Board
members by January 31, 2004, will significantly reduce the
probability of a successful devolution on June 1, 2004."
Didn't anyone who was advising the government know about Driscoll's
letter of January 23, 2003, or about Walls signing the financial
statements as CEO?
The minutes
from the March 26, 2003, Board meeting recorded that "The
Chair advised that the recruitment process for a CEO is underway.
All candidates will be subject to a joint paneling by both
IACLBC and Ministry. Once a candidate is selected they will
work for the IACLBC and subject to the Boards satisfaction,
they will be moved over to the Permanent Authority. Betsy
Gibbons of Korn/Ferry International has been chosen to work
on the recruitment process. An ad has already been drafted
and it will be placed in the Globe and Mail shortly. The Chair
advised that Betsy will be meeting with the Board tomorrow
to gain feedback on what is expected for the CEO position."
The meeting continued the next day and included a lengthy
discussion of desirable attributes for the CEO including that
it be "Recommended that the candidate should be familiar
with and/or come from the Community Living movement."
The minutes of the April 24th Board meeting recorded "The
Board arose from the in camera session and agreed that the
advertisement for ICEO/CEO should be terminated at present
and resumed once the permanent Authority is established".
Was that really a decision to confirm Walls by default?
It was July 17, 2003, before the Interim Authority's Board
minutes provided any further details on the search for a CEO,
and then it was noted that "The Chair advised that he
would discuss the issue of CEO recruitment with the Minister
when he met with him on Monday." The Interim Authority's
website includes board minutes through November but there
is no reference after the July minutes about CEO recruitment.
It appears that the Chair's discussion with the Minister was
the end of the matter!
On Mair's
show Rolko emphasized that as a director of the Interim Authority
(IA) she is not accountable to the Ministry but to a majority
of the families served. That could be very bad news if the
Authority becomes responsible for an enormous budget, even
as it is the Interim Authority spends over $3 million of taxpayer
money. The Readiness Panel asked "Do the Ministry and
IA have a clear understanding on the nature of the Accountability
Framework within a public sector context, and the type
and structure of the expected governance model? Have the roles
and responsibilities of the new Authority and the Ministry
been clearly identified and is there an accountability framework
that documents the agreed upon decisions?" If Rolko's
comments are any indication, there is a lot of confusion over
accountability. The Readiness Panel said that the "Development
of an Accountability Framework that is accepted by both parties,
and development of a draft performance agreement" had
to be accomplished by January 31, 2004. It looks like they
have a long way to go in the next ten days.
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