Modern Australian
Men's Weekly

.

New electoral law could still hobble charities

  • Written by Krystian Seibert, Industry Fellow, Centre for Social Impact, Swinburne University of Technology
New electoral law could still hobble charities

The Joint Standing Committee on Electoral Matters has released its report into the Electoral Legislation Amendment (Electoral Funding and Disclosure Reform) Bill 2017.

The bill seeks to ban foreign donations to political parties and their “associated entities”. But it also seeks to capture organisations, including charities, that undertake public advocacy on policy issues.

While much of the media attention has focused on the foreign donation ban, the bill also introduces a new compliance framework for such actors. This applies irrespective of whether they receive foreign donations or not.

The inquiry received over 200 submissions from a diverse range of charities, not-for-profit organisations, think tanks and legal experts. Most expressed major concerns about the complex and burdensome nature of the proposed compliance framework, and the “chilling effect” it could have on advocacy by charities in particular.

The committee made 15 recommendations in its report, released on Monday. It provided in-principle support for the bill’s passage, subject to the recommendations being adopted.

Read more: Ban on foreign political donations is both too broad and too narrow, and won't fix our system

The recommendations are a step in the right direction, responding to many of the concerns raised in the inquiry. But they are light on detail, and much will depend on how the government responds to them.

Contrary to what the chair of the committee, Senator Linda Reynolds, has stated, a number of the recommended changes are complex. This is particularly the case with redefining “political expenditure”, a key term that underpins almost the entire bill.

What is ‘political expenditure’?

If a charity or other organisation incurs “political expenditure” above $13,500, then it becomes subject to the bill’s compliance framework. Additional requirements are imposed for those incurring more than $100,000, but the committee recommended this level be reviewed.

The definition of this term is unclear. It’s also potentially very broad. It includes any expenditure on the public expression of views on an issue that is “likely to be before electors in an election”, regardless of whether an election has been called. This could include activities such as publishing reports advocating for changes to government policies, media engagement, advertising and potentially even paying staff to do this work.

A big problem is that the bill provides no guidance on the specific types of activities that are captured, nor how a charity is meant to look into the future and predict whether an issue is “likely to be before electors in an election”.

This makes it almost impossible for a charity to know with any certainty whether it’s complying with the definition.

The Australian Electoral Commission provided a supplementary submission to the inquiry, setting out the seven steps it uses to interpret the definition.

But it’s complicated and unworkable, and involves looking at different party platforms to assess how topical an issue may be. A leading constitutional law expert, Professor Anne Twomey, has extensively critiqued it.

It’s therefore not surprising that the committee recommended the definition be amended to make it more precise. The aim would be to ensure it applies only to:

expenditure undertaken to influence voters to take specific action as voters, so as not to capture non-political issue advocacy.

However, this will be no simple task, as the line between the two is not clear.

For example, if a charity produces a document outlining the positions of different political parties on the issue of homelessness, how would that be defined? Arguably, it is just providing information to voters, rather than influencing them to “take specific action as voters”.

What should be done?

Although the committee made a laudable attempt to address the various flaws in the bill, there is no quick fix.

Given the key term underpinning the bill is flawed and cannot be easily redrafted, the best outcome would be for it to be withdrawn.

This would allow for more public consultation and the preparation of a comprehensive regulatory impact statement. This would quantify compliance costs and consider alternative policy options.

If the government won’t withdraw the bill, it at least needs to act on each of the committee’s recommendations. In doing so, it should undertake public consultation on the detail of any amendments and seek a genuine outcome that ensures advocacy by charities and other organisations isn’t stifled.

Read more: Federal government's foreign donations bill is flawed and needs to be redrafted

More broadly, it’s arguable that the entire premise for increased regulation of non-political party actors such as charities and other organisations is flawed.

Few would argue against the need for some basic disclosure requirements regarding their direct electioneering activities, to provide transparency about the origin of the funds used for these activities. But these requirements already exist.

It’s not clear why a new compliance framework is needed to further burden these organisations, made up of people coming together to participate in our democratic processes. This is something explored in a US context in the book Unfree Speech. It argues against increased regulation because it restricts the free exchange of views, which is meant to be a cornerstone of democracy.

The argument for increased regulation of charities, including banning them from receiving donations from international philanthropy for use towards “political expenditure”, is particularly weak. By their very nature, charities exist for the public benefit. They are not permitted to have politically partisan purposes under the Charities Act 2013.

There is no evidence that international philanthropy is using Australian charities to subvert our democracy. On the contrary, the support it provides helps charities advocate on important issues such as the role of Australian aid.

Regulation can have benefits, but it can also have costs. If this bill becomes law, the cost could be a less vibrant democracy, with fewer voices willing to debate the policies that will shape our nation’s future.

Authors: Krystian Seibert, Industry Fellow, Centre for Social Impact, Swinburne University of Technology

Read more http://theconversation.com/new-electoral-law-could-still-hobble-charities-93788

How Maths Tutoring Can Help Students Master Maths

Mathematics can be a daunting subject for many students, often causing stress and frustration. However, maths tutoring has proven to be an effective...

Refurbished iPads Are Better Than New Ones (Here's Why)

Image by rawpixel.com on Freepik Apple's refurbished iPad program has quietly become one of the best deals in tech. While everyone obsesses over the ...

Your Guide to Finding the Right GP: What Perth City Doctors Offer Today

Choosing a General Practitioner (GP) is one of the most important health decisions you’ll make. Luckily, Perth’s vibrant CBD now hosts a new ge...

Why Every Mining Operation Needs a Robust Safety Management System

Mining is one of the backbones of the Australian economy, particularly in Western Australia. Back in 2019-20, mining contributed 10.4% of Australia...

Australian Classic Literature Enjoys Resurgence

Welcome back to the good old days of storytelling! As the modern world becomes increasingly more demanding, returning to childhood favourites offers...

How to Choose the Right Lawyers in Sydney for Your Situation

When faced with a legal issue, selecting the right legal representation can make all the difference. Whether you're dealing with a personal injury, ...

Building a Governance Model for Headless Content Management at Scale

Image by pch.vector on Freepik There's never been a better time to implement a headless content management system (CMS) to gain the flexibility and ...

Understanding Trade Insurance: Essential Protection for Businesses

Image by Drazen Zigic on Freepik In the current economic environment, trade insurance is an important element for companies trading both locally an...

Choosing the Right Timber for External Cladding

Timber cladding is one of those finishes that pulls double duty: it makes a building look warm and welcoming, and it quietly shields the frame from ...

Top Services Offered by Diesel Mechanics in Brisbane

Keeping a diesel vehicle running at its best takes more than the occasional oil change. When you invest in regular specialist care, you protect the ...

Top 5 Benefits of Hiring Professional House Removalists

Moving day should feel like the start of a new adventure, not the end of your patience. Yet once the settlement papers are signed and the champagne ...

Navigating the Digital Landscape: Managed IT Solutions and IT Services in Townsville

As technology advances at an unprecedented pace, companies must adapt to embrace the transformation ahead. With an evolving technology landscape, mana...

Types of Catering You Should Consider for Your Next Event

Choosing the right type of catering service can elevate your event from ordinary to unforgettable. Whether it’s an elegant wedding, corporate func...

Understanding the Benefits of Split System Installation for Your Home

Climate control is essential to maintaining comfort in your home, especially during the extreme temperatures that many regions face. Whether you’r...

Best Aluminium Window Sliding Designs for Natural Light and Airflow

Bringing natural light and airflow into a space is one of the most efficient ways to create a healthy and comfortable home. In Sydney and across Aus...

Maximising Operational Efficiency: Electric Winch Hire Australia and Hydraulic Power Pack Hire Solutions

Image by jcomp on Freepik From urban construction sites and remote mining operations to coastal maritime facilities, specialised equipment solutio...

Navigating the System: Your Guide to Support Finding Work with a Disability Around Melbourne

Image by freepik Finding the right job can be a challenge for anyone, but it can feel particularly daunting when you're also navigating life with a ...

Say Goodbye to Draughts and Hello to Savings: Your Guide to Perth Window Replacement

Image by prostooleh on Freepik Are your windows looking worse for wear? Are you paying a hefty power bill due to sneaky draughts and poor insulation...