FIA calls on new inquiry into fundraising to reduce the regulatory burden on fundraisers.

FIA calls on new inquiry into fundraising to reduce the regulatory burden on fundraisers.

Senate Select Committee FundraisingThe FIA’s submission to the Senate Select Committee on Fundraising in the 21st Century calls for Commonwealth and state governments to work together to reduce fundraising red tape that costs the sector millions each year.

“While there has been some progress recently in reducing duplication in reporting, by far the greatest source of red tape for charities relates to permits to fundraise which must be sourced state by state, campaign by campaign,” said Katherine Raskob, CEO of FIA.

A 2016 Report by Deloitte Access Economics concluded: “Overwhelmingly, fundraising is the source of the greatest amount of regulatory burden for charitable organisations. Fundraising legislation differs significantly between jurisdictions which very quickly escalates the administrative costs a charity incurs.”

In the past two years, there have been more dozen calls to fundraisers to participate in federal and state reviews and inquiries.

“The promise of harmonisation has not been delivered,” said Raskob in a statement. “In fact, the opposite is happening as different jurisdictions respond to perceived regulatory gaps in different ways and at different times. The current framework of fundraising regulation has created an environment in which a multitude of federal and state regulators have converged on the sector. This is because no single regulator has overall responsibility for fundraising.”

The Senate established the Select Committee on Charity Fundraising in the 21st Century on 19 June 2018 to inquire and report on the current framework of fundraising regulation for charities and options for reform.

According to the terms of reference, the committee will explore how federal, state and territory governments could work together to give charities with a nationally-consistent, contemporary and fit-for-purpose fundraising regime.

The committee will also look at whether the current framework of fundraising regulation creates unnecessary problems for charities and organisations who rely on donations and how the Australian Consumer Law should apply to non-profit fundraising activities.

The committee is chaired by Tasmanian ALP Senator Catryna Bilyk.

FIA is recommending that overall responsibility for fundraising issues at Commonwealth level be centralised under one senior minister.

The closing date for submissions is 6 August 2018. The committee is to report on or before 18 October 2018.


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