An Accord between the Government of Canada and the Voluntary Sector

Signed in December 2001, An Accord Between the Government of Canada and the Voluntary Sector is a framework document that sets out the values, principles, and commitments that will guide this relationship. The Accord represents a public commitment to more open, transparent, consistent, and collaborative ways for the voluntary sector and the Government of Canada to work together.

After the Accord was signed, two Codes of Good Practice were developed as tangible, concrete tools for both the government and the voluntary sector. A Code of Good Practice on Policy Dialogue encourages voluntary sector participation in the public policy process. A Code of Good Practice on Funding guides the funding aspect of the relationship between the voluntary sector and the Government of Canada and reinforces their respective accountabilities.

The Charities Directorate of the Canada Revenue Agency (CRA) deals directly with approximately 81,000 federally registered charities--a group of organizations that represents about half of the voluntary sector. Prior to the Accord and Codes being developed, the CRA had already begun to change the way it conducted its business in order to be more open and transparent. The following list provides some examples of specific and ongoing activities related to implementing the Accord and Codes of Good Practice.

• The Charities Directorate has made efforts to ensure that all its employees, as well as charitable organizations, are aware of both the Accord and the Codes of Good Practice.
• The Charities Advisory Committee was formed in March 2004. It provides a vehicle to identify and discuss emerging issues and trends regarding regulatory oversight of the charitable sector, review compliance patterns and recommend enhancements, facilitate dialogue on administrative policy, and provide advice on developments and trends in the sector that may impact on CRA policies and programs.
• A Charity Representative position was created in the Charities Directorate to provide clients with an additional point of contact for registering their complaints and concerns on the following issues:
  • Service standards that have not been met
  • Clients that feel they have not been treated in a fair, transparent manner
  • Information provided that was incomplete
  • Other complaints of a general nature
• A Technical Issues Committee was created in spring 2004, comprising members of the voluntary sector and Policy and Legislation Branch officials, to discuss technical issues related to applying the provisions of the Income Tax Act to charities.
• All available policy documents have been posted on the Charities Directorate Web site to increase transparency and help the public and sector understand how charities are regulated.
• The principles of the Code of Good Practice on Funding were considered and incorporated into the development of new programs.
• Consultations with the sector on items such as policy development, public education, and outreach activities continue as the need arises.
• Draft policies are posted on the Charities Directorate Web site for consultation prior to finalization.

The Charities Directorate is committed to respecting the Accord and its related Codes of Good Practice. These tools will help strengthen the ability of the charitable sector, the Charities Directorate, and the CRA to better serve Canadians and will ensure a more effective regulator-client relationship.

To find out more about the Accord and Codes of Good Practice and to access the 2003 and 2004 annual reports, please visit the Voluntary Sector Initiative Web site at: www.vsi-isbc.ca/eng/relationship/accord.cfm.