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GOVERNANCE POLICY MANUAL

Revision Approved by the Governing Council 2/8/14

Revision Approved by the Governing Council 9/21/13

Approved by the Governing Council 2/21/12

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Table of Contents

Preface ………………………………………………………………………………….…………….3

Part I: Ends: Organizational Purpose ……………………………….…….…..……….4

Part II: Governance Process …………………………….…………………..….…………..5

Part III: Council-Executive Linkage ……………………….…………….…….…………16

Part IV: Skillful Means ……………………………………………………….…….…………19

Appendix: Policy Governance and Shambhala …………………….…..…………25

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Preface

This policy manual has been adopted by the Governing Council of the Shambhala

Meditation Center of Chicago to facilitate good governance consistent with Shambhala

principles. It is also offered as a possible model for other Shambhala Centers and as a

support for Shambhalians in leadership positions throughout the mandala. It is

intended to be an evolving document, open to the public, and subject to revision over

time.

The manual is divided into five sections:

Parts I through IV present the four areas of governance policy contained in the manual:

Part I outlines Ends: Organizational Purpose — governance policies related to

the purposes of our Center. What benefits will we to bring to the world? Of all

we could do, what will we focus on? What are our priorities? At this time we

have identified two mandala-wide priorities, deepening community and creating

a culture of kindness.

Part II outlines Governance Process — policies related to the Governing

Council’s roles and responsibilities, how it governs itself, and its ethical code of

conduct.

Part III outlines Council-Executive Linkage — governance relationships among

the Governing Council and the Center Director. This Council-Executive linkage

includes the powers of delegation, decision-making, and assessment. Using

various assessment methodologies, the Governing Council can evaluate our

progress in accomplishing our aspirations.

Part IV outlines Skillful Means — policies that incorporate the values and

perspectives which govern our activities. There are numerous practices, activities

and procedures that the can be used to accomplish our purposes. The Council

here provides a horizon of ethics and values that the staff can use as a guide. By

being clear about what is skillful and what may be unskillful or even unethical,

the Governing Council sets standards for the choices the staff make.

The Appendix: Policy Governance and Shambhala describes the purpose of the manual

and its key elements using the policy governance approach adopted by the Council.

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Part I: Ends: Organizational Purpose

1. Global policy: Increasing numbers of people who connect with Shambhala

Chicago have a felt experience of and deepening confidence in unconditional

basic goodness in themselves, others, and society at a cost that can be justified to

Shambhala Chicago members.

1.1. Individuals who come in contact with Shambhala Chicago have a personal

experience of, and a growing confidence in, their own basic goodness.

1.1.1. Individuals from all walks of life find affordable Shambhala activities

that resonate with their own interests and values, including meditation,

the study of Shambhala and Buddhist teachings, the contemplative arts,

physical disciplines (e.g. qi gong), Kasung practice, community

involvement, social action, and related activities.

1.1.2. Members and friends are inspired to strengthen their connection to

basic goodness through involvement in Center activities and newcomers

who live and/or work in close proximity to a Chicago area center find

fresh opportunities for personal growth.

1.2. Participants in the Shambhala Chicago community create and experience a

diverse, accepting and caring community.

1.2.1. Diverse participants inclusive of race, gender, sexual orientation,

socioeconomic status, age, family make-up, education, physical ability,

and religious path contribute to a kind and supportive environment,

which includes opportunities for social interaction, supportive and

enjoyable group and community activities, and opportunities to

contribute to the well-being of the community.

1.3. People who come in contact with Shambhala Chicago experience society’s

basic goodness and contribute to manifesting enlightened society.

1.3.1. Organizations and affinity groups explore, appreciate and support

their own and other’s cultures, traditions, and unique qualities within

sane and peaceful environments.

1.3.2. Participants in formal and informal social engagement activities with

Chicago Shambhala experience society’s basic goodness and are

supported by Chicago Shambhala in how to cultivate such an

experience.

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Part II: Governance Process

Purpose of the Council

The purpose of the Governing Council is to act on behalf of the Lineage of Sakyongs and

for the benefit of the greater Chicago community to ensure that the Center manifests

the values and vision of Shambhala in its practices, programs and organizational

conduct. Mandala-wide policies therefore prevail where applicable.

Specifically, the Council ensures that the Center a) accomplishes the ends expressed in

the Center’s Ends Policies and b) operates within the limits and conditions expressed in

the Skillful Means Policies.

Governing Style

The Council joins Heaven and Earth based on the six ways of ruling — Heaven:

benevolence, true, genuine; Earth: fearlessness, artful and rejoicing.

The Council will operate with an emphasis on (a) Great Eastern Sun vision for the

welfare of others rather than internal preoccupation, (b) the present moment with a

view to the future rather than the past, (c) proactivity and intentionality rather than

reactivity, (d) the wisdom inherent in the diversity of viewpoints, (e) clear and aware

strategic leadership more than administrative detail, (f) clear distinction of Council and

executive roles, (g) group rather than individual decisions, (h) lawful governance and (i)

the principles of the Policy Governance® model.

1. The Council will cultivate within itself a sense of group responsibility. It will not

use the expertise of individual members to substitute for the judgment of the

Council as a whole, although the expertise of individual members may be used to

enhance the understanding of the Council as a body. The Council is accountable

as a group for its obligations, and will not allow a Council officer, individual, or

committee to hinder or serve as an excuse for not fulfilling its group obligations.

2. As “the lha governing body”, the Council will initiate its own governance agenda,

rather than reacting to staff initiatives.

3. The Council will guide the local Center through written policies that reflect

Shambhala values and perspectives. The focus of policy will be on the intended

long-term impacts and benefits for its community and the world rather than on

the administrative or programmatic means of attaining those.

4. The Council will identify and understand the needs and aspirations of the local

communities of practitioners and other stakeholders and include these in the

process of governance. The Council will create opportunities for listening and

consultation with these communities in its annual agenda.

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5. The Council will ensure it practices excellence in governance with whatever

disciplines are needed to govern effectively. These disciplines include, but are

not limited to: Shambhala Buddhist practice, viewing communication as practice,

decorum, attendance, preparation for meetings, adherence to policy and

policymaking principles, ensuring the continuance of governance capability, and

respect for the distinctions between governance and executive roles in the

Center. Although the Council can change its Governance Process policies at any

time, it will scrupulously observe those currently in place.

6. Potential new Council members will understand the key principles of Kalapa

Governance (including Policy Governance®) before taking a Council seat and will

be oriented to the practice of Council governance early in their term.

7. The Council will assess its own performance regularly and often. This self-

assessment compares the Council‘s activity to one or more of its policies in two

categories: 1) Governance Process and 2) Council-Management Delegation.

Council Job Description

The Council’s job is to ensure that the vision of Shambhala and the principles of Kalapa

Governance manifest throughout all activities of the Shambhala Meditation Center of

Chicago and its local affiliates.

Job description: linkage

In each Center, the Governing Council is the authoritative governance linkage between

the Lineage of Sakyongs (the Sakyong and his governance representatives) and the local

Center operations. Council members will support this linkage by keeping abreast of

communications from the center of the mandala, attending mandala wide events, as

feasible, and maintaining their own practice and study, Council members will be an

integral part of the local Center community by participating in programs, contributing

financially and volunteering time, according to each person’s capability. Since linkage is

an organic relationship, the Council, through the Center Director, also has a

responsibility to offer the center of the mandala its support, questions, and concerns, as

appropriate. Council members who have been appointed by the Center of the Mandala

will execute those responsibilities in accordance with the advice or directives of their

Offices and the well-being of the Center community.

Job description: policy development

The Council develops governance policies that address the broad levels of all

organizational decisions and situations in the following categories:

Ends: Ends cumulatively describe the following three elements: 1) the benefits or

outcomes Shambhala aspires to bring to the world, 2) for which populations, which

people, and 3) in what order of priority.

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Skillful Means: These policies establish the Shambhalian “prudence and ethics”

boundaries within which executive activity and decisions must take place.

Governance Process: How the Council conceives and carries out its own role.

Council/Executive Linkage: How authority is delegated and its proper use

monitored.

Job description: assessment

Through ongoing assessment, the Council assures that the Ends and Skillful Means

policies are successfully accomplished.

Job description: annual agenda

To maintain its discipline, the Council will hold to an annual agenda that (a) completes a

re-exploration of Ends and Skillful Means policies and (b) continually improves Council

performance through governance education and consultation with community.

The annual Governance agenda will conclude each year on the Harvest of Peace

so the executive planning and budgeting cycle can eventually be aligned with a

Shambhala Day fiscal year. The executive plan and budget will be based on

accomplishing a one-year segment of the Council’s most recent statement of

long-term Ends.

The Council’s cycle will start with the development of the Council agenda for

the next year.

Consultations with the Sakyong, the President of Shambhala and/or the

Kalapa Council, or other methods of understanding our mandala-wide

vision and priorities, will be determined and arranged in the first quarter,

to be held during the balance of the year.

Governance education related to better understanding views related to

local Ends and Means (consultations with local community, staff and so on)

will be arranged in the first quarter, to be held during the balance of the

year.

A schedule for policy assessment will be established on the annual agenda. The

schedule will include, as necessary for monitoring purposes, the submission of

reports by staff or reports of direct inspections or third party monitoring, and

the date for Council review. Elements to be included in each report will be

established by the Council. Assessment will be conducted at a given meeting

only if such reports (staff, direct inspection or third party monitoring) have

been received prior to the meeting.

The Council will decide at its scheduled meeting, if possible, whether a report

demonstrates fulfillment of a reasonable interpretation of policy. If the policy

is not shown to be fulfilled, the Council will determine a process for completing

the assessment.

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Council Membership and Succession

In accordance with the mandala-wide practice, the Council will include authorized

representatives of the Three Pillars: Governance, Shambhala Buddhist Practice and

Education, and the Dorje Kasung. Governance primarily will be represented by the

Chair, the Vice-Chair and the Executive Director. Shambhala Buddhist Practice and

Education will be represented by its Director and the Kasung by its Rusung. The Council

will also include, as feasible, the Chagdzö, and the Representatives of the Office of

Culture and Decorum and the Office of Societal Health and Well-Being. Alternatively, the

Council may identify alternative representatives of the Three Pillars as necessary to

assure the effectiveness of the Three Pillars model. At its option, the Council may select

other individuals to serve on the Council to represent the views and needs of the

community of practitioners. All Council members will demonstrate a commitment to

the teachings of Shambhala Buddhism under the direction of the Sakyong. The Council

will not exceed 10 members. New members must be approved by the Council based on

a process to be developed by the Council and will be trained in the principles of

Shambhala governance. The Council will establish a schedule for the replacement of

Council members to ensure continuity and effectiveness.

Council Decision Making

The Council draws on the collective insight of its members and makes decisions by

reaching broad agreement on all the issues at hand. To open up its discussions to

different perspectives and invite the broadest possible understanding, the Council is

guided by the following general principles:

Attendance: The contributions of each individual Council member add important

insights and perspectives to our deliberations and decisions. We are here to

contemplate and grapple together with the matters before us. Therefore, as Council

members we aspire to be present for all meetings, knowing that reality will

occasionally interfere with that intention. In order to hold a formal Council meeting

(for example, in which policy can be adopted) two-thirds of the Council membership

need to be present.

Research: The Council ensures that it is provided with all important and relevant

information and will solicit additional views and expert advice whenever that is felt to

enhance its decision-making.

Taking Our Time: The Council ensures that sufficient time is provided for research

and discussion of issues: decisions may be deferred for subsequent discussion if it is

felt that more time is needed for reflection and to assess fresh options for a final

decision.

Participation: The Council relies on its collective wisdom and integrity to ensure that

the process of reaching broad agreement is based on mutual trust, openness,

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willingness to consider issues from multiple points of view and the insight that arises

from space. To do this, Council members must actively acknowledge any lack of

clarity and elicit emerging, shared and divergent views.

Discussion: The Council invites the straightforward presentation of different points of

view and also welcomes other viewpoints that may be expressed by those not on the

Council. Disagreement and probing questioning is valued as a way of sharpening

understanding and as a way of opening up fresh perspectives.

Broad Agreement: As warriors and states-persons, the Council works together

through the process of spontaneous insight to uncover the collective wisdom of the

group. The Council’s aim is to reach broad agreement. Normally this takes the form

of acknowledging that a shared point of view has arisen during the course of the

discussion.

To encourage penetrating and creative discussion but balance the need to move

forward on the issues before it, the Council does not require the unanimous

consent of all members of the Council in order to reach broad agreement.

Members who strongly disagree with what has been broadly agreed are

welcome to state their dissent and have their view recorded in the minutes.

Review: The Council reviews its deliberations at the end of a discussion so that the

members are satisfied that they have reached a clear agreement and understand any

required next steps.

Voting Procedure

There is a voting procedure for situations where it is clear that a resolution is required

by law on financial or other legal matters. The voting procedure should be regarded as

an exceptional practice, used to comply with financial and legal requirements, such as

banking procedures and so forth.

Resolution

The chair will be responsible for formulating a resolution on which the Council will

vote. Normally, the chair will seek broad agreement on the wording of the

resolution, but has the prerogative to decide on the wording in order to help the

Council get to a vote.

Requesting a vote

Any member of the Council may request a vote. Two seconders will be required.

This will be sufficient to move the Council towards a vote, allowing the chair to

facilitate a period of further discussion in the Council prior to voting.

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Quorum and Majority

Two-thirds of the members of the Council shall constitute a quorum and approval

by two-thirds of the members of the Council present at a meeting at which there is

a quorum is sufficient for action provided that affirmative approval by a majority

of the full board is both necessary and sufficient for passage of a resolution,

whether or not the resolution is approved by two-thirds of the members present

at the meeting.

Not participating in the vote

Council members may choose “not to participate in the vote.” This option

recognizes that some members may not have reached a final conclusion on the

matter, but do not wish to obstruct the search for a sufficient majority that would

enable the council to move forward. Note that while abstaining is not the same as

a no vote, during formal voting it has the same impact as a no vote as it does not

move the group further toward the required majority.

Recording the vote

The secretary will record and inform the Council of the individual votes of its

members and the outcome.

Reviewing the vote

In exceptional circumstances, the chair may ask the Council to “review the vote.”

This would enable the Council to reflect on the outcome and to offer an

opportunity for anyone who has a further alternative approach to propose that for

discussion. Unless it becomes clear that there is broad agreement on an

alternative approach that supersedes the resolution already voted upon, the

outcome of the vote will be the decision of the Council.

Reporting the vote

The resolution, together with the outcome of the vote, but not numerical details

or names, will be included in the minutes of the meeting. It will be incumbent

upon each member of the Council to respect the confidentiality of the numerical

details and the votes of each individual.

Registering strong dissent

If, after the outcome of the vote is reported by the secretary, a member wishes to

have their strong dissent recorded in the minutes, along with a brief statement of

his or her reasoning, the member may do so. For purposes of accuracy in the

minutes that dissent should be sent by email to the Secretary no later than one

week following the vote in question.

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Code of Conduct for Council Members

Governing Council members commit to ethical, cheerful, uplifted and lawful conduct,

including proper use of authority and decorum, especially when acting as Council

members.

In matters of governance, members will demonstrate adherence to the values and

perspectives of the Sakyong and his representatives, unswayed by loyalties to staff,

other organizations or personal interest.

• Members will avoid conflict of interest with respect to their fiduciary

responsibility.

• When the Council is to decide upon an issue about which a member has

unavoidable conflict of interest, that member identifies the conflict of interest

and withdraws from the discussion and decision.

• In case of a potential conflict of interest, monetary business at or above $500 by

a Council member with the Center is reviewed, on a case-by-case basis, by a

committee appointed by the Council that includes two non-Council members.

The committee would determine whether the business relationship should

proceed despite the possible conflict of interest. In any case the business must

be of net benefit to the Center.

• Members annually disclose their involvements with other organizations or with

vendors and any associations that might be reasonably seen as representing a

conflict of interest.

• Members will represent themselves with decorum in the public arena, including

social media.

• Council members will not use their Council positions to obtain employment in

the Center for themselves, family members, or close associates. A Council

member who applies for the position of Director, or any other position, or whose

family members apply for the position, will recuse himself or herself from

Council discussion and decision-making regarding the matter.

• Council members do not attempt to exercise individual authority over the Center

by virtue of their position.

• Members’ interactions with the Director and staff recognize the lack of authority

vested in individual Council members acting as Council members except when

explicitly authorized by the Council or Director.

• Members’ interactions with the public, press or other entities recognize the

same limitation and the inability for any Council member to speak for the Council

except to express stated Council decisions.

• Outside of Council deliberations members are inscrutable when discussing, or

responding to questions about the performance of the Director or staff.

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• Members respect the confidentiality appropriate to issues of a sensitive nature.

• Members support the legitimacy and authority of the final determination of the

Council on any matter, without regard to the member’s personal position on the

issue.

• Council members in violation of their duties or oaths are subject to the

Shambhala International Care and Conduct policies.

The Chair of the Council

The Council Chair is a specially empowered member of the Council who ensures the

integrity of the Council’s process.

The Chair’s Role

The Chair’s job is to ensure that the Council acts consistently with its own

policies and those legitimately imposed upon it from outside the organization.

Meetings will focus on issues that clearly belong to the categories of linkage,

Council decisions, or performance assessment according to Council policy.

Information that falls outside these three areas can be addressed at a specific

point in the monthly agenda and will always be noted as such. Those discussions

should not undermine the Council’s ability to accomplish its principal governance

roles.

The Chair’s Authority

The authority of the Chair consists in interpreting and implementing decisions in

two policy categories: Governance Process and Council-Executive Linkage. The

Chair is authorized to use any reasonable interpretation of these policies.

The exceptions to this authority are (a) employment or termination of the

Director and (b) areas where the Council specifically delegates portions of the

authority to others.

The Chair is empowered to lead Council meetings with all the commonly

accepted Shambhala powers of meeting facilitation, such as recognizing, tabling

and facilitating broad agreement.

The Chair has no authority to make decisions about policies created by

the Council within two policy categories: Ends and Executive Means.

Therefore, the Chair has no authority to supervise or direct the Director,

except as otherwise specifically authorized by the Council.

The Chair can represent the Council to the community and to outside

parties in presenting Council positions, as well as the Chair’s decisions

and interpretations within the Governance Process and Council-Executive

Linkage areas.

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The Chair may delegate her or his authority but remains accountable for

its use.

The Vice Chair of the Council

The Vice Chair’s role

The Vice Chair will assist the Chair of the Council in his or her duties as Chair when

needed and upon mutual consent. In all other respects, the Vice Chair will be subject to

the same policies as all Governing Council members. In order to be able to assume the

responsibilities of Chair should the Chair become unavailable, the Vice Chair will

maintain regular communications with the Chair and stay informed and up-to-date on

current Governing Council business.

Unavailability of Chair

The Vice Chair will assume the duties of the Chair when the Chair is unable to perform

those duties due to circumstances such as temporary unavailability due to illness. In the

event that the Chair is unable or unwilling to fulfill his or her term, the Vice Chair will

assist the Governing Council as Interim Chair in a process to recruit a new Chair to finish

the remainder of the term, unless there is consensus among all Governing Council

members that the Vice Chair shall assume the duties of the Chair for the remainder of

the term, after which a permanent Chair recruited by the Governing Council will start

the new term.

The Secretary of the Council

The Secretary’s role

The Council Secretary is a member of the Council (officer of the Board, in the case of a

legal board of directors) whose purpose is to ensure the integrity of Council documents.

These include By-Laws, the Policy Manual and the meeting minutes. THIS POSITION IS

NOT CURRENTLY ACTIVE.

The Secretary’s job is to see to it that all Council documents and filings are

accurate and timely.

The Policy Manual will be kept current to reflect Council decisions.

Decisions upon which no subsequent decisions are to be made or be

based, such as motions to adjourn and staff or Council member

recognitions, should not be placed in the policy manual.

The wording and organization of the policies within the manual will

rigorously follow Policy Governance® principles.

The Secretary will ensure that the Council’s documents reflect

Council policies in a manner that is consistent with the principles:

the documents distinguish ends from means and they are in the

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correct quadrant; the documents observe the distinction between

broader and narrower and it is always possible to see at what

depth the policy appears; a consistent system of numbering or

indentation allows all of these distinctions to be clear.

Elements of the by-laws necessary for legal compliance and for consistency with

the principles of Policy Governance will be known to the Board.

Requirements for format, brevity and accuracy of Council minutes will be known

and followed by the Secretary.

The Authority of the Secretary

The Secretary has access to and control over Council documents.

Council Committee Principles

Council committees provide consultative services to the Council as a whole and will not

interfere with the work of the Director or take on the responsibilities of Center

management.

1. Council committees are formed to help the Council do its job, not to manage or

advise the staff. (Committees formed to help with executive operations will be a

part of the Executive structure). Committees ordinarily will assist the Council by

preparing policy alternatives and implications for Council deliberations in

keeping with the Council’s broader focus. Council committees will normally not

have direct dealings with current staff operations.

2. To support Council wholeness, committees will not speak or act for the Council

except when formally given this authority for specific, time-limited purposes.

Expectations and authority will be carefully stated in order to prevent conflict

with authority delegated to the Director.

3. Council committees cannot exercise authority over staff. The Director carries out

policies determined by the Council as a whole, and therefore will not be required

to obtain the approval of a Council committee before taking an executive action

in furtherance of these policies.

4. To support objectivity, Council committees will avoid over-identification with

organizational parts rather than the whole. For example, Council committee that

has helped the Council create policy on some topic will not be the only group to

monitor organizational performance on that same topic. Similarly, committees

will be asked to take into consideration the impact of their

recommendations/work on the Center as a whole.

5. In order to support Council wholeness, committees will be used sparingly and

ordinarily in an ad hoc capacity.

6. These committee policies apply to any group that is formed by Council action

whether it is called a committee and regardless of whether that group includes a

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Council member. It does not apply to committees formed under the authority of

the Director.

Council Committee Structure

A committee is a Governing Council committee only if its existence and authority come

from a decision of Council, regardless whether Council members sit on the committee.

The only Council Committees are those included in the Policy Manual. Unless otherwise

stated, a committee ceases to exist as soon as its task is complete.

1. Nominating Committee

1.a. Type: Standing

1.b. This committee will develop nominations for the positions of Center

Director, Chair of the Governing Council (if other than the Director), Chair of

the Governance Committee (if the Director is Chair of the Council),

representatives of the offices of Societal Health and Well-being, Culture and

Decorum, Chagdzö, and Governing Council members-at-large.

Cost of Governance

The Council will invest time and resources in its capacity to govern well.

1. Training will be used to orient new members and potential candidates to the

Center’s Policy Manual as well as to maintain and increase existing members’

skills and understanding in the manual’s full use.

2. Assistance will be requested from Shambhala as needed to ensure that the

Council can confidently perform local assessment.

3. Mechanisms will be used as needed to ensure the Council’s ability to listen to and

inquire into the viewpoints, vision and values of the Sakyong, the Kalapa Council

and the community of Shambhala.

4. Costs will be prudently incurred but the budget will consider the importance of

the development and maintenance of the Council’s governance capability. The

Council will establish budgets for the following activities:

4.a. Attendance at Kalapa Governance Trainings.

4.b. Any audit or other third-party monitoring related to assessment (for

example, a 5-year building inspection and report).

4.c. Council sponsored community surveys and meeting costs.

4.d. Council retreats and rejoicing.

5. The Council will establish its Cost of Governance budget for the next fiscal year

before December 15th

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PART III: COUNCIL-EXECUTIVE LINKAGE

Global Council-Executive Linkage Policy

The Council’s sole official connection to the local operational mandala, its achievements,

and conduct will be through the Center Director.

Unity of Control

Council policies and decisions are only binding if officially approved by the Council.

1. Decisions or instructions of individual Council members, officers or committees

are not binding on the Director except in rare instances when the Council has

specifically authorized such exercise of authority.

2. In the case of Council members or committees requesting information or

assistance without Council authorization, the Director can refuse such requests

that require, in the Director’s opinion, a material amount of staff time or funds

or are disruptive.

Accountability of the Director

Because the Director is the Council’s only official link to operations, all authority and

accountability of staff as far as the Council is concerned is considered the authority and

accountability of the Director.

1. The Council will never give instructions to persons who report to the Director.

2. The Council will not evaluate formally or informally any staff other than the

Director.

3. The Council will view Director performance as identical to organizational

performance so that organizational accomplishment of Ends and adherence to

Skillful Means policies will be viewed as successful Director performance.

Council Delegation to the Director

The Council guides operations through written Ends and Skillful Means policies. The

Director can use any reasonable interpretation of these policies.

The Council will develop “Ends” policies describing that, considered together,

describe the following three elements: 1) benefits or results, 2) for specified

recipients, and 3) at a specified cost or order of priority. These statements will be

developed systematically from the broadest, most general level to more defined

levels as required. All issues that are not Ends issues (as defined here) are Means

issues.

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The Council will develop “Skillful Means” policies that define or clarify the latitude

the Director can exercise in choosing means and methods. Policies will be developed

systematically from the broadest, most general level to more defined levels.

In developing Skillful Means policies, the Council is not telling the Director

how to do his job. Rather, the Council is naming those means and methods

that are unethical, imprudent, or otherwise un-Shambhalian, and putting

those off limits. Therefore, Skillful Means policies only include those means

that are unacceptable to the Council. The policies essentially say: “don’t do

this, don’t do that.” Therefore, they are proscriptive, negative statements.

Once a proscriptive, “limit setting” policy is agreed upon, the Council may

choose to rewrite the policy so it is stated in the positive. For example, the

proscriptive “treatment of participants” policy that reads

“The Director shall not elicit information for which there is no clear

necessity”

can be written prescriptively as

“The director shall only elicit information for which there is clear

necessity.”

(Note: The intent here is that the Council stay out of the business of

prescribing Skillful Means to the Director, since doing so would undermine

the Director’s accountability, and instead put the Council in the role of

manager. Instead, the Council proscribes (or puts off limits) those means

that it finds unacceptable. Therefore, the Council fulfills its governance

responsibility while leaving the Director maximum latitude and

accountability.)

Below the global level, a single limitation at any given level does not limit the

scope of any foregoing level.

Below the global level, the aggregate of limitations on any given level may

embrace the scope of the foregoing level, but only if justified by the Director to

the Council’s satisfaction. In other words, the broader principle addressed at a

given level will usually cover more than is explicitly addressed in the narrower

policy level below. Therefore, compliance with the more specific items does not

necessarily demonstrate compliance with the more general provision.

As long as the Director uses any reasonable interpretation of the Council’s Ends

and Skillful Means policies, the Director is authorized to establish all further

policies, make all decisions, take all actions, establish all practices and pursue all

activities. Such decisions of the Director shall have full force and authority as if

decided by the Council.

The Council may change its Ends and Skillful Means policies, thereby shifting the

boundary between Council and Director domains. By doing so, the Council changes the

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latitude of choice given to the Director. But as long as any particular delegation is in

place, the Council will respect and support the Director’s choices.

Assessment: monitoring performance

The Council will develop a regular and thoughtful discipline of assessment. Assessment

of policies will be conducted exclusively on the basis of: 1) the accomplishment of

Council-defined Ends, and 2) adherence to Council-defined Skillful Means.

1. Monitoring is done to clarify the degree to which policies are met. Information

that does not support this isn’t considered “monitoring information.”

2. Monitoring is done regularly, in order to ensure that the efforts are spread

across the annual calendar and don’t overtax the executive staff.

3. The Council obtains monitoring information by one or more of three methods:

3.a. By internal report, in which the Director shares interpretations and

compliance information with the Council.

3.b. By external report, in which an external, objective third party selected by the

Council assesses fulfillment of particular policies.

3.c. By direct Council inspection, in which a designated member or members of

the Council assess compliance.

4. In every case, the Council will judge (a) reasonableness of the Director’s

interpretation and (b) whether data demonstrates accomplishment of the

interpretation.

5. The standard of compliance will be “any reasonable Director interpretation” of

the Council policy being monitored. The Council is the final arbiter of

reasonableness, but will always judge with a “reasonable person” test rather

than with an interpretation favored by Council members or by the Council as a

whole.

6. All policies will be monitored at a frequency and by a method chosen by the

Council. The Council can monitor any policy at any time by any method, but will

ordinarily depend on a schedule as follows:

Policy Method Frequency For further

Council review. Treatment of Participants Internal/Direct Annually

Treatment of Staff Internal/Direct Every six months

Financial Planning Internal Annually

Financial Condition Internal Quarterly

Physical Plant Internal/Direct Annual

Emergency Director

Succession

Internal Annually

Compensation Internal Annually

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Benefits External Every 2 years

Communication / Support Direct Inspection Annually

Ends Various Annually

Part IV: Skillful Means

Global Skillful Means Policy

The Director will ensure that all organizational practices, activities, decisions and

circumstances are lawful, prudent and in accordance with Shambhala Buddhist and

commonly accepted professional ethics.

Treatment of Center Members, Participants and Guests

With respect to interactions with participants and guests or those applying to be

participants, conditions, procedures and decisions will be safe, timely, dignified and not

unnecessarily intrusive.

The Director will:

1. Offer programs that are fully accessible.

2. Operate facilities that are accessible to the greatest degree possible within

the provisions of this policy manual.

3. Ensure there is no discrimination or harassment.

4. Implement a “financial aid” policy.

5. Elicit only that information for which there is clear necessity.

6. Use methods of collecting, reviewing, transmitting, and storing member,

participant or guest information that protect against improper access to the

material.

7. Establish with participants a clear understanding of what may be expected

and what may not be expected from the services offered.

8. Inform participants of this policy and provide a way to be heard for persons

who believe that they have not been accorded a reasonable interpretation of

their rights under this policy.

Treatment of Staff

With respect to paid and volunteer staff, conditions will reflect a high regard for staffs’

basic goodness and be just, dignified, organized and clear.

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The Director will:

1. Operate with written personnel rules that (a) clarify rules for staff (b) provide

for effective handling of grievances, and (c) protect against wrongful

conditions such as nepotism and gross preferential/biased treatment for

personal reasons.

2. Not punish or retaliate against any staff member for non-disruptive

expressions of dissent.

3. Ensure that staff is prepared to deal with emergency situations.

4. Provide and promote opportunities for practice and study.

5. Provide applicable safety standards and training.

6. Ensure that job descriptions for all staff are on file and maintain

documentation for the purposes of continuity and succession.

7. Acquaint staff with the Director’s interpretation of their protections under

this policy.

8. Inform staff of this policy and provide a way to be heard for persons who

believe that they have not been accorded a reasonable interpretation of their

rights under this policy.

Financial Planning / Budgeting

Financial planning (for any fiscal year or the remaining part of any fiscal year) will be

based on the Council’s priorities (Ends Policies), will not risk financial jeopardy, will be

ethical and will be derived from a multiyear plan.

The Director will:

1. Not risk incurring those situations or conditions described as unacceptable in

the Council policy “Financial Conditions and Activities.”

2. Include credible projection of revenues and expenses, separation of capital

and operational items, cash flow, and disclosure of planning assumptions.

3. Only raise money for a project after having demonstrated that the project is

feasible and will be completed within a given time commitment, and will

protect any monies raised until the project is completed.

4. Budget for Council expenses during the year as set forth in the “Cost of

Governance” policy.

Financial Condition and Activities

With respect to the actual ongoing financial conditions and activities, the Director shall

not allow or create the development of financial jeopardy and will ensure that actual

expenditures go toward Council priorities established in End policies.

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The Director shall:

1. Establish and maintain a cash reserve equal to 3 months base operating

expenses.

2. Not expend more funds than have been received in the fiscal year to date

unless the Council debt guidelines are met.

3. Not incur debt in an amount greater than can be repaid by certain and

otherwise unencumbered revenues within 60 days.

4. Not incur long-term debt without prior approval of the Council.

5. Not use any long-term reserves without prior approval of the Council.

6. Not conduct inter-fund shifting in amounts greater than can be restored to a

condition of discrete fund balances by certain and otherwise unencumbered

revenues within 30 days.

7. Settle payroll and debts in a timely manner.

8. Ensure that tax payments or other government-ordered payments or filings

are timely and accurate.

9. Not make a single purchase, commitment, sign a contract or raise funds for a

specific project greater than $3,000 without prior approval by the Council.

10. Meet the Council policies for development (see below) before committing

funds to renovations and/or new buildings.

11. Not acquire, encumber, or dispose of real estate without prior approval of the

Council.

12. Actively pursue receivables after a reasonable grace period.

Financial Transparency and Reporting

The Director will ensure transparency and integrity with regard to the management and

reporting of the finances of the Center.

The Director will ensure

1. Accurate recording of all financial transactions.

2. Summary and simplified financial reports that fully, fairly and accurately

reflect the financial details of the Center.

3. The wishes of anonymous donors are respected.

4. The disclosure of self-interest or apparent self-interest in a financial

transaction to the transaction’s approving body.

5. Personal loans and debt have a written statement describing the financial

terms of the loan, the purpose for which it will be used, the plan by which the

funds will be paid back, and the Shambhala entity having legal authority to

approve the loan arrangements.

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Development

In relation to any building construction, purchase or long-term change in physical

facilities, the Director shall demonstrate that:

1. The facilities are or will be made accessible;

2. The project is consistent with the principles of sacred architecture and design;

3. Community consultations have provided opportunities for members to

participate in and contribute to the project beyond their checkbook;

4. The project has taken into consideration and incorporated sustainable

development and ecological principles; and

5. The project incorporates cost effective solutions.

Director Succession

The Director shall:

1. Have at least one staff person sufficiently familiar with Council and Director

issues and processes to be able to take over with reasonable proficiency as an

interim successor if the Director is absent.

2. Document operating procedures for a successor.

Asset Protection

The Director will ensure that corporate assets are protected, adequately maintained and

not unnecessarily risked.

The Director shall:

1. Assure that the Center is adequately insured against theft and casualty and

against liability to Council members, staff and itself.

2. Not allow unauthorized personnel access to material amounts of funds.

3. Not subject facilities and equipment to improper wear and tear or insufficient

maintenance.

4. Not unnecessarily expose the Center, Council members or staff to claims of

liability.

5. Not make any purchase (a) wherein normally prudent protection has not been

given against conflict of interest; (b) of more than $1,000 without having

obtained comparative prices and quality except sole-source providers and

emergencies; (c) of more than $1,000 without a method of assuring balances

of long-term quality and cost.

6. Protect intellectual property, information and files from loss or significant

damage.

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7. Not compromise the independence of the Council’s audit or other external

monitoring or advice, such as engaging parties already chosen by the Council

as consultants or advisers, for whose impartiality is questionable.

8. Not invest or hold operating capital in insecure instruments, including

uninsured checking accounts and bonds of less than AA rating at any time or

in non-interest bearing accounts except when necessary to facilitate ease in

operational transactions.

9. Protect the Center’s public image, its credibility or its ability to accomplish

Ends.

Compensation and Benefits

With respect to employment, compensation and benefits to employees, consultants,

contract workers and volunteers, the Director shall not cause or allow jeopardy to

financial integrity or to public image.

The Director shall not:

1. Change Director’s compensation and benefits without approval of the

Council.

2. Promise or imply permanent or guaranteed employment.

3. Create obligations over a longer term than revenues can be safely projected,

in no event longer than one year and in all events subject to losses in revenue.

Communication and Support to the Council

The Director shall support the Council in being informed or aided in its work of

governance.

The Director shall:

1. Keep the Council informed of all important and relevant information that

comes from communication with the Sakyong and his appointed

representatives;

2. Bring to the Council relevant assessment data in a timely, accurate and

understandable fashion, which directly addresses the policies being

monitored and includes any specific Director interpretations.

3. Not allow the Council to be unaware of any actual or anticipated

noncompliance with Ends or Executive Boundaries policies, especially when

this is of a sensitive or ethical nature, regardless of the Council’s monitoring

schedule.

3.a. The Director will inform the Council if there are unrealistic or

unattainable expectations placed on the staff or the Director.

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3.b. The Council will make reasonable allowances for a new Director

from the noncompliance provision for the first three months until

trained in the Council Policy Governance Model and Skillful Means.

4. Not let the Council be unaware of the current staff policies and contracts.

5. Make the Council aware if, in the Director’s opinion, the Council is not in

compliance with its own policies on Governance Process and Council-

Executive Delegation, particularly in the case of Council behavior that is

detrimental to the working relationship between the Council and the Director.

6. Present information in an appropriately simple and brief form and in a form

that differentiates among information necessary for: assessment, policy

making and policy review, or other purposes.

7. Deal with the Council in a way that does not favor, penalize or privilege

certain Council members over others, except when (a) fulfilling individual

requests for information or (b) responding to officers or committees duly

charged by the Council.

Ends Focus of Grants or Contracts

The Director shall not enter into any grant or contract arrangements that are contrary to

the Ends or requires unacceptable Means.

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Appendix: Policy Governance and Shambhala

A MERGING OF INFLUENCES

The preeminent source of Kalapa Governance is the guidance of our Sakyong Lineage.

Based on that ground, leaders of Shambhala have articulated key principles in writings

like “The Tenets of Shambhala Governance.” Among these principles are the

indivisibility of sacred and secular in governance, the primacy of lineage, court, mandala

and social monarchy, collaborative decision making, and the three-pillar structure.

Based on these principles, the governance of Shambhala International has evolved as a

mandala with the Court at the Center, and ever widening concentric circles which

include the Kalapa Council, the Mandala Council, the Shambhala Congress and

Shambhala society. A further aspect of mandala principle is that decision-making

includes participative consultation at all levels.

Drawing on insights of governance experts, Shambhala governance is also gradually

integrating principles from the Policy Governance® model developed by John Carver.

In the Policy Governance® model, governing bodies make a unique contribution within

an organization, distinct from that of executive or staff groups. To govern well, we must

understand that distinction and excel in the three key functions of the governing body:

linkage, policy and assessment.

1. Linkage: Governance is grounded in understanding the vision and values of those

on whose behalf we govern. In Shambhala, while we govern “for the benefit” of

countless beings, we govern “on behalf” of the lineage of Sakyongs. In

Shambhala, the work of the Governing Council begins with a personal

connection with the Sakyong, who asks that we cultivate great confidence in our

basic goodness as individuals, and as a society.

2. Policy: The path of governance requires developing clear policy statements.

Policy is a powerful tool. It challenges us to clearly articulate how Shambhala

vision and values are expressed in the management of our day-to-day affairs.

Policy is how governance joins heaven and earth. It requires that we deliberate,

clarify our confusion, be brave in taking a position, and move toward agreement.

3. Assessment: The fruition is “benefiting others”-- that is, Shambhala vision is

manifested through the results of our activity. Most of these activities

(constructing buildings, offering programs, holding community gatherings,

helping people learn to live fully) are the purview of the executive side of the

government, rather than the Governing Council. In other words, the executive

“executes” the vision articulated through the practice of governance. A further

role of the Governing Council is to ensure that the activities of the Center reflect

the vision and values expressed in policy. This is done through an open,

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constructive, and objective process of assessment. Ongoing assessment is a

critical aspect of good governance.

THE ROLE OF POLICY IN SHAMBHALA

Policies express our governance values and perspectives, so they offer us the

opportunity to govern from the perspective of our values. How do we translate the

aspiration to create Enlightened Society into practice? How do we ensure that we are a

compassionate employer and that we are providing inspiring and healthy environments

for participants and volunteers? How do we manage our finances with prudence and

propriety and ensure sustainability? Written policies clearly state what matters to us.

Working together to express governance values and perspectives is a way to build

enlightened society. It involves the process of listening and inquiring. When we

deliberate on policy, we start from a diversity of views. The Governing Council may elicit

input from Shambhala members and the larger community to inform its work. The

exchange of differing views enriches the Council’s understanding of the issues, expands

the options, and finally is sharpened by the Governing Council into the fine point of a

policy statement. Policy has a very practical side. Expressing policies in writing has

power. It clarifies our values and focuses our efforts. Written policies become a clear

and objective means by which to evaluate our efforts; they are the template by which

others can assess our integrity and decide whether they wish to join with us.

Moreover, since the purpose of governance policy is to guide operations, as we begin to

use policy our activity increasingly looks like our values.

MANDALA-WIDE AND LOCAL POLICY

Mandala-wide policies included in this manual are developed at the center of the

mandala, usually by the Kalapa Council or the Sakyong himself. For example, developing

a culture of profound kindness rooted in basic goodness is a policy established by the

Sakyong. Our functions are organized into three pillars at the direction of the Sakyong

and the Kalapa Council. Policies rooted in mandala-wide direction will be clearly

indicated. They reflect the Shambhala principles described above. Local policy reflects

the unique situation of our local center here in Chicago. Both sets of policies can be

expected to change and evolve over time.

THE PROCESS OF DEVELOPING POLICY

Not too tight, not too loose

With time, a Governing Council discovers the right balance between governance that is

either too tight or too loose. How general and how specific should policy be? The

Council needs to guide and influence the organization without having its fingers in all

the details. So in drafting policy the Council should say all that it must, but not all that it

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can. Saying all that it must helps ensure that there is the right level of container and

guidance. Saying all that it can usually involves the kind of micromanagement that stifles

the creativity and competencies of our staff and volunteers.

Large strokes first, then refine

Policy is developed by making broader, more inclusive statements first, then following

with more detail as needed.

It is the Council that determines the level of detail that’s appropriate. Remember that

the executive leadership will have to interpret the policy and then to implement it. In

questioning how much further detail to develop, the Council is really asking itself

whether it can accept ANY REASONABLE INTERPRETATION of the policy as written. If the

Council can accept the range of reasonable interpretations that different people might

make, they’ve said enough. If not, more detail should be provided.

Modifying Policy

Policy should be reviewed annually. Sometimes a governing body has said too much and

sometimes too little. Sometimes priorities change. Sometimes a staff member gets

entangled in the kind of mishap that suggests a new policy would be helpful. Reviewing

and potentially changing the body of policy can be very positive and is part of normal

governance practice.

Reviewing policy even when things are going smoothly is one of the important tasks of

the Governing Council. It provides an opportunity to reorient and re-commit to the

governance values and perspectives previously expressed.

The Four Quadrants of Policy

Let’s look at how the “body of policy” is organized. We’ll draw a circle and put all the

policies inside the circle. That circle can be divided into four quadrants, with each

quadrant having a distinct purpose. This is pictured here:

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On the left, we place policies related to the Governing Council itself; on the right we

place policies related to the rest of the organization.1

The upper left hand quadrant, called Governance Process, contains policies related to

the Governing Council’s roles and responsibilities, how it governs itself, and its ethical

code of conduct.

The lower left hand quadrant, called Council/Executive Linkage, contains policies that

describe how the Governing Council relates to the Center Director and staff. This

includes the powers of delegation, decision-making, and assessment, as well as how the

Center performs ongoing assessment.

The upper right quadrant contains governance policies that articulate the purposes and

priorities of our Center. What benefits do we choose to bring to the world? Of all we

could do, what will we focus on, in what order of priority? In the language of Policy

Governance®, these three (benefits, for whom, what priority or cost) are collectively

called Ends Policies.

The lower right hand quadrant contains policies that express our governance values and

perspectives related to the “Means” we choose in order to accomplish our “Ends.”

1 In Parts I-IV of the policy manual itself, a different order is presented starting from the upper right

quadrant entitled Ends Policies, then moving counter-clockwise to the Governance Process, Council-

Executive Linkage and Skillful Means.

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There are numerous organizational practices, activities and procedures (Means) that the

staff can choose from. In this section, the Council provides a horizon of ethics and

values that the staff can use as a guide. By being clear about what is skillful and what

may be unskillful or even unethical, the Governing Council sets standards for the

“means” choices the staff may decide to make.

Following is a closer look at the details of each of these policy quadrants.

Governance Process

The upper left quadrant contains policies related to the Governing Council’s roles and

responsibilities, how it governs itself, and its ethical code of conduct. These are

essentially instructions the Council is giving itself: "here is how we’ll operate as a

Council." The picture below shows a more detailed breakdown of the main policy

categories in this quadrant.

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Council/Executive linkage

The lower left area of policy called Council/Executive linkage (sometimes called

Council/Staff Linkage) describes how the Council, from a governance perspective, will be

“linked” with the other entities of the Shambhala Center. Policies here describe the

relationships between the Governing Council and the Center Director and staff. This

includes the powers of delegation, decision-making, and assessment.

Now let’s go into more detail in the policy areas that apply to the Shambhala Center as a

whole. Any policy here will either be an “Ends policy”, or a “Means policy”; either

“what” we are to get done, or “how” we are to do it.

Ends Policies, Purposes of the Shambhala Center

The upper right quadrant called “Ends” contains governance policies related to the

purposes of our Center. Those fall into three categories, and three categories only.

What benefits will we choose to bring to the world? Of all we could do, what will

we focus on.

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For whom? For which groups of people or practitioners? For all community

members? Parents and children? For non-English language speakers? For

beginning meditators?

In what order of priority? This could also mean, at what cost. How much of our

resources will go to which sorts of benefits and people?

Policies related to Skillful Means

Finally, the lower right area of policy relates to the means and methods we use within

Shambhala. The Council here provides a horizon of ethics and values that the staff must

use as a guide. By being clear about what is skillful and by putting “off limits” that which

is unskillful or even unethical, a Council can set standards for the “means” choices the

staff may consider. Some of the kinds of means are pictured below.

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