Teri KirkVice President, Imagine Canada

First LINC Administration Conference: Taking the LeadFriday March 9th, 2007

The Federal Accountability Act

Funding and Accountability Issues for NGOs & Community Organizations

Impact of FAA on Government Relations for NGOs & Community Organizations 2

Agenda

1.0 Imagine Canada and the Community Nonprofit Sector

2.0 Impact of the Federal Accountability Act and Action Plan

Impact of FAA on Government Relations for NGOs & Community Organizations 3

Imagine Canada

• A national voice for the Sector

• Champion the work of Canada’s charities, nonprofit organizations and socially conscious businesses in our communities.

• 1100 members

• Imagine Canada Caring Companies™

Impact of FAA on Government Relations for NGOs & Community Organizations 4

The Community Nonprofit Sector

• 161,000 registered charities and nonprofit corporations + 750,000 unincorporated community organizations

• 22.2M donors and $8B donations/year

• 11.8M volunteers and 2B hours of volunteer time

• 2M full time equivalent workers

• 11.1% of the economically active population

• 7.1% of GDP

Impact of FAA on Government Relations for NGOs & Community Organizations 5

Sector Activities

2%1%1%

2%3%3%

5%5%

8%9%

10%12%

19%

21%

0% 5% 10% 15% 20% 25% 30%

OtherHospitals, Universities & Colleges

InternationalLaw, Advocacy & Politics

EnvironmentHealth

Education& ResearchBusiness, Profess. Assoc, Unions

Development & HousingArts & Culture

Grantmaking, Fundraising, VoluntarismSocial Services

ReligionSports & Recreation

Pri

ma

ry A

cti

vit

y A

rea

Percentage of Organizations

Impact of FAA on Government Relations for NGOs & Community Organizations 6

The New Federal Accountability Regime

Impact of FAA on Government Relations for NGOs & Community Organizations 7

1. Balancing Rules vs. Results

Need to remind governments about the merits of:

• community outcomes vs. paper work

• innovation vs. rule-following

Impact of FAA on Government Relations for NGOs & Community Organizations 8

2. Reducing Red-Tape and the “web of rules”

Blue Ribbon Panel on Grants and Contributions ( FAA Rules):

• Excellent Panel, Process and Report.

• Rising concerns about Implementation by TBS.

Impact of FAA on Government Relations for NGOs & Community Organizations 9

3. Funding

• Total sector revenues: $120B/year

• 49% private/ 51% public: 44% provincial/ municipal + 7% federal

• G&Cs: Administration/ amounts

• Tax Measures: Leverage private giving

• Investments: Sector Strategies and Investment

Impact of FAA on Government Relations for NGOs & Community Organizations 10

4. New restrictions on use of federal funds

Grants and Contributions

• Prohibitions on use of federal funds for any “lobbying and advocacy” of any government.

• Significant impact especially on research and advocacy NGOs like CCSD, CPRN, women’s, childcare and environmental NGO’s.

Impact of FAA on Government Relations for NGOs & Community Organizations 11

Thank you.

Imagine Canada. www.imaginecanada.ca