Policy Governance

In March 2021 the Board of Directors of the High Falls Food Coop adopted and has since operated under a system of Policy Governance (PG). Designed by John Carver in 1990 as a results-oriented approach to nonprofit board governance, PG does not mandate specific decisions, but does highlight the kinds of decisions a board should make. These decisions include agreements about how the board will work together, how the board will empower and hold accountable the cooperative’s management, how the board will articulate the cooperative’s purpose, and how the board understands the role of member-owners and others in the governance of the cooperative.

The Policy Governance operating system is essentially a set of principles that define the responsibilities of the board, management and member-owners. Under PG the board exists to act and make decisions on behalf of and in the best interest of the member-owners. The member-owners empower the board through the bylaws, and the board is accountable to owners for the success of the cooperative. In turn, the board empowers and holds management accountable, delegating authority to management through agreed upon Ends and Executive Limitations policies.

The authority of the board belongs to the whole. The “voice” of the board is expressed through the written policy decisions. Directors can work to persuade and influence the board in its deliberations and decision-making; beyond that, individual directors or subsets of the board have no authority to instruct staff. The responsibility for managing the cooperative rests with the General Manager. Under PG the various roles are clear because the responsibilities have been spelled out.

The Policy Register for the High Falls Food Co-op can be viewed here.

Click here for further information on Policy Governance.