Since he took the job in June 2023, Mario Diaz, the city manager of the City of North Miami Beach, has been looking to fill a vacant CFO position in his office. His search for a talented person with strong financial leadership skills, much like talent searches in all subsets of the finance function, has been a challenge.
After the retirement of the former CFO just before he was onboarded, Diaz has spent his first year on the job leading a transformation of the culture and operations of the city’s office. Although this area is “an entirely different community with its own set of challenges,” Diaz said, when comparing it to Miami Beach, its neighbor to the south down I-95, this developing community surrounded by the businesses and colleges of South Florida needs strong financial leadership to modernize the ways it functions as a governing body.
The search and makeup of the ideal candidate
Diaz’s search has had its ups and downs, he said. The process of interviewing and making offers to candidates has become unpredictable regardless of the stage in the hiring process. “I’ve learned that even when I think I’ve found the right person and we’ve come to some kind of an agreement, any little thing can happen.”
Due to various reasons, landing the ideal candidate has been challenging for Diaz and his team. “We’ve had lots of great conversations with several individuals who, for whatever reason, withdrew their applications when it looked like we were going to move forward,” he said. “It has come down to employers saying we cannot lose you to [our candidate] and giving them salaries, titles and authority that superseded anything I could offer them.” (Editor’s note: The salary range for the role is listed at $136,968 to $196,605)
“I’ve told these candidates the same thing I tell my staff: You have to do what’s best for you and your family. That’s always the most important thing and the best advice you can give to anyone,” he said.
The skills needed to step into a role like this, according to Diaz, aren’t sketched out in the job description. Candidly, he admits he needs a financial leader, not necessarily an experienced CFO, who can help drive innovation on multiple fronts. He referred to some financial procedures that “haven’t changed since the ’80s and ’90s.”
“I do not have the career path of a traditional city manager and having the career path of a traditional CFO isn’t required for this role either,” he said. “I need someone with a technical mindset who has an accounting background, who can dive into the finance department and modernize the workflows there. Looking at things like how we bank, where we could get better deals in that regard, and looking at it in a way that is technical and can think big picture and small picture at the same time.”
The need and benefits of a digital overhaul
When asked about the automation capabilities already in place within the finance function of the city, Diaz said this is an area where the new CFO will have a big role in modernization starting on day one. He said that while the old culture of the city rejected change, he hopes the modernization of the finance function can embody a cultural push toward modernization and change across the city’s governing body.
“One thing that drives me nuts, and I know it’s crazy, is that we still cut checks and mail them out every week,” he said. “When I was like, wait a minute, why haven’t we moved into ACH or wire transfers, some type of electronic [payment system], [I got an answer like] ‘that’s just not the way we do things here.’”
Now, as he has been able to influence and develop the culture to push back on that type of rejection of innovation, Diaz is looking for a financial leader to partner with him on these efforts. “I am looking for someone to help modernize the finance function of the city,” he said.
“It has come down to employers saying we cannot lose you to [our candidate] and giving them salaries, titles and authority that superseded anything I could offer them.”
Mario Diaz
City manager of the City of North Miami Beach
Automation, both within finance and across the city’s functions, is a focal point for Diaz, who said this will free up opportunities for his staff to allocate time and resources to other areas that need focus. “The more we can automate some of these functions, the more human error can be taken out of the equation, and the more opportunity we have to focus on new, innovative projects or tasks or opportunities that the city is not taking advantage of,” he said.
“Whether it’s from grants, federal funding or different ways to just do stuff that can bring cost savings, all of these things are important to us. Oftentimes, cities and nonprofits leave opportunities on the table simply because they don’t have the capability or resources to focus on these things due to traditional [internal operations].”
Private vs. public success metrics
While this isn’t a role Diaz said a CFO can transition into retirement through, experience and understanding the “historical aspect” of public sector financial leadership jobs is important to be able to thrive and help achieve the city’s goals.
Profit and efficiency stats, important metrics that define success in a CFO role in the private sector, are two areas where Diaz stressed a mindset shift is necessary to understand and succeed within government.
“There’s a certain mindset that doesn’t fit,” said Diaz. “The key word I use, because I got sick of hearing and using the word efficiency, is effectiveness. How effective is our progress, our program, what’s the community benefit and are we all bringing a servant leadership mindset to the decision-making process?
“It’s not our money we’re spending. It isn’t the company’s money. It’s the residents of North Miami Beach’s money,” Diaz continued. “These are their taxes, their hard-earned money and their respect. We [need to] develop services, and [the citizens] expect to receive those services.”
Despite the allure of South Florida, retirees need not apply, Diaz made clear.
“If someone thinks because this is a [government job] and so they won’t have to work hard and they can settle down, this isn’t the space or the role for them,” he said. “I need someone who wants to be a part of the team, someone who is willing to engage in processes, either through trying something new or not wanting change [from their current role]. It’s going to be a lot of work, but I want someone who can have fun with it.”
