The Good, The Bad, and The Ugly - Part Two

Too much cash is not always a good thing

One of the biggest challenges over the years has been for board members and RCSC management to overcome the idea that we are a not-for-profit organization. Most often those hired and elected have come out of for-profit businesses. Two wholly different and complete animals. Some have done better than others. Some who have come out of education and others who have worked for non-profits more easily adapt to our environment. Others steeped in the secrecy of for-profit companies look at transparency with

disdain. Perhaps the worst of all are the ones who simply enjoy being elected and love the power and control that comes with it.

From an educational perspective, there are several types of non-profits. Nope, not going there, way too much minutia to sort through. Suffice to say, in most cases whatever the designation, the tax advantages associated with being identified as a non-profit are beneficial to the group of people the organization exists to serve (emphasis, to serve). That is the very point of non-profit organizations. The IRS has specific rules that govern how they are able to function. My good friend Ben Roloff continually reminds those of us serving on boards that we don't exist to build up war chests of money. He's right, though oftentimes board members with business backgrounds, see cash accumulation as a good thing.

Accountability and transparency are missing

This discourse took me Googling and I love this comment from Wikipedia:

"The key aspects of nonprofits are accountability, trustworthiness, honesty, and openness to every person who has invested time, money, and faith into the organization. Nonprofit organizations are accountable to the donors, founders, volunteers, program recipients, and the public community." 

Now overlay that with how many of us see the RCSC and how they have acted over the past 15 years. Sorry, but it is so far removed from what it should be. The documents should never have been allowed to strip members of their rights.

Governance as a corporation or planned community

Which again takes us into the tall grass of learning the differences. Without boring you with the details, when Sun City was built, the state's statutes governing us were covered under Title 10. As Arizona grew and new communities were built, Title 33 was written and passed to protect homeowners in communities and the organizations that governed them. The General Manager and the boards she worked with wanted no part of being covered by it. They went to court to prevent it and found two local legislators to draft legislation to stop it.

I could write an entire chapter on it, but suffice to say, Title 33 forces an organization to function in the harsh light of day, while Title 10 gives them refuse behind closed doors. It is exactly why our founding documents were crafted so carefully over the years; to force the board and management to be held accountable for their actions should they stray. In my humble assessment, it is exactly why management has shown so little interest in our history since 2006.

Think not? If you watched the board meeting video from Monday, you may have heard Ben Roloff's summation regarding the 2011 actions by the board to remove the massive sundial at the Sundial Recreation Center. It was a cost thing as it needed repairs, and the board and management decided to just rip it out. Several of us rose in protest and after some heated debate, cooler heads prevailed. Such a foolish decision was the folly of those who have no interest in our history; or our documents.

Anyone knows who reads my writings over the years understands how much I value our history. You know, I am a firm believer in using our history to be a blueprint for our future. Sadly, we are nowhere near achieving that, as board members, at least till now have simply relied on the General Manager to direct the course we take. Hopefully over the next year and inspired by the actions of the Sun City Advocates, we shift gears and learn from our past. We'll see.

Bill Pearson, Advisory Panel, Sun City Advocates