Creation, Structure, and Duties of a Financial Advisory Board
Staff recommends that the Mayor and Council continue its deliberations regarding the establishment of a Financial Advisory Board and determine how it wishes to proceed.
Should the Mayor and Council move forward with establishing a Financial Advisory Board, staff recommends that its role and duties be clearly defined to ensure a positive volunteer experience for its members and so that the Board serves as a valuable resource for the City.
Additionally, staff recommends that the establishment of any Board be formalized in the City Code or, alternatively, by resolution.
On June 11, 2012, the Mayor and Council discussed a proposal from Councilmember Newton to establish a Financial Advisory Board. A decision was subsequently made to continue the consideration of the proposed Board after the new City Manager joined the Rockville staff on October 1, 2012.
The Mayor and Council continued their discussion on whether or not to establish a Financial Advisory Board on December 3, 2012. They voted to approve the concept of a Board and requested that Councilmember Newton revise her proposal with a justification for each item contained therein.
To support the Mayor and Council's future discussions of this matter, the City Manager directed staff to research how similar boards and committees in other communities were structured. This research found that such boards and committees generally had a budgeting focus or, alternatively, functioned as audit committees.
Based on this research, the Mayor and Council's discussion of June 11, 2012, and the financial work products produced by the City's Finance Department, the City Manager provided Councilmember Newton with suggestions as to how a Financial Advisory Board could be structured, should the Mayor and Council decide to move forward with its establishment. These suggestions were informational in nature, as staff does not have a position on the creation, structure, and duties of a Financial Advisory Board. Attachments B, C, D, and E reflect correspondence between the City Manager and Councilmember Newton.
Attachment A reflects the revised proposal prepared by Councilmember Newton in response to her colleagues' request of December 3, 2012. It was discussed by the Mayor and Council on December 10, 2012. Staff was directed to schedule a public hearing to obtain public input on the creation of a Financial Advisory Board.
Attachment F is Councilmember Pierzchala's analysis of the December 10, 2012 proposal for a Financial Advisory Board.
Councilmember Moore has suggested an alternative structure for the proposed Financial Advisory Board. This alternative is outlined in Attachment G.
Mayor and Council History
The Mayor and Council's first formal discussion of a Financial Advisory Board was held on June 11, 2012. A decision was subsequently made to continue the consideration of the proposed Board after the new City Manager's arrival.
The Mayor and Council discussed this matter again on December 3, 2012. They voted to approve the concept of a Board and requested that Councilmember Newton revise her proposal with a justification for each item contained therein.
The Mayor and Council discussed Councilmember Newton's revised proposal on December 10, 2012.
A public hearing was held on Monday, January 14, 2013. Seven individuals testified at the public hearing. The public hearing record was held open for written comment until 5:00 p.m. on Friday, January 25, 2013.
Mayor and Council agenda items for the June 11, December 3, and December 10, 2012 meetings and the January 14, 2013 public hearing are available on the web at http://www.rockvillemd.gov/government/mc/index.htm.
Once the Mayor and Council agree on whether or not to move forward with the creation of a Financial Advisory Board and determine its structure and duties, staff will begin the process of of seeking applicants for the new Board. Applicants will be solicited via Rockville Reports, Rockville 11, Facebook, and other appropriate City communication tools. Following a review of applications, appointments to the Board will be made on a future Mayor and Council agenda.
Attachment A Final Proposal by Councilmember Newton.pdf Attachment B Email of Dec 5 at 3.55 PM.pdf Attachment C email of Dec 5 at 5.12 PM.pdf Attachment D email of Dec 6 at 12.45 PM.pdf Attachment E Draft Proposal by Councilmember Newton.pdf Attachment F - MMP Review of Proposal Ver 2.pdf
Attachment G - Proposal for a Financial Advisory Board - Councilmember Moore.pdf
Assistant City Manager:
Jenny Kimball, Assistant City Manager
Approved on: 01/30/2013
Barbara B. Matthews, City Manager
Approved on: 01/30/2013