Are Residents Clients??

Despite discussions to the contrary, while the Town of Aurora is a corporation with the ability to conduct “business” on behalf of the residents it serves,  the Town is not a business in the truest or most commonly understood sense.  How could it be? The Town doesn’t sell anything, it doesn’t have any competitors and it certainly doesn’t aim to turn a profit.  “Corporate” decisions are not made by an Executive Committee or Board of Directors, but by a governing body, the  Council.  Councillors are elected officials not employees.  And residents are taxpayers not clients or customers.  They can’t shop around for a better deal, or “take their business” elsewhere.  What they pay in taxes and what they pay for in terms of services, is determined for them by the group of people they elected, collectively, to serve their interests.

Personally, I believe that we, as a Council, are there to serve our residents; to ensure that the services residents want and need are provided at the best possible price.  I agree that it makes sense to run the “corporation” of the municipality of Aurora in a business-like fashion so as to ensure we are fiscally responsible.  However, that’s where I think the comparison should end.

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One Response

  1. These definitions were provided by Theresa Buck and asked that I post them for her. By these definitions she believes that residents are “Stakeholders”

    Shareholder
    A shareholder is any person, company or other institution that owns at least one share of a company’s stock. Because shareholders are a company’s owners, they reap the benefits of the company’s successes in the form of increased stock valuation. If the company does poorly, however, shareholders can lose money if the price of its stock declines.

    Stakeholder
    A person, group or organization that has interest or concern in an organization.
    Stakeholders can affect or be affected by the organization’s actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees, government (and its agencies), owners (shareholders), suppliers, unions, and the community from which the business draws its resources.
    Customer
    one that purchases a commodity or service
    an individual usually having some specified distinctive trait
    Client
    a person or organization using the services of a lawyer or other professional person or company:
    “insurance tailor-made to a client’s specific requirements”
    synonyms: customer · buyer · purchaser · shopper · consumer ·
    [more]

    Corporate Governance
    The framework of rules and practices by which a board of directors ensures accountability, fairness, and transparency in a company’s relationship with its all stakeholders (financiers, customers, management, employees, government, and the community).
    The corporate governance framework consists of (1) explicit and implicit contracts between the company and the stakeholders for distribution of responsibilities, rights, and rewards, (2) procedures for reconciling the sometimes conflicting interests of stakeholders in accordance with their duties, privileges, and roles, and (3) procedures for proper supervision, control, and information-flows to serve as a system of checks-and-balances.

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