June 2, 2009    view this week's photos    
 

Carlos Evans
United Way of the Central Carolinas
By Henry Bostic
 
                        
In answer to a question from a Charlotte Rotarian about whether the United Way Central Carolinas "gets it" in regard to the tempest which consumed the agency this past year over pay for the former CEO, Board Chair Carlos Evans answered, "The board gets it. Definitely. There is zero question in my mind."
 
"It was our responsibility. We messed up. We should have been aware of what was going on. We must go about the work of fixing it. We are hurting people that we shouldn't be hurting. Volunteer leaders have a special bond with the community. We must ask a lot of questions. All boards should do that. We should not leave things to trust. We must fight that."
 
The Wachovia/Wells Fargo executive took over as the agency's board chair when the former chair resigned during the midst of the controversy caused by the community out cry at what was deemed an excessive and inappropriate supplemental executive retirement plan (SERP) approved by the United Way executive committee for the former CEO.
 
As Evans began his talk, he recalled thinking about how much life has changed in the past year. "I had a dream job. Was chair elect of the United Way. Everything was going swimmingly. Much has changed for the economy, my job and the United Way."
 
Evans talked in detail about what went wrong at the agency and what the board has done to prevent a reoccurrence in the future. He referred members to the full "Sink Report" about the controversy which is posted on the agency's Web site.
 
The SERP was approved by the United Way's executive committee, not the full board. It was never discussed with the full board. The Form 990 was also not disclosed to the full board. When the local media found out about the compensation package, the board members nor the agency were not in a position to deal with the crisis.
 
"The board is made up of 50 to 60 members of the community who primarily assist with fundraising; they are not that dissimilar than those in this room today," Evans said. "They are as much a part of the fabric of the community as any board. Mistakes were made. What do we do to improve?"
 
Of the many recommendations for changes, Evans mentioned a few.

  • Reduce the size of the board from 58 to 60 to 18 to 24
  • Establish clear guidelines that the board - the full board - and not the Executive Committee must approve everything. The Executive Committee can act only in emergencies when the full board cannot gather.
  • There must be "a very, very specific compensation policy based" on a national study of compensation for non profit executives. (Further in his remarks, Evans said the new executive will be at the low end of the pay scale. "I see this person more as a community servant.")
  • There will be greater transparency. All meetings of the boards and committees will be open; agendas will be published on line. Minutes of meeting will be posted on line immediately after meetings as will the Form 990.
  • Staffing has been reduced from 100 FTEs to 60 eliminating $3.1 million from operating budget. "The reduction in workforce was handled in a humane and thoughtful way with employees having much say in their futures," he said.
  • Mac Everett did a great job as interim executive. "We own him a lot."
  • The search process for a new executive is underway with pro bono assistance of Sockwell Partners and a good strong committee. He said there should be a new executive by the fall.
  • Other decisions in place for the next two years include designation of the next two board and campaign chairs as well as a new citizen review process.
There must be "greater transparency and tighter accountability as we move forward," Evans said. "People are angry and deservedly so. Mistakes were made by well meaning people like you and me.
 
But the needs have never been greater than they are today. It was a perfect storm. Just when needs skyrocketed the controversy hit. City and county funds are down too. No one agency can handle all the needs. We must all work together. We must regain the public's trust. It has been broken. We must work to correct our mistakes and get back on track."
 
In answer to an audience question, Evans said there are cracks in the united, consolidated appeal. It is still the best way but there is a challenge from "open giving." For business, a united drive is best and the United Way is in the best position to do that for health and human service agencies.
 
Answering another question about the possibility of mergers among United Way agencies, Evans noted that the Arts and Science campaign as a percentage was down more than United Way. It's already started the process of stimulating mergers with organization that do close to the same thing. We must use money as a carrot to foster, create and move consolidation forward. Agencies will not survive as in the past.
 
"The community has changed," he said. "We will need to look for leadership in different places." In the past Wachovia and Bank of American campaigns provided about one-third of the United Way campaign goal. "It's going to be different."
     
   
Head Table: Mike Rash, Rich Campbell, Mac McCarley, Carol Hardison, John Snyder, Carol Jordan;
Invocation: Alan Adler;
Visitors & Guests: Don Carmichael; Health & Happiness: David Anderson; Song & Piano: Thomas Moore; Photos: Bert Voswinkel
   

• The Club sends condolences and deepest sympathy to Bob Phifer and his family. Bob's wife, Pat, passed away May 29 and funeral services will be held June 3. Memorials may be made to Believers Bible Chapel, 13531 Lancaster Hwy, Pineville, NC 28134.
          
• Mary Erwin will throw out the opening pitch at the Knight's game on June 6th; John and Lee Tabor's son, John Paul, received his Eagle Scout Award May 31 at Myers Park Presbyterian Church.
 
• Host families are needed for the two exchange students arriving in August. Contact Luther Moore or Lamar Thomas for additional information.
 
• The Charlotte Business Journal announces the 2009 CFO of the Year Awards. These awards will be given to financial professionals in the Charlotte area for outstanding performance in their roles as corporate financial stewards. For the nomination form or additional information, go to http://charlotte.bizjournals.com/charlotte/nomination/1640. The deadline is 5:00 pm June 11.
  
• Jessica Graham was pleased to introduce the newest club member, David Auger. David is the owner of Auger Media Group, LLC, a media consulting company focused on providing acquisition guidance to private equity entities that are entering the cable television industry. Contact David at augermedia@gmail.com.

 
   
Attendance Record Wedding Anniversaries Birthdays & Birthplaces
  06/02/09 06/03/08
visitors & guests 15 17
club members 198 163
total attendance 213 180
  09 Inez and Harley Dickson
09 Linda and John Shell
11 Mary and Bill Staton
12 Karen and Herb Harriss
12 Claudia and Wes Sturges
13 Deborah & Steve Meckler
13 Jean and Andy Zoutewelle
15 Debra and Bob Webb		   09 Henry Bostic, Lumberton, NC
09 Alex Browning, Charlotte, NC
11 Tom Bartholomy, Ft Wayne, IN
11 Debbie Daniel, Winston Salem, NC
11 Lee Morris, Chester, PA
12 Suzanne Bledsoe, Newberry, SC
12 Elsie Garner, Trujillo, Peru
13 Chris Thomas, Charlotte, NC
14 Jay Westmoreland, Shelby, NC
Visitors on 06/02/09:  n/a
- - - -
New Members:  David Auger
Resignations:  Ty Branam, Jeff Blackey
Roaming Rotarians:   n/a
     
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Rotary Club of Charlotte -- 841 Baxter Street -- Suite 118 -- Charlotte 28202