The first step in recovery is recognizing that a real problem exists. Someone in a position of authority must:
Recognize the problem.
Gain a substantive understanding of it.
Start developing countering strategies.
Enlist the aid of others.
This person is the “recovery leader.” The leader could be a city manager, finance director, mayor, or hold a comparable position. Ultimately, the leader should build a team of other able officials to carry out the recovery process so that there is a “recovery leadership,” not just a single leader.
Recognition Activities
Make a Rapid Determination of the Problem
The recovery leader should quickly assess the problem and its severity.
Consider Deeper Questions about Financial Distress
The Recovery Leadership should also consider questions that impact the recovery journey and have important implications for long-term financial health.
Enlist Others
The recovery leader should recruit others into the recovery process.