Message
from the Board of Directors
Recent examples of corporate
board improprieties have increased the scrutiny of all governance
activities. At LSS we've been diligent in the exercise of our Fiduciary
responsibilities. We welcome the challenge and embrace the hard work of
clarifying some of the most simple and profound questions facing the
organization.
Who are the owners of this
organization and whom do we serve?
The six synods of the Evangelical Lutheran Church in Minnesota are the
owners of Lutheran Social Service of Minnesota. The Board of Directors are
the trustees who make sure that the children, families, older persons and
persons with disabilities in Minnesota are served by our mission: To
express the love of Christ for all people through acts of service. Beyond
the 100,000 clients we serve each year, the Board recognizes its weighty
responsibilities to all 2,300 employees, 6,000 volunteers and more than
7,000 donors who depend on LSS of Minnesota to carry out our movement of
hope.
How do we ensure that the
mission is being achieved?
A collective group of 23 people two persons from each of the six synods;
two bishops and nine people from the community at large meet four times a
year for one-and-a-half days to hear stories about our service to clients
and to examine the Board's policies that support and focus the work of the
organization. We work in partnership with a terrific CEO, Mark Peterson,
and his outstanding staff. Board members and outside observers agree that
monitoring our mission and policies is intense and deeply important work.
The outcomes for this year are included in this report.
How does the Board keep
itself in check and the organization focused?
In two ways: First, we monitor ourselves with a formal evaluation process
once a year, and through evaluations after each meeting. Second, the
organization formally enlists the scrutiny of outside evaluators. This
year the Council On Accreditation announced, following extensive visits
and review of the organization, that LSS meets "the highest national
standards of professional performance" for our services. We voluntarily
invite the Council On Accreditation process every four years, and this is
the sixth re-accreditation since 1988.
How does the Board ensure
the financial stability of the organization?
A very capable Audit and Finance Committee, led by Board Treasurer Pam
Shaw Hargrove, reviews the financial well-being, conditions and covenants
of the organization five times per year. The committee is comprised of
both Board members and financial experts from the community. Over the past
few years, the Audit and Finance Committee has provided stellar leadership
in helping the staff and Board navigate significant issues as funding
sources continue to deteriorate. And, as you can see in the financial
section of this Annual Report, LSS has again undergone a successful report
from an outside financial auditing firm. This practice is routine.
How do we know the
organization is successful?
The Board has committees to review specific focus areas of the Board: the
Executive Committee reviews the performance of the Board and the CEO; the
Services Committee assures a deep understanding of our programs and
services; the Development and Communications Committee ensures a long view
relating to our donors, congregation partners and legislative policy
makers, the Leadership Development and Nominating Committee ensures that
there is a steady flow of passionate, influential talent on the Board.
As a Board, we make sure these committees do not interfere with the
management team or the Chief Executive Office, but we do make sure the
values and mission of the organization are alive and well.
What assurances do the
owners have that we won't have any big surprises?
This particular Board has a close working relationship with our CEO,
Mark Peterson. We hold him accountable for not exceeding the executive
limitations set by the Board, and support his courageous leadership.
Clearly, our most important work is helping to stretch the collective
imagination of the CEO and the organization to think about the future. We
need to continually strive to reach more people, increase our influence on
policy makers and service partners and create a compelling sense of
urgency about what this organization is to become.
Personally, I am honored to be
part of this extraordinary organization that expresses the love of Christ
for all people through acts of service. And I'm energized by a vision that
all people will live and work in community with dignity, safety and hope.
Thank you for your part in making progress toward that vision this past
year. We welcome your prayers, volunteer time and financial contributions,
all of which help us fulfill LSS mission.
Paul Batz, Chair
