Group_5_US-China Trade War to understand the trade
A6 b6 advocacy_sean_laird_2011 ocasi ed
1. Managing Risk ….
... by Knowing the Advocacy
Rules
An Advocacy School Workshop for
OCASI – Ontario Council of Agencies Serving Immigrants
W. Laird Hunter, Q.C and Sean Moore
November 10-11, 2011
Toronto
Advocacy School
2. The Issues
Prevailing Political and Public-Policy Environment
Different Structures – Different Rules
• registered charities
• non-charity NGOs
Relevant Public Ethics Regimes
• Lobbyists Registration
• Political / Election Finance
- political contributions
- third party advertising
* Restrictions on Advocacy for Recipients of Government $ *
Canadian Charities, “political activities” and the CRA
Regulatory Regimes Governing Anti-terrorism and Money-
Laundering
* Rules on Hospitality for Public Officials *
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3. Prevailing Political and
Public-Policy Environment
overall public suspicion about all manner of “lobbying”
federal parties engage in “bidding war” on public ethics
issues
caught up in “accountability” narrative
Harper Government’s antipathy towards those seeking
federal largesse
Government’s showy “crack-down” on lobbying and
lobbyists and discouragement of NGO advocacy
austerity ethos – substantial NGO funding cuts
public concern about “charities” practices (e.g. C-470)
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4. Different Structures – Different Rules
Registered Charities
Non-Charity NGOs
Coalitions
Unincorporated organizations
Consultants
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5. Lobbyists Registration Regimes
exists at national (and , in some cases) sub-
national level in:
• Canada (feds and 7 - soon to be 9 – provinces
and some cities)
• U.S. (federal level and in all 50 states & many
cities)
• Australia (and some states)
• European Community
• Germany
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6. Lobbyists Disclosure Laws
In Canada since 1989 at federal level; provinces follow
Propelled by minor scandal, matched with rapid
expansion of lobbying trade
focus has always been on Consultant Lobbyists; less so
on In-House Lobbyists
laws largely limited to public disclosure requirements
much more aggressive compliance and enforcement
few investigations or charges laid so far; only in
Quebec and BC
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7. General Orientation of Lobbying Laws
Defines registerable “lobbying” as:
• being paid (except in Quebec) to
communicate with a public office holder for the
purpose of influencing * a decision by government
related to:
New or amended legislation
New or amended regulations
Policies, programs
Financial benefits
Procurement
Arranging for meetings with public officials
(“consultant lobbyists” only, except Quebec)
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8. General Orientation of Lobbying Laws
Disclosure Requirements
• “business card” information
• corporate information
• identity of government agencies/departments contacted
• indication of object of lobbying activity
• type of lobbying planned
• sources of government monies, if any
• info on contingency fees (if not already banned in
Quebec and federal jurisdiction)
• at federal level, additional (up to monthly) disclosure of
“oral and arranged communications” with Designated
Public Office Holders
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9. Public Office Holders (not DPOH)
• politicians (Minister, Members of House or
Senate)
• political staff (of Ministers, MPs and Senators
and parliamentary staff)
• all public servants at all levels including those
in regulatory agencies
• persons holding Governor-in-Council positions
(i.e. Cabinet or Ministerial appointments e.g.
Crown corporation presidents etc.)
• in Quebec only – extends to municipal
governments and some government-funded
NGOs
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10. Three Types of Registered Lobbyists
• Consultant Lobbyists
• In-House Corporate Lobbyists
• In-House Organization Lobbyists
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11. Exemptions
• other governments – domestic and
foreign
• appearances / representations before
open public proceedings
• interpretation, administration or
enforcement of existing law or
regulations
• obtaining information only
• some government-initiated
communications / consultations
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12. Designated Public Office Holders (DPOH)
• Ministers
• Ministerial Staff
• Deputy Minister and Associate Deputy
Ministers
• Assistant Deputy Ministers
• (all federal officials of comparable DM or
ADM rank, i.e. EX-4 or above)
• Members of PM’s Transition Team
… and anyone else designated by Cabinet
• e.g. ordinary MPs, Senators and OLO Staff
added as of Fall 2010
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13. Designated Public Office Holders
5-year cooling off period
contact with DPOH requires month ly
reporting
some government-initiated communications
are exempt from DPOH ComLog reporting
(but not if $ involved)
Commissioner of Lobbying verifies info
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14. Monthly Reporting
by 15th of subsequent month
requires updating of any new information
• new “subject matter” information (new legislation, new program
etc.)
• “prescribed” communications with DPOHs
“arranged” and “oral” meetings either in-person or telephone
conversations;
NOT reportable written correspondence, e-
mails, faxes, “electronic” communications ( not included in
definition of “prescribed” contact and therefore not reportable
for “Comlog”)
must report monthly, “prescribed communication” (oral and pre-
arranged) indicating:
• name and title of DPOH
• date of meeting
• subject matter at issue from “underlying registration information”
• no detailed “narratives;” just “checking boxes”
15. Political Finance Laws … generally
highly variable
charities generally non-permitted to donate
financial limits variable
variability in range of permitted activities
in Canada, restrictions on third-party
advertising
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16. Canadian Political Finance Law
Canada Elections Act:
• Individual donations only
• none from charities or NGOs
• reimbursement forbidden
• Paid leave ok for candidates but not employee
campaigners
• limitations on third-party advertising during writ period
Provincial Level
• still no donations from charities
• Quebec and Manitoba - individual donations only
• some provinces with few restrictions or limits
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17. Anti-Terrorism
NGOs and foundations obliged by law to ensure
that its activities and those of its grantees are not
supportive of , and do not facilitate, terrorist
activities, organizations or individuals
“due diligence”
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18. The Income Tax Act - Registered
Charities and “political activities”
The Advocacy Rules are contained in CRA Policy
Statement – CPS-022
The Advocacy Rules have 3 sources
Charities do not have a “right to free speech”
Any discussion about “advocacy,” “political activities” and
“Canadian registered charities” is a conversation about
how a special set of rules apply
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19. Key Concepts in 10% Rule
“advocacy”
“a call to action’
“a well-reasoned
position
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20. The Income Tax Act - Registered
Charities and “political activities”
CPS – 022 limits the “political activities” of registered
charities
The Income Tax Act requires charities to devote “substantially
all” of its resources to its charitable purposes and the Courts
have held that “substantially all” means 90%
CRA – based on the ITA says “ for the purposes of this
policy, a charity’s activities can be divided into 3 separate
types:
• Prohibited activities
• Political activities
• Charitable activities Advocacy School
21. 1) Prohibited Activity
partisan political activity
no financial (or in-kind)
contributions to parties or
candidates
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22. 2) Permitted - But Limited - Political
Activities
OK if “non-partisan” and “subordinate to charity’s
purposes”
a call to action (“vote a certain way” or “write your MP”)
taking out a newspaper ad / starting an –mail campaign
aimed at legislators
organizing a march on Parliament Hill
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23. 3) Acceptable Advocacy Activity
meet and communicate with politicians and officials, even
if intent is to change law or policy
BUT activity must be subordinate to the charity's purposes
All representations must:
• relate to issue connected to charity's purposes;
• be “well-reasoned”
• not contain information that the charity knows, or ought
to know is false, inaccurate, or misleading
• public release of info must not be selective
• have no call to action
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24. CRA Standards for Acceptable
Public-Awareness Campaigns
1. Charity does not explicitly connect its
views to any political party or candidate
for public office
2. The issue is connected to the charities
purposes
3. The charity’s views are based on a well-
reasoned position
4. Public awareness campaigns do not
become the charity's primary activity
25. Sean Moore
Principal, Advocacy School
Public Policy and Advocacy Advisor
sean.moore@advocacyschool.org
www.advocacyschol.org
W. Laird Hunter, Q.C.
Richards Hunter
wlh@richardshunter.com
Advocacy School
Notes de l'éditeur
Antipathy towards lobbying by public at large heavily influenced by US experience and by high-profile but minor alleged transgressions among so-called “lobbyists”(though political finance is very different in Canada with both spending and contribution restrictions – “influence of money” factor remainsNew federal restrictions and reporting activities on all lobbyists
subject to 5-year cooling off period (with potential for full or partial exemption, but must be publicly annc’d)contact with whom by registered lobbyists prompts need for monthly reporting in Comlog (by Consultant Lobbyist or In-House lobbyist Organization)some government-initiated communications are exempt from DPOH ComLog reporting (but not if $ involved)Commissioner of Lobbying permitted to contact present or former DPOHs to verify info submitted by registered lobbyists (s. 91 of LA - clause 73)
highly variable even within countriesin almost all jurisdictions, charities are non-permitted to donate to parties or other political entitiessome countries have no financial limitsgreat variability in range of permitted activities in support of political partiesAlso restrictions on third-party advertising in some jurisdictions, e.g. Canadian federal
NGOs and foundations??? obliged by law – and often by their funders - to ensure that its activities and those of its grantees are not supportive of , and do not facilitate, terrorist activities, organizations or individualsgrantees may be required to provide certain information to meet funders’ “due diligence” requirements
Bullet #1 – This Policy states that the policy seeks to clarify the extent to which charities can usefully contribute to the development of public policy under the existing law.Bullet #1: Court decisions in Canada and EnglandThe (Canadian) Income Tax ActInterpretation of the Charities Directorate of the Canada Revenue Agency (CRA)
Bullet 1: to an amount calculated to be no more than an annual amount equal to 10% of the charity’s total resources and subject to sliding scale, according to size & timeBullet #2: ITA does not mention 10%;Bullet#3:
To be accepted it must be “charitable”. When that situation there are no limits.