Public Policy Sources #31:
Conclusion

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Having examined the Panel’s consultation paper and the final report, one could be forgiven for remarking that the proposed Volunteer Sector Commission appears to be an organization looking for a mission. The Panel’s preference for a VSC was clear in the consultation paper, and this model emerged as the final report’s recommendation despite the fact that apparently more support was expressed during the consultation process for a non-governmental agency. Neither in the consultation paper nor in the final report is any convincing argument made for the establishment of a VSC with such wide powers. Indeed, centralizing as many functions in one agency as possible seems to have been an idée fixe of the Panel, for no consideration was given to options involving decentralization and specialization.

As well, the Panel argued that the VSC be established rapidly, despite the lack of any urgent need to abandon deliberation, and in contradiction with its own recommendation that federal-provincial agreement on a range of issues be reached before the establishment of the VSC. What is more, the Panel’s published work takes no account whatsoever of the serious deficiencies in the practical application of the model it proposes, as exemplified by the Charity Commission of England and Wales.44 It is difficult to view such an omission in a positive light.

This being the case, it is essential that Parliament scrutinize extremely closely the Panel’s recommendation that a new VSC be formed. A change of this nature would have substantial impact on the sector and on its relations with governments. There is no crisis demanding rapid action, and no need to rush into something that quite clearly has not been justified by the evidence and argument presented by the Panel.

In its deliberations, Parliament should give consideration to encouraging the development of voluntary intermediary organizations, rather than to creating the VSC recommended in the final report. The tasks allotted to this VSC are too wide-ranging for one body to perform effectively. Most particularly, the combination of regulatory responsibilities with "coaching," "facilitating," and "enabling" is unlikely to prove a happy one. Regulatory and oversight functions should remain with Revenue Canada.

What is more, the VSC could not possibly perform much of any value at the level of staffing suggested in the report. A role might exist for a derivative of a VSC, in conducting or advising on determinations of charitable status. This would depend on Parliament’s decision on future arrangements in this regard, but if these tasks were to be given to a VSC, it would seem wiser that this function be insulated as much as possible from possible political interference from both the sector and governments. An independent panel comprised of legal experts, armed with updated directions from Parliament, would be an attractive option.

As far as the other functions envisaged for the VSC, there does not appear to be any reason why such a government-funded national body needs to be established. Voluntary intermediary organizations already exist that can perform many of these functions, and it can be expected that others will be established as demand for services of this type grows. If government funding is to be extended to such organizations, it must be tied to their success in achieving performance targets and acquiring funding from other non-government sources. This should not be considered as necessary, however.

The great strengths of the voluntary sector are that it is voluntary and diverse. Are Canadians to be trusted to make the right choices about which types of charitable activity, or which particular charitable organizations, should be supported? If so, governments should gradually reduce their involvement in the charitable sector, and concentrate on increasing incentives to give and on pursuing policies that will generate wealth and increase personal disposable incomes.

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