Productivity Commission Releases Issues Paper on NFPs

The Productivity Commission has released an issues paper for its study into the Contribution of the Not for Profit Sector. The Rudd Giovernment announced the study in March saying it acknowledges the changing relationships between government, business and community organisations and wants to explore their impacts and future opportunities for optimising such relationships to further the well-being of society. The Productivity Commission has been requested to undertake a research study on the contributions of thesector with a focus on improving the measurement of its contributions and on removing obstacles to maximising its contributions to society. In undertaking the study, the Commission is to: – assess the extent to which the Not for Profit sector’s contributions to Australian society are currently measured, the utility of such measurements and the possible uses of such measurements in helping shape government policy and programs; – consider alternatives for, or improvements in, such measurements or further quantitative and/or qualitative means of capturing the sector’s full contribution to society; – identify unnecessary burdens or impediments to the efficient and effective operation of community organisations generally, including unnecessary or ineffective regulatory requirements and governance arrangements, while having regard to the need to maintain transparency and accountability; – consider options for improving the efficient and effective delivery of government funded services by community organisations, including improved funding, contractual and reporting arrangements with government, while having regard to the need for transparency and accountability; – examine the changing nature of relationships between government, business and community organisations in recent times, their general impacts, and opportunities to enhance such relationships to optimise outcomes by the sector and its contribution to society; – examine the extent to which tax deductibility influences both decisions to donate and the overall pool of philanthropic funds; and – examine the extent to which tax exemptions accessed by the commercial operations of Not for Profit organisations may affect the competitive neutrality of the market. The Commission is to produce and publish a draft report and final report by the end of 2009. The issues paper can be downloaded at http://www.pc.gov.au/projects/study/not-for-profit/issues