Introduction
Recently, I was reading an article which states that the critical components of Transparency and Accountability include regulatory quality, competition policy, and market openness (http://fpc.state.gov/177023.htm). If these components are critical for any democratic government, then could one assume that public boards would follow these principles? Would they or do these principles apply only to the business community. Let us look at each one and determine whether it could apply to public sector boards.
Regulatory Quality.
Most board members would agree that clear, measurable policies are essential. However, they find that policies are lengthly and there are so many that it sometimes requires volumes to contain them. If they are lengthly and they are contained in volumes of text, who reads them? Not most board members, I would argue. They don’t have time. Many senior personnel are only familiar with those in their own sector. If this is the case, how can board members be sure they are not violating current policy when they make decisions? They probably cannot. The only avenue they have open to them is to streamline the policies and ensure they meet currently modern standards.
Competition Policy
Recently, while visiting the U.S. I was watching a television documentary on failure in American education. The author was arguing that state schools do not measure up and there should be competition among schools, even more Charter schools. In Canada, many school boards set up zones and students are required to enrol in the assigned school. The only option, unless extreme circumstances exist, is to attend that school or enrol in a private school. Enrolment in a private school is not an option for many students.
Health care is the same. There are services available to the public in specified places by designated personnel. Unless one can afford private health care, you accept what you are offered. Occassionally, however, a brave person will bring his case to the media and challenge public policy (http://www.cbc.ca/news/canada/newfoundland-labrador/story/2011/10/25/nl-weigh-surgery-125.html). This was recently the case in Newfoundland and Labrador. A gentlemen who lost considerable weight needed excess flesh removed and the health department determined that it was elective surgery and the province would not pay. These gentemen brought their case to the media and the public response caused the government to rethink its policy.
These stories alone tell us that this component of Transparency and Accountability is not practiced in major democratic countries.
Market Openness
If the other two components, reviewed above, are not part of public policy then one can assume that market openness is not an option either. Governments regulate what can be offered privately and the options available publicly.
We elect our governments. Do we want competition in the public sector or are we satisfied with the status quo. Maybe we
- think these principles are the best but we do not necessarily want them practiced in our area
- are afraid it would cost us more and our taxes would increase
- we are satisfied with the status quo.
Boards rarely speak out on these topics. Perhaps it is time to open the debate and determine the pros and cons of market openness and competition. What do you think?