Controversial regulations governing fundraising by NGOs have been withdrawn following "months of consultation", the Office of the Commissioner for Voluntary Organisations said on Monday.
The regulations sought to strengthen transparency and accountability by NGOs collecting money to finance their activities. Passed in 2020, they were due to come into force this year, but the commissioner went back to the drawing board following public outcry.
Among others, apart from having to apply for a permit that expired after six months, NGOs wishing to use donation boxes for collections needed to pick them up from the office of the commissioner and then return to count the money.
Envelopes containing donations required a warranted professional, such as a notary, to be present when the money is counted, and volunteers involved in collections also need to be registered.
This saw 92 NGOs including some of Malta's largest civil society organisations and 90 band clubs calling for the withdrawal of the regulations. They said the new rules would add a lot of red tape, insisting they were being introduced without any consultation.
Since then the legislation was tweaked, but most regulations remained in place.
Among others, a €40 fee for the registration of charity shops and fund-raising activities by voluntary organisations was waived. However, those who used charity cans still needed to collect the containers from the commissioner's office and pay €1 for each can.
Times of Malta had reported that the regulations were being watered down but voluntary organisations warned the authorities that if they did not withdraw them, the issue will end up at the Council of Europe.
On Monday, the commissioner's office said that following months of consultation with the Malta Council for the Voluntary Sector, legal notices laying down the regulations for public collections and charity shops were being repealed and replaced by fresh ones that will come into force on January 7 of 2022.
Commissioner Jesmond Saliba said the new notices "will truly reflect the needs of voluntary organisations".
“It is truly exciting to see all stakeholders within the voluntary sector work cohesively to safeguard and strengthen the voluntary sector against those that want to take advantage of the vulnerability of this sector," he said in a statement.
What changed?
Public collections: while before, voluntary organisations (VOs) had to notify the commissioner prior to organising a public collection, enrolled and compliant VOs can now collect funds without notifying the commissioner beforehand.
When organising a public collection, it is important for administrators or collectors to have a tag listing their name, surname and identity card number, the name and VO number of organisation, and also a photo of the collector.
This tag will be issued by the VOs and not the commissioner.
The validity of the tag has been amended from six months to one year.
Collection tins: VOs can provide collectors with sealed tins. These will need to be opened in front of at least two administrators without the need of having a warranted professional present.
Charity shops: shops will have to have the words “charity shop” in Maltese and English inside the premises, rather than on the facade of the shop.
Tags will also be issued by the charity shop, not the commissioner.
More information here and here.