Provides for the issuance of a certificate of ethics course completion to professional fundraisers who complete a course of instruction in the law and ethics of fundraising

Title of bill

An act to amend the executive law, in relation to providing for the issuance of a certificate of ethics course completion to professional fundraisers who complete a course of instruction in the law and ethics of fundraising

Purpose or general idea of bill

This bill provides for the issuance by the Attorney General of a certificate of ethics course completion to professional fundraisers who complete a course of instruction in the law and ethics of fundraising.

Summary of specific provisions

This bill amends the Executive Law to add a new section 178, which provides for the issuance by the Attorney General of a certificate of ethics course completion to professional fundraisers, professional solicitors, fundraising counsel, and charitable organizations required to register with the Charities Bureau of!the Attorney General's Office, who complete a course of instruction in the law and ethics of fundraising. It also provides that the Attorney General shall annually publish the names of the individuals and organizations which have been granted the certificate and that the charities bureau registry maintained by the attorney general shall indicate that a certificate has been granted.

This bill defines "acceptable course" as a course of instruction approved by the Attorney General in consultation with the Education Department, in relation to the law and ethics of fundraising and philanthropy. Universities and colleges statewide, and professional trade associations would be permitted to offer the course through classroom training and/or by distance learning.

Section 2 of the bill provides that the attorney general, in consultation with the education department, shall issue a report to the governor and the Legislature on or before June 30, 2012 on the number and location of available approved courses of instruction, the total number of registrants that completed such courses and the total number of such registrants who,are eligible to receive a certificate of ethics course completion. The report shall also include an assessment of the adequacy of the availability of the courses statewide, of registrant satisfaction with the available courses and recommendations with respect to the feasibility of legislation mandating the completion of such courses.

Justification

There are approximately 1.8 million non-profits in existence today raising between $225-$255 billion per year. Many of these organizations employ in-house fundraisers who do not have formal education in fundraising. Many ethical problems exposed in Corporate America are now spilling over into the non-profit sector. Recent scandals, in particular the Bernard Madoff catastrophe, point out that there is need for transparency and maximum accountability. In order to encourage education in professional responsibility in the field of philanthropy, this legislation provides an incentive in the form of a certificate of ethics course completion from the Attorney General. The course :Will raise the consciousness of fundraisers making them sensitive to the ethical issues they are faced with on a daily basis. In addition, fundraisers would be apprised of the many new state and federal laws pertaining to non-profits.

Prior legislative history

New bill. FISCAL IMPLICATIONS : Minimal.

Effective date

This act shall take effect immediately.