Wing CC status & contracts, etc.

Started by Eclipse, December 04, 2012, 08:56:20 PM

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Eclipse

When the governance changes were first announced, there was discussion regarding Wings (and Region?) CCs no longer being corporate officers and that they would no longer be able to sign contracts.

I recall seeing a memo or similar that delegated purchasing authority for "$x" back down to the Wing CC's, but am not clear on what this means for contracts, etc.  Say, for example, a banquet hall for a holiday party, or internet service, etc.

What's the current status with this?

"That Others May Zoom"

Al Sayre

They just issued CAPR 70-1 which explains it in excruciating detail...
Lt Col Al Sayre
MS Wing Staff Dude
Admiral, Great Navy of the State of Nebraska
GRW #2787

FW

I think things will be "fleshed out" over time.  Wing and Region commanders are no longer "corporate officers" however, they have been delegated limited authority to sign contracts and accept contributions up to a certain amount.  Commanders need to be able to perform their duties without logistical problems.  I'm sure the BoG realizes this.

JeffDG

Quote from: Al Sayre on December 04, 2012, 09:01:09 PM
They just issued CAPR 70-1 which explains it in excruciating detail...
There was an ICL that authorized Region/CCs up to $10k and Wing/CCs up to $5k before that as well...it's still up on capmembers.com under the ICLs page.

JeffDG

Quote from: FW on December 04, 2012, 09:03:26 PM
I think things will be "fleshed out" over time.  Wing and Region commanders are no longer "corporate officers" however, they have been delegated limited authority to sign contracts and accept contributions up to a certain amount.  Commanders need to be able to perform their duties without logistical problems.  I'm sure the BoG realizes this.
Never understood why they took that away from them.

I mean, the VP I work for at work is a corporate officer, but no way does he sit on the Board of Directors for my company...there's no legal reason that "corporate officer" and "board member" need to be linked.  For that matter, I can sign contracts that bind the company...

Eclipse

Quote from: Al Sayre on December 04, 2012, 09:01:09 PM
They just issued CAPR 70-1 which explains it in excruciating detail...

Believe it or not, I actually read the new 70-1, and I had difficulty following it, especially as it related to a local, small contract.  Part of the issue was
that since it's been "revised in its entirety", there's no highlighting of changes.

"That Others May Zoom"

Eclipse

Quote from: JeffDG on December 04, 2012, 09:20:13 PM
Quote from: FW on December 04, 2012, 09:03:26 PM
I think things will be "fleshed out" over time.  Wing and Region commanders are no longer "corporate officers" however, they have been delegated limited authority to sign contracts and accept contributions up to a certain amount.  Commanders need to be able to perform their duties without logistical problems.  I'm sure the BoG realizes this.
Never understood why they took that away from them.

I mean, the VP I work for at work is a corporate officer, but no way does he sit on the Board of Directors for my company...there's no legal reason that "corporate officer" and "board member" need to be linked.  For that matter, I can sign contracts that bind the company...

A lot of that is tied to the legal structure of the incorporation.  I've had "Director" in my title a couple of times, but have never been a "Director" in the
fiduciary-binding sort of way.

A lot of banks have "Vice-Presidents" for the purpose of their business cards, but they are no more "VPs" then any other middle-manager.

"That Others May Zoom"

JeffDG

Quote from: Eclipse on December 04, 2012, 09:26:10 PM
Quote from: JeffDG on December 04, 2012, 09:20:13 PM
Quote from: FW on December 04, 2012, 09:03:26 PM
I think things will be "fleshed out" over time.  Wing and Region commanders are no longer "corporate officers" however, they have been delegated limited authority to sign contracts and accept contributions up to a certain amount.  Commanders need to be able to perform their duties without logistical problems.  I'm sure the BoG realizes this.
Never understood why they took that away from them.

I mean, the VP I work for at work is a corporate officer, but no way does he sit on the Board of Directors for my company...there's no legal reason that "corporate officer" and "board member" need to be linked.  For that matter, I can sign contracts that bind the company...

A lot of that is tied to the legal structure of the incorporation.  I've had "Director" in my title a couple of times, but have never been a "Director" in the
fiduciary-binding sort of way.

A lot of banks have "Vice-Presidents" for the purpose of their business cards, but they are no more "VPs" then any other middle-manager.
Strangely enough, I've actually reviewed the corporate bylaws (and I work for a Fortune 500)...

They do specify that "VPs" are "Corporate Officers"  Every single one of them, and there are probably close to a hundred when you take Executive VPs, Group VPs, Senior VPs and VPs together.

Legally speaking (and this is a difference that is particular to CAP), any employee of a company can bind the corporation in a contract, provided that the other party has a reasonable expectation that the person doing so had the authority to do so.  Now, CAP doesn't have many employees out in the field (Wing Admins being the notable exception).

Al Sayre

I think this is applicable section:

3-6. Region and wing commanders are authorized to issue purchase orders and approve agreements up to $5,000 for transactions funded with region or wing-generated resources such as state and local grants, donations and member dues. The appropriate region or wing finance committee will review these actions prior to executing purchase orders and agreements. Region commanders' authority may be extended to $10,000 in order to cover expenses directly associated with region conferences. Submit all requirements that exceed these amounts to NHQ/FM for processing.
Lt Col Al Sayre
MS Wing Staff Dude
Admiral, Great Navy of the State of Nebraska
GRW #2787

Woodsy

I just went through this last week, as the wing PAO with the company that publishes our wing magazine.  The wing CC said he could sign it, as the value was under 5K.  It went up through legal, was approved and the contract executed.

Private Investigator

Thanks for the heads up on the 70-1, I have been busy looking at trees  :P