1. Now that you’re registered Matt Crichton | Communications Officer Anne Duffy | Advice Services Officer Amanda Watkins I Senior Manager, Compliance Regina Rutten | Legal Counsel Caitlin Patterson | Advice Services Officer 5 April 2016

2. About the ACNC What we do Register new charities Maintain the ACNC Charity RegisterProvide guidance, education and adviceMonitor compliance (and manage non-compliance)Reduce red tape for charities

3. The first steps –Your volunteers? –Your staff? –Your responsible persons? Think about who at your charity needs to be aware of the obligations your charity has. 1

4. Your responsible persons are the people who are responsible for governing your charity. Generally, responsible persons are: board or committee members trustees, or directors. acnc.gov.au/responsiblepersons

5. The first steps Find out what your obligations are Remember when your obligations need to be met Think about how you will meet your obligations 2 3 4

6. Why we have obligations As a charity, you want to do good work and to help the community The benefits of being a registered charity (e.g., tax concessions) makes this easier The public expects that charities will use these befits to help the community Meeting obligations helps to show the community that you are meeting their expectations.

7. Keeping charity status All registered charities must maintain their entitlement to be registered. This means: Being a charity –Remaining not-for-profit –Having a charitable purpose which is for the public benefit Meeting the governance standards Not being involved in terrorist or other criminal activity acnc.gov.au/staycharitable

8. Keep records Your charity needs to maintain: Operational Records Record and explain what your charity has done (its activities) For example: annual reports, meeting agendas and minutes, operational plans, reports from events, client records etc. Financial records Record and explain your charity’s financial position and any transactions For example: financial statements, cash flow statements, bank statements, details of any contracts, leases etc. acnc.gov.au/recordkeepingchecklist

9. Challenges for board members !Not keeping appropriate records Case Study Not keeping records at all Records are inaccurate or incomplete Records are kept in an inaccessible way

10. charity.acnc.gov.au The Charity Portal Most of your charity’s obligations can be completed online through the ACNC Charity Portal.

11. Report each year You must submit a report to the ACNC every year – an Annual Information Statement (AIS) which includes:  Simple questions about your charity’s activities, beneficiaries, operating locations and finances  A financial report (medium and large charities only) You can submit your AIS online through the Charity Portal. acnc.gov.au/reporting

12. Your Annual Information Statement (AIS) is due within six months of the end of your reporting period. (e.g. If your reporting period finishes on 30 June, your AIS is due by 31 December that year) Doing your AIS after your Annual General Meeting (AGM) can be a good way to remember when it’s due. !

13. About charity size Small Annual revenue is less than $250 000 Medium Annual revenue is $250 000 or more, but less than $1 million Large Annual revenue is $1 million or more acnc.gov.au/charitysize acnc.gov.au/forms

14. Notify us of any changes You must notify the ACNC if certain things change at your charity such as its: legal name address for service governing documents, or responsible persons. acnc.gov.au/notify ! You must also notify us if you think you have breached the ACNC Act or the governance standards

15. You must notify the ACNC of these changes as soon as possible, but no less than: 60 days (for small charities), or 28 days (for medium and large charities) Identify key dates when things are likely to change your charity, such as at your Annual General Meeting, to make sure you don’t forget! !

16. The 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

17. Duties of responsible persons 1 Act with reasonable care and diligence 2 Act honestly and fairly in the best interests of the charity and for its charitable purposes 3 To not misuse your position as a responsible person 4 To not misuse information you gain in your position as a responsible person 5 Disclose conflicts of interest 6 To ensure that the financial affairs of the charity are managed responsibly, and 7 Not to allow the charity to operate while it is insolvent.

18. Your charity must be meeting the governance standards immediately and on an ongoing basis. Consider revisiting the governance standards every time you appoint new responsible persons, such as after an election. !

19. Challenges for board members ! Not knowing and meeting your duties as a responsible person Case Study Responsible persons don’t know their duties No opportunity to learn about duties or access resources No process for raising concerns about the management of a charity

20. Challenges for board members !Not being accountable to your members Case Study Not providing members with information about activities and key decisions Not holding AGMs Not providing members with the opportunity to ask questions and raise concerns about the charity’s governance

21. Risks of non-compliance  Difficulty in achieving your charity’s purpose  Damage to your charity’s reputation  Potential harm to your beneficiaries  Increased vulnerability to fraud  Revocation of charity status, and  Potential criminal proceedings. acnc.gov.au/governancetools

22. How we can help If you think your charity has or is going to fail to meet its obligations, notify us. The ACNC works with charities to help get them back on track.

23. More information ►acnc.gov.au/ongoingobligations ►acnc.gov.au/governancetools ►acnc.gov.au/responsiblepersons ►acnc.gov.au/governancestandards ►acnc.gov.au/reporting ►acnc.gov.au/recordkeepingchecklist ►acnc.gov.au/notify ►acnc.gov.au/webinars ►acnc.gov.au/register ►acnc.gov.au/forms

24. Keep in contact with the ACNC Commissioner’s Column, email updates, Quarterly Update Web guidance 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

25. THANK YOU Next webinar Who regulates charities? A webinar looking at the different agencies involved in regulating and endorsing charities Tuesday 3 May 2015, 12.00pm to 1.00pm Register at acnc.gov.au/webinars education@acnc.gov.auacnc.gov.au/webinars