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STATES OF JERSEY
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JERSEY CHARITIES COMMISSION: FEASIBILITY STUDY
Lodged au Greffe on 12th February 2008 by Deputy I.J. Gorst of St. Clement
STATES GREFFE
PROPOSITION
THE STATES are asked to decide whether they are of opinion
t o r e quest the Chief Minister to undertake a feasibility study into the creation of a Jersey Charities
Commission and, if appropriate, to present proposals to the States for approval within 3 months regarding the establishment of such a Commission.
DEPUTY I.J. GORST OF ST. CLEMENT
REPORT
The Council of Ministers and others are currently consulting on proposals regarding the registration and monitoring of Non-Profit Organisations; the proposals are designed to enhance the Island's legislative framework to counter the use of non-profit organisations in terrorism. The consultation document proposes the Jersey Financial Services Commission as the appropriate body to undertake this registration and monitoring.
Over the years various bodies and individual States Members have called for the setting-up of a Jersey Charities Commission, this has mostly been rejected, not because of its benefits, but because of concern around bureaucracy and the placing of an unnecessary burden upon some of Jersey's smaller charitable organisations. These factors, coupled with the inability to reach a consensus of views about a Commission's benefit within the charitable sector of Jersey, have meant that no progress has been made.
The consultation document again states that the Council decided against a statutory body on economic grounds. It does not go into any detail about what those economic grounds might be, nor does it balance that with the benefit of a statutory commission. However, the proposed legislation will itself add to the administration burden of charities, albeit only slightly in the cases of those charities undertaking low risk activities.
It is my opinion that if we, as a government, and Island, are serious about protecting the reputation of Jersey's non-profit organisations, of ensuring that they are not over burdened with administration, and ensuring that donors remain confident that their donations are being used in line with best practice, then we must now seriously consider the creation of a Jersey Charities Commission.
This is an appropriate time to consider the whole legislative framework within which charities in Jersey operate and not just take a piece-meal approach to meet one particular obligation. This proposition therefore calls upon the Chief Minister to undertake a feasibility study into the creation of a Jersey Charities Commission. This should not be an erroneous task. It will require liaising with the Jersey Association of Charities, who I am sure, could quite easily canvas the opinions of its members. The Jersey Law Commission has already produced a consultation document (attached at the Appendix to this report) which could simply form a starting point for the study.
I am aware that the Council of Ministers is working to a deadline of the IMF visit in October 2008, which is why I propose that the work is undertaken within 3 months. If the study proposes the creation of a Commission, then time would still remain to be well on the way to at least be able to have approved the legislation in short order. I leave it to the Chief Minister and his advisers to indicate if, in his opinion, the timing of the creation of a Commission would satisfy the requirements of the 9 Special Recommendations.
I trust that members will agree that this is a serious and important matter and one which must now be dealt with fully.
Financial and manpower implications
There are minimal manpower or financial implications arising from this proposition to undertake a feasibility study which could be met out of existing budgets and manpower provision. Should the feasibility study recommend the creation of a Jersey Charities Commission, then there will be the inevitable Law Drafting and set- up costs. With regard to the long-term running of any Commission I do not believe that they would be any greater than the currently anticipated costs of using the JFSC as envisaged in the NOP consultation draft. I further believe that in practice it is likely that the role of Commissioners will be filled in an honorary capacity, as in probability would day-to-day administration.
APPENDIX