Recommended restructuring of the AACE International Board of Directors
June 25, 2012
The Governance Task Force, chaired by Past President Steve Revay, CCC CFCC is recommending a restructuring of the AACE International Board of Directors to provide more direct representation in the Association’s decision-making process by its three associate boards. The task force which includes Pete Griesmyer, John Livengood, CFCC PSP, Alexia Nalewaik,
CCE FACCE, and Dennis Stork also recommends the splitting of the current Vice President-Regions position into two positions, representing North American and International sections to facilitate our international expansion. In addition, the Governance Task Force recommends the creation of an Executive Committee to handle routine administrative and executive functions requiring Board of Directors attention. If approved by the membership in an election in 2013, the net effect will be to expand the AACE International Board of Directors by three members in 2014-15.
The recommended amendments to the Constitution and Bylaws that will be presented to the membership to vote upon in the 2013 election cycle include a provision for direct representation by the three associate boards, Technical, Education and Certification on the Board of Directors. Currently, those entities are represented by a single officer, Vice President-TEC (Technical, Education and Certification). According to Revay, the consensus of the current Board of Directors emerged that these three associate boards are crucial to the continued success of AACE International in advancing the practice of Total Cost Management and that direct representation of their concerns and issues was essential in creating an effective organizational structure to move the Association to the next level of achievement. As a result of the direct representation on the Board of Directors, the current position of Vice President-TEC would be phased out. Each associate board’s representative to the Board of Directors would be nominated by each associate board’s respective nominating committee and approved by two-thirds of the respective associate board. The new positions would be entitled Vice President-Technical Board, Vice President-Education Board and Vice-President-Certification Board. All would serve as ex-officio members of their respective associate boards and could be the current associate chair if desired by the associate board.
A second recommended change in the Board of Directors structure would be splitting the current Vice President-Regions into two positions, Vice President-North American Regions and Vice President-International Regions. Consistent with the direction of the current strategic direction to pursue international growth, this structural change will assure that there will always be international representation on the Board of Directors while also assuring adequate attention is provided for the sections in North America. “By dividing this responsibility for our nine regions between these two positions, we believe we can provide better representation and services to sections and members in all categories,” Revay commented. The two vice presidents for regions will be elected on alternate years for continuity purposes. Regional representatives to the Board of Directors will remain unaffected.
A third recommended change is the creation of an Executive Committee comprised of the officers of the Association. The Executive Committee will be empowered to recommend actions for consideration of the entire Board of Directors on routine administrative and executive matters that eventually require Board approval. The entire Board of Directors will be notified in advance of all topics to be considered by the Executive Committee in advance and any actions recommended will require a subsequent two-thirds approval by the entire Board of Directors by electronic ballot. “The creation of an Executive Committee will allow us to address certain administrative and routine executive issues at that level and let the entire Board of Directors focus on strategic and policy issues when we are deliberating as a Board of Directors. Our research suggests that most professional associations have an executive committee to facilitate these processes and we believe that AACE International would be well served by creating a standing executive committee to leverage the limited time available for the entire board to consider strategic direction and policy questions,” Revay commented.
Members will have an opportunity to express their views on the proposed amendments in at least three ways: (1) participating at an open Board meeting from 8-9:00 am Wednesday, July 11, 2012 at the Annual Meeting in San Antonio, TX, (2) joining an on-the online discussion forum devoted to this topic and (3) by participating in a webinar that will be held in the fall of 2012 exclusively on this issue.
“While our task force firmly believes that these recommended amendments would be in the best interests of the Association in achieving our mission and vision, we want to assure that all members have an opportunity to ask questions and express their opinions prior to voting on the recommendations from February 1-March 15, 2013,” Revay stated.