I joined Charities Services in mid-2017 as the manager of our Regulatory Group, with responsibility for the Investigations and Registration teams. I’ve been General Manager for a couple months, and in this new role I’ve continued to witness the fantastic mahi (work) charities do across Aotearoa to benefit their communities. I’m excited to build on the work of those before me in building trust and confidence in the charitable sector.

Last month we welcomed a new Minister for the Community and Voluntary Sector. It was a privilege to work with our previous Minister, Hon Poto Williams, and I look forward to working with Hon Priyanca Radhakrishnan to support the charitable sector.  We introduce the new Minister below.

I would like to acknowledge the important mahi charities have accomplished this year. It’s been a challenging year for everyone, but charities have been resilient and adaptable while supporting Aotearoa’s most vulnerable communities. We know that charitable work doesn’t really stop over the holidays, and for some it even gets busier. I do hope that you will get the chance to relax, recharge and reflect on your accomplishments over the break.

I would like to finish with a whakataukī. As 2020 comes to a close, let’s not forget the things we’ve learnt throughout this difficult year. Despite the challenges of 2020, this year has also brought with it many lessons. This whakataukī also speaks to me personally. As I step into my new role as General Manager I look forward to building on the great mahi of those before me.

He whakatauki, titoro whakamuri, kokiri whakamua.

Look back and reflect so we can move forward.

Thank you again for your hard mahi and generosity this year.

Meri Kirihimete! (Merry Christmas!)

Ngā mihi

Stephen Reilly
General Manager, Kaiwhakahaere Matua

IN THE SPOTLIGHT

Meet the new Minister for the Community and Voluntary Sector

Charities Services Annual Meeting

Almost 100 people from charities around Aotearoa gathered at Pipitea Marae in Wellington on 1 December for the Charities Services Annual Meeting.

We were very fortunate to be able to hold our Annual Meeting in person this year. The Charities Services team valued the opportunity to meet and talk with attendees. It was a great chance to hear from charities about the work they’re doing and the support they need from us. The Annual Meeting was also a fantastic opportunity to celebrate the important mahi of the charitable sector after a challenging year.

Photo: Charities Services staff singing a waiata, Ratonga Atawhai

The Minister for the Community and Voluntary Sector, Hon Priyanca Radhakrishnan opened the meeting and introduced herself to the sector. She spoke of the importance of the charitable sector, and the vital role it played during COVID-19. She highlighted the importance of the Government and sector working together for the benefit of communities. She also reflected on the submissions to the Review of the Charities Act 2005, and mentioned her intention to deliberate carefully on the next steps.

Photo: Hon Priyanca Radhakrishnan

Roger Holmes Miller, Chair of Te Rātā Atawhai, the independent Charities Registration Board, spoke of the role of the Board. He spoke specifically about advocacy, including the recent judicial decisions which addressed issues of the charitability of advocacy. He also spoke about how the Board will respond to these recent decisions, noting that their approach to charities law seeks to be responsive to New Zealand society today.

Stephen Reilly, General Manager of Charities Services, wrapped up the speeches. He acknowledged the impact of COVID-19 on the charitable sector, noting the challenges faced, but also the opportunities created for charities. He also outlined Charities Services’ plans for the upcoming year. These priorities include supporting good governance in the sector, improving information on our website and leading Charities Services as a modern, responsive, risk-based regulator.

The meeting concluded with a Q&A session with Charities Services staff. This was an opportunity for us to understand what charities need, and what we could improve. We are always interested in your feedback, so if you have any questions or thoughts, please contact us.

Thank you to everyone who attended the meeting, in person or on our Facebook livestream. If you were unable to attend the meeting, a recording is available on the Charities Services YouTube channel. 

The future of cheques

As you may be aware, banks across Aotearoa will stop accepting cheques from mid-2021.

Charities Services will no longer be able to accept cheques for annual return payments from June 2021. You will still be able to pay your annual return fee by bank transfer. Instructions on how to pay by bank transfer are on our website.

We understand this change may take some time for your charity to work through. Charities Services will support you through these changes. We also encourage you to speak to your bank about what alternative options will work best for your charity.

We will continue to keep you updated on this process through our website, in our newsletter and on social media.

Christmas and New Year Office Hours

Charities Services will be closed for the holiday period from mid-day Wednesday 23 December and we will reopen on Monday 11 January. 

You will still be able to login to your charity dashboard to update your details or file your annual return online.

Tier 4 reporting: webinar recording available

Charities Services presented a webinar on 3 November, providing an overview of Tier 4 reporting.

The webinar focussed on reporting obligations for Tier 4 charities, how to use your performance report to benefit your charity, and the resources available to help you prepare to report.

The webinar aimed to help Tier 4 charities understand what information must be provided to Charities Services every year and why this is important.

If you missed the webinar you can watch the recording here.

SECTOR SHOWCASE

Give a Kid a Blanket

Photo: Bernie and Donna from Give a Kid a Blanket

Give a Kid a Blanket (GaKaB) is a registered charity and an art project founded by social artists, Bernie Harfleet and Donna Turtle Sarten. In the beginning, GaKaB was about exploring the practice of ‘Community Activated Art Action’, but with its growth it has now become a ‘Community Action of Kindness’.

The relief of poverty and the social issues that surround it is a cause that remains close to the heart of this charity. Since 2015, GaKaB have gifted over 60,000 blankets and over 40,000 care items to children and their families across the Auckland region.

You can read more about Give a Kid a Blanket here.

QUICK NEWS OF INTEREST 

Reminder: annual returns due in December

If your charity has a balance date of 30 June, your annual reporting is due on 31 December 2020.

For help with your annual return refer to our booklet for Tier 4 charities: How to complete your performance report and your annual return.

We have also put together a one-page annual return checklist to help Tier 4 charities record the correct information over the course of their financial year to make it easier to complete their annual return and performance report.

There are also useful resources available for Tier 3 charities on our website. 

Guest blog: Innovation and best practice in charity reporting

The Charity Reporting Awards, organised by Chartered Accountants Australia and New Zealand (CA ANZ), recognise best practice among registered charities in meeting financial reporting standards. The winners and highly commended in the 2020 awards were announced earlier this year.

Dr Cherrie Yang, a judge for the 2020 New Zealand Charity Reporting Awards, wrote a guest blog reflecting on her experience as a judge. She outlines common issues in charity reporting and how charities can improve their reporting. Read the blog here: Innovation and best practice in charity reporting: Feedback on the 2020 Charity Reporting Awards.

Charity Reporting Awards

Has your charity done a great job on your financial reporting? Your efforts could be recognised in the 2021 New Zealand Charity Reporting Awards.

To enter, send through your financial statements (Tier 1 & 2) or your performance report (Tier 3 & 4) to charityreportingawards@charteredaccountantsanz.com. The report you enter must be the same as the report filed with Charities Services and available on the Charities Register for your most recent financial year.

Entries close on Friday 19 February 2021.

For any questions, please contact Maike Scherer from Chartered Accountants Australia and New Zealand at maike.scherer@charteredaccountantsanz.com. 

You can find out more about the Charity Reporting Awards here.  

Myth busting: advocacy

When we’re out and about, we often hear myths about what charities can and can't do.

This will continue to be a regular section of our newsletter where we explain some simple misconceptions and bust some myths about the obligations of charities.

This month, we'll focus on advocacy.

Advocacy

Charities can advocate for their charitable purposes. If you want to make a submission on legislation, seek to persuade people to change the way they act, publicly support or protest against a decision or policy, you as a charity simply need to ask one question:

“Are these activities clearly connected with my charitable purpose?”

If so – go ahead. The voices of charities are essential to the operation of our society.  

If you’re not sure - we’re happy to help. You can register for a general clinic, where you can talk through your questions with us over Zoom. You can register for a one-on-one clinic here.

If a group’s advocacy isn’t connected with a charitable purpose, then it’s not charitable. The only exception is if the advocacy is only a small part of what the charity does or is a one-off activity.

Charities can’t support, endorse or make donations to political candidates or parties, but there are plenty of ways they can get involved in elections. You can find more information about advocacy on our website.

Got questions? Confused about a particular activity? Please get in touch! We want to bust more myths, and make it easy to be a charity in Aotearoa.

Charity Law, Accounting and Regulation Conference 

The third annual Charity Law, Accounting and Regulation Conference was held on 4 November 2020 over Zoom. The conference is hosted by The Charity Law Association of Australia and New Zealand (CLAANZ), in collaboration with Chartered Accountants Australia and New Zealand (CA ANZ) and Charities Services, Ngā Ratonga Kaupapa Atawhai.

The theme of this year’s conference was how we can build back better. This theme was developed in response to the global pandemic, to focus on issues relating to COVID-19 and its impact. The conference brought together a wide range of voices and perspectives from professionals, charities and government. The conference provided opportunities for insightful conversation, allowing attendees to think about how we can build back better after COVID-19.

You can view the conference programme and watch the recordings of each session here.

Find us on social media

Do you follow us on Facebook?

On Facebook we share information, news and events relevant to charities. We also raise awareness about issues affecting the charitable sector. Follow us on Facebook to keep up to date.

We continue to share relevant information by email as we understand that not everyone in the sector uses social media.

UPDATES FROM WIDER GOVERNMENT

The changes to the Privacy Act 2020 mean all organisations (including charities) now have greater privacy obligations. The Act has been modernised to reflect the changing economic, technological and societal environment in Aotearoa.

The main changes to the Act that charities should be aware of include:

• If you disclose information overseas, you need to ensure there are similar privacy protections as in New Zealand
• It’s now mandatory to notify the Privacy Commissioner and those affected about privacy breaches that could cause serious harm
• The Privacy Commissioner can now require an organisation to give someone access to their personal information
• The Privacy Commissioner can now require an organisation to change their procedures to comply with the Privacy Act 2020
• Organisations can now refuse to provide personal information, if releasing it could create a serious threat to the health and safety of an individual or the public
• There are higher potential fines for offences.

It’s important that your charity’s officers understand what these changes mean for your charity. Find relevant information on the Privacy Act 2020 on the Office of the Privacy Commissioner website. There are many useful resources available, including this one page information sheet that outlines key changes to the Privacy Act: Privacy Act 2020 changes.

You can use the Privacy Commissioner's NotifyUs tool to report breaches. The tool also includes a self-assessment if you aren’t sure whether a breach might cause serious harm.

Trusts Act 2019

If your charity is a trust, or a trust registered under the Charitable Trusts Act 1957, the duties of your trustees are being clarified.

The Trusts Act 2019 replaces the Trustee Act 1956. The new Act comes into force on 31 January 2021, meaning trustees need to be aware the law that governs their trust has changed slightly.

The new Act aims to improve the governance of trusts by helping trustees understand their legal duties. The Trusts Act 2019 lists mandatory and default duties of trustees. Trustees’ duties are vital to the good governance of charities, so it’s important that trustees are aware of the recent changes to the Trusts Act.

You can find the Trusts Act 2019 here.

This resource from the Institute of Directors outlines key features of the Trusts Act 2019 that trustees need to know: What’s changing for trusts?

We will be publishing a blog on the changes to the Trusts Act, so keep an eye on our website. We will also include this blog in our next newsletter.

GOVERNANCE MATTERS

Whakanuia te tangata ringa raupā - Celebrate a person with calloused hands

2020 has been a year like no other. Earlier in the year, as New Zealand prepared to be locked down, we saw incredible leadership from charities that adapted quickly to meet the needs of their community.

The amazing efforts, the human response, and the care and concern for others highlight the value of the charitable sector.

Good governance is essential to running a great charity but this month we wanted to focus on saying thanks.

Please congratulate yourselves, your volunteers and your supporters.

Please celebrate your success – it is an important role you are performing and part of good governance is to celebrate your collective efforts.

Thank you for your mahi (work), dedication and commitment to the community when it was most needed.

We hope you can take some time out over the holidays and have a rest, you have all earned it. 

RESOURCES