# MIP39c3-SP2: Strategic Happiness Core Unit (SH-001) Offboarding

## Preamble

```
MIP39c3-SP#: 2
Author(s): @Codeknight
Contributors:
Tags: core-unit, SH-001, cu-offboarding
Status: Rejected
Date Applied: 2022-07-07
Date Ratified: N/A
Forum URL: https://forum.makerdao.com/t/mip40c3-spxx-modify-strategic-happiness-core-unit-budget-sh-001/16438
Ratification Poll URL: https://vote.makerdao.com/polling/Qmc9Un8i
```

## Sentence Summary

MIP39c3-SP2 offboards the Strategic Happiness Core Unit (SH-001).

## Paragraph Summary

MIP39c3-SP2 offboards the Strategic Happiness Core Unit (SH-001).

## Specification

### Motivation
The functions of SH-001 do not require a Core Unit. The budget is a significant outlier given the high cost and niche function. If swag is desired, it should be integrated into another CU or the service contracted to Core Units as needed. The Core Unit is an unnecessary expense and currently represents 64k in monthly costs. It is a substantial ongoing cost with unclear returns.

The approval of this budget, which tripled during the last approval cycle, was contentious before the significant decline in protocol revenue and overall crypto market. With the current budget and protocol revenue, the protocol does not receive enough value to justify the expense.

Additionally, tracking, management and reporting of SH-001 spending and progress on initiatives has been poor, which is especially concerning in a time when Core Units are under pressure to cut costs and justify expenditures.

This Core Unit should be granted severance and offboarded.

#### Summary of Reason for Offboarding

- Large budget that does not justify the narrow purpose of this Core Unit.
- Large deficit in Maker's budget.
- Poor management of accounting and expense tracking.
- Swag does not require an entire Core Unit.

#### Explicit Deliverables and Responsibilities

- Delivery of swag through various initiatives.
- Integration of AccountAble for account & expense tracking.
- Partnerships and collaborations across DeFi.

#### Implicit Deliverables and Responsibilities

- Proper accounting and management of funds.

#### Examples of Unfulfilled Deliverables and Responsibilities

- Ongoing account and expense tracking issues. This Core Unit has struggled with mixing of personal and business accounts, adding significant costs to untangle.
- Lack of notable partnerships or collaborations.

#### Core Unit Unwinding -- Work 

N/A. No work needed.

#### Core Unit Unwinding -- Funds

Severance of 45K will be granted. This represents over a six-months salary for the Facilitator.

#### Possible Remedy to Avoid Offboarding

N/A. If the work is desired, it should be contracted through another Core Unit or performed underneath another Core Unit. Swag can be worthwhile to the DAO, but not through its current structure.

### Core Unit ID

SH-001