The Officers and Board of the Rotary Club of Ann Arbor are responsible for the successful operation of the Club in accordance with its Bylaws and for meeting its obligations to District 6380 and Rotary International. In addition to supporting the specific goals and objectives for each service area, the Board of Directors is responsible for several overarching goals and their associated strategies and action plans.
A. GOVERNANCE AND LEADERSHIP CONTINUITY
- Assure nomination and election of Club Officers and Directors in accordance with the Club Bylaws by convening a nominating committee by Oct. 15 each year to recommend a slate of candidates for vote at the Club Assembly in December.
- Establish planned succession for officers other than the president.
- Maintain excellence in the Club’s business operations by providing training and support for new officers and staff.
- Mentor incoming officers by current officers to maintain smooth transitions in leadership.
- Establish and implement policies that govern all internal and external Club operations: committee functions, programs and services, planning and evaluation, financial management, budgeting, resource development, and internal and external communications.
- Establish the annual club budgets for operations and for community service. In carrying out this duty the leadership will balance the opportunities for the Club to increase its service area initiatives with its reasonable expectations of financial resources for the coming year.
- Establish a strategy for increasing the Club’s resources, being mindful of financial demands placed on the membership.
- Establish and support succession planning at the committee level. Examine the rotation of the committee chair positions and, if appropriate, encourage specific changes or consider setting a policy on term limits.
B. ADDITIONAL BOARD ADMINISTRATIVE GOALS
- Create and maintain a systematic record of committee minutes, rosters, responsibilities, goals, and accomplishments that is passed from one chair to the next and is incorporated into an ongoing historical record of club milestones.
- Provide an efficient and effective communication system as well as a variety of opportunities for member interaction, caring, and sharing.
- Promote diversity among our membership with sensitivity to required and implicit obligations of membership, including time, dues, contributions, and lunch expense so that costs do not undermine our commitment to broad-based representation.
- Strike a balance between building our Club’s own permanent endowment and promoting contributions to The Rotary Foundation, always being mindful of the reasonable financial expectations of the membership.
- Maintain good relationships with area educational institutions through frequent communications with faculty, counselors, and administrators at area high schools, colleges, and universities.
- Ensure that annual plans for the Club are consistent with our overall strategic plan and are implemented as intended, that progress is measured, and that, as necessary and advisable, there are periodic evaluations and revisions of the strategic plan.
- Carry out annual job performance evaluations of persons employed by the Club to ensure that administrative functions requiring outside support are identified and included in the planning and budgeting for each upcoming year.
C. ANN ARBOR ROTARY ENDOWMENT
The Ann Arbor Rotary Endowment (Endowment) is a nonprofit, charitable corporation created by the members of the Rotary Club of Ann Arbor. The Endowment consists of assets contributed by Club members and is overseen by a separate Board of Trustees who operate the Endowment based on its Bylaws and consistent with the legal requirements of a 501(c)(3) organization. The Endowment trustees, based on their current policies, distribute funds annually to the Club to support the Club’s service work. The Club’s Board of Directors determines, in its sole judgment, how to disburse the funds for charitable purposes. The strategic objectives of the Endowment are simple and twofold:
- Grow the assets in the Endowment consistent with prudent financial management practices, and
- Distribute as many funds as possible each year to support the Club’s service work while
sustaining the growth of the core assets.
The specific objective for this five-year plan is to increase the annual distribution from the Endowment to the $100,000 per year level. Based on current policies, this will require a prior 12 quarter average market valuation of $2,350,000 to justify the desired distribution.
There are three groups within the Club whose work will produce the desired outcomes for the Endowment. These are:
The Endowment Trustees consist of eleven members of the Rotary Club of Ann Arbor including the current President, Vice President/President Elect, the immediate Past President of the Club, the Endowment Treasurer, and the Endowment Secretary. The Trustees oversee the management of the Endowment and set overall policy for its operation. Among their responsibilities are to:
- Set the policy on how the annual distribution will be determined based on the needs of the Club and on their fiduciary responsibility to the Endowment.
- Select the most qualified Club members to serve both as officers and trustees of the Endowment and as members of the Investment Subcommittee.
- Set up a formal succession planning and mentoring program for incoming officers, trustees, and subcommittee members.
- Be aware of, and take the necessary steps to comply with, the legal requirements of a qualified 501(c)(3) organization that meets or exceeds best governance practices.
- Make periodic reports to the Board of Directors and membership regarding the financial health of the Endowment.
Endowment Investment Subcommittee
The Investment Subcommittee of the Endowment Trustees works to maximize the growth of the assets in the Endowment and recommends to the Endowment Trustees how to take advantage of growth opportunities without incurring undue risks. The strategic objectives of the subcommittee are to:
- Analyze current financial market sector and individual fund performance data to determine the preferred Endowment investment and management strategies, make recommendations to the Trustees, and execute the approved strategies.
- Periodically evaluate the cost-benefit of hiring a professional asset manager to replace the current use of Club members with relevant financial expertise who carry out this function on a pro bono basis.
Endowment Development Committee
The Endowment Development Committee obtains new contributions to the Endowment by educating members about making gifts, promoting annual contributions by all members,encouraging bequests and memorial gifts, and soliciting major gifts and pledges. Its specific objectives are to:
- Achieve 100 percent member participation in a voluntary contribution to the Fund each year.
- Promote giving at the $25,000 level through current giving or the Legacy Wheel program, where members may join the Sustainers Society for contributions of at least $1,000 in outright gifts on a cumulative basis, or the Legacy Wheel for every $5,000 of cumulative giving to earn a spoke of the Rotary Wheel.
- Obtain five new bequest commitments to the Fund each year.
- Recognize major donors in the Club’s annual report and Club Directory and periodically at the Club’s noon luncheon meetings.