Contemporary governance and local public spending bodies

This paper draws on recent research conducted by the authors to examine the nature of board/executive relations in three different kinds of Local Publ ic Spending Body (LPSB). Big variations are noted, between and within secto rs, in the way in which boards organize themselves and the degree of power they have in relation to executives. In all organizations studied the execu tive played a crucial role both in managing day-to-day operations and in se tting the organization's strategic direction. Chief executives exercised co nsiderable influence over the recruitment of board members and the maintena nce of consensual relations between board and executive. The dilemma of the voluntary board member with limited time and a lack of inside knowledge of the organization he/she is accountable for is examined. It is argued that the most effective boards contain members with a strong sense of their own legitimacy and enjoy a membership with a diverse range of interests and exp eriences. It is suggested that such models might combine the merits of grea ter democratic responsiveness and enhanced organizational effectiveness.