1. Welcome to the board Samantha LawryManager, Guidance and Education Manori GuntilakeCommunications Officer 9 March 2016

2. Overview The ACNC and your charity Your duties to your charity Key points for board members More information 1 2 3 4

3. The ACNC and your charity 1

4. The ACNC and your charity What we do 1 Register new charities 2 Maintain the ACNC Charity Register 3 Provide guidance, education and advice 4 Monitor compliance (and manage non-compliance) 5 Reduce red tape for charities

5.  Maintain charity status  Keep records  Report annually (AIS)  Notify us of changes  Meet governance standards The ACNC and your charity Charity obligations to the ACNC charity.acnc.gov.au

6. The ACNC and your charity ACNC governance standards Charities must meet a set of core, minimum standards that deal with how charities are run. 1Purposes and not-for-profit nature of a charity 2Accountability to members 3Compliance with Australian laws 4Suitability of responsible persons 5Duties of responsible persons acnc.gov.au/governancestandards

7. Your duties to your charity 2

8. Your charity You Public ACNC Beneficiaries Other agencies Duties Trust Duties Trust

9. Your duties to your charity ACNC governance standard 5 1 Act with reasonable care and diligence 2 Act honestly in the best interest of the charity and for its charitable purpose 3 To not misuse your position 4 To not misuse information you gain in your position 5 Disclose conflicts of interest 6 To ensure financial affairs are managed responsibly 7 Not to allow the charity to operate while it is insolvent.

10. What board members do As a group  Set the long term strategy  Ensure accountability within the charity  Ensure that the charity is compliant  Source and protect resources  Monitor progress towards goals  Lead the charity’s approach to risk

11. What board members do As individuals  Prepare for and attend board meetings  Keep informed about the charity  Listen to and participate in discussion  Make decisions as a group  Vote, where required, to make decisions  Participate in the work of sub-committees

12. Key points for board members 3

13. Know your charity’s purpose and work towards it Governance standard 1

14. Your charity’s governing documents may have its purpose listed acnc.gov.au/charitablepurpose

15. Know your purpose and work towards it What you can do  Know your purpose  Be familiar with any documents that explain it  Consider how any decisions align with it  Regularly review if you are working towards it ? How will this decision contribute to my charity’s purpose?

16. Ensure the charity remains not-for-profit Governance standard 1

17. Ensure the charity remains not-for-profit What you can do ? Does my charity use its money and assets solely for its charitable work?  Include not-for-profit clauses  Have a policy to prevent private benefit  Keep everyone informed about being a NFP  Establish financial controls acnc.gov.au/notforprofit

18. Ensure the charity is accountable to members Governance standard 2

19. Be accountable to your members What you can do ? How can the charity’s members find out about its work and ask questions?  Have a policy around how to respond to members  Provide regular reports on activities  Hold meetings with your members  Provide opportunities for questions

20. Act with care and diligence as a board member Governance standard 5 Duty 1

21. Act carefully and diligently What you can do  Participate actively in meetings and discussions  Do your research  Ask questions and test assumptions  Identify any risks ? Would somebody observing me as a board member think that I am careful and diligent?

22. You can seek and rely on expert advice but must act with reasonable care and diligence

23. Manage conflicts of interest Governance standard 5 Duties 2 and 5

24. Your charity Other interests Managing conflicts of interest What it means Conflict

25. Actual You are being influenced Potential You could be influenced Perceived You could appear to be influenced Managing conflicts of interest The three types

26. Managing conflicts of interest Example Healthy Hospital Rajsri’s Practice Interest Duty Interest Conflict

27. Managing conflicts of interest What you can do  Be aware of any interests you have that could influence you as a board member  Disclose any conflicts of interests  Ensure there is a policy on conflicts of interest  Maintain a register of interests ? Does my charity have a process to manage conflicts of interest when they arise?

28. Manage your charity’s finances responsibly Governance standard 5 Duties 6 and 7

29. You must have a basic level of financial literacy to make informed decisions

30. You do not need the same level of expertise as an accountant

31. Insolvency is when your charity cannot pay its debts as and when they are due Cash Due debts

32. Managing finances responsibly What you can do  Read your charity’s finances  Ask questions if you don’t understand something  Consider how any decision you make could impact on your charity’s financial health  Know whether your charity is solvent ? Do I understand my charity’s financial position and how my decision will affect it?

33. Know your charity’s purpose Ensure your charity is a not-for-profit Be accountable to your members Act with care and diligence Manage conflicts of interest Responsibly manage your finances

34. More information 4

35. /ongoingobligations /governancestandards /manage /protect /tools /clg acnc.gov.au More information Visit our website

36. acnc.gov.au/webinars 13 ACNC (13 22 62) 9.00 am – 6.00 pm AEST advice@acnc.gov.au facebook.com/acnc.gov.au @acnc_gov_au youtube.com/ACNCvideos More information Contact the ACNC

37. THANK YOU Next webinar Tuesday 5 April 12.00 pm to 1.00 pm Now that you’re a registered charity Register at acnc.gov.au/webinars