Ngā Kōrero o Charlotte
(Message from Charlotte)

Tēnā koutou katoa,

This week the amendments to the Charities Act 2005 became law. The changes announced by the Minister for the Community and Voluntary Sector, Priyanca Radhakrishnan, focus on practical improvements to better support charities and improve trust and confidence in the sector. You will see some changes come into effect immediately, but others will be seen over time. We’ll be supporting you with guidance and resources so you understand what the changes will mean for you and your charity as different parts of the Charities Amendment Bill come into play. You can read the Minister’s comments here.

Charlotte Stanley, General Manager

This year also sees changes from the External Reporting Board (XRB), which issued new Tier 3 and Tier 4 reporting standards in May. Because of both sets of changes, we’re going to be asking you about proposed edits to the forms you use to register, report, and update your details with us in August.

This may feel like a lot of change, but we are committed to making the consultation and transition as easy as possible for you to understand and use.

Starting with this newsletter, we’re using a new format to make it easier for you to find out what you need to know. Every newsletter will tell you what’s happened, what’s happening, and what’s coming up. You can stay up-to-date by visiting information hubs on the Charities Services and XRB websites . The team will also be available to meet with you at online drop-in sessions if you’d like to ask questions. We will let you know as more details become available, so watch this space.

Te Wiki Tūao ā-Mōtu (National Volunteer week) was on 18 – 24 June this year. This was an important opportunity to celebrate the vital mahi that volunteers do in our communities. We’ve included an infographic to reflect the amount of work volunteers did in the last year. We are hearing how communities are relying even more heavily on volunteer support which makes our support of you, even more important. Thank you for the impact that you continue to make.

Lastly, I wanted to remind you that, while there’s change coming, we are here to help you make sense of it all. If you ever have questions, or need some support, please get in touch with the team at info@charities.govt.nz.

Nā Charlotte Stanley

Kaiwhakahaere Matua, General Manager

Changes to the Charities Act

What's happened?

The Charities Amendment Bill has received Royal Assent, and is now law. Not all the changes happen immediately though! Over the next twelve months different parts of the new Act will gradually come into play. To help you make sense of it all, every newsletter will update you on what’s happened, what’s happening, and what’s coming up.

We’re also introducing our new Charities Act Hub on our website. We will keep that page updated with more detailed information, so you always have somewhere to check in on our progress.

What's happening?

There are some changes that happen immediately. Most of these are about the clarity of the information we publish about decision making, the data that’s held on the Charities Register, and the guidance we provide. You’ll see some of the information on our website change over the next month, and we’ll let you know here when that’s happened.

What's coming up?

The maximum size of Te Rātā Atawhai, the independent Charities Registration Board, has increased from three to five members. Over the next while the government will look to begin the appointment process for the new Board members. The Department continues to consider further steps to help make it even easier for the smallest charities to report.

Three months from now, a second set of changes will happen. These include changes relating to who qualifies as an officer of a charity and their role, regular reviews of governance or rules, and the visibility of Charities Registration Board. Our next newsletter and our website hub will have more information, so you know what this might mean for you.

The External Reporting Board (XRB) Updates

Tier 3 and 4 Standards Updates

In May, the External Reporting Board (XRB) published new reporting standards for Tier 3 and Tier 4 charities.

Although these new standards are not mandatory until next year (reporting periods beginning on or after 1 April 2024), charities may choose to adopt these new standards earlier. If your reporting period ended on or after 15 June 2023 (so filing with us in December 2023), you can look into early adoption.

The XRB have started releasing resources and guidance for Tier 4 charities to help you with the new standards:

A Tier 4 charities hub on their website with up-to-date information on the new standards.
A webinar introducing the new Tier 4 reporting standards.
A short video guide on how to complete the new simplified Tier 4 template.

We are working closely with the XRB to try and make reporting as easy as possible. As more guidance and resources become available, we will share them with you here

Upcoming Consultation on our Forms

As a result of the Charities Act and XRB changes, we’re reviewing the forms charities use to register, report, and update their details. We’ve been holding off on making changes for a while to align with the changes to the reporting standards set by XRB. This year is a good opportunity for you to give feedback on what works, and what could be improved.

In August, we’ll be inviting you all to give feedback on our proposed changes. You will have until mid-October to let us know what you think.

All the information on how to give feedback and a look at the draft forms will be available in the August newsletter.

We’re hoping to have the new forms ready by the middle of next year. Your feedback is essential to making sure these are fit for purpose.

Incorporated Societies Update

Is your charity an incorporated society?

There are over 8,000 incorporated societies on the Charities Register. It’s important to know if your charity is one, because from October 2023 all incorporated societies will need to apply for reregistration under the Incorporated Societies Act 2022.

Between now and then, the Ministry for Business, Innovation and Employment (MBIE) will be providing information and resources to help you understand what’s changing and how to prepare. You can search the Incorporated Societies register to check if you are an incorporated society. Also if you are interested MBIE has a hub explaining the key changes.

IN THE SPOTLIGHT

Congratulations to the winners and highly commended organisations named in the 2023 New Zealand Charity Reporting Awards!

The awards recognise excellence and continuous improvement in charity reporting. Along with this year’s winners and highly commended, a Pandemic Response award has been announced for the first time.

You can find details of the winners and links to their Performance Reports on the Chartered Accountants Australia and New Zealand’s website.

It's time to think about reporting image

We are planning our 2023 Annual Review and want to feature some of the fantastic mahi (work) registered charities are doing in the sector. You can view a copy of all previous Annual Reviews on our website.

If you are interested in featuring photos for the Annual Review, please get in touch with us on events@charities.govt.nz

GOVERNANCE MATTERS

Do you want to learn some new governance skills to add to your kete (basket)? Community Networks Aotearoa have developed a fun, easy and engaging online course to help you and your organisation learn and be recognised for good governance skills and practices.

Have a look through the full list of modules here. The first module Te Tiriti o Waitangi and Relationship with Māori is free! The whole course costs $100 per person and there are discounts available for bulk purchases. Interested? Excited? Can’t wait to get started? Contact Community Networks Aotearoa for more information.

They have also partnered with the Ministry of Social Development to provide funding assistance to make the course available to as many people as possible. Find out how to apply here.

SECTOR SHOWCASE

This month we’re spotlighting a few organisations who aim to make accounting easier for charities around the country. So, if there are any charities out there that are struggling with accounting, this article is for you. To learn more about the mahi these organisations do across Aotearoa, follow this link.

To read all our sector showcases or to find out how your charity could be featured in the future, visit our website.

QUICK NEWS OF INTEREST

Webinar - Hot tips for Funding

Presented by Hāpai Hapori (Community Operations) and Ngā Ratonga Kaupapa Atawhai (Charities Services), this webinar looked at Hot Tips when applying for funding. Watch the webinar and download the resource sheet on our website.

There are also a number of funding opportunities opening up in the next couple of months that are administered by our colleagues in Hāpai Hapori, check out their website for more details.