1. Board of Directors Issues Mark Lassman-Eul CB ODC Mlassman-eul@habitat.org

2. Three Common Issues with Habitat for Humanity Boards

3. At Least IMHO: Board Members Don’t Know What is Expected at Their Affiliate Board Members Don’t Know What is Expected at Their Affiliate Board Members Don’t Know What Nonprofit Boards are Supposed to Do Board Members Don’t Know What Nonprofit Boards are Supposed to Do Board Meetings Talk About the Wrong Things; Or There Is No Talk at All Board Meetings Talk About the Wrong Things; Or There Is No Talk at All

4. BOARD MEMBERS DON’T KNOW WHAT IS EXPECTED In Many Affiliates…

5. Some Helpful Tools and Practices: Having a Written Board Contract and/or Expectations Having a Written Board Contract and/or Expectations Discussing Expectations in the Recruiting Process Discussing Expectations in the Recruiting Process Having a Board Orientation for New (and maybe old) Members Having a Board Orientation for New (and maybe old) Members Assigning an Experienced Board Mentor Assigning an Experienced Board Mentor

6. Things to Be Covered Meetings- Attendance, Where, When? Meetings- Attendance, Where, When? Meeting Preparation? Meeting Preparation? Committee Work? Committee Work? Attendance at Events- which events, how many? Attendance at Events- which events, how many? Making a gift Making a gift Participating in Fund-Raising Participating in Fund-Raising

7. It’s NOT helpful to have people guess….

9. BOARDS DON’T KNOW WHAT THEIR JOB IS In MANY nonprofits….

10. This is confused even further in Habitat because Some board members are also founders. Some board members are also founders. Some board members are also on committees. Some board members are also on committees. Some board members are also volunteers in the office, construction site or ReStore Some board members are also volunteers in the office, construction site or ReStore Board members forget what hat they are wearing Board members forget what hat they are wearing

11. REAL Duties (from Stoesz and Raber) SET THE GOAL AND VISION SET THE GOAL AND VISION How many houses will we do? How many houses will we do? Are there other ways to help families? (repairs, weatherization, rehab, classes?) Are there other ways to help families? (repairs, weatherization, rehab, classes?) Do we have a broader vision? Do we have a broader vision? Who needs to be involved? Who needs to be involved?

12. REAL Duties DELEGATE THE WORK TO BE DONE DELEGATE THE WORK TO BE DONE What will the board do? What will the board do? What will committees do? What will committees do? Do we have functioning committees? Do we have functioning committees? Do we want or need other staff? Do we want or need other staff?

13. Delegation includes: Setting time lines Setting time lines Setting limits; you can use policy Setting limits; you can use policy Defining reporting Defining reporting THEN: LETTING THE STAFF OR COMMITTEE WORK!!! THEN: LETTING THE STAFF OR COMMITTEE WORK!!! Boards with staff can’t be managers Boards with staff can’t be managers

14. New Staff Always Shake Up Delegation Patterns New reporting has to be figured out New reporting has to be figured out Who does the E.D. report to- has to be one person! Who does the E.D. report to- has to be one person! Everyone else reports to the E.D. Everyone else reports to the E.D. Operating committees will lose some control Operating committees will lose some control

15. REAL Duties RAISE and MANAGE MONEY RAISE and MANAGE MONEY EVERYONE is on fund-raising EVERYONE is on fund-raising Make a contribution Make a contribution Work your connections for Habitat Work your connections for Habitat Have rules for using money Have rules for using money Safeguard your funds!-There must be checks and balances!! Safeguard your funds!-There must be checks and balances!!

16. REAL Duties EVALUATE and CHANGE EVALUATE and CHANGE Keep what worked Keep what worked Change what didn’t Change what didn’t Look at the house you build, your selection policies, your family support EVERY time Look at the house you build, your selection policies, your family support EVERY time Can we help other families, other ways? Can we help other families, other ways?

17. Public Relations Make sure everyone knows what you’re doing, and cultivate relationships with: Make sure everyone knows what you’re doing, and cultivate relationships with: Media Homeowners/ Prospective homeowners Donors Volunteers Gov’t agencies Vendors HFHI Future board members Other non-profits

18. BOARDS DON’T TALK ABOUT THE RIGHT STUFF In many, many, many affiliates

19. GREAT movie Long though, maybe too long, like many board meetings

20. So What IS the Right Stuff? Not trying to be Tricky here.. Goals Goals Vision Vision Delegating Delegating Checking Checking Money Money Fund-Raising Fund-Raising Evaluation Evaluation Policies Policies Instead of: Day to Day Day to Day House Details House Details Family Payment details Family Payment details House Design House Design Things that Already Happened Things that Already Happened

21. At the very least, board meetings should involve DISCUSSION Every year’s board should ADD VALUE Every year’s board should ADD VALUE That means actually solving some problem, perhaps making some policy That means actually solving some problem, perhaps making some policy You have brought all these different people together- USE THEM You have brought all these different people together- USE THEM

22. Pretty typical HFH board meeting: Devotions (listen) Devotions (listen) Minutes (listen) Minutes (listen) Treasurer’s report (listen) Treasurer’s report (listen) ED report, long (listen) ED report, long (listen) Committee reports (listen) Committee reports (listen) Old business (listen) Old business (listen) New business (maybe talk, but we are out of time!) New business (maybe talk, but we are out of time!)

23. That’s worse than being in a Board (Bored) Workshop

24. A Possible Alternative Participatory Devotion- Share a Good Habitat Moment Participatory Devotion- Share a Good Habitat Moment Minutes Minutes Treasurer’s Report Treasurer’s Report 40 minute discussion, ISSUE of THE MONTH- everyone talks (perhaps no conclusion) 40 minute discussion, ISSUE of THE MONTH- everyone talks (perhaps no conclusion) Quick update on what’s hot Quick update on what’s hot Questions Questions

25. I might go to that, might even pay attention!

26. If Your Board Members Don’t Come to Meetings and Don’t Participate It might be your affiliate’s fault. It might be your affiliate’s fault. Is there any reason to attend? Is there any reason to attend? Do you ask board members to participate? Really? Do you ask board members to participate? Really? If not, why waste all those people hours? If not, why waste all those people hours?

27. There are two kinds of committees, at least: BOARD BOARD Board work, board members Board work, board members Personnel Personnel Planning Planning Finance Finance Nominating and Board education Nominating and Board education OPERATING OPERATING Do affiliate work Do affiliate work Non-board members Non-board members Building Building Selection Selection Funding Funding Essentially serve as additional staff Essentially serve as additional staff

28. Guidelines for Operating Committees 4-5 people per committee 4-5 people per committee Not all board members Not all board members Chair doesn’t have to be board member Chair doesn’t have to be board member Board member can be board liaison Board member can be board liaison

29. How Boards Succeed

30. Success Factors: Effective Nominating Committee Effective Nominating Committee Members who Understand Organization and Their Role In It Members who Understand Organization and Their Role In It Planned Rotation Planned Rotation Effective Way of Eliminating Non-Productive Members Effective Way of Eliminating Non-Productive Members Sufficient Size Sufficient Size Active Committees Active Committees

31. Success Factors: Planned Orientation for new and old members Planned Orientation for new and old members Long-range strategic plan Long-range strategic plan Process for self-evaluation Process for self-evaluation Know and Use Bylaws Know and Use Bylaws Productive Meetings that actually discuss and SOLVE problems Productive Meetings that actually discuss and SOLVE problems

32. Recruit, Recruit EVERY board or committee person should share at least ONE goal: EVERY board or committee person should share at least ONE goal: Help recruit your replacement Help recruit your replacement Takes lead time Takes lead time Care Care Cultivation Cultivation

33. Tips for Enhancing Your Contribution as a Board Member

34. 1. Be Business-like But balance with “Habitat culture” But balance with “Habitat culture” 2. Learn All You Can Habitat’s Global Work Habitat’s Global Work Affiliate Operations Affiliate Operations

35. 3. Be Alert and Active Participate actively Participate actively Prep for meetings Prep for meetings Pay attention Pay attention Ask questions Ask questions Get answers Get answers Present ideas Present ideas

36. 4. Identify and Cultivate Relationships Who do you know that might support Habitat as volunteer, donor, leader? Who do you know that might support Habitat as volunteer, donor, leader? 5. Work as a Team Garner support for ideas before meeting Garner support for ideas before meeting

37. 6. Be Open-Minded Listen to suggestions and ideas of others Listen to suggestions and ideas of others 7. Be Visible Build sites, fund raisers, public events Build sites, fund raisers, public events

38. 8. Follow Through on Commitments A successful affiliate requires committed leadership A successful affiliate requires committed leadership If you commit, deliver If you commit, deliver If you can’t commit, don’t If you can’t commit, don’t Your affiliate may want to define exactly what the commitments are Your affiliate may want to define exactly what the commitments are

39. 9. Educate New Board Members Orientation process and materials for all new members Orientation process and materials for all new members Habitat books and materials Habitat books and materials Mentor new members Mentor new members 10. Avoid Conflicts of Interest Beware of “self-dealing” Beware of “self-dealing”

40. 11. Ensure Accountability Recipients and recorders of affiliate income should not disburse it Recipients and recorders of affiliate income should not disburse it Two signatures on checks above certain dollar amount Two signatures on checks above certain dollar amount Accounting procedures beyond reproach Accounting procedures beyond reproach Regular outside audits, financial statements Regular outside audits, financial statements Annual Report to donors and supporters Annual Report to donors and supporters