The Charities Bill

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The Charities Bill
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Charities Bill

• Introduction
• September 2002 "Private Action, Public Benefit".
• September 2002 to January 2003 Public
  consultation
• July 2003 "Charities and Not-for-Profits a
  Modern Legal Framework"
• 27 May 2004 Bill published for scrutiny
• 30 September 2004 The Joint Committee's report
• 21 December 2004 Government's response

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Charities Bill

• Definition
• Preamble to the Statute of Charitable Uses 1601
  (Statute of Elizabeth I)
• Charity means an institution, which is
  established for charitable purposes only (Clause
  1)

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Charities Bill

• Definition
• A charitable purpose is for the public benefit
  and falls within any of the following
  descriptions of purposes
• (a) The prevention or relief of poverty
• (b) The advancement of education
• (c) The advancement of religion
• (d) The advancement of health
• (e) The advancement of citizenship or community
• (f) The advancement of the arts, culture,
  heritage or science
• (g) The advancement of amateur sport (physical
  skill and exertion)
• (h) The advancement of human rights religious
  or racial harmony
• (i) The advancement of environmental protection
  or improvement
• (j) The relief of those in need (age, health,
  etc)
• (k) The advancement of animal welfare (Clause 2)

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Charities Bill

• Definition
• The Charity Commission will issue guidance as to
  operation of public benefit requirement (Clause 4)

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Charities Bill

• The Charity Commission
• A new body corporate

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Charities Bill

• The Charity Commission
• The Commission objectives are
• 1. Public confidence
• 2. Public benefit
• 3. Compliance
• 4. Charitable resources
• 5. Accountability

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Charities Bill

• The Charity Commission
• The Commission's general functions are
• 1. Determination of charities.
• 2. Encouraging facilitating better charity
  administration
• 3. Identifying and investigating misconduct or
  mismanagement of charities
• 4. Determination of public collections
  certificates
• 5. Obtaining, evaluating and disseminating
  information.
• 6. Give information or advice the Crown

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Charities Bill

• The Charity Commission
• The Commission's general duties are
• 1. Act in a way which is
• (a) compatible and
• (b) appropriate to its objectives
• 2. Act in a way, which is compatible with the
  encouragement of
• (a) All forms of charitable giving, and
• (b) Voluntary participation in charity work.
• 3. Use its resources efficiently, effectively
  and economicly.
• 4. Manage its affairs according to principles of
  good corporate governance

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Charities Bill

• The Charity Appeal Tribunal
• Comply with Article 6

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Charities Bill

• Registration of Charities
• Every charity must be registered except
• any exempt charity (see below)
• any charity which is permanently or temporarily
  excepted by order of the Commission, and whose
  gross income does not exceed 100,000
• any charity which is permanently or temporarily
  excepted by regulations made by the Secretary of
  State and whose gross income does not exceed
  100,000
• any charity whose gross income does not exceed
  5,000

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Charities Bill

• A charitable appeal is not a public charitable
  collection if
• made in the course of a public meeting, or
• on land
• within a churchyard or burial ground or
• adjacent to a place of public worship or
• occupied for the purposes of a place of public
  worship or
• enclosed or substantially enclosed (whether by
  any
• wall or building or otherwise) or
• to which members of the public have access only
  by virtue of the express or implied permission of
  the occupier of the land and the occupier is the
  promoter of the collection or
• to give money or property by placing in an
  unattended receptacle

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Charities Bill

• Public Collections
• A collection in a public place is a collection
  for a charitable appeal that is made in a public
  place
• A door to door collection is a public collection
  for a charitable appeal that is made by means of
  visits to houses or business premises (or both)
• A charitable appeal means an appeal to members of
  the public to give money or other property which
  is made in association with a representation that
  the whole or any part of its proceeds is to be
  applied for charitable, benevolent or
  philanthropic purposes

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Charities Bill

• Public Collections
• A collection in a public place must not be
  conducted unless the promoters of the collection
  hold
• a public collections certificate and
• a permit from the local authority in whose area
  the collection is to take place.
• A door to door collection must not be conducted
  unless the promoters of the collection
• hold a public collections certificate in and
• have within the prescribed period before the date
  on which the collection commences notified the
  local authority in whose area the collection is
  to take place

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Charities Bill

• Public Collection Certificates
• Determination of applications by the Charity
  Commissioners
• Make inquiries
• Issue or refuse certificate for up to 5 years may
  to attach conditions.

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Charities Bill

• Public Collection Certificates
• Grounds for refusal
• a) The applicant has been convicted of an
  offence related to collections for charitable
  purposes
• b) The applicant is a person other than a
  charitable, benevolent or philanthropic
  institution for whose benefit the collection is
  proposed.
• c) The applicant has not act with due diligence
  in relation to another collection
• d) The Commission is not satisfied that the
  applicant will exercise due diligence in relation
  to this collection
• e) The amount likely to be applied to charitable
  purposes as a consequence of the collection would
  be inadequate regarding the amount likely to be
  collected
• f) It appears to the Commission that the
  applicant would receive an excessive amount in
  remuneration
• g) The applicant has failed to provide
  information or has provided false or misleading
  information.

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Charities Bill

• Public Collection Certificates
• Grounds for refusal
• A public charitable collection is an exempt
  collection if
• (a) The appeal is local in character
• (b) The appeal is conducted within the prescribed
  period of time
• (c) The promoters have notified the local
  authority in whose area it is to be conducted
  within the prescribed period before the day on
  which the collection commences

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Charities Bill

• Public Collection Certificates
• Withdrawal, addition or variation of certificates
  by the Charity Commissioners

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Charities Bill

• Public Collection Permits and Notifications
• Determination of applications by Local
  Authorities
• The application for a permit must
• (a) Specify the date or dates in respect of which
  it is desired that the permit, if issued, should
  have effect (which, in the case of two or more
  dates, must not span a period of more than 12
  months)
• (b) Be accompanied by a copy of the public
  collections certificate issues by the Charity
  Commissioners in respect of the proposed
  collection and
• (c) Contain such information as may be prescribed.

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Charities Bill

• Public Collection Permits and Notifications
• Determination of applications by Local
  Authorities
• A local authority may attach conditions
• (a) Specifying the day of the week, date, time or
  frequency of the collection
• (b) Specifying the locality or localities within
  their area in which the collection may be
  conducted
• (c) Regulating the manner in which the collection
  is to be conducted.

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Charities Bill

• Public Collection Permits and Notifications
• Determination of applications by Local
  Authorities
• Where a local authority
• (a) Refuse to issue a permit, or
• (b) Attach any condition to it,
• They must serve on the applicant written notice
  of their decision and the reasons for their
  decision.

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Charities Bill

• Public Collection Permits and Notifications
• Grounds for refusing permits
• A local authority may refuse an application
  because
• (a) It appears to them that the collection would
  cause undue inconvenience to members of the
  public by reason of
• (i) The day of the week or date on which,
• (ii) The time at which,
• (iii) The frequency with which, or
• (iv) The locality or localities in which, it is
  to be conducted
• (b) That the collection is to be conducted on a
  day on which another collection is to be
  conducted or on the day immediately before, or
  after, any such day.

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Charities Bill

• Public Collection Permits and Notifications
• Grounds for refusing permits
• A local authority must not, however, refuse to
  issue such a if it appears to them
• (a) That the collection would be conducted only
  in one location, which is on land to which
  members of the public would have access only by
  virtue of the express or implied permission of
  the occupier of the land, and
• (b) That the occupier of the land consents to the
  collection being conducted there and for this
  purpose the occupier, in relation to unoccupied
  land, means the person entitled to occupy it.
  (Clause 57)

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Charities Bill

• Public Collection Permits and Notifications
• Withdrawal, addition or variation of permits by
  Local Authorities

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Charities Bill

• Public Collection Permits and Notifications
• Appeals against decisions of local authority
• There is a right of appeal to the magistrates'
  courts against a local authority decision.
  (Clause 59)

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Charities Bill

• Go to the Charities Web site (Click on address
  below)
• http//www.charity-commission.gov.uk/
• You will see at a list of the right hand side of
  the home page - not the following items
• The Charity Register
• Inquiry Reports
• Registering as a charity
• How to be an effective Trustee - information.
• Charities Bill Update - dissertation!?