Following is the text of an Oct. 20 letter to the chairman of scandal-plagued Community Action Agency from the commissioner of the state Department of Social Services (DSS).
October 20, 2005
Mr. Darrell Brooks
Chairman, Board of Directors
Community Action Agency of New Haven, Inc.
781 Whalley Avenue
New Haven, CT 06515
Dear Mr. Brooks:
I am writing to reiterate to you the agreement we have reached with the CAANH Board of Directors and to outline the reporting process that is in effect now and for the immediate future. The Department of Social Services (DSS) and the Connecticut Association for Community Action (CAFCA) have begun the multi-step process of providing management and financial oversight for your agency during a six-month period of agency review, executive hiring, and board training and rebuilding.
During this period I have asked CAFCA to act as the employer and fiduciary agent for the purpose of hiring interim administrative and fiscal staff, the independent public auditor, and providing other technical assistance for CAANH. Specifically, CAFCA will:
1. Hire and supervise an interim Chief Executive Officer to manage day-to-day agency operations at CAANH and to staff and assist with the search, hiring, and orientation of a permanent CEO;
2. Hire and supervise an interim Chief Financial Officer to manage the day-to-day operations of the finance department, review and assess current financial practices, policies, and procedures and lend support in reviewing and screening candidates for the permanent CEO and financial positions;
3. Hire and oversee the work of an independent public auditor who will conduct a federal and state single audit and a financial statements audit;
4. Partner with the Northeast Institute for Quality Community Action (NIQCA) to perform an organizational and program review and board and staff assessment;
5. Partner with other community action agencies to provide training and technical assistance and/or peer support for staff development and program and infrastructure needs;
6. Coordinate and/or provide Board training on: Board Assessment; Board Governance and Oversight; Maintaining Financially Healthy Community Action Agencies; Results Oriented Management and Accountability (ROMA); Board and Staff Development; Clarification of Board Roles and Responsibilities; Legal Issues related to Board Responsibility and Oversight; and the Human Services Infrastructure (HSI) (agency’s roles and responsibility).
The reporting process during this interim period is reflected in the Transitional Management Structure —‚ Information Flow & Technical Assistance diagram that we provided to you and the board two weeks ago. The Interim CFO, CEO, auditor, NIQCA and any other consultants who may be brought in will be reporting directly to CAFCA and DSS. They will schedule regular sessions to report to the CAANH Board of Directors and staff as deemed appropriate by CAFCA and DSS.
This reporting process is necessary because of the magnitude of the challenge, the seriousness of the situation, and the costs associated with bringing in professional managers. As Commissioner of DSS, I believe the Community Action Agency network is critical in the provision of human services to low income clients in Connecticut. This is why I am willing to make such an investment in an effort to stabilize the agency and maintain and strengthen this important network. Social services to the New Haven region’s low income citizens must be assured. However, DSS’ funds are limited, so we need to make sure we maximize the professional services we are hiring. Therefore, while the interim executives and CAFCA will be reporting ultimately to the Board of Directors, it will be in a time-managed process that is consistent with the work that needs to be accomplished. I am quite confident that the reporting will be done in a timely manner that will keep the board informed so that it can perform its legal duties and fulfill its appropriate roles and responsibilities.
I would like to schedule a meeting for the Interim CEO, CFO, NIQCA and CAFCA to meet with the CAANH board and staff on November 10, 2005. We could plan to come down after 5:00 P.M. to assure full board and upper management staff participation. At that time we will be able to get preliminary reports from all of the parties, as well as an action plan that will assist us as we go forward. I am further asking for your patience and that of your board during the next three weeks. Please give these seasoned professionals the time and space to perform the tasks we are asking of them and paying for.
There is work that should be done by the board during this time. This would be a good time for the board to begin informing the public regarding the work of the interim team. I think the plan we have put together will help re-establish agency credibility and engender trust within the community that we are all serious about correcting past problems and deficiencies. In fact, I had expected the board to use the board statement that was written for staff and public distribution, and even had asked that you and the CAANH staff contact my public relations office to assist with this effort. We are still waiting to be contacted and are willing to assist. Please contact Mr. Matthew Barrett, Director of Public and Government Relations at (860) 424‑5012.
Again, let me state in very clear language: the interim management and financial team will report first to CAFCA and DSS. They will manage the CAANH staff and keep the board informed in a professional manner at times determined in conjunction with CAFCA and DSS. If you have any questions regarding the process discussed above, please call my office at (860) 424‑5008. Thank you and the board for your ongoing cooperation.
Sincerely,
Patricia A. Wilson-Coker
Commissioner