The unique requirements of a public power board member

Public power is unique because it is governed by the people that it serves. Dawson PPD’s locally elected board of directors is charged with representing the interests of you and your neighbors, family and friends while upholding their responsibilities.

Responsibilities

Dawson PPD’s board members share three fundamental responsibilities: duty of care, duty of loyalty and duty of obedience.

• Duty of care—Act in a reasonable, honest, fair and informed manner.
• Duty of loyalty—Give undivided allegiance to the organization, which includes exercising their powers in good faith, ethically, and avoid conflicts of interest, providing full disclosure as necessary.
• Duty of obedience—Be faithful to the district’s mission and goals. They must ensure the company operates in compliance with the local, state and federal laws, as well as following policies they have approved.

Fiduciary duty

Directors have a legal responsibility to provide financial control and accountability for the district. Boards must contemplate the best way to allocate money and other resources that benefits the goals set on behalf of our customers. They are tasked with operating efficiently, within all applicable laws, and to the benefit of the company and its ratepayers. Financial oversight is a familiar job that boards usually do well.

Collaboration

A board member should collaborate effectively with the general manager and the rest of the board using clear communication and transparency. It is their duty to represent customers who have independent and diverse perspectives. It is also their position to explain how decisions were made and why.

Every director is asked to carry out what’s in the best interest of the District’s mission to improve reliability and keep rates as low as possible. They must serve responsibly when they need to take action to comply with fiduciary responsibilities or to uphold good governance standards. Directors need to protect the company’s assets and manage them effectively.

An eye to the future

When tackling an issue, project, or policy, the difficulty in addressing the best decision for their organization rests not in what is expected now, but in what is required long past their elected service. We charge a director with representing their customer today and who will be present 10-20 years from now. Decisions made by directors now will affect the district in the short and long term.

Involvement

It is important that directors remain active in the local, regional and state activities associated with their industry. This can take more time than initially planned, but it is time well spent representing your customer.

Education

Directors are expected to broaden their awareness through education. It’s important to take classes or attend industry meetings on trending or pertinent topics so that discussions and decisions are derived from best practices or experience.
The responsibilities of board members can be numerous, and some are more mission critical than others. A board dedicated to serving their customers will be passionately committed to the district’s values and mission now and for the future.

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