Dennis Leone re: February 14, 2008 STRS Board meeting

Dennis Leone to Molly Janczyk, February 14, 2008
Subject: STRS Governance

So you know, at the very end of today’s STRS Board meeting, I asked – since we soon will be interviewing executive director candidates – when will the board be seriously addressing governance issues. (Many on the board feel we already have.) Earlier in the meeting, I expressed my disappointment over: (1) The board adopting, with no interest in hearing from me on the matter (it was MY proposed amendment that was tabled), a resolution giving Damon absolute power, again, to represent the board is “ALL matters” pertaining to personnel compensation and “ALL matters” pertaining to expenditures; and (2) the board NOT revisiting my other policy objection – the one where Damon is empowered to determine “all further policies.” While this second proposed amendment was officially tabled, it never has been revisited or discussed a second time. It is simply astonishing to me that the board majority is okay with the executive having such power. These 2 policies (coupled with no board oversight) are the foundation for 90% of the problems that have occurred at STRS in the past. The policies, for example, would permit the executive director to decide tomorrow, unilaterally, to give all employees a $5,000 gift if they have perfect attendance. John Patterson knows this. It’s crazy.

Before adjournment, Craig Brooks said that “in the spirit of collaboration and working together,” he’d have no problem with the board discussing governance at a future meeting. I suggested the March regular meeting. There appeared to be board consensus that “governance issues” would on the agenda in March.

Regarding the unappointed board member problem…………while there was no formal vote (for a variety of reasons) there definitely was a board consensus, resulting (in my opinion) from your communication efforts, for Damon to directly express the board’s desire to have the person appointed as soon as possible.

Dennis Leone