Monday, October 06, 2014

MedHab Contract for COSADC Board

Consider Economic Development Director Roland Pena's comments at the beginning of his presentation to the City of San Angelo Development Corporation on August 27, 2014.
"This is a very well respected board and you are on TV and I get the similar kind of comments."
That same meeting the Board received their long requested update on MedHab Inc.  Economic development staff did not have MedHab's contract at their fingertips when MedHab CEO Johnny Ross gave his update . As a public service the contract can be viewed below. 

How many members of the public could not believe that MedHab was on the agenda and staff did not have the contract?  It's a basic if the aim is to inform.  Otherwise "You are on TV" sounds like theater direction.  

So far the COSADC board has been very compliant with Roland Pena's suggestions.  

1)  The board shifted from two meetings a month to one with virtually no discussion.  
2)  They gave up check signing at their last meeting, allowing this to be done administratively.  Board members did not ask about accounting internal controls and how the new process would comply.    
3)  Roland suggested moving the monthly financial statements to the consent agenda.  After discussion the board decided to have the monthly statements in the background packet and for staff to present quarterly financial reports to the COSADC board.

A key responsibility for any board is fiduciary.  COSADC has the added burden of ensuring its funds go toward primary job creation.  How are they to fulfill this responsibility if checks are cut by staff and financials are only reviewed quarterly?  

BREP starts October 1.  This is supposed to be an automatic program.  If local employers meet the criteria, they'll get a check.  There needs to be much more sunshine in the Development Corporation arena.  Current leadership is dong the opposite, spreading shadows

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