I got a report today that William Donaldson, chair of the SEC (Securities and Exchange Commission) knows about the work I’ve been doing with PG&E on reporting executive compensation. He is considering the idea for national implementation. One of his staff will be in San Francisco next week to discuss the program.
My idea was to have a separate audit of executive compensation with a simplified, but comprehensive report form.
PG&E is submitting such a report next week to the California Public Utilities Commission and I will post a copy for my blog readers.
Improvements in the PG&E report are needed. The auditor should read all corporate board minutes relating to compensation and write a certified statement that all forms of compensation have been included in the audit report.