Is Your Association Compliant?
- Dwayne Wescombe
- Feb 27, 2019
- 2 min read
As a Director/Board Member of an Association are you aware of your organisations compliance requirements? Is your organisation compliant?
Late this afternoon I became aware of a not-for-profit organisation that was not yet aware that the Western Australian Associations Incorporation Act was updated in 2015 and that the deadline for compliance with Schedule 1 of this new Act is June 30 this year.
If you haven’t gathered, this has made me angry – 4 years to become compliant, with information flooding every communication avenue you can think of, and with 4 months to go they have only just become aware that their constitution needs to change.
Sorry, but this just isn’t good enough –
and if this touches a nerve
for you, then good.
There is no excuses for ignorance either under their own due diligence or under the Law.
I understand that not every Director/Board Member has a strength in compliance, however it continues to amaze me how many not-for-profit Boards, of primarily small organisations, that are not even aware of their minimum legal obligations, never lone what constitutes good governance standards.
My opinion, as a minimum every organisation MUST have:
At least one Board Member skilled and experienced in not-for-profit compliance and governance.
At least one senior staff member skilled and experienced in not-for-profit compliance and governance.
An annual compliance audit – an internal audit if the skills exist within the organisation, otherwise use the services external party.
Access to appropriate external parties to assist in maintaining compliance and making the organisation aware of any upcoming compliance changes and/or issues that need to be addressed.
Budget allowances for appropriate external expertise when and if required – e.g. organizational compliance, accounting/finance, taxation, legal etc.
Membership of a Peak or Industry Body.
I don’t believe the above requirements are negotiable in any way – it’s the absolute minimum required.
I am passionate about seeing not-for-profit organisation flourish by having dynamic, active Boards who operate under full compliance and under good governance standards.
Please share your thoughts in the comments section below - I learn just as much from you as you do from me.
If this is an area in which TakeControl Solutions may be of assistance to your organisation please do not hesitate to contact me.
Dwayne Wescombe – Managing Director
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