A new Act to regulate NGOs had been approved by Cabinet but suspended on account of protests regarding some of the features in the new Act. There is confusion amongst planners and activists. Many have forgotten the letter and spirit of the term voluntary social services. This country from around the 1950s had a rich tradition of voluntary contributions by citizens. Due to the war and Tsunami terminology, frameworks and perceptions changed. A nexus between finances and organisations developed. Very many local entities were left out of these equations. It became unsustainable nominally the subject matter traditionally vested with the Ministry of Social Services.
Existing regulatory framework
Non-profits are formed and mostly registered through Acts of Parliament, Trusts, as CBO’s, Societies, Associations, with the Registrar of Companies or the Registrar of NGOs or willed in Estates of individuals. Currently tax on funds of NGOs is exempted if they are engaged in- poverty alleviation, underserved regions and communities; provision and facilitation of infrastructure and livelihood means including activities that meet basic needs of people particularly targeted at rural communities; management and protection of natural resources; enhancement and value added component for quality of life and increased levels of income of those in poverty; assistance to vulnerable and institutionalised children and those differently abled.
2015 Vision
One of the key issues to be resolved is the greater involvement of the hundreds of thousands on local village initiatives. The voluntary social services sector must take into full the benefits and the needs feeding up from Grama Rajya through up to national level. The government alone can’t do everything and a top-down state is too often oppressive rather than enabling. By involving more citizens in decision-making and allowing local providers, statutory and voluntary, to pool resources and deliver the best service then, we will be ensuring Local Governance in the Grama Rajiyas to generate the change required.
A framework of collaboration
A model/framework of collaboration, rather than competition, needs to be set up which would mobilize wider social forces to deliver outcomes. Targeted priority areas need to be identified to focus support where the need is greatest - the least affluent and disadvantaged communities, where there specific common hardships.
Collaboration with civil society - the voluntary sector, faith groups, trade unions, businesses - is needed. We need to see a fundamental change in the role business plays - not just more corporate social responsibility programmes but pursuing a purpose that serves society. In its simplest terms a civil society organisation is not a commercial organisation but is a ‘not for profit organisation.’
The framework envisaged should preserve the notions of volunteerism, charities and social enterprises found in the regions and should be registered where essential under the Voluntary Social Services Act. NGOs engaged in advocacy receiving funds should not come under the Voluntary Social Services Act. NGOs engaged in technical interventions should conform to national sector standards and maintain communication with mandated agencies of government.
All recipients of fund transfers from overseas should be filtered by the Central Bank through existing anti-money laundering and anti-terror filters.
A communication platform should provide technical educational content for civil society entities and highlight their work to generate, develop and showcase/share new ideas to help people to come together in their neighbourhoods to do good things. Where needed smaller entities requiring accounting and reporting services should be supported by a back office entity.
Civil Society organisations can be organised into specialist groups, and some may have the capability to span across several groups- vertically via specialist skills and horizontally via organisational levels. All Service providers need to be legally accountable for the services they provide.
Government – commercial – nonprofits should become partners in areas of comparative advantages which accrue the greatest benefit for the country. The spirit of volunteerism should be nurtured early for Voluntary Social services to survive in Sri Lanka.
The country should allow tax remissions for those funding Voluntary Social services and allow for families to bequeath assets for such work. Concepts such as social impact bonds should be introduced. The spirit of volunteerism should be promoted. The enterprise should not become bureaucratic.
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