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Moves to fix NFP fundraising

Several moves are underway to restore faith in the fundraising activities of Australian charities amid some scandals here and abroad.

Firstly, the Fundraising Institute Australia (FIA) has established an independent authority to oversee its new code. The seven-member code authority will be responsible for compliance monitoring, complaints administration and making recommendations for improvements to the FIA board.

The FIA’s voluntary, self-regulatory code of conduct for fundraising was launched on 1 July and will be enforced from 1 January 2018. It aims to raise standards of conduct across the charity sector by going beyond the requirements of government regulation. Its content is informed by the International Statement of Ethical Principles in Fundraising.

In another move to improve fundraising in Australia, Consumer Affairs Australia and New Zealand (CAANZ) is reviewing comments it sought on a draft guidance on applying Australian Consumer Law (ACL) to the activities of charities, not-for-profit entities and fundraisers.

CAANZ provided its final report for the Review of ACL to government in April this year. However, it notes that during that review, various stakeholders asked for more information on how the ACL applied to not-for-profits.

Submissions to the review also indicated that the not-for-profit sector faces difficulties in determining whether its conduct is ‘in trade or commerce’ and captured by the ACL. As a result, CAANZ agreed to develop guidance on this as a priority project for 2017.

To view the full Governance Institute article, click here.

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