Respected social justice and public interest advocate Susan Woodward has been named the new permanent head of the Australian Charities and Not-for-profits Commission (ACNC), as the Albanese government moves to put its regulatory stamp on the social good sector.
The appointment installs a permanent head in the key position, with Woodward appointed for a five-year term, having previously worked at the ACNC after its establishment as its director of policy and red tape reduction for three years until 2015.
The regulatory office is not for the faint-hearted because of the substantial political and corporate muscle that parts of the charities sector routinely puts into play to ward off attempts to expose its workings and how funds are administered and controlled.
Many charities, including faith-based organisations, have also become corporatised high-street retail chains like the Vinnies and Salvos brands, on the basis that they achieve greater social effect by increasing their cash flow for distribution rather than supplying cheap and affordable second-hand items.
The ACNC’s creation, which came partly in response to a growing number of scandals and scam operators that operated with relative ease prior to the creation of the official charities register and regulation of entities claiming charitable and non-profit status, has never been uncontroversial.
In 2014 there was a push concerted lobbying push to heavily rein in the regulatory body after the Coalition was elected; however, it ultimately survived.
Labor is widely expected to bring some order and regulatory discipline to the sector that, although governed by the ACSC, usually relies on a range of other regulators for direct enforcement, such as the Australian Competition and Consumer Commission, Australian Securities and Investments Commission and state-based regulators.
One of the big challenges with scams and dodgy operators is regulatory coordination to weed out pests and predators, an area many believe needs better resourcing.
“The Albanese Government believes in the value that charities bring to our economy and society, and respects their role in our democracy,” assistant minister for Competition, Charities and Treasury Andrew Leigh said.
“The ACNC is the independent national regulator of charities, and works to support a strong, independent and innovative not-for-profit sector. It is vital for Australia that the ACNC be headed by an experienced leader, who commands broad respect across the Australian community sector.”
Treasury also has an eye on the sector, not least because of the tax breaks afforded to some not-for-profits that can have massive cash flows — the clubs industry being one such example.
“The charity and non-profit sector comprises around one-tenth of employment, and a significant amount of GDP, Leigh said.
Woodward replaces Deborah Jenkins, who has filled the role of acting ACNC commissioner for the past few months as the appointment of a permanent head was sorted out.
:
Resignation of ACNC commissioner welcomed by assistant minister
Any feedback or news tips? Here’s where to contact the relevant team.