The Charities Bill 2007 information and consultation 2007 The Wheel, 10 Grattan Crescent, Inchicore, Dublin 8. www.wheel.ie info@wheel.ie

Some Clarifications what organisations will the Act apply to? difference between charities and other community and voluntary organisations not law yet! Not enacted legislation – only a Bill! trustees and directors – persons who control an organisation the legislative process: when? we are all wearing our “charity” hats today what is best for our organisations ? The Wheel, 10 Grattan Crescent, Inchicore, Dublin 8. www.wheel.ie info@wheel.ie

what organisations will the Act apply to?

difference between charities and other community and voluntary organisations

not law yet! Not enacted legislation – only a Bill!

trustees and directors – persons who control an organisation

the legislative process: when?

we are all wearing our “charity” hats today

what is best for our organisations ?

the Charities Bill will provide for: a charity regulator a register of charities - all charities operating in the state must register a definition of charitable purposes annual activity/financial reporting by charities a new law on fund-raising - to regulate non-cash collections clear duties attaching to trustees and employees of charities (whistleblowing) The Wheel, 10 Grattan Crescent, Inchicore, Dublin 8. www.wheel.ie info@wheel.ie

a charity regulator

a register of charities - all charities operating in the state must register

a definition of charitable purposes

annual activity/financial reporting by charities

a new law on fund-raising - to regulate non-cash collections

clear duties attaching to trustees and employees of charities (whistleblowing)

establishment of a charity appeals tribunal establishment of consultative panels powers of investigation fines for non-compliance The Wheel, 10 Grattan Crescent, Inchicore, Dublin 8. www.wheel.ie info@wheel.ie

establishment of a charity appeals tribunal

establishment of consultative panels

powers of investigation

fines for non-compliance

how will the system work ? must register if you want to refer to yourself as a charity or fundraise for a charity

must register if you want to refer to yourself as a charity or fundraise for a charity

registering two-stage test exist for a charitable purpose and provide a public benefit must not be an excluded body trade union, chamber of commerce… OR “ a body, the primary purpose of which is to promote a political party, candidate or cause”

two-stage test

exist for a charitable purpose

and

provide a public benefit

must not be an excluded body

trade union, chamber of commerce…

OR

“ a body, the primary purpose of which is to promote a political party, candidate or cause”

charitable purposes prevention of poverty advancement of education advancement of religion other purposes beneficial to community community welfare, community development, civic responsibility, voluntary work, conflict resolution, religious or racial harmony, protection of natural environment, suffering of animals, arts, culture, heritage, sciences No mention of promotion of human rights, social inclusion (these WERE included in the General Scheme)

prevention of poverty

advancement of education

advancement of religion

other purposes beneficial to community

community welfare, community development, civic responsibility, voluntary work, conflict resolution, religious or racial harmony, protection of natural environment, suffering of animals, arts, culture, heritage, sciences

No mention of promotion of human rights, social inclusion (these WERE included in the General Scheme)

information needed to register a constitution names and details of trustees fundraising plans activity plans re charitable purposes information on risk assessment activity financial accounts for last three years and bank details Register will be open to the public

a constitution

names and details of trustees

fundraising plans

activity plans re charitable purposes

information on risk assessment activity

financial accounts for last three years and bank details

Register will be open to the public

apart from operating the register, what else will the regulator do? purpose: to increase public trust and confidence in the administration and management of charities Should it not really be “to protect the public interest in charities” To promote/monitor compliance with act To promote the effective use of the property of charities To ensure the accountability of charities to donors, beneficiaries and the public To encourage and facilitate the better administration of charities…

purpose: to increase public trust and confidence in the administration and management of charities

Should it not really be “to protect the public interest in charities”

To promote/monitor compliance with act

To promote the effective use of the property of charities

To ensure the accountability of charities to donors, beneficiaries and the public

To encourage and facilitate the better administration of charities…

what will happen when registered? submit annual returns annual report audited accounts OR examined accounts if income less that €100k per year regulation of fundraising activity: new laws to define and deal with “non-cash collections” three elements to proposed system permits from Gardai registration with regulator adherence to Codes of Good Practice on operational aspects www.ictr.ie

submit annual returns

annual report

audited accounts OR examined accounts if income less that €100k per year

regulation of fundraising activity:

new laws to define and deal with “non-cash collections”

three elements to proposed system

permits from Gardai

registration with regulator

adherence to Codes of Good Practice on operational aspects

www.ictr.ie

duties of trustees Bill places a duty on trustees to ensure they (and their colleague trustees) are qualified to act as a trustee (no duty on regulator) no bankrupts, no people making composition with creditors, no companies being wound-up…. regulator will keep a list of people who were trustees but who have been disqualified duty on other trustees and managers/people with responsibility to ensure they are not “acting under the direction of a disqualified person” protection for whistleblowers

Bill places a duty on trustees to ensure they (and their colleague trustees) are qualified to act as a trustee (no duty on regulator)

no bankrupts, no people making composition with creditors, no companies being wound-up….

regulator will keep a list of people who were trustees but who have been disqualified

duty on other trustees and managers/people with responsibility to ensure they are not “acting under the direction of a disqualified person”

protection for whistleblowers

other issues / omissions no general duty-of-care that would apply to Trustees no power to exonerate a charity trustee from personal liability no provision of a legal structure for charities no provision of default administrative powers for charities no provision to permit the remuneration of Trustees for doing work that is NOT related to performing their role as Trustees Bill must protect the identity and independence of charities minimise dual reporting for charities that are companies be accompanied by sufficient and appropriate resources to enable the sector to not just cope, but thrive, in a regulated environment Lots more at www.wheel.ie Contact ivan at ivan@wheel.ie

no general duty-of-care that would apply to Trustees

no power to exonerate a charity trustee from personal liability

no provision of a legal structure for charities

no provision of default administrative powers for charities

no provision to permit the remuneration of Trustees for doing work that is NOT related to performing their role as Trustees

Bill must

protect the identity and independence of charities

minimise dual reporting for charities that are companies

be accompanied by sufficient and appropriate resources to enable the sector to not just cope, but thrive, in a regulated environment

Lots more at www.wheel.ie

Contact ivan at ivan@wheel.ie