Understanding the new regulator (the ACNC), its power and responsibilities - Part 3
Nick Miller, Partner, Clayton Utz
Simon Bowden, Senior Associate, Clayton Utz
One of the other significant changes I think for organisations is going to be the governance controls that the ACNC will be charged with regulating as well.
Yes, what is going to be a precondition to registration with the ACNC is that each organisation has in place governance arrangements which comply with the provisions of the legislation. Now as we stand here, in late February we don’t have that section drafted at all so there is a consultation paper which was issued in December and that gives some shade to what those governance arrangements might look like, that organisations will have to comply with seemingly from 1 July 2012 but there's a lot of flexibility to form the bones of that. At the present time, not-for-profits can come in a variety of different entity types and the objective is impose some level of standardisation across the not-for-profit sector with the governance standards and obligations that will apply to all entities that attain tax benefits or concessions.
You might also be interested in...