Board Governance
Workforce Professional Development Academy
December 3, 2013 | Hilton Orlando
Pamela Nabors – President/CEO - Region 12
Dalton Hall, CPA - Partner - Taylor, Lombardi, Hall & Wydra
Learning Objectives
• Building Board Engagement & Community Trust
• Establishing Compliance Systems with Appropriate
Checks & Balances
• Creating Intentional Community Partnerships
Fall of 2011
• Governor’s letter issued, placing WCF on probation &
calling for reform
• $5.3M in disallowed costs
• 17 audit findings
• Designated a high-risk grantee
• High level of media scrutiny
• Lack of accountability & community trust
• Perception - lack of transparency
Vision of the New Board
• Resolve and end all problems of the past
• Restore public’s trust
• Create a great future for WCF
The Rebuilding Process
•
- Internal operations revised by chair:
Board Re-appointed
- Met with staff
- Key leadership from Central
- Established open door policy
Florida appointed to new board
- Transition team reported other fiscal
- Interim Executive Director
issues:
appointed by DEO
- Computers
- Governance structure developed
- Gift Cards
- New committees established
- Vehicles
- Advertising sponsorships
- Re-established connection with local elected
official consortium
- Added reps from 5 counties to board
committees
- CEO Executive Search Conducted
- Hands-on board member operations support
Financial System Changes
• PY 2011-2012
– Cost Allocation Plan
– Personnel Activity Report (PAR) Process
Developed
– Resolution of Inspector General Reviews &
Findings
– Hired independent, knowledgeable thirdparty to perform fiscal procedures and
deliver staff training
Financial System Changes
• PY 2012-2013
– Review WCF’s existing policies & procedures
– Develop & deliver training strategy
– Create continuous review strategy
Financial System Changes
Engagement Tasks
Task #1 - Contracting/Procurement Policies
• Reviewed existing policies & procedures
• Developed policies for:
- Procurement
- Contracting
• Provided recommendations to ensure board oversight,
adequate internal controls & compliance with Federal & State
requirements
• Trained staff
• Obtained state approval
Task #2 - Accounting Policies & Procedures
• Tightened internal controls, recommended separation of duties
• Developed authority threshold tables – staff/board
Financial System Changes
Task #3 - Financial Reporting/Budgeting
• Revised budget templates & financial reports:
- Variances in budget to actual by funding source
- Standardized workforce industry line-items
- Comments/Supplemental Schedules
- Summary report template for board
Task #4 - Process Review of Key Fiscal Areas
• Identified gaps between staff understanding & actual
policy requirements
• Identified errors or deficiencies
• Streamline tasks
• Reviewed eight key fiscal areas
• Prepared detailed improvement matrix for each key area
Financial System Changes
Process Review Example
For operating disbursements, reviewed current purchasing
practice/process by selecting a sample of purchases ($100,000 or
less) and staff reimbursements, obtained current policies and
procedures, and determined whether:
cost was properly
prior approval procedures
capitalized,
if purchasing
applicable;
were followed
in was properly
disbursement
was
cost was
payment traced
to
& travel
cost
check
dataallowable,
agreed
and practice
agreedledger
to
accordance
the Final
supported
bybenefiting
proper
reasonable,
and with
general
posting
procedures
were followed
charged
(i.e.,
to invoice(s)
Guidance on Prior
Approval
documentation
&current
necessary
a cost &
or price analysis
program
or cost pool)
& &policies
procedures andwas
contained
Procedures Memorandum
approval
performed, if
classified
proper internal controls
issued by DEO
applicable
Financial System Changes
Task #4 – Process Review - observations noted:
• Staff didn’t have a clear & consistent understanding of
the following:
- Procurement policies & procedures
- Proper documentation and/or approvals
- Proper justification of costs (need or benefit)
- Cost/price analysis requirements
• Allocations/direct program charges were incorrect or
not properly substantiated
Reconnecting with Central Florida
Community
•
New board engaged with media
•
President’s outreach
–
–
Newly formed partnerships
Met with over 176 Central Florida
organizations and agencies
•
Established formal partnerships with:
- Second Harvest
- Harvest Time International
- Community Colleges & Technical
Schools
•
Community being reengaged-trust
being restored
•
Media relations campaign
- Average 6 releases per month
- Over 50% success rate on media hits
from press releases
Results – Board
•
•
•
•
Fully engaged Consortium & Board of Directors
Board providing organizational oversight
Consortium actively involved in governance
Transparent in all board & program operations
Results - Fiscal
• Positive resolution of all findings
- Staff was receptive and welcomed opportunities to make changes
& improve processes, expressed willingness to perform in
accordance with requirements
• High-risk designation lifted
• Procedures in place to ensure continuous compliance
Results – Community Engagement
• Active community partnerships
• Positive press & media relations
• Ready to transition to CareerSource Central Florida
Thank You
Pamela Nabors
President & Chief Executive Officer
407-531-1222
pnabors@wcfla.com