We're getting money coming into the project now, so we need to decide how we're going to deal with that.

Here is a rough proposal. Please feel free to completely disagree with any or all of it and to suggest alternative approaches.

CHAI Money Policy Proposal

Definition: "CHAI's process for approving expenditures" is used below to mean whatever financial decision-making process we end up choosing. E.g., If we had the policy "Grant's sock colour for the day will be decided by CHAI's process for approving expenditures", and we decided that our process would be to make decisions by "a role of the dice", then I'd have to pick my socks by a role of the dice.

0) No rules are written in stone. However, we will abide by the rules we have agreed to until such time as they are amended, discarded or replaced by the group. (note that we haven't made any explicit or formal agreements on any sort of rules/policies/guidelines so far.)

1) Quarterly reports on the state of our finances - including expenditures, incomes, debts and receivables - (aside from those that would compromise privacy, such as identifying any staff salaries) be posted publicly on our website and reports made available at our general meetings.

2) Any salaries/contract-rates be a collective rate (no tiers - everyone gets the same hourly rate regardless of position) meeting at least living-wage standards. Annual increases tied to cost-of-living increases. (This is the model used at the Arusha Centre.)

3) If we open a bank account, have at least two signing-authorities. One will be staff (if we have any) and at least one will be one of the volunteer organizers/coordinators. We may just keep our funds as segregated funds within the accounts of a sponsoring organization, such as Arusha.

4) Any bank account for CHAI not be opened with one of the "big banks" but, rather, with a credit union - preferably local.

5) We will not seek or accept charitable status, or otherwise accept money or terms that restrict our advocacy work.

6) Not restrict who can contribute financially to CHAI except to refuse "strings attached" funds (except for the standard "strings" of requiring us to report back on how the money was used and the associated outcomes, and moderate "thanks to support from ..." acknowledgements of donors who want to be recognized). Should we refuse donations from developers and large property owners?

7) Expenditures made on CHAI's behalf without prior approval may be submitted for reimbursement, but that will be subject to approval by "CHAI's process for approving expenditures". Such expenses might not be reimbursed, so participants will be encouraged to seek prior approval to avoid the possibility of not being reimbursed. Should there be a maximum without prior approval (perhaps $250)?

8) CHAI's mandate is to advocate for, and support, social change to advance the goal of housing security for all. As such, all application of any moneys received by CHAI shall be in the service of that mandate and will not be allocated to other causes or to support that is not addressing social change. We are working for a "cure" for the housing crisis - not a "treatment" (social change - not charity). (That's not to say we don't value the "treatment" work being done by various groups and agencies, just that that is not our work.)

9) Portions of CHAI's funds may be designated for discretionary expenditure by specific individuals or groups within CHAI. The designation will require approval by "CHAI's process for approving expenditures". All such discretionary expenditures will still require prompt reporting. This may include preapproved budgets for working groups and projects.

- I'm thinking here of doing things like giving a working group or staff person a small discretionary budget so that they don't have to get permission for every little thing they want to do ("Can I have a few bucks to photocopy posters?" "Can I buy a copy of a report on housing for our research?" etc.).

The Critical Part - Who Decides: Representative Council

("CHAI's process for approving expenditures")

10) A council consisting of:

• Coordinators from the working groups and community/regional groups,
• an elected executive having 3 members (2 overall co-coordinators and a treasurer),
• a member of the staff collective - if any.

The council will not exceed 12 members (meaning a maximum of 8 working/community/regional group coordinators; 9 if no staff) and will have a minimum of 7 members.

Expenditures will be approved by a 60% or more majority of the entire council in favour.

All non-confidential (i.e., stuff that doesn't violate individual privacy) decisions of the council will be promptly posted on the web and made available at the next general meeting of CHAI.

11) Emergency costs. Some sudden big expense comes up and we have to make a quick decision. (Need to specify what circumstances will qualify a decision for quick decision.) Under those circumstances, an expenditure may be approved by 50% of the entire council in favour, so long as no more than one council member opposes (abstentions are not counted as opposition).

The council votes can be conducted in person or by telephone and/or web/email. All votes will be identified and recorded - no secret ballot.

Concluding Remarks

Sorry for the excessive length of this. I think it's important that we be as specific and complete as possible on this before we're faced with any significant money decisions - so we can try to avoid the potentially disastrous conflicts that can come up when money enters the picture.

This is really a much larger question about how we will make decisions and even beyond that to how will we organize ourselves.

When considering governance models for an activist organization I respectfully suggest that we look beyond democracy and the parliamentary system of majority rule. Many groups have hoped to make decisions using consensus and have found that it does not scale well past a few people. It also doesn't address the issue of governance. What i recommend we consider is an emerging new dynamic system of organizing that insures, inclusivity, accountability, transparency and productivity. I am referring to Sociocracy.

Grant has offered to include Sociocracy and Governance on the agenda for the next Co-ordinating group meeting for consideration. If this group has an interest in learning more about Sociocracy, I would be pleased to share an introductory presentation. Meantime there is lots of information on our network's website at www.sociocracyinaction.ca

All Feedback is welcome at Maggie@sociocracyinaction.ca or at a new topic in the general forum here...look for it.

Regards,
Maggie Dutton.
also with H.O.M.E.S. Housing Ourselves Made Easy Society.
where we have been operating sociocratically since 2003.

We're getting money coming into the project now, so we need to decide how we're going to deal with that.

I think it's clear that the major portion of the money should be going to the book. All the contributors are just so damn sexy.

That is all.

I think it's clear that the major portion of the money should be going to the book.

Heh. Nice try :-)

rachel wrote:

I think it's clear that the major portion of the money should be going to the book.

Heh. Nice try :-)

Worth a try:)